Glossary beginning with T

technical provisions

Provisions which should ensure full coverage of all current and future liabilities that may arise from insurance contracts. Technical provisions include in particular: provision for unearned premiums, provision for unpaid claims and provision for unexpired risks, provision where the investment risk is born by the policyholders, provision for bonuses and rebates for the policyholders

technical rate

The rate used to discount technical provisions in life insurance and provisions for capitalized annuities in third party liability insurance. According to the Finance Minister’s Ordinance of 28 December 2009 on the special accounting standards for insurance and reinsurance undertakings, the technical rates used by an insurance undertaking may not be higher than 80% of the weighted-average rate of return on investments covering technical provisions during the most recent three financial years. PFSA calculates and announces the maximum technical rate by 31 January of every year


Total Shareholder Return – a ratio that describes the total shareholder return from the shares of a given company per annum. It is a sum of return from change in prices of shares in a given company and paid dividend within the period of holding shares by a shareholder, in relation to the value of such shares as at the beginning of a given year; it is expressed in percentage per annum