PINS 8.6.7 Guidance

The liability referred to in PINS Rule 8.6.7 is commonly represented by insurers as 2 separate provisions, the unearned premium provision and the premium deficiency provision. The sum of the 2 provisions is sometimes referred to as the unexpired risk reserve, though this term is also sometimes used to describe the premium deficiency provision alone.

Editorial changes (as from 1 January 2015).