Total admitted assets divided by total liabilities less conditional reserves. This ratio indicates a company’s ability to cover net liabilities with total assets. This ratio doesn’t address the quality and marketability of premium balances, affiliated investments and other un-invested assets.
Insurance Encyclopedia
Overall premium limit
Maximum amount of business a Lloyd’s member may write based on the member’s Funds at Lloyd’s (FAL). The limit is allocated to syndicates in proportions agreed between the member and the member’s agent.
Overall premium limit (OPL)
the maximum amount of premium a member may accept for an underwriting year under the rules of Lloyd’s.
Overall premium limit (or overall premium income limit) (OPL)
In relation to a member, the limit for the time being prescribed on the amount of insurance business which is to be underwritten on his behalf from time to time, such limit being expressed as the maximum permissible amount of his premium income allocable to any year of account.
Overall profit before tax
This is an organisations final result after all premium income, investment and other income, claims incurred and operating and other expenses are accounted for, but before any tax has been paid.
Overcarriage
Marine insurance term in reference to a situation where certain goods are not discharged at the destination port but are ‘overcarried’ and dis charged on the homeward voyage. This amounts to deviation and the risk ceases when the vessel sails on from the port of destination still carrying the goods.
Overclosing
The acceptance by an underwriter of a larger amount than originally agreed with the broker.
Overdone slips
A slip that is oversubscribed. The acceptances obtained by the broker exceed the amount of business available. It may be done intentionally by a broker seeking access to a wider market in the future. When it occurs the line written by each underwriter is reduced proportionately (short-closing).
Overdue Market
A market for the reinsurance of a marine insurance where a ship is overdue or has suffered a serious casualty which may result in a total loss, and thus a means for original underwriters of quantifying, and possibly cutting, their loss.
Overdue risk
An overdue ship. When a ship is overdue, the underwriter on risk may seek a reinsurance with other marine syndicates at a cost. Both the insurer and the reinsurer have access to the latest shipping intelligence provided by Lloyd’s.