premium amount
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Premium — 1. The total cost of an option. 2. The difference between the higher price paid for a fixed income security and the security s face amount at issue. 3. The specified amount of payment required periodically by an insurer to provide coverage under… … Investment dictionary
Premium Income — 1. In investing, income that is earned through the sale of an option. The writer of an option earns premium income; the buyer of the option pays the writer a premium in order to have the right (but not the obligation) to exercise the option at a… … Investment dictionary
premium — pre·mi·um / prē mē əm/ n 1: the difference between the face value or par value of a security and its market price when the latter is greater compare discount 2: the price paid for an insurance contract equal to the cost per unit times the number… … Law dictionary
premium — [prē′mē əm] n. pl. premiums [L praemium, reward, recompense < prae , before + emere, to take: see PRE & REDEEM] 1. a reward or prize, esp. one offered free or at a special low price as an added inducement to buy or do something; bonus 2. an… … English World dictionary
premium — premium, prize, award, reward, meed, guerdon, bounty, bonus are comparable when they mean something which is bestowed upon a person as a recompense for cooperation, greater effort, superior merit, or supremacy in competition. Premium is applied… … New Dictionary of Synonyms
premium — ► NOUN (pl. premiums) 1) an amount paid for a contract of insurance. 2) a sum added to an ordinary price or other payment. 3) (before another noun ) (of a commodity) superior and more expensive. ● at a premium Cf. ↑at a premium … English terms dictionary
premium bond — premium .bond n a document that you buy from the government in Britain, which gives you the chance to win a large amount of money each month … Dictionary of contemporary English
amount over par — index premium (excess value) Burton s Legal Thesaurus. William C. Burton. 2006 … Law dictionary
amount paid periodically — index premium (insurance payment) Burton s Legal Thesaurus. William C. Burton. 2006 … Law dictionary
premium — consideration paid for an insurance policy. Glossary of Business Terms (1) The additional payment allowed by exchange regulation for delivery of higher than required standards or grades of a commodity against a futures contract. (2) In speaking… … Financial and business terms
Premium — (1) Amount paid for a bond above the par value. (2) The price of an option contract; also, in futures trading, the amount the futures price exceeds the price of the spot commodity. Related: inverted market premium payback period. Also called… … Financial and business terms
