What is preliminary premium?
Advanced bonuses are payments or benefits received before the date when they are actually due. In some situations, this type of timely payments can lead to discounts or other types of benefits for a remitter. Although it is usually associated with the insurance industry, the concept of preliminary bonus can also be applied in other trade environments, especially in telecommunications.
occasionally, before the purchase, preliminary bonuses on the customer are prolonged. In this case, the bonus is extended on condition that the customer follows the purchase over a period of time. When using this mode, the concept of preliminary bonuses can provide strong motivation for further business with the seller, because of the other advantage that is received from the event. If the customer decides not to meet these conditions, the bonus is often canceled and the amount charged back to the customer's account.
Telecommunications providers sometimes offer preliminary bonuses as a means to ensure long -term business. The client is offered by the DISa coupled bonus that gives up a specific period, for example one or two months. During this time, the customer can enjoy the use of contractual services free of charge. As long as the client meets the conditions and provisions contained in the contract, he is not charged for the first months of use. In the event that the customer wishes to terminate the contract for any reason that is not included in the provision of the contract, the Provider may decide to cancel the preliminary bonus extended to the customer and use fees for these months.
Many insurance companies use this term to refer to situations where the bonus is paid before the due date. For example, if the payment for a policy is payable on the first day of August, but the customer of the ten -apartment payments on July on July, paid a preliminary bonus. Some insurance companies offer different types of rewards for premature payments, such as a slightly reduced amount, or provide insured party goods as a means of proving recognition for timely payment. If the customer would find outStil that paying pre -premiums would bring sufficient advantage to balance any inconvenience associated with making timely payments, has a chance to enjoy the rewards offered by the insurance provider. The Provider, in turn, has the ability to use premium resources earlier than later.
mutual insurance companies are often structured as pre -premium insurance companies. With this model, the insurer assesses the premiums issued to customers based on the currently known factors relevant to this sector. This is, unlike insurance companies, where the amount of premium is determined on the basis of the actual experience of the insurance. Payment of pre -premium rates is sometimes regulated by laws adopted by local and national governments, which is a step that helps add a certain degree of uniformity of the premium calculation process.