What does Actuarial Rate mean? Read on to discover the definition & meaning of the term Actuarial Rate - to help you better understand the language used in insurance policies.
An actuarial rate is the projected value of a future loss shown through an estimate. Insurance companies calculate their actuarial rates to know and prepare for their financial obligations. Since the estimate is based on past losses, it is not wholly accurate.
We hope the you have a better understanding of the meaning of Actuarial Rate.