Loss Run Processing SOP (Commercial Lines Insurance)

Loss runs are a critical component of commercial insurance underwriting and renewal workflows. Insurance carriers require loss run reports to evaluate a business’s historical claims activity before issuing quotes or renewing policies. Because loss runs must often be requested from multiple prior carriers, agencies need a structured process for collecting, tracking, and delivering these reports.

A standardized loss run processing SOP helps insurance agencies ensure that requests are submitted properly, follow-ups are handled consistently, and underwriting teams receive complete documentation. This procedure outlines the workflow used by insurance agencies and insurance BPO servicing teams when requesting and processing commercial insurance loss runs. Learn how organizations structure process documentation.

Purpose of the Loss Run Processing SOP

The purpose of this SOP is to standardize how commercial insurance loss run reports are requested, tracked, and delivered to underwriting teams. Loss run documentation is often required for new business submissions, renewal remarketing, and underwriting reviews. A structured process ensures that agencies obtain accurate reports from prior carriers without delays.

Following a consistent workflow helps agencies:

Standardizing the loss run workflow improves underwriting efficiency and reduces delays during quoting and renewal processes.

Scope of the Procedure

This procedure applies to all commercial lines policies that require loss run reports as part of underwriting review or renewal remarketing. Loss run reports may be required for coverages such as general liability, workers compensation, commercial auto, and other commercial insurance policies.

The workflow may be performed by account managers, operations staff, or insurance BPO teams depending on the agency’s operational structure. The SOP covers the process from receiving the request for loss runs through delivery of the reports to the underwriting or quoting team. Understand how organizations preserve operational knowledge through knowledge transfer.

Roles and Responsibilities

Producer or Broker

Responsible for initiating the loss run request during new business submissions or renewal remarketing.

Account Manager or CSR

Responsible for requesting loss run reports from prior carriers and tracking responses.

Insurance Operations Team

Responsible for documenting requests and organizing received reports.

Carrier Representatives

Responsible for providing historical loss run reports upon request.

Tools and Systems Used

Loss Run Processing Workflow

Step 1

Identify Need for Loss Runs

Determine whether loss run reports are required for underwriting review, renewal remarketing, or new business submissions.
Step 2

Gather Prior Carrier Information

Collect information about the client's prior carriers, policy numbers, and coverage periods.
Step 3

Submit Loss Run Requests

Send requests to prior carriers through their designated request channels such as email, portals, or carrier forms.
Step 4

Track Request Status

Record the request within the agency management system and track outstanding responses.
Step 5

Follow Up With Carriers

If responses are delayed, follow up with the carrier to obtain the required reports
Step 6

Review Received Reports

Review the loss run reports to confirm coverage periods, claim details, and accuracy.
Step 7

Deliver Reports to Underwriting Team

Provide the loss run documentation to the producer or underwriting team handling the submission.
Step 8

Archive Documentation

Store the reports within the agency’s document management system for compliance and future reference.

Common Loss Run Request Scenarios

Common Errors in Loss Run Processing

A structured SOP helps agencies ensure that loss run reports are obtained efficiently and accurately. Learn how operational runbooks support incident response.

Automating Insurance SOP Documentation

Insurance agencies often document loss run workflows as part of their operational SOP libraries. Instead of manually writing procedures, agencies can capture operational knowledge by recording walkthroughs explaining how loss run requests are processed.

AI-powered documentation systems analyze these walkthroughs and convert them into structured SOP documentation. ProcessDeck allows agencies and insurance BPO teams to generate SOP documentation automatically by converting operational walkthrough recordings into structured procedures. Explore how SOP automation helps teams generate procedures faster. See how walkthroughs can be converted into documentation automatically.

Stop waiting weeks for SOPs

Record your loss run processing workflow walkthrough and generate a structured SOP automatically with ProcessDeck.

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