What does a waiver of premium rider do?

The waiver of premium rider is an important provision in life insurance policies that specifically benefits policyholders who become disabled. This rider allows the insured to forgo premium payments while they are unable to work due to a qualifying disability. The main advantage of this rider is that it maintains the policy in force during the period of disability without placing a financial burden on the insured, who might already be facing economic challenges due to their inability to earn an income. When the waiver of premium is active, the policy continues to provide its benefits as if the premiums were being paid regularly, ensuring that the insured's coverage remains intact during a difficult time.

The other options do not accurately describe the function of the waiver of premium rider. The rider does not increase the benefit amount, provide refunds of premiums, or guarantee lower premiums; it strictly relates to the suspension of premium payments while keeping the policy active in cases of disability.