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Insurance

Pooling

of investors is known as pro rata Pro rata refers to the practice of distributing total losses among a group of investors. This is done in proportion to each investor's stake in the venture. In other words, the bigger the investment, the greater the share of the losses. This concept is commonly used in the world of finance and is essential to understand for any investor. It ensures that everyone bears a fair share of the risks and rewards. So, always keep pro rata in mind when making investment decisions.

Pre-loss activities

Realizing the importance of mitigating potential financial losses, proactive strategies are put in place to prevent such occurrences. These methods primarily aim to reduce t...

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Temporary life annuity

An annuity is a financial product that provides a fixed stream of payments, typically for retirement purposes. It can be structured to pay out benefits for a specific number...

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Straight deductible

In the realm of finance, there exists a concept known as a deductible. This is a fixed amount that is applicable to every loss and is deducted before any loss payment is dis...

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Conditionally renewable

An insurance policy with the flexibility to be terminated or have its premiums increased by the insurer on a designated date, contingent upon predetermined reasons outlined ...

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