Question

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

1) Disability clause
2) Premium waiver
3) Healthcare suspension
4) Insurance freeze

Answer 1

In health insurance, the provision that suspends premium payments during the insured's disability is known as the premium waiver.

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 premium waiver. This means that if the insured individual becomes disabled and is unable to pay their insurance premiums, the insurance company waives the need to pay these premiums during the period of disability, ensuring that the insured's coverage continues. This feature is important for providing financial relief during times when earning capacity might be diminished due to disability.