https://www.insurerbrain.com/w/index.php?action=history&feed=atom&title=Definition%3AAccounts_receivableDefinition:Accounts receivable - Revision history2026-05-04T17:30:29ZRevision history for this page on the wikiMediaWiki 1.43.8https://www.insurerbrain.com/w/index.php?title=Definition:Accounts_receivable&diff=7198&oldid=prevPlumBot: Bot: Creating new article from JSON2026-03-10T12:39:30Z<p>Bot: Creating new article from JSON</p>
<p><b>New page</b></p><div>💰 '''Accounts receivable''' in the insurance context refers both to amounts owed to an [[Definition:Insurance carrier | insurer]] or intermediary for [[Definition:Premium | premiums]], fees, and commissions not yet collected, and to a specific category of [[Definition:Commercial property insurance | commercial property]] coverage that protects businesses against loss when their own receivable records are damaged or destroyed by a covered peril. The term thus sits at the intersection of insurance operations and insurance products — a duality that makes it important to understand from both angles.<br />
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📊 On the operational side, accounts receivable represent one of the largest asset categories on an [[Definition:Insurance carrier | insurer's]] or [[Definition:Insurance broker | broker's]] [[Definition:Balance sheet | balance sheet]]. [[Definition:Premium | Premium]] receivables — amounts due from [[Definition:Insured | policyholders]] or intermediaries under [[Definition:Billing | billing]] arrangements — must be carefully managed and aged, because overdue receivables can signal [[Definition:Credit risk | credit risk]] or distribution inefficiencies. Regulatory [[Definition:Statutory accounting | statutory accounting]] frameworks and [[Definition:National Association of Insurance Commissioners (NAIC) | NAIC]] guidelines require carriers to establish [[Definition:Non-admitted asset | non-admitted asset]] treatment for receivables that exceed prescribed aging thresholds, directly impacting reported [[Definition:Surplus | surplus]]. On the product side, accounts receivable coverage — a component of many [[Definition:Commercial property insurance | commercial property]] or [[Definition:Business interruption insurance | business interruption]] policies — reimburses an [[Definition:Insured | insured]] business for amounts it cannot collect from its customers because records have been destroyed by fire, flood, or other insured events, and debtors cannot be identified or the amounts owed cannot be established.<br />
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🔧 Managing receivables effectively is a core discipline for [[Definition:Managing general agent (MGA) | MGAs]], [[Definition:Insurance broker | brokers]], and carriers alike. Poor receivable management increases [[Definition:Operational risk | operational risk]], strains cash flow, and can trigger regulatory scrutiny. For [[Definition:Risk manager | risk managers]] purchasing coverage, ensuring that accounts receivable insurance limits reflect the true value of outstanding balances — and that electronic records are included alongside paper files — prevents a potentially devastating gap. Modern [[Definition:Policy administration system | policy administration systems]] and [[Definition:Insurtech | insurtech]] billing platforms have made receivable tracking far more automated, but the underlying financial discipline remains critical.<br />
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'''Related concepts'''<br />
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* [[Definition:Premium]]<br />
* [[Definition:Commercial property insurance]]<br />
* [[Definition:Business interruption insurance]]<br />
* [[Definition:Statutory accounting]]<br />
* [[Definition:Non-admitted asset]]<br />
* [[Definition:Credit risk]]<br />
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