Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 18, 2020 | Jun. 30, 2019 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 1-15202 | ||
Entity Registrant Name | W. R. BERKLEY CORP | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 22-1867895 | ||
Entity Address, Address Line One | 475 Steamboat Road | ||
Entity Address, City or Town | Greenwich, | ||
Entity Address, State or Province | CT | ||
Entity Address, Postal Zip Code | 06830 | ||
City Area Code | 203 | ||
Local Phone Number | 629-3000 | ||
Title of 12(b) Security | Common Stock, par value $.20 per share | ||
Trading Symbol | WRB | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 9,617,776,032 | ||
Entity Common Stock, Shares Outstanding | 183,421,709 | ||
Entity Central Index Key | 0000011544 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Documents Incorporated by Reference [Text Block] | Portions of the Company’s definitive proxy statement, which will be filed with the Securities and Exchange Commission within 120 days after December 31, 2019 , are incorporated herein by reference in Part III. | ||
5.625% Subordinated Debentures due 2053 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 5.625% Subordinated Debentures due 2053 | ||
Trading Symbol | WRB PRB | ||
Security Exchange Name | NYSE | ||
5.90% Subordinated Debentures due 2056 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 5.90% Subordinated Debentures due 2056 | ||
Trading Symbol | WRB PRC | ||
Security Exchange Name | NYSE | ||
5.75% Subordinated Debentures due 2056 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 5.75% Subordinated Debentures due 2056 | ||
Trading Symbol | WRB PRD | ||
Security Exchange Name | NYSE | ||
5.70% Subordinated Debentures due 2058 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 5.70% Subordinated Debentures due 2058 | ||
Trading Symbol | WRB PRE | ||
Security Exchange Name | NYSE | ||
5.10% Subordinated Debentures due 2059 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 5.10% Subordinated Debentures due 2059 | ||
Trading Symbol | WRB PRF | ||
Security Exchange Name | NYSE |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
REVENUES: | |||
Net premiums written | $ 6,863,499 | $ 6,433,227 | $ 6,260,508 |
Change in net unearned premiums | (230,211) | (61,722) | 50,911 |
Net premiums earned | 6,633,288 | 6,371,505 | 6,311,419 |
Net investment income | 645,614 | 674,235 | 575,788 |
Net realized and unrealized gains on investments: | |||
Net realized and unrealized gains before OTTI | 120,703 | 160,175 | 335,858 |
Other-than-temporary impairments (OTTI) | 0 | (5,687) | 0 |
Net realized and unrealized gains on investments | 120,703 | 154,488 | 335,858 |
Revenues from non-insurance businesses | 406,541 | 372,985 | 326,165 |
Insurance service fees | 92,680 | 117,757 | 134,729 |
Other income | 3,370 | 681 | 805 |
Total revenues | 7,902,196 | 7,691,651 | 7,684,764 |
OPERATING COSTS AND EXPENSES: | |||
Losses and loss expenses | 4,131,116 | 3,974,702 | 4,002,348 |
Other operating costs and expenses | 2,362,082 | 2,383,221 | 2,436,932 |
Expenses from non-insurance businesses | 402,669 | 364,449 | 325,417 |
Interest expense | 153,409 | 157,185 | 147,297 |
Total operating costs and expenses | 7,049,276 | 6,879,557 | 6,911,994 |
Income before income taxes | 852,920 | 812,094 | 772,770 |
Income tax expense | (168,935) | (163,028) | (219,433) |
Net income before noncontrolling interests | 683,985 | 649,066 | 553,337 |
Noncontrolling interests | (2,041) | (8,317) | (4,243) |
Net income to common stockholders | $ 681,944 | $ 640,749 | $ 549,094 |
NET INCOME PER SHARE: | |||
Basic (dollars per share) | $ 3.58 | $ 3.37 | $ 2.93 |
Diluted (dollars per share) | $ 3.52 | $ 3.33 | $ 2.84 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Investments: | ||
Fixed maturity securities | $ 14,180,961 | $ 13,606,812 |
Investment funds | 1,213,535 | 1,332,818 |
Real estate | 2,105,950 | 1,957,092 |
Arbitrage trading account | 400,809 | 452,548 |
Equity securities | 480,620 | 279,006 |
Loans receivable | 91,799 | 94,813 |
Total investments | 18,473,674 | 17,723,089 |
Cash and cash equivalents | 1,023,710 | 817,602 |
Premiums and fees receivable | 1,997,186 | 1,807,762 |
Due from reinsurers | 2,133,683 | 1,932,291 |
Deferred policy acquisition costs | 517,364 | 497,629 |
Prepaid reinsurance premiums | 567,595 | 498,880 |
Trading account receivable from brokers and clearing organizations | 423,543 | 347,228 |
Property, furniture and equipment | 422,091 | 416,372 |
Goodwill | 169,652 | 173,037 |
Accrued investment income | 138,789 | 144,481 |
Current federal and foreign income taxes | 13,398 | 703 |
Deferred federal and foreign income taxes | 0 | 35,490 |
Other assets | 762,743 | 501,413 |
Total assets | 26,643,428 | 24,895,977 |
Liabilities: | ||
Reserves for losses and loss expenses | 12,583,249 | 11,966,448 |
Unearned premiums | 3,656,507 | 3,359,991 |
Due to reinsurers | 360,314 | 256,917 |
Trading account securities sold but not yet purchased | 36,143 | 38,120 |
Deferred federal and foreign income taxes | 17,706 | 0 |
Other liabilities | 1,244,888 | 1,005,184 |
Senior notes and other debt | 1,427,575 | 1,882,028 |
Subordinated debentures | 1,198,704 | 907,491 |
Total liabilities | 20,525,086 | 19,416,179 |
Equity: | ||
Preferred stock, par value $.10 per share: Authorized 5,000,000 shares; issued and outstanding - none | 0 | 0 |
Common stock, par value $.20 per share: Authorized 500,000,000 shares, issued and outstanding, net of treasury shares, 183,411,907 and 182,993,640 shares, respectively | 70,535 | 70,535 |
Additional paid-in capital | 1,056,042 | 1,039,633 |
Retained earnings | 7,932,372 | 7,558,619 |
Accumulated other comprehensive loss | (257,299) | (510,470) |
Treasury stock, at cost, 169,264,857 and 169,683,237 shares, respectively | (2,726,711) | (2,720,466) |
Total common stockholders’ equity | 6,074,939 | 5,437,851 |
Noncontrolling interests | 43,403 | 41,947 |
Total equity | 6,118,342 | 5,479,798 |
Total liabilities and equity | $ 26,643,428 | $ 24,895,977 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (dollars per share) | $ 0.10 | $ 0.10 |
Preferred stock, authorized (shares) | 5,000,000 | 5,000,000 |
Preferred stock, issued (shares) | 0 | 0 |
Preferred stock, outstanding (shares) | 0 | 0 |
Common stock, par value (dollars per share) | $ 0.20 | $ 0.20 |
Common stock, authorized (shares) | 500,000,000 | 500,000,000 |
Common stock, issued (shares) | 183,411,907 | 182,993,640 |
Common stock, outstanding (shares) | 183,411,907 | 182,993,640 |
Treasury stock, at cost (shares) | 169,264,857 | 169,683,237 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common stocks | Additional Paid In Capital | Retained earnings | Accumulated Other Comprehensive (Loss) Income | Unrealized investment (losses) gains | Currency translation adjustments | Treasury Stock | Noncontrolling Interests |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Cumulative effect adjustment resulting from changes in accounting principles | $ 0 | $ 0 | |||||||
Beginning of period at Dec. 31, 2016 | $ 70,535 | $ 1,013,935 | 6,595,987 | 427,154 | $ (371,586) | $ (2,688,817) | $ 33,926 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Restricted stock units issued | (27,959) | ||||||||
Restricted stock units expensed | 38,796 | ||||||||
Unrealized gains (losses) on securities not other-than-temporarily impaired | $ (51,752) | (52,628) | |||||||
Unrealized gains (losses) on other-than-temporarily impaired securities | 895 | ||||||||
Net change in period | 64,706 | 64,706 | |||||||
Stock exercised/vested | 26,511 | ||||||||
Stock issued | 727 | ||||||||
Stock repurchased | (47,807) | ||||||||
(Distributions) contributions | 1,631 | ||||||||
Net income | 553,337 | 549,094 | 4,243 | ||||||
Dividends ($1.68, $1.39, and $1.03 per share, respectively) | (188,199) | ||||||||
Other comprehensive income (loss), net of tax | 12,954 | 19 | |||||||
End of period at Dec. 31, 2017 | 70,535 | 1,024,772 | 6,956,882 | $ 68,541 | 375,421 | (306,880) | (2,709,386) | 39,819 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Cumulative effect adjustment resulting from changes in accounting principles | 215,939 | (214,539) | |||||||
Restricted stock units issued | (19,547) | ||||||||
Restricted stock units expensed | 34,408 | ||||||||
Unrealized gains (losses) on securities not other-than-temporarily impaired | (252,327) | (252,241) | |||||||
Unrealized gains (losses) on other-than-temporarily impaired securities | (132) | ||||||||
Net change in period | (112,099) | (112,099) | |||||||
Stock exercised/vested | 12,981 | ||||||||
Stock issued | 689 | ||||||||
Stock repurchased | (24,750) | ||||||||
(Distributions) contributions | (6,143) | ||||||||
Net income | 649,066 | 640,749 | 8,317 | ||||||
Dividends ($1.68, $1.39, and $1.03 per share, respectively) | (254,951) | ||||||||
Other comprehensive income (loss), net of tax | (364,426) | (364,426) | (112,099) | (46) | |||||
End of period at Dec. 31, 2018 | 5,479,798 | $ 70,535 | 1,039,633 | 7,558,619 | (510,470) | (91,491) | (418,979) | (2,720,466) | 41,947 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Cumulative effect adjustment resulting from changes in accounting principles | 0 | 0 | |||||||
Restricted stock units issued | (32,370) | ||||||||
Restricted stock units expensed | 48,779 | ||||||||
Unrealized gains (losses) on securities not other-than-temporarily impaired | 215,902 | 215,636 | |||||||
Unrealized gains (losses) on other-than-temporarily impaired securities | 369 | ||||||||
Net change in period | 37,166 | 37,166 | |||||||
Stock exercised/vested | 11,431 | ||||||||
Stock issued | 549 | ||||||||
Stock repurchased | (18,225) | ||||||||
(Distributions) contributions | (688) | ||||||||
Net income | 683,985 | 681,944 | 2,041 | ||||||
Dividends ($1.68, $1.39, and $1.03 per share, respectively) | (308,191) | ||||||||
Other comprehensive income (loss), net of tax | 253,068 | 253,068 | 37,166 | 103 | |||||
End of period at Dec. 31, 2019 | $ 6,118,342 | $ 1,056,042 | $ 7,932,372 | $ (257,299) | $ 124,514 | $ (381,813) | $ (2,726,711) | $ 43,403 |
Consolidated Statements of St_2
Consolidated Statements of Stockholder's Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends (in USD per share) | $ 1.68 | $ 1.39 | $ 1.03 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Net income before noncontrolling interests | $ 683,985 | $ 649,066 | $ 553,337 |
Other comprehensive gain (loss): | |||
Change in unrealized translation adjustments | 37,166 | (112,099) | 64,706 |
Change in unrealized investment gains (losses), net of taxes | 215,902 | (252,327) | (51,752) |
Other comprehensive gain (loss) | 253,068 | (364,426) | 12,954 |
Comprehensive income | 937,053 | 284,640 | 566,291 |
Comprehensive income to the noncontrolling interest | (2,144) | (8,271) | (4,262) |
Comprehensive income to common stockholders | $ 934,909 | $ 276,369 | $ 562,029 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
CASH FROM OPERATING ACTIVITIES: | |||
Net income to common stockholders | $ 681,944 | $ 640,749 | $ 549,094 |
Adjustments to reconcile net income to net cash from operating activities: | |||
Net realized and unrealized gains on investments | (120,703) | (154,488) | (335,858) |
Depreciation and amortization | 113,387 | 131,108 | 112,956 |
Noncontrolling interests | 2,041 | 8,317 | 4,243 |
Investment funds | (69,194) | (109,349) | (69,333) |
Stock incentive plans | 49,274 | 36,591 | 40,490 |
Change in: | |||
Arbitrage trading account | (26,553) | (19,093) | (4,896) |
Premiums and fees receivable | (189,151) | (43,813) | (67,752) |
Reinsurance accounts | (165,898) | (165,287) | (66,542) |
Deferred policy acquisition costs | (20,057) | 7,788 | 30,343 |
Current income taxes | (12,530) | (11,950) | 25,859 |
Deferred income taxes | 7,130 | (74,761) | (16,893) |
Reserves for losses and loss expenses | 612,254 | 339,015 | 438,530 |
Unearned premiums | 301,355 | 84,142 | 4,160 |
Other | (19,506) | (48,770) | 66,482 |
Net cash from operating activities | 1,143,793 | 620,199 | 710,883 |
CASH FLOWS USED IN INVESTING ACTIVITIES: | |||
Proceeds from sale of fixed maturity securities | 2,093,271 | 3,525,149 | 4,035,162 |
Proceeds from sale of equity securities | 79,963 | 497,989 | 195,270 |
Distributions (contributions) from investment funds | 194,663 | (79,635) | 247,404 |
Proceeds from maturities and prepayments of fixed maturity securities | 2,933,980 | 2,676,455 | 3,556,744 |
Purchase of fixed maturity securities | (5,352,886) | (6,677,753) | (7,940,957) |
Purchase of equity securities | (172,978) | (85,610) | (27,522) |
Real estate purchased | (146,752) | (514,064) | (236,039) |
Change in loans receivable | 3,481 | (13,204) | 27,135 |
Net additions to property, furniture and equipment | (60,457) | (49,860) | (115,719) |
Change in balances due from security brokers | 2,844 | 4,262 | (4,372) |
Cash received in connection with business disposition | 0 | 8,664 | 0 |
Payment for business purchased, net of cash acquired | 0 | (6,637) | (70,570) |
Net cash used in investing activities | (424,871) | (714,244) | (333,464) |
CASH FLOWS USED IN FINANCING ACTIVITIES: | |||
Net proceeds from issuance of debt | 290,974 | 294,562 | 6,983 |
Repayment of senior notes and other debt | (456,360) | (4,524) | (20) |
Cash dividends to common stockholders | (308,191) | (254,951) | (188,199) |
Purchase of common treasury shares | (18,225) | (24,750) | (47,807) |
Other, net | (21,391) | (17,740) | (6,043) |
Net cash used in financing activities | (513,193) | (7,403) | (235,086) |
Net impact on cash due to change in foreign exchange rates | 379 | (31,421) | 12,853 |
Net increase (decrease) in cash and cash equivalents | 206,108 | (132,869) | 155,186 |
Cash and cash equivalents at beginning of year | 817,602 | 950,471 | 795,285 |
Cash and cash equivalents at end of year | $ 1,023,710 | $ 817,602 | $ 950,471 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies (A) Principles of consolidation and basis of presentation The consolidated financial statements, which include the accounts of W. R. Berkley Corporation and its subsidiaries (the "Company"), have been prepared on the basis of U.S. generally accepted accounting principles ("GAAP"). All significant intercompany transactions and balances have been eliminated. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the revenues and expenses reflected during the reporting period. The most significant items on our balance sheet that involve a greater degree of accounting estimates that are subject to change in the future are the valuation of investments, other-than-temporary impairments, reserves for losses and loss expenses and premium estimates. Actual results could differ from those estimates. Reclassifications have been made in the 2018 and 2017 financial statements as originally reported to conform to the presentation of the 2019 financial statements. Shares outstanding and per share amounts have been adjusted to reflect the 3-for-2 common stock split effected on April 2, 2019. Additionally, commencing with the first quarter of 2019, the Company renamed the Reinsurance segment as Reinsurance & Monoline Excess, and reclassified the monoline excess business from the Insurance segment to such renamed segment. The reclassified business includes operations that solely retain risk on an excess basis. (B) Revenue recognition Insurance premiums are recognized as written at the inception of the policy. Reinsurance premiums are estimated based upon information received from ceding companies, and subsequent differences from such estimates are recorded in the period they are determined. Insurance and reinsurance premiums are primarily earned on a pro rata basis over the policy term. Fees for services are earned over the period that the services are provided. Audit premiums are recognized when they are reliably determinable. The change in accruals for earned but unbilled audit premiums increased (decreased) net premiums written and premiums earned by $4 million , $(4) million and $8 million in 2019 , 2018 and 2017 , respectively. Revenues from non-insurance businesses are derived from businesses engaged in the distribution of promotional merchandise, world-wide textile solutions, and aircraft services provided to the general, commercial and military aviation markets. These aircraft services include (i) the distribution, manufacturing, repair and overhaul of aircraft parts and components, (ii) the sale of new and used aircraft, and (iii) avionics, fuel, maintenance, storage and charter services. Revenue is recognized upon the shipment of products and parts, the delivery of aircraft, the delivery of fuel, and over the completion period of services. Insurance service fee revenue represents servicing fees for program administration and claims management services provided by the Company, including workers' compensation assigned risk plans, as well as insurance brokerage and risk management services. Fees for program administration, claims management and risk management services are primarily recognized ratably over the related contract period for which the underlying services are rendered. Commissions for insurance brokerage are generally recognized when the underlying insurance policy is effective. (C) Cash and cash equivalents Cash equivalents consist of funds invested in money market accounts and investments with an effective maturity of three months or less when purchased. (D) Investments Fixed maturity securities classified as available for sale are carried at estimated fair value, with unrealized gains and losses, net of applicable income taxes, excluded from earnings and reported as a component of comprehensive income and a separate component of stockholders' equity. Fixed maturity securities that the Company has the positive intent and ability to hold to maturity are classified as held to maturity and reported at amortized cost. Investment income from fixed maturity securities is recognized based on the constant effective yield method. Premiums and discounts on mortgage-backed securities are adjusted for the effects of actual and anticipated prepayments on a retrospective basis. Equity securities with readily determinable fair values are measured at fair value, with changes in the fair value recognized in net income within net realized and unrealized gains on investments. Fixed maturity securities that the Company purchased with the intent to sell in the near-term are classified as trading account securities and are reported at estimated fair value. Realized and unrealized gains and losses from trading activity are reported as net investment income and are recorded at the trade date. Short sales and short call options are presented as trading securities sold but not yet purchased. Unsettled trades and the net margin balances held by the clearing broker are presented as a trading account receivable from brokers and clearing organizations. Investment funds are carried under the equity method of accounting. The Company's share of the earnings or losses of investment funds is primarily reported on a one-quarter lag in order to facilitate the timely completion of the Company's consolidated financial statements. Loans receivable primarily represent commercial real estate mortgage loans and bank loans and are carried at amortized cost. The Company monitors the performance of its loans receivable and establishes an allowance for loan losses for loans where the Company determines it is probable that the contractual terms will not be met, with a corresponding charge to earnings. For loans that are evaluated individually and deemed to be impaired, the Company establishes a specific allowance based on a discounted cash flow analysis and comparable cost and sales methodologies, if appropriate. Individual loans that are not considered impaired and smaller-balance homogeneous loans are evaluated collectively and a general allowance is established if it is considered probable that a loss has been incurred. The accrual of interest on loans receivable is discontinued if the loan is 90 days past due based on the contractual terms of the loan unless the loan is adequately secured and in process of collection. In general, loans are placed on non-accrual status or charged off at an earlier date if collection of principal or interest is considered doubtful. Interest on these loans is accounted for on a cash basis until qualifying for return to accrual status. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.” Fair value of investments is determined based on a fair value hierarchy that prioritizes the use of observable inputs over the use of unobservable inputs and requires the use of observable inputs when available. (See Note 12 of the Notes to Consolidated Financial Statements.) Realized gains or losses represent the difference between the cost of securities sold and the proceeds realized upon sale and are recorded at the trade date. The Company uses primarily the first-in, first-out method to determine the cost of securities sold. The cost of securities is adjusted where appropriate to include a provision for a decline in value which is considered to be other than temporary. An other-than-temporary decline is considered to occur in investments where there has been a sustained reduction in fair value and where the Company does not expect to recover the cost basis of the investment prior to the time of sale or maturity. For fixed maturity securities that the Company intends to sell or, more likely than not, would be required to sell, a decline in value below amortized cost is considered to be an other-than-temporary impairment (“OTTI”). The amount of OTTI is equal to the difference between amortized cost and fair value at the balance sheet date. For fixed maturity securities that the Company does not intend to sell or believes that it is more likely than not it would not be required to sell, a decline in value below amortized cost is considered to be an OTTI if the Company does not expect to recover the entire amortized cost basis of a security (i.e., the present value of cash flows expected to be collected is less than the amortized cost basis of the security). The portion of the decline in value considered to be a credit loss (i.e., the difference between the present value of cash flows expected to be collected and the amortized cost basis of the security) is recognized in earnings. The portion of the decline in value not considered to be a credit loss (i.e., the difference in the present value of cash flows expected to be collected and the fair value of the security) is recognized in other comprehensive income. Impairment assessments for structured securities, including mortgage-backed securities and asset-backed securities, collateralized debt obligations and corporate debt, are generally evaluated based on the performance of the underlying collateral under various economic and default scenarios that may involve subjective judgments and estimates by management. Modeling these securities involves various factors, such as projected default rates, the nature and realizable value of the collateral, if any, the ability of the issuer to make scheduled payments, historical performance and other relevant economic and performance factors. If an OTTI determination is made, a discounted cash flow analysis is used to ascertain the amount of the credit impairment. Real estate held for investment purposes is initially recorded at the purchase price, which is generally fair value, and is subsequently reported at cost less accumulated depreciation. Real estate taxes, interest and other costs incurred during development and construction are capitalized. Buildings are depreciated on a straight-line basis over the estimated useful lives of the building. Minimum rental income is recognized on a straight-line basis over the lease term. Income and expenses from real estate are reported as net investment income. The carrying value of real estate is reviewed for impairment and an impairment loss is recognized if the estimated undiscounted cash flows from the use and disposition of the property are less than the carrying value of the property. (E) Per share data The Company presents both basic and diluted net income per share (“EPS”) amounts. Basic EPS is calculated by dividing net income by weighted average number of common shares outstanding during the year (including 7,575,168 common shares held in a grantor trust). The common shares held in the grantor trust are for delivery upon settlement of vested but mandatorily deferred restricted stock units ("RSUs"). Shares held by the grantor trust do not affect diluted shares outstanding since the shares deliverable under vested RSUs were already included in diluted shares outstanding. Diluted EPS is based upon the weighted average number of basic and common equivalent shares outstanding during the year and is calculated using the treasury stock method for stock incentive plans. Common equivalent shares are excluded from the computation in periods in which they have an anti-dilutive effect. (F) Deferred policy acquisition costs Acquisition costs associated with the successful acquisition of new and renewed insurance and reinsurance contracts are deferred and amortized ratably over the terms of the related contracts. Ceding commissions received on reinsurance contracts are netted against acquisition costs and are recognized ratably over the life of the contract. Deferred policy acquisition costs are presented net of unearned ceding commissions. Deferred policy acquisition costs are comprised primarily of commissions, as well as employment-related underwriting costs and premium taxes. Deferred policy acquisition costs are reviewed to determine if they are recoverable from future income and, if not, are charged to expense. The recoverability of deferred policy acquisition costs is evaluated separately by each of our operating companies. Future investment income is taken into account in measuring the recoverability of deferred policy acquisition costs. (G) Reserves for losses and loss expenses Reserves for losses and loss expenses are an accumulation of amounts determined on the basis of (1) evaluation of claims for business written directly by the Company; (2) estimates received from other companies for reinsurance assumed by the Company; and (3) estimates for losses incurred but not reported (based on Company and industry experience). These estimates are periodically reviewed and, as experience develops and new information becomes known, the reserves are adjusted as necessary. Such adjustments are reflected in the statements of income in the period in which they are determined. The Company discounts its reserves for excess and assumed workers' compensation claims using a risk-free or statutory rate. (See Note 13 of Notes to Consolidated Financial Statements.) (H) Reinsurance ceded The unearned portion of premiums ceded to reinsurers is reported as prepaid reinsurance premiums and earned ratably over the policy term. The estimated amounts of reinsurance recoverable on unpaid losses are reported as due from reinsurers. To the extent any reinsurer does not meet its obligations under reinsurance agreements, the Company must discharge its liability. Amounts due from reinsurers are reflected net of funds held where the right of offset is present. The Company has provided reserves for estimated uncollectible reinsurance. (I) Deposit accounting Contracts that do not meet the risk transfer requirements of GAAP are accounted for using the deposit accounting method. Under this method, an asset or liability is recognized at the inception of the contract based on consideration paid or received. The amount of the deposit asset or liability is adjusted at subsequent reporting dates using the interest method with a corresponding credit or charge to interest income or expense. Deposit liabilities for assumed reinsurance contracts were $41 million and $45 million at December 31, 2019 and 2018 , respectively. (J) Federal and foreign income taxes The Company files a consolidated income tax return in the U.S. and foreign tax returns in countries where it has overseas operations. The Company's method of accounting for income taxes is the asset and liability method. Under this method, deferred tax assets and liabilities are measured using tax rates currently in effect or expected to apply in the years in which those temporary differences are expected to reverse. Interest and penalties, if any, are reported as income tax expense. The Company believes there are no tax positions that would require disclosure under GAAP. Deferred tax assets are reduced by a valuation allowance if it is more likely than not that all or a portion of the deferred tax assets will not be realized. (K) Foreign currency Gains and losses resulting from foreign currency transactions (transactions denominated in a currency other than the entity's functional currency) are reported on the statements of income as other operating costs and expenses. Unrealized gains or losses resulting from translating the results of non-U.S. dollar denominated operations are reported in accumulated other comprehensive income. Revenues and expenses denominated in currencies other than U.S. dollars are generally translated at the weighted average exchange rate during the year. Assets and liabilities are translated at the rate of exchange in effect at the balance sheet date. (L) Property, furniture and equipment Property, furniture and equipment are carried at cost less accumulated depreciation. Depreciation is calculated using the estimated useful lives of the respective assets. Depreciation expense was $54 million , $54 million and $50 million for 2019 , 2018 and 2017 , respectively. (M) Comprehensive income Comprehensive income encompasses all changes in stockholders' equity (except those arising from transactions with stockholders) and includes net income, net unrealized holding gains or losses on available for sale securities and unrealized foreign currency translation adjustments. (N) Goodwill and other intangible assets Goodwill and other intangible assets are tested for impairment on an annual basis and at interim periods where circumstances require. The Company's impairment test as of December 31, 2019 indicated that there were no material impairment losses related to goodwill and other intangible assets. Intangible assets of $99 million and $104 million are included in other assets as of December 31, 2019 and 2018 , respectively. (O) Restricted stock units The costs resulting from all share-based payment transactions with employees are recognized in the consolidated financial statements