What is a waiver of premium rider?

The waiver of premium rider is a beneficial feature that allows policyholders to stop making premium payments under specific conditions, most commonly if they become disabled. When a policyholder is unable to work due to a qualifying disability, this rider ensures that their life insurance policy remains in force without requiring premium payments during the time they are unable to earn an income.

This rider is particularly valuable because it safeguards the insured’s coverage during challenging financial times caused by disability, preventing lapse of the policy due to non-payment of premiums. Hence, the answer correctly highlights this essential function of the waiver of premium rider in life insurance policies.

The other options do not accurately describe the purpose or function of this rider. For instance, decreasing the death benefit in case of disability or converting term insurance to permanent insurance are distinct provisions that serve different purposes. The option suggesting that insurance agents can change policies without the owner's consent does not relate to the concept of a waiver of premium rider at all, as it pertains to policy management and consent.