See Quebec Pension Plan.

See elimination period.

An annuity that is purchased to either fund or distribute funds from a tax-qualified employee benefit retirement plan and that is exempt from current income taxation during the accumulation period.

For purposes of the Consolidated Omnibus Budget Reconciliation Act (COBRA) in the United States, specified individuals who have the right to continue their group health insurance coverage following a qualifying event without providing evidence of insurability. See also Consolidated Omnibus Budget Reconciliation Act (COBRA).

In the United States, a long-term care (LTC) insurance policy that is eligible for favorable tax treatment under federal law because it provides all the features required by the Health Insurance Portability and Accountability Act (HIPAA).

In the United States, an employer-sponsored retirement plan that satisfies complex legal requirements to receive federal income tax benefits. Known as a registered plan in Canada.

For purposes of the Consolidated Omnibus Budget Reconciliation Act (COBRA) in the United States, specified events—including the death of a covered employee and termination of a covered employee's employment—that would otherwise result in the termination of an individual's group health insurance coverage but that entitle the individual to continue the group health insurance for a limited time. See also Consolidated Omnibus Budget Reconciliation Act (COBRA).

In the insurance industry, an alphabetical grade or rating assigned to an insurer by an insurance rating agency to indicate the level of the insurance company's financial strength, its ability to pay its obligations to customers, or its ability to pay its obligations to creditors.

In Canada, a regulation that governs all life and health insurance contracts in Quebec and specifies what provisions must be included in insurance contracts.

A provincial pension plan that provides Quebec contributors and their families with benefits that are comparable to those provided by the Canada Pension Plan. The QPP provides retirement benefits, disability income benefits and survivor benefits to wage earners who reside in Quebec and who have contributed money into the plan during their working years.

For insurers, the ratio of an insurer's liquid assets to its contractual reserves. See also ratio.

One way of determining a company's ability to liquidate debt immediately, this ratio is calculated by dividing a company's most liquid current assets by the company's current liabilities. Also known as acid-test ratio.

(1) A type of proportional reinsurance in which a reinsurer agrees to accept a certain percentage of each insurance risk, and a ceding company retains the remaining percentage, up to a maximum retention limit. See also proportional reinsurance. (2) The portion of risk assumed by each reinsurer in a reinsurance pool.