using a fair-value-based measurement method. Compensation cost is recognized for financial reporting purposes over the period in which the employee is required to provide service in exchange for the award (generally the vesting period). (P) Statements of cash flows Interest payments were $160 million , $155 million and $145 million in 2019 , 2018 and 2017 , respectively. Income taxes paid were $125 million , $186 million and $207 million in 2019 , 2018 and 2017 , respectively. Other non-cash items include unrealized investment gains and losses. (See Note 10 of Notes to Consolidated Financial Statements.) (Q) Recent accounting pronouncements Recently adopted accounting pronouncements: In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-02, Leases, which amends the accounting and disclosure guidance for leases. This guidance retains the two classifications of a lease, as either an operating or finance lease, both of which require lessees to recognize a right-of-use asset and a lease liability for leases with terms of more than 12 months. The right-of-use asset and the lease liability are determined based upon the present value of cash flows. Finance leases reflect the financial arrangement by recognizing interest expense on the lease liability separately from the amortization expense of the right-of-use asset. Operating leases recognize lease expense (with no separate recognition of interest expense) on a straight-line basis over the term of the lease. The accounting by lessors is not significantly changed by the updated guidance. The updated guidance was effective for reporting periods beginning after December 15, 2018. As permitted by the rules, the Company adopted the new guidance prospectively effective January 1, 2019. The Company elected to use the practical expedient permitted by the transition guidance which allowed companies to not reassess existing lease classifications for already effective leases. The adoption of this guidance resulted in the recognition of a right-of-use asset of $185 million and a lease liability of $215 million (prior to adoption the Company had a $30 million deferred rent liability recognized) reported within other assets and other liabilities, respectively, in the consolidated balance sheet. The adoption of this guidance did not have an impact on the Company's results of operations or liquidity. All other accounting and reporting standards that became effective in 2019 were either not applicable to the Company or their adoption did not have a material impact on the Company. Accounting and reporting standards that are not yet effective: In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses, which amends the accounting guidance for credit losses on financial instruments. The updated guidance amends the current other-than-temporary impairment model for available-for-sale debt securities by requiring the recognition of impairments relating to credit losses through an allowance account and limits the amount of credit loss to the difference between a security’s amortized cost basis and its fair value. This guidance also applies a new current expected credit loss model for determining credit-related impairments for financial instruments measured at amortized cost, such as reinsurance recoverables. The updated guidance is effective for reporting periods beginning after December 15, 2019. The adoption of this guidance will result in the recognition of an allowance for credit loss in connection with operating assets (such as premiums and fees receivable and due from reinsurers) of less than 0.25% of these assets and a corresponding cumulative effect adjustment that will decrease common stockholders' equity. Certain investments (primarily fixed maturity securities available for sale) will also establish an allowance for credit loss of approximately 0.25% of these assets, with a cumulative effect adjustment decreasing retained earnings and increasing AOCI by offsetting amounts, resulting in no impact to total common stockholders' equity. All other recently issued but not yet effective accounting and reporting standards are either not applicable to the Company or are not expected to have a material impact on the Company. |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive (Loss) Income | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Consolidated Statement of Comprehensive (Loss) Income | Consolidated Statement of Comprehensive (Loss) Income The following tables present the components of the changes in accumulated other comprehensive (loss) income ("AOCI") as of and for the years ended December 31, 2019 and 2018 : (In thousands) December 31, 2019 Unrealized investment gains (losses) Currency translation adjustments Accumulated other comprehensive (loss) income Changes in AOCI Beginning of period $ (91,491 ) $ (418,979 ) $ (510,470 ) Other comprehensive gains before reclassifications 224,011 37,166 261,177 Amounts reclassified from AOCI (8,109 ) — (8,109 ) Other comprehensive gain 215,902 37,166 253,068 Unrealized investment gain related to non-controlling interest 103 — 103 Ending balance $ 124,514 $ (381,813 ) $ (257,299 ) Amounts reclassified from AOCI Pre-tax $ (10,265 ) (1) $ — $ (10,265 ) Tax effect 2,156 (2) — 2,156 After-tax amounts reclassified $ (8,109 ) $ — $ (8,109 ) Other comprehensive gain Pre-tax $ 261,970 $ 37,166 $ 299,136 Tax effect (46,068 ) — (46,068 ) Other comprehensive gain $ 215,902 $ 37,166 $ 253,068 (In thousands) December 31, 2018 Unrealized investment (losses) gains Currency translation adjustments Accumulated other comprehensive (loss) income Changes in AOCI Beginning of period $ 375,421 $ (306,880 ) $ 68,541 Cumulative effect adjustment resulting from changes in accounting principles (214,539 ) — (214,539 ) Restated beginning of period 160,882 (306,880 ) (145,998 ) Other comprehensive income before reclassifications (246,535 ) (112,099 ) (358,634 ) Amounts reclassified from AOCI (5,792 ) — (5,792 ) Other comprehensive loss (252,327 ) (112,099 ) (364,426 ) Unrealized investment loss related to non-controlling interest (46 ) — (46 ) Ending balance $ (91,491 ) $ (418,979 ) $ (510,470 ) Amounts reclassified from AOCI Pre-tax $ (7,332 ) (1) $ — $ (7,332 ) Tax effect 1,540 (2) — 1,540 After-tax amounts reclassified $ (5,792 ) $ — $ (5,792 ) Other comprehensive loss Pre-tax $ (302,737 ) $ (112,099 ) $ (414,836 ) Tax effect 50,410 — 50,410 Other comprehensive loss $ (252,327 ) $ (112,099 ) $ (364,426 ) _______________ (1) Net realized and unrealized gains on investments in the consolidated statements of income. (2) Income tax expense in the consolidated statements of income. |
Investments In Fixed Maturity S
Investments In Fixed Maturity Securities | 12 Months Ended |
Dec. 31, 2019 | |
Debt Securities | |
Schedule of Marketable Securities [Line Items] | |
Investments In Fixed Maturity Securities | Investments in Fixed Maturity Securities At December 31, 2019 and 2018 , investments in fixed maturity securities were as follows: (In thousands) Amortized Gross Unrealized Fair Carrying Gains Losses December 31, 2019 Held to maturity: State and municipal $ 70,312 $ 13,000 $ — $ 83,312 $ 70,312 Residential mortgage-backed 8,371 994 — 9,365 8,371 Total held to maturity 78,683 13,994 — 92,677 78,683 Available for sale: U.S. government and government agency 775,157 13,249 (1,475 ) 786,931 786,931 State and municipal: Special revenue 2,343,209 64,586 (4,152 ) 2,403,643 2,403,643 State general obligation 359,298 22,074 (97 ) 381,275 381,275 Pre-refunded 364,571 20,342 (128 ) 384,785 384,785 Corporate backed 255,230 7,232 (903 ) 261,559 261,559 Local general obligation 432,333 32,684 (647 ) 464,370 464,370 Total state and municipal 3,754,641 146,918 (5,927 ) 3,895,632 3,895,632 Mortgage-backed securities: Residential (1) 1,298,145 23,230 (5,155 ) 1,316,220 1,316,220 Commercial 304,506 5,214 (346 ) 309,374 309,374 Total mortgage-backed securities 1,602,651 28,444 (5,501 ) 1,625,594 1,625,594 Asset-backed securities 2,802,588 9,532 (21,490 ) 2,790,630 2,790,630 Corporate: Industrial 2,260,073 72,900 (3,800 ) 2,329,173 2,329,173 Financial 1,447,589 37,681 (4,118 ) 1,481,152 1,481,152 Utilities 325,762 15,281 (402 ) 340,641 340,641 Other 5,219 230 — 5,449 5,449 Total corporate 4,038,643 126,092 (8,320 ) 4,156,415 4,156,415 Foreign government 924,284 16,465 (93,673 ) 847,076 847,076 Total available for sale 13,897,964 340,700 (136,386 ) 14,102,278 14,102,278 Total investments in fixed maturity securities $ 13,976,647 $ 354,694 $ (136,386 ) $ 14,194,955 $ 14,180,961 (In thousands) Amortized Gross Unrealized Fair Carrying Gains Losses December 31, 2018 Held to maturity: State and municipal $ 67,891 $ 11,549 $ — $ 79,440 $ 67,891 Residential mortgage-backed 10,744 1,259 — 12,003 10,744 Total held to maturity 78,635 12,808 — 91,443 78,635 Available for sale: U.S. government and government agency 697,931 9,219 (4,910 ) 702,240 702,240 State and municipal: Special revenue 2,396,089 30,507 (19,790 ) 2,406,806 2,406,806 State general obligation 335,626 11,951 (1,103 ) 346,474 346,474 Pre-refunded 408,141 16,568 (30 ) 424,679 424,679 Corporate backed 272,440 4,319 (2,350 ) 274,409 274,409 Local general obligation 403,219 18,350 (1,339 ) 420,230 420,230 Total state and municipal 3,815,515 81,695 (24,612 ) 3,872,598 3,872,598 Mortgage-backed securities: Residential (1) 1,264,376 7,729 (20,225 ) 1,251,880 1,251,880 Commercial 345,070 1,304 (3,708 ) 342,666 342,666 Total mortgage-backed securities 1,609,446 9,033 (23,933 ) 1,594,546 1,594,546 Asset-backed securities 2,462,303 10,131 (33,687 ) 2,438,747 2,438,747 Corporate: Industrial 2,295,778 15,355 (53,312 ) 2,257,821 2,257,821 Financial 1,502,427 7,178 (45,683 ) 1,463,922 1,463,922 Utilities 330,326 2,997 (4,148 ) 329,175 329,175 Other 60,238 322 (167 ) 60,393 60,393 Total corporate 4,188,769 25,852 (103,310 ) 4,111,311 4,111,311 Foreign government 822,093 11,753 (25,111 ) 808,735 808,735 Total available for sale 13,596,057 147,683 (215,563 ) 13,528,177 13,528,177 Total investments in fixed maturity securities $ 13,674,692 $ 160,491 $ (215,563 ) $ 13,619,620 $ 13,606,812 ____________________ (1) Gross unrealized gains (losses) for mortgage-backed securities include $314,347 and ($55,090) as of December 31, 2019 and 2018 , respectively, related to the non-credit portion of OTTI recognized in other comprehensive income. The amortized cost and fair value of fixed maturity securities at December 31, 2019 , by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations. (In thousands) Amortized Cost Fair Value Due in one year or less $ 959,583 $ 917,059 Due after one year through five years 5,010,862 5,087,806 Due after five years through ten years 3,391,154 3,511,621 Due after ten years 3,004,026 3,043,510 Mortgage-backed securities 1,611,022 1,634,959 Total $ 13,976,647 $ 14,194,955 At December 31, 2019 and 2018 , there were no investments, other than investments in United States government and government agency securities, which exceeded 10% of common stockholders’ equity. At December 31, 2019 , investments with a carrying value of $1,639 million were on deposit in custodial or trust accounts, of which $1,219 million was on deposit with insurance regulators, $380 million was on deposit in support of the Company’s underwriting activities at Lloyd’s, $36 million was on deposit as security for reinsurance clients and $4 million was on deposit as security for letters of credit issued in support of the Company’s reinsurance operations. |
Investments In Equity Securitie
Investments In Equity Securities | 12 Months Ended |
Dec. 31, 2019 | |
Equity securities | |
Debt Securities, Available-for-sale [Line Items] | |
Investments in Equity Securities | Investments in Equity Securities At December 31, 2019 and 2018 , investments in equity securities were as follows: (In thousands) Cost Gross Unrealized Fair Value Carrying Value Gains Losses December 31, 2019 Common stocks $ 175,928 $ 16,967 $ (26,090 ) $ 166,805 $ 166,805 Preferred stocks 169,171 148,243 (3,599 ) 313,815 313,815 Total $ 345,099 $ 165,210 $ (29,689 ) $ 480,620 $ 480,620 December 31, 2018 Common stocks $ 113,576 $ 4,335 $ (19,719 ) $ 98,192 $ 98,192 Preferred stocks 115,201 72,364 (6,751 ) 180,814 180,814 Total $ 228,777 $ 76,699 $ (26,470 ) $ 279,006 $ 279,006 |
Arbitrage Trading Account
Arbitrage Trading Account | 12 Months Ended |
Dec. 31, 2019 | |
Trading Securities and Derivative Instruments [Abstract] | |
Arbitrage Trading Account | Arbitrage Trading Account At December 31, 2019 and 2018 , the fair value and carrying value of the arbitrage trading account were $401 million and $453 million , respectively. The primary focus of the trading account is merger arbitrage. Merger arbitrage is the business of investing in the securities of publicly held companies which are the targets in announced tender offers and mergers. Arbitrage investing differs from other types of investing in its focus on transactions and events believed likely to bring about a change in value over a relatively short time period (usually four months or less). The Company uses put options and call options in order to mitigate the impact of potential changes in market conditions on the merger arbitrage trading account. These options are reported at fair value. As of December 31, 2019 , the fair value of long option contracts outstanding was $9 thousand (notional amount of $15.5 million ) and the fair value of short option contracts outstanding was $56 thousand (notional amount of $17.1 million ). Other than with respect to the use of these trading account securities, the Company does not make use of derivatives. |
Net Investment Income
Net Investment Income | 12 Months Ended |
Dec. 31, 2019 | |
Net Investment Income [Abstract] | |
Net Investment Income | Net Investment Income Net investment income consists of the following: (In thousands) 2019 2018 2017 Investment income earned on: Fixed maturity securities, including cash and cash equivalents and loans receivable $ 517,925 $ 519,269 $ 473,101 Investment funds 69,194 109,349 68,169 Arbitrage trading account 34,585 28,157 19,145 Real estate 24,218 18,591 19,975 Equity securities 5,439 3,230 2,350 Gross investment income 651,361 678,596 582,740 Investment expense (5,747 ) (4,361 ) (6,952 ) Net investment income $ 645,614 $ 674,235 $ 575,788 |
Investment Funds
Investment Funds | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investment Funds | Investment Funds The Company evaluates whether it is an investor in a variable interest entity ("VIE"). Such entities do not have sufficient equity at risk to finance their activities without additional subordinated financial support, or the equity investors, as a group, do not have the characteristics of a controlling financial interest (primary beneficiary). The Company determines whether it is the primary beneficiary of an entity subject to consolidation based on a qualitative assessment of the VIE's capital structure, contractual terms, nature of the VIE's operations and purpose, and the Company's relative exposure to the related risks of the VIE on the date it becomes initially involved in the VIE and on an ongoing basis. The Company is not the primary beneficiary in any of its investment funds, and accordingly, carries its interests in investments funds under the equity method of accounting. The Company’s maximum exposure to loss with respect to these investments is limited to the carrying amount reported on the Company’s consolidated balance sheet and its unfunded commitments of $232 million as of December 31, 2019 . Investment funds consist of the following: Carrying Value as of December 31, Income (Losses) (In thousands) 2019 2018 2019 2018 2017 Real estate $ 412,275 $ 642,137 $ 19,154 $ 61,453 $ 45,068 Financial services 280,705 195,706 29,005 11,044 3,762 Energy 156,869 183,627 (18,136 ) 7,084 6,147 Transportation 147,034 136,640 14,193 15,390 1,686 Other funds 216,652 174,708 24,978 14,378 11,506 Total $ 1,213,535 $ 1,332,818 $ 69,194 $ 109,349 $ 68,169 |
Real Estate
Real Estate | 12 Months Ended |
Dec. 31, 2019 | |
Real Estate [Abstract] | |
Real Estate | Real Estate Investment in real estate represents directly owned property held for investment, as follows: As of December 31, (In thousands) 2019 2018 Properties in operation $ 1,351,249 $ 1,279,584 Properties under development 754,701 677,508 Total $ 2,105,950 $ 1,957,092 In 2019 , properties in operation included a long-term ground lease in Washington, D.C., a hotel in Memphis, Tennessee, two office complexes in New York City, office buildings in West Palm Beach and Palm Beach, Florida, and an office building in London, U.K. Properties in operation are net of accumulated depreciation and amortization of $59,832,000 and $44,340,000 as of December 31, 2019 and 2018 , respectively. Related depreciation expense was $15,033,000 and $20,644,000 for the years ended December 31, 2019 and 2018 , respectively. Future minimum rental income expected on operating leases relating to properties in operation is $59,975,701 in 2020 , $62,145,941 in 2021 , $62,734,252 in 2022 , $56,477,620 in 2023 , $54,281,781 in 2024 and $573,636,251 thereafter. The Company borrowed $101,750,000 through a non-recourse loan secured by the West Palm Beach office building in 2018. The loan matures in November 2028 and carries a fixed interest rate of 4.21% . The carrying value does not reflect the outstanding financing, but rather is reflected in subsidiary debt referenced in Note 15, Indebtedness. |
Loans Receivable
Loans Receivable | 12 Months Ended |
Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Loans Receivable | Loans Receivable Loans receivable are as follows: As of December 31, (In thousands) 2019 2018 Amortized cost (net of valuation allowance): Real estate loans $ 58,541 $ 62,289 Commercial loans 33,258 32,524 Total $ 91,799 $ 94,813 Fair value: Real estate loans $ 59,853 $ 63,047 Commercial loans 34,760 34,026 Total $ 94,613 $ 97,073 Valuation allowance: Specific $ 165 $ 1,200 General 1,981 2,183 Total $ 2,146 $ 3,383 For the Year Ended December 31, 2019 2018 Decrease in valuation allowance $ (1,237 ) $ — Loans receivable in non-accrual status were $ 0.2 million and $ 1.2 million as of December 31, 2019 and 2018 , respectively. The Company monitors the performance of its loans receivable and assesses the ability of the borrower to pay principal and interest based upon loan structure, underlying property values, cash flow and related financial and operating performance of the property and market conditions. Loans receivable with a potential for default are further assessed using discounted cash flow analysis and comparable cost and sales methodologies, if appropriate. The real estate loans are secured by commercial real estate primarily located in New York. These loans generally earn interest at floating LIBOR-based interest rates and have maturities (inclusive of extension options) through August 2025. The commercial loans are with small business owners who have secured the related financing with the assets of the business. Commercial loans generally earn interest on a fixed basis and have varying maturities not exceeding 10 years . In evaluating the real estate loans, the Company considers their credit quality indicators, including loan to value ratios, which compare the outstanding loan amount to the estimated value of the property, the borrower’s financial condition and performance with respect to loan terms, the position in the capital structure, the overall leverage in the capital structure and other market conditions. Based on these considerations, none of the real estate loans were considered to be impaired at December 31, 2019 , and accordingly, the Company determined that a specific valuation allowance was not required. |
Realized And Unrealized Investm
Realized And Unrealized Investment Gains and Losses | 12 Months Ended |
Dec. 31, 2019 | |
Realized and Unrealized Investment Gains (Losses) [Abstract] | |
Realized and Unrealized Investment Gains and Losses | Net Realized and Unrealized Gains (Losses) on Investments Net realized and unrealized gains (losses) on investments are as follows: (In thousands) 2019 2018 2017 Net realized and unrealized gains (losses) on investments in earnings Fixed maturity securities: Gains $ 23,900 $ 26,752 $ 28,217 Losses (13,636 ) (13,733 ) (5,342 ) Equity securities (1): Net realized gains on investment sales 23,306 435,150 154,539 Change in unrealized gains (losses) 85,292 (320,413 ) — Investment funds (2) (2,825 ) (212 ) 125,423 Real estate 5,965 27,816 12,880 Loans receivable (970 ) 2,838 — Other (329 ) 1,977 20,141 Net realized and unrealized gains on investments in earnings before OTTI 120,703 160,175 335,858 Other-than-temporary impairments (3) — (5,687 ) — Net realized and unrealized gains on investments in earnings 120,703 154,488 335,858 Income tax expense (25,348 ) (32,442 ) (117,550 ) After-tax net realized and unrealized gains on investments in earnings $ 95,355 $ 122,046 $ 218,308 Change in unrealized investment gains (losses) of available for sales securities: Fixed maturity securities $ 271,825 $ (297,084 ) $ (2,192 ) Previously impaired fixed maturity securities 369 (132 ) 895 Equity securities available for sale (4) — — (77,971 ) Investment funds (2,299 ) (5,672 ) 10,179 Other (7,925 ) 151 (336 ) Total change in unrealized investment gains (losses) 261,970 (302,737 ) (69,425 ) Income tax (expense) benefit (46,068 ) 50,410 17,673 Noncontrolling interests 103 (46 ) 19 After-tax change in unrealized investment gains (losses) of available for sale securities $ 216,005 $ (252,373 ) $ (51,733 ) ____________________ (1) The net realized gains or losses on investment sales represent the total gains or losses from the purchase dates of the equity securities. The change in unrealized gains consists of two components: (i) the reversal of the gain or loss recognized in previous periods on equity securities sold and (ii) the change in unrealized gain or loss resulting from mark-to-market adjustments on equity securities still held. (2) Investment funds includes a gain of $124 million from the sale of an investment in an office building located in Washington, D.C. for the year ended December 31, 2017. (3) There were no OTTI for the years ended December 31, 2019 and 2017. For the year ended December 31, 2018 , OTTI related to fixed maturity securities was $6 million . (4) Effective January 1, 2018, the Company adopted accounting guidance that requires all equity investments with readily determinable fair values (subject to certain exceptions) to be measured at fair value, with changes in the fair value recognized in net income. The Company recorded an adjustment of $291 million to opening AOCI net of tax as a result of this guidance. |
Securities In An Unrealized Los
Securities In An Unrealized Loss Position | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities In An Unrealized Loss Position | Securities in an Unrealized Loss Position The following tables summarize all fixed maturity securities in an unrealized loss position at December 31, 2019 and 2018 by the length of time those securities have been continuously in an unrealized loss position. Less Than 12 Months 12 Months or Greater Total (In thousands) Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses December 31, 2019 U.S. government and government agency $ 83,837 $ 618 $ 53,089 $ 857 $ 136,926 $ 1,475 State and municipal 365,184 4,245 127,210 1,682 492,394 5,927 Mortgage-backed securities 301,358 2,281 180,148 3,220 481,506 5,501 Asset-backed securities 755,259 2,307 774,508 19,183 1,529,767 21,490 Corporate 307,367 3,148 121,470 5,172 428,837 8,320 Foreign government 164,536 32,028 107,266 61,645 271,802 93,673 Fixed maturity securities $ 1,977,541 $ 44,627 $ 1,363,691 $ 91,759 $ 3,341,232 $ 136,386 December 31, 2018 U.S. government and government agency $ 195,359 $ 933 $ 130,815 $ 3,977 $ 326,174 $ 4,910 State and municipal 701,700 6,874 744,905 17,738 1,446,605 24,612 Mortgage-backed securities 334,063 2,911 712,595 21,022 1,046,658 23,933 Asset-backed securities 1,687,665 28,965 342,855 4,722 2,030,520 33,687 Corporate 1,730,513 54,181 954,763 49,129 2,685,276 103,310 Foreign government 246,273 24,197 80,004 914 326,277 25,111 Fixed maturity securities $ 4,895,573 $ 118,061 $ 2,965,937 $ 97,502 $ 7,861,510 $ 215,563 Fixed Maturity Securities — A summary of the Company’s non-investment grade fixed maturity securities that were in an unrealized loss position at December 31, 2019 is presented in the table below: ($ in thousands) Number of Securities Aggregate Fair Value Gross Unrealized Loss Foreign government 21 $ 79,747 $ 92,369 Corporate 14 65,710 4,319 Asset-backed securities 5 437 113 Mortgage-backed securities 5 954 17 Total 45 $ 146,848 $ 96,818 For OTTI of fixed maturity securities that management does not intend to sell or, more likely than not, would not be required to sell, the portion of the decline in value considered to be due to credit factors is recognized in earnings and the portion of the decline in value considered to be due to non-credit factors is recognized in other comprehensive income. For the year ended December 31, 2019 , there were no OTTI recognized in earnings for fixed maturity securities. For the year ended December 31, 2018 , there were $6 million of OTTI recognized on fixed maturity securities. The Company has evaluated its fixed maturity securities in an unrealized loss position and believes the unrealized losses are due primarily to temporary market and sector-related factors. None of these securities are delinquent or in default on financial covenants. Based on its assessment of these issuers, the Company expects them to continue to meet their contractual payment obligations as they become due and does not consider any of these securities to be OTTI. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The Company’s fixed maturity and equity securities classified as available for sale and its trading account securities are carried at fair value. Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date”. The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels, as follows: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 - Quoted prices for similar assets or valuations based on inputs that are observable. Level 3 - Estimates of fair value based on internal pricing methodologies using unobservable inputs. Unobservable inputs are only used to measure fair value to the extent that observable inputs are not available. Substantially all of the Company’s fixed maturity securities were priced by independent pricing services. The prices provided by the independent pricing services are estimated based on observable market data in active markets utilizing pricing models and processes, which may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, sector groupings, matrix pricing and reference data. The pricing services may prioritize inputs differently on any given day for any security based on market conditions, and not all inputs are available for each security evaluation on any given day. The pricing services used by the Company have indicated that they will only produce an estimate of fair value if objectively verifiable information is available. The determination of whether markets are active or inactive is based upon the volume and level of activity for a particular asset class. The Company reviews the prices provided by pricing services for reasonableness and periodically performs independent price tests of a sample of securities to ensure proper valuation. If prices from independent pricing services are not available for fixed maturity securities, the Company estimates the fair value. For Level 2 securities, the Company utilizes pricing models and processes which may include benchmark yields, sector groupings, matrix pricing, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, bids, offers and reference data. Where broker quotes are used, the Company generally requests two or more quotes and sets a price within the range of quotes received based on its assessment of the credibility of the quote and its own evaluation of the security. The Company generally does not adjust quotes received from brokers. For securities traded only in private negotiations, the Company determines fair value based primarily on the cost of such securities, which is adjusted to reflect prices of recent placements of securities of the same issuer, financial projections, credit quality and business developments of the issuer and other relevant information. For Level 3 securities, the Company generally uses a discounted cash flow model to estimate the fair value of fixed maturity securities. The cash flow models are based upon assumptions as to prevailing credit spreads, interest rate and interest rate volatility, time to maturity and subordination levels. Projected cash flows are discounted at rates that are adjusted to reflect illiquidity, where appropriate. The following tables present the assets and liabilities measured at fair value as of December 31, 2019 and 2018 by level: (In thousands) Total Level 1 Level 2 Level 3 December 31, 2019 Assets: Fixed maturity securities available for sale: U.S. government and government agency $ 786,931 $ — $ 786,931 $ — State and municipal 3,895,632 — 3,895,632 — Mortgage-backed securities 1,625,594 — 1,625,594 — Asset-backed securities 2,790,630 — 2,790,630 — Corporate 4,156,415 — 4,156,415 — Foreign government 847,076 — 847,076 — Total fixed maturity securities available for sale 14,102,278 — 14,102,278 — Equity securities: Common stocks 166,805 157,752 — 9,053 Preferred stocks 313,815 — 307,310 6,505 Total equity securities 480,620 157,752 307,310 15,558 Arbitrage trading account 400,809 381,061 19,748 — Total $ 14,983,707 $ 538,813 $ 14,429,336 $ 15,558 Liabilities: Trading account securities sold but not yet purchased $ 36,143 $ 36,143 $ — $ — December 31, 2018 Assets: Fixed maturity securities available for sale: U.S. government and government agency $ 702,240 $ — $ 702,240 $ — State and municipal 3,872,598 — 3,872,598 — Mortgage-backed securities 1,594,546 — 1,594,546 — Asset-backed securities 2,438,747 — 2,438,648 99 Corporate 4,111,311 — 4,111,311 — Foreign government 808,735 — 808,735 — Total fixed maturity securities available for sale 13,528,177 — 13,528,078 99 Equity securities: Common stocks 98,192 89,596 — 8,596 Preferred stocks 180,814 — 176,869 3,945 Total equity securities 279,006 89,596 176,869 12,541 Arbitrage trading account 452,548 353,335 81,905 17,308 Total $ 14,259,731 $ 442,931 $ 13,786,852 $ 29,948 Liabilities: Trading account securities sold but not yet purchased $ 38,120 $ 37,327 $ — $ 793 The following tables summarize changes in Level 3 assets and liabilities for the years ended December 31, 2019 and 2018 : Gains (Losses) Included in: (In thousands) Beginning Balance Earnings (Losses) Other Comprehensive Income (Losses) Impairments Purchases Sales Paydowns/Maturities Transfers In / Out Ending Balance Year ended December 31, 2019 Assets: Fixed maturity securities available for sale: Asset-backed securities $ 99 $ (26 ) $ 61 $ — $ — $ (134 ) $ — $ — $ — Total 99 (26 ) 61 — — (134 ) — — — Equity securities: Common stocks 8,596 2,005 — — (1,548 ) — — 9,053 Preferred stocks 3,945 (42 ) — — 2,602 — — — 6,505 Total 12,541 1,963 — — 2,602 (1,548 ) — — 15,558 Arbitrage trading account 17,308 (8,731 ) — — 14,767 (38,233 ) — 14,889 — Total $ 29,948 $ (6,794 ) $ 61 $ — $ 17,369 $ (39,915 ) $ — $ 14,889 $ 15,558 Liabilities: Trading account securities sold but not yet purchased $ 793 $ 133 $ — $ — $ 7,609 $ (8,535 ) $ — $ — $ — Year ended December 31, 2018 Assets: Fixed maturity securities available for sale: Asset-backed securities $ 172 $ (2 ) $ 46 $ — $ — $ (117 ) $ — $ — $ 99 Total 172 (2 ) 46 — — (117 ) — — 99 Equity securities: Common stocks 9,370 (548 ) — — (227 ) — 1 8,596 Preferred stocks 10,843 100 — — (6,998 ) — — 3,945 Total 20,213 (448 ) — — — (7,225 ) — 1 12,541 Arbitrage trading account — (6 ) — — 11,523 (11 ) — 5,802 17,308 Total $ 20,385 $ (456 ) $ 46 $ — $ 11,523 $ (7,353 ) $ — $ 5,803 $ 29,948 Liabilities: Trading account securities sold but not yet purchased $ — $ (67 ) $ — $ — $ 860 $ — $ — $ — $ 793 For the year ended December 31, 2019 , there were two common stocks transferred into Level 3 in the arbitrage trading account where publicly traded prices were no longer available, and both were sold by year end. For the year ended December 31, 2018 , one common stock in the arbitrage trading account was transferred into Level 3 and one The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments as of December 31, 2019 and 2018 : 2019 2018 (In thousands) Carrying Value Fair Value Carrying Value Fair Value Assets: Fixed maturity securities $ 14,180,961 $ 14,194,955 $ 13,606,812 $ 13,619,620 Equity securities 480,620 480,620 279,006 279,006 Arbitrage trading account 400,809 400,809 452,548 452,548 Loans receivable 91,799 94,613 94,813 97,073 Cash and cash equivalents 1,023,710 1,023,710 817,602 817,602 Trading accounts receivable from brokers and clearing organizations 423,543 423,543 347,228 347,228 Liabilities: Due to broker 27,116 27,116 20,144 20,144 Trading account securities sold but not yet purchased 36,143 36,143 38,120 38,120 Senior notes and other debt 1,427,575 1,582,290 1,882,028 1,968,996 Subordinated debentures 1,198,704 1,274,088 907,491 840,002 The estimated fair values of the Company’s fixed maturity securities, equity securities available for sale and arbitrage trading account securities are based on various valuation techniques that rely on fair value measurements as described in Note 12 above. The fair value of loans receivable is estimated by using current institutional purchaser yield requirements for loans with similar credit characteristics, which is considered a Level 2 input. The fair value of the senior notes and other debt and the subordinated debentures is based on spreads for similar securities, which is considered a Level 2 input. |
