Noun
/ˌiːkwəlaɪˈzeɪʃən rɪˈzɜrv/
An equalization reserve is a financial term referring to a reserve account that is maintained to even out or stabilize earnings or losses over time. This reserve is often used by insurance companies or financial institutions to manage fluctuations in income and expenses by saving surplus funds during profitable periods for use during less profitable periods.
The term is relatively specific to financial contexts, particularly within accounting and risk management. While not one of the most frequently used terms in everyday conversation, it is more commonly encountered in written reports, financial statements, and academic discussions related to finance and insurance.
Компания создала резерв уравнивания для обеспечения стабильности в своем финансовом учете во время экономических спадов.
By utilizing an equalization reserve, the insurance firm could manage its fluctuations in claims more effectively.
Используя резерв уравнивания, страховая фирма могла более эффективно управлять колебаниями в выплатах.
The board approved transferring surplus profits into the equalization reserve for future contingencies.
The term "equalization reserve" does not typically appear in idiomatic expressions due to its specificity. However, it can be contextualized in phrases and terms related to financial stability, risk management, and insurance practices. Here are some sentences using related idiomatic expressions:
В кризисное время компании часто жалеют, что не накапливали свой резерв уравнивания, чтобы пережить бурю.
Maintaining an equalization reserve is like having a financial umbrella for when the rain comes.
Поддержание резерва уравнивания похоже на наличие финансового зонта, когда пойдет дождь.
When business is booming, it’s wise to bulk up the equalization reserve for leaner times.
The term "equalization" derives from the verb "equalize," which comes from the Latin word aequalis, meaning "equal." The concept of "reserve" has its roots in the Latin reservare, meaning "to keep back." Together, the term conveys the idea of keeping back resources to ensure equality and stability in financial accounts.