Retention Rate Definition & Meaning | Insurance Term | CSIMarket
CSI Market
Sign In | Register

Glossary

Retention Rate

Insurance Term

Retention rate is a measure of how many customers an insurance company retains over a specified period of time. It is calculated as the percentage of customers who renew policies with the company after their initial contract period has ended.

Retention rate is an important metric in the insurance industry as it is a reflection of customer satisfaction and loyalty. If a company has a high retention rate, it implies that customers are happy with the service and products provided, and are more likely to renew their policies with the company.

Insurance companies use retention rate to track customer behavior and identify trends that may impact business performance. By analyzing retention rate data, companies can identify areas where they need to improve their customer service and products, as well as areas where they excel.

Additionally, retention rate is an important factor in calculating customer lifetime value, which is a measure of the total value of a customer to a company over the course of their relationship. Higher retention rates lead to higher customer lifetime value, which is a key performance indicator for insurance companies.


More Glossary Terms Beginning with R
  • Radiolabeling
    Process of attaching a radioactive isotope, such as Iodine 131.
    Health Care Term Letter: R
  • Radiopharmaceutical
    A radioactive compound used in radiotherapy or diagnosis.
    Health Care Term Letter: R
  • Randomized Clinical Trial
    A clinical trial in which the participants are assigned randomly to different treatment groups.
    Health Care Term Letter: R
  • Rate of Change ROC
    Rate of Change ROC Untitled Document Rate of Change ROC The Rate of Change (ROC) indicator is similar to momentum, a oscillator that measures the percent change in price from one period to the next. When ROC is above the 0-line and rising, prices are increasing at an increasing rate. If ROC is above the 0 line but is declining, prices are still increasing but at a decreasing rate. On the other han
    Technical Indicator Letter: R
  • Rating Agency Condition
    means the written confirmation or reaffirmation, as the case may be, from each rating agency then rating the notes that any intended action will not result in the downgrading of its then-current rating of any class of notes.
    Financial Term Letter: R
  • Reagent
    A chemical added to a sample under investigation in order to cause a chemical or biological reaction which will enable measurement or identification of a target substance.
    Health Care Term Letter: R
  • Receivables From Customers
    Primarily represents loans to customers which are included in accrued interest and accounts receivable on the Consolidated Balance Sheets.
    Financial Term Letter: R
  • Receivables Turnover Ratio
    A ratio that measures companys ability to collect the loans (Accounts receivables) it has provided to its customers by dividing revenus by accounts recievable. High ratio indicates that company efficiently collects it outstanding recievables. Accounts Receivables Turnover Ratio Formula = (Revenue / Receivables)
    Fundamental Analysis Letter: R
  • Receptor
    a protein on the cell surface or inside the cell that is the binding sites of ligands, including agonists and antagonists.
    Health Care Term Letter: R
  • Recession
    In general usage, the word recession connotes a marked slippage in economic activity. While gross domestic product (GDP) is the broadest measure of economic activity. The recession is often-cited as two consecutive quarters of negative GDP.
    Economy Term Letter: R
  • RECIST
    Response Evaluation Criteria in Solid Tumors, a US standard.
    Health Care Term Letter: R
  • Recombinant
    Novel DNA made by genetic engineering.
    Health Care Term Letter: R