Reserves For Losses And Loss Ex
Reserves For Losses And Loss Expenses | 12 Months Ended |
Dec. 31, 2019 | |
Insurance [Abstract] | |
Reserves For Losses And Loss Expenses | Reserves for Losses and Loss Expenses The Company's reserves for losses and loss expenses are comprised of case reserves and incurred but not reported liabilities (IBNR). When a claim is reported, a case reserve is established for the estimated ultimate payment based upon known information about the claim. As more information about the claim becomes available over time, case reserves are adjusted up or down as appropriate. Reserves are also established on an aggregate basis to provide for IBNR liabilities and expected loss reserve development on reported claims. Loss reserves included in the Company’s financial statements represent management’s best estimates based upon an actuarially derived point estimate and other considerations. The Company uses a variety of actuarial techniques and methods to derive an actuarial point estimate for each operating unit. These methods may include paid loss development, incurred loss development, paid and incurred Bornhuetter-Ferguson methods and frequency and severity methods. In circumstances where one actuarial method is considered more credible than the others, that method is used to set the point estimate. The actuarial point estimate may also be based on a judgmental weighting of estimates produced from each of the methods considered. Industry loss experience is used to supplement the Company’s own data in selecting “tail factors” in areas where the Company’s own data is limited. The actuarial data is analyzed by line of business, coverage and accident or policy year, as appropriate, for each operating unit. The establishment of the actuarially derived loss reserve point estimate also includes consideration of qualitative factors that may affect the ultimate losses. These qualitative considerations include, among others, the impact of re-underwriting initiatives, changes in claims handling procedures, changes in the mix of business, changes in distribution sources and changes in policy terms and conditions. The key assumptions used to arrive at the best estimate of loss reserves are the expected loss ratios, rate of loss cost inflation, and reported and paid loss emergence patterns. Expected loss ratios represent management’s expectation of losses at the time the business is priced and written, before any actual claims experience has emerged. This expectation is a significant determinant of the estimate of loss reserves for recently written business where there is little paid or incurred loss data to consider. Expected loss ratios are generally derived from historical loss ratios adjusted for the impact of rate changes, loss cost trends and known changes in the type of risks underwritten. Expected loss ratios are estimated for each key line of business within each operating unit. Expected loss cost inflation is particularly important for the long-tail lines, such as excess casualty, and claims with a high medical component, such as workers’ compensation. Reported and paid loss emergence patterns are used to project current reported or paid loss amounts to their ultimate settlement value. Loss development factors are based on the historical emergence patterns of paid and incurred losses, and are derived from the Company’s own experience and industry data. The paid loss emergence pattern is also significant to excess and assumed workers’ compensation reserves because those reserves are discounted to their estimated present value based upon such estimated payout patterns. Loss frequency and severity are measures of loss activity that are considered in determining the key assumptions described in our discussion of loss and loss expense reserves, including expected loss ratios, rate of loss cost inflation and reported and paid loss emergence patterns. Loss frequency is a measure of the number of claims per unit of insured exposure, and loss severity is a measure of the average size of claims. Factors affecting loss frequency include the effectiveness of loss controls and safety programs and changes in economic activity or weather patterns. Factors affecting loss severity include changes in policy limits, retentions, rate of inflation and judicial interpretations. Another factor affecting estimates of loss frequency and severity is the loss reporting lag, which is the period of time between the occurrence of a loss and the date the loss is reported to the Company. The length of the loss reporting lag affects our ability to accurately predict loss frequency (loss frequencies are more predictable for lines with short reporting lags) as well as the amount of reserves needed for incurred but not reported losses (less IBNR is required for lines with short reporting lags). As a result, loss reserves for lines with short reporting lags are likely to have less variation from initial loss estimates. For lines with short reporting lags, which include commercial automobile, primary workers’ compensation, other liability (claims-made) and property business, the key assumption is the loss emergence pattern used to project ultimate loss estimates from known losses paid or reported to date. For lines of business with long reporting lags, which include other liability (occurrence), products liability, excess workers’ compensation and liability reinsurance, the key assumption is the expected loss ratio since there is often little paid or incurred loss data to consider. Historically, the Company has experienced less variation from its initial loss estimates for lines of businesses with short reporting lags than for lines of business with long reporting lags. The key assumptions used in calculating the most recent estimate of the loss reserves are reviewed each quarter and adjusted, to the extent necessary, to reflect the latest reported loss data, current trends and other factors observed. A claim may be defined as an event, as a claimant (number of parties claiming damages from an event) or by exposure type (e.g., an event may give rise to two parties, each claiming loss for bodily injury and property damage). The most commonly used claim count method is by event. Most of the Company's operating units use the number of events to define and quantify the number of claims. However, in certain lines of business, where it is common for multiple parties to claim damages arising from a single event, an operating unit may quantify claims on the basis of the number of separate parties involved in an event. This may be the case with businesses writing substantial automobile or transportation exposure. Claim counts for assumed reinsurance will vary based on whether the business is written on a facultative or treaty basis. Further variability as respects treaty claim counts may be reflective of the nature of the treaty, line of business coverage, and type of participation such as quota share or excess of loss contracts. Accordingly, the claim counts have been excluded from the below Reinsurance & Monoline Excess segment tables due to this variability. The claim count information set forth in the tables presented below may not provide an accurate reflection of ultimate loss payouts by product line. The following tables present undiscounted incurred and paid claims development as of December 31, 2019, net of reinsurance, as well as cumulative claim frequency and the total of incurred but not reported liabilities (IBNR). The information about incurred and paid claims development for the years ended December 31, 2010 to 2018 is presented as supplementary information. To enhance the comparability of the loss development data, the Company has removed the impact of foreign exchange rate movements by using the December 31, 2019 exchange rate for all periods. Beginning with accident year 2012, the Company's U.K. and European insurance business is included in the Insurance segment's tables for Other Liability, Professional Liability, Commercial Automobile and Short-Tail Lines. Prior to 2012, the actuarial analysis for its U.K. and European insurance business was performed on an underwriting year basis and accident year data is not available for those years. Insurance Other Liability (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 612,467 $ 616,023 $ 589,921 $ 588,602 $ 575,528 $ 572,785 $ 571,637 $ 569,440 $ 564,873 $ 561,579 $ 19,742 22 2011 — 665,420 671,537 657,679 656,976 651,973 647,091 643,195 632,382 642,774 22,746 23 2012 — — 691,803 700,539 701,144 707,326 711,287 721,460 715,996 714,020 32,727 23 2013 — — — 750,054 790,314 782,260 782,039 802,908 809,250 803,856 49,079 25 2014 — — — — 847,034 848,641 846,644 851,044 863,899 870,017 83,500 26 2015 — — — — — 951,028 986,655 961,441 964,598 966,662 134,615 25 2016 — — — — — — 1,018,009 1,010,984 1,019,893 1,031,150 245,835 25 2017 — — — — — — — 1,066,362 1,100,127 1,122,209 377,307 25 2018 — — — — — — — — 1,104,631 1,131,202 606,500 23 2019 — — — — — — — — — 1,237,276 937,110 20 Total $ 9,080,745 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 45,194 $ 128,948 $ 246,647 $ 334,054 $ 414,945 $ 459,478 $ 489,077 $ 506,283 $ 522,939 $ 531,085 2011 — 48,830 141,192 265,071 377,769 469,004 522,369 554,152 573,236 591,990 2012 — — 57,568 157,316 298,095 415,890 511,601 578,617 620,507 651,000 2013 — — — 63,293 188,240 330,928 471,648 587,102 647,891 693,306 2014 — — — — 78,921 190,876 338,365 480,418 594,488 680,436 2015 — — — — — 82,712 210,773 382,185 538,071 676,037 2016 — — — — — — 69,477 208,991 390,231 558,539 2017 — — — — — — — 80,037 255,849 453,389 2018 — — — — — — — — 86,858 264,392 2019 — — — — — — — — — 88,260 Total $ 5,188,434 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 106,200 Reserves for loss and loss adjustment expenses, net of reinsurance $ 3,998,511 Workers' Compensation (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 352,138 $ 355,305 $ 411,527 $ 420,604 $ 426,622 $ 429,952 $ 429,762 $ 427,698 $ 424,374 $ 424,195 $ 13,552 45 2011 — 413,429 444,887 457,134 470,026 472,087 474,076 475,729 471,471 473,766 17,276 46 2012 — — 501,681 501,810 503,956 503,863 509,167 512,707 508,169 506,730 24,736 48 2013 — — — 552,570 547,295 546,995 543,238 547,000 542,274 541,926 29,205 53 2014 — — — — 639,436 637,307 627,767 617,242 615,435 604,029 44,633 57 2015 — — — — — 712,800 690,525 650,997 641,169 626,431 60,862 58 2016 — — — — — — 702,716 696,339 684,700 660,508 71,710 57 2017 — — — — — — — 762,093 733,505 689,559 107,981 57 2018 — — — — — — — — 778,964 724,463 153,587 55 2019 — — — — — — — — — 783,244 372,381 50 Total $ 6,034,851 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 108,675 $ 215,882 $ 281,280 $ 320,154 $ 344,631 $ 362,078 $ 374,013 $ 382,665 $ 388,405 $ 392,672 2011 — 106,899 236,207 309,509 355,909 385,759 408,304 420,945 428,811 436,905 2012 — — 115,536 255,063 339,560 387,368 419,588 437,196 451,991 459,119 2013 — — — 117,900 277,538 363,028 414,160 447,894 466,580 479,104 2014 — — — — 148,405 319,743 412,611 471,235 503,915 521,141 2015 — — — — — 139,320 323,744 421,734 477,541 512,933 2016 — — — — — — 142,998 338,835 446,072 504,850 2017 — — — — — — — 153,456 362,299 468,817 2018 — — — — — — — — 171,006 397,464 2019 — — — — — — — — — 184,715 Total $ 4,357,720 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 193,837 Reserves for loss and loss adjustment expenses, net of reinsurance $ 1,870,968 Professional Liability (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 147,632 $ 165,689 $ 179,344 $ 177,951 $ 176,653 $ 172,493 $ 174,796 $ 177,757 $ 182,717 $ 182,860 $ 62 4 2011 — 179,818 165,291 187,074 189,988 176,936 173,309 176,606 175,689 176,230 2,187 4 2012 — — 238,978 242,541 265,690 251,230 239,458 245,945 244,730 245,338 7,091 5 2013 — — — 269,993 248,080 243,887 249,797 271,469 280,018 285,262 14,062 6 2014 — — — — 253,992 247,373 260,498 244,454 239,982 258,781 26,194 6 2015 — — — — — 260,216 258,780 275,608 276,842 292,401 37,634 7 2016 — — — — — — 311,099 325,241 361,996 402,929 56,934 8 2017 — — — — — — — 333,758 332,864 339,021 112,457 9 2018 — — — — — — — — 335,728 322,952 168,475 9 2019 — — — — — — — — — 337,228 259,157 9 Total $ 2,843,002 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 14,806 $ 58,851 $ 108,438 $ 129,619 $ 144,336 $ 160,466 $ 164,894 $ 171,206 $ 178,756 $ 179,865 2011 — 18,726 62,305 102,898 134,253 150,487 158,678 166,949 168,526 170,205 2012 — — 21,697 86,734 128,245 159,285 190,584 214,821 223,988 232,160 2013 — — — 23,939 63,951 119,567 177,525 207,020 249,005 258,394 2014 — — — — 19,446 83,694 138,678 176,134 199,337 216,228 2015 — — — — — 20,415 85,470 139,835 187,664 216,575 2016 — — — — — — 28,631 102,661 201,854 255,841 2017 — — — — — — — 36,579 96,456 163,003 2018 — — — — — — — — 28,231 99,789 2019 — — — — — — — — — 31,790 Total $ 1,823,850 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 15,104 Reserves for loss and loss adjustment expenses, net of reinsurance $ 1,034,256 Commercial Automobile (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 310,591 $ 320,098 $ 330,224 $ 328,901 $ 332,748 $ 331,615 $ 330,586 $ 330,297 $ 329,976 $ 329,768 $ 144 37 2011 — 312,224 320,920 328,320 331,732 341,394 341,200 342,094 343,566 343,433 964 37 2012 — — 314,309 326,831 342,588 355,609 364,084 364,328 366,541 365,806 807 37 2013 — — — 327,514 349,136 368,894 376,860 367,264 366,822 365,953 1,592 39 2014 — — — — 363,913 385,251 418,161 416,123 413,589 413,424 4,385 42 2015 — — — — — 389,660 417,053 423,180 431,376 432,415 7,808 46 2016 — — — — — — 431,261 430,911 442,210 443,268 18,162 45 2017 — — — — — — — 430,768 428,708 430,499 31,607 41 2018 — — — — — — — — 442,788 462,756 67,700 40 2019 — — — — — — — — — 483,206 162,432 37 Total $ 4,070,528 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 136,029 $ 208,790 $ 263,639 $ 295,355 $ 313,262 $ 324,997 $ 326,804 $ 327,240 $ 327,863 $ 328,006 2011 — 135,350 211,756 262,685 296,370 321,814 333,987 338,325 340,360 340,799 2012 — — 136,844 215,214 273,446 312,342 344,326 355,631 360,681 361,755 2013 — — — 142,929 218,596 267,253 322,441 343,556 353,424 362,152 2014 — — — — 155,572 237,665 328,125 365,376 394,063 402,013 2015 — — — — — 160,024 265,083 324,976 370,037 397,666 2016 — — — — — — 184,516 279,381 341,423 390,359 2017 — — — — — — — 180,755 267,587 327,135 2018 — — — — — — — — 180,162 281,651 2019 — — — — — — — — — 185,344 Total $ 3,376,880 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 4,313 Reserves for loss and loss adjustment expenses, net of reinsurance $ 697,961 Short-tail lines (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 385,319 $ 370,080 $ 358,254 $ 355,602 $ 345,937 $ 346,380 $ 346,493 $ 346,074 $ 345,777 $ 345,546 $ 233 19 2011 — 478,520 471,678 463,253 460,030 457,182 450,325 449,529 451,410 451,064 649 21 2012 — — 529,564 537,716 538,141 533,491 507,509 506,464 508,354 507,416 2,229 28 2013 — — — 576,784 586,382 577,353 553,680 552,192 548,673 546,766 3,405 30 2014 — — — — 707,121 712,320 664,718 663,342 664,169 664,416 4,366 34 2015 — — — — — 743,454 731,950 728,186 726,748 718,506 10,676 37 2016 — — — — — — 773,945 777,270 764,278 758,881 12,383 40 2017 — — — — — — — 753,512 753,803 748,451 18,189 46 2018 — — — — — — — — 760,474 750,780 33,738 52 2019 — — — — — — — — — 726,820 168,528 42 Total $ 6,218,646 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 245,037 $ 325,163 $ 337,688 $ 346,622 $ 340,066 $ 342,773 $ 343,899 $ 344,887 $ 344,908 $ 344,989 2011 — 303,016 417,730 436,718 440,937 445,234 446,944 447,538 450,352 450,439 2012 — — 281,830 454,731 504,954 515,520 498,207 499,355 503,614 504,342 2013 — — — 314,122 488,140 536,630 531,474 538,304 539,553 540,158 2014 — — — — 372,670 599,119 613,530 632,796 648,072 655,332 2015 — — — — — 395,440 612,369 668,012 690,037 699,770 2016 — — — — — — 417,424 671,219 712,815 728,122 2017 — — — — — — — 445,560 690,029 718,949 2018 — — — — — — — — 415,206 662,185 2019 — — — — — — — — — 405,213 Total $ 5,709,499 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 1,019 Reserves for loss and loss adjustment expenses, net of reinsurance $ 510,166 Reinsurance & Monoline Excess Casualty (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR 2010 $ 290,438 $ 298,265 $ 288,146 $ 276,049 $ 265,455 $ 256,271 $ 252,900 $ 250,596 $ 249,599 $ 249,472 $ 14,322 2011 — 290,770 309,836 304,352 299,244 307,969 304,780 296,280 292,762 299,130 16,563 2012 — — 331,991 335,867 330,882 325,224 333,982 336,492 334,588 331,270 17,481 2013 — — — 319,491 270,382 275,539 285,032 293,686 299,224 303,568 25,073 2014 — — — — 320,579 320,226 319,573 331,339 325,497 324,941 34,043 2015 — — — — — 259,922 232,272 230,856 252,959 293,718 43,622 2016 — — — — — — 241,533 253,501 246,019 268,508 51,973 2017 — — — — — — — 232,010 221,769 239,788 85,671 2018 — — — — — — — — 222,100 211,227 109,087 2019 — — — — — — — — — 237,412 196,623 Total $ 2,759,034 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 17,814 $ 45,338 $ 76,845 $ 105,912 $ 128,476 $ 150,665 $ 166,361 $ 181,857 $ 191,532 $ 198,822 2011 — 17,812 52,231 97,476 133,808 169,219 192,724 208,347 220,566 232,452 2012 — — 22,329 62,037 111,538 152,590 187,196 219,637 241,318 257,010 2013 — — — 28,910 63,718 110,306 144,405 178,174 205,716 226,083 2014 — — — — 21,280 68,992 115,873 155,207 198,196 227,684 2015 — — — — — 17,866 48,445 91,198 141,348 178,657 2016 — — — — — — 19,895 61,787 100,262 140,411 2017 — — — — — — — 16,473 40,138 69,465 2018 — — — — — — — — 11,092 41,018 2019 — — — — — — — — — 14,574 Total $ 1,586,176 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 383,199 Reserves for loss and loss adjustment expenses, net of reinsurance $ 1,556,057 Monoline Excess (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR 2010 $ 135,639 $ 123,497 $ 120,272 $ 118,712 $ 102,424 $ 104,732 $ 100,065 $ 94,986 $ 95,374 $ 99,944 $ 15,731 2011 — 88,650 93,993 98,051 89,031 85,299 83,850 78,246 74,109 72,091 14,075 2012 — — 72,366 73,230 73,670 73,653 72,441 67,878 69,361 67,205 11,249 2013 — — — 63,995 50,355 46,025 42,419 38,551 35,120 31,752 12,626 2014 — — — — 63,561 57,558 49,478 45,758 41,671 42,541 15,347 2015 — — — — — 69,977 57,897 50,099 45,115 39,682 19,040 2016 — — — — — — 72,657 70,281 71,404 64,957 23,676 2017 — — — — — — — 76,701 80,508 70,749 29,999 2018 — — — — — — — — 77,820 72,505 36,930 2019 — — — — — — — — — 78,929 48,526 Total $ 640,355 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 2,867 $ 4,003 $ 5,571 $ 8,701 $ 11,260 $ 11,699 $ 14,261 $ 18,821 $ 22,355 $ 28,431 2011 — 2,593 4,848 6,395 14,042 15,684 18,638 20,164 21,463 23,686 2012 — — 1,127 6,097 10,815 11,167 13,234 15,738 17,982 20,004 2013 — — — 647 1,897 2,158 3,008 3,396 4,418 5,349 2014 — — — — 377 1,729 3,354 4,175 5,808 7,595 2015 — — — — — 2,069 2,481 3,272 4,099 4,416 2016 — — — — — — 2,498 4,783 5,573 5,928 2017 — — — — — — — 6,282 12,810 15,356 2018 — — — — — — — — 6,141 8,230 2019 — — — — — — — — — 6,241 Total $ 125,236 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 765,323 Reserves for loss and loss adjustment expenses, net of reinsurance $ 1,280,442 Property (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR 2010 $ 58,367 $ 55,399 $ 52,306 $ 51,186 $ 51,230 $ 50,694 $ 50,571 $ 50,398 $ 50,630 $ 50,362 $ 208 2011 — 95,201 87,837 84,914 86,326 84,791 84,522 84,246 84,651 84,432 490 2012 — — 103,833 94,661 86,330 85,334 83,814 83,822 84,746 84,555 1,032 2013 — — — 141,563 112,684 114,123 111,945 112,579 111,895 109,699 643 2014 — — — — 113,126 96,636 97,279 100,011 99,250 98,912 1,685 2015 — — — — — 127,259 117,563 131,755 130,391 129,492 2,478 2016 — — — — — — 168,129 174,570 181,757 181,002 4,891 2017 — — — — — — — 206,672 200,510 199,497 11,224 2018 — — — — — — — — 108,342 112,152 19,159 2019 — — — — — — — — — 103,240 52,334 Total $ 1,153,343 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 23,424 $ 37,483 $ 42,153 $ 43,634 $ 44,550 $ 46,141 $ 48,745 $ 49,001 $ 49,749 $ 49,690 2011 — 31,402 58,702 73,142 75,778 78,357 81,560 82,094 83,169 83,250 2012 — — 15,663 51,641 64,098 70,524 77,412 78,971 81,673 82,541 2013 — — — 36,578 74,573 92,619 101,539 104,326 106,045 107,606 2014 — — — — 38,803 66,869 82,172 88,317 91,452 93,160 2015 — — — — — 53,477 89,153 109,090 118,603 122,621 2016 — — — — — — 78,936 133,576 157,491 168,605 2017 — — — — — — — 72,132 141,389 171,745 2018 — — — — — — — — 34,004 65,193 2019 — — — — — — — — — 23,051 Total $ 967,462 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 798 Reserves for loss and loss adjustment expenses, net of reinsurance $ 186,679 The reconciliation of the net incurred and paid claims development tables to the reserves for losses and loss expenses in the consolidated balance sheet is as follows: (In thousands) December 31, 2019 Undiscounted reserves for loss and loss expenses, net of reinsurance: Other liability $ 3,998,511 Workers' compensation 1,870,968 Professional liability 1,034,256 Commercial automobile 697,961 Short-tail lines 510,166 Other 92,495 Insurance 8,204,357 Casualty 1,556,057 Monoline excess 1,280,442 Property 186,679 Reinsurance & Monoline Excess 3,023,178 Total undiscounted reserves for loss and loss expenses, net of reinsurance $ 11,227,535 (In thousands) December 31, 2019 Due from reinsurers on unpaid claims: Other liability $ 518,759 Workers' compensation 300,966 Professional liability 509,828 Commercial automobile 24,486 Short-tail lines 243,333 Other 46,197 Insurance 1,643,569 Casualty 113,332 Monoline excess 38,384 Property 89,966 Reinsurance & Monoline Excess 241,682 Total due from reinsurers on unpaid claims $ 1,885,251 (In thousands) December 31, 2019 Loss reserve discount: Other liability $ — Workers' compensation (10,976 ) Professional liability — Commercial automobile — Short-tail lines — Other — Insurance (10,976 ) Casualty (107,929 ) Monoline excess (410,632 ) Property — Reinsurance & Monoline Excess (518,561 ) Total loss reserve discount $ (529,537 ) Total gross reserves for loss and loss expenses $ 12,583,249 The following is supplementary information regarding average historical claims duration as of December 31, 2019 : Insurance Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance Years 1 2 3 4 5 6 7 8 9 10 Other liability 7.8 % 14.4 % 18.4 % 16.6 % 14.0 % 8.6 % 5.4 % 3.4 % 2.9 % 1.5 % Workers' compensation 23.1 % 28.7 % 15.8 % 9.3 % 6.0 % 3.7 % 2.7 % 1.7 % 1.5 % 1.0 % Professional liability 8.7 % 21.6 % 21.3 % 15.2 % 9.9 % 8.9 % 3.5 % 2.6 % 3.8 % 0.6 % Commercial automobile 39.3 % 21.6 % 15.5 % 10.8 % 6.8 % 3.0 % 1.4 % 0.3 % 0.2 % — % Short-tail lines 58.8 % 30.9 % 5.7 % 1.8 % 0.1 % 0.5 % 0.4 % 0.4 % — % — % Reinsurance & Monoline Excess Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance Years 1 2 3 4 5 6 7 8 9 10 Casualty 6.8 % 12.3 % 14.2 % 13.1 % 11.4 % 8.9 % 6.2 % 5.0 % 3.9 % 2.9 % Monoline excess 4.5 % 3.9 % 2.8 % 3.1 % 2.3 % 3.1 % 2.7 % 3.1 % 3.3 % 6.1 % Property 34.9 % 31.8 % 14.6 % 5.9 % 3.6 % 2.4 % 2.6 % 0.9 % 0.8 % — % The table below provides a reconciliation of the beginning and ending reserve balances: (In thousands) 2019 2018 2017 Net reserves at beginning of year $ 10,248,883 $ 10,056,914 $ 9,590,265 Net provision for losses and loss expenses: Claims occurring during the current year (1) 4,057,989 3,926,489 3,963,543 Increase (decrease) in estimates for claims occurring in prior years (2) 34,079 6,831 (5,165 ) Loss reserve discount accretion 39,048 41,382 43,970 Total 4,131,116 3,974,702 4,002,348 Net payments for claims: Current year 985,599 964,808 1,027,405 Prior year 2,673,803 2,700,077 2,562,550 Total 3,659,402 3,664,885 3,589,955 Foreign currency translation (22,599 ) (117,848 ) 54,256 Net reserves at end of year 10,697,998 10,248,883 10,056,914 Ceded reserve at end of year 1,885,251 1,717,565 1,613,494 Gross reserves at end of year $ 12,583,249 $ 11,966,448 $ 11,670,408 Net change in premiums and losses occurring in prior years: (Increase) decrease in estimates for claims occurring in prior years (2) $ (34,079 ) $ (6,831 ) $ 5,165 Retrospective premium adjustments for claims occurring in prior years (3) 53,511 45,638 32,162 Net favorable premium and reserve development on prior years $ 19,432 $ 38,807 $ 37,327 _______________________________________ (1) Claims occurring during the current year are net of loss reserve discounts of $20 million , $24 million and $22 million in 2019 , 2018 , and 2017 , respectively. (2) The change in estimates for claims occurring in prior years is net of loss reserve discount. On an undiscounted basis, the estimates for claims occurring in prior years increased by $19 million in 2019 , and decreased $4 million and $32 million in 2018 and 2017 , respectively. (3) For certain retrospectively rated insurance polices and reinsurance agreements, changes in loss and loss expenses for prior years are offset by additional or return premiums. Favorable prior year development (net of additional and return premiums) was $19 million in 2019 . Insurance - Reserves for the Insurance segment developed favorably by $21 million in 2019 (net of additional and return premiums). This overall favorable development resulted from more significant favorable development on workers’ compensation business, which was largely offset by unfavorable development on professional liability and general liability business. For workers’ compensation, the favorable development was spread across many accident years, including prior to 2010, but was most significant in accident years 2014 through 2018, and particularly 2017 and 2018. The favorable workers’ compensation development reflects a continuation during 2019 of the benign loss cost trends experienced during recent years, particularly the favorable claim frequency trends (i.e., number of reported claims per unit of exposure). The long term trend of declining workers’ compensation frequency can be attributable to improved workplace safety. Loss severity trends were also aided by our continued investment in claims handling initiatives such as medical case management services and vendor savings through usage of preferred provider networks and pharmacy benefit managers. Our initial loss ratio “picks” for this line of business over the past few accident years have contemplated an increase in loss cost trends and reflect decreasing premium rates in the marketplace; reported workers’ compensation losses in 2019 continued to be below our expectations at most of our operating units, and were below the assumptions underlying our initial loss ratio picks and our previous reserve estimates. For professional liability business, the unfavorable development was driven mainly by an increase in the number of large losses reported in the lawyers professional liability and directors and officers (“D&O”) liability lines of business. Many of the lawyers large losses involved claims made against insured law firms relating to work performed on matters stemming from the 2008 financial crisis. These claims affected mainly accident years 2013 through 2016. In addition, for both of these lines of business, we have seen evidence of social inflation in the form of higher jury awards on cases which go to trial, and corresponding higher demands from plaintiffs and higher values required to reach settlement on cases which do not go to trial. The unfavorable development for D&O affected mainly accident years 2014 through 2017. For general liability business, most of the unfavorable development emanated from our excess and surplus lines (E&S) businesses, and was driven by an increase in the number of large losses reported. Many of these large losses were from construction and contracting classes of business, which have also been impacted by social inflation. The general liability unfavorable development impacted mainly accident years 2015 through 2018. Reinsurance & Monoline Excess - Reserves for the Reinsurance & Monoline Excess segment developed unfavorably by $2 million in 2019. The unfavorable development in the segment was driven by non-proportional assumed liability business in both the U.S. and U.K., and was largely offset by favorable development on excess workers’ compensation business. The unfavorable non-proportional assumed liability development was concentrated in accident years 2015 through 2018, and included an adjustment for the Ogden discount rate in the U.K. Favorable prior year development (net of additional and return premiums) was $39 million in 2018. Insurance - Reserves for the Insurance segment developed favorably by $19 million in 2018 . The favorable development was primarily attributable to workers’ compensation business, and was partially offset by unfavorable development for professional liability business. For workers’ compensation, the favorable development was spread across many accident years, but was most significant in accident years 2015 through 2017. The favorable workers’ compensation development reflects a continuation during 2018 of the benign loss cost trends experienced during recent years, particularly the favorable claim frequency trends (i.e., number of reported claims per unit of exposure). The long term trend of declining workers' compensation frequency can be attributable to improved workplace safety. Loss severity trends were also aided by our continued investment in claims handling initiatives such as medical case management services and vendor savings through usage of preferred provider networks. Reported workers’ compensation losses in 2018 continued to be below our expectations at most of our operating units, and were below the assumptions underlying our previous reserve estimates. For professional liability business, adverse development was primarily related to unexpected large directors and officers (“D&O”) liability losses at one of our U.S. operating units, as well as lawyers professional liability losses at another operating unit. The adverse development stemmed primarily from accident years 2015 and 2016, and was driven by a higher frequency of large losses than we had experienced in previous years. Reinsurance & Monoline Excess - Reserves for the Reinsurance & Monoline |
