Daily interest of the first month = principal x daily interest rate.
Daily interest of the second month (monthly compound interest) = (principal+daily interest of the first month) x daily interest rate.
etc ......
But the daily interest rate is not the annual interest rate /360 or 365! ! ! But:
Daily interest rate =( 1+ annual interest rate) (1/365)- 1
The calculation of this daily interest rate is the core of the whole. If you simply divide it by 365 days, you will feel that the insurance company gives a lot less every year! ! !
It can also be seen that this daily compound interest will not receive great benefits in the current period.
Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.