Glossary
First Notice of Loss
The initial report of a claim to the carrier, starting the claims process.
FNOL captures what happened, when, and to whom, and it starts the clock on the carrier's handling obligations. Agencies are usually the first point of contact when a client suffers a loss, so they frequently take the FNOL and pass it on.
Speed matters. Delayed reporting can prejudice a claim and, where the delay was the agency's, becomes an errors-and-omissions problem. Logging the notice and the time it was relayed is basic self-protection.
See also
- Claims Reserve — The amount an insurer sets aside as its estimate of what an open claim will ultimately cost.
- Loss Run — A carrier-issued report of an insured's claims history over a stated period, used in underwriting and renewal marketing.
- Errors and Omissions Insurance — Professional liability coverage protecting an insurance agency against claims arising from mistakes in the advice or ser…