Safety Margin

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

Safety Margin

Safety Margin

A safety margin is the number of sales or amount of gains required to cover expenses, or to "break even." However, it can also refer to an increase in mortality rates above the expected rates for life insurance or a decrease in mortality rates below those that are expected for any annuities that a life insurance company is offering.

More Insurance Terms And Definitions

The Merriam-Webster Dictionary defines insurance as:

a: The business of insuring persons or property.

b: Coverage by contract whereby one party undertakes to indemnify or guarantee another against loss by a specified contingency or peril.

c: The sum for which something is insured.

We hope the you have a better understanding of the meaning of Safety Margin. If you are looking for the meanings of other important insurance terms and their definitions, just click on the letter below to find the words & concepts you are looking for:

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