As reported, ‘MOST of the 10 major life insurers here now have less of an excuse not to pay out non-guaranteed benefits or bonuses on their products linked to participating funds’

What does it mean?

These wordings are usually found  in endowment and life plan. they are one of the determine factor that influence the value of the return when the plan mature.

As mentioned,

The higher the ratio, the better positioned an insurer is to fund future non-guaranteed benefits, actuarial sources explained; they added that a high reserve ratio also means that the likelihood of a bonus restructure or bonus rate cut is lower.

This is something everyone should be aware of. 🙂

Wish everyone have a great day ahead.