Legal Dictionary of Pakistan
Quick lookup for English, Urdu, and Latin legal terms used in Pakistani jurisprudence.
unearned premium
The portion of an insurance premium applicable to the coverage period that has not yet occurred. ( In the same example as above under earned premium, the unearned premium after three months is $900. 2. A sum of money paid in addition to a regular price, salary, or other amount; a bonus. 3. The amount by which a security's market value exceeds its face value. - Also termed (specif.) bond premium. Cf. DISCOUNT (3).
unearned premium reserve
An insurance company's reserve that represents premiums that have been received in advance but not yet applied to policy coverage. ( If a policy holder cancels coverage before the policy ex pires but has already paid a premium for the full policy period, the insurance company re funds the policyholder out of this reserve. 2. RESERVATION (3). 3. See net value under VALUE. - reserve, vb.