The sum which the insured pays periodically to his insurance company is called

JAMB Commerce 2024 128 views
Source: JAMB · 2024

The sum which the insured pays periodically to his insurance company is called

  1. a commission
  2. an indemnity
  3. a policy
  4. a premium ✓
Explanation

Premium is the regular payment you make to an insurance company for coverage.

The policy is the contract document. Indemnity is the compensation you receive.

If you stop paying premiums, your insurance coverage ends.

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