Financial Advisor Technology

  1. File-And-Use Rating Laws

    File-and-use rating laws are insurance regulations allowing an insurance company to use new rates prior to receiving state ...
  2. Net Leverage (Insurance)

    Net leverage is the sum of an insurance company’s net premiums written ratio and its net liability ratio.
  3. American Insurance Association (AIA)

    The American Insurance Association (AIA) is a property-casualty trade organization, representing primarily property and casualty ...
  4. Accidental Means

    Accidental means is a condition for losses covered under an insurance policy that requires the loss to have been the result ...
  5. Yearly Renewable Term Plan of Reinsurance

    A yearly renewable term plan of reinsurance is a type of life reinsurance where mortality risks are transferred to a reinsurer.
  6. Western Account

    Western account is an offering agreement in which each underwriter in a consortium is responsible only for selling its allotted ...
  7. Associate in Risk Management (ARM)

    An associate in risk management designation is a nationally recognized educational program for dedicated risk management ...
  8. Comprehensive Personal Liability

    Comprehensive personal liability coverage pays for covered losses for third-party damages for which the policyholder is found ...
  9. Ground-Up Loss

    Ground-up loss is the total amount of loss covered by an insurance policy.
  10. Spinning

    Spinning is the act of a brokerage firm or underwriter offering shares in an IPO to preferred customers, as a means of retaining ...
  11. Gross Leverage Ratio

    Gross leverage ratio is the sum of an insurance company’s net premiums written ratio, net liability ratio and ceded reinsurance ...
  12. Quick Liquidity Ratio

    Quick liquidity ratio is the total amount of a company’s quick assets divided by the sum of its net liabilities plus and ...
  13. Windstorm Insurance

    Windstorm insurance is a special type of property-casualty insurance that protects policyholders from property damage caused ...
  14. Laddering

    Laddering is the promotion of inflated pre-IPO prices for the sake of obtaining a greater allotment of the offering.
  15. Insurance Proceeds

    Insurance proceeds are benefit proceeds paid out by any type of insurance policy as a result of a claim.
  16. Statutory Liability

    Statutory liability is a legal term for someone being held responsible for a certain action or omission due to a related ...
  17. Group Universal Life Policy (GULP)

    A group universal life policy is universal life insurance offered to a group that is less expensive than what is typically ...
  18. Concurrent Insurance

    Concurrent insurance is when two or more insurance policies provide coverage for the same risks over the same period of time. ...
  19. Insurance Loss Control

    Insurance loss control encompasses risk management practices designed to reduce the likelihood of a claim being made against ...
  20. Actuarial Assumption

    An actuarial assumption is an estimate of an uncertain variable input into a financial model for the purposes of calculating ...
  21. Offering

    An offering is the issue or sale of a security by a company. It is often used in reference to an initial public offering ...
  22. Associate In Research And Planning (ARP)

    Associate in research and planning (ARP) is a professional certification for completing an educational course on insurance ...
  23. Lost Policy Release (LPR)

    A lost policy release is a statement releasing an insurance company from its liabilities.
  24. Coinsurance Formula

    A coinsurance formula is the homeowners insurance formula that determines the amount of reimbursement that a homeowner will ...
  25. Losses Incurred

    Losses incurred refers to benefits paid to policyholders during the current year, plus changes to loss reserves from the ...
  26. Member Month

    The member month refers to the number of individuals participating in an insurance plan each month.
  27. Financing Entity

    A financing entity is the party in a financing arrangement that provides money, property or another asset to an intermediate ...
  28. Accounts Receivable Insurance

    Accounts receivable insurance protects a company against financial losses caused by damage to its accounts receivable records.
  29. Microinsurance

    Microinsurance products offer coverage to low-income households.
  30. As Their Interests May Appear (ATIMA)

    As their interests may appear is text in an insurance policy that allows other parties to be added to the coverage.
  31. Commercial Property Insurance

    Commercial property insurance is used to cover any type of commercial property against such perils as fire, theft and natural ...
  32. Debris Removal Insurance

    Debris removal insurance is a section of a property insurance policy that provides reimbursement for clean-up costs associated ...
  33. Capital At Risk (CaR)

    Capital at risk is the amount of capital that is set aside to cover risks.
  34. Loss Portfolio Transfer

    A loss portfolio transfer is a reinsurance treaty in which an insurer cedes policies that have already incurred losses to ...
  35. Underwriting Standards

    Underwriting standards are guidelines established to ensure that safe and secure loans are issued and maintained.
  36. Directors And Officers Liability Insurance

    Directors and officers liability insurance covers you if you're sued as a result of serving as a director or officer of a ...
  37. Prepaid Insurance

    Prepaid insurance payments are made in advance for insurance services or coverage.
  38. Losses and Loss-Adjustment Expense

    Losses and loss-adjustment expense is the portion of an insurance company’s reserves set aside for unpaid losses, investigation ...
  39. Brokerage General Agent

    A brokerage general agent is an independent firm or contractor working for an insurance company that sells insurance products ...
  40. Contractual Liability Insurance

    Contractual liability insurance protects against liabilities that policyholders assume when entering into a contract.
  41. Professional Liability Insurance

    Professional liability insurance protects professionals, such as lawyers and physicians against negligence and other claims ...
  42. Premium to Surplus Ratio

    Premium to surplus ratio is net premiums written divided by policyholders’ surplus. This ratio measures the underwriting ...
  43. Key Person Insurance

    Key person insurance is a life insurance policy that a company purchases on a key executive's life.
  44. Benefits Abound for Active Traders Who Incorporate

    Trading through a separate business structure allows active traders access to all of the tax mitigation and asset protection ...
  45. Implied Authority

    Implied authority refers to an agent with the jurisdiction to perform acts which are reasonably necessary to accomplish the ...
  46. Advisors: Top Ways to Find Your First Clients

    Getting your first clients as a financial advisor can be a challenge and takes time. Here are three ways to get started.
  47. Commutation

    Commutation refers to the rights of beneficiaries to exchange one type of income for another.
  48. Named Perils Insurance Policy

    A named perils insurance policy is a home insurance policy that only covers losses incurred to your property from hazards ...
  49. Start Your Own Financial Planning Firm

    Read on to learn how to make your owning a financial planning firm dream a reality.
  50. Ceding Company

    A ceding company is an insurance company that passes a part or all of its risks from its insurance policy portfolio to a ...
Hot Definitions
  1. Capital Asset Pricing Model - CAPM

    Capital Asset Pricing Model (CAPM) is a model that describes the relationship between risk and expected return and that is ...
  2. Return On Equity - ROE

    The profitability returned in direct relation to shareholders' investments is called the return on equity.
  3. Working Capital

    Working capital, also known as net working capital is a measure of a company's liquidity and operational efficiency.
  4. Bond

    A bond is a fixed income investment in which an investor loans money to an entity (corporate or governmental) that borrows ...
  5. Compound Annual Growth Rate - CAGR

    The Compound Annual Growth Rate (CAGR) is the mean annual growth rate of an investment over a specified period of time longer ...
  6. Net Present Value - NPV

    Net Present Value (NPV) is the difference between the present value of cash inflows and the present value of cash outflows ...
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