Computing the Premium Sample Clauses

Computing the Premium. Premiums will be computed on a calendar year basis and will be payable January 1 of each year. The premium payable January 1 of each year will be taken as the sum of: a.) The advance premium for the year just started; taken at the applicable annual rates shown above, applied to the reinsurance in force as of January 1 of the year just started, and, b.) The adjustment premium for the year just ended; taken at one-half the applicable annual rates shown above, applied to the increase or decrease in the reinsurance in force between January 1 and December 31 of the year just ended. Notwithstanding the above, due allowance shall be given for the period of time this agreement is in effect in the calendar year.