What Is an Agreed Amount Clause? An agreed amount clause is a property insurance provision through which the insurer agrees to waive the coinsurance requirement. Insurers will require a statement of property values–signed by the policyholder–as a condition for activating or including an agreed value provision in a policy. This arrangement is typically available for commercial and other
What Is Agricultural Credit? The term agricultural credit refers to one of several credit vehicles used to finance agricultural transactions. These vehicles include loans, notes, bills of exchange, and banker’s acceptances. This type of financing is specially adapted to the specific financial needs of farmers and allows them to secure equipment, plant, harvest, marketing, and do
What Is Agroforestry? Agroforestry is an approach to cultivating land in which trees and shrubs are integrated alongside agricultural crops and pastureland. Although agroforestry has been practiced in various forms for millenia, it has seen newfound popularity in recent years as a method to increase the resilience of agricultural land to climate change. Key Takeaways
What Is the American Institute of Banking (AIB)? The American Institute of Banking was formerly an organization founded and overseen by the American Bankers Association (ABA). The AIB’s primary purpose was providing specialized training courses and certifications for the banking industry. It worked alongside the Institute of Certified Bankers (ICB) which was also an ABA
What Is an Associate In Claims (AIC)? In the insurance industry, an associate in claims (AIC) designation signifies specialized training and skills in the handling of various types of insurance claims. It is often pursued by those working in the insurance industry as claims adjusters, and it can be a valuable asset for those pursuing
What Is the Associate In Management (AIM) Designation? The Associate In Management (AIM) Designation is a professional certification in the insurance industry. Its focus is on those professionals occupying a supervisory or managerial role, with the aim of enhancing their interpersonal and decision-making abilities. Training in the AIM program is focused on subjects such as
What Are Average Indexed Monthly Earnings (AIME)? Average indexed monthly earnings (AIME) are used to calculate the primary insurance amount (PIA), which is used to determine an individual’s Social Security benefits. AIME works by taking into consideration the 35 years that represent an individual’s top earnings. Those top-earning years are then indexed to factor in wage growth and
What Are Aged Assets? Aged assets are goods that have outlived their usefulness and require upgrades. Aged assets have nothing to do with the aging of receivables. Those searching for a way to incorporate the aging of machines and other items into their financial statements should look into the depreciation of assets instead. Key Takeaways
What Are Agency Automatic Contributions? Agency automatic contributions are contributions made by the federal government to an employee’s Thrift Savings Plan (TSP) that equals 1% of their pay. Once federal government employees establish a TSP, the agency they work for automatically makes a contribution equal to 1% of their basic pay each payday. That occurs
What Is an Agency Debenture? An agency debenture is debt (bonds) issued at a fixed, or variable, interest rate by a United States federal agency or a government-sponsored enterprise (GSE), for the purposes of procuring funds to finance their activities, which usually entails purchasing mortgages from various lenders. Key Takeaways Agency debentures are debt, or
