91. If the life insurance policy is on a child and the parent paying the premium dies, the insurer will waive the premium until the child reaches a predetermined age. The previous statement describes which of the following riders?
Answer: B
The insurer will waive the premium until the child reaches a predetermined age.
This situation describes the Payer benefit rider, which allows for premium waivers if the policyholder, typically a parent, passes away while their child is covered under the life insurance policy.
A) Family income
The Family income rider provides a monthly income benefit to the family for a specified period if the insured dies, but it does not include provisions for waiving premiums. Therefore, this option does not accurately describe the situation presented.
B) Payer benefit
The Payer benefit rider specifically addresses situations where the premium payer dies. In such cases, the insurer waives the premiums for the child’s policy until the child reaches a certain age, making this the correct description of the scenario.
C) Waiver of premium
While the Waiver of premium rider allows for premium payments to be waived under certain conditions, it typically applies to the insured being unable to pay due to disability rather than the death of the premium payer. Hence, this option does not specifically match the described scenario.
D) Guaranteed insurability
The Guaranteed insurability rider allows the policyholder to purchase additional coverage at specified times without medical underwriting, but it does not pertain to waiving premiums. Therefore, this option is irrelevant to the context of the question.
Conclusion
The Payer benefit rider is clearly the correct answer as it directly addresses the waiver of premium upon the death of the parent paying the premium for the child's policy. Other options either misinterpret the rider's intent or do not relate to the condition of premium waivers, confirming that B is the only accurate choice.