One item that appears on an insurance company's financial statements is a liability that represents an estimate of the claims reported and adjusted but not yet paid,claims reported and filed but not yet adjusted,and claims incurred but not yet reported to the company.This liability is called the insurer's

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The liability described in the statement is commonly referred to as the insurer's loss reserve. It represents an estimation of the company's future obligations to pay out claims that have been reported but not yet paid, as well as claims that have been filed but not yet fully assessed, and even claims that have been incurred but not yet reported to the company. The loss reserve is a critical component of an insurance company's financial statements, as it represents a significant portion of their long-term liabilities.

One Item That Appears on an Insurance Company's Financial Statements