### Question
Can you define what loss ratio means?


### Answer
**Loss ratio** is defined as the following in *7 U.S.C. § 1502*:

> the ratio of all sums paid by the Corporation as indemnities under any eligible crop insurance policy to that portion of the premium designated for anticipated losses and a reasonable reserve, other than that portion of the premium designated for operating and administrative expenses

#### Citation:
  - *7 U.S.C. § 1502*
  - Heading: **CHAPTER 36-CROP INSURANCE**

