The definition of asset securitization by the US Securities and Exchange Commission (SEC) is carried out through the definition of asset securities. "Asset securities refer to securities that are mainly supported by a specific pool of accounts receivable assets or other financial assets to ensure repayment. The term of these financial assets can be fixed or cyclical. According to the terms of the asset, cash flow and other rights can be generated in a specific period of time, or asset securities can also be guaranteed by other assets or guarantee the distribution of rights and interests to securities holders on schedule. " Therefore, asset securitization is the process of turning the original assets into securities assets for financing.

Therefore, the securitization of insurance assets refers to the policy with stable income expectation becoming securities assets and being sold to investors for financing.

Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.