What does Premium Advance mean? Read on to discover the definition & meaning of the term Premium Advance - to help you better understand the language used in insurance policies.
The premium charged at the inception of the policy in cases where the final premium of the policy is not determined until the policy has expired; for example, where the policy premium is determined on an exposure base such as payroll that is subject to final audit adjustment. This term may encompass what is known as a "provisional" or "deposit" premium.
We hope the you have a better understanding of the meaning of Premium Advance.