Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) “Specified disease policy” refers to any insurance policy or contract which provides benefits to a policyholder only in the event that the policyholder contracts the disease or diseases specifically named in the policy.

(2) “Loss ratio” means the incurred claims as a percentage of the earned premium, computed under rules adopted by the commissioner. Earned premiums and incurred claims shall be computed under rules adopted by the commissioner.