noun
premium
An amount paid for insurance coverage.
She pays her car insurance premium at the start of each month.
Etymology
The older word means a reward or payment. Insurance specialized it to the payment made in return for the insurer’s undertaking to cover a risk.
In context
a premium is only part of the total cost of my Healthcare if you really want to understand what health insurance costs you're going to have to know a few more Concepts
More examples
- A higher deductible can lower your insurance premium.
- The company covers half of our health insurance premiums.
- Your annual premium is due before the policy renews.
Forms
premium · premiums