Insurance Claim Cycle Calculator

Claim cycles drive cash flow and working capital.

Total loss amount

Deductible

Reporting days

Adjuster days

Payment days

Carry rate %

Total cycle days

Carry cost

$5,974

Net recovery (loss − deductible)

$395,000

How the math works

Cycle = reporting + adjuster + payment. Net recovery = loss − deductible. Carry = recovery × rate × days/365.

3 + 45 + 21 = 69 days. $395k net at 8% × 69/365 ≈ $5,980 carry cost. Working capital impact for large claims.

How to Use

Enter total loss amount.
Enter deductible.
Enter reporting days.
Enter adjuster days.
Enter payment days.
Enter carry rate %.
Read total cycle and carry cost.

Frequently Asked Questions

Typical cycle times?

Simple claim (minor damage, clear cause): 30-60 days. Complex (large fire, business interruption): 90-180 days. Disputed (liability, coverage questions): 6-24 months. Pandemic/natural disaster claims: often extended beyond typical by backlog.

Carry cost?

Landlord funds restoration out of pocket while insurance pays on back end. At 6-9% cost of capital, 90-day cycle on $200k loss costs $3-5k in carry. Large claims (>$1M) with 6+ month cycles create material working capital needs.

Compressing cycle?

Prompt notice (24-48 hrs). Thorough documentation (photos, videos, receipts). Public adjuster for complex claims ($100k+). Pre-selected restoration contractors. Clear policy language review pre-claim. Track claim progress weekly via adjuster contact.