Percentage relationship of the total of expenditure for insurance claims plus expenditure on insurance operations to earned premiums – all net. This is equivalent to the total of the loss and expense ratio. This is an important indicator when considering the profitability of a [policy(@leoglossary/leoglossary-policy-insurance), a sub portfolio or a complete insurance portfolio. If this figure exceeds 100%, it results in a technical loss for the transaction in question.
LeoGlossary: Combined Ratio (Insurance)
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