According to Weisbart (1976) and Colquitt and Hoyt (1997), the insurer's lapse ratio is the ratio of the volume of ordinary life that lapsed or was surrendered during the year to the average total volume of ordinary life insurance
in force during the year.
A regression analysis was then completed for these top companies to see if the changed market share rates were associated with higher or lower ordinary life insurance
As compiled by the NAIC organization, the lapse rate is reported for ordinary life insurance
Hence, the purchase rate of ordinary life insurance
(PR) is defined as the annual average number of ordinary life policies purchased per person, or per thousand people.
Individual ordinary life insurance
commissions increased 10% to $6.9 billion from $6.2 billion, and individual ordinary annuities commissions rose 23% to $8.3 billion from $6.7 billion in 2003.
The retention limit is defined as the amount of ordinary life insurance
retained by the ceding insurer on the life of any insured individual (under all policies, collectively).
Ordinary life insurance
may be kept in force for a person's
"In fact, I was talking to this one private equity guy who said 'you should create the first minority-owned ordinary life insurance
sub.i])/[lambda] form Equation (5), C = total costs, [q.sub.INV] = dollar volume of security investments, [q.sub.OL] = dollar amount of ordinary life insurance
premiums, [q.sub.GL] = dollar amount of group life insurance premiums, [q.sub.OA] = dollar amount of ordinary annuity considerations, [q.sub.GA] = dollar amount of group annuity considerations, [q.sub.A&H] = dollar amount of accident and health premiums, [P.sub.L] = price of labor, [P.sub.K] = price of capital, [D.sub.M] = dummy variable equal to 1 if a mutual company, and 0 otherwise, [D.sub.A] = dummy variable equal to 1 if an agency and 0 otherwise, and n = random error term.
Dividends from ordinary life insurance
policies declined 3% in 2003 over 2002, but increased 8% in 2002 over 2001, the data says.
Face amount of life insurance ceded to reinsurers continued to increase for the 9th consecutive year and exceeded half of the total ordinary life insurance
in-force for the IC&A Composite for the first time in its history, reaching 51.6% and 55.9% in 2002 and 2003, respectively.
Ordinary life insurance
pays a benefit upon the insured's death.