Reinsurance
Reinsurance | 12 Months Ended |
Dec. 31, 2019 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance | Reinsurance The Company reinsures a portion of its insurance exposures in order to reduce its net liability on individual risks and catastrophe losses. Reinsurance coverage and retentions vary depending on the line of business, location of the risk and nature of loss. The Company’s reinsurance purchases include the following: property reinsurance treaties that reduce exposure to large individual property losses and catastrophe events; casualty reinsurance treaties that reduce its exposure to large individual casualty losses, workers’ compensation catastrophe losses and casualty losses involving multiple claimants or insureds; and facultative reinsurance that reduces exposure on individual policies or risks for losses that exceed treaty reinsurance capacity. Depending on the operating unit, the Company purchases specific additional reinsurance to supplement the above programs. The following is a summary of reinsurance financial information: (In thousands) 2019 2018 2017 Written premiums: Direct $ 7,386,759 $ 6,973,216 $ 6,726,029 Assumed 875,459 729,278 750,934 Ceded (1,398,719 ) (1,269,267 ) (1,216,455 ) Total net written premiums $ 6,863,499 $ 6,433,227 $ 6,260,508 Earned premiums: Direct $ 7,141,427 $ 6,851,795 $ 6,661,046 Assumed 820,705 755,759 812,309 Ceded (1,328,844 ) (1,236,049 ) (1,161,936 ) Total net earned premiums $ 6,633,288 $ 6,371,505 $ 6,311,419 Ceded losses and loss expenses incurred $ 836,831 $ 829,742 $ 601,769 Ceded commission earned $ 314,191 $ 268,037 $ 241,983 The Company reinsures a portion of its exposures principally to reduce its net liability on individual risks and to protect against catastrophic losses. Estimated amounts due from reinsurers are reported net of reserves for uncollectible reinsurance of $690,127 , $946,965 and $1,010,000 as of December 31, 2019 , 2018 and 2017 , respectively. The following table presents the amounts due from reinsurers as of December 31, 2019 : (In thousands) Munich Re $ 243,021 Lloyd’s of London 201,092 Swiss Re 179,274 Alleghany Group 169,185 Partner Re 127,638 Hannover Re Group 95,486 Axis Capital 93,547 Berkshire Hathaway 82,882 Renaissance Re 79,954 Korean Re 64,464 Everest Re 55,431 Liberty Mutual 49,346 Arch Capital Group 27,116 Qatar Re 22,477 Chubb Limited 15,199 Other reinsurers less than $20,000 308,404 Subtotal 1,814,515 Residual market pools 319,168 Total $ 2,133,683 |
Indebtedness
Indebtedness | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Indebtedness | Indebtedness Indebtedness consisted of the following as of December 31, 2019 (the difference between the face value and the carrying value is unamortized discount and debt issuance costs): Carrying Value (In thousands) Interest Rate Face Value 2019 2018 Senior notes due on: August 15, 2019 6.15% $ — $ — $ 140,568 September 15, 2019 7.375% — — 299,816 September 15, 2020 5.375% 300,000 299,756 299,420 January 1, 2022 8.7% 76,503 76,343 76,273 March 15, 2022 4.625% 350,000 349,088 348,670 February 15, 2037 6.25% 250,000 248,116 248,006 August 1, 2044 4.75% 350,000 345,467 345,283 Subsidiary debt (1) (2) Various 108,804 108,805 123,992 Total senior notes and other debt $ 1,435,307 $ 1,427,575 $ 1,882,028 Subordinated debentures due on: April 30, 2053 5.625% $ 350,000 $ 341,356 $ 341,097 March 1, 2056 5.9% 110,000 106,262 106,159 June 1, 2056 5.75% 290,000 281,777 281,551 March 30, 2058 5.70% 185,000 178,845 178,684 December 30, 2059 5.1% 300,000 290,464 — Total subordinated debentures $ 1,235,000 $ 1,198,704 $ 907,491 ________________ (1) Subsidiary debt is due as follows: $6 million in 2020 , $1 million in 2021 , and $102 million in 2028 . (2) Includes non-recourse loan in the amount of $102 million secured by an office building. See Note 8, Real Estate, for more details. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income tax expense (benefit) consists of: (In thousands) Current Expense Deferred Expense (Benefit) Total December 31, 2019 Domestic $ 124,231 $ 27,616 $ 151,847 Foreign 9,030 8,058 17,088 Total expense $ 133,261 $ 35,674 $ 168,935 December 31, 2018 Domestic $ 188,712 $ (63,134 ) $ 125,578 Foreign 13,963 23,487 37,450 Total expense (benefit) $ 202,675 $ (39,647 ) $ 163,028 December 31, 2017 Domestic $ 225,694 $ (27,601 ) $ 198,093 Foreign 8,803 12,537 21,340 Total expense (benefit) $ 234,497 $ (15,064 ) $ 219,433 Income before income taxes from domestic operations was $739 million , $755 million and $797 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. Income (loss) before income taxes from foreign operations was $114 million , $57 million and $(25) million for the years ended December 31, 2019 , 2018 and 2017 , respectively. A reconciliation of the income tax expense and the amounts computed by applying the Federal and foreign income tax rate of 21% for 2019 and 2018 and 35% for 2017 to pre-tax income are as follows: (In thousands) 2019 2018 2017 Computed “expected” tax expense $ 179,113 $ 170,540 $ 270,470 Tax-exempt investment income (14,666 ) (18,833 ) (37,209 ) Change in valuation allowance (1,945 ) 18,576 11,161 Impact of foreign tax rates 7,700 7,683 3,508 State and local taxes 4,842 3,901 1,644 Impact of change in U.S. tax rate — (10,950 ) (30,531 ) Other, net (6,109 ) (7,889 ) 390 Total expense $ 168,935 $ 163,028 $ 219,433 At December 31, 2019 and 2018 , the tax effects of differences that give rise to significant portions of the deferred tax asset and deferred tax liability are as follows: (In thousands) 2019 2018 Deferred tax asset: Loss reserve discounting $ 136,100 $ 130,513 Unearned premiums 120,246 112,190 Net operating losses 37,147 37,463 Other-than-temporary impairments 8,049 9,910 Employee compensation plans 60,552 56,027 Other 63,633 58,809 Gross deferred tax asset 425,727 404,912 Less valuation allowance (33,250 ) (35,195 ) Deferred tax asset 392,477 369,717 Deferred tax liability: Amortization of intangibles 12,832 13,641 Loss reserve discounting - transition rule 29,697 41,088 Deferred policy acquisition costs 103,947 99,293 Unrealized investment gains 93,330 35,430 Property, furniture and equipment 47,082 39,239 Investment funds 73,083 51,712 Other 50,212 53,824 Deferred tax liability 410,183 334,227 Net deferred tax liability (asset) $ 17,706 $ (35,490 ) The Company had a current tax receivable of $13.4 million and $0.7 million at December 31, 2019 and 2018 , respectively. At December 31, 2019 , the Company had foreign net operating loss carryforwards of $9.0 million that expire beginning in 2027, and an additional $169.0 million that have no expiration date. At December 31, 2019 , the Company had a valuation allowance of $33.3 million , as compared to $35.2 million at December 31, 2018 . The Company has provided a valuation allowance against the utilization of foreign tax credits and the future net operating loss carryforward benefits of certain foreign operations. The statute of limitations has closed for the Company’s U.S. Federal tax returns through December 31, 2013. The realization of the deferred tax asset is dependent upon the Company’s ability to generate sufficient taxable income in future periods. Based on historical results and the prospects for future current operations, management anticipates that it is more likely than not that future taxable income will be sufficient for the realization of this asset. The Tax Cuts and Jobs Act of 2017 (the "Tax Act") provided for a reduction of the U.S. corporate income tax rate from 35% to 21% effective January 1, 2018. The U.S. tax law requires insurance reserves to be discounted for tax purposes. The Tax Act modified this computation. At the end of 2018, the IRS issued revised discount factors to be applied to the 2017 reserves. During 2019, the IRS updated the revised discount factors. This modified the increase in the beginning of year 2018 deferred tax asset for loss reserve discounting to $40 million . Under the related transition rule, a deferred tax liability was established which will be included in taxable income over eight years beginning in 2018. The Company has not provided U.S. deferred income taxes on the undistributed earnings of approximately $124 million of its non-U.S. subsidiaries since these earnings are intended to be permanently reinvested in the non-U.S. subsidiaries. In the future, if such earnings were distributed the Company projects that the incremental tax, if any, will be immaterial. |
Dividends From Subsidiaries And
Dividends From Subsidiaries And Statutory Financial Information | 12 Months Ended |
Dec. 31, 2019 | |
Insurance [Abstract] | |
Dividends From Subsidiaries And Statutory Financial Information | Dividends from Subsidiaries and Statutory Financial Information The Company’s insurance subsidiaries are restricted by law as to the amount of dividends they may pay without the approval of regulatory authorities. The Company’s lead insurer, Berkley Insurance Company ("BIC"), directly or indirectly owns all of the Company’s other insurance companies. During 2020 , the maximum amount of dividends that can be paid by BIC without such approval is approximately $601 million . BIC’s combined net income and statutory capital and surplus, as determined in accordance with statutory accounting practices ("SAP"), are as follows: (In thousands) 2019 2018 2017 Net income $ 601,564 $ 1,099,953 $ 698,862 Statutory capital and surplus $ 6,013,062 $ 5,587,930 $ 5,479,603 The significant variances between SAP and GAAP are that for statutory purposes bonds are carried at amortized cost, unrealized gains and losses on equity securities are recorded in surplus, acquisition costs are charged to income as incurred, deferred Federal income taxes are subject to limitations, excess and assumed workers’ compensation reserves are discounted at different discount rates and certain assets designated as “non-admitted assets” are charged against surplus. The Commissioner of Insurance of the State of Delaware has allowed BIC to recognize a non-tabular discount on certain workers' compensation loss reserves, which is a permitted practice that differs from SAP. The effect of using this permitted practice was an increase to BIC’s statutory capital and surplus by $268 million at December 31, 2019 . The National Association of Insurance Commissioners (“NAIC”) has risk-based capital (“RBC”) requirements that require insurance companies to calculate and report information under a risk-based formula which measures statutory capital and surplus needs based on a regulatory definition of risk in a company’s mix of products and its balance sheet. This guidance is used to calculate two capital measurements: Total Adjusted Capital and RBC Authorized Control Level. Total Adjusted Capital is equal to the Company’s statutory capital and surplus excluding capital and surplus derived from the use of permitted practices that differ from statutory accounting practices. RBC Authorized Control Level is the capital level used by regulatory authorities to determine whether remedial action is required. Generally, no remedial action is required if Total Adjusted Capital is 200% or more of the RBC Authorized Control Level. At December 31, 2019 , BIC’s Total Adjusted Capital of $5.746 billion was 396% of its RBC Authorized Control Level. See Note 3, Investments in Fixed Maturity Securities, for a description of assets held on deposit as security. |
Common Stockholders' Equity
Common Stockholders' Equity | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Common Stockholders' Equity | Common Stockholders’ Equity The weighted average number of shares used in the computation of net income per share was as follows: (In thousands) 2019 2018 2017 Basic 190,722 190,048 187,265 Diluted 193,521 192,395 193,527 Treasury shares have been excluded from average outstanding shares from the date of acquisition. The weighted average number of basic shares outstanding includes the impact of 7,575,168 common shares held in a grantor trust. The common shares held in the grantor trust are for delivery upon settlement of vested but mandatorily deferred restricted stock units ("RSUs"). Shares held by the grantor trust do not affect diluted shares outstanding since shares deliverable under vested RSUs were already included in diluted shares outstanding. The difference in calculating basic and diluted net income per share is attributable entirely to the dilutive effect of stock-based compensation plans. Changes in shares of common stock outstanding, net of treasury shares, are presented below. Shares of common stock issued and outstanding do not include shares related to unissued restricted stock units (including shares held in the grantor trust). 2019 2018 2017 Balance, beginning of year 182,993,640 182,272,278 181,790,399 Shares issued 687,339 1,257,762 1,578,384 Shares repurchased (269,072 ) (536,400 ) (1,096,505) Balance, end of year 183,411,907 182,993,640 182,272,278 The amount of dividends paid is dependent upon factors such as the receipt of dividends from our subsidiaries, our results of operations, cash flow, financial condition and business needs, the capital and surplus requirements of our subsidiaries, and applicable insurance regulations that limit the amount of dividends that may be paid by our regulated insurance subsidiaries. |
Fair Value Of Financial Instrum
Fair Value Of Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Of Financial Instruments | Fair Value Measurements The Company’s fixed maturity and equity securities classified as available for sale and its trading account securities are carried at fair value. Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date”. The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels, as follows: Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 - Quoted prices for similar assets or valuations based on inputs that are observable. Level 3 - Estimates of fair value based on internal pricing methodologies using unobservable inputs. Unobservable inputs are only used to measure fair value to the extent that observable inputs are not available. Substantially all of the Company’s fixed maturity securities were priced by independent pricing services. The prices provided by the independent pricing services are estimated based on observable market data in active markets utilizing pricing models and processes, which may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, sector groupings, matrix pricing and reference data. The pricing services may prioritize inputs differently on any given day for any security based on market conditions, and not all inputs are available for each security evaluation on any given day. The pricing services used by the Company have indicated that they will only produce an estimate of fair value if objectively verifiable information is available. The determination of whether markets are active or inactive is based upon the volume and level of activity for a particular asset class. The Company reviews the prices provided by pricing services for reasonableness and periodically performs independent price tests of a sample of securities to ensure proper valuation. If prices from independent pricing services are not available for fixed maturity securities, the Company estimates the fair value. For Level 2 securities, the Company utilizes pricing models and processes which may include benchmark yields, sector groupings, matrix pricing, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, bids, offers and reference data. Where broker quotes are used, the Company generally requests two or more quotes and sets a price within the range of quotes received based on its assessment of the credibility of the quote and its own evaluation of the security. The Company generally does not adjust quotes received from brokers. For securities traded only in private negotiations, the Company determines fair value based primarily on the cost of such securities, which is adjusted to reflect prices of recent placements of securities of the same issuer, financial projections, credit quality and business developments of the issuer and other relevant information. For Level 3 securities, the Company generally uses a discounted cash flow model to estimate the fair value of fixed maturity securities. The cash flow models are based upon assumptions as to prevailing credit spreads, interest rate and interest rate volatility, time to maturity and subordination levels. Projected cash flows are discounted at rates that are adjusted to reflect illiquidity, where appropriate. The following tables present the assets and liabilities measured at fair value as of December 31, 2019 and 2018 by level: (In thousands) Total Level 1 Level 2 Level 3 December 31, 2019 Assets: Fixed maturity securities available for sale: U.S. government and government agency $ 786,931 $ — $ 786,931 $ — State and municipal 3,895,632 — 3,895,632 — Mortgage-backed securities 1,625,594 — 1,625,594 — Asset-backed securities 2,790,630 — 2,790,630 — Corporate 4,156,415 — 4,156,415 — Foreign government 847,076 — 847,076 — Total fixed maturity securities available for sale 14,102,278 — 14,102,278 — Equity securities: Common stocks 166,805 157,752 — 9,053 Preferred stocks 313,815 — 307,310 6,505 Total equity securities 480,620 157,752 307,310 15,558 Arbitrage trading account 400,809 381,061 19,748 — Total $ 14,983,707 $ 538,813 $ 14,429,336 $ 15,558 Liabilities: Trading account securities sold but not yet purchased $ 36,143 $ 36,143 $ — $ — December 31, 2018 Assets: Fixed maturity securities available for sale: U.S. government and government agency $ 702,240 $ — $ 702,240 $ — State and municipal 3,872,598 — 3,872,598 — Mortgage-backed securities 1,594,546 — 1,594,546 — Asset-backed securities 2,438,747 — 2,438,648 99 Corporate 4,111,311 — 4,111,311 — Foreign government 808,735 — 808,735 — Total fixed maturity securities available for sale 13,528,177 — 13,528,078 99 Equity securities: Common stocks 98,192 89,596 — 8,596 Preferred stocks 180,814 — 176,869 3,945 Total equity securities 279,006 89,596 176,869 12,541 Arbitrage trading account 452,548 353,335 81,905 17,308 Total $ 14,259,731 $ 442,931 $ 13,786,852 $ 29,948 Liabilities: Trading account securities sold but not yet purchased $ 38,120 $ 37,327 $ — $ 793 The following tables summarize changes in Level 3 assets and liabilities for the years ended December 31, 2019 and 2018 : Gains (Losses) Included in: (In thousands) Beginning Balance Earnings (Losses) Other Comprehensive Income (Losses) Impairments Purchases Sales Paydowns/Maturities Transfers In / Out Ending Balance Year ended December 31, 2019 Assets: Fixed maturity securities available for sale: Asset-backed securities $ 99 $ (26 ) $ 61 $ — $ — $ (134 ) $ — $ — $ — Total 99 (26 ) 61 — — (134 ) — — — Equity securities: Common stocks 8,596 2,005 — — (1,548 ) — — 9,053 Preferred stocks 3,945 (42 ) — — 2,602 — — — 6,505 Total 12,541 1,963 — — 2,602 (1,548 ) — — 15,558 Arbitrage trading account 17,308 (8,731 ) — — 14,767 (38,233 ) — 14,889 — Total $ 29,948 $ (6,794 ) $ 61 $ — $ 17,369 $ (39,915 ) $ — $ 14,889 $ 15,558 Liabilities: Trading account securities sold but not yet purchased $ 793 $ 133 $ — $ — $ 7,609 $ (8,535 ) $ — $ — $ — Year ended December 31, 2018 Assets: Fixed maturity securities available for sale: Asset-backed securities $ 172 $ (2 ) $ 46 $ — $ — $ (117 ) $ — $ — $ 99 Total 172 (2 ) 46 — — (117 ) — — 99 Equity securities: Common stocks 9,370 (548 ) — — (227 ) — 1 8,596 Preferred stocks 10,843 100 — — (6,998 ) — — 3,945 Total 20,213 (448 ) — — — (7,225 ) — 1 12,541 Arbitrage trading account — (6 ) — — 11,523 (11 ) — 5,802 17,308 Total $ 20,385 $ (456 ) $ 46 $ — $ 11,523 $ (7,353 ) $ — $ 5,803 $ 29,948 Liabilities: Trading account securities sold but not yet purchased $ — $ (67 ) $ — $ — $ 860 $ — $ — $ — $ 793 For the year ended December 31, 2019 , there were two common stocks transferred into Level 3 in the arbitrage trading account where publicly traded prices were no longer available, and both were sold by year end. For the year ended December 31, 2018 , one common stock in the arbitrage trading account was transferred into Level 3 and one The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments as of December 31, 2019 and 2018 : 2019 2018 (In thousands) Carrying Value Fair Value Carrying Value Fair Value Assets: Fixed maturity securities $ 14,180,961 $ 14,194,955 $ 13,606,812 $ 13,619,620 Equity securities 480,620 480,620 279,006 279,006 Arbitrage trading account 400,809 400,809 452,548 452,548 Loans receivable 91,799 94,613 94,813 97,073 Cash and cash equivalents 1,023,710 1,023,710 817,602 817,602 Trading accounts receivable from brokers and clearing organizations 423,543 423,543 347,228 347,228 Liabilities: Due to broker 27,116 27,116 20,144 20,144 Trading account securities sold but not yet purchased 36,143 36,143 38,120 38,120 Senior notes and other debt 1,427,575 1,582,290 1,882,028 1,968,996 Subordinated debentures 1,198,704 1,274,088 907,491 840,002 The estimated fair values of the Company’s fixed maturity securities, equity securities available for sale and arbitrage trading account securities are based on various valuation techniques that rely on fair value measurements as described in Note 12 above. The fair value of loans receivable is estimated by using current institutional purchaser yield requirements for loans with similar credit characteristics, which is considered a Level 2 input. The fair value of the senior notes and other debt and the subordinated debentures is based on spreads for similar securities, which is considered a Level 2 input. |
Commitments, Litigation And Con
Commitments, Litigation And Contingent Liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, Litigation And Contingent Liabilities | Commitments, Litigation and Contingent Liabilities In the ordinary course of business, the Company is subject to disputes, litigation and arbitration arising from its insurance and reinsurance businesses. These matters are generally related to insurance and reinsurance claims and are considered in the establishment of loss and loss expense reserves. In addition, the Company may also become involved in legal actions which seek extra-contractual damages, punitive damages or penalties, including claims alleging bad faith in handling of insurance claims. The Company expects its ultimate liability with respect to such matters will not be material to its financial condition. However, adverse outcomes on such matters are possible, from time to time, and could be material to the Company’s results of operations in any particular financial reporting period. At December 31, 2019 , the Company had commitments to invest up to $232 million and $114 million in certain investment funds and real estate construction projects, respectively. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | Leases As described in Note 1, the Company prospectively adopted ASU 2016-02, Leases, effective January 1, 2019, which requires lessees to recognize a right-of-use asset and a lease liability for leases with terms of more than 12 months on the balance sheet. All leases disclosed within this note are classified as operating leases. Recognized right-of-use asset and lease liability are reported within other assets and other liabilities, respectively, in the consolidated balance sheet. Lease expense is reported in other operating costs and expenses in the consolidated statement of income and accounted for on a straight-line basis over the lease term. To determine the discount rate used to calculate present value of future minimum lease payments, the Company uses its incremental borrowing rate during the lease commencement period in line with the respective lease duration. In certain cases, the Company has the option to renew the lease. Lease renewal future payments are included in the present value of the future minimum lease payments when the Company determines it is reasonably certain to renew. The main leases entered into by the Company are for office space used by the Company’s operating units across the world. Additionally, the Company, to a lesser extent, has equipment leases mainly for office equipment. Further information relating to operating lease expense and other operating lease information is as follows: Twelve Months Ended December 31, 2019 (In thousands) Leases: Lease cost $ 44,107 Cash paid for amounts included in the measurement of lease liabilities reported in operating cash flows $ 40,083 Right-of-use assets obtained in exchange for new lease liabilities $ 32,881 ($ in thousands) December 31, 2019 Right-of-use assets $ 193,311 Lease liabilities $ 230,338 Weighted-average remaining lease term 7.11 years Weighted-average discount rate 5.97 % Contractual maturities of the Company’s future minimum lease payments are as follows: (In thousands) December 31, 2019 Contractual Maturities: 2020 $ 49,293 2021 47,107 2022 41,652 2023 37,510 2024 31,152 Thereafter 78,820 Total undiscounted future minimum lease payments 285,534 Less: Discount impact (55,196 ) Total lease liability $ 230,338 |
Stock Incentive Plan
Stock Incentive Plan | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock Incentive Plan | Stock Incentive Plan Pursuant to the Company's stock incentive plan, the Company may issue restricted stock units ("RSUs") to employees of the Company and its subsidiaries. The RSUs generally vest three to five years from the award date and are subject to other vesting and forfeiture provisions contained in the award agreement. The following table summarizes RSU information for the three years ended December 31, 2019 : 2019 2018 2017 RSUs granted and unvested at beginning of period: 5,062,661 5,216,972 7,293,147 Granted 840,796 1,140,048 1,283,976 Vested (1,447,522 ) (900,254 ) (2,990,261 ) Canceled (331,675 ) (394,105 ) (369,890 ) RSUs granted and unvested at end of period: 4,124,260 5,062,661 5,216,972 Upon vesting, shares of the Company’s common stock equal to the number of vested RSUs are issued or deferred to a later date, depending on the terms of the specific award agreement. As of December 31, 2019 , 7,532,977 RSUs had been deferred. RSUs that have not yet vested and vested RSUs that have been deferred are not considered to be issued and outstanding shares. The fair value of RSUs at the date of grant are recorded as unearned compensation, a component of stockholders’ equity, and expensed over the vesting period. Following is a summary of changes in unearned compensation for the three years ended December 31, 2019 : (In thousands) 2019 2018 2017 Unearned compensation at beginning of year $ 129,669 $ 122,910 $ 115,965 RSUs granted, net of cancellations 53,583 52,204 52,897 RSUs expensed (47,329 ) (34,408 ) (38,796 ) RSUs forfeitures (7,533 ) (11,037 ) (7,156 ) Unearned compensation at end of year $ 128,390 $ 129,669 $ 122,910 |
Compensation Plans
Compensation Plans | 12 Months Ended |
Dec. 31, 2019 | |
Compensation Related Costs [Abstract] | |
