In relation to Permanent Health Insurance (PHI) / Income Protection, refers to the period between the commencement of illness, and the date at which eligibility for payment of benefit under the insurance policy would commence. In relation to a Deferred Annuity, refers to the period between payment of the premium and commencement of the annuity payments.
A set period for which the insured is not covered. Often the period will be between 7 and 28 days and the insured will not receive payment until this period has elapsed. Most commonly found to exist under a Personal Accident and/or Sickness Insurance policy.
A period specified in a permanent health policy that must elapse after disablement occurs before benefit starts to run.
A waiting period e.g. under Permanent Health Insurance policies there can be waiting, or deferred periods of between 4 and 104 weeks before the policy begins to pay out. Usually, the longer the deferred period, the lower the premium.
a period of delay prior to payment of benefits under a protection policy. Periods are normally 4, 13, 26, 52 weeks, the longer the period the cheaper the premium.
also referred to as the excess or deferment period, this term refers to the amount of time that you are required to wait from the time of claim until you are eligible to receive payments. The longer it is, the lower your premiums will generally be.
The time interval before benefit payments or cover begins. For example, a 40 year old may take out a deferred annuity policy with payments beginning at age 60. This would involve a 20 year deferred period. See also: WAITING PERIOD.