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Q: Premium and its calculation in general insurance?

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Annual Premium= Annual Base Premium * Driver-Rating Factor

To get annual base premium the formula is...

Annual base Premium= Liability Premium + Collision Premium + Comprehensive Premium.

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"These sausages are Premium grade" Premium=Grade A

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Target premium is the amount that the agent's commission is based off of. It is neither the planned premium or minimum premium to keep the policy in force. Sometimes called the "commissionable premium."

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no, you have to pay for premium points to become premium

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