The risk insurance amount is the effective insurance amount minus the final liability reserve plus the refund premium, in which the effective insurance amount refers to the highest amount that the insurance company needs to pay when the insurance accident with the largest compensation amount in the insurance contract occurs, and the final liability reserve is the statutory minimum liability reserve stipulated by the China Insurance Regulatory Commission.
Policy liability reserve is essentially a kind of fund reserve determined according to the insurance law, and its function is to have this fund as a guarantee when the insurance company assumes the insurance liability. Although the policy liability reserve is drawn from the premium income, this fund can not be used as the operating income of the insurance company, but as the liability of the insurance company.
1, risk insurance amount = insurance amount-cash value.
2. Net risk = insurance amount-liability reserve.
3. Cash value = liability reserve-refund premium.
4. The ownership of cash value belongs to the insured and has nothing to do with the death of the insured. Even if the insured does not die, the insured can get cash value by surrendering, so the cash value does not belong to the insurance company.
1. It takes some time for insurance companies to collect insurance premiums and fulfill their contractual obligations (life insurance contracts may take years or even decades). In order to ensure that insurance companies have sufficient solvency to bear future liabilities such as unexpired liabilities or outstanding claims, insurance companies are required to withdraw policy reserves from the premiums collected.
2. According to the insurance contract after the insurance accident, the maximum amount paid by the insurance company is the effective insurance amount; The CIRC stipulates that the final liability reserve is the statutory minimum liability reserve; Refund of premium refers to the expenses that the insured needs to pay when he surrenders the annuity within the validity period of the policy or within the specified date. The risk insurance amount is the effective insurance amount minus the liability reserve plus the refund premium.