Loss Run

Last updated October 13, 2026

How a loss run works

Insurers produce loss runs periodically for their policyholders, and a broker or insured can ask for them from current and prior carriers. Each line of a loss run describes one claim. It usually includes the date of loss, the type or description, the status (open or closed), amounts paid, and amounts reserved, meaning the insurer's estimate of what remains to be paid. Paid plus reserved is often shown as total incurred. Everything is stated as of the valuation date printed on the report.

Underwriters read loss runs when a business shops coverage, renews, or applies with a new carrier. They look for frequency, severity, open claims, and patterns that suggest a control problem.

Because carriers handle requests differently, it helps to ask early. Renewal timelines are tight, and a missing or outdated loss run can delay quotes for several coverage lines at once.

Example

What to watch for

• Check accuracy first. Look for claims listed under the wrong policy period, wrong coverage line, or duplicated entries, and ask the carrier to correct errors before submitting.
• Valuation date. Underwriters generally want a recent valuation date, so an old report may need refreshing.
• Reserves change. A reserve is an estimate and can move up or down until the claim closes.
• One report per carrier and line. A full history may require several loss runs. Gaps between carriers can raise questions.
• Not a consumer report. The personal home and auto claims database, known as C.L.U.E., is separate and typically covers about five years.

What a loss run contains

Formats differ by carrier, but most loss runs include the same core fields:

• Header information: the insured's name, the carrier, the line of coverage, the policy number and the policy period.
• Claim identifiers: a claim number and sometimes the claimant or a short description of what happened.
• Dates: the date of loss and the date the claim was reported. On a claims-made policy the report date is the one that ties the claim to a policy period.
• Status: open, closed, or sometimes "incident only" or "notice only" for matters reported but not yet a claim.
• Paid amounts: money already paid, often split between loss payments and expense payments such as legal fees.
• Reserves: the insurer's current estimate of what is still to be paid on an open claim.
• Total incurred: paid plus reserved.
• Valuation date: the date the figures were calculated, usually printed at the top.
• Recoveries and deductibles: some reports show amounts recovered, for example through subrogation, or amounts the insured paid within a deductible or retention.

Who requests a loss run, and when

The insured or its broker usually asks the current and prior insurers for loss runs. The most common moments are:

• Shopping or renewing a policy, when an underwriter wants the claims history before quoting.
• Moving to a new carrier or adding a new line of coverage.
• Applying for coverage with a wholesaler or program that asks for loss history as part of the submission.
• Responding to diligence requests from investors, lenders, acquirers or landlords, who sometimes ask to see insurance history.

Each carrier and each line of coverage produces its own report, so a company with general liability, cyber and D&O policies may need several. If a policy has a large retention managed by a third-party administrator, the loss run may come from the administrator rather than the carrier.

How far back, and how current

There is no single rule. Underwriters commonly ask for roughly five years of history on many commercial lines, and less for young companies that have not existed that long. Some lines or programs ask for fewer years or more, so follow the instructions in the application or the underwriter's request.

"Currently valued" means the valuation date is recent. Underwriters often want a valuation date within a short window before the proposed effective date, commonly around 60 to 90 days, though the requirement varies. If a loss run is older than that, ask the carrier for an updated one. When a company has had no claims, carriers will often provide a letter confirming no losses were reported, sometimes called a no-loss letter, and underwriters may accept that in place of a report.

How to read a loss run

1. Confirm the basics. Check the insured's name, policy numbers, policy periods and valuation date. The report should match your named insured and cover every period in the requested range.
2. Count claims by year. Frequency, meaning how often claims occur, tells an underwriter something different from severity, meaning how large they are.
3. Separate open from closed. Open claims can still change. Closed claims show the final paid result.
4. Compare paid and reserved. A large reserve on a small paid amount means the insurer expects more cost to come. A reserve is an estimate, not a final number.
5. Look at expense separately. Legal and adjusting expense can be a large share of a claim, especially on liability policies. Whether defense costs erode the limit depends on the policy.
6. Look at dates. A long gap between the date of loss and the date reported can prompt questions.
7. Look for notice-only entries. Items with no payment and no reserve may still be noted by an underwriter, so be ready to explain them.
8. Compare totals to limits and retentions. Claims that approach or exhaust a limit matter more to an underwriter than the same count of small claims.

A second example: reading a loss run

Common mistakes

• Submitting a loss run that is out of date or missing a policy period.
• Skipping a prior carrier, wholesaler program or line of coverage, which leaves gaps the underwriter will notice.
• Not comparing the report to your own claim records. Errors in the carrier's report are fixable, but only if someone catches them.
• Ignoring open reserves and hoping they will not come up. They will.
• Waiting until the renewal is close to request reports. Carrier turnaround can be slow, and several lines may need several reports.
• Assuming no claims means no paperwork. A carrier letter confirming no losses may still be needed.

Why it matters for technology, AI, fintech and digital-asset companies

Young companies may have few or no claims, and they often change carriers as they add coverages or raise capital. Keeping loss runs from each carrier and line on file makes future submissions faster. A clean run helps, though underwriters also weigh the product, contracts, and controls, especially for newer risks. See how loss history feeds underwriting.

Venture-backed companies often add coverage lines quickly after a financing round, and each new line starts its own claims history. A company that has had a few policies with a few different carriers may hold loss runs spread across cyber, tech E&O, D&O, claims-made and occurrence policies. Because claims-made reports tie a claim to the date it was first made, keeping a clean record of notices of circumstances matters. See cyber and technology E&O and directors and officers liability for lines where this comes up often. A tidy claims file also helps when your premium is being set, because the underwriter has less to discount for uncertainty.

Related terms

Frequently asked questions