return on statutory capital (ROE): Net operating income as a percentage of average statutory capital outstanding for the year. Average capital is calculated based on reported capital at the end of the current and prior fiscal years. Excludes capital gains/losses
Read more to view related video clips to this insurance terminology.
return on revenue (ROR): The ratio of pretax income to total revenue for the current year. Excludes capital gains/losses.
Read more to view related video clips to this insurance terminology.
return on assets (ROA): Net operating income as a percentage of average general account assets for the year. Average assets are calculated based on reported assets at the end of the current and prior fiscal years. Excludes capital gains/losses.
Read more to view related video clips to this insurance terminology.
residual disability benefits: A provision that provides benefits in proportion to a reduction of earnings as a result of disability, as opposed to the inability to work fulltime.
Read more to view related video clips to this insurance terminology.
reserves by line: Percentage distribution of net reserves for life and accident & health policies. The category labeled “other” includes supplementary contracts with life contingencies, accidental death, disability, and miscellaneous reserves for life policies.
Read more to view related video clips to this insurance terminology.
reserve: The amount required to be carried as a liability in the financial statement of an insurer to provide for future commitments under policies outstanding.
Read more to view related video clips to this insurance terminology.
replacement vs. actual cash value: The actual cash value of an item can be depressingly small after only a brief period of ownership. And, if your homeowner’s coverage entitles you to only the actual cash value of any damaged property, you could be out of luck when you go to replace the property with only your claim check as payment. Replacement-cost coverage permits you to claim the cost of replacing an insured item. Its most important use is on your home and, secondly, the personal property in your home.
Read more to view related video clips to this insurance terminology.
rental reimbursement: A common auto insurance add-on, this covers vehicle rentals required because your car is damaged or stolen.
Read more to view related video clips to this insurance terminology.
renewal: Continuance of coverage beyond original terms signified by acceptance of a premium payment for a new term.
Read more to view related video clips to this insurance terminology.
renewable term insurance: Term insurance providing the right to renew at the end of the term for another term or terms, without evidence of insurability. The premium rates increase at each renewal as the age of the insured increases.
Read more to view related video clips to this insurance terminology.