What happens to the cost of insurance when the waiver of cost of insurance rider is enacted?

When the waiver of cost of insurance rider is enacted, the insured does not pay the regular cost of insurance because the premiums are waived. This rider is typically included in policies to protect policyholders during times of financial hardship or disability. Although the cost of insurance is not waived completely, the premiums that cover the cost are suspended, allowing the insured to maintain their coverage without incurring extra expense.

In contrast, the complete waiver of the cost of insurance does not take place, and the insurance itself is not terminated. Instead, the goal of the rider is to ensure that coverage remains in force even when the insured can no longer afford to pay the premiums.