Capitalization shortfall.
Capitalization shortfall. A capitalization shortfall equals the excess of
(i) The sum of the required capitalization amounts (as defined in paragraph (g)(5) of this section) for all reinsurance agreements (other than reinsurance agreements for which an election has been made under paragraph (h)(3) of this section); over
(ii) The general deductions allocated to those reinsurance agreements, as determined under paragraph (g)(6) of this section.