Noncancellation and waiver of premium clauses

A friend of yours has a great job that pays well. He plans to work all his life. His only source of income is his paycheck. He takes trips and enjoys other extras in life. Now that you know that becoming disabled can bring financial ruin, youll strongly recommend that your friend purchase disability income insurance. It is most important that your friends policy includes a clause.

You explain to your friend that a clause would relieve him of the responsibility of continuing to pay the insurance premiums when collecting benefits. But a clause means he would always have coverage. If the insurance company canceled his policy and he became disabled, hed lose a lot than he would if he collected benefits and had to continue to pay premiums.

The cost of premiums for men and women

The cost of premiums for disability income insurance with the same terms is for a woman than a man. A woman will pay approximately the same premium as a man her age for coverage with restrictions than the mans. The reason is that .