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
Combination life insurance policy consisting of ordinary life and double the amount of term life. Should the insured die within a stipulated time period, the double term amount and ordinary ...
Limiting provision. Exclusions listed in group health plans include: benefits under Workers Compensation; certain dental procedures; convalescent or rest cures; medical expenses resulting ...
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Section of an insurance company that sells through brokers. Some brokerage departments are self-contained in that they have their own underwriting and marketing staffs. Brokerage ...
Life insurance company whose agents sell ordinary life insurance and industrial life insurance. ...
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Investment strategy that advocates the transfer of amounts from one category of investment to another category according to a perception of how each of these categories of investments will ...
Provision in most property insurance policies that permits a policyholder to use the insured premises to store materials and handle them in the manner needed to pursue his or her line of ...
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