Liquidity risk for a life insurance company only occurs when asset returns do not provide sufficient cash flows to meet policyholder liquidations.

Name: Liquidity risk for a life insurance company only occurs when asset returns do not provide sufficient cash flows to meet policyholder liquidations.
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Liquidity risk for a life insurance company can also occur due to unexpected increases in policyholder withdrawals or claims, not just when asset returns are insufficient.

Liquidity Risk for a Life Insurance Company Only Occurs When