Claims
Loss
Definition
The amount of financial damage suffered by an insured as a result of a covered event. In insurance, a loss triggers the claims process and determines the payout amount.
In Zach’s Words
“A loss is the bad thing that happened — the fire, the theft, the accident, the lawsuit. When your insurance company talks about a 'covered loss,' they mean an event that your policy actually pays for. Not every bad thing is a covered loss, which is why reading your policy matters.”
— Zach Nadler, CIO