Under the waiver of premium rider, when will the insurance company pay the policy premiums at no cost?

The waiver of premium rider is a beneficial feature in an insurance policy that allows for the payment of premiums without cost to the policyholder under specific circumstances. The correct answer highlights that the insurance company will waive premiums when the insured becomes and remains totally disabled.

This provision is particularly advantageous for policyholders who may be unable to pay their premiums due to a long-term disability. It ensures that the insured can maintain their life insurance coverage without having to worry about premium payments during a time when their income may be compromised. The focus here is on total disability, which means that the insured is unable to perform their regular duties due to a medical condition.

Other scenarios, such as retirement or reaching a certain age, do not trigger this rider’s benefits, as they are not directly related to the inability of the insured to manage their financial obligations due to health issues. Similarly, the death of the insured results in a different outcome regarding policy benefits, as it concludes the requirements of premium payments due to the cessation of the policyholder's life, rather than addressing the concerns about premium payment during a period of disability.