Security Valuation
Definition of "Security valuation"
Rules used by state regulators to value securities on the books of insurance companies. Bonds with acceptable credit quality are carried at amortized value, which is the face value plus or minus the amount of any purchase discount or premium, as amortized over the life of the bond. Preferred stock is valued at cost and common stock investments at year-end market price. Valuations for impaired securities such as bonds in default are determined by the Committee on Valuation of Securities of the national association of insurance commissioners (NAIC).
Popular Insurance Terms
Smallest number of individuals for which an insurance company will issue a policy. A minimum number is required because the fixed expenses of placing a policy on the books exist regardless ...
disposition of a claim or policy benefit. Policies may specify time limits for payment of claims or benefits and designate various methods of settlement at the option of the insurer or the ...
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Trade association whose membership is comprised of section 403(b) plan providers and practitioners. This association has an educational institute that grants the Certified Specialist in ...
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Forgery insurance covering securities issues such as stocks and bonds. They protect the issuer of securities against forgery of the securities. ...
A valuation of risk of an individual or organization. ...
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Separate trust established by a charitable entity whose purpose is to receive contributions from numerous donors. All the donors' contributions are commingled. Each donor can retain a ...
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