The loss ratio—incurred claims divided by earned premiums—is a core performance indicator used to assess underwriting profitability, pricing adequacy, and portfolio quality. Analysed over time and segmented by line, product, and distribution channel, it reveals trends such as deteriorating frequency, rising severity, or inadequate rate. Insurers combine loss ratio insights with expense and acquisition cost data to manage the combined ratio, refine underwriting appetite, and support data‑driven conversations with brokers and capacity providers.
Latest data highlight a growing claims risk – and a chance for insurers to pair cyber cover with practical, data‑led risk improvement
Timing aligns with a notable shift in underwriting performance
Defaqto warns that the current soft market phase is unlikely to be sustainable
Premium contraction tied to programme non-renewals
Profit fell on higher loss ratios and adverse prior-year development, with CNA signalling a tougher stance on pricing