Compensation Plans | Compensation Plans The Company and its subsidiaries have profit sharing plans in which substantially all employees participate. The plans provide for minimum annual contributions of 5% of eligible compensation; contributions above the minimum are discretionary and vary with each participating operating unit's profitability. Employees become eligible to participate in the plan on the first day of the calendar quarter following the first full calendar quarter after the employee's date of hire provided the employee has completed 250 hours of service during the calendar quarter. The plans provide that 40% of the contributions vest immediately and that the remaining 60% vest at varying percentages based upon years of service. Profit sharing expense was $47 million , $42 million and $42 million in 2019 , 2018 and 2017 , respectively. The Company has a long-term incentive compensation plan ("LTIP") that provides for compensation to key executives based on the growth in the Company's book value per share over a five year period. The following table summarizes the outstanding LTIP awards as of December 31, 2019 : Units Outstanding Maximum Value Inception to date earned through December 31, 2019 on outstanding units 2015 grant 179,250 $ 17,925,000 $ 17,925,000 2016 grant 199,500 19,950,000 15,243,000 2017 grant 210,000 21,000,000 10,938,900 2018 grant 215,250 21,525,000 7,501,463 2019 grant 228,750 22,875,000 3,068,338 The following table summarizes the LTIP expense for each of the three years ended December 31, 2019 : (In thousands) 2019 2018 2017 2013 grant $ — $ (1,124 ) $ 7,667 2014 grant (558 ) 3,227 3,167 2015 grant 3,319 5,170 3,667 2016 grant 3,548 5,148 3,601 2017 grant 3,432 4,700 3,162 2018 grant 3,310 4,317 — 2019 grant 3,068 — — Total $ 16,119 $ 21,438 $ 21,264 |
Supplemental Financial Statemen
Supplemental Financial Statement Data | 12 Months Ended |
Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |
Supplemental Financial Statement Data | Supplemental Financial Statement Data Other operating costs and expenses consist of the following: (In thousands) 2019 2018 2017 Amortization of deferred policy acquisition costs $ 1,001,611 $ 915,246 $ 1,111,489 Insurance operating expenses 1,088,690 1,183,635 989,535 Insurance service expenses 101,317 118,357 129,776 Net foreign currency (gains) losses (30,715 ) (27,067 ) 15,267 Other costs and expenses 201,179 193,050 190,865 Total $ 2,362,082 $ 2,383,221 $ 2,436,932 |
Industry Segments
Industry Segments | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Industry Segments | Industry Segments The Company’s reportable segments include the following two business segments, plus a corporate segment: • Insurance - predominantly commercial insurance business, including excess and surplus lines, admitted lines and specialty personal lines throughout the United States, as well as insurance business in the United Kingdom, Continental Europe, South America, Canada, Mexico, Scandinavia, Asia and Australia. • Reinsurance & Monoline Excess - reinsurance business on a facultative and treaty basis, primarily in the United States, United Kingdom, Continental Europe, Australia, the Asia-Pacific region and South Africa, as well as operations that solely retain risk on an excess basis. The accounting policies of the segments are the same as those described in the summary of significant accounting policies. Income tax expense and benefits are calculated based upon the Company’s overall effective tax rate. Summary financial information about the Company’s reporting segments is presented in the following table. Income before income taxes by segment includes allocated investment income. Identifiable assets by segment are those assets used in or allocated to the operation of each segment. Revenues (In thousands) Earned Premiums (1) Investment Income Other Total (2) Pre-Tax Income (Loss) Net Income (Loss) to Common Stockholders Year ended December 31, 2019 Insurance $ 5,919,819 $ 429,405 $ 47,850 $ 6,397,074 $ 814,862 $ 650,510 Reinsurance & Monoline Excess 713,469 164,082 — 877,551 189,188 152,046 Corporate, other and eliminations (3) — 52,127 454,741 506,868 (271,833 ) (215,967 ) Net investment gains — — 120,703 120,703 120,703 95,355 Consolidated $ 6,633,288 $ 645,614 $ 623,294 $ 7,902,196 $ 852,920 $ 681,944 Year ended December 31, 2018 Insurance $ 5,702,073 $ 433,490 $ 72,727 $ 6,208,290 $ 717,154 $ 571,381 Reinsurance & Monoline Excess 669,432 179,534 — 848,966 201,001 160,791 Corporate, other and eliminations (3) — 61,211 418,696 479,907 (260,549 ) (213,469 ) Net investment gains — — 154,488 154,488 154,488 122,046 Consolidated $ 6,371,505 $ 674,235 $ 645,911 $ 7,691,651 $ 812,094 $ 640,749 Year ended December 31, 2017 Insurance $ 5,549,403 $ 366,862 $ 86,865 $ 6,003,130 $ 623,746 $ 437,953 Reinsurance & Monoline Excess 762,016 160,462 — 922,478 117,131 90,358 Corporate, other and eliminations (3) — 48,464 374,834 423,298 (303,965 ) (197,525 ) Net investment gains — — 335,858 335,858 335,858 218,308 Consolidated $ 6,311,419 $ 575,788 $ 797,557 $ 7,684,764 $ 772,770 $ 549,094 Identifiable Assets (In thousands) December 31, 2019 2018 Insurance $ 20,003,202 $ 18,214,293 Reinsurance & Monoline Excess 4,709,724 4,371,151 Corporate, other and eliminations (3) 1,930,502 2,310,533 Consolidated $ 26,643,428 $ 24,895,977 _______________________________________ (1) Certain amounts included in earned premiums of each segment are related to inter-segment transactions. (2) Revenues for Insurance includes $725.4 million , $714.2 million , and $688.2 million in 2019, 2018, and 2017, respectively, from foreign countries. Revenues for Reinsurance & Monoline Excess includes $249.6 million , $228.1 million , and $201.3 million in 2019, 2018 and 2017, respectively, from foreign countries. (3) Corporate, other and eliminations represent corporate revenues and expenses and other items that are not allocated to business segments. Net premiums earned by major line of business are as follows: (In thousands) 2019 2018 2017 Insurance Other liability $ 2,063,401 $ 1,912,071 $ 1,843,826 Workers' compensation 1,301,980 1,327,206 1,324,801 Short-tail lines 1,223,902 1,184,447 1,184,465 Commercial automobile 750,051 722,236 650,441 Professional liability 580,485 556,113 545,870 Total Insurance 5,919,819 5,702,073 5,549,403 Reinsurance & Monoline Excess Casualty 405,063 362,886 377,650 Monoline Excess 160,071 162,908 157,039 Property 148,335 143,638 227,327 Total Reinsurance & Monoline Excess 713,469 669,432 762,016 Total $ 6,633,288 $ 6,371,505 $ 6,311,419 |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | Quarterly Financial Information (Unaudited) The following is a summary of quarterly financial data: (In thousands, except per share data) 2019 Three months ended March 31 June 30 September 30 December 31 Revenues $ 1,937,022 $ 2,023,384 $ 1,965,716 $ 1,976,074 Net income 180,722 216,709 165,208 119,306 Net income per share (1) Basic (2) 0.95 1.14 0.87 0.62 Diluted 0.94 1.12 0.85 0.62 2018 Three months ended March 31 June 30 September 30 December 31 Revenues $ 1,891,247 $ 1,910,916 $ 1,937,902 $ 1,951,586 Net income 166,397 180,075 161,920 132,357 Net income per share (1) Basic (2) 0.88 0.95 0.85 0.69 Diluted 0.87 0.93 0.84 0.69 _______________________________________ (1) Net income per share (“EPS”) in each quarter is computed using the weighted-average number of shares outstanding during that quarter, while EPS for the full year is computed using the weighted-average number of shares outstanding during the year. Thus, the sum of the four quarters EPS does not necessarily equal the full-year EPS. (2) Basic shares outstanding includes shares held in a grantor trust. |
Schedule II - Condensed Financi
Schedule II - Condensed Financial Information of Registrant | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information Disclosure [Abstract] | |
Schedule II - Condensed Financial Information of Registrant | Schedule II W. R. Berkley Corporation Condensed Financial Information of Registrant Balance Sheets (Parent Company) December 31, (In thousands) 2019 2018 Assets: Cash and cash equivalents $ 389,801 $ 83,950 Fixed maturity securities available for sale at fair value (cost $718,642 and $1,317,058 at December 31, 2019 and 2018, respectively) 723,959 1,307,347 Loans receivable 55,794 51,544 Equity securities, at fair value (cost $3,430 in 2019 and $3,430 in 2018) 3,430 3,430 Investment in subsidiaries 7,623,639 6,786,999 Current federal income taxes 18,857 9,068 Deferred federal income taxes — 66,995 Property, furniture and equipment at cost, less accumulated depreciation 12,323 13,391 Other assets 13,294 12,340 Total assets $ 8,841,097 $ 8,335,064 Liabilities and stockholders’ equity: Liabilities: Due to subsidiaries $ 107,245 $ 116,125 Other liabilities 118,593 115,562 Deferred federal income taxes 22,846 — Subordinated debentures 1,198,704 907,491 Senior notes 1,318,770 1,758,035 Total liabilities 2,766,158 2,897,213 Stockholders’ equity: Preferred stock — — Common stock 70,535 70,535 Additional paid-in capital 1,056,042 1,039,633 Retained earnings (including accumulated undistributed net income of subsidiaries of $5,564,980 and $5,068,139 at December 31, 2019 and 2018, respectively) 7,932,372 7,558,619 Accumulated other comprehensive income (257,299 ) (510,470 ) Treasury stock, at cost (2,726,711 ) (2,720,466 ) Total stockholders’ equity 6,074,939 5,437,851 Total liabilities and stockholders’ equity $ 8,841,097 $ 8,335,064 ________________ See Report of Independent Registered Public Accounting Firm and note to condensed financial information. Schedule II, Continued W. R. Berkley Corporation Condensed Financial Information of Registrant, Continued Statements of Income (Parent Company) Year Ended December 31, (In thousands) 2019 2018 2017 Management fees and investment income including dividends from subsidiaries of$416,027, $639,477, and $694,462 for the years ended December 31, 2019, 2018 and 2017, respectively $ 470,773 $ 697,687 $ 738,923 Net investment gains (losses) 850 (1,685 ) (4,286 ) Other income 117 530 805 Total revenues 471,740 696,532 735,442 Operating costs and expense 204,812 191,873 182,145 Interest expense 148,282 155,082 146,929 Income before federal income taxes 118,646 349,577 406,368 Federal income taxes: Federal income taxes provided by subsidiaries on a separate return basis 207,647 409,439 115,597 Federal income tax expense on a consolidated return basis (141,190 ) (113,138 ) (195,261 ) Net federal income tax expense (benefit) 66,457 296,301 (79,664 ) Income before undistributed equity in net income of subsidiaries 185,103 645,878 326,704 Equity in undistributed net income (loss) of subsidiaries 496,841 (5,129 ) 222,390 Net income $ 681,944 $ 640,749 $ 549,094 ________________ See Report of Independent Registered Public Accounting Firm and note to condensed financial information. Schedule II, Continued W. R. Berkley Corporation Condensed Financial Information of Registrant, Continued Statements of Cash Flows (Parent Company) Year Ended December 31, (In thousands) 2019 2018 2017 Cash flows from operating activities: Net income $ 681,944 $ 640,749 $ 549,094 Adjustments to reconcile net income to net cash from operating activities: Net investment (gains) losses (850 ) 1,685 4,286 Depreciation and amortization 7,058 9,441 2,039 Equity in undistributed earnings of subsidiaries (496,841 ) 5,129 (222,390 ) Tax payments received from subsidiaries 192,407 282,084 98,313 Federal income taxes provided by subsidiaries on a separate return basis (207,646 ) (409,439 ) (115,597 ) Stock incentive plans 28,389 28,531 38,075 Change in: Federal income taxes 11,841 (77,415 ) 2,711 Other assets (5,343 ) 1,348 (877 ) Other liabilities 11,866 109,016 18,661 Accrued investment income 4,395 (2,870 ) (2,818 ) Net cash from operating activities 227,220 588,259 371,497 Cash from (used) in investing activities: Proceeds from sales of fixed maturity securities 619,334 668,447 849,330 Proceeds from maturities and prepayments of fixed maturity securities 435,473 255,528 316,611 Cost of purchases of fixed maturity securities (459,418 ) (1,188,821 ) (1,329,379 ) Change in loans receivable (4,250 ) 1,475 (29,600 ) Investments in and advances to subsidiaries, net (36,170 ) (184,597 ) (21,139 ) Change in balance due to security broker 245 — — Net additions to real estate, furniture & equipment (112 ) (264 ) (1,055 ) Other, net 142 — — Net cash from (used in) investing activities 555,244 (448,232 ) (215,232 ) Cash used in financing activities: Net proceeds from issuance of senior notes 290,454 178,562 — Repayment of senior notes (440,651 ) — — Purchase of common treasury shares (18,225 ) (24,750 ) (47,807 ) Cash dividends to common stockholders (308,191 ) (254,951 ) (188,199 ) Net cash used in financing activities (476,613 ) (101,139 ) (236,006 ) Net increase (decrease) in cash and cash equivalents 305,851 38,888 (79,741 ) Cash and cash equivalents at beginning of year 83,950 45,062 124,803 Cash and cash equivalents at end of year $ 389,801 $ 83,950 $ 45,062 ________________ See Report of Independent Registered Public Accounting Firm and note to condensed financial information. W. R. Berkley Corporation Condensed Financial Information of Registrant, Continued December 31, 2019 Note to Condensed Financial Information (Parent Company) The accompanying condensed financial information should be read in conjunction with the notes to consolidated financial statements included elsewhere herein. Reclassifications have been made in the 2018 and 2017 financial statements as originally reported to conform them to the presentation of the 2019 financial statements. The Company files a consolidated federal tax return with the results of its domestic insurance subsidiaries included on a statutory basis. Under present Company policy, federal income taxes payable by subsidiary companies on a separate-return basis are paid to W. R. Berkley Corporation, and the Company pays the tax due on a consolidated return basis. |
Schedule III - Supplementary In
Schedule III - Supplementary Insurance Information | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-16, Insurance Companies, Supplementary Insurance Information [Abstract] | |
Schedule III - Supplementary Insurance Information | Schedule III W. R. Berkley Corporation and Subsidiaries Supplementary Insurance Information December 31, 2019 , 2018 and 2017 (In thousands) Deferred Policy Acquisition Cost Reserve for Losses and Loss Expenses Unearned Premiums Net Premiums Earned Net Investment Income Loss and Loss Expenses Amortization of Deferred Policy Acquisition Cost Other Operating Costs and Expenses Net Premiums Written December 31, 2019 Insurance $ 438,082 $ 9,836,950 $ 3,304,152 $ 5,919,819 $ 429,405 $ 3,692,551 $ 840,333 $ 1,049,328 $ 6,086,009 Reinsurance & Monoline Excess 79,282 2,746,299 352,355 713,469 164,082 438,565 161,278 88,520 777,490 Corporate, other and eliminations — — — — 52,127 — — 222,623 — Total $ 517,364 $ 12,583,249 $ 3,656,507 $ 6,633,288 $ 645,614 $ 4,131,116 $ 1,001,611 $ 1,360,471 $ 6,863,499 December 31, 2018 Insurance $ 432,568 $ 9,278,729 $ 3,081,433 $ 5,702,073 $ 433,490 $ 3,566,358 $ 788,508 $ 1,136,269 $ 5,791,905 Reinsurance & Monoline Excess 65,061 2,687,719 278,558 669,432 179,534 408,344 126,738 112,885 641,322 Corporate, other and eliminations — — — — 61,211 — — 218,821 — Total $ 497,629 $ 11,966,448 $ 3,359,991 $ 6,371,505 $ 674,235 $ 3,974,702 $ 915,246 $ 1,467,975 $ 6,433,227 December 31, 2017 Insurance $ 428,535 $ 8,858,926 $ 2,987,805 $ 5,549,403 $ 366,862 $ 3,469,175 $ 908,746 $ 1,001,463 $ 5,555,515 Reinsurance & Monoline Excess 79,014 2,811,482 302,375 762,016 160,462 533,173 202,743 69,431 704,993 Corporate, other and eliminations — — — — 48,464 — — 254,549 — Total $ 507,549 $ 11,670,408 $ 3,290,180 $ 6,311,419 $ 575,788 $ 4,002,348 $ 1,111,489 $ 1,325,443 $ 6,260,508 __________________________ See Report of Independent Registered Public Accounting Firm. |
Schedule IV - Reinsurance
Schedule IV - Reinsurance | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Abstract] | |
Schedule IV - Reinsurance | Schedule IV W. R. Berkley Corporation and Subsidiaries Reinsurance Years ended December 31, 2019 , 2018 and 2017 Premiums Written (In thousands, other than percentages) Direct Amount Ceded to Other Companies Assumed from Other Companies Net Amount Percentage of Amount Assumed to Net Year ended December 31, 2019 Insurance $ 7,180,759 $ 1,312,564 $ 217,814 $ 6,086,009 3.6 % Reinsurance & Monoline Excess 206,000 86,155 657,645 777,490 84.6 % Total $ 7,386,759 $ 1,398,719 $ 875,459 $ 6,863,499 12.8 % Year ended December 31, 2018 Insurance $ 6,782,757 $ 1,188,297 $ 197,445 $ 5,791,905 3.4 % Reinsurance & Monoline Excess 190,459 80,970 531,833 641,322 82.9 % Total $ 6,973,216 $ 1,269,267 $ 729,278 $ 6,433,227 11.3 % Year ended December 31, 2017 Insurance $ 6,537,777 $ 1,143,656 $ 161,394 $ 5,555,515 2.9 % Reinsurance & Monoline Excess 188,252 72,799 589,540 704,993 83.6 % Total $ 6,726,029 $ 1,216,455 $ 750,934 $ 6,260,508 12.0 % ___________________________ See Report of Independent Registered Public Accounting Firm. |
Schedule V - Valuation and Qual
Schedule V - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule V - Valuation and Qualifying Accounts | Schedule V W. R. Berkley Corporation and Subsidiaries Valuation and Qualifying Accounts Years ended December 31, 2019 , 2018 and 2017 (In thousands) Opening Balance Additions- Charged to Expense Deduction- Amounts Written Off Ending Balance Year ended December 31, 2019 Premiums and fees receivable $ 39,093 $ (5,549 ) $ (6,998 ) $ 26,546 Due from reinsurers 947 — (257 ) 690 Deferred federal and foreign income taxes 35,195 1,298 (3,243 ) 33,250 Loan loss reserves 3,383 — (1,237 ) 2,146 Total $ 78,618 $ (4,251 ) $ (11,735 ) $ 62,632 Year ended December 31, 2018 Premiums and fees receivable $ 39,926 $ 6,985 $ (7,817 ) $ 39,093 Due from reinsurers 1,010 65 (128 ) 947 Deferred federal and foreign income taxes 16,619 18,772 (196 ) 35,195 Loan loss reserves 3,383 — — 3,383 Total $ 60,938 $ 25,822 $ (8,141 ) $ 78,618 Year ended December 31, 2017 Premiums and fees receivable $ 26,569 $ 20,720 $ (7,363 ) $ 39,926 Due from reinsurers 1,049 (29 ) (10 ) 1,010 Deferred federal and foreign income taxes 5,457 12,663 (1,501 ) 16,619 Loan loss reserves 3,397 (14 ) — 3,383 Total $ 36,472 $ 33,340 $ (8,874 ) $ 60,938 _______________________ See Report of Independent Registered Public Accounting Firm. |
Schedule VI - Supplementary Inf
Schedule VI - Supplementary Information Concerning Property-Casualty Insurance Operations | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-18, Supplemental Information, Property-Casualty Insurance Underwriters [Abstract] | |
Schedule VI - Supplementary Information Concerning Property-Casualty Insurance Operations | Schedule VI W. R. Berkley Corporation and Subsidiaries Supplementary Information Concerning Property-Casualty Insurance Operations Years Ended December 31, 2019 , 2018 and 2017 (In thousands) 2019 2018 2017 Deferred policy acquisition costs $ 517,364 $ 497,629 $ 507,549 Reserves for losses and loss expenses 12,583,249 11,966,448 11,670,408 Unearned premiums 3,656,507 3,359,991 3,290,180 Net premiums earned 6,633,288 6,371,505 6,311,419 Net investment income 645,614 674,235 575,788 Losses and loss expenses incurred: Current year 4,057,989 3,926,489 3,963,543 Prior years 34,079 6,831 (5,165 ) Loss reserve discount accretion 39,048 41,382 43,970 Amortization of deferred policy acquisition costs 1,001,611 915,246 1,111,489 Paid losses and loss expenses 3,659,402 3,664,885 3,589,955 Net premiums written 6,863,499 6,433,227 6,260,508 ___________________ See Report of Independent Registered Public Accounting Firm. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Principles of consolidation and basis of presentation | Principles of consolidation and basis of presentation The consolidated financial statements, which include the accounts of W. R. Berkley Corporation and its subsidiaries (the "Company"), have been prepared on the basis of U.S. generally accepted accounting principles ("GAAP"). All significant intercompany transactions and balances have been eliminated. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the revenues and expenses reflected during the reporting period. The most significant items on our balance sheet that involve a greater degree of accounting estimates that are subject to change in the future are the valuation of investments, other-than-temporary impairments, reserves for losses and loss expenses and premium estimates. Actual results could differ from those estimates. |
Revenue recognition | Revenue recognition Insurance premiums are recognized as written at the inception of the policy. Reinsurance premiums are estimated based upon information received from ceding companies, and subsequent differences from such estimates are recorded in the period they are determined. Insurance and reinsurance premiums are primarily earned on a pro rata basis over the policy term. Fees for services are earned over the period that the services are provided. Audit premiums are recognized when they are reliably determinable. The change in accruals for earned but unbilled audit premiums increased (decreased) net premiums written and premiums earned by $4 million , $(4) million and $8 million in 2019 , 2018 and 2017 , respectively. Revenues from non-insurance businesses are derived from businesses engaged in the distribution of promotional merchandise, world-wide textile solutions, and aircraft services provided to the general, commercial and military aviation markets. These aircraft services include (i) the distribution, manufacturing, repair and overhaul of aircraft parts and components, (ii) the sale of new and used aircraft, and (iii) avionics, fuel, maintenance, storage and charter services. Revenue is recognized upon the shipment of products and parts, the delivery of aircraft, the delivery of fuel, and over the completion period of services. Insurance service fee revenue represents servicing fees for program administration and claims management services provided by the Company, including workers' compensation assigned risk plans, as well as insurance brokerage and risk management services. Fees for program administration, claims management and risk management services are primarily recognized ratably over the related contract period for which the underlying services are rendered. Commissions for insurance brokerage are generally recognized when the underlying insurance policy is effective. |
Cash and cash equivalents | Cash and cash equivalents Cash equivalents consist of funds invested in money market accounts and investments with an effective maturity of three months or less when purchased. |
Investments | Investments Fixed maturity securities classified as available for sale are carried at estimated fair value, with unrealized gains and losses, net of applicable income taxes, excluded from earnings and reported as a component of comprehensive income and a separate component of stockholders' equity. Fixed maturity securities that the Company has the positive intent and ability to hold to maturity are classified as held to maturity and reported at amortized cost. Investment income from fixed maturity securities is recognized based on the constant effective yield method. Premiums and discounts on mortgage-backed securities are adjusted for the effects of actual and anticipated prepayments on a retrospective basis. Equity securities with readily determinable fair values are measured at fair value, with changes in the fair value recognized in net income within net realized and unrealized gains on investments. Fixed maturity securities that the Company purchased with the intent to sell in the near-term are classified as trading account securities and are reported at estimated fair value. Realized and unrealized gains and losses from trading activity are reported as net investment income and are recorded at the trade date. Short sales and short call options are presented as trading securities sold but not yet purchased. Unsettled trades and the net margin balances held by the clearing broker are presented as a trading account receivable from brokers and clearing organizations. Investment funds are carried under the equity method of accounting. The Company's share of the earnings or losses of investment funds is primarily reported on a one-quarter lag in order to facilitate the timely completion of the Company's consolidated financial statements. Loans receivable primarily represent commercial real estate mortgage loans and bank loans and are carried at amortized cost. The Company monitors the performance of its loans receivable and establishes an allowance for loan losses for loans where the Company determines it is probable that the contractual terms will not be met, with a corresponding charge to earnings. For loans that are evaluated individually and deemed to be impaired, the Company establishes a specific allowance based on a discounted cash flow analysis and comparable cost and sales methodologies, if appropriate. Individual loans that are not considered impaired and smaller-balance homogeneous loans are evaluated collectively and a general allowance is established if it is considered probable that a loss has been incurred. The accrual of interest on loans receivable is discontinued if the loan is 90 days past due based on the contractual terms of the loan unless the loan is adequately secured and in process of collection. In general, loans are placed on non-accrual status or charged off at an earlier date if collection of principal or interest is considered doubtful. Interest on these loans is accounted for on a cash basis until qualifying for return to accrual status. Loans are returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.” Fair value of investments is determined based on a fair value hierarchy that prioritizes the use of observable inputs over the use of unobservable inputs and requires the use of observable inputs when available. (See Note 12 of the Notes to Consolidated Financial Statements.) Realized gains or losses represent the difference between the cost of securities sold and the proceeds realized upon sale and are recorded at the trade date. The Company uses primarily the first-in, first-out method to determine the cost of securities sold. The cost of securities is adjusted where appropriate to include a provision for a decline in value which is considered to be other than temporary. An other-than-temporary decline is considered to occur in investments where there has been a sustained reduction in fair value and where the Company does not expect to recover the cost basis of the investment prior to the time of sale or maturity. For fixed maturity securities that the Company intends to sell or, more likely than not, would be required to sell, a decline in value below amortized cost is considered to be an other-than-temporary impairment (“OTTI”). The amount of OTTI is equal to the difference between amortized cost and fair value at the balance sheet date. For fixed maturity securities that the Company does not intend to sell or believes that it is more likely than not it would not be required to sell, a decline in value below amortized cost is considered to be an OTTI if the Company does not expect to recover the entire amortized cost basis of a security (i.e., the present value of cash flows expected to be collected is less than the amortized cost basis of the security). The portion of the decline in value considered to be a credit loss (i.e., the difference between the present value of cash flows expected to be collected and the amortized cost basis of the security) is recognized in earnings. The portion of the decline in value not considered to be a credit loss (i.e., the difference in the present value of cash flows expected to be collected and the fair value of the security) is recognized in other comprehensive income. Impairment assessments for structured securities, including mortgage-backed securities and asset-backed securities, collateralized debt obligations and corporate debt, are generally evaluated based on the performance of the underlying collateral under various economic and default scenarios that may involve subjective judgments and estimates by management. Modeling these securities involves various factors, such as projected default rates, the nature and realizable value of the collateral, if any, the ability of the issuer to make scheduled payments, historical performance and other relevant economic and performance factors. If an OTTI determination is made, a discounted cash flow analysis is used to ascertain the amount of the credit impairment. Real estate held for investment purposes is initially recorded at the purchase price, which is generally fair value, and is subsequently reported at cost less accumulated depreciation. Real estate taxes, interest and other costs incurred during development and construction are capitalized. Buildings are depreciated on a straight-line basis over the estimated useful lives of the building. Minimum rental income is recognized on a straight-line basis over the lease term. Income and expenses from real estate are reported as net investment income. The carrying value of real estate is reviewed for impairment and an impairment loss is recognized if the estimated undiscounted cash flows from the use and disposition of the property are less than the carrying value of the property. |
Per share data | Per share data The Company presents both basic and diluted net income per share (“EPS”) amounts. Basic EPS is calculated by dividing net income by weighted average number of common shares outstanding during the year (including 7,575,168 common shares held in a grantor trust). The common shares held in the grantor trust are for delivery upon settlement of vested but mandatorily deferred restricted stock units ("RSUs"). Shares held by the grantor trust do not affect diluted shares outstanding since the shares deliverable under vested RSUs were already included in diluted shares outstanding. Diluted EPS is based upon the weighted average number of basic and common equivalent shares outstanding during the year and is calculated using the treasury stock method for stock incentive plans. Common equivalent shares are excluded from the computation in periods in which they have an anti-dilutive effect. |
Deferred policy acquisition costs | Deferred policy acquisition costs Acquisition costs associated with the successful acquisition of new and renewed insurance and reinsurance contracts are deferred and amortized ratably over the terms of the related contracts. Ceding commissions received on reinsurance contracts are netted against acquisition costs and are recognized ratably over the life of the contract. Deferred policy acquisition costs are presented net of unearned ceding commissions. Deferred policy acquisition costs are comprised primarily of commissions, as well as employment-related underwriting costs and premium taxes. Deferred policy acquisition costs are reviewed to determine if they are recoverable from future income and, if not, are charged to expense. The recoverability of deferred policy acquisition costs is evaluated separately by each of our operating companies. Future investment income is taken into account in measuring the recoverability of deferred policy acquisition costs. |
