Liquidity ratio
Term · Insurance and risk management · MLC-T-INS-002033
A financial metric that assesses an entity's ability to cover its short-term liabilities with its short-term assets. Common examples include the current ratio and the quick ratio, which compare current assets to current liabilities. Regulators monitor these ratios for insurance companies to gauge their financial health and capacity to pay claims.
| Identifier | MLC-T-INS-002033 |
|---|---|
| Field | Insurance and risk management |
Record as JSON
{
"id": "MLC-T-INS-002033",
"term": "Liquidity ratio",
"field": "Insurance and risk management",
"definition": "A financial metric that assesses an entity's ability to cover its short-term liabilities with its short-term assets. Common examples include the current ratio and the quick ratio, which compare current assets to current liabilities. Regulators monitor these ratios for insurance companies to gauge their financial health and capacity to pay claims.",
"url": "https://mlchart.com/terminology/insurance/liquidity-ratio/"
}
Record 1,965 of 3,708 in Insurance and risk management terminology (MLC-0106). Request the full dataset.