Policyholder surplus

{
  "id": "MLC-T-INS-002598",
  "term": "Policyholder surplus",
  "field": "Insurance and risk management",
  "definition": "An insurer's net worth, calculated as the difference between its admitted assets and its total liabilities. This surplus represents the financial cushion available to cover unexpected losses and protect policyholders' interests in case of the insurer's insolvency. State regulators require insurers to maintain a minimum level of policyholder surplus, which is a key indicator of financial strength reported on the company's statutory balance sheet.",
  "url": "https://mlchart.com/terminology/insurance/policyholder-surplus/"
}