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In this video tutorial, the host explains how to create an Affidavit of Loss using Microsoft Word. Start by opening a new document and setting the layout to legal size, commonly used for legal documents. Choose normal margins or adjust as needed, using Times New Roman font at size 12 (custom options are also acceptable). Ensure the paragraph spacing is set to single. Begin by typing the country and city of residence, adding "SS" for "silica" afterward. Next, type the title "Affidavit of Loss" in bold, capital letters, and center it. The tutorial continues to guide viewers through the specific details needed for the affidavit.