ADJUSTED UNDERWRITING PROFIT
The profit generated by an insurance after paying out expenses and claims. Insurance companies earn their income through their financial investments and revenues by underwriting new business ( selling new insurance policies). The any claims made by insurance policy holders and expenses associated associated to run the business are already deducted from this revenue. The adjusted underwriting profit is the remainder. This term is solely dedicated to the insurance industry.
Also referred as Underwriting Gain.
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