QUALIFIED ANNUITY
A form of annuity purchased with pretax dollars as part of a retirement plan that benefits from special tax treatment, such as a 401(k) plan.
QUALIFYING POLICY
The proceeds from an insurance policy can be paid free of income tax and capital gains tax providing the policy adheres to the rules set out by the Inland Revenue.
QUALIFIED HIGH DEDUCTIBLE HEALTH PLAN
A health plan with lower premiums that covers health-care expenses only after the insured has paid each year a large amount out of pocket or from another source. To qualify as a health plan coupled with a Health Savings Account, the Internal Revenue Code requires the deductible to be at least £1,000 for an individual and £2,000 for a family. High-deductible plans are also known as catastrophic plans.
QUALIFYING EVENT
An occurrence that triggers an insured's protection.
QUICK ASSETS
Assets that are quickly convertible into cash.
QUICK LIQUIDITY RATION
Quick assets divided by net liabilities plus ceded reinsurance balances payable. Quick assets are defined as the sum of cash, unaffiliated short-term investments, unaffiliated bonds maturing within one year, government bonds maturing within five years, and 80% of unaffiliated common stocks. These assets can be quickly converted into cash in the case of an emergency.