loss ratio

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  • noun

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the ratio of the annual claims paid by an insurance company to the premiums received

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734 Relative volatility of expected loss ratio versus actual loss ratio is [sigma]([l.
Loan payment amounts reflect a 10% loss rate as compared with the actual loss ratio of 2%.
It will also be required to pre-file its rates for review every three years, and to re-file its rates for the next year if its actual rates in any year result in an actual loss ratio of less than 40 percent for the immediately preceding calendar year.
Assuming a working year of 300 days, the actual loss ratio was derived by dividing 23.
With respect to United Dental Care, important factors that could affect actual results include, but are not limited to, the actual loss ratio on the company's dental indemnity business, the future cost of dental services performed under the company's point-of-service dental plans, the effectiveness of certain administrative changes to the company's operations and the actual sales of the company's products.
Now suppose that six months later, the actual loss ratio on the healthcare index was 75% instead of 65%, due to an unexpected increase in AIDS-related costs, or an unexpected outbreak of a new strain of flu.