Credit Funds refer to the funds issued as loans by banking institutions. The sources of credit funds of the banking institutions included deposits, liabilities to international financial institutions, currency in circulation, self-owned funds and current retained profits, etc. The credit funds can be used in forms of loans, gold, foreign exchange, government debt and assets in the international financial institutions.

Deposit is a form of credit by which enterprises, institutions, organizations or households can put money into banks and other credit institutions for safekeeping and interest earning under the principle of free withdrawal. According to different depositors, deposits are divided into enterprise deposits, treasury deposits, deposits of government agencies and organizations, capital construction deposits, urban savings deposits, rural deposits and other deposits. Deposits are major sources of the credit funds of banks. ª¥

Loan is a form of credit by which banks and other credit institutions provide funds at certain interest rate to enterprises and individuals in the light of the principle of unconditional repayment. Loans from Chinese banks include circulating capital loans, fixed assets loans, loans to urban and rural individuals engaged in industrial and commercial business and agricultural loans.

Premium is the fee paid by the insurer based on a proportion of the benefit he or she may get from the insurance plus the insurance value. It includes the income from the deposit of property insurance and personal insurance.

Amount Insured refers to the amount of compensation for the loss or a sum of money to be paid in the contract by the insurer to the insurant. It is the maximum amount of liabilities written in the insurance contract and is also used as a basis to calculate the premium.

Settled Claim is the compensation paid by the insurer to the insurant in accordance with the insurance contract.