Expense Loading

General market related questions for Actuarial students!
Post Reply
User avatar
Mayank
Site Admin
Posts: 243
Joined: 06 Oct 2017, 11:19
Status: Offline

23 Oct 2018, 09:39

Definition: Expense loading is the amount included in the premium charged by an insurance company to cover its administrative and maintenance costs.

Description: In order to cover for their operating expenses, the insurance companies include this as a portion of the total premium payable. Expense load is an addition to the pure premium accommodates for overhead expenditure of the insurance provider.

Read for the day: Life insurance industry set to grow at 12-15%

Download Insurology app for Actuarial and Insurance Blogs and news.

Sent from my LLD-AL10 using Actuarial Info mobile app

Sent from my LLD-AL10 using Actuarial Info mobile app

Mayank Goyal

Post Reply
Actuarial Blogs Insurology

icon icon