CASDI Rate 2025 is a crucial indicator used to measure the financial health and stability of the insurance industry. It represents the ratio of an insurance company’s net premiums to its surplus, providing insights into its underwriting profitability and risk-taking appetite.
A higher CASDI rate generally signifies a more conservative underwriting approach, as the insurer retains a larger surplus relative to its premium income. This indicates a stronger ability to absorb potential losses and maintain financial stability during adverse market conditions. Conversely, a lower CASDI rate may suggest a more aggressive underwriting strategy, with the insurer assuming greater risk in pursuit of higher premiums.
