Definition of Earned Premium
In insurance, that portion of the premium properly allocable to policy period which has expired. An “earned premium” is difference between premium paid by insured and portion returnable to him by insurance company on cancellation of policy during its term. Price v. Guaranty Nat. Ins. Co., Okl., 456 P.2d 108, 111.
That's the definition of Earned Premium in Black's Law Dictionary 6th Edition. Courtesy of Cekhukum.com.