Who pays the premiums during a disability under a waiver of premium rider?

• A. The insured
• B. The employer
• C. The company
• D. The policyholder

Answer: (C)

A waiver of premium rider is designed to keep the policy in force when the insured becomes totally disabled. Once disability is established and any waiting period passes, the insurance company takes over the premium payments so the policy doesn’t lapse while the insured can’t work. The purpose is to preserve coverage during a time when income is interrupted, not to shift the burden to the insured, employer, or owner. The policy remains owned by the policyholder, but the insurer pays the premiums during the disability.