What is a Disability Waiver of Premium Rider? - Insurance Riders 5
It is the fifth week in our series of posts about insurance riders. You should take a look at our last four posts to learn about insurance riders, term riders, critical illness riders, and the guaranteed insurability rider.
This post is going to be covering the disability waiver of premiums rider and what it is, who can use it, and why anyone would use it.
What is the disability waiver of premium rider?
The disability waiver of premium rider helps ease the potential economic burdens should you sustain an injury or illness resulting in disability.
If you have this rider and a disability, you will not have to pay monthly premiums.
The waiver applies not only to the base life insurance policy but also to any other riders that you have taken.
The definition of “disability” however can be restrictive, so be sure to go over this with an advisor.
How it can provide a safety net
A Disability Waiver of Premium rider can provide peace of mind for those who are concerned about the financial impact of a disability.
Disability can be financially devastating, as it can lead to a loss of income and increased medical expenses.
With a Disability Waiver of Premium rider, the policyholder can be assured that their life insurance coverage will continue, providing a financial safety net in the event of a disability.
Disability Waiver of Premium rider can be useful for those who have a high-risk occupation or engage in risky hobbies for the reasons listed previously.
Adding a Disability Waiver of Premium rider can provide the policyholder with the assurance that their coverage will continue, even if they are disabled due to their occupation or hobbies.
Series
What are Insurance Riders? - Insurance Rider Series Part 1
What is a Term Rider? - Insurance Rider Series 2
What is a Critical Illness Rider? - Insurance Rider Series 3
What is a Guaranteed Insurability Rider? - Insurance Rider Series 4
What is a Disability Waiver of Premium Rider? - Insurance Rider Series 5
What are Child and Spousal Riders? - Insurance Rider Series 6
What is a Return of Premiums Rider? - Insurance Rider Series 7
What are Paid-Up Addition Riders? - Insurance Rider Series 8
Next Steps:
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