Reserves for losses and loss expenses | Reserves for losses and loss expenses Reserves for losses and loss expenses are an accumulation of amounts determined on the basis of (1) evaluation of claims for business written directly by the Company; (2) estimates received from other companies for reinsurance assumed by the Company; and (3) estimates for losses incurred but not reported (based on Company and industry experience). These estimates are periodically reviewed and, as experience develops and new information becomes known, the reserves are adjusted as necessary. Such adjustments are reflected in the statements of income in the period in which they are determined. The Company discounts its reserves for excess and assumed workers' compensation claims using a risk-free or statutory rate. (See Note 13 of Notes to Consolidated Financial Statements.) |
Reinsurance ceded | Reinsurance ceded The unearned portion of premiums ceded to reinsurers is reported as prepaid reinsurance premiums and earned ratably over the policy term. The estimated amounts of reinsurance recoverable on unpaid losses are reported as due from reinsurers. To the extent any reinsurer does not meet its obligations under reinsurance agreements, the Company must discharge its liability. Amounts due from reinsurers are reflected net of funds held where the right of offset is present. The Company has provided reserves for estimated uncollectible reinsurance. |
Deposit accounting | Deposit accounting Contracts that do not meet the risk transfer requirements of GAAP are accounted for using the deposit accounting method. Under this method, an asset or liability is recognized at the inception of the contract based on consideration paid or received. The amount of the deposit asset or liability is adjusted at subsequent reporting dates using the interest method with a corresponding credit or charge to interest income or expense. |
Federal and foreign income taxes | Federal and foreign income taxes The Company files a consolidated income tax return in the U.S. and foreign tax returns in countries where it has overseas operations. The Company's method of accounting for income taxes is the asset and liability method. Under this method, deferred tax assets and liabilities are measured using tax rates currently in effect or expected to apply in the years in which those temporary differences are expected to reverse. Interest and penalties, if any, are reported as income tax expense. The Company believes there are no tax positions that would require disclosure under GAAP. Deferred tax assets are reduced by a valuation allowance if it is more likely than not that all or a portion of the deferred tax assets will not be realized. |
Foreign currency | Foreign currency Gains and losses resulting from foreign currency transactions (transactions denominated in a currency other than the entity's functional currency) are reported on the statements of income as other operating costs and expenses. Unrealized gains or losses resulting from translating the results of non-U.S. dollar denominated operations are reported in accumulated other comprehensive income. Revenues and expenses denominated in currencies other than U.S. dollars are generally translated at the weighted average exchange rate during the year. Assets and liabilities are translated at the rate of exchange in effect at the balance sheet date. |
Property, furniture and equipment | Property, furniture and equipment Property, furniture and equipment are carried at cost less accumulated depreciation. Depreciation is calculated using the estimated useful lives of the respective assets. |
Comprehensive income | Comprehensive income Comprehensive income encompasses all changes in stockholders' equity (except those arising from transactions with stockholders) and includes net income, net unrealized holding gains or losses on available for sale securities and unrealized foreign currency translation adjustments. |
Goodwill and other intangible assets | Goodwill and other intangible assets Goodwill and other intangible assets are tested for impairment on an annual basis and at interim periods where circumstances require. |
Stock options | Restricted stock units The costs resulting from all share-based payment transactions with employees are recognized in the consolidated financial statements using a fair-value-based measurement method. Compensation cost is recognized for financial reporting purposes over the period in which the employee is required to provide service in exchange for the award (generally the vesting period). |
Recent accounting pronouncements | Recent accounting pronouncements Recently adopted accounting pronouncements: In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-02, Leases, which amends the accounting and disclosure guidance for leases. This guidance retains the two classifications of a lease, as either an operating or finance lease, both of which require lessees to recognize a right-of-use asset and a lease liability for leases with terms of more than 12 months. The right-of-use asset and the lease liability are determined based upon the present value of cash flows. Finance leases reflect the financial arrangement by recognizing interest expense on the lease liability separately from the amortization expense of the right-of-use asset. Operating leases recognize lease expense (with no separate recognition of interest expense) on a straight-line basis over the term of the lease. The accounting by lessors is not significantly changed by the updated guidance. The updated guidance was effective for reporting periods beginning after December 15, 2018. As permitted by the rules, the Company adopted the new guidance prospectively effective January 1, 2019. The Company elected to use the practical expedient permitted by the transition guidance which allowed companies to not reassess existing lease classifications for already effective leases. The adoption of this guidance resulted in the recognition of a right-of-use asset of $185 million and a lease liability of $215 million (prior to adoption the Company had a $30 million deferred rent liability recognized) reported within other assets and other liabilities, respectively, in the consolidated balance sheet. The adoption of this guidance did not have an impact on the Company's results of operations or liquidity. All other accounting and reporting standards that became effective in 2019 were either not applicable to the Company or their adoption did not have a material impact on the Company. Accounting and reporting standards that are not yet effective: In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses, which amends the accounting guidance for credit losses on financial instruments. The updated guidance amends the current other-than-temporary impairment model for available-for-sale debt securities by requiring the recognition of impairments relating to credit losses through an allowance account and limits the amount of credit loss to the difference between a security’s amortized cost basis and its fair value. This guidance also applies a new current expected credit loss model for determining credit-related impairments for financial instruments measured at amortized cost, such as reinsurance recoverables. The updated guidance is effective for reporting periods beginning after December 15, 2019. The adoption of this guidance will result in the recognition of an allowance for credit loss in connection with operating assets (such as premiums and fees receivable and due from reinsurers) of less than 0.25% of these assets and a corresponding cumulative effect adjustment that will decrease common stockholders' equity. Certain investments (primarily fixed maturity securities available for sale) will also establish an allowance for credit loss of approximately 0.25% of these assets, with a cumulative effect adjustment decreasing retained earnings and increasing AOCI by offsetting amounts, resulting in no impact to total common stockholders' equity. All other recently issued but not yet effective accounting and reporting standards are either not applicable to the Company or are not expected to have a material impact on the Company. |
Consolidated Statement of Com_2
Consolidated Statement of Comprehensive (Loss) Income (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive (Loss) Income | The following tables present the components of the changes in accumulated other comprehensive (loss) income ("AOCI") as of and for the years ended December 31, 2019 and 2018 : (In thousands) December 31, 2019 Unrealized investment gains (losses) Currency translation adjustments Accumulated other comprehensive (loss) income Changes in AOCI Beginning of period $ (91,491 ) $ (418,979 ) $ (510,470 ) Other comprehensive gains before reclassifications 224,011 37,166 261,177 Amounts reclassified from AOCI (8,109 ) — (8,109 ) Other comprehensive gain 215,902 37,166 253,068 Unrealized investment gain related to non-controlling interest 103 — 103 Ending balance $ 124,514 $ (381,813 ) $ (257,299 ) Amounts reclassified from AOCI Pre-tax $ (10,265 ) (1) $ — $ (10,265 ) Tax effect 2,156 (2) — 2,156 After-tax amounts reclassified $ (8,109 ) $ — $ (8,109 ) Other comprehensive gain Pre-tax $ 261,970 $ 37,166 $ 299,136 Tax effect (46,068 ) — (46,068 ) Other comprehensive gain $ 215,902 $ 37,166 $ 253,068 (In thousands) December 31, 2018 Unrealized investment (losses) gains Currency translation adjustments Accumulated other comprehensive (loss) income Changes in AOCI Beginning of period $ 375,421 $ (306,880 ) $ 68,541 Cumulative effect adjustment resulting from changes in accounting principles (214,539 ) — (214,539 ) Restated beginning of period 160,882 (306,880 ) (145,998 ) Other comprehensive income before reclassifications (246,535 ) (112,099 ) (358,634 ) Amounts reclassified from AOCI (5,792 ) — (5,792 ) Other comprehensive loss (252,327 ) (112,099 ) (364,426 ) Unrealized investment loss related to non-controlling interest (46 ) — (46 ) Ending balance $ (91,491 ) $ (418,979 ) $ (510,470 ) Amounts reclassified from AOCI Pre-tax $ (7,332 ) (1) $ — $ (7,332 ) Tax effect 1,540 (2) — 1,540 After-tax amounts reclassified $ (5,792 ) $ — $ (5,792 ) Other comprehensive loss Pre-tax $ (302,737 ) $ (112,099 ) $ (414,836 ) Tax effect 50,410 — 50,410 Other comprehensive loss $ (252,327 ) $ (112,099 ) $ (364,426 ) _______________ (1) Net realized and unrealized gains on investments in the consolidated statements of income. (2) Income tax expense in the consolidated statements of income. |
Investments In Fixed Maturity_2
Investments In Fixed Maturity Securities (Tables) - Debt Securities | 12 Months Ended |
Dec. 31, 2019 | |
Schedule of Marketable Securities [Line Items] | |
Investments In Fixed Maturity Securities | At December 31, 2019 and 2018 , investments in fixed maturity securities were as follows: (In thousands) Amortized Gross Unrealized Fair Carrying Gains Losses December 31, 2019 Held to maturity: State and municipal $ 70,312 $ 13,000 $ — $ 83,312 $ 70,312 Residential mortgage-backed 8,371 994 — 9,365 8,371 Total held to maturity 78,683 13,994 — 92,677 78,683 Available for sale: U.S. government and government agency 775,157 13,249 (1,475 ) 786,931 786,931 State and municipal: Special revenue 2,343,209 64,586 (4,152 ) 2,403,643 2,403,643 State general obligation 359,298 22,074 (97 ) 381,275 381,275 Pre-refunded 364,571 20,342 (128 ) 384,785 384,785 Corporate backed 255,230 7,232 (903 ) 261,559 261,559 Local general obligation 432,333 32,684 (647 ) 464,370 464,370 Total state and municipal 3,754,641 146,918 (5,927 ) 3,895,632 3,895,632 Mortgage-backed securities: Residential (1) 1,298,145 23,230 (5,155 ) 1,316,220 1,316,220 Commercial 304,506 5,214 (346 ) 309,374 309,374 Total mortgage-backed securities 1,602,651 28,444 (5,501 ) 1,625,594 1,625,594 Asset-backed securities 2,802,588 9,532 (21,490 ) 2,790,630 2,790,630 Corporate: Industrial 2,260,073 72,900 (3,800 ) 2,329,173 2,329,173 Financial 1,447,589 37,681 (4,118 ) 1,481,152 1,481,152 Utilities 325,762 15,281 (402 ) 340,641 340,641 Other 5,219 230 — 5,449 5,449 Total corporate 4,038,643 126,092 (8,320 ) 4,156,415 4,156,415 Foreign government 924,284 16,465 (93,673 ) 847,076 847,076 Total available for sale 13,897,964 340,700 (136,386 ) 14,102,278 14,102,278 Total investments in fixed maturity securities $ 13,976,647 $ 354,694 $ (136,386 ) $ 14,194,955 $ 14,180,961 (In thousands) Amortized Gross Unrealized Fair Carrying Gains Losses December 31, 2018 Held to maturity: State and municipal $ 67,891 $ 11,549 $ — $ 79,440 $ 67,891 Residential mortgage-backed 10,744 1,259 — 12,003 10,744 Total held to maturity 78,635 12,808 — 91,443 78,635 Available for sale: U.S. government and government agency 697,931 9,219 (4,910 ) 702,240 702,240 State and municipal: Special revenue 2,396,089 30,507 (19,790 ) 2,406,806 2,406,806 State general obligation 335,626 11,951 (1,103 ) 346,474 346,474 Pre-refunded 408,141 16,568 (30 ) 424,679 424,679 Corporate backed 272,440 4,319 (2,350 ) 274,409 274,409 Local general obligation 403,219 18,350 (1,339 ) 420,230 420,230 Total state and municipal 3,815,515 81,695 (24,612 ) 3,872,598 3,872,598 Mortgage-backed securities: Residential (1) 1,264,376 7,729 (20,225 ) 1,251,880 1,251,880 Commercial 345,070 1,304 (3,708 ) 342,666 342,666 Total mortgage-backed securities 1,609,446 9,033 (23,933 ) 1,594,546 1,594,546 Asset-backed securities 2,462,303 10,131 (33,687 ) 2,438,747 2,438,747 Corporate: Industrial 2,295,778 15,355 (53,312 ) 2,257,821 2,257,821 Financial 1,502,427 7,178 (45,683 ) 1,463,922 1,463,922 Utilities 330,326 2,997 (4,148 ) 329,175 329,175 Other 60,238 322 (167 ) 60,393 60,393 Total corporate 4,188,769 25,852 (103,310 ) 4,111,311 4,111,311 Foreign government 822,093 11,753 (25,111 ) 808,735 808,735 Total available for sale 13,596,057 147,683 (215,563 ) 13,528,177 13,528,177 Total investments in fixed maturity securities $ 13,674,692 $ 160,491 $ (215,563 ) $ 13,619,620 $ 13,606,812 ____________________ (1) Gross unrealized gains (losses) for mortgage-backed securities include $314,347 and ($55,090) as of December 31, 2019 and 2018 , respectively, related to the non-credit portion of OTTI recognized in other comprehensive income. |
The Amortized Cost And Fair Value of Fixed Maturity Securities | The amortized cost and fair value of fixed maturity securities at December 31, 2019 , by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations. (In thousands) Amortized Cost Fair Value Due in one year or less $ 959,583 $ 917,059 Due after one year through five years 5,010,862 5,087,806 Due after five years through ten years 3,391,154 3,511,621 Due after ten years 3,004,026 3,043,510 Mortgage-backed securities 1,611,022 1,634,959 Total $ 13,976,647 $ 14,194,955 |
Investments In Equity Securit_2
Investments In Equity Securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity securities | |
Debt Securities, Available-for-sale [Line Items] | |
Schedule of Investments in Equity Securities | At December 31, 2019 and 2018 , investments in equity securities were as follows: (In thousands) Cost Gross Unrealized Fair Value Carrying Value Gains Losses December 31, 2019 Common stocks $ 175,928 $ 16,967 $ (26,090 ) $ 166,805 $ 166,805 Preferred stocks 169,171 148,243 (3,599 ) 313,815 313,815 Total $ 345,099 $ 165,210 $ (29,689 ) $ 480,620 $ 480,620 December 31, 2018 Common stocks $ 113,576 $ 4,335 $ (19,719 ) $ 98,192 $ 98,192 Preferred stocks 115,201 72,364 (6,751 ) 180,814 180,814 Total $ 228,777 $ 76,699 $ (26,470 ) $ 279,006 $ 279,006 |
Net Investment Income (Tables)
Net Investment Income (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Net Investment Income [Abstract] | |
Net Investment Income | Net investment income consists of the following: (In thousands) 2019 2018 2017 Investment income earned on: Fixed maturity securities, including cash and cash equivalents and loans receivable $ 517,925 $ 519,269 $ 473,101 Investment funds 69,194 109,349 68,169 Arbitrage trading account 34,585 28,157 19,145 Real estate 24,218 18,591 19,975 Equity securities 5,439 3,230 2,350 Gross investment income 651,361 678,596 582,740 Investment expense (5,747 ) (4,361 ) (6,952 ) Net investment income $ 645,614 $ 674,235 $ 575,788 |
Investment Funds (Tables)
Investment Funds (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Investment Funds | Investment funds consist of the following: Carrying Value as of December 31, Income (Losses) (In thousands) 2019 2018 2019 2018 2017 Real estate $ 412,275 $ 642,137 $ 19,154 $ 61,453 $ 45,068 Financial services 280,705 195,706 29,005 11,044 3,762 Energy 156,869 183,627 (18,136 ) 7,084 6,147 Transportation 147,034 136,640 14,193 15,390 1,686 Other funds 216,652 174,708 24,978 14,378 11,506 Total $ 1,213,535 $ 1,332,818 $ 69,194 $ 109,349 $ 68,169 |
Real Estate (Tables)
Real Estate (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Real Estate [Abstract] | |
Schedule of real estate properties | Investment in real estate represents directly owned property held for investment, as follows: As of December 31, (In thousands) 2019 2018 Properties in operation $ 1,351,249 $ 1,279,584 Properties under development 754,701 677,508 Total $ 2,105,950 $ 1,957,092 |
Loans Receivable (Tables)
Loans Receivable (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Schedule of Loans Receivable | Loans receivable are as follows: As of December 31, (In thousands) 2019 2018 Amortized cost (net of valuation allowance): Real estate loans $ 58,541 $ 62,289 Commercial loans 33,258 32,524 Total $ 91,799 $ 94,813 Fair value: Real estate loans $ 59,853 $ 63,047 Commercial loans 34,760 34,026 Total $ 94,613 $ 97,073 Valuation allowance: Specific $ 165 $ 1,200 General 1,981 2,183 Total $ 2,146 $ 3,383 For the Year Ended December 31, 2019 2018 Decrease in valuation allowance $ (1,237 ) $ — |
Realized And Unrealized Inves_2
Realized And Unrealized Investment Gains and Losses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Realized and Unrealized Investment Gains (Losses) [Abstract] | |
Realized and Unrealized Investment Gains (Losses) | Net realized and unrealized gains (losses) on investments are as follows: (In thousands) 2019 2018 2017 Net realized and unrealized gains (losses) on investments in earnings Fixed maturity securities: Gains $ 23,900 $ 26,752 $ 28,217 Losses (13,636 ) (13,733 ) (5,342 ) Equity securities (1): Net realized gains on investment sales 23,306 435,150 154,539 Change in unrealized gains (losses) 85,292 (320,413 ) — Investment funds (2) (2,825 ) (212 ) 125,423 Real estate 5,965 27,816 12,880 Loans receivable (970 ) 2,838 — Other (329 ) 1,977 20,141 Net realized and unrealized gains on investments in earnings before OTTI 120,703 160,175 335,858 Other-than-temporary impairments (3) — (5,687 ) — Net realized and unrealized gains on investments in earnings 120,703 154,488 335,858 Income tax expense (25,348 ) (32,442 ) (117,550 ) After-tax net realized and unrealized gains on investments in earnings $ 95,355 $ 122,046 $ 218,308 |
Change In Unrealized Gains (Losses) | Change in unrealized investment gains (losses) of available for sales securities: Fixed maturity securities $ 271,825 $ (297,084 ) $ (2,192 ) Previously impaired fixed maturity securities 369 (132 ) 895 Equity securities available for sale (4) — — (77,971 ) Investment funds (2,299 ) (5,672 ) 10,179 Other (7,925 ) 151 (336 ) Total change in unrealized investment gains (losses) 261,970 (302,737 ) (69,425 ) Income tax (expense) benefit (46,068 ) 50,410 17,673 Noncontrolling interests 103 (46 ) 19 After-tax change in unrealized investment gains (losses) of available for sale securities $ 216,005 $ (252,373 ) $ (51,733 ) ____________________ (1) The net realized gains or losses on investment sales represent the total gains or losses from the purchase dates of the equity securities. The change in unrealized gains consists of two components: (i) the reversal of the gain or loss recognized in previous periods on equity securities sold and (ii) the change in unrealized gain or loss resulting from mark-to-market adjustments on equity securities still held. (2) Investment funds includes a gain of $124 million from the sale of an investment in an office building located in Washington, D.C. for the year ended December 31, 2017. (3) There were no OTTI for the years ended December 31, 2019 and 2017. For the year ended December 31, 2018 , OTTI related to fixed maturity securities was $6 million . (4) Effective January 1, 2018, the Company adopted accounting guidance that requires all equity investments with readily determinable fair values (subject to certain exceptions) to be measured at fair value, with changes in the fair value recognized in net income. The Company recorded an adjustment of $291 million to opening AOCI net of tax as a result of this guidance. |
Securities In An Unrealized L_2
Securities In An Unrealized Loss Position (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities In An Unrealized Loss Position | The following tables summarize all fixed maturity securities in an unrealized loss position at December 31, 2019 and 2018 by the length of time those securities have been continuously in an unrealized loss position. Less Than 12 Months 12 Months or Greater Total (In thousands) Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses December 31, 2019 U.S. government and government agency $ 83,837 $ 618 $ 53,089 $ 857 $ 136,926 $ 1,475 State and municipal 365,184 4,245 127,210 1,682 492,394 5,927 Mortgage-backed securities 301,358 2,281 180,148 3,220 481,506 5,501 Asset-backed securities 755,259 2,307 774,508 19,183 1,529,767 21,490 Corporate 307,367 3,148 121,470 5,172 428,837 8,320 Foreign government 164,536 32,028 107,266 61,645 271,802 93,673 Fixed maturity securities $ 1,977,541 $ 44,627 $ 1,363,691 $ 91,759 $ 3,341,232 $ 136,386 December 31, 2018 U.S. government and government agency $ 195,359 $ 933 $ 130,815 $ 3,977 $ 326,174 $ 4,910 State and municipal 701,700 6,874 744,905 17,738 1,446,605 24,612 Mortgage-backed securities 334,063 2,911 712,595 21,022 1,046,658 23,933 Asset-backed securities 1,687,665 28,965 342,855 4,722 2,030,520 33,687 Corporate 1,730,513 54,181 954,763 49,129 2,685,276 103,310 Foreign government 246,273 24,197 80,004 914 326,277 25,111 Fixed maturity securities $ 4,895,573 $ 118,061 $ 2,965,937 $ 97,502 $ 7,861,510 $ 215,563 |
Non-Investment Grade Fixed Maturity Securities | A summary of the Company’s non-investment grade fixed maturity securities that were in an unrealized loss position at December 31, 2019 is presented in the table below: ($ in thousands) Number of Securities Aggregate Fair Value Gross Unrealized Loss Foreign government 21 $ 79,747 $ 92,369 Corporate 14 65,710 4,319 Asset-backed securities 5 437 113 Mortgage-backed securities 5 954 17 Total 45 $ 146,848 $ 96,818 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Assets And Liabilities Measured At Fair value, On A Recurring Basis | The following tables present the assets and liabilities measured at fair value as of December 31, 2019 and 2018 by level: (In thousands) Total Level 1 Level 2 Level 3 December 31, 2019 Assets: Fixed maturity securities available for sale: U.S. government and government agency $ 786,931 $ — $ 786,931 $ — State and municipal 3,895,632 — 3,895,632 — Mortgage-backed securities 1,625,594 — 1,625,594 — Asset-backed securities 2,790,630 — 2,790,630 — Corporate 4,156,415 — 4,156,415 — Foreign government 847,076 — 847,076 — Total fixed maturity securities available for sale 14,102,278 — 14,102,278 — Equity securities: Common stocks 166,805 157,752 — 9,053 Preferred stocks 313,815 — 307,310 6,505 Total equity securities 480,620 157,752 307,310 15,558 Arbitrage trading account 400,809 381,061 19,748 — Total $ 14,983,707 $ 538,813 $ 14,429,336 $ 15,558 Liabilities: Trading account securities sold but not yet purchased $ 36,143 $ 36,143 $ — $ — December 31, 2018 Assets: Fixed maturity securities available for sale: U.S. government and government agency $ 702,240 $ — $ 702,240 $ — State and municipal 3,872,598 — 3,872,598 — Mortgage-backed securities 1,594,546 — 1,594,546 — Asset-backed securities 2,438,747 — 2,438,648 99 Corporate 4,111,311 — 4,111,311 — Foreign government 808,735 — 808,735 — Total fixed maturity securities available for sale 13,528,177 — 13,528,078 99 Equity securities: Common stocks 98,192 89,596 — 8,596 Preferred stocks 180,814 — 176,869 3,945 Total equity securities 279,006 89,596 176,869 12,541 Arbitrage trading account 452,548 353,335 81,905 17,308 Total $ 14,259,731 $ 442,931 $ 13,786,852 $ 29,948 Liabilities: Trading account securities sold but not yet purchased $ 38,120 $ 37,327 $ — $ 793 |
Summarize Changes In Level 3 Assets and Liabilities | The following tables summarize changes in Level 3 assets and liabilities for the years ended December 31, 2019 and 2018 : Gains (Losses) Included in: (In thousands) Beginning Balance Earnings (Losses) Other Comprehensive Income (Losses) Impairments Purchases Sales Paydowns/Maturities Transfers In / Out Ending Balance Year ended December 31, 2019 Assets: Fixed maturity securities available for sale: Asset-backed securities $ 99 $ (26 ) $ 61 $ — $ — $ (134 ) $ — $ — $ — Total 99 (26 ) 61 — — (134 ) — — — Equity securities: Common stocks 8,596 2,005 — — (1,548 ) — — 9,053 Preferred stocks 3,945 (42 ) — — 2,602 — — — 6,505 Total 12,541 1,963 — — 2,602 (1,548 ) — — 15,558 Arbitrage trading account 17,308 (8,731 ) — — 14,767 (38,233 ) — 14,889 — Total $ 29,948 $ (6,794 ) $ 61 $ — $ 17,369 $ (39,915 ) $ — $ 14,889 $ 15,558 Liabilities: Trading account securities sold but not yet purchased $ 793 $ 133 $ — $ — $ 7,609 $ (8,535 ) $ — $ — $ — Year ended December 31, 2018 Assets: Fixed maturity securities available for sale: Asset-backed securities $ 172 $ (2 ) $ 46 $ — $ — $ (117 ) $ — $ — $ 99 Total 172 (2 ) 46 — — (117 ) — — 99 Equity securities: Common stocks 9,370 (548 ) — — (227 ) — 1 8,596 Preferred stocks 10,843 100 — — (6,998 ) — — 3,945 Total 20,213 (448 ) — — — (7,225 ) — 1 12,541 Arbitrage trading account — (6 ) — — 11,523 (11 ) — 5,802 17,308 Total $ 20,385 $ (456 ) $ 46 $ — $ 11,523 $ (7,353 ) $ — $ 5,803 $ 29,948 Liabilities: Trading account securities sold but not yet purchased $ — $ (67 ) $ — $ — $ 860 $ — $ — $ — $ 793 |
Reserves For Losses And Loss _2
Reserves For Losses And Loss Expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Insurance [Abstract] | |
