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The ratio of the claims paid by an insurer to the premiums earned, usually for a one-year period.
- ‘The increase in the cost of the premium was not related to the loss ratio or the dollar amount of the claims against the policy.’
- ‘Their loss ratio this last year was less than 50%.’
- ‘The net premium will be adjusted to ensure that cumulative paid loss ratio does not exceed 80% per annual period subject to a maximum net premium of £550 per certificate issued for the relevant annual period.’
- ‘The industry's paid loss ratio is now 34 percent, a 15-year low and well below the break-even rate of 58 percent.’
- ‘Given the increasing need of camps to interact more effectively and consistently with insurance companies - especially if one is interested in impacting the camp's loss ratio - this makes good sense.’
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