A loss run report is a document prepared by an insurance provider that outlines a contractor’s claims history. It includes details such as:
- Dates of reported claims
- Types of claims (e.g., property damage, injury, equipment loss)
- Claim status (open, closed, denied, settled)
- Payout amounts (if any)
In simple terms, it’s like a credit report for your business’s insurance record—showing how many times you’ve filed claims and how risky you are to insure.
Why Do Insurers Ask for Loss Run Reports?
Insurance companies request loss run reports when you:
- Apply for a new policy
- Renew an existing policy
- Request a quote from a new carrier
- Bid on a commercial project requiring proof of insurability
They use this report to:
- Evaluate your risk level
- Set your premium
- Decide whether to approve or deny coverage
📌 Pro Tip: A clean loss run report with few or no claims can help you negotiate lower premiums or qualify for better terms.
What’s Included in a Construction Loss Run Report?
A standard loss run includes:
| Field | Description |
|---|---|
| Policy number | Your insurance policy ID |
| Policy effective dates | Coverage start and end dates |
| Claim number | Unique ID for each filed claim |
| Loss date | Date when the incident occurred |
| Type of loss | e.g., property damage, workers’ comp, third-party injury |
| Status | Open, Closed, Denied, Pending |
| Amount paid/reserved | Financial impact to insurer |
This data helps both you and your broker understand your claims frequency and severity, two key factors in underwriting.
How to Request a Loss Run Report
You can request a loss run report from your current or past insurance carrier. It’s typically free, and by law in many states, carriers must respond within 10–15 business days.
📝 Here’s how:
- Contact your agent or carrier in writing.
- Specify which policies you want (e.g., general liability, workers’ comp).
- Ask for the last 3–5 years of reports.
- Keep copies on file for upcoming renewals or bids.
🛡 Pro Tip: Ask for loss run reports early before shopping for new insurance, so you can address any issues proactively.
How Loss Run Reports Affect Premiums
Insurers view high-frequency claims or large payouts as red flags. Even frequent small claims can lead to:
- Higher premiums
- Limited coverage options
- Denial of certain policy types
Conversely, a clean report may qualify you for:
- Lower deductibles
- Rate reductions
- Bundled policy savings
Loss Run Reports in Construction Bidding
General contractors and project owners may request your loss run report before awarding a contract—especially on commercial or government projects. This shows them you:
- Maintain a safe work environment
- Manage risk responsibly
- Are likely to meet insurance obligations
In these cases, a clean loss run builds credibility.
How to Clean Up a Loss Run Report
While you can’t erase claims, you can improve your report over time:
✅ Implement better jobsite safety protocols
✅ Track and reduce near-misses
✅ Review claims with your broker and dispute errors
✅ Choose higher deductibles to avoid filing small claims
✅ Document all risk mitigation steps
Conclusion – Keep Your Loss Run Report Clean and Ready
Your loss run report is one of the most important insurance documents you’ll ever manage in construction.
Keep it updated. Understand what’s in it. And use it strategically to:
- Lower your premiums
- Win more bids
- Reduce liability risk
- Prove your professionalism