Loss ratios vary depending on the type of insurance. For example, for health insurance the loss ratio tends to be higher than for property and casualty such as car insurance. This is an indicator of how well an insurance company is doing. This ratio reflects if companies are collecting premiums higher than the amount paid in claims or if it is not collecting enough premiums to cover claims. Companies that have high loss claims may be experiencing financial trouble.
Investment dictionary. Academic. 2012.
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Loss ratio — in insurance is the ratio of total losses paid out in claims plus adjustment expenses divided by the total earned premiums. [Harvey Rubin, Dictionary of Insurance Terms, 4th Ed. Baron s Educational Series, 2000] If an insurance company, for… … Wikipedia
loss ratio — loss ra·tio / rā ˌshō, rā shē ˌō/ n: the ratio between insurance losses incurred and premiums earned during a given period Merriam Webster’s Dictionary of Law. Merriam Webster. 1996 … Law dictionary
loss ratio — n. the ratio between the losses incurred and the premiums earned by an insurance company during a specified time … English World dictionary
loss ratio — The total of the claims paid out by an insurance company, underwriting syndicate, etc. , expressed as a percentage of the amount of premiums coming in in the same period. For example, if claims total £2M and premiums total £4M, the result is a… … Big dictionary of business and management
loss ratio — draudimo nuostolingumas statusas Aprobuotas sritis draudimo veikla apibrėžtis Išmokų sąnaudų ir uždirbtų įmokų santykis. atitikmenys: angl. loss ratio šaltinis Lietuvos Respublikos draudimo priežiūros komisijos 2004 m. spalio 1 d. nutarimas Nr. N … Lithuanian dictionary (lietuvių žodynas)
loss ratio — loss′ ra tio n. bus the ratio of the losses paid by an insurer to premiums earned for a given period • Etymology: 1925–30 … From formal English to slang
loss ratio — Terminology of insurers; a ratio arrived at by measuring losses incurred, plus loss adjustment expenses, incurred against premiums earned. See premium earned … Ballentine's law dictionary
loss ratio — noun the ratio of the annual claims paid by an insurance company to the premiums received • Hypernyms: ↑ratio … Useful english dictionary
loss ratio — noun Date: 1926 the ratio between insurance losses incurred and premiums earned during a given period … New Collegiate Dictionary
loss ratio — Insurance. the ratio of the losses paid or accrued by an insurer to premiums earned, usually for a period of one year. [1925 30] * * * … Universalium