What is annual premium?

An annual premium is defined as the amount that someone is required to pay each year in order to keep his or her insurance policy active. If the insured person does not pay the premium amount by the policy's specified due date, the policy is cancelled. Some insurance companies offer a grace period after the due date, and if the premium is paid in this time frame, the policy is reinstated.

An annual premium is defined as the amount that someone is required to pay each year in order to keep his or her insurance policy qctive