What are the basic charges set by an insurance company for various types of insurance called?

The basic charges set by an insurance company for various types of insurance are known as rates. These rates are essential in determining how much a policyholder will pay for coverage and are calculated based on numerous factors, including the type of insurance, the risk associated with the insured party, and the overall market conditions.

Rates serve as the foundation for premiums, which represent the total amount the policyholder actually pays for their insurance coverage, often distributed over a specific payment schedule. Understanding rates is crucial for both insurers and consumers, as they directly influence policy pricing and the overall profitability of insurance products.

While premiums refer to the specific amount paid for coverage over a period, rates are the underlying figures that help to establish those premiums. Other terms like fees and assessments are less about the general pricing of insurance policies and tend to refer to additional costs or specific charges that may occur during the insurance process. Thus, rates are the appropriate term to describe the basic charges for various types of insurance.