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Insurance
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Pension or Annuity Plan
See AlsoWhat Is Property Insurance And How Does It Work?Is It Mandatory to Take Insurance with a Home LoanProperty Insurance: Definition and How Coverage WorksTypes Of Property Insurance For Your HomeIn a pension or annuity plan, regular payments are paid to the retiree at the end of his or her services.
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Premium Paying Term
Premium paying term is the total number of years for the policy holder to pay the premium.
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Definition: Premium is an amount paid periodically to the insurer by the insured for covering his risk.
Description: In an insurance contract, the risk is transferred from the insured to the insurer. For taking this risk, the insurer charges an amount called the premium. The premium is a function of a number of variables like age, type of employment, medical conditions, etc. The actuaries are entrusted with the responsibility of ascertaining the correct premium of an insured. The premium paying frequency can be different. It can be paid in monthly, quarterly, semiannually, annually or in a single premium.
Also See: Life Assured, Non-Standard Life, Premium Paying Term, Adverse Selection, Subrogation, Paid-Up Policy, Mitigation
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- INSURANCEPREMIUMPREMIUM PAYING TERMMITIGATION
- PAID-UP POLICYNON-STANDARD LIFEADVERSE SELECTIONSUBROGATION
- LIFE ASSURED
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Pension or Annuity Plan
In a pension or annuity plan, regular payments are paid to the retiree at the end of his or her services.
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- NEXT DEFINITION
Premium Paying Term
Premium paying term is the total number of years for the policy holder to pay the premium.
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Related Definitions
- 3rd Party Insurance: Motor third-party insurance or third-party liability cover, which is sometimes also referred to as the 'act only' cover, is a statutory requirement under the Motor Vehicles Act.It is referred to as a 'third-party' cover since the beneficiary of the policy is someone other than the two parties involved in the contract (the car owner and the insurance company). The policy does not provide any Absolute AssignmentAn absolute assignment is the act of complete transfer of the ownership (all rights, benefits and liabilities) of the policy completely to other party without any terms and condition.Description: Absolute assignment shifts the ownership of the insurance policy.For instance, a policy owner X wants to gift his life insurance policy to another person named Y. Hence X is doing absolute assignment.Accidental Death Benefit And DismembermentAccidental death benefit and dismemberment is an additional benefit paid to the policyholder in the event of his death due to an accident. Dismemberment benefit is paid if the insured dies or loses his limbs or sight in the accident.Description: In an event of death, the insured person gets the additional amount mentioned under these benefits in the insurance policy. These are the supplementary Actual Cash ValueA valuation of the damaged property, i.e. its monetary worth at market value immediately preceding the occurrence of the loss, is called actual cash value of the property. It gives the estimate of the cost of replacement or repair of the damaged asset.Description: To ascertain the exact extent of loss, the insurance company undertakes an evaluation of the property before and after the loss occur
- Actuarial ScienceActuarial Science is a discipline that deals with assessing the risks in insurance and finance field using various mathematical and statistical method.Description: The professionals who carry out these tasks of ascertaining, analyzing and providing solutions of future uncertainties having financial risks are the actuaries. Mathematics of probability and statistics are the major tools they use toActuariesA person with expertise in the fields of economics, statistics and mathematics, who helps in risk assessment and estimation of premiums etc for an insurance business, is called an actuary.Description: Insurance business requires advanced statistical and analytical skills for evaluation of risks and returns associated with each proposal. Insurance companies employ these experts from the field of Adverse SelectionAdverse selection is a phenomenon wherein the insurer is confronted with the probability of loss due to risk not factored in at the time of sale. This occurs in the event of an asymmetrical flow of information between the insurer and the insured.Description: Adverse selection occurs when the insured deliberately hides certain pertinent information from the insurer. The information may be of critAgentAn agent is a person who represents an insurance firm and sells insurance policies on its behalf.Description: Generally, there are two types of such agents who reach the prospective parties that may be interested in buying insurance. These are independent agents and captive or exclusive agents.Independent agents may represent many insurance firms and receive commission for their services a
