Loss And Loss Adjustment Expense Reserves

Definition of "Loss and loss adjustment expense reserves"

Joyce Smith real estate agent
Joyce Smith, Real Estate Agent Watson Realty Corp. Fleming Island

Amount of the insurance company's liabilities for claims that have not been settled. If this reserve increases significantly in relation to the company's surplus, the risk is greater for potential deficiencies in the reserves; that is, the reserves could prove to be inadequate to meet future claim payments.

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