The waveguide modes of separated multiclad-layer (SML) laser diodes are calculated accurately by means of laterally-coupled mode equations. Thereby, it is shown that the mode losses are appreciably higher as compared to previous calculations. In particular, enhancement of the mode losses in narrow-stripe SML lasers (

m) may explain the relatively high threshold currents and low efficiencies reported so far for AlGaAs-GaAs and InGaAsP-InP SML lasers. A detailed investigation of various geometries reveals this laser structure to equal the related channeled substrate planar (CSP) laser with respect to the waveguide losses.