ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -An insurance premium is the amount of money an individual or business pays for an insurance policy. Insurance premiums are paid for policies that cover healthcare, auto, home, and life insurance. Once earned, the premium is income for the insurance company.

Detailed explanation-2: -Total Premium Amount means the premium price per unit of the Underlying Securities multiplied by the total quantity of Underlying Securities subject to an Option.

Detailed explanation-3: -Insurance premiums can be of multiple types. Your insurance premiums can be monthly, quarterly, half-yearly, annual, or single pay, based on the frequency of payment. They can also be fixed or flexible. Fixed insurance premiums remain the same for the entire policy duration.

Detailed explanation-4: -What is an Annual Premium? An annual premium is the amount an insured needs to pay over the course of a year in order to keep their insurance policy in place. The annual premium you need to pay for life insurance gets set by the insurance provider once they evaluate your risk factors.