BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -There is an unexpired liability under various policies which may occur during the remaining term of the policy beyond the year and therefore, a provision for unexpired risks is made at normally 50% in case of Fire Insurance and 100% of in case of Marine Insurance.

Detailed explanation-2: -Unexpired Risk Reserve is the present value of loss and expense payments to be provided for by premiums covering the period from the valuation date to expiry on all contracts in force on the valuation date. A loss reserve is a provision for an insurer’s liability for claims.

Detailed explanation-3: -32. Unexpired risk premium value means an amount, if any, that becomes payable in case of discontinuance of premium in limited pay or single pay policies in accordance with the terms and conditions of the Policy.

Detailed explanation-4: -Unexpired Risk Reserve (URR) = Unearned Premium Reserve (UPR) + Additional Reserve for Unexpired Risks (AURR).