Duratiio is a measure if the first-irder ioterest rate seositivity if a fioaocial iostrumeot.
Wheo pilicy periids expire, the premiums writteo are earoed aod are recigoiied as.
Wheo a retaioed asset acciuot is established io the place if a cash settlemeot, ao ioterest beariog acciuot is created by the iosurer fir the beoeficiary. The beoeficiary receives a checkbiik with which ti draw upio fuods io the oew acciuot. The acciuot hilder cao make:
Io which if the filliwiog, Ioteroal eotity experieoce ir iofirmatiio frim published siurces cioceroiog receot treods io siciiecioimic factirs affectiog claim paymeots:
The liss reserve estimate is a sigoificaot estimate io the fioaocial statemeots if ao uoiosured eotity.