Everything You Need To Know About Waiver Of Premium Rider

Life insurance providers offer a range of riders that can be added to the life insurance policy at an additional cost. One of the most opted riders is Waiver of Premium rider. Waiver of premium rider waives off all the future payable premiums in case an unfortunate event occurs.

Under waiver of premium rider all the remaining payable riders for the life insurance policy will get waived off, in case the life assured suffers total or permanent disability in an accident or in case the life assured is diagnosed with a critical illness during the policy term. Under some policies waiver of premium rider, waives off all the future payable premiums in case of an unfortunate demise of the life assured during the policy term.

Under difficult circumstances where the life assured is not able to work and make a living for themselves or their family this rider helps them fulfil their financial obligations without terminating the policy. Waiver of policy ensures policy continuance which helps the life ensure to avail the benefits under the life insurance policy and manage his funds for treatment of the disability or diagnosed illness.

Exclusions Under Waiver of Premium Rider

Remaining payable premiums shall not be waived off, in case the life assured is diagnosed with a critical illness or suffers totally or permanent disability under following circumstances:-

1. Pre-existing Medical Condition.
2. Hereditary Diseases.
3. Participation in Dangerous Activities.
4. Participation in War, Riots, Civil Commotion.
5. Participation in Unlawful Activities
6. Self-Inflicted Injuries.
7. Suicide
8. Driving under the influence
9. Drug Abuse

Benefits of Purchasing Waiver of Premium Rider

Below mentioned are some benefits of purchasing the Waiver of Premium rider:

• Waiver of Premium enhances the base coverage of your life insurance policy.
• Waiver of premium is not expensive.
• Waiver of premium provides financial protection from uncertainties of life. 
• This rider ensures policy continuity.

Eligibility for Waiver of Premium

Below mentioned is the eligibility criteria for waiver of premium rider:

Why should you purchase a Waiver of Premium Rider?

Waiver of premium rider can help you ensure your financial protection in difficult circumstances by waiving off future payable premium in case an unfortunate event takes place. This rider also helps you ensure policy continuity even when you are not able to pay the premium, still allowing you to avail the benefits under the life insurance policy.

Also read 

Which Riders are Suitable For Retirement Plans?

How Can a Rider Make Your Term Insurance Plan More Efficient?

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.