Loss Ratio

Dictionary Says

Definition of 'Loss Ratio '

The difference between the ratios of premiums paid to an insurance company and the claims settled by the company. Loss ratio is the total losses paid by an insurance company in the form of claims. The losses are added to adjustment expenses and then divided by total earned premiums. So if a company pays $80 in claims for every $150 in collected premiums, then the company has a loss ratio of 53%.
Investopedia Says

Investopedia explains 'Loss Ratio '

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.

 

Search results for

'Loss Ratio '

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    ... buy. That's where the good news ends. Capping the Medical Loss Ratio The
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  • Money Management Using the Kelly Criterion

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    ... Win/loss ratio - The total positive trade amounts divided by the total
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  • Losing To Win

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    ... Simply looking at a win/loss ratio is not enough.". ... Out of a total of 12 trades,
    seven were profitable - that's a win/loss ratio of 58%. ...
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    ... to advanced.) While trading forex can be a confusing field to master, filing taxes
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  • Texas Ratio Not The Holy Grail

    http://stocks.investopedia.com/stock-analysis/2008/Texas_Ratio_Not_The_Holy_Grail_ITYC_IDMC_WB.aspx
    ... as the sum of all non-performing assets and loans that are more than 90 days past
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  • Texas Ratio Rounds Up Bank Failures

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    ... rates for all banks, and loan loss reserves are already supposed to incorporate
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  • Forex Trading Rules: What Is Mathematically Optimal Is ...

    http://www.investopedia.com/university/forex-rules/rule8.asp
    ... You just let a 180-point profit turn into a 100-point loss. ... far sooner than two times
    risk, a practice that often reduces their reward-to-risk ratio to 1.5 or ...
  • Tempest-Tossed Berkley

    http://stocks.investopedia.com/stock-analysis/2011/Tempest-Tossed-Berkley-WRB-ALL-ACGL-BRK.A-PGR-XL0729.aspx
    ... While the company saw a slight increase in its expense ratio (up about 60 basis
    points), that was buried by a whopping six point increase in loss ratio (for a ...
  • Ratio Writing: A High-Volatility Options Strategy

    http://www.investopedia.com/articles/optioninvestor/02/111202.asp
    ... every cent below your breakeven of $430 would result in a $50 loss. ... Since we are
    selling high implied volatility with ratio writes (and are therefore short ...

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