Maximum foreseeable loss is a loss-estimation concept used in property and risk analysis under stated assumptions.
The distinction that matters
It is an estimate rather than an insurance limit or guaranteed claim settlement.
What to check
- Check assumed failure of protections.
- Review asset and interruption values.
- Compare the estimate with policy limits.
Example to discuss
A factory reviews whether an estimate assumes fire protection is unavailable during the event.
This is a hypothetical comparison, not a customer claim or a determination of cover.
Sources and further reading
General information only. The policy, schedule and applicable rules determine the actual position. For a personal decision, use an appropriately qualified adviser or the relevant provider.