In short
A premium is the regular payment, usually monthly, that you make to an insurer to keep a protection policy in force.
The premium is the price of your cover. For most protection policies it is paid monthly by direct debit, although some insurers allow annual payment. If premiums stop, the cover usually lapses and the policy ends with no payout.
What you pay depends on factors such as your age, health, whether you smoke, the amount of cover, the length of the policy, and the type of cover chosen. Two people of the same age can be quoted very different premiums based on their health and lifestyle.
Premiums can be guaranteed, meaning the price is fixed at the outset, or reviewable, meaning the insurer can change the price at set review points. It is worth being clear which type you have before you buy, because a low starting premium on a reviewable basis can rise later.
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