Define Premium..????
Answers
Definition: Premium is an amount paid periodically to the insurer by the insured for covering his risk.
Description: In an insurance contract, the risk is transferred from the insured to the insurer. For taking this risk, the insurer charges an amount called the premium. The premium is a function of a number of variables like age, type of employment, medical conditions, etc. The actuaries are entrusted with the responsibility of ascertaining the correct premium of an insured. The premium paying frequency can be different. It can be paid in monthly, quarterly, semiannually, annually or in a single premium.
Also See: Life Assured, Non-Standard Life, Premium Paying Term, Adverse Selection, Subrogation, Paid-Up Policy, Mitigation
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Penetration rate indicates the level of development of insurance sector in a country
PREV DEFINITIONPremium Paying Term
Premium paying term is the total number of years for the policy holder to pay the premium.
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Answer:
an amount of money that you pay regularly to a company for insurance against accidents, damage, etc.