Insurance Glossary

Insurance Term - Loss Reserve

The estimated liability, as it would appear in an insurer's financial statement, for unpaid insurance claims or losses that have occurred, as of a given evaluation date is known as Loss Reserve. It usually includes the losses incurred but not reported (IBNR), losses due but not yet paid and amounts not yet due. For individual claims, the loss reserve is the estimate of what will be paid out ultimately on that claim.

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