waiting period. For a health insurance policy, the period of time that must pass from the date of policy issue before benefits are payable to an insured. Also known as elimination period and probationary period.

waiver. The voluntary and intentional relinquishment of a known legal right.

waiver of premium for disability (WP) benefit. A supplementary life insurance policy or annuity contract benefit under which the insurer promises to give up its right to collect premiums that become due while the insured is disabled according to the policy or rider’s definition of disability.

waiver of premium for payor benefit. A supplementary benefit provided by some juvenile insurance policies under which the insurer promises to give up its right to collect the policy’s renewal premiums if the adult policyowner dies or becomes totally disabled prior to the insured child’s attainment of a specified age, usually 21.

waiver of premium provision. In long-term care (LTC) insurance, a policy provision that allows an insured person to stop paying premiums at a specified point while the insured person is receiving long-term care and the policy is making benefit payments.

waiver of surrender charge provision. In an annuity contract, a provision specifying that the insurer will not impose a surrender charge on withdrawals under certain conditions, such as the unemployment or disability of the contract owner.

war exclusion provision. A life insurance policy provision that limits an insurer’s liability to pay a death benefit if the life insured’s death is connected with the war or military service as defined in the insurance policy.

warranty. A promise or guarantee that a statement of fact is true. The statement is made by a party to a contract at the time of contracting, becomes a part of the contract, and if not literally true, gives the other party a ground to rescind the contract. Contrast with representation.

welfare benefit plan. According to the Employee Retirement Income Security Act (ERISA) in the United States, any plan or program that an employer establishes to provide specified benefits, including life and health insurance benefits, to plan participants and their beneficiaries.

whole life insurance. A type of life insurance that remains in effect, if the premiums are current, until the insured dies. Whole life insurance builds a cash value for the policyowner. Contrast with term life insurance.

window premiums. Additional premiums paid on a single-premium deferred annuity during the first contract year.

withdrawal. For a deferred annuity, payment of a portion of the annuity’s accumulated value to the contract owner during the accumulation period. Also known as partial withdrawal and partial surrender.

withdrawal charge. See surrender charge.

withdrawal provision. An annuity contract provision that permits an insured to reduce the amount of the contract’s accumulated value by taking up to that amount in cash. Also known as partial surrender provision.

work division system. A system for organizing underwriting work that divides cases according to the person or group that underwrites them; examples include independent underwriting,
team underwriting, jet unit underwriting, and committee underwriting.

workers’ compensation. Government-mandated insurance that provides benefits to covered employees and their dependents if the employees suffer job-related injury, disease, or death. Workers’ compensation programs exist in both Canada and the United States.

worksite marketing. An insurance sales process that involves offering individual and/or group insurance products to employees in their workplace on a voluntary, payroll-deduction basis.

WP benefit. See waiver of premium for disability benefit.