Common use of Losses incurred Clause in Contracts

Losses incurred. for the Agreement Year shall mean the loss and loss expense paid by the reinsurer (less salvages and recoveries received) on loss occurring during the Agreement Year, plus loss and loss expense reserves outstanding on losses occurring during the Agreement Year and an IBNR factor of 6.5% for the first adjustment period.

Losses incurred. for the Agreement Year shall mean the loss and loss expense paid by the reinsurer Reinsurer (less salvages and recoveries received) on loss losses occurring during the Agreement Year, plus loss and loss expense reserves outstanding on losses occurring during the Agreement Year and an IBNR factor Year, minus any loss participation, if any, by the Company as provided for in the LOSS RATIO CORRIDOR ARTICLE. C. 1. Should the ratio of 6.5losses incurred to premium earned be 74% for or higher, then the first adjustment periodadjusted ceding commission shall be 20%.