A disability premium waiver is a policy provision that takes effect if the insurer suddenly becomes disabled and is unable to pay the premium on their policy.
Insurance companies may charge extra for a policy that comes with a disability premium exemption.
The definition of “totally disabled” is not uniform and may vary depending on the insurance company and policy.
However, illness or injury must occur and result in disability, and usually the insured is considered “totally disabled” if he is unable to do his job.