Question

The provision in a health insurance policy that suspends premiums being paid to the insurer while the insured is disabled is called the

A) Grace period.
B) Waiver of premium.
C) Exclusionary clause.
D) Pre-existing condition clause.

Answer 1

The provision that allows policyholders to suspend premium payments while disabled is known as the Waiver of premium. It is an essential feature for maintaining health insurance coverage during periods when earning an income may not be possible due to disability.

Step-by-step explanation:

The provision in a health insurance policy that suspends premiums being paid to the insurer while the insured is disabled is called the Waiver of premium. This feature is particularly beneficial for policyholders as it ensures their health coverage continues even when they are unable to work and earn an income due to disability, without the burden of continuing to pay premiums during the period of disability. The Waiver of premium can be a crucial benefit in a health insurance policy, providing financial relief when the policyholder is dealing with a disability that impacts their income.