Standard risk class

Insurance category composed of individuals whose loss is considered normal or average. This class pays basic or standard premium rates. Other classifications are given credits or debits depending on their difference from the standard.

Standard valuation law

Legislation that is uniform in all states and stipulates the minimum standards for calculating or valuing insurance reserves that a life insurance company must maintain for its life insurance policies and annuity contracts. It was first developed by the National Association of Insurance Commissioners.

Standardization

Act of making charges or costs more comparable among medical providers, plans, and geographical areas. This is accomplished by adjusting specific services or bundles of services to remove differences that result from geographical variation in prices and beneficiary health risk.