Waiver of Premium Rider

Description

  • The following premiums are waived if the insured party has been totally disabled for 6 continuous months:
    • Any premium past due within first 6 continuous months of the total disability of the insured party.
    • Any premium due after the first 6 continuous months of the total disability of the insured party.
    • Any premium due during the 31-day period before the insured party suffered total disability (excluding the initial premium payment).
  • Any waivable premium above already paid to the insurer will be refunded once the waiver benefit is applied by the insurer at the request of the policyowner.
  • If total disability is suffered by the insured party before their attained age 60, premiums will be waived for the duration of the total disability.
  • If total disability is suffered by the insured party on or after their attained age 60, but before their attained age 65, premiums will be waived as long as total disability continues, up to a maximum attainted age 70 of the insured party, if earlier.
  • Disability is defined as a “5-year own occupation period”:
    • An income-based monthly benefit payment payable by the insurer for up to a maximum of 5 years of total disability of the insured party.
    • A benefit provided for the physical or mental inability of the insured party to continue performing the work duties of their occupation, even if the insured party is qualified and physically or mentally capable of performing the work duties of another occupation.
    • Benefits clients, specifically high-income earners, who do not qualify for an individual disability income insurance policy.
  • Rider can be transferred upon partial or full conversion of temporary coverage to permanent coverage:
    • Premiums on the new policy are payable for a minimum of 5 years from the conversion date.
    • The attained age of the insured party must be within the rider issuance attained age limits as of the policy date.
  • Rider can be transferred to the lowest premium whole life insurance product if the insured party becomes totally disabled prior to converting temporary coverage to permanent coverage, in which the premium will be waived on the new whole life policy while the insured party is totally disabled.
  • The policyowner has the right to convert from temporary to permanent coverage at the end of the level premium period if the insured party is totally disabled and the base policy is on disability waiver at that time, even if beyond the normal conversion period.

Charges

  • Premium

Issuance

  • Optional

Attained Age

  • In Washington (WA), the minimum acceptable attained age is 19 and the maximum acceptable attained age is 59 of the insured party.
  • In all other contractual states, the minimum acceptable attained age is 18 and the maximum acceptable attained age is 59 of the insured party:
    • If earlier, then the maximum acceptable attained age of the insured party is based on the maximum acceptable attained age of the base policy.

Face Value

  • For the minimum attained age 18 to the maximum attained age 49 of the insured party, $8 million of total face value is accepted, or up to the retention limit as determined by the insurer.
  • For the minimum attained age 50 to the maximum attained age 59 of the insured party, $5 million of total face value is accepted, or up to the retention limit as determined by the insurer.

Availability

  • Unavailable if a table rating of E or greater is assessed on the base policy.
  • Unavailable if a flat extra over $10.00 per $1,000.00 is assessed on the base policy.

Termination

  • Rider terminates at attained age 65 of the insured party.

Applicability

  • This rider is relevant to following base policies:
    • Vantage Term ART
    • Vantage Term 10
    • Vantage Term 15
    • Vantage Term 20
    • Vantage Term 25
    • Vantage Term 30
    • Vantage Term 15 ECP
    • Vantage Term 20 ECP
    • Vantage Term 25 ECP
    • Vantage Term 30 ECP

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