Regulatory surplus
The surplus as measured using regulatory accounting principles (RAP) which may allow the non-market valuation of assets or liabilities and which may be materially different from economic surplus. |
Similar financial terms
Regulatory pricing riskRisk that arises when regulators restrict the premium rates that insurance companies can charge.
Regulatory accounting procedures
Accounting principals required by the FHLB that allow S&Ls to elect annually to defer gains and losses on the sale of assets and amortize these deferrals over the average life of the asset sold.
Surplus funds
Cash flow available after payment of taxes in the project.
Statutory surplus
The surplus of an insurance company determined by the accounting treatment of both assets and liabilities as established by state statutes.
Capital surplus
Amounts of directly contributed equity capital in excess of the par value.
Target surplus (or Tied Surplus)
The capital that must remain in a life company in order to support the business already on the books. Target surplus is an amount held over and above the reserves and is needed due to the uncertain nature of the level and timing of future insurance claims. This capital may not be used for dividend payouts to shareholders.
