Enter the total premiums paid ($) and the total dividends received ($) into the Calculator. The calculator will evaluate the Net Cost Of Insurance.

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## Net Cost Of Insurance Formula

NCOI = TP - DR

Variables:

- NCOI is the Net Cost Of Insurance ($)
- TP is the total premiums paid ($)
- DR is the total dividends received ($)

To calculate the Net Cost Of Insurance, subtract the total dividends received from the total premiums paid.

## How to Calculate Net Cost Of Insurance?

The following steps outline how to calculate the Net Cost Of Insurance.

- First, determine the total premiums paid ($).
- Next, determine the total dividends received ($).
- Next, gather the formula from above = NCOI = TP – DR.
- Finally, calculate the Net Cost Of Insurance.
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem : **

Use the following variables as an example problem to test your knowledge.

total premiums paid ($) = 50000

total dividends received ($) = 10000