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Insurance premiums are calculated for the year. If you cancel your policy refunds are usually issued retroactively. So if you cancel your insurance 6 months into your policy, you wil be refunded for the remaining 6 months. It is usually calculated to a daily value, so you will get a refund for the remaining days left in the year.

However, it is up to the insurance compant on what their refund policy is. Some companies will have a cancelation policy of 1 months cost of insurance if you cancel your policy. Most companies however have no fee.

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โˆ™ 2015-07-16 18:14:54
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Q: How does the insurance company calculate the amount of premium to refund when a policy is cancelled?
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What happens when your car insurance is cancelled by the insurance company?

What happens is that you get a new insurance policy, possibly with another insurer. Any unearned premium will be returned to you by your insurer.


A fire insurance policy had an annual premium of 780 What is the regular refund if the policy is cancelled by the insurance company after 5 months?

You are due a refund of of all unearned premium. Associated policy production fees are nonrefundable.


How do you figure the amount of premiums paid into life insurance policy?

The premium is calculated on the basis of many factors. The insurance company will calculate the premium and inform you before you buy the policy.


What is the title of a person in an insurance company who calculates the premium?

An Actuary is the person in an insurance company who calculates the premium


Can you get part of monthly life insurance premium refunded if cancelled mid month?

no


What do you call the payment of the insurance company?

premium


Can an insurance company charge inflation rates?

Insurance company have premium rates, Not inflation rates.


What is premium loading in insurance?

Premium loading is an amount an insurance company adds to the basic premium to cover the expense of securing and maintaining the business.


How do you calculate premium for life insurance policy?

You can calculate life insurance premium for a life insurance policy by requesting free life insurance quotes online or from a life insurance company. Rates for life insurance vary by insurer. Some of the factors that insurers consider when determining your premium include the following: Age, gender, height-to-weight ratio, amount of coverage, type of policy, smoker/non-smoker, your health, your family's health history, etc.


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No. The premium is the price you pay for the coverage. Depending on your insurance company, the premium may be paid all at once or in payments.


What is loading in insurance?

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Can a home insurance policy be cancelled for non payment?

Yes. Non Payment of premium can cause a cancellation or non renewal of an insurance policy.

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