CONTRIBUTION PRINCIPLE

the concept that aggregate divisible surplus is allocated to policies in order to reflect the proportion that the policies – as part of their dividend factor classes – [are considered to] have contributed to divisible surplus.

Congratulations! You're now Froogled Up™ on what "Contribution Principle" means!

Feel free to use it throughout your financial/insurance life.

Sincerely,

www.FroogleMe.com