Enter the total amount of damages ($) and the total insurance premium ($) into the Insurance Loss Ratio Calculator. The calculator will evaluate and display the Insurance Loss Ratio.

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## Insurance Loss Ratio Formula

The following formula is used to calculate the Insurance Loss Ratio.

ILR = D / P

**ILR = D / P * 100**

- Where ILR is the Insurance Loss Ratio
- D is the total amount of damages ($)
- P is the total insurance premium ($)

To calculate the insurance loss ratio, divide the total damages by the total premium.

## How to Calculate Insurance Loss Ratio?

The following example problems outline how to calculate Insurance Loss Ratio.

Example Problem #1:

- First, determine the total amount of damages ($).
- The total amount of damages ($) is given as: 15,000.

- Next, determine the total insurance premium ($).
- The total insurance premium ($) is provided as: 10,000.

- Finally, calculate the Insurance Loss Ratio using the equation above:

ILR = D / P * 100

The values given above are inserted into the equation below and the solution is calculated:

ILR = 15,000 / 10,000 * 100 = 150.00 (%)

Example Problem #2:** **

For this problem, the variables required are provided below:

total amount of damages ($) = 30,000

total insurance premium ($) = 40,000

Test your knowledge using the equation and check your answer with the calculator above.

ILR = D / P * 100** = ?**