Diversification Benefit definition

Diversification Benefit means the amount by which an overall Entity Risk Margin is less than the sum of individually assessed Outstanding Claims Liability and Future Claims Liability Risk Margins by Class of Business, where diversification between them occurs.
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Diversification Benefit means the amount by which an overall Entity Risk Margin is less than the sum of individually assessed Outstanding Claims
Sample 1
Diversification Benefit means the amount by which an overall Stress Margin is less than the sum of individually assessed Stress Margins, where diversification between them occurs.
Sample 1

Examples of Diversification Benefit in a sentence

  • Diversification Benefit methodology – they use var-covar but state that correlations are difficult to obtain.

  • In addition, the Reinsurer will provide immediate written notice to the Ceding Company in the event that (i) the Reinsurer’s ECR Ratio in respect of its Long-Term Business Account, after taking account of the Long-Term Business Account Diversification Benefit, falls below 145% or (ii) to the Reinsurer’s knowledge, the occurrence of a Recapture Triggering Event pursuant to clause (ii) of the definition of such term is reasonably likely to occur.

  • The said recommendations also include estimates in respect of residual values and depreciable lives.

  • If Risk Margins are required for a Class of Business in isolation, then the relevant undiversified Risk Margin must be evaluated before the application of any Diversification Benefit.

  • Subject tosubregulation (5), a council or a designated relevant authority must assign the appropriate classification under the Building Code to a building if satisfied, on the basis of the owner's application, and accompanying documentation, that the building, in respect of the classification applied for, possesses the attributes appropriate to its present or intended use.

  • In the illustrative example, the benefit of diversification means the volatility estimation of 8.90% is lower than the Standalone Volatility Portfolio Volatility Diversification Benefit 2.17% simple combination of all of the portfolio holdings, which would imply a volatility of 11.07%.

  • The results must separately identify: • Non-Reinsurance Recoveries; • Reinsurance Recoveries; • Indirect Expenses; • discounting for the time value of money; • Risk Margin, including any Diversification Benefit; and • the sum of all the relevant items.

  • RAROC (Current) = 175M/2000M = 8.75% RAROC (with P2P) = (175M+50M) / C = 8.75%Solve for C = 2571.43MLowest Diversification Benefit = (2000M + 900M) - C = 328.57M1.

  • If Risk Margins are required for an Entity, or for multiple Classes of Business, then the estimation process must be reasonable in aggregate and must allow for any Diversification Benefit if required for the purpose of the valuation.

  • In addition, the Reinsurer will provide immediate written notice to the Ceding Company in the event that (i) the Reinsurer’s ECR Ratio in respect of its Long-Term Business Account, after taking account of the Long-Term Business Account Diversification Benefit, falls below [***]% or (ii) to the Reinsurer’s knowledge, the occurrence of a Recapture Triggering Event pursuant to clause (ii) of the definition of such term is reasonably likely to occur.


More Definitions of Diversification Benefit

Diversification Benefit means 30%
Sample 1

Related to Diversification Benefit

  • Employer Contribution means the amount paid by an employer, as determined by the employer rate, including the normal and deficiency rates, contributions, and funds wherever used in this chapter.

  • Public benefit means making capital available, or facilitating the availability of capital, to businesses in this state that have 750 or fewer employees, the intent of which is to create or retain employment opportunities for residents of this state, stabilize or increase the tax base of this state, or support the redevelopment of facilities for use by small businesses.

  • Matching Contribution means an Employer contribution made to this or any other defined contribution plan on behalf of a Participant on account of a Participant's Deferral Contribution.

  • Deferred Compensation Account means the account maintained with respect to each Participant under the Plan. The Deferred Compensation Account shall be credited with Participant Deferral Credits and Employer Credits, credited or debited for deemed investment gains or losses, and adjusted for payments in accordance with the rules and elections in effect under Section 8. The Deferred Compensation Account of a Participant shall include any In-Service or Education Account of the Participant, if applicable.

  • Matching Contribution Account means the separate, individual account established on behalf of a Participant to which the Matching Contributions made on such Participant's behalf are credited, together with all earnings and appreciation thereon, and against which are charged any withdrawals, loans and other distributions made from such account and any losses, depreciation or expenses allocable to amounts credited to such account.

  • Deferral Account means the Company's accounting of the Director's accumulated Deferrals plus accrued interest.

  • superannuation benefit means any payment, other than a refund of contributions, made to a dentist by virtue of the application of the (a) National Health Service Pension Scheme Regulations 1995; or (b) the National Health Service Superannuation Scheme (Scotland) Regulations 1995 or (c) the corresponding provisions of the law in force in Northern Ireland; as a result of his providing general dental services;

  • Employer Contributions means all amounts paid into ASRS by an

  • Section 409A Deferred Compensation means compensation provided pursuant to an Award that constitutes nonqualified deferred compensation within the meaning of Section 409A.

  • Change in Control Benefit means the benefit described in Section 2.4.

  • Retirement Benefit means the benefit set forth in Article 5.

  • Separation Benefits has the meaning accorded such term in Section 3.04.

  • Retirement Benefits means benefits paid by reference to reaching, or the expectation of reaching, retirement or, where they are supplementary to those benefits and provided on an ancillary basis, in the form of payments on death, disability, or cessation of employment or in the form of support payments or services in case of sickness, indigence or death. In order to facilitate financial security in retirement, these benefits may take the form of payments for life, payments made for a temporary period, a lump sum, or any combination thereof;

  • Accrued Benefit means the amount standing in a Participant's Account(s) as of any date derived from both Employer contributions and Employee contributions, if any.