1 2 3 4 5 7 8 A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
I- I. Ia Ib Ic Id If Ig Il Im In Ip Ir Is It
In- Ina Inc Ind Ine Inf Ing Inh Ini Inj Inl Inn Inp Inq Ins Int Inu Inv Inw

Incurred loss

(1) in relation to the totality of an insurer’s general insurance business, or a given class of such business, the claims paid in a given year less the claims reserve at the beginning of the year plus the claims reserve at the end of the year; (2) in relation to a cohort of claims originating in a given policy year or accident year the amounts paid to date on settled or partly settled claims plus the reserve for open claims (that is, excluding the BNR element).
***
(01 The losses paid or payable for claims covered by a policy or group of policies attributable to a specific coverage period provided by the policy or policies (02) Paid losses adjusted for changes in the loss reserve for a calendar or financial year period.

Incurred Loss (also known as Loss Incurred)

For a specific reinsurance period (typically annual) incurred loss is calculated as paid losses during the period, plus outstanding loss at the end of the period, minus outstanding losses at the beginning of the period irrespective of when the loss actually occurred or when the original policy attached. Example: For the period 1/1/XX – 12/31XX, if outstanding losses at 1/1 are 15, paid losses during the year are 20, and outstanding losses at 12/31 are 12, then Incurred loss for the period 1/1/XX – 12/31/XX = 17 (32-15)

Incurred loss ratio

UK: Incurred losses stated as a percentage of earned premiums.
***
The percentage of losses incurred to premium earned.
***
UK: the ratio of losses incurred to premiums earned, expressed as a percentage.
***
The ratio of losses sustained as compared to money earned from premiums.

Incurred losses

Losses that have been sustained during a specific time period. These losses may or may not be paid during this time period.
***
The aggregate of the paid and outstanding claims of an insurer or reinsurer for a year of account or some other given period of time. These losses represent known losses to an insurer or reinsurer and, subject to issues of proof of liability and the determination of the final amount payable in the case of outstanding claims, are relatively certain.
***
The value of claim payments plus reserves.