Loss Ratio definition

Loss Ratio means the ratio (expressed as a percentage) of the total amount of losses on claims associated with insurance policies incurred during a specified period to premiums earned during such period. The loss ratio is a key measure of underwriting profitability and the quality of the insurance portfolio and is used for comparisons to industry benchmarks and internal targets.

Loss Ratio means the ratio calculated by dividing the ultimate net loss by the net book premium, expressed as a percentage. For example, if $1 ultimate net loss is paid and 50 cents net book premium is received, this would be expressed as a 200 percent loss ratio.

Loss Ratio means, for any Distribution Date, the fraction (expressed as a percentage) derived by dividing (x) Net Liquidation Losses for all Contracts that became Liquidated Contracts during the immediately preceding Due Period multiplied by twelve by (y) the outstanding Principal Balances of all Contracts as of the beginning of the Due Period.

Examples of Loss Ratio in a sentence

• The policy must meet the loss ratio standards specified in § 403.215.[47 FR 32400, July 26, 1982; 49 FR 44472, Nov.7, 1984] § 403.215 Loss ratio standards.

• The initial calculation date must not be earlier than January 1 of the calendar year in which the policy is sent to CMS.(b) Loss ratio calculation period means the period beginning with the initial calculation date and ending with the last day of the period for which the in- suring organization calculates the pol- icy’s scale of premiums.

• The insuring organi- zation must calculate loss ratios ac- cording to the provisions of §§ 403.251, 403.253, and 403.254.§ 403.251 Loss ratio date and time frame provisions.(a) Initial calculation date means the first date of the period that the insur- ing organization uses to calculate the policy’s expected loss ratio.

• Loss Ratio Standards and Refund or Credit of Premium 760 IAC 3-11-1 Loss ratio standards and refund or credit of premiumAuthority: IC 27-8-13-10; IC 27-8-13-12Affected: IC 27-8-13-1 Sec.

• If the final decision is that a pol- icy lose its certification, the loss of certification will go into effect 15 days after the date of CMS’s notice inform- ing the insuring organization of the final decision.VOLUNTARY CERTIFICATION PROGRAM: LOSS RATIO PROVISIONS § 403.250 Loss ratio calculations: Gen- eral provisions.

More Definitions of Loss Ratio

Loss Ratio means the ratio of incurred losses to earned premium.

Loss Ratio means incurred claims divided by the sum of earned premiums and imputed interest earned on unearned premiums.

Loss Ratio means the ratio between the amount of premium received and the amount of claims paid by the insurer under the group insurance contract or policy. [PL 1995, c. 71, §2 (NEW).]

Loss Ratio means the ratio of indemnity to premium.

Loss Ratio means the ratio (expressed as a percentage) of the total amount of losses on claims associated with insurance policies incurred during a specified period to net premiums earned during such period.

Loss Ratio for any period means the sum of claims and claims adjustment expenses incurred, net of reinsurance, expressed as a percentage of net earned premiums.

Loss Ratio means incurred claims expense as a percentage of earned premiums.