Written premium less deductions for commissions and ceded reinsurance.
Tag: RAW
Net Written Premiums
The premiums received or due to an insurer less the cost of reinsurance but without allowance being made for the cost of any unexpired risk.
Net Yield
The yield on an investment after deduction of tax payable on the interest or dividend, or of the expenses of management in the case of property.
Network model HMO (Health Insurance)
An HMO model that contracts with multiple physician groups. The physician groups are free to provide care for other individuals not covered by the HMO.
New Business
New insurances as opposed to renewal of existing insurances.
New business strain
Occurs when the early years’ premiums under a contract, less the initial expenses and any early claims, are not sufficient to cover the reserve, plus any explicit required solvency margin, that the company wishes to set up. An expanding life insurer may find that the unexpired premium reserve is increasing faster than it is being released making it difficult to achieve the required margin of solvency. Zillmerization allows for this situation. Reinsurance on a risk premium basis is another possible solution.
New Central Fund
The fund held, managed and applied by the Society pursuant to the New Central Fund Byelaw (No. 23 of 1996).
New entrant contribution rate
The amount estimated as being sufficient to provide pension benefits for future entrants, including any contribution required from the members.
New for Old
A basis for property insurance on e.g., household contents when the insurer agrees to pay the replacement cost of property lost or destroyed, without a deduction for depreciation. (02) Sec.69 of MIA 1963 allows insurers to deduct a reasonable amount from any claim for cost of repairs (usually terms thirds) to allow for betterment enjoyed by the assured. However, NEW FOR OLD clause states “Claims payable without deduction new for old.” Thus, Hull insurers waive their right to such deductions from claims. However, Average adjusters are not permitted to waive the deductions where a ship is older than 15 years of age.
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Purchasing new parts to replace old or damaged parts instead of repairing the old ones.
New for old policies
Cover for household contents where an item lost or destroyed would be replaced with a new item, with no deduction for wear and tear. It is ‘replacement as new’ but if the ‘new’ is superior to the ‘old’ the insured pays for ‘betterment’. Business insurance equivalent is the replacement clause. Sums insured must represent full replacement costs.