What policy provision allows coverage to be restored after a missed premium payment that is later accepted by the insurer?

The provision that allows coverage to be restored after a missed premium payment, when later accepted by the insurer, is the reinstatement provision. This provision enables policyholders to restore their insurance policy after it has lapsed due to non-payment as long as they fulfill certain conditions set by the insurer. Typically, these conditions may include paying all overdue premiums and possibly providing evidence of insurability.

This provision is essential because it gives policyholders the opportunity to maintain coverage despite a temporary financial setback or oversight. It reflects the insurer's willingness to reinstate a policy under specified circumstances rather than requiring the policyholder to apply for a new policy altogether.

Understanding this provision is critical for both insured individuals and insurance professionals, as it highlights the importance of keeping up with premium payments while also providing a safety net for those who face unforeseen financial difficulties.