In a Disability Income insurance policy, the 'Elimination Period' is:

Question: In a Disability Income insurance policy, the 'Elimination Period' is:

Answer options:

• The time the insurer has to decide whether to issue the policy.
• The period during which the insurer can contest the medical history.
• The maximum time the insurer will pay benefits for a single claim. ✅ The period of time after a disability begins before benefits are payable.

Correct answer: The period of time after a disability begins before benefits are payable.

Explanation: The elimination period is essentially a time-based 'deductible.' It is the period of time the insured must be disabled before they are eligible to begin receiving benefit payments. Longer elimination periods lead to lower premiums.