What is the term for the premium charged to insure full coverage at the inception of a closed-end transaction?

The term for the premium charged to insure full coverage at the inception of a closed-end transaction is referred to as a single premium. This premium is paid upfront in a lump sum at the beginning of the insurance coverage period, ensuring that the entire amount of insurance is in effect from the start. This is particularly common in certain types of insurance agreements, such as credit insurance associated with loans, where the insurer requires the full premium to be paid at the time the loan is originated.

In contrast, other premium options such as monthly, annual, or quarterly premiums involve splitting the total cost into smaller, recurring payments over a specified period instead of paying it all at once. This might make it more manageable for some policyholders but does not match the definition of a single premium where coverage begins immediately upon payment.