In insurance, a waiver refers to the voluntary relinquishment of a right or privilege, typically concerning the enforcement of certain policy provisions or conditions. Policyholders may waive specific rights or benefits outlined in their insurance policies, such as coverage exclusions or requirements, by mutual agreement with the insurer. For example, a waiver of premium provision in life insurance policies allows policyholders to temporarily or permanently cease paying premiums during periods of disability or other qualifying events while still maintaining coverage.

Similarly, insurers may waive certain policy conditions or requirements under exceptional circumstances, provided it does not compromise the integrity or legality of the insurance contract. Waivers are documented through formal agreements or endorsements to the insurance policy, ensuring clarity and mutual understanding of the terms being waived. They offer flexibility for policyholders and insurers to adjust coverage provisions according to changing circumstances or individual needs, enhancing the responsiveness and adaptability of insurance contracts.