https://www.insurerbrain.com/w/index.php?action=history&feed=atom&title=Definition%3AReported_basisDefinition:Reported basis - Revision history2026-06-15T09:06:05ZRevision history for this page on the wikiMediaWiki 1.43.8https://www.insurerbrain.com/w/index.php?title=Definition:Reported_basis&diff=12248&oldid=prevPlumBot: Bot: Creating new article from JSON2026-03-12T09:58:14Z<p>Bot: Creating new article from JSON</p>
<p><b>New page</b></p><div>📋 '''Reported basis''' describes an approach to measuring [[Definition:Claims | claims]] or [[Definition:Loss | losses]] in which only those claims that have been formally reported to the [[Definition:Insurance carrier | insurer]] by a given evaluation date are included in the analysis. This stands in contrast to an [[Definition:Ultimate basis | ultimate basis]], which also incorporates estimates for losses that have [[Definition:Incurred but not reported (IBNR) | occurred but have not yet been reported]] (IBNR). The distinction is fundamental across the global insurance industry — whether one is examining a [[Definition:Loss ratio (L/R) | loss ratio]], a [[Definition:Reserve | reserve schedule]], or a [[Definition:Reinsurance treaty | reinsurance treaty]] exhibit.<br />
<br />
🔎 When data is presented on a reported basis, it reflects the insurer's recorded [[Definition:Case reserve | case reserves]] and paid amounts for claims that have entered the system, without layering on the [[Definition:Actuary | actuarial]] projections needed to capture late-emerging losses. In long-tail lines such as [[Definition:Liability insurance | liability]] or [[Definition:Workers' compensation insurance | workers' compensation]], the gap between reported and ultimate figures can be substantial, especially in the early development years of a given [[Definition:Accident year | accident year]]. [[Definition:Reinsurer | Reinsurers]] frequently request reported-basis data when evaluating [[Definition:Ceding company | cedants']] submissions, since it offers a raw, unfiltered view of development patterns that can then be independently projected. [[Definition:Bordereaux | Bordereaux]] reports exchanged between cedants and reinsurers, or between [[Definition:Managing general agent (MGA) | MGAs]] and capacity providers, are typically compiled on a reported basis.<br />
<br />
⚠️ Understanding whether a figure is stated on a reported or ultimate basis is essential for avoiding analytical errors. A reported-basis [[Definition:Loss ratio (L/R) | loss ratio]] for a recently underwritten [[Definition:Accident year | accident year]] may appear deceptively favorable simply because many claims have not yet surfaced — a phenomenon particularly pronounced in classes with long [[Definition:Reporting lag | reporting lags]], such as [[Definition:Professional liability insurance | professional liability]] or [[Definition:Asbestos liability | latent disease coverages]]. Financial reporting standards across jurisdictions — whether [[Definition:US GAAP | US GAAP]], [[Definition:IFRS 17 | IFRS 17]], or local statutory frameworks — generally require insurers to book reserves on an ultimate basis for balance sheet purposes, but reported-basis exhibits remain indispensable for [[Definition:Loss development | loss development]] analysis, [[Definition:Triangulation | triangulation]], and [[Definition:Pricing | pricing]] reviews.<br />
<br />
'''Related concepts:'''<br />
{{Div col|colwidth=20em}}<br />
* [[Definition:Incurred but not reported (IBNR)]]<br />
* [[Definition:Case reserve]]<br />
* [[Definition:Loss development]]<br />
* [[Definition:Accident year]]<br />
* [[Definition:Ultimate loss]]<br />
* [[Definition:Triangulation]]<br />
{{Div col end}}</div>PlumBot