Policyholder Dividend Ratio

Definition

• A ratio used to compare the dividends paid to policyholders to premiums that the insurer has earned.

Synonyms
dividend ratio, insurance policyholder dividend ratio

Related Terms and Acronyms

• Combined Ratio After Policyholder Dividends — Definition,
  • A method of measuring the profitability of an insurance company's underwriting.
• Dividend — Definition,
  • Distribution of earnings to shareholders. In credit unions, it's the money paid to members for deposits, similar to the interest banks pay to their customers for deposits.
• Earned Premium (EP) — Acronym,
  • The amount of premiums that an insurer has collected from an insurance policy at a given time.
• Insurance Policy — Definition,
  • A legal contract between an insurer and entity that specifies what the insurer is required to cover and any benefits the insured entity is entitled to.
• Loss Ratio — Definition,
  • A method of comparing an insurer's losses to premiums earned in a specific period of time.
• Net Premium — Definition,
  • The total earned by an insurer in insurance premiums, less the agent's commissions.
• Policy Illustration — Definition,
  • An outline of how a policy will perform under various conditions over a period of time.
• Premium — Definition,
  • A payment made to an insurance company for insurance coverage.
• Premium-to-Surplus Ratio — Definition,
  • A method used to determine an insurance company's financial stability.
• Premiums Written — Definition,
  • A sum of the premiums from all the policies that a company has written in a given period of time.
• Reinsurance Recoverables to Policyholder Surplus — Definition,
  • A method used to determine how much an insurer relies on reinsurance.
• Underwriting Income — Definition,
  • The income earned by an insurer from underwriting in a certain amount of time.
• Unearned Premium — Definition,
  • Premiums that have not yet been collected from an insurance policy.
• With-Profits Policy — Definition,
  • Insurance that pays the policyholder a portion of the insurer's profits.