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wlad13 [49]
3 years ago
8

Jan pays $70 each month for her auto insurance policy. This regular payment is called a:

Advanced Placement (AP)
2 answers:
Artemon [7]3 years ago
5 0
The payment is called premium. 

Premium payment refers to the specific amount of payment required periodically (monthly or yearly) by the insurer to provide coverage under a given insurance plans such as life insurance, auto insurance, and house insurance for a defined period of time. In Jan's case, he is required to pay monthly to cover the insurance for his car.
Afina-wow [57]3 years ago
4 0

The regular payment that Jan pays each month for her auto insurance policy is called <u>a premium</u>

If Jan wants to keep her car, she must pay her monthly premium. The insurance premium is the cost of Jan insurance.

<h2>Further Explanation</h2>

Premium payment is the amount of money that must be paid by an individual or business for an insurance policy.

Some of the insurance policies that premiums are paid for include

  • Home
  • Life
  • Auto
  • healthcare

The amount of money paid by the business or individual for an insurance policy becomes income for the insurance company once it is earned.

Your insurer will charge you a premium if you register for any insurance policy. It is the amount you must pay for the full cost of your insurance.

However, a person that owns insurance also known as the policyholder has many options to choose from as to how the insurance premium will be paid.

Some insurance company accepts policyholders to pay the cost of their insurance on installment (monthly or semi-annually) while some insurance company may choose to have the insurance premium in advance.

However, the cost of premium depends on many factors and these factors include

  • Your age
  • Your location
  • Type of coverage
  • Past insurance claim

LEARN MORE:

  • What is the annual insurance premium ​ brainly.com/question/12122615
  • An insured forgets to pay his insurance premium brainly.com/question/4538169

KEYWORDS:

  • insurance policy
  • age
  • location
  • premium
  • jan
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