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Net leverage

The sum of a company's net premium written to policyholder surplus and net liabilities to policyholder surplus. This ratio measures the combination of a company's net exposure to pricing errors in its current book of business and errors of estimation in its net liabilities after reinsurance, in relation to policyholder surplus.

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  • Part of Speech: noun
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  • Blossary:
  • Industry/Domain: Insurance
  • Category: Life insurance
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  • Acronym-Abbreviation:
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