Deficit Reduction Contribution

Definition of "Deficit reduction contribution"

Michael Flowers real estate agent

Written by

Michael Flowerselite badge icon

Fairfax Realty

Contribution whose purpose is to increase funding of underfunded pension plans. It is part of the calculation that is made to arrive at the plan's minimum funding requirement. Usually a pension plan requires such a contribution when the assets of the plan become less than 80 to 90% of the current liabilities of the plan.

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Insurance Terms

Common element in property insurance that excludes electrical damage or destruction of an appliance unless the damage is caused by a resultant fire. ...

Physical, moral, or financial circumstance of a life insurance applicant that sets him or her apart from a physically, morally, and financially sound standard applicant. The underwriting ...

A ceding company's premium to which the reinsurance premium factor is used to produce the reinsurance premium. ...

Contractual rights to a stipulated percentage of the increase in the value of an insurance agency over a given future period of time. They are used to convey a percentage of the increase in ...

Statistical procedure applied to the data that comprises a mortality table. It is designed to smooth out the irregularities in that data believed to not be truly indicative of the ...

Provision for coverage for buildings and personal property within the simplified commercial lines portfolio policy (sclp). The buildings and personal property coverage may be classified in ...

Obligation of the insured to report losses from a covered peril to the insurance company or its representative as soon after its occurrence as possible. ...

Modification of the charitable remainder uni-trust through which the beneficiaries receive a specified percentage of the assets' value in the trust usually paid out on a quarterly basis. If ...

Form provided for an inspection report. ...

Popular Insurance Questions