Financial Accounting Standards Board (fasb) 87
Definition of "Financial accounting standards board (fasb) 87"
New pension-accounting rule created by the Financial Accounting Standards Board. The objective of this rule is to clarify pension accounting so that investors, employers, and employees will know what the assets and liabilities of a particular pension plan are. The rule requires that a company disclose all relevant figures concerning its pension plan on the face of the company's income statement. Previously, the company could bury these figures in the footnotes of the income statement. Also, under the new disclosure requirement, the expected liabilities of the pension plan must be recalculated annually, assuming market interest rates. Thus, a company's pension liabilities each year will rise or fall according to the market interest rate, thereby affecting the company's income statement and balance sheet.
Popular Insurance Terms
New rule entitled "Accounting and Reporting for Reinsurance of Short-duration and Long-duration Contracts," which requires the insurance company to report all assets and liabilities ...
Contract providing a monthly income benefit to members of a group of employees. A group annuity has the same characteristics as an individual annuity, except that it is underwritten on a ...
Hospital insurance program that provides medical professional liability insurance coverage to non employed hospital physicians. The objective of this means of insurance coverage is to ...
Coverage for the office of a business, or an individual in a general office building or other structure. Includes burglary of a safe; damage caused by robbery and burglary, actual or ...
Means of providing insurance protection for the property of a business that is not at a fixed location. ...
Written evidence given to a policyowner by an insurance company or insurance agency that it has received a premium. ...
Insured's income prior to the disability minus the insured's income after the disability. ...
Non qualified deferred compensation plan for highly compensated employees or select group of personnel. The reporting and disclosure requirements of the employee retirement INCOME SECURITY ...
Projections of future accidental losses based on analyses of historical loss patterns. A projected loss picture is used to determine the pure cost of protection and the resultant basic ...
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