Liquidity

{
  "id": "MLC-T-INS-003680",
  "term": "Liquidity",
  "field": "Insurance and risk management",
  "definition": "The ability of an asset to be converted into cash quickly without causing a substantial change in its market price. For an insurer, it is the ability to meet short-term cash flow needs and pay claims without having to sell long-term investments at a loss. Insurers manage liquidity by holding a portfolio of cash, cash equivalents, and highly marketable securities, with their levels monitored by rating agencies and regulators.",
  "url": "https://mlchart.com/terminology/insurance/liquidity/"
}