Tuesday, September 6, 2022

What Does Waiver of Premium in Life Insurance Mean?

A waiver of premium rider is an insurance policy clause that waives premium payments in the event the policyholder becomes critically ill, seriously injured, or disabled.


A waiver of premium in life insurance is an action by the insurance company canceling premium payments by an insured who has been disabled for a specified period of time (usually, least 6 months).


The life insurance policy remains "In Force", just as if the insured was still making the premium payments.

 

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