The NAIC glossary describes the incurred-loss basis as losses divided by earned premiums. This is general actuarial terminology, not a Singapore regulatory threshold. Employer reports may instead show a paid-claims measure.
Illustration: S$16,000 divided by S$20,000 is 80%. Before using that figure, label the numerator, denominator, period, valuation date and any outstanding claims.
A loss ratio alone does not determine a renewal price. Income describes FlexCare as portfolio-underwritten, illustrating why HR should ask how the particular product uses claims experience.
Sources
- National Association of Insurance Commissioners (US): Glossary of Insurance Terms
Loss Ratio; Losses Incurred
Reviewed 23 October 2026 · Source details
- Income Insurance: Employees FlexCare (group insurance for employees)
Reviewed 23 October 2026 · Source details