Amount by which a qualified pension plan fails to meet the minimum funding legal standards. A plan with an accumulated funding deficiency is subject to a penalty tax and enforcement provisions. Also called funding deficiency.

Amount of money invested plus the interest earned.

Option under which a life insurance policy dividends are retained on deposit with the insurer to accrue interest. Also called accumulation option.

1. Time during which premiums are payable on a deferred annuity contract. 2. Precise time period during which the insured must incur eligible medical expenses that satisfy a required deductible. This applies to major medical or comprehensive medical plans. ************

A specified period of time, such as 90 days, during which the insured person must incur eligible medical expenses at least equal to the deductible amount in order to establish a benefit period under a major medical expense or comprehensive medical expense policy.

Ownership shares in a variable annuity’s separate account fund. An individual pays premiums for a variable annuity and these premiums are credited to the purchaser’s account (accumulation units). After the accumulation period ends, these units are used to buy annuity units. See also annuity units.

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UK: Units issued by a unit trust derived from the net income when it is automatically used to buy more units in the same fund. The unitholder benefits from not having to pay an initial charge on his reinvested income.

Pertaining to medical data in hospital or medical office settings, the degree to which the information is correct, precise, and free of errors.

In a medical sense, clinically indicates a condition produced by outside influences and not genetically.

1. Total cost to the company of setting up a new business such as commissions to agents and brokers, supervision costs, sales promotion expenses, and cost of secretarial work. 2. In health insurance, the cost of selling, underwriting, and issuing a new insurance policy (administrative costs, brokers’ commissions, advertising, and medical fees). Also called policy acquisition costs.

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UK: cost associated with the underwriting of new business, including commission paid to brokers and agents (and to the cedant company in the case of reinsurance)