Insurance and Spread: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Expand 3rd definition.)
 
imported>Doug Williamson
(Mend link.)
 
Line 1: Line 1:
1. ''Risk management - transferring & pooling risk - commercial.''
1. ''Two-way price quotations''.


A contract designed to provide protection against specified types of risk or loss, by paying out to the insured party in the event that the insured loss occurs.
Bid-offer spread.
Insurance is generally provided by specialist insurance companies, to whom an insurance premium is paid by the insured in advance.




2. ''Risk management - transferring & pooling risk - commercial.''
2. ''Borrowing and investment''.


The act or structure of providing insurance on a commercial basis, or of buying it.
The differential between the yields on two fixed-income securities, usually expressed in basis points.


In the corporate borrowing context, it is usually the difference between the yield on a fixed-income corporate security, and a comparable risk-free investment, such as a gilt.


3.  ''Risk management - market stability - regulation.''


The actions or structures of a regulator or supervisor to ensure market stability, whether or not they are provided on commercial terms.
3. ''Borrowing''.


For example, the liquidity insurance provided by the Bank of England in acting as a lender of last resort for banks and other financial market participants.
An addition to the interest rate charged to a borrower, reflecting their credit risk.


Retail deposit insurance is another example.
Also known as ''credit spread''.
 
 
4. ''Statistics''.
 
In statistics, spread is the extent to which data are clustered centrally, or more widely dispersed. 
 
Measured for example by Standard deviation, Variance or Mean deviation.




== See also ==
== See also ==
* [[Assurance]]
* [[Basis point]]
* [[Captive insurance company]]
* [[Bear spread]]
* [[Chartered Insurance Institute]]
* [[Bid-offer spread]]
* [[Deposit insurance]]
* [[Bull spread]]
* [[Financial Conduct Authority]]
* [[Credit adjustment spread]]
* [[Fixing instrument]]
* [[Credit spread]]
* [[Force majeure]]
* [[Credit spread risk]]
* [[GI]]
* [[ISDA spread adjustment]]
* [[Hedging]]
* [[Mean deviation]]
* [[HMO]]
* [[Performance spread]]
* [[IAIS]]
* [[Secondary spread]]
* [[ILS]]
* [[Skewness]]
* [[Insurable]]
* [[Spread bet]]
* [[Insurance risk]]
* [[Spread risk]]
* [[Insure]]
* [[Spread to Treasury / Governments]]
* [[Lender of last resort]]
* [[Standard deviation]]
* [[Liquidity insurance]]
* [[Swap spread]]
* [[National Insurance]]
* [[Swap spread risk]]
* [[Option]]
* [[TED spread]]
* [[Premium]]
* [[Two-way price]]
* [[Price walking]]
* [[Variance]]
* [[Regulation]]
* [[Yield]]
* [[Reinsurance]]
* [[Yield spread]]
* [[Risk]]
* [[Risk management]]
* [[Risk response]]
* [[Supervision]]
* [[Trade credit insurance]]
* [[Transfer]]
* [[Underwriting]]


[[Category:Financial_risk_management]]
[[Category:Corporate_financial_management]]

Latest revision as of 01:13, 2 January 2023

1. Two-way price quotations.

Bid-offer spread.


2. Borrowing and investment.

The differential between the yields on two fixed-income securities, usually expressed in basis points.

In the corporate borrowing context, it is usually the difference between the yield on a fixed-income corporate security, and a comparable risk-free investment, such as a gilt.


3. Borrowing.

An addition to the interest rate charged to a borrower, reflecting their credit risk.

Also known as credit spread.


4. Statistics.

In statistics, spread is the extent to which data are clustered centrally, or more widely dispersed.

Measured for example by Standard deviation, Variance or Mean deviation.


See also

Retrieved from ‘https://wiki.treasurers.org/w/index.php?title=Insurance&oldid=44854’