Loss and loss expenses incurred, net of reinsurance, and cumulative paid claims and claim adjustment expenses, net of reinsurance | The following tables present undiscounted incurred and paid claims development as of December 31, 2019, net of reinsurance, as well as cumulative claim frequency and the total of incurred but not reported liabilities (IBNR). The information about incurred and paid claims development for the years ended December 31, 2010 to 2018 is presented as supplementary information. To enhance the comparability of the loss development data, the Company has removed the impact of foreign exchange rate movements by using the December 31, 2019 exchange rate for all periods. Beginning with accident year 2012, the Company's U.K. and European insurance business is included in the Insurance segment's tables for Other Liability, Professional Liability, Commercial Automobile and Short-Tail Lines. Prior to 2012, the actuarial analysis for its U.K. and European insurance business was performed on an underwriting year basis and accident year data is not available for those years. Insurance Other Liability (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 612,467 $ 616,023 $ 589,921 $ 588,602 $ 575,528 $ 572,785 $ 571,637 $ 569,440 $ 564,873 $ 561,579 $ 19,742 22 2011 — 665,420 671,537 657,679 656,976 651,973 647,091 643,195 632,382 642,774 22,746 23 2012 — — 691,803 700,539 701,144 707,326 711,287 721,460 715,996 714,020 32,727 23 2013 — — — 750,054 790,314 782,260 782,039 802,908 809,250 803,856 49,079 25 2014 — — — — 847,034 848,641 846,644 851,044 863,899 870,017 83,500 26 2015 — — — — — 951,028 986,655 961,441 964,598 966,662 134,615 25 2016 — — — — — — 1,018,009 1,010,984 1,019,893 1,031,150 245,835 25 2017 — — — — — — — 1,066,362 1,100,127 1,122,209 377,307 25 2018 — — — — — — — — 1,104,631 1,131,202 606,500 23 2019 — — — — — — — — — 1,237,276 937,110 20 Total $ 9,080,745 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 45,194 $ 128,948 $ 246,647 $ 334,054 $ 414,945 $ 459,478 $ 489,077 $ 506,283 $ 522,939 $ 531,085 2011 — 48,830 141,192 265,071 377,769 469,004 522,369 554,152 573,236 591,990 2012 — — 57,568 157,316 298,095 415,890 511,601 578,617 620,507 651,000 2013 — — — 63,293 188,240 330,928 471,648 587,102 647,891 693,306 2014 — — — — 78,921 190,876 338,365 480,418 594,488 680,436 2015 — — — — — 82,712 210,773 382,185 538,071 676,037 2016 — — — — — — 69,477 208,991 390,231 558,539 2017 — — — — — — — 80,037 255,849 453,389 2018 — — — — — — — — 86,858 264,392 2019 — — — — — — — — — 88,260 Total $ 5,188,434 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 106,200 Reserves for loss and loss adjustment expenses, net of reinsurance $ 3,998,511 Workers' Compensation (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 352,138 $ 355,305 $ 411,527 $ 420,604 $ 426,622 $ 429,952 $ 429,762 $ 427,698 $ 424,374 $ 424,195 $ 13,552 45 2011 — 413,429 444,887 457,134 470,026 472,087 474,076 475,729 471,471 473,766 17,276 46 2012 — — 501,681 501,810 503,956 503,863 509,167 512,707 508,169 506,730 24,736 48 2013 — — — 552,570 547,295 546,995 543,238 547,000 542,274 541,926 29,205 53 2014 — — — — 639,436 637,307 627,767 617,242 615,435 604,029 44,633 57 2015 — — — — — 712,800 690,525 650,997 641,169 626,431 60,862 58 2016 — — — — — — 702,716 696,339 684,700 660,508 71,710 57 2017 — — — — — — — 762,093 733,505 689,559 107,981 57 2018 — — — — — — — — 778,964 724,463 153,587 55 2019 — — — — — — — — — 783,244 372,381 50 Total $ 6,034,851 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 108,675 $ 215,882 $ 281,280 $ 320,154 $ 344,631 $ 362,078 $ 374,013 $ 382,665 $ 388,405 $ 392,672 2011 — 106,899 236,207 309,509 355,909 385,759 408,304 420,945 428,811 436,905 2012 — — 115,536 255,063 339,560 387,368 419,588 437,196 451,991 459,119 2013 — — — 117,900 277,538 363,028 414,160 447,894 466,580 479,104 2014 — — — — 148,405 319,743 412,611 471,235 503,915 521,141 2015 — — — — — 139,320 323,744 421,734 477,541 512,933 2016 — — — — — — 142,998 338,835 446,072 504,850 2017 — — — — — — — 153,456 362,299 468,817 2018 — — — — — — — — 171,006 397,464 2019 — — — — — — — — — 184,715 Total $ 4,357,720 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 193,837 Reserves for loss and loss adjustment expenses, net of reinsurance $ 1,870,968 Professional Liability (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 147,632 $ 165,689 $ 179,344 $ 177,951 $ 176,653 $ 172,493 $ 174,796 $ 177,757 $ 182,717 $ 182,860 $ 62 4 2011 — 179,818 165,291 187,074 189,988 176,936 173,309 176,606 175,689 176,230 2,187 4 2012 — — 238,978 242,541 265,690 251,230 239,458 245,945 244,730 245,338 7,091 5 2013 — — — 269,993 248,080 243,887 249,797 271,469 280,018 285,262 14,062 6 2014 — — — — 253,992 247,373 260,498 244,454 239,982 258,781 26,194 6 2015 — — — — — 260,216 258,780 275,608 276,842 292,401 37,634 7 2016 — — — — — — 311,099 325,241 361,996 402,929 56,934 8 2017 — — — — — — — 333,758 332,864 339,021 112,457 9 2018 — — — — — — — — 335,728 322,952 168,475 9 2019 — — — — — — — — — 337,228 259,157 9 Total $ 2,843,002 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 14,806 $ 58,851 $ 108,438 $ 129,619 $ 144,336 $ 160,466 $ 164,894 $ 171,206 $ 178,756 $ 179,865 2011 — 18,726 62,305 102,898 134,253 150,487 158,678 166,949 168,526 170,205 2012 — — 21,697 86,734 128,245 159,285 190,584 214,821 223,988 232,160 2013 — — — 23,939 63,951 119,567 177,525 207,020 249,005 258,394 2014 — — — — 19,446 83,694 138,678 176,134 199,337 216,228 2015 — — — — — 20,415 85,470 139,835 187,664 216,575 2016 — — — — — — 28,631 102,661 201,854 255,841 2017 — — — — — — — 36,579 96,456 163,003 2018 — — — — — — — — 28,231 99,789 2019 — — — — — — — — — 31,790 Total $ 1,823,850 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 15,104 Reserves for loss and loss adjustment expenses, net of reinsurance $ 1,034,256 Commercial Automobile (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 310,591 $ 320,098 $ 330,224 $ 328,901 $ 332,748 $ 331,615 $ 330,586 $ 330,297 $ 329,976 $ 329,768 $ 144 37 2011 — 312,224 320,920 328,320 331,732 341,394 341,200 342,094 343,566 343,433 964 37 2012 — — 314,309 326,831 342,588 355,609 364,084 364,328 366,541 365,806 807 37 2013 — — — 327,514 349,136 368,894 376,860 367,264 366,822 365,953 1,592 39 2014 — — — — 363,913 385,251 418,161 416,123 413,589 413,424 4,385 42 2015 — — — — — 389,660 417,053 423,180 431,376 432,415 7,808 46 2016 — — — — — — 431,261 430,911 442,210 443,268 18,162 45 2017 — — — — — — — 430,768 428,708 430,499 31,607 41 2018 — — — — — — — — 442,788 462,756 67,700 40 2019 — — — — — — — — — 483,206 162,432 37 Total $ 4,070,528 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 136,029 $ 208,790 $ 263,639 $ 295,355 $ 313,262 $ 324,997 $ 326,804 $ 327,240 $ 327,863 $ 328,006 2011 — 135,350 211,756 262,685 296,370 321,814 333,987 338,325 340,360 340,799 2012 — — 136,844 215,214 273,446 312,342 344,326 355,631 360,681 361,755 2013 — — — 142,929 218,596 267,253 322,441 343,556 353,424 362,152 2014 — — — — 155,572 237,665 328,125 365,376 394,063 402,013 2015 — — — — — 160,024 265,083 324,976 370,037 397,666 2016 — — — — — — 184,516 279,381 341,423 390,359 2017 — — — — — — — 180,755 267,587 327,135 2018 — — — — — — — — 180,162 281,651 2019 — — — — — — — — — 185,344 Total $ 3,376,880 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 4,313 Reserves for loss and loss adjustment expenses, net of reinsurance $ 697,961 Short-tail lines (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR Cumulative Number of Reported Claims 2010 $ 385,319 $ 370,080 $ 358,254 $ 355,602 $ 345,937 $ 346,380 $ 346,493 $ 346,074 $ 345,777 $ 345,546 $ 233 19 2011 — 478,520 471,678 463,253 460,030 457,182 450,325 449,529 451,410 451,064 649 21 2012 — — 529,564 537,716 538,141 533,491 507,509 506,464 508,354 507,416 2,229 28 2013 — — — 576,784 586,382 577,353 553,680 552,192 548,673 546,766 3,405 30 2014 — — — — 707,121 712,320 664,718 663,342 664,169 664,416 4,366 34 2015 — — — — — 743,454 731,950 728,186 726,748 718,506 10,676 37 2016 — — — — — — 773,945 777,270 764,278 758,881 12,383 40 2017 — — — — — — — 753,512 753,803 748,451 18,189 46 2018 — — — — — — — — 760,474 750,780 33,738 52 2019 — — — — — — — — — 726,820 168,528 42 Total $ 6,218,646 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 245,037 $ 325,163 $ 337,688 $ 346,622 $ 340,066 $ 342,773 $ 343,899 $ 344,887 $ 344,908 $ 344,989 2011 — 303,016 417,730 436,718 440,937 445,234 446,944 447,538 450,352 450,439 2012 — — 281,830 454,731 504,954 515,520 498,207 499,355 503,614 504,342 2013 — — — 314,122 488,140 536,630 531,474 538,304 539,553 540,158 2014 — — — — 372,670 599,119 613,530 632,796 648,072 655,332 2015 — — — — — 395,440 612,369 668,012 690,037 699,770 2016 — — — — — — 417,424 671,219 712,815 728,122 2017 — — — — — — — 445,560 690,029 718,949 2018 — — — — — — — — 415,206 662,185 2019 — — — — — — — — — 405,213 Total $ 5,709,499 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 1,019 Reserves for loss and loss adjustment expenses, net of reinsurance $ 510,166 Reinsurance & Monoline Excess Casualty (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR 2010 $ 290,438 $ 298,265 $ 288,146 $ 276,049 $ 265,455 $ 256,271 $ 252,900 $ 250,596 $ 249,599 $ 249,472 $ 14,322 2011 — 290,770 309,836 304,352 299,244 307,969 304,780 296,280 292,762 299,130 16,563 2012 — — 331,991 335,867 330,882 325,224 333,982 336,492 334,588 331,270 17,481 2013 — — — 319,491 270,382 275,539 285,032 293,686 299,224 303,568 25,073 2014 — — — — 320,579 320,226 319,573 331,339 325,497 324,941 34,043 2015 — — — — — 259,922 232,272 230,856 252,959 293,718 43,622 2016 — — — — — — 241,533 253,501 246,019 268,508 51,973 2017 — — — — — — — 232,010 221,769 239,788 85,671 2018 — — — — — — — — 222,100 211,227 109,087 2019 — — — — — — — — — 237,412 196,623 Total $ 2,759,034 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 17,814 $ 45,338 $ 76,845 $ 105,912 $ 128,476 $ 150,665 $ 166,361 $ 181,857 $ 191,532 $ 198,822 2011 — 17,812 52,231 97,476 133,808 169,219 192,724 208,347 220,566 232,452 2012 — — 22,329 62,037 111,538 152,590 187,196 219,637 241,318 257,010 2013 — — — 28,910 63,718 110,306 144,405 178,174 205,716 226,083 2014 — — — — 21,280 68,992 115,873 155,207 198,196 227,684 2015 — — — — — 17,866 48,445 91,198 141,348 178,657 2016 — — — — — — 19,895 61,787 100,262 140,411 2017 — — — — — — — 16,473 40,138 69,465 2018 — — — — — — — — 11,092 41,018 2019 — — — — — — — — — 14,574 Total $ 1,586,176 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 383,199 Reserves for loss and loss adjustment expenses, net of reinsurance $ 1,556,057 Monoline Excess (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR 2010 $ 135,639 $ 123,497 $ 120,272 $ 118,712 $ 102,424 $ 104,732 $ 100,065 $ 94,986 $ 95,374 $ 99,944 $ 15,731 2011 — 88,650 93,993 98,051 89,031 85,299 83,850 78,246 74,109 72,091 14,075 2012 — — 72,366 73,230 73,670 73,653 72,441 67,878 69,361 67,205 11,249 2013 — — — 63,995 50,355 46,025 42,419 38,551 35,120 31,752 12,626 2014 — — — — 63,561 57,558 49,478 45,758 41,671 42,541 15,347 2015 — — — — — 69,977 57,897 50,099 45,115 39,682 19,040 2016 — — — — — — 72,657 70,281 71,404 64,957 23,676 2017 — — — — — — — 76,701 80,508 70,749 29,999 2018 — — — — — — — — 77,820 72,505 36,930 2019 — — — — — — — — — 78,929 48,526 Total $ 640,355 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 2,867 $ 4,003 $ 5,571 $ 8,701 $ 11,260 $ 11,699 $ 14,261 $ 18,821 $ 22,355 $ 28,431 2011 — 2,593 4,848 6,395 14,042 15,684 18,638 20,164 21,463 23,686 2012 — — 1,127 6,097 10,815 11,167 13,234 15,738 17,982 20,004 2013 — — — 647 1,897 2,158 3,008 3,396 4,418 5,349 2014 — — — — 377 1,729 3,354 4,175 5,808 7,595 2015 — — — — — 2,069 2,481 3,272 4,099 4,416 2016 — — — — — — 2,498 4,783 5,573 5,928 2017 — — — — — — — 6,282 12,810 15,356 2018 — — — — — — — — 6,141 8,230 2019 — — — — — — — — — 6,241 Total $ 125,236 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 765,323 Reserves for loss and loss adjustment expenses, net of reinsurance $ 1,280,442 Property (In thousands) Loss and Loss Expenses Incurred, Net of Reinsurance As of December 31, 2019 For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 IBNR 2010 $ 58,367 $ 55,399 $ 52,306 $ 51,186 $ 51,230 $ 50,694 $ 50,571 $ 50,398 $ 50,630 $ 50,362 $ 208 2011 — 95,201 87,837 84,914 86,326 84,791 84,522 84,246 84,651 84,432 490 2012 — — 103,833 94,661 86,330 85,334 83,814 83,822 84,746 84,555 1,032 2013 — — — 141,563 112,684 114,123 111,945 112,579 111,895 109,699 643 2014 — — — — 113,126 96,636 97,279 100,011 99,250 98,912 1,685 2015 — — — — — 127,259 117,563 131,755 130,391 129,492 2,478 2016 — — — — — — 168,129 174,570 181,757 181,002 4,891 2017 — — — — — — — 206,672 200,510 199,497 11,224 2018 — — — — — — — — 108,342 112,152 19,159 2019 — — — — — — — — — 103,240 52,334 Total $ 1,153,343 Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance For the Year Ended December 31, Unaudited Accident Year 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2010 $ 23,424 $ 37,483 $ 42,153 $ 43,634 $ 44,550 $ 46,141 $ 48,745 $ 49,001 $ 49,749 $ 49,690 2011 — 31,402 58,702 73,142 75,778 78,357 81,560 82,094 83,169 83,250 2012 — — 15,663 51,641 64,098 70,524 77,412 78,971 81,673 82,541 2013 — — — 36,578 74,573 92,619 101,539 104,326 106,045 107,606 2014 — — — — 38,803 66,869 82,172 88,317 91,452 93,160 2015 — — — — — 53,477 89,153 109,090 118,603 122,621 2016 — — — — — — 78,936 133,576 157,491 168,605 2017 — — — — — — — 72,132 141,389 171,745 2018 — — — — — — — — 34,004 65,193 2019 — — — — — — — — — 23,051 Total $ 967,462 Reserves for loss and loss adjustment expenses before 2010, net of reinsurance 798 Reserves for loss and loss adjustment expenses, net of reinsurance $ 186,679 |
Reconciliation of net incurred and paid claims development to reserves for loss and loss adjustment expenses | The reconciliation of the net incurred and paid claims development tables to the reserves for losses and loss expenses in the consolidated balance sheet is as follows: (In thousands) December 31, 2019 Undiscounted reserves for loss and loss expenses, net of reinsurance: Other liability $ 3,998,511 Workers' compensation 1,870,968 Professional liability 1,034,256 Commercial automobile 697,961 Short-tail lines 510,166 Other 92,495 Insurance 8,204,357 Casualty 1,556,057 Monoline excess 1,280,442 Property 186,679 Reinsurance & Monoline Excess 3,023,178 Total undiscounted reserves for loss and loss expenses, net of reinsurance $ 11,227,535 (In thousands) December 31, 2019 Due from reinsurers on unpaid claims: Other liability $ 518,759 Workers' compensation 300,966 Professional liability 509,828 Commercial automobile 24,486 Short-tail lines 243,333 Other 46,197 Insurance 1,643,569 Casualty 113,332 Monoline excess 38,384 Property 89,966 Reinsurance & Monoline Excess 241,682 Total due from reinsurers on unpaid claims $ 1,885,251 (In thousands) December 31, 2019 Loss reserve discount: Other liability $ — Workers' compensation (10,976 ) Professional liability — Commercial automobile — Short-tail lines — Other — Insurance (10,976 ) Casualty (107,929 ) Monoline excess (410,632 ) Property — Reinsurance & Monoline Excess (518,561 ) Total loss reserve discount $ (529,537 ) Total gross reserves for loss and loss expenses $ 12,583,249 |
Supplementary information regarding average historical claims duration | The following is supplementary information regarding average historical claims duration as of December 31, 2019 : Insurance Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance Years 1 2 3 4 5 6 7 8 9 10 Other liability 7.8 % 14.4 % 18.4 % 16.6 % 14.0 % 8.6 % 5.4 % 3.4 % 2.9 % 1.5 % Workers' compensation 23.1 % 28.7 % 15.8 % 9.3 % 6.0 % 3.7 % 2.7 % 1.7 % 1.5 % 1.0 % Professional liability 8.7 % 21.6 % 21.3 % 15.2 % 9.9 % 8.9 % 3.5 % 2.6 % 3.8 % 0.6 % Commercial automobile 39.3 % 21.6 % 15.5 % 10.8 % 6.8 % 3.0 % 1.4 % 0.3 % 0.2 % — % Short-tail lines 58.8 % 30.9 % 5.7 % 1.8 % 0.1 % 0.5 % 0.4 % 0.4 % — % — % Reinsurance & Monoline Excess Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance Years 1 2 3 4 5 6 7 8 9 10 Casualty 6.8 % 12.3 % 14.2 % 13.1 % 11.4 % 8.9 % 6.2 % 5.0 % 3.9 % 2.9 % Monoline excess 4.5 % 3.9 % 2.8 % 3.1 % 2.3 % 3.1 % 2.7 % 3.1 % 3.3 % 6.1 % Property 34.9 % 31.8 % 14.6 % 5.9 % 3.6 % 2.4 % 2.6 % 0.9 % 0.8 % — % |
Reconciliation of beginning and ending reserve balance | The table below provides a reconciliation of the beginning and ending reserve balances: (In thousands) 2019 2018 2017 Net reserves at beginning of year $ 10,248,883 $ 10,056,914 $ 9,590,265 Net provision for losses and loss expenses: Claims occurring during the current year (1) 4,057,989 3,926,489 3,963,543 Increase (decrease) in estimates for claims occurring in prior years (2) 34,079 6,831 (5,165 ) Loss reserve discount accretion 39,048 41,382 43,970 Total 4,131,116 3,974,702 4,002,348 Net payments for claims: Current year 985,599 964,808 1,027,405 Prior year 2,673,803 2,700,077 2,562,550 Total 3,659,402 3,664,885 3,589,955 Foreign currency translation (22,599 ) (117,848 ) 54,256 Net reserves at end of year 10,697,998 10,248,883 10,056,914 Ceded reserve at end of year 1,885,251 1,717,565 1,613,494 Gross reserves at end of year $ 12,583,249 $ 11,966,448 $ 11,670,408 Net change in premiums and losses occurring in prior years: (Increase) decrease in estimates for claims occurring in prior years (2) $ (34,079 ) $ (6,831 ) $ 5,165 Retrospective premium adjustments for claims occurring in prior years (3) 53,511 45,638 32,162 Net favorable premium and reserve development on prior years $ 19,432 $ 38,807 $ 37,327 _______________________________________ (1) Claims occurring during the current year are net of loss reserve discounts of $20 million , $24 million and $22 million in 2019 , 2018 , and 2017 , respectively. (2) The change in estimates for claims occurring in prior years is net of loss reserve discount. On an undiscounted basis, the estimates for claims occurring in prior years increased by $19 million in 2019 , and decreased $4 million and $32 million in 2018 and 2017 , respectively. |
Reinsurance (Tables)
Reinsurance (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance Financial Information | The following is a summary of reinsurance financial information: (In thousands) 2019 2018 2017 Written premiums: Direct $ 7,386,759 $ 6,973,216 $ 6,726,029 Assumed 875,459 729,278 750,934 Ceded (1,398,719 ) (1,269,267 ) (1,216,455 ) Total net written premiums $ 6,863,499 $ 6,433,227 $ 6,260,508 Earned premiums: Direct $ 7,141,427 $ 6,851,795 $ 6,661,046 Assumed 820,705 755,759 812,309 Ceded (1,328,844 ) (1,236,049 ) (1,161,936 ) Total net earned premiums $ 6,633,288 $ 6,371,505 $ 6,311,419 Ceded losses and loss expenses incurred $ 836,831 $ 829,742 $ 601,769 Ceded commission earned $ 314,191 $ 268,037 $ 241,983 |
Schedule of Ceded Credit Risk by Reinsurer | The following table presents the amounts due from reinsurers as of December 31, 2019 : (In thousands) Munich Re $ 243,021 Lloyd’s of London 201,092 Swiss Re 179,274 Alleghany Group 169,185 Partner Re 127,638 Hannover Re Group 95,486 Axis Capital 93,547 Berkshire Hathaway 82,882 Renaissance Re 79,954 Korean Re 64,464 Everest Re 55,431 Liberty Mutual 49,346 Arch Capital Group 27,116 Qatar Re 22,477 Chubb Limited 15,199 Other reinsurers less than $20,000 308,404 Subtotal 1,814,515 Residual market pools 319,168 Total $ 2,133,683 |
Indebtedness (Tables)
Indebtedness (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Indebtedness consisted of the following as of December 31, 2019 (the difference between the face value and the carrying value is unamortized discount and debt issuance costs): Carrying Value (In thousands) Interest Rate Face Value 2019 2018 Senior notes due on: August 15, 2019 6.15% $ — $ — $ 140,568 September 15, 2019 7.375% — — 299,816 September 15, 2020 5.375% 300,000 299,756 299,420 January 1, 2022 8.7% 76,503 76,343 76,273 March 15, 2022 4.625% 350,000 349,088 348,670 February 15, 2037 6.25% 250,000 248,116 248,006 August 1, 2044 4.75% 350,000 345,467 345,283 Subsidiary debt (1) (2) Various 108,804 108,805 123,992 Total senior notes and other debt $ 1,435,307 $ 1,427,575 $ 1,882,028 Subordinated debentures due on: April 30, 2053 5.625% $ 350,000 $ 341,356 $ 341,097 March 1, 2056 5.9% 110,000 106,262 106,159 June 1, 2056 5.75% 290,000 281,777 281,551 March 30, 2058 5.70% 185,000 178,845 178,684 December 30, 2059 5.1% 300,000 290,464 — Total subordinated debentures $ 1,235,000 $ 1,198,704 $ 907,491 ________________ (1) Subsidiary debt is due as follows: |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | Income tax expense (benefit) consists of: (In thousands) Current Expense Deferred Expense (Benefit) Total December 31, 2019 Domestic $ 124,231 $ 27,616 $ 151,847 Foreign 9,030 8,058 17,088 Total expense $ 133,261 $ 35,674 $ 168,935 December 31, 2018 Domestic $ 188,712 $ (63,134 ) $ 125,578 Foreign 13,963 23,487 37,450 Total expense (benefit) $ 202,675 $ (39,647 ) $ 163,028 December 31, 2017 Domestic $ 225,694 $ (27,601 ) $ 198,093 Foreign 8,803 12,537 21,340 Total expense (benefit) $ 234,497 $ (15,064 ) $ 219,433 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the income tax expense and the amounts computed by applying the Federal and foreign income tax rate of 21% for 2019 and 2018 and 35% for 2017 to pre-tax income are as follows: (In thousands) 2019 2018 2017 Computed “expected” tax expense $ 179,113 $ 170,540 $ 270,470 Tax-exempt investment income (14,666 ) (18,833 ) (37,209 ) Change in valuation allowance (1,945 ) 18,576 11,161 Impact of foreign tax rates 7,700 7,683 3,508 State and local taxes 4,842 3,901 1,644 Impact of change in U.S. tax rate — (10,950 ) (30,531 ) Other, net (6,109 ) (7,889 ) 390 Total expense $ 168,935 $ 163,028 $ 219,433 |
Schedule of Deferred Tax Assets and Liabilities | (In thousands) 2019 2018 2017 Computed “expected” tax expense $ 179,113 $ 170,540 $ 270,470 Tax-exempt investment income (14,666 ) (18,833 ) (37,209 ) Change in valuation allowance (1,945 ) 18,576 11,161 Impact of foreign tax rates 7,700 7,683 3,508 State and local taxes 4,842 3,901 1,644 Impact of change in U.S. tax rate — (10,950 ) (30,531 ) Other, net (6,109 ) (7,889 ) 390 Total expense $ 168,935 $ 163,028 $ 219,433 At December 31, 2019 and 2018 , the tax effects of differences that give rise to significant portions of the deferred tax asset and deferred tax liability are as follows: (In thousands) 2019 2018 Deferred tax asset: Loss reserve discounting $ 136,100 $ 130,513 Unearned premiums 120,246 112,190 Net operating losses 37,147 37,463 Other-than-temporary impairments 8,049 9,910 Employee compensation plans 60,552 56,027 Other 63,633 58,809 Gross deferred tax asset 425,727 404,912 Less valuation allowance (33,250 ) (35,195 ) Deferred tax asset 392,477 369,717 Deferred tax liability: Amortization of intangibles 12,832 13,641 Loss reserve discounting - transition rule 29,697 41,088 Deferred policy acquisition costs 103,947 99,293 Unrealized investment gains 93,330 35,430 Property, furniture and equipment 47,082 39,239 Investment funds 73,083 51,712 Other 50,212 53,824 Deferred tax liability 410,183 334,227 Net deferred tax liability (asset) $ 17,706 $ (35,490 ) |
Dividends From Subsidiaries A_2
Dividends From Subsidiaries And Statutory Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Insurance [Abstract] | |
Schedule of Combined Net Income and Policyholders' Surplus in Accordance with Statutory Accounting Practices | BIC’s combined net income and statutory capital and surplus, as determined in accordance with statutory accounting practices ("SAP"), are as follows: (In thousands) 2019 2018 2017 Net income $ 601,564 $ 1,099,953 $ 698,862 Statutory capital and surplus $ 6,013,062 $ 5,587,930 $ 5,479,603 |
Common Stockholders' Equity (Ta
Common Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Weighted Average Number of Common Shares Used In the Computation of Basic and Diluted Earnings per Share | The weighted average number of shares used in the computation of net income per share was as follows: (In thousands) 2019 2018 2017 Basic 190,722 190,048 187,265 Diluted 193,521 192,395 193,527 |
Schedule of Changes in Shares of Common Stock Outstanding | Changes in shares of common stock outstanding, net of treasury shares, are presented below. Shares of common stock issued and outstanding do not include shares related to unissued restricted stock units (including shares held in the grantor trust). 2019 2018 2017 Balance, beginning of year 182,993,640 182,272,278 181,790,399 Shares issued 687,339 1,257,762 1,578,384 Shares repurchased (269,072 ) (536,400 ) (1,096,505) Balance, end of year 183,411,907 182,993,640 182,272,278 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Carrying Amounts and Estimated Fair Values of Financial Insruments | The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments as of December 31, 2019 and 2018 : 2019 2018 (In thousands) Carrying Value Fair Value Carrying Value Fair Value Assets: Fixed maturity securities $ 14,180,961 $ 14,194,955 $ 13,606,812 $ 13,619,620 Equity securities 480,620 480,620 279,006 279,006 Arbitrage trading account 400,809 400,809 452,548 452,548 Loans receivable 91,799 94,613 94,813 97,073 Cash and cash equivalents 1,023,710 1,023,710 817,602 817,602 Trading accounts receivable from brokers and clearing organizations 423,543 423,543 347,228 347,228 Liabilities: Due to broker 27,116 27,116 20,144 20,144 Trading account securities sold but not yet purchased 36,143 36,143 38,120 38,120 Senior notes and other debt 1,427,575 1,582,290 1,882,028 1,968,996 Subordinated debentures 1,198,704 1,274,088 907,491 840,002 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Lease, Cost | Further information relating to operating lease expense and other operating lease information is as follows: Twelve Months Ended December 31, 2019 (In thousands) Leases: Lease cost $ 44,107 Cash paid for amounts included in the measurement of lease liabilities reported in operating cash flows $ 40,083 Right-of-use assets obtained in exchange for new lease liabilities $ 32,881 |
Supplemental Balance Sheet Information | ($ in thousands) December 31, 2019 Right-of-use assets $ 193,311 Lease liabilities $ 230,338 Weighted-average remaining lease term 7.11 years Weighted-average discount rate 5.97 % |
Maturities of Operating Lease Liabilities | Contractual maturities of the Company’s future minimum lease payments are as follows: (In thousands) December 31, 2019 Contractual Maturities: 2020 $ 49,293 2021 47,107 2022 41,652 2023 37,510 2024 31,152 Thereafter 78,820 Total undiscounted future minimum lease payments 285,534 Less: Discount impact (55,196 ) Total lease liability $ 230,338 |
Stock Incentive Plan (Tables)
Stock Incentive Plan (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Nonvested Restricted Stock Units Activity | The following table summarizes RSU information for the three years ended December 31, 2019 : 2019 2018 2017 RSUs granted and unvested at beginning of period: 5,062,661 5,216,972 7,293,147 Granted 840,796 1,140,048 1,283,976 Vested (1,447,522 ) (900,254 ) (2,990,261 ) Canceled (331,675 ) (394,105 ) (369,890 ) RSUs granted and unvested at end of period: 4,124,260 5,062,661 5,216,972 |
Schedule of Share-based Compensation, Unearned Compensation Related to RSU's | The fair value of RSUs at the date of grant are recorded as unearned compensation, a component of stockholders’ equity, and expensed over the vesting period. Following is a summary of changes in unearned compensation for the three years ended December 31, 2019 : (In thousands) 2019 2018 2017 Unearned compensation at beginning of year $ 129,669 $ 122,910 $ 115,965 RSUs granted, net of cancellations 53,583 52,204 52,897 RSUs expensed (47,329 ) (34,408 ) (38,796 ) RSUs forfeitures (7,533 ) (11,037 ) (7,156 ) Unearned compensation at end of year $ 128,390 $ 129,669 $ 122,910 |
Compensation Plans (Tables)
Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Compensation Related Costs [Abstract] | |
Long-Term Incentive Compensation Plan Expense | The following table summarizes the outstanding LTIP awards as of December 31, 2019 : Units Outstanding Maximum Value Inception to date earned through December 31, 2019 on outstanding units 2015 grant 179,250 $ 17,925,000 $ 17,925,000 2016 grant 199,500 19,950,000 15,243,000 2017 grant 210,000 21,000,000 10,938,900 2018 grant 215,250 21,525,000 7,501,463 2019 grant 228,750 22,875,000 3,068,338 The following table summarizes the LTIP expense for each of the three years ended December 31, 2019 : (In thousands) 2019 2018 2017 2013 grant $ — $ (1,124 ) $ 7,667 2014 grant (558 ) 3,227 3,167 2015 grant 3,319 5,170 3,667 2016 grant 3,548 5,148 3,601 2017 grant 3,432 4,700 3,162 2018 grant 3,310 4,317 — 2019 grant 3,068 — — Total $ 16,119 $ 21,438 $ 21,264 |
Supplemental Financial Statem_2
Supplemental Financial Statement Data (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Operating Cost and Expense, by Component | Other operating costs and expenses consist of the following: (In thousands) 2019 2018 2017 Amortization of deferred policy acquisition costs $ 1,001,611 $ 915,246 $ 1,111,489 Insurance operating expenses 1,088,690 1,183,635 989,535 Insurance service expenses 101,317 118,357 129,776 Net foreign currency (gains) losses (30,715 ) (27,067 ) 15,267 Other costs and expenses 201,179 193,050 190,865 Total $ 2,362,082 $ 2,383,221 $ 2,436,932 |
Industry Segments (Tables)
Industry Segments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Financial Information Of Company Operating Segments | Summary financial information about the Company’s reporting segments is presented in the following table. Income before income taxes by segment includes allocated investment income. Identifiable assets by segment are those assets used in or allocated to the operation of each segment. Revenues (In thousands) Earned Premiums (1) Investment Income Other Total (2) Pre-Tax Income (Loss) Net Income (Loss) to Common Stockholders Year ended December 31, 2019 Insurance $ 5,919,819 $ 429,405 $ 47,850 $ 6,397,074 $ 814,862 $ 650,510 Reinsurance & Monoline Excess 713,469 164,082 — 877,551 189,188 152,046 Corporate, other and eliminations (3) — 52,127 454,741 506,868 (271,833 ) (215,967 ) Net investment gains — — 120,703 120,703 120,703 95,355 Consolidated $ 6,633,288 $ 645,614 $ 623,294 $ 7,902,196 $ 852,920 $ 681,944 Year ended December 31, 2018 Insurance $ 5,702,073 $ 433,490 $ 72,727 $ 6,208,290 $ 717,154 $ 571,381 Reinsurance & Monoline Excess 669,432 179,534 — 848,966 201,001 160,791 Corporate, other and eliminations (3) — 61,211 418,696 479,907 (260,549 ) (213,469 ) Net investment gains — — 154,488 154,488 154,488 122,046 Consolidated $ 6,371,505 $ 674,235 $ 645,911 $ 7,691,651 $ 812,094 $ 640,749 Year ended December 31, 2017 Insurance $ 5,549,403 $ 366,862 $ 86,865 $ 6,003,130 $ 623,746 $ 437,953 Reinsurance & Monoline Excess 762,016 160,462 — 922,478 117,131 90,358 Corporate, other and eliminations (3) — 48,464 374,834 423,298 (303,965 ) (197,525 ) Net investment gains — — 335,858 335,858 335,858 218,308 Consolidated $ 6,311,419 $ 575,788 $ 797,557 $ 7,684,764 $ 772,770 $ 549,094 |
Identifiable Assets by Segments | Identifiable Assets (In thousands) December 31, 2019 2018 Insurance $ 20,003,202 $ 18,214,293 Reinsurance & Monoline Excess 4,709,724 4,371,151 Corporate, other and eliminations (3) 1,930,502 2,310,533 Consolidated $ 26,643,428 $ 24,895,977 _______________________________________ (1) Certain amounts included in earned premiums of each segment are related to inter-segment transactions. (2) Revenues for Insurance includes $725.4 million , $714.2 million , and $688.2 million in 2019, 2018, and 2017, respectively, from foreign countries. Revenues for Reinsurance & Monoline Excess includes $249.6 million , $228.1 million , and $201.3 million in 2019, 2018 and 2017, respectively, from foreign countries. (3) Corporate, other and eliminations represent corporate revenues and expenses and other items that are not allocated to business segments. |
Net Premiums Earned By Major Line Of Business | Net premiums earned by major line of business are as follows: (In thousands) 2019 2018 2017 Insurance Other liability $ 2,063,401 $ 1,912,071 $ 1,843,826 Workers' compensation 1,301,980 1,327,206 1,324,801 Short-tail lines 1,223,902 1,184,447 1,184,465 Commercial automobile 750,051 722,236 650,441 Professional liability 580,485 556,113 545,870 Total Insurance 5,919,819 5,702,073 5,549,403 Reinsurance & Monoline Excess Casualty 405,063 362,886 377,650 Monoline Excess 160,071 162,908 157,039 Property 148,335 143,638 227,327 Total Reinsurance & Monoline Excess 713,469 669,432 762,016 Total $ 6,633,288 $ 6,371,505 $ 6,311,419 |
Quarterly Financial Informati_2
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | The following is a summary of quarterly financial data: (In thousands, except per share data) 2019 Three months ended March 31 June 30 September 30 December 31 Revenues $ 1,937,022 $ 2,023,384 $ 1,965,716 $ 1,976,074 Net income 180,722 216,709 165,208 119,306 Net income per share (1) Basic (2) 0.95 1.14 0.87 0.62 Diluted 0.94 1.12 0.85 0.62 2018 Three months ended March 31 June 30 September 30 December 31 Revenues $ 1,891,247 $ 1,910,916 $ 1,937,902 $ 1,951,586 Net income 166,397 180,075 161,920 132,357 Net income per share (1) Basic (2) 0.88 0.95 0.85 0.69 Diluted 0.87 0.93 0.84 0.69 _______________________________________ (1) Net income per share (“EPS”) in each quarter is computed using the weighted-average number of shares outstanding during that quarter, while EPS for the full year is computed using the weighted-average number of shares outstanding during the year. Thus, the sum of the four quarters EPS does not necessarily equal the full-year EPS. (2) Basic shares outstanding includes shares held in a grantor trust. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) $ in Millions | Apr. 02, 2019 | Dec. 31, 2019USD ($)shares | Dec. 31, 2019USD ($)shares | Dec. 31, 2018USD ($)shares | Dec. 31, 2017USD ($)shares |
Accounting Policies [Abstract] | |||||
Conversion ratio | 0.6667 | ||||
Unbilled Audit Premiums | $ 4 | $ 4 | $ (4) | $ 8 | |
Indefinite-lived Intangible Assets [Line Items] | |||||
Basic weighted average number of shares outstanding (in shares) | shares | 190,722 | 190,048 | 187,265 | ||
Deposit contracts, liabilities | 41 | $ 41 | $ 45 | ||
Depreciation | 54 | 54 | $ 50 | ||
Interest payments | 160 | 155 | 145 | ||
Income taxes paid | 125 | 186 | $ 207 | ||
Other Assets | |||||
Indefinite-lived Intangible Assets [Line Items] | |||||
Intangible assets, net (excluding goodwill) | $ 99 | $ 99 | $ 104 | ||
Grantor Trust | Restricted Stock Units (RSUs) | |||||
Indefinite-lived Intangible Assets [Line Items] | |||||
Basic weighted average number of shares outstanding (in shares) | shares | 7,575,168 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Recent accounting change) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Right-of-use assets | $ 193,311 | ||
