Glossary

Static risk modeling involves using specified assumptions to illustrate the financial impact of losses.

Statistical codes are code numbers—for example, workers compensation classification codes or industry codes—that are assigned for the purpose of gathering historical data for statistical reporting and ratemaking.

Statistical method involves a risk modeling method based on observed statistical qualities of (and among) random variables without regard to cause-and-effect relationships.

Status is a test used to determine whether an employee qualifies as a seaman under the Jones Act or as a longshoreman or harbor worker under the Longshore and Harbor Workers' Compensation Act (LHWCA).

The statute of frauds is a legal rule that requires certain kinds of contracts to be in writing and signed by the parties bound by the contract.

The statute of limitations is a law prescribing the period within which certain types of causes of action must be brought.

A statute of repose restricts the time in which a claim may be brought against a contractor for damages arising out of defective work in improvements to real property.

Statutory accounting principles are rules for insurance accounting codified by the National Association of Insurance Commissioners or as promulgated by a domicile as rules to be used in reporting an insurer's results to regulators.

Statutory capital is the amount of capital and/or surplus required in order for an insurance company to obtain and retain a license to do business.

Statutory coverages are lines of insurance required by law, such as workers compensation, auto liability, and pollution liability (for underground storage tanks and waste disposal sites).