PERMANENT DISABILITY RIDER AND WAIVER OF PREMIUM

Presented by: Vora Bhavish Dabhi Vishwajeetsinh Roll No.19 Roll No.20

WHAT IS DISABILITY?
According to world health organization, Disabilities are an umbrella term, covering impairments, activity limitation, and participation restriction. Impairment is a problem in a body function or a structure, an activity limitation is difficulty encountered by an individual in executing a task or a action, while a participation restriction is a problem experienced by an individual in a involvement in a life situations. Thus, disability is a complex phenomenon. Reflecting an interaction between features of a persons body and feature of the society in which he or she lives.

TOTAL AND PERMANENT DISABILITY IS DEFINED

AS
1.

2.

Disability which is total and permanent and persists continuously for at least six months, incapable of performing any work or engaging in any occupation or profession to earn or obtain wages, compensation or profit, from the time when the disability started. Total and irrecoverable: Loss of the sight of both eyes; Loss of sight of one eye and loss by severance or loss of use of one limb at above the ankle or wrist; Loss of severance or loss of use of: Both hands at or above the wrists; Both feet at or above the ankles; One hand at or above the wrist and one foot at or above the ankle

As a result of disease, illness or injury the Life Assured becomes totally and permanently unable to perform at least three of the following six Activities of Daily Living.

Transferring: the ability to move from a bed to an upright chair or wheelchair and vice versa.
Mobility: the ability to move indoors from room to room on level surfaces Toileting: the ability to use the lavatory or otherwise manage bowel and bladder functions so as to maintain a satisfactory level of personal hygiene

 Dressing:

the ability to put on, take off, secure and unfasten all garments and as appropriate, any braces, artificial limbs or other surgical appliances
the ability to wash in the bath or shower (including getting into and out of the bath or shower) or wash satisfactorily by any other means the ability to feed oneself once food has been prepared and made available

Washing:

Feeding:

DISABILITY INCOME INSURANCE

Disability income insurance provide regular cash income lost by employees as a result of an accident or illness Many people who insure their house, cars, and other property fail to insure their most valuable resources; their earning power. Disability can cause even greater financial problems than death. In fact a disability is often called the living death .

DISABILITY INSURANCE TRADE OFF

Waiting or elimination period Duration of benefits Amount of benefits Accident or illness coverage

Sources of disability income Employer Social security Workers compensation

KEY PROVISIONS FOR TOTAL AND PERMANENT DISABILITY BENEFIT 1. Termination This benefit shall terminate on the earliest occurrence of the following: the date the Policy terminates; the Benefit Cessation Date of this TPD Benefit; the installment premium for this TPD Benefit is not paid within the Grace Period for its payment; The date on which the Death Benefit or an advancement of the Death Benefit is paid in full; or the date on which the TPD Benefit or an advancement of the TPD Benefit of an equal or higher Sum Assured is paid in full.

2. Exclusions The TPD Benefit shall not be payable under this Policy in the following events: attempted suicide; self-inflicted injury or illness, while sane or insane; any condition or illness which existed or was existing or the cause or symptoms of which existed or were evident, or any condition or illness which the Life Assured suffered or was suffering from prior to the Policy Issue Date, the Benefit Commencement Date of the TPD Benefit, or the date of the last reinstatement of the Policy or this TPD Benefit, whichever is the latest, unless that condition or illness had been declared to the Company;

injuries sustained during travel on any type of aircraft except a fare-paying passenger or a crew member of an international airline operating on a regular scheduled passenger light of a licensed commercial aircraft; where the Life Assured is actively participating in war (declared or undeclared), civil war, war-liked actions and/or acts of terrorism; or when the disability of the Life Assured is directly or indirectly caused by, resulting from or in connection with the use of nuclear, biological and chemical weapons in any act of war, civil war, warliked actions and/or acts of terrorism in any of the following states: Bahrain, Egypt, Iran, Iraq, Jordan, Kenya, Kuwait, Lebanon, Oman, Pakistan, Palestine, Qatar, Saudi Arabia, Sri Lanka, Syria, United Arab Emirates and Yemen.

3. Proof of Claim Even if satisfactory proof of the Total and Permanent Disability has been received and accepted and the claim for TPD Benefit has been admitted, further it is claim against proof of continuing Total and Permanent Disability to be furnished from time to time. Stop paying the TPD Benefit if: (a) Satisfactory proof of continuing Total and Permanent Disability cannot be furnished; and/or (b)The Life Assured becomes able to perform any work or engage in any occupation or profession to earn or obtain any wages, compensation or profit.

WAIVER OF PREMIUM
Waiver of premium is a rider which can be attached to an insurance policy, ensuring that the policy will continue to be in effect even if the policyholder experiences a loss of income. These premiums are most classically used in life insurance so that the policy will fully mature and be available to the survivors of the policyholder when he or she dies. They may also be rolled into disability insurance policies, and other types of insurance. When someone has a waiver of premium rider, it means that he or she will be allowed to stop making payments on the policy in the event of loss of income. The loss may be temporary, as might be the case when someone is sick or unemployed, or permanent, in the instance of a disability. In either case, the policy will continue to remain in effect even though the premiums are not being paid.

RIDERS WITH LIFE INSURANCE POLICIES

Riders are add-on benefits that can be purchased along with the basic life insurance policy that enhances or adds some benefits which might not be present in the original plan. It helps the insurance companies to offer flexibility and the option of customization in the policy to customers With a host of riders, the customer can now choose to effectively tailor the plan as per his/ her requirements. Since these riders come at an additional cost, the customer should carefully evaluate the benefits while taking on these add-ons benefits.

SOME OF THE RIDERS OFFERD BY INSURANCE COMAPNY

Increased Death Benefit Accidental Death Benefit Permanent Disability Benefits Waiver of Premium Benefit Critical Illness or Dreaded Diseases benefit

THANK YOU