Waiver Of Premium Rider
What Does Waiver Of Premium Rider Mean?
A waiver of premium rider is a clause in an insurance policy that waives premium payments for a specified period if the policyholder becomes disabled or critically ill. This rider ensures that the policyholder can continue to receive coverage even if they are unable to work and face financial difficulty in paying the premium.
Insuranceopedia Explains Waiver Of Premium Rider
Some insurance policies may include the waiver of premium rider as part of the main policy, while others charge an upfront fee for it. This rider is typically available with life insurance policies and generally requires a total disability, as defined in the policy, to last for a specified continuous period. Additionally, some insurers may impose other requirements for the rider to take effect, such as the policyholder being under a certain age.