- Annualized PremiumThe total amount of premium paid annually is called the annualized premium.Description: Any insurance policy comes up with many premium payment options. Premium can be paid monthly, quarterly, semi annually and annually.For instance, if the monthly premium is Rs 2000, then the annualised premium will be 2000*12 = Rs 24000Also See: Insurance, Concealment, BancassuranceAnnualized Premium EquivalentAnnualized premium equivalent (APE) is a common measure of ascertaining the business sales in the life insurance industry. It is the sum of the regular annualized premium from the new business plus 10% of the first single premium in a given period.Description: APE is computed as:APE = Annualized regular premium + 10 % of single premium (Including top-up premium). Where annualized regular pre
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Our business from policies above Rs 5 lakh is down by 10%: Kamlesh Rao, Aditya Birla Sun Life Insurance"The business from policies with premiums higher than Rs 5 lakh is down by an absolute 10%. The number of policies has grown by 20% and we have lost the contribution from plans above Rs 5 lakh by 10%. So, our business for the first nine months was 10%," said Kamlesh Rao, MD & CEO, Aditya Birla Sun Life Insurance.- Signature global reports Rs 7,270 crore pre-sales in FY24Company reported Rs 4,140 crore pre-sales in Q4 FY 24, with year on year growth rates of 240% for the fourth quarter and 112% for the full year. Company has significantly exceeded its guidance of Rs 4,500 crore in FY24, due to successful launch of its first ever premium housing project.
- Board of JSW Energy Limited allots 10,30,92,783 equity shares under QIP issuePursuant to the allotment of Equity Shares in the Issue, the paid-up equity share capital of the Company stands increased from Rs 16,44,67,56,680, comprising of 164,46,75,668 Equity Shares to Rs 17,47,76,84,510 comprising of 1,74,77,68,451 Equity Shares. The shareholding pattern of the Company, before and after the Issue, will be submitted along with the listing application in the format specified in Regulation 31 of the SEBI Listing Regulations.
- In FY24, New India Assurance achieved about $5 billion global premium: CMDNeerja Kapur of New India Assurance has reported a global written premium target of Rs 42,000 crore for the financial year, with unaudited figures at Rs 41,860 crore. Health and motor segments lead in performance, contributing to the positive growth. The company emphasized on these segments for overall premium success.
- In FY24, New India Assurance achieved about $5 billion global premium: CMDNeerja Kapur of New India Assurance has reported a global written premium target of Rs 42,000 crore for the financial year, with unaudited figures at Rs 41,860 crore. Health and motor segments lead in performance, contributing to the positive growth. The company emphasized on these segments for overall premium success.
- How technology is easing the life of insurance customersAs insurance industry overcomes trust issues with data-backed claims payment, technology aids awareness, accessibility, and faster claims settlement using AI, machine learning, and drones. Initiatives like Cashless Everywhere provide personalized insurance solutions, reshaping the sector.
- How technology is easing the life of insurance customersAs insurance industry overcomes trust issues with data-backed claims payment, technology aids awareness, accessibility, and faster claims settlement using AI, machine learning, and drones. Initiatives like Cashless Everywhere provide personalized insurance solutions, reshaping the sector.
- Market has calmed, bulls are back in action: Feroze AzeezAzeez highlights market calming efforts, regulator focus on mutual fund regulations, positive impact on premiums, and the return of a bullish market trend. Next Thursday’s synthetic futures is quoting at Rs 80 premium, while the intrinsic value is only Rs 40. This implies the market's nerves have calmed and the bulls are back in action.
- Auto players line up array of new EV models in coming years on govt push to green mobilityMass market players like Maruti Suzuki, Hyundai, Mahindra & Mahindra and Tata Motors are lining up new models to cater to the demand across segments.
- Enfuse Solutions debuts with 20% premium over issue priceEnfuse Solutions had a successful debut on NSE SME platform with a 19.8% premium. IPO received overwhelming response. Business areas include data management, analytics, machine learning, and AI. Hem Securities led the IPO.
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