A client wants to purchase a mortgage insurance policy for a loan amount of $⁢300,000 The insurance rate offered is 0.6% annually. What is the annual premium for this mortgage insurance policy?

Convert the annual rate to a decimal: 0.6% = 0.006. Multiply the loan amount by the rate: $300,000 × 0.006 = $1,800. The annual premium is $1,800, which is choice C.

AI-written and checked against the verified answer.