What Does Contingent Capital Arrangement Mean?

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What does Contingent Capital Arrangement mean? Read on to discover the definition & meaning of the term Contingent Capital Arrangement - to help you better understand the language used in insurance policies.

Contingent Capital Arrangement

Contingent Capital Arrangement

An agreement entered into before any losses occur, that enables an organization to raise cash be selling stock or issuing debt at prearranged terms after a loss occurs that exceeds a certain threshold.

We hope the you have a better understanding of the meaning of Contingent Capital Arrangement.

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