1. An amount set aside to provide for outstanding claims, reported and not reported. 2. A reserve deposited by a reinsurer with the reinsured to cover outstanding claims. It is often done by way of irrevocable letter of credit in connection with US treaties and contracts.
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The company’s best estimate of what it will pay for claims, which is periodically readjusted. They represent a liability on the insurer’s balance sheet.

Requires the ceding company to retain a proportion of the loss to the reinsurers once an agreed loss ratio has been exceeded.

a basis that applies to most liability insurance, in which the trigger for liability is a loss occurring in the policy period, regardless of the time of negligence or the date of claim (contrast claims made).

Covers losses occurring during the period of the treaty regardless of the date of the claim. The reinsurer’s liability is triggered by an occurrence within the treaty period even though the underlying policy may have been incepted before the treaty commenced as in long-tail claims. Compare with claims-made reinsurance and risks attaching.

The years by which a person’s life expectancy is reduced following injury caused by another person. During his lifetime the claimant is able to recover as a separate head of damages for the loss of earnings during the ‘lost years’ (Pickett v. British Rail Engineering Ltd (1980) A.C. 136). However, the legal representatives of a deceased person can no longer recover damages under this head for the estate (Adminstration of Justice Act 1982).