Canadian Maple Leaf Licensing Info: Alberta Mortgage #MW-0511205,
FSCO (Ontario) #10315,
Saskatchewan Mortgage #315872, and all other provinces.
 
Division of

The Mortgage Group®


GLOSSARY

Canadian Financial, Real Estate and Mortgage Glossary

How often this word is used
 
^
38% - Moderately

Valuation Reserve


Synonyms:buffer, overcompensate, set-aside, stockpile
Filed Under: insurance
Tags: insurance
 

Definition of valuation reserve

valuation reserve
1. A reserve kept by insurance companies, and required by law, that is used to act as a contingency in case the insurer's investments are overvalued or if a liability turns out to be larger than expected.

Related Terms and Acronyms:

  • bank reserves   Banks' holdings of deposits.
  • legal reserve   The legally mandated minimum amount of money an insurer must keep liquid in order to satisfy its obligations to policyholders.
  • loss reserve   A reserve of money and liquid assets set aside by an insurer for the payment of claims that have been submitted but have yet to be paid out.
  • total admitted assets   What assets an insurance company is legally allowed to include when determining its financial solvency.
  • voluntary reserve   A reserve kept by an insurer for future claims that is larger than is required by government regulations.

Search the Glossary

Best Mortgage Rates
With a lower mortgage rate, it's easier to afford a better home and what you save on interest can go directly toward paying off the principal value of your property faster. Make sure you get the best rates in Canada on your mortgage, apply today.
Mortgage Rates
 
Mortgage Rates
Our rates can change on a day-to-day basis. Find out about today's mortgage rates!
Mortgage Rates
 
New Mortgage Calculator is Here
Our a new and improved mortgage calculator has everything our clients have requested over the years. Learn how mortgage interest rates, payment schedules and amortization periods influence the cost of your mortgage. Easily compare competing rates or add lump sum payments to the calculation. Try our new mortgage calculator.
New Mortgage Calculator with Lump Sum Payments