Embedded Value

Actuary Forums Forums Learnings Daily Dose Embedded Value

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    Mayank Goyal
    Keymaster

      Definition: Embedded value is the sum of the net asset value and present value of future profits of a life insurance company.

      Description: This measure considers future profits from existing business only, and ignores the possibility of introduction of new policies and hence profits from those are not taken into account.

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    Actuary Forums Forums Learnings Daily Dose Embedded Value