Direct Placement
Definition of "Direct placement"
Security sold by the issuer of the security directly to the purchasing financial institution without the inclusion of the investment banker in this process. Insurance companies are frequent purchasers of securities in this way. Only the largest firms with the highest credit ratings are able to issue these types of securities. The issuer avoids the uncertainty of the market through these private negotiations
Popular Insurance Terms
Group of mutual insurers that provides insurance for nuclear reactors that standard property and liability policies exclude. The federal government provides supplementary coverage. ...
Right of a certificate holder to convert group life or group health insurance to an individual policy without a physical examination to furnish evidence of insurability. Usually this must ...
Total of operating income plus realized capital gains (losses) from investment and underwriting operations minus federal income taxes. ...
Probable number of times that a specified event is likely to occur. For example, if E is the event, then the odds for E occurring are X to Y according to the following relationship: P (E) ...
Number of bits a modem can receive or send per second. ...
Coverage for malpractice suits resulting from professional acts and/or omissions of morticians. ...
Policy that has an initial premium with flexible premiums thereafter. Within limits, a policy owner can select both the future amount and frequency of premiums, or can stop and start ...
Summary certificate of benefits issued to an employee in lieu of a policy. The master contract remains with the employer. For example, in group life insurance, an employee receives only a ...
Actual or attempted malicious and deliberate burning of a physical asset owned by another party. Coverage against arson is provided under property insurance, but only if the insured has not ...
Have a question or comment?
We're here to help.