What does aggregate retention mean in insurance?

Aggregate retention is the amount of time your insurer keeps the premiums they've received after they've been collected. It's similar to the time frame that credit card companies and other finance companies have when they're gathering in the money after a customer makes a payment.

Typically, the longer an insurance company keeps your money, the lower your monthly premium will be.

What does aggregate retention mean in insurance quote?

aggregate retention refers to the sum of all premiums that an insurance company has collected over time from all of their customers. It is not the same thing as the overall cost of all insurance that the company offers to its customers. Aggregate retention can fluctuate from year to year depending on the number of policyholders, the expenses associated with the business, and the overall cost of insurance.

What does aggregate retention mean in radiology?

Aggregate retention refers to the amount of cash and assets that an insurer holds for all of its policyholders. It is usually expressed as a percentage or in dollars and is calculated by adding together all of the insurer’s cash and investments and dividing the total by the sum of all outstanding insurance policies.

What does aggregate retention mean in an insurance quote?

Aggregate retention refers to the amount of money an insurer holds in reserve for the claims of all of its policyholders. While the exact figure is often provided in a declaration page, it’s not always clear how the figure is calculated.

What does aggregate retention mean in insurance policy?

Aggregate retention refers to a percentage of the total amount of premium that an insurer requires its policyholders to keep as a financial cushion. It is most commonly used in life insurance and group life insurance policies. The purpose of the retention is to cover the costs of your life insurance policy in the unlikely event that you pass away during the coverage period.