loss ratio


Definition of loss ratio

: the ratio between insurance losses incurred and premiums earned during a given period

Examples of loss ratio in a Sentence

Recent Examples on the Web The loss ratio tracks losses incurred to premiums earned. Patrick Danner, San Antonio Express-News, 20 Apr. 2022 That means the good-win versus bad-loss ratio remains tilted heavily in the wrong direction. San Diego Union-Tribune, 5 Jan. 2022 In the most recent 12-month period the medical loss ratio was 92.3%, or for every $1 in premiums, the plan paid out 92.3 cents for claims, the comptroller’s office said. Stephen Singer, courant.com, 22 Dec. 2021 Congress should also enact reforms that would improve choice and competition and thereby lower average individual market premiums by eliminating the ACA’s age-rating band and minimum loss ratio and loosening benefit mandates. Brian Blase, Forbes, 20 Oct. 2021 Insurers See More Risk, Higher Rates From 2016 to 2019, cyber insurers had an average loss ratio of 40%. Mandeep Singh, Bloomberg.com, 6 Oct. 2021 Allstate, the second-largest home insurer in America, which has had decades to refine its underwriting, had a loss ratio of 71% in the second quarter. Jeff Kauflin, Forbes, 30 Sep. 2021 The loss ratio prior to the pandemic was about 62, the attorney general’s office said in a March 31 letter to the DOI. BostonGlobe.com, 19 Aug. 2021 The company’s medical-loss ratio—a measure of the proportion of premiums paid out for medical care—rose to about 83% because of the return toward normal levels of healthcare use. Matt Grossman, WSJ, 15 July 2021 See More

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'loss ratio.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

First Known Use of loss ratio

1926, in the meaning defined above

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Time Traveler for loss ratio

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The first known use of loss ratio was in 1926

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Dictionary Entries Near loss ratio

loss of life

loss ratio


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Statistics for loss ratio

Last Updated

26 Apr 2022

Cite this Entry

“Loss ratio.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/loss%20ratio. Accessed 26 May. 2022.

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More Definitions for loss ratio

loss ratio

loss ra·​tio | \ -ˈrā-ˌshō, -ˈrā-shē-ˌō \

Legal Definition of loss ratio

: the ratio between insurance losses incurred and premiums earned during a given period


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