when a policy is cancelled before its expiry date, what is owed to the insured is

  • A earned premium
  • B unearned premium
  • C return premium
  • D unpaid premium
waec 2016insurance

The correct answer is C. return premium

return premium. An amount, equal to a fraction of the premium, which is given back to the insured in the case of a cancellation, an adjustment to the rate, or an overpayment of an advance premium.

Previous question Next question