In general insurance, claims and operating expenses as a percentage of premium income.... more on: Combined ratio

A sum of two ratios, one calculated by dividing incurred losses plus loss adjustment expenses by earned premiums, and the other calculated by dividing all other expenses by written premiums. When applied to a company's overall results, the combined ratio is also known as the composite, statutory, or trade ratio. In both insurance and reinsurance, a combined ratio below 100% indicates an underwriting profit.

The ratio of claims plus COMMISSION and BROKERAGE (more commonly known as general reinsurance expenses) to premiums. The combined ratio may be calculated gross or net of REINSURANCE, in respect of RETROCESSIONs, on an ultimate basis or in respect of earned premiums.

a figure that combines losses and expenses as a percentage of income

The sum of an expense ratio and loss ratio. An underwriting profit occurs when the combined ratio is under 100% and an underwriting loss occurs when the combined ratio is over 100%.

Total of theÂ loss ratioÂ andÂ expense ratio; can be calculated on aÂ grossÂ orÂ netÂ basis.

(Insurance Property/Casualty/Industry)—the percentage of losses to premiums earned plus the percentage of expenses to premiums written. The break even point is 100%; in other words, a combined ratio of less than 100% represents an underwriting profit and a combined ratio of more than 100% represents an underwriting loss.

The claims and expenses of an insurer/reinsurer for a given period divided by its premium for the same period. It is normally expressed as a percentage with any figure in excess of 100% signifying a technical underwriting loss.

Basically, a measure of the relationship between dollars spent for claims and expenses and premium dollars taken in; more specifically, the sum of the ratio of losses incurred to premiums earned and the ratio of commissions and expenses incurred to premiums written. A ratio above 100 means that for every premium dollar taken in, more than a dollar went for losses, expenses, and commissions.

The sum of an insurance company's loss ratio and expense ratio; used as an indicator of profitability for insurance companies.

The sum of the claims ratio and the cost ratio for an insurance company or a re-insurance company. A combined ratio of more than 100% does not necessarily mean that there is a loss on insurance policies, because the result also includes the allocated investment income.

The addition of the ratio of losses incurred to earned premiums, and the ratio fo underwriting expenses to written premiums.

A rough indication of the profitability of a property and liability insurer's underwriting operations, generally computed by adding the ratio of losses incurred to premiums earned and expenses incurred to premiums written.

The sum of both the loss ratio and expense ratio used to measure underwriting performance.

Percentage of each premium dollar a property/casualty insurer spends on claims and expenses. A decrease in the combined ratio means financial results are improving; an increase means they are deteriorating.

The ratio between the insurer's total expenses (claims burden, commissions and general expenses) and premiums received. The combined ratio is only applied to non-life insurance.

The sum of the loss ratio plus the expense ratio plus the policyholder dividend ratio.