The setting aside of sufficient sums of money to meet future liabilities.

Value in the future of a payment or payments made in the present.

Principles in financial accounting that serve to assure consistency in financial reporting. GAAP is a type of self-regulation in that members of the financial accounting

An award based on a measure of intangible damages inferred from the Special Damages and other facts and circumstances (e.g., pain and suffering).

A partnership in which each general partner may act on behalf of the partnership and is personally liable for the partnership’s obligations.

Principles in financial accounting that serve to assure consistency in financial reporting. GAAP is a type of self-regulation in that members of the financial accounting

As related to the Business Judgment Rule, a decision must be made with an honest belief that the decision is in the best interest of

1) In accounting, the difference between the market price paid for an asset an organization and its book value; 2) in common usage, customer relationship

Non-commercial accounting system that features accounts for budgets, encumbrances and restricted use assets. Also called “fund accounting.”

A prescribed period, usually 30 to 31 days after the premium due date, during which an insurance contract stays in force and the overdue premium

Death benefits that, in the early years of the contract for an otherwise uninsurable individual, are less than the face amount of the policy, but

A modified life insurance policy for which the initial premium is low, and then increases in steps over a period of time (usually five years),

The premium for participating life insurance. If an insured elects to use his dividends to pay premiums, the gross premium becomes the net premium when

Gross profit Sales revenue less cost of goods sold.

Gross profit divided by sales.

The annual premium showing on the policies, collected on a gross basis. For a captive, GWP is the annual pay-in of premium by the organization(s).

Owned by multiple, unrelated organizations who are the policyholders; owners may be either homogeneous or heterogeneous.

A single multi-specialty medical group contracted with an HMO to provide care to the HMO’s insureds.

Any of a wide array of arrangements in which two or more small employers purchase health insurance collectively, often through a common intermediary who acts

Insurer guarantees to convert into a different type of policy at the request of the policy owner.

An insurance plan for which a fixed premium for the policy term, subject to audit, is paid by the insured regardless of the number and

Sometimes called Guaranteed Purchase Option, an option that allows an insured or owner to buy additional coverage at certain times even though he or she

Guarantees the premium rates will not change during the entire term of the policy.

Guarantees an insurance policy will continue in force, provided the policy premiums are paid on time.

The annual premium showing on the policies, collected on a gross basis. For a captive, GWP is the annual pay-in of premium by the organization(s).