What is the process of determining the premium charged and how much insurance is required for a particular loss?
The amount you'll pay for car insurance is impacted by a number of very different factors—from the type of coverage you have to your driving record to where you park your car. While not all companies use the same parameters, here's a list of what commonly determines the bottom line on your auto policy. Show
Other factors that affect premium price that can vary from one area or state to another are: cost and frequency of litigation; medical care and car repair costs; prevalence of auto insurance fraud; and weather trends.
Insurers not only look at how safe a particular vehicle is to drive and how well it protects occupants, but also how much potential damage it can inflict on another car. If a specific vehicle model has a higher chance of inflicting damage when in an accident, an insurer may charge more for liability insurance.
Next steps: Learn how to save money on your auto insurance premiums. AAge
Annuity
Application Form
Synonyms: Proposal Form Assignment
BBancassurance
Bundled Product Disclosure document
CCareShield Life
Cash Dividend
Cash Value
Synonyms: Surrender Value Claim
Co-Insurance
Commission
compareFIRST
Cover Page
Coverage
CPF DPS
CPF LIFE
Critical Illness Insurance
Customer Knowledge Assessment (CKA)
DDeath Benefit
Deductibles
Direct Purchase Insurance (DPI)
Disability
Disability Benefit
Disability Income Insurance
Dispute Resolution
EElderShield
Endowment Policy
Exclusions
FFact-Find Process
Financial Advisory (FA) Representative
Forfeiture
Free Look
GGrace Period
HHospital Cash Insurance
IIndemnity
Integrated Shield Plans
Interim Cover against Death by Accident
Investment-Linked Insurance
LLiving Benefits
Synonyms: Accelerated death benefits Long-Term Care Insurance
MMaturity Date
Medical Expense Insurance
Medisave
MediShield Life
NNomination of insurance beneficiary
Non-Forfeiture Values
Non-Participating Policy
PPaid-up Value
Participating Policy
Policy
Policy Illustration
Policy Loan
Premium
Product Summary
RRegular Premium Policy
Reinstatement
Reports on your Policy
Reversionary Bonus
Rider
Risk Profile
SSelected Client
Single Premium Policy
Suicide
Sum Insured
Surrender Value
TTerm Insurance
Terminal Bonus
Time Horizon
UUnit Trust
Synonyms: Collective Investment Scheme (CIS) Universal Life Insurance
• Protection-oriented universal life plans that provide high insurance coverage, these are typically whole of life plans; or
VVoiding a policy
WWaiver of Premium
Whole Life Insurance
What is the process of determining the premium charge and how much insurance is required for a particular loss?Appraisal. Loss valuation is a factor in determining the premium charged and the amount of insurance required.
How is the premium in an insurance policy determined?"Insurance premiums are set by the likelihood of the insured having a loss or a setback out of their control and are based on specific attributes of risk that are deemed to be predictive of loss. Companies that take measures to reduce their risks have a good chance of also reducing their premiums."
What is the process of deciding the premium to charge for a health plan or a given set of benefits?The cost of the premium is determined by health insurance companies after assessing your lifestyle, medical history, pre-existing illnesses, and other similar factors. Most of the health insurance providers have their own set parameters and based on them they fix the quotation price.
What determines the cost of your premium?The amount that you pay is based on your age, the type of coverage that you want, the amount of coverage that you need, your personal information, your ZIP code, and other factors.
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