https://www.insurerbrain.com/w/index.php?action=history&feed=atom&title=Definition%3AWritten_premium 2026-06-14T03:22:38Z Revision history for this page on the wiki MediaWiki 1.43.8 https://www.insurerbrain.com/w/index.php?title=Definition:Written_premium&diff=7187&oldid=prev 2026-03-10T05:17:38Z

<p>Bot: Creating new article from JSON</p> <p><b>New page</b></p><div>📝 &#039;&#039;&#039;Written premium&#039;&#039;&#039; is the total amount of [[Definition:Premium | premium]] an [[Definition:Insurance carrier | insurer]] records on all [[Definition:Insurance policy | policies]] issued or renewed during a given period, regardless of whether the premium has been collected or the coverage period has begun to run. It stands as one of the most fundamental top-line metrics in the insurance industry — akin to revenue in other sectors — and appears prominently in [[Definition:Financial statement | financial statements]], [[Definition:Regulatory filing | regulatory filings]], and [[Definition:Rating agency | rating agency]] assessments.<br /> <br /> 📊 The figure captures premium at the moment a policy is [[Definition:Binding | bound]] or renewed, recording the full policy-period amount on the books even if the insurer bills in installments. It differs from [[Definition:Earned premium | earned premium]], which recognizes revenue proportionally over the coverage period, and from [[Definition:Collected premium | collected premium]], which reflects actual cash received. For example, if an insurer writes a twelve-month [[Definition:Commercial property insurance | commercial property]] policy on July 1 with a $120,000 premium, the entire $120,000 counts as written premium in that reporting period, while only $60,000 would be earned by December 31. Adjustments for mid-term [[Definition:Endorsement | endorsements]], [[Definition:Cancellation | cancellations]], and [[Definition:Audit premium | audit premiums]] flow through as changes to the written figure, meaning it is not purely a static snapshot but a living metric that shifts throughout the year.<br /> <br /> 💡 Tracking written premium is essential for gauging growth trajectory, [[Definition:Market share | market share]], and strategic positioning. [[Definition:Underwriter | Underwriters]] and executive teams monitor written premium by line of business, geography, and distribution channel to identify emerging trends and allocate [[Definition:Capital | capital]] efficiently. [[Definition:Reinsurer | Reinsurers]] use cedents&#039; written premium volumes to structure [[Definition:Treaty reinsurance | treaty reinsurance]] programs and set [[Definition:Ceding commission | ceding commissions]]. Regulators scrutinize the ratio of [[Definition:Net written premium | net written premium]] to [[Definition:Policyholder surplus | policyholder surplus]] as a leverage indicator — if a carrier writes too much premium relative to its surplus, it may signal inadequate capitalization. For [[Definition:Managing general agent (MGA) | MGAs]] and [[Definition:Program administrator | program administrators]], reported written premium is often the benchmark against which [[Definition:Binding authority agreement | binding authority]] capacity limits and performance targets are measured.<br /> <br /> &#039;&#039;&#039;Related concepts&#039;&#039;&#039;<br /> {{Div col|colwidth=20em}}<br /> * [[Definition:Earned premium]]<br /> * [[Definition:Gross written premium (GWP)]]<br /> * [[Definition:Net written premium]]<br /> * [[Definition:Policyholder surplus]]<br /> * [[Definition:Premium-to-surplus ratio]]<br /> * [[Definition:Unearned premium reserve (UPR)]]<br /> {{Div col end}}</div>

PlumBot