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Foundations of Casualty Actuarial Science

coverage, the term IBNR represents the liability for unpaid claims
that have been incurred and reported ,but not fully developed.

Incurred Expense
A cost of administering insurance which has happened, whether
or not paid.

Incurred Loss
An amount representing the losses paid plus the change in
outstanding loss reserves within a given period of time; losses
which have happened and which will result in a claim under
the terms of an insurance policy or a self-insurance
mechanism; case incurred loss includes payments and
reserves for individual claims, it does not include IBNR.

Incurred Loss Ratio
The ratio of losses incurred to premiums earned.

Indemnify
To pay for loss suffered.

Indexing
A procedure which adjusts rating factors in accordance with the

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