solvency rationoun [ C ]
ukusACCOUNTING, FINANCE a measurement of whether a company has enough money to pay its debts:
The key measure of any building society's strength is its solvency ratio.
INSURANCE the amount of capital that an insurance company has in relation to probable claims (= money paid to those who have bought insurance):
A spokesman for the FSA refused to comment on whether these insurers had been forced to act in order to maintain solvency ratios.