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premium

  1. 5(1) (except in62 ICOBS 62 and CASS 5) 16(in relation to a general insurance contract) the consideration payable under the contract by the policyholder to the insurer.
  2. (2) (except in62 ICOBS 62 and CASS 5) 16(in relation to a long-term insurance contract) 25the consideration payable under the contract by the policyholder to the insurer25; (except in SUP 16.8 (Persistency reports from insurers)) a premium is a regular premium if it is one of a series of payments under the contract:
    1. (a)
      1. (i) which are payable on dates that are certain or ascertainable at the time the contract is made;
      2. (ii) which are payable over a period that exceeds one year in length; and
      3. (iii) assuming the policy evidencing the contract is not surrendered or otherwise terminated before the premiums fall due, will fall due on those dates without either party to the contract exercising any option under the contract; or
    2. (b) of which the first payment is an obligation under the contract, and subsequent payments, calculated according to an agreed formula, are payable over a period which exceeds one year in length under a collateral written arrangement with the insurer or friendly society.
  3. (2A) (in62 ICOBS 62 and CASS 5) as in (1) and (2) except that 'insurance undertaking' is substituted for 'insurer' (except where 'insurer' is used in the heading to SUP 16.8).16
  4. (3) (in relation to an option) the total amount which the purchaser of the option is, or may be, required to pay in consideration for the right to exercise the option.