Waiver of Restoration Premium
Definition
- A clause found in some insurance policies that states that after a claim has been paid out, the insurance company does not require the policyholder to pay a fee in order resume coverage. Insurance policies without a waiver of restoration premium clause may still be capable of being resumed after a premium is paid, but not all policies have this option.
Synonyms
surrender of premiums, waiver of premiums
Related Terms and Acronyms
- Lapsed Policy — Definition,
- A policy that is no long in effect due to missed payments, inaction or its term ending.
- Lien Waiver — Definition,
- A document in legal form signed by persons or firms which have lien rights, waiving those rights.
- Reinstatement — Definition,
- Resuming an insurance policy that has either lapsed or been terminated.
- Waiver — Definition,
- The intentional and voluntary renunciation, abandonment, or surrender of some claim, right, or privilege.
- Waiver of Premium — Definition,
- A clause that allows an insurer to waive a policyholder's premiums while still keeping the policy in effect.
- Waiver of Subrogation (WOS) — Acronym,
- A provision that prevents an insurer from pursuing a third party for damages to insured property.
