Reserve for investment losses and asset value fluctuation mandated by the state insurance commissioners for companies registered as life and health insurers. As of December 31, 1992, this was replaced by the Asset Valuation Reserve (see Asset Valuation Reserve).
The average dollar amount the insurer spends on a per member per month basis. Calculated as total medical expenses divided by the reported member months.
The percentage of total premium income paid out as benefits to members.
Possible future events that would result in loss levels comparable to those experienced in recent history. (Compare with Severe Loss Scenario).
The percentage of the company’s investment portfolio from the annual report dedicated to mortgages current in their payments. Mortgage backed securities are excluded.
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