losses incurred, policy-year basis

  • The sum of losses paid and outstanding losses under policies issued effective in a given calendar year with losses computed to the expiration of all such policies. Thus, two full years make up a policy year.

    Internal Revenue Service 1

1Internal Revenue Service, Internal Revenue Manual 4.42.6 Glossary, http://­www.irs.gov/­irm/­part4/­irm_04-042-006.html (last accessed Dec. 22, 2009).