Did you know that SIA policies are 100% premium earned? If you've seen this language on our website and/or our insurance applications and wondered what it actually means, we're here to explain.
A 100% premium earned policy means that the full premium is considered earned by the insurance carrier (reminder, SIA is not the carrier; we're the agency. Check out this blog for more info). In other words, the premium is non-refundable, even if coverage is canceled early.
This is a pretty common practice in commercial insurance, like the kind you have through SIA. From the carrier's perspective, the risk starts immediately. A million-dollar claim could happen on day one, so the full premium reflects the upfront exposure.
Insurance language can feel confusing, which is why we believe in being upfront about how things work. If you have any questions regarding your policy, just reach out to our office via phone at 715-246-8908 or via email at info@specialtyinsuranceagency.com.
