When an insured requests a “claims report” from their workers’ comp carrier, it is referred to as a “loss run” or “loss runs”. In the past, it has been difficult to get insurers to provide loss runs in a timely manner. Why? Because it is usually a signal that the client is looking for a new method of insurance. Naturally insurers are hesitant to assist clients in leaving.

The state of Florida has addressed this with a new law.

The following is taken from the continuing education course for Property and Casualty agents, through WEBCE

Loss Run Statements upon Insured Request

Florida S.B. 292 brought about a new piece of legislation requiring insurers to provide insureds with loss run statements when they request. The statement must be provided electronically, by sending a document, or allowing access through an online portal to view or generate the document. It must be provided within 15 calendar days after receipt of the insured’s written request.

As defined by the new law, a “loss run statement” is a report that contains the following information about an insured’s claims data:

  • policy number
  • period of coverage
  • number of claims
  • paid losses on all claims
  • date of each loss

Includes Loss Report Only

This term does not include supporting claim file documentation such as copies of claim files, investigation reports, evaluation statements, insureds’ statements, or documents protected by common law or statutory privilege.

In lieu of a loss run statement for personal lines of insurance, the insurer may provide information on how to obtain a loss run statement at no charge through a consumer reporting agency. If an insured obtains a statement in this manner, he or she is still entitled to receive a loss run statement from the insurance company.

Agent Must Be Notified

At the time a loss run statement is provided, the insurer is required to notify the agent of record that the loss run statement was provided to the insured.

The statement must contain a claims history with the insurer for the preceding five years or, if the claims history is less than five years, a complete claims history with the insurer.

Reserves Not Mandatory

Insurers are not required to provide loss reserve information. An insurer may not charge any fee to prepare and provide one loss run statement annually. However, a fee may be charged for more than one statement in a year.

This new law is effective January 1, 2021.

Not Getting Your Loss Runs? Get Help!

EmployerNomics has resources to assist you in getting your loss runs. If you need some help, please start a conversation with us below …
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