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What is 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.


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


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When an insured has availed claim specially in medical insurance, many insurers charge extra premia technically called as loading with the last year's premia amount at the time of renewal. The loading percentage varies according to the amount of claim received by the insured during the preceding year.


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