Premium Settlements Clause Samples
The Premium Settlements clause outlines the procedures and timing for the payment of insurance premiums between the parties involved. Typically, it specifies when premiums are due, the method of payment, and any consequences for late or missed payments, such as interest charges or policy suspension. This clause ensures that both the insurer and the insured have a clear understanding of their financial obligations, thereby reducing the risk of disputes and maintaining continuous coverage.
Premium Settlements. Only the initial premium on applications/order tickets/request forms procured by or through you may be collected by you. All premium settlements shall be by check or by electronic funds transfer received subject to collection and payable to the Company. No agent or agency checks will be accepted. All such monies received by you are received as a fiduciary trust, and you shall immediately forward any such premium settlement, entire or partial, to the Company. You do not have the authority to open or maintain any bank account in or using the Company’s name or to negotiate or deposit any funds collected on the Company’s behalf.