Related Words

Premium Taxes: State income taxes levied on an insurer's premium income.

Premium On Stock: The excess of the issuance (market) price of stock over its par or stated value.

Premium Only Plan (POP): Considered to be the most basic type of Section 125 plan, a POP is a benefit plan that is designed to allow employees to elect to make premium contributions on either a pre-tax or post-tax basis.

Premium Raid: An attempt to acquire a large portion of a company's stock to gain control by offering stockholders a premium over the market value for their shares.

Premium Income: The income received by an investor who sells an option.

Premium Pay: Additional compensation paid for work performed outside of regularly scheduled work hours.

Premium Bond: A bond that is selling for more than its par value.

Payments In Lieu Of Taxes (PILT): A program administered by the Bureau of Land Management of the Department of the Interior to compensate counties for the tax-exempt status of federal lands: the fixed payments per entitlemen . . . View Full Definition

Option Premium: When you buy an option, you pay the seller a nonrefundable amount, known as the option premium, for the right to exercise that option before it expires. If you sell an option, you receive a . . . View Full Definition

Percentage Premium: Applies mainly to convertible securities. Premium over parity of a convertible bond divided by parity.