Shauna hurt her back and was unable to work.She filed a claim under her disability income insurance policy.Under terms of the policy,a period of time must pass between when the injury occurred and when the insurer begins to replace lost earnings.This time period is called a(n)
A)grace period.
B)enrollment period.
C)probationary period.
D)elimination (waiting)period.

Question

Quizplus · Accepted Answer

The period of time during which the insurer does not make payments for a disability claim after the onset of the disability is called the elimination period or waiting period. This is typically a specified number of days (e.g. 30, 60, or 90) and is designed to prevent small or short-term disabilities from being covered. Choice A, grace period, typically refers to the amount of time an insured has after a premium is due before a policy lapses. Choice B, enrollment period, typically refers to the timeframe in which an individual can enroll in a health insurance plan (often during open enrollment or a qualifying life event). Choice C, probationary period, may refer to a period of time during which an employee is being evaluated for continued employment or during which new insurance coverage may not be available (e.g. for pre-existing conditions).

Shauna Hurt Her Back and Was Unable to Work