Lease liabilities | $ 230,338 | ||
Deferred rent liability | $ 30,000 | ||
Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Right-of-use assets | $ 185,000 | ||
Lease liabilities | $ 215,000 |
Consolidated Statement of Com_3
Consolidated Statement of Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning of period | $ 5,479,798 | |||
Other comprehensive gain (loss) | 253,068 | $ (364,426) | $ 12,954 | |
End of period | 6,118,342 | 5,479,798 | ||
Net investment gains | 120,703 | 154,488 | 335,858 | |
Federal and foreign income taxes | (168,935) | (163,028) | (219,433) | |
Net income before noncontrolling interests | 683,985 | 649,066 | 553,337 | |
Unrealized investment gains, before tax | 261,970 | (302,737) | (69,425) | |
Currency translation adjustments, before tax | 37,166 | (112,099) | ||
Other comprehensive income (loss), before tax | 299,136 | (414,836) | ||
Unrealized investment gains, tax | (46,068) | 50,410 | ||
Currency translation adjustments, tax | 0 | 0 | ||
Other comprehensive income (loss), tax | (46,068) | 50,410 | ||
Unrealized investment gains, net of tax | 215,902 | (252,327) | ||
Change in unrealized translation adjustments | 37,166 | (112,099) | 64,706 | |
Unrealized investment gains (losses) | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning of period | (91,491) | 375,421 | ||
Cumulative effect adjustment resulting from changes in accounting principles | $ (214,539) | |||
Restated beginning of period | 160,882 | |||
Other comprehensive gains before reclassifications | 224,011 | (246,535) | ||
Amounts reclassified from AOCI | (8,109) | (5,792) | ||
Other comprehensive gain (loss) | 215,902 | (252,327) | ||
Unrealized investment gain related to non-controlling interest | 103 | (46) | ||
End of period | 124,514 | (91,491) | 375,421 | |
Unrealized investment gains (losses) | Reclassification out of Accumulated Other Comprehensive Income | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net investment gains | (10,265) | (7,332) | ||
Federal and foreign income taxes | 2,156 | 1,540 | ||
Net income before noncontrolling interests | (8,109) | (5,792) | ||
Currency translation adjustments | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning of period | (418,979) | (306,880) | (371,586) | |
Cumulative effect adjustment resulting from changes in accounting principles | 0 | |||
Restated beginning of period | (306,880) | |||
Other comprehensive gains before reclassifications | 37,166 | (112,099) | ||
Amounts reclassified from AOCI | 0 | 0 | ||
Other comprehensive gain (loss) | 37,166 | (112,099) | ||
Unrealized investment gain related to non-controlling interest | 0 | 0 | ||
End of period | (381,813) | (418,979) | (306,880) | |
Change in unrealized translation adjustments | 37,166 | (112,099) | 64,706 | |
Currency translation adjustments | Reclassification out of Accumulated Other Comprehensive Income | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net investment gains | 0 | 0 | ||
Federal and foreign income taxes | 0 | 0 | ||
Net income before noncontrolling interests | 0 | 0 | ||
Accumulated other comprehensive (loss) income | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning of period | (510,470) | 68,541 | ||
Cumulative effect adjustment resulting from changes in accounting principles | (214,539) | |||
Restated beginning of period | $ (145,998) | |||
Other comprehensive gains before reclassifications | 261,177 | (358,634) | ||
Amounts reclassified from AOCI | (8,109) | (5,792) | ||
Other comprehensive gain (loss) | 253,068 | (364,426) | ||
Unrealized investment gain related to non-controlling interest | 103 | (46) | ||
End of period | (257,299) | (510,470) | $ 68,541 | |
Accumulated other comprehensive (loss) income | Reclassification out of Accumulated Other Comprehensive Income | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net investment gains | (10,265) | (7,332) | ||
Federal and foreign income taxes | 2,156 | 1,540 | ||
Net income before noncontrolling interests | $ (8,109) | $ (5,792) |
Investments in Fixed Maturity_3
Investments in Fixed Maturity Securities (Investments in Fixed Maturity Securities) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total held to maturity, Amortized Cost | $ 78,683 | $ 78,635 |
Total held to maturity, Gross Unrealized Gains | 13,994 | 12,808 |
Total held to maturity, Gross Unrealized Losses | 0 | 0 |
Total held to maturity, Fair Value | 92,677 | 91,443 |
Total held to maturity, Carrying Value | 78,683 | 78,635 |
Total available for sale, Amortized Cost | 13,897,964 | 13,596,057 |
Total available for sale, Gross Unrealized Gains | 340,700 | 147,683 |
Total available for sale, Gross Unrealized Losses | (136,386) | (215,563) |
Total available for sale, Fair Value | 14,102,278 | 13,528,177 |
Total available for sale, Carrying Value | 14,102,278 | 13,528,177 |
Total investment in fixed maturity securities, Amortized Cost | 13,976,647 | 13,674,692 |
Total investments in fixed maturity securities, Gross Unrealized Gains | 354,694 | 160,491 |
Total investments in fixed maturity securities, Gross Unrealized Losses | (136,386) | (215,563) |
Total investments in fixed maturity securities, Fair Value | 14,194,955 | 13,619,620 |
Total investments in fixed maturity securities, carrying value | 14,180,961 | 13,606,812 |
State and municipal | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total held to maturity, Amortized Cost | 70,312 | 67,891 |
Total held to maturity, Gross Unrealized Gains | 13,000 | 11,549 |
Total held to maturity, Gross Unrealized Losses | 0 | 0 |
Total held to maturity, Fair Value | 83,312 | 79,440 |
Total held to maturity, Carrying Value | 70,312 | 67,891 |
Total available for sale, Amortized Cost | 3,754,641 | 3,815,515 |
Total available for sale, Gross Unrealized Gains | 146,918 | 81,695 |
Total available for sale, Gross Unrealized Losses | (5,927) | (24,612) |
Total available for sale, Fair Value | 3,895,632 | 3,872,598 |
Total available for sale, Carrying Value | 3,895,632 | 3,872,598 |
Residential mortgage-backed | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total held to maturity, Amortized Cost | 8,371 | 10,744 |
Total held to maturity, Gross Unrealized Gains | 994 | 1,259 |
Total held to maturity, Gross Unrealized Losses | 0 | 0 |
Total held to maturity, Fair Value | 9,365 | 12,003 |
Total held to maturity, Carrying Value | 8,371 | 10,744 |
Total available for sale, Amortized Cost | 1,298,145 | 1,264,376 |
Total available for sale, Gross Unrealized Gains | 23,230 | 7,729 |
Total available for sale, Gross Unrealized Losses | (5,155) | (20,225) |
Total available for sale, Fair Value | 1,316,220 | 1,251,880 |
Total available for sale, Carrying Value | 1,316,220 | 1,251,880 |
Corporate | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 4,038,643 | 4,188,769 |
Total available for sale, Gross Unrealized Gains | 126,092 | 25,852 |
Total available for sale, Gross Unrealized Losses | (8,320) | (103,310) |
Total available for sale, Fair Value | 4,156,415 | 4,111,311 |
Total available for sale, Carrying Value | 4,156,415 | 4,111,311 |
U.S. government and government agency | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 775,157 | 697,931 |
Total available for sale, Gross Unrealized Gains | 13,249 | 9,219 |
Total available for sale, Gross Unrealized Losses | (1,475) | (4,910) |
Total available for sale, Fair Value | 786,931 | 702,240 |
Total available for sale, Carrying Value | 786,931 | 702,240 |
Special Revenue | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 2,343,209 | 2,396,089 |
Total available for sale, Gross Unrealized Gains | 64,586 | 30,507 |
Total available for sale, Gross Unrealized Losses | (4,152) | (19,790) |
Total available for sale, Fair Value | 2,403,643 | 2,406,806 |
Total available for sale, Carrying Value | 2,403,643 | 2,406,806 |
Debt, State Government | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 359,298 | 335,626 |
Total available for sale, Gross Unrealized Gains | 22,074 | 11,951 |
Total available for sale, Gross Unrealized Losses | (97) | (1,103) |
Total available for sale, Fair Value | 381,275 | 346,474 |
Total available for sale, Carrying Value | 381,275 | 346,474 |
Revenue Subject to Refund | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 364,571 | 408,141 |
Total available for sale, Gross Unrealized Gains | 20,342 | 16,568 |
Total available for sale, Gross Unrealized Losses | (128) | (30) |
Total available for sale, Fair Value | 384,785 | 424,679 |
Total available for sale, Carrying Value | 384,785 | 424,679 |
Corporation | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 255,230 | 272,440 |
Total available for sale, Gross Unrealized Gains | 7,232 | 4,319 |
Total available for sale, Gross Unrealized Losses | (903) | (2,350) |
Total available for sale, Fair Value | 261,559 | 274,409 |
Total available for sale, Carrying Value | 261,559 | 274,409 |
Debt, Local Government | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 432,333 | 403,219 |
Total available for sale, Gross Unrealized Gains | 32,684 | 18,350 |
Total available for sale, Gross Unrealized Losses | (647) | (1,339) |
Total available for sale, Fair Value | 464,370 | 420,230 |
Total available for sale, Carrying Value | 464,370 | 420,230 |
Commercial Mortgage Backed Securities | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 304,506 | 345,070 |
Total available for sale, Gross Unrealized Gains | 5,214 | 1,304 |
Total available for sale, Gross Unrealized Losses | (346) | (3,708) |
Total available for sale, Fair Value | 309,374 | 342,666 |
Total available for sale, Carrying Value | 309,374 | 342,666 |
Mortgage-backed securities | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 1,602,651 | 1,609,446 |
Total available for sale, Gross Unrealized Gains | 28,444 | 9,033 |
Total available for sale, Gross Unrealized Losses | (5,501) | (23,933) |
Total available for sale, Fair Value | 1,625,594 | 1,594,546 |
Total available for sale, Carrying Value | 1,625,594 | 1,594,546 |
Asset-backed Securities | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 2,802,588 | 2,462,303 |
Total available for sale, Gross Unrealized Gains | 9,532 | 10,131 |
Total available for sale, Gross Unrealized Losses | (21,490) | (33,687) |
Total available for sale, Fair Value | 2,790,630 | 2,438,747 |
Total available for sale, Carrying Value | 2,790,630 | 2,438,747 |
Industrial Property | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 2,260,073 | 2,295,778 |
Total available for sale, Gross Unrealized Gains | 72,900 | 15,355 |
Total available for sale, Gross Unrealized Losses | (3,800) | (53,312) |
Total available for sale, Fair Value | 2,329,173 | 2,257,821 |
Total available for sale, Carrying Value | 2,329,173 | 2,257,821 |
Debt Security, Corporate, US | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 1,447,589 | 1,502,427 |
Total available for sale, Gross Unrealized Gains | 37,681 | 7,178 |
Total available for sale, Gross Unrealized Losses | (4,118) | (45,683) |
Total available for sale, Fair Value | 1,481,152 | 1,463,922 |
Total available for sale, Carrying Value | 1,481,152 | 1,463,922 |
Public Utility, Bonds | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 325,762 | 330,326 |
Total available for sale, Gross Unrealized Gains | 15,281 | 2,997 |
Total available for sale, Gross Unrealized Losses | (402) | (4,148) |
Total available for sale, Fair Value | 340,641 | 329,175 |
Total available for sale, Carrying Value | 340,641 | 329,175 |
Other Security Investments | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 5,219 | 60,238 |
Total available for sale, Gross Unrealized Gains | 230 | 322 |
Total available for sale, Gross Unrealized Losses | 0 | (167) |
Total available for sale, Fair Value | 5,449 | 60,393 |
Total available for sale, Carrying Value | 5,449 | 60,393 |
Foreign government | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Total available for sale, Amortized Cost | 924,284 | 822,093 |
Total available for sale, Gross Unrealized Gains | 16,465 | 11,753 |
Total available for sale, Gross Unrealized Losses | (93,673) | (25,111) |
Total available for sale, Fair Value | 847,076 | 808,735 |
Total available for sale, Carrying Value | $ 847,076 | $ 808,735 |
Investments in Fixed Maturity_4
Investments in Fixed Maturity Securities (The Amortized Cost and Fair Value of Fixed Maturity Securities) (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Investments, Debt and Equity Securities [Abstract] | |
Amortized Cost, Due in one year or less | $ 959,583 |
Amortized Cost, Due after one year through five years | 5,010,862 |
Amortized Cost, Due after five years through ten years | 3,391,154 |
Amortized Cost, Due after ten years | 3,004,026 |
Amortized Cost, Mortgage-backed securities | 1,611,022 |
Total investment in fixed maturity securities, Amortized Cost | 13,976,647 |
Fair Value, Due in one year or less | 917,059 |
Fair Value, Due after one year through five years | 5,087,806 |
Fair Value, Due after five years through ten years | 3,511,621 |
Fair Value, Due after ten years | 3,043,510 |
Fair Value, Mortgage-backed securities | 1,634,959 |
Total investments in fixed maturity securities, Fair Value | $ 14,194,955 |
Investments in Fixed Maturity_5
Investments in Fixed Maturity Securities (Narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Debt Securities, Held-to-maturity, Restricted | $ 1,219,000,000 | |
Insurance-related Assessments | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Debt Securities, Held-to-maturity, Restricted | 380,000,000 | |
Reinsurance & Monoline Excess | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Debt Securities, Held-to-maturity, Restricted | 36,000,000 | |
Letters of Credit Outstanding, Amount | 4,000,000 | |
523991 Trust, Fiduciary, and Custody Activities | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Debt Securities, Held-to-maturity, Restricted | 1,639,000,000 | |
Residential mortgage-backed | ||
Schedule of Available-for-sale and Held-to-maturity Securities [Table] [Line Items] | ||
Gross unrealized (losses) gains for debt securities | $ 314,347 | $ (55,090) |
Investments in Equity Securit_3
Investments in Equity Securities (Investments in Equity Securities Available for Sale) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Debt Securities, Available-for-sale [Line Items] | ||
Equity securities | $ 480,620 | $ 279,006 |
Fair Value | ||
Debt Securities, Available-for-sale [Line Items] | ||
Cost | 345,099 | 228,777 |
Gross unrealized gains | 165,210 | 76,699 |
Gross unrealized losses | (29,689) | (26,470) |
Equity securities | 480,620 | 279,006 |
Fair Value | Common stocks | ||
Debt Securities, Available-for-sale [Line Items] | ||
Cost | 175,928 | 113,576 |
Gross unrealized gains | 16,967 | 4,335 |
Gross unrealized losses | (26,090) | (19,719) |
Equity securities | 166,805 | 98,192 |
Fair Value | Preferred stocks | ||
Debt Securities, Available-for-sale [Line Items] | ||
Cost | 169,171 | 115,201 |
Gross unrealized gains | 148,243 | 72,364 |
Gross unrealized losses | (3,599) | (6,751) |
Equity securities | 313,815 | 180,814 |
Carrying Value | ||
Debt Securities, Available-for-sale [Line Items] | ||
Equity securities | 480,620 | 279,006 |
Carrying Value | Common stocks | ||
Debt Securities, Available-for-sale [Line Items] | ||
Equity securities | 166,805 | 98,192 |
Carrying Value | Preferred stocks | ||
Debt Securities, Available-for-sale [Line Items] | ||
Equity securities | $ 313,815 | $ 180,814 |
Arbitrage Trading Account (Deta
Arbitrage Trading Account (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Trading Securities and Derivative Instruments [Abstract] | ||
Arbitrage trading account | $ 400,809 | $ 452,548 |
Options Held | Long | ||
Derivative [Line Items] | ||
Other derivatives not designated as hedging instruments at fair value, net | 9 | |
Derivative, notional amount | 15,500 | |
Options Held | Short | ||
Derivative [Line Items] | ||
Other derivatives not designated as hedging instruments at fair value, net | 56 | |
Derivative, notional amount | $ 17,100 |
Net Investment Income (Net Inve
Net Investment Income (Net Investment Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Net Investment Income [Line Items] | |||
Gross investment income | $ 651,361 | $ 678,596 | $ 582,740 |
Investment expense | (5,747) | (4,361) | (6,952) |
Net investment income | 645,614 | 674,235 | 575,788 |
Fixed maturity securities, including cash and cash equivalents and loans receivable | |||
Net Investment Income [Line Items] | |||
Gross investment income | 517,925 | 519,269 | 473,101 |
Investment funds | |||
Net Investment Income [Line Items] | |||
Gross investment income | 69,194 | 109,349 | 68,169 |
Arbitrage trading account | |||
Net Investment Income [Line Items] | |||
Gross investment income | 34,585 | 28,157 | 19,145 |
Real estate | |||
Net Investment Income [Line Items] | |||
Gross investment income | 24,218 | 18,591 | 19,975 |
Equity securities | |||
Net Investment Income [Line Items] | |||
Gross investment income | $ 5,439 | $ 3,230 | $ 2,350 |
Investment Funds (Schedule of I
Investment Funds (Schedule of Investment Funds) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Schedule of Equity Method Investments [Line Items] | |||
Maximum loss exposure | $ 232,000 | ||
Investment funds | 1,213,535 | $ 1,332,818 | |
Income (Losses) | 69,194 | 109,349 | $ 68,169 |
Real estate | |||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 412,275 | 642,137 | |
Income (Losses) | 19,154 | 61,453 | 45,068 |
Financial services | |||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 280,705 | 195,706 | |
Income (Losses) | 29,005 | 11,044 | 3,762 |
Energy | |||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 156,869 | 183,627 | |
Income (Losses) | (18,136) | 7,084 | 6,147 |
Transportation | |||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 147,034 | 136,640 | |
Income (Losses) | 14,193 | 15,390 | 1,686 |
Other funds | |||
Schedule of Equity Method Investments [Line Items] | |||
Investment funds | 216,652 | 174,708 | |
Income (Losses) | $ 24,978 | $ 14,378 | $ 11,506 |
Real Estate (Details)
Real Estate (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Real Estate [Abstract] | ||
Properties in operation | $ 1,351,249 | $ 1,279,584 |
Properties under development | 754,701 | 677,508 |
Total | $ 2,105,950 | $ 1,957,092 |
Real Estate (Narrative) (Detail
Real Estate (Narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Real Estate [Abstract] | ||
Accumulated depreciation and amortization on properites | $ 59,832,000 | $ 44,340,000 |
Depreciation | 15,033,000 | $ 20,644,000 |
Lease future minimum payments 2019 | 59,975,701 | |
Lease future minimum payments 2020 | 62,145,941 | |
Lease future minimum payments 2021 | 62,734,252 | |
Lease future minimum payments 2022 | 56,477,620 | |
Lease future minimum payments 2023 | 54,281,781 | |
Lease future minimum payments thereafter | 573,636,251 | |
Non-recourse loan | ||
Debt Instrument [Line Items] | ||
Face value of debt | $ 101,750,000 | |
Interest rate | 4.21% |
Loans Receivable (Details)
Loans Receivable (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Loans Receivable [Line Items] | ||
Loans receivable | $ 94,613 | $ 97,073 |
Valuation allowance, Specific | 165 | 1,200 |
Valuation allowance, General | 1,981 | 2,183 |
Valuation allowance | 2,146 | 3,383 |
Decrease in valuation allowance | (1,237) | 0 |
Loans in nonaccrual status | $ 200 | 1,200 |
Maturity period | 10 years | |
Real Estate | ||
Loans Receivable [Line Items] | ||
Loans receivable | $ 58,541 | 62,289 |
Loans receivable | 59,853 | 63,047 |
Commercial | ||
Loans Receivable [Line Items] | ||
Loans receivable | 33,258 | 32,524 |
Loans receivable | 34,760 | 34,026 |
Loans Receivable | ||
Loans Receivable [Line Items] | ||
Loans receivable | $ 91,799 | $ 94,813 |
Realized and Unrealized Inves_3
Realized and Unrealized Investment Gains and Losses (Realized and Unrealized Investment Gains (Losses)) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Realized and Unrealized Investment Gains (Losses) [Abstract] | |||
Fixed maturity securities, Gains | $ 23,900,000 | $ 26,752,000 | $ 28,217,000 |
Fixed maturity securities, Losses | (13,636,000) | (13,733,000) | (5,342,000) |
Net realized gains on investment sales | 23,306,000 | 435,150,000 | 154,539,000 |
Change in unrealized gains (losses) | 85,292,000 | (320,413,000) | 0 |
Investment funds | (2,825,000) | (212,000) | 125,423,000 |
Real estate | 5,965,000 | 27,816,000 | 12,880,000 |
Loans receivable | (970,000) | 2,838,000 | 0 |
Other | (329,000) | 1,977,000 | 20,141,000 |
Net realized and unrealized gains on investments in earnings before OTTI | 120,703,000 | 160,175,000 | 335,858,000 |
Other-than-temporary impairments | 0 | 5,687,000 | 0 |
Net investment gains | 120,703,000 | 154,488,000 | 335,858,000 |
Income tax expense | (25,348,000) | (32,442,000) | (117,550,000) |
After-tax net realized and unrealized gains on investments in earnings | $ 95,355,000 | $ 122,046,000 | $ 218,308,000 |
Realized and Unrealized Inves_4
Realized and Unrealized Investment Gains and Losses (Change in Unrealized Gains (Losses) of Available For Sales Securities) (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2018 | Dec. 31, 2016 | |
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Total change in unrealized gains (losses) before income taxes and noncontrolling interests | $ 261,970,000 | $ (302,737,000) | $ (69,425,000) | ||
Income tax (expense) benefit | (46,068,000) | 50,410,000 | 17,673,000 | ||
Noncontrolling interests | 103,000 | (46,000) | 19,000 | ||
Total change in unrealized gains and losses | 216,005,000 | (252,373,000) | (51,733,000) | ||
Investment funds | (2,825,000) | (212,000) | 125,423,000 | ||
Other-than-temporary impairments | 0 | 5,687,000 | 0 | ||
Retained earnings | |||||
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Cumulative effect adjustment resulting from changes in accounting principles | 0 | 215,939,000 | $ 0 | ||
Accounting Standards Update 2016-01 | Retained earnings | |||||
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Cumulative effect adjustment resulting from changes in accounting principles | $ 291,000,000 | ||||
Fixed maturity securities | |||||
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Total change in unrealized gains (losses) before income taxes and noncontrolling interests | 271,825,000 | (297,084,000) | (2,192,000) | ||
Other-than-temporary impairments | 6,000,000 | ||||
Previously impaired fixed maturity securities | |||||
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Total change in unrealized gains (losses) before income taxes and noncontrolling interests | 369,000 | (132,000) | 895,000 | ||
Equity securities | |||||
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Total change in unrealized gains (losses) before income taxes and noncontrolling interests | 0 | 0 | (77,971,000) | ||
Investment funds | |||||
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Total change in unrealized gains (losses) before income taxes and noncontrolling interests | (2,299,000) | (5,672,000) | 10,179,000 | ||
Other | |||||
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Total change in unrealized gains (losses) before income taxes and noncontrolling interests | $ (7,925,000) | $ 151,000 | (336,000) | ||
Office Building in Washington, D.C. | |||||
Realized and Unrealized Investment Gains Losses [Line Items] | |||||
Investment funds | $ 124,000,000 |
Securities in an Unrealized L_3
Securities in an Unrealized Loss Position (Securities in an Unrealized Loss Position) (Details) - External Credit Rating, Investment Grade - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
U.S. government and government agency | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Securities, Less Than 12 Months, Fair Value | $ 83,837 | $ 195,359 |
Available-for-sale Securities, Less Than 12 Months, Gross Unrealized Losses | 618 | 933 |
Available-for-sale Securities, 12 Months or Greater, Fair Value | 53,089 | 130,815 |
Available-for-sale Securities, 12 Months or Greater, Gross Unrealized Losses | 857 | 3,977 |
Available-for-sale Securities, Fair Value | 136,926 | 326,174 |
Available For Sale Securities, Gross Unrealized Losses | 1,475 | 4,910 |
State and municipal | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Securities, Less Than 12 Months, Fair Value | 365,184 | 701,700 |
Available-for-sale Securities, Less Than 12 Months, Gross Unrealized Losses | 4,245 | 6,874 |
Available-for-sale Securities, 12 Months or Greater, Fair Value | 127,210 | 744,905 |
Available-for-sale Securities, 12 Months or Greater, Gross Unrealized Losses | 1,682 | 17,738 |
Available-for-sale Securities, Fair Value | 492,394 | 1,446,605 |
Available For Sale Securities, Gross Unrealized Losses | 5,927 | 24,612 |
Mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Securities, Less Than 12 Months, Fair Value | 301,358 | 334,063 |
Available-for-sale Securities, Less Than 12 Months, Gross Unrealized Losses | 2,281 | 2,911 |
Available-for-sale Securities, 12 Months or Greater, Fair Value | 180,148 | 712,595 |
Available-for-sale Securities, 12 Months or Greater, Gross Unrealized Losses | 3,220 | 21,022 |
Available-for-sale Securities, Fair Value | 481,506 | 1,046,658 |
Available For Sale Securities, Gross Unrealized Losses | 5,501 | 23,933 |
Asset-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Securities, Less Than 12 Months, Fair Value | 755,259 | 1,687,665 |
Available-for-sale Securities, Less Than 12 Months, Gross Unrealized Losses | 2,307 | 28,965 |
Available-for-sale Securities, 12 Months or Greater, Fair Value | 774,508 | 342,855 |
Available-for-sale Securities, 12 Months or Greater, Gross Unrealized Losses | 19,183 | 4,722 |
Available-for-sale Securities, Fair Value | 1,529,767 | 2,030,520 |
Available For Sale Securities, Gross Unrealized Losses | 21,490 | 33,687 |
Total corporate | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Securities, Less Than 12 Months, Fair Value | 307,367 | 1,730,513 |
Available-for-sale Securities, Less Than 12 Months, Gross Unrealized Losses | 3,148 | 54,181 |
Available-for-sale Securities, 12 Months or Greater, Fair Value | 121,470 | 954,763 |
Available-for-sale Securities, 12 Months or Greater, Gross Unrealized Losses | 5,172 | 49,129 |
Available-for-sale Securities, Fair Value | 428,837 | 2,685,276 |
Available For Sale Securities, Gross Unrealized Losses | 8,320 | 103,310 |
Foreign government | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Securities, Less Than 12 Months, Fair Value | 164,536 | 246,273 |
Available-for-sale Securities, Less Than 12 Months, Gross Unrealized Losses | 32,028 | 24,197 |
Available-for-sale Securities, 12 Months or Greater, Fair Value | 107,266 | 80,004 |
Available-for-sale Securities, 12 Months or Greater, Gross Unrealized Losses | 61,645 | 914 |
Available-for-sale Securities, Fair Value | 271,802 | 326,277 |
Available For Sale Securities, Gross Unrealized Losses | 93,673 | 25,111 |
Fixed maturity securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale Securities, Less Than 12 Months, Fair Value | 1,977,541 | 4,895,573 |
Available-for-sale Securities, Less Than 12 Months, Gross Unrealized Losses | 44,627 | 118,061 |
Available-for-sale Securities, 12 Months or Greater, Fair Value | 1,363,691 | 2,965,937 |
Available-for-sale Securities, 12 Months or Greater, Gross Unrealized Losses | 91,759 | 97,502 |
Available-for-sale Securities, Fair Value | 3,341,232 | 7,861,510 |
Available For Sale Securities, Gross Unrealized Losses | $ 136,386 | $ 215,563 |
Securities in an Unrealized L_4
Securities in an Unrealized Loss Position (Non-Investment Grade Fixed Maturity Securities) (Details) - External Credit Rating, Non Investment Grade $ in Thousands | Dec. 31, 2019USD ($) |
Foreign government | |
Debt Securities, Available-for-sale [Line Items] | |
Number of Securities | 21 |
Aggregate Fair Value | $ 79,747 |
Gross Unrealized Loss | $ 92,369 |
Total corporate | |
Debt Securities, Available-for-sale [Line Items] | |
Number of Securities | 14 |
Aggregate Fair Value | $ 65,710 |
Gross Unrealized Loss | $ 4,319 |
Mortgage-backed securities | |
Debt Securities, Available-for-sale [Line Items] | |
Number of Securities | 5 |
Aggregate Fair Value | $ 954 |
Gross Unrealized Loss | $ 17 |
Asset-backed securities | |
Debt Securities, Available-for-sale [Line Items] | |
Number of Securities | 5 |
Aggregate Fair Value | $ 437 |
Gross Unrealized Loss | $ 113 |
Debt Securities | |
Debt Securities, Available-for-sale [Line Items] | |
Number of Securities | 45 |
Aggregate Fair Value | $ 146,848 |
Gross Unrealized Loss | $ 96,818 |
Securities in an Unrealized L_5
Securities in an Unrealized Loss Position (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Securities, Available-for-sale [Line Items] | |||
Other-than-temporary impairments | $ 0 | $ 5,687,000 | $ 0 |
Fixed Maturity Securities | |||
Debt Securities, Available-for-sale [Line Items] | |||
Other-than-temporary impairments | $ 0 | $ 6,000,000 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Measured At Fair Value, On a Recurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | $ 14,102,278 | $ 13,528,177 |
Equity securities | 480,620 | 279,006 |
Arbitrage trading account | 400,809 | 452,548 |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 14,102,278 | 13,528,177 |
Equity securities | 480,620 | 279,006 |
Arbitrage trading account | 400,809 | 452,548 |
Total | 14,983,707 | 14,259,731 |
Trading account securities sold but not yet purchased | 36,143 | 38,120 |
Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Equity securities | 157,752 | 89,596 |
Arbitrage trading account | 381,061 | 353,335 |
Total | 538,813 | 442,931 |
Trading account securities sold but not yet purchased | 36,143 | 37,327 |
Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 14,102,278 | 13,528,078 |
Equity securities | 307,310 | 176,869 |
Arbitrage trading account | 19,748 | 81,905 |
Total | 14,429,336 | 13,786,852 |
Trading account securities sold but not yet purchased | 0 | 0 |
Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 99 |
Equity securities | 15,558 | 12,541 |
Arbitrage trading account | 0 | 17,308 |
Total | 15,558 | 29,948 |
Trading account securities sold but not yet purchased | 0 | 793 |
Recurring | U.S. government and government agency | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 786,931 | 702,240 |
Recurring | U.S. government and government agency | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | U.S. government and government agency | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 786,931 | 702,240 |
Recurring | U.S. government and government agency | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 3,895,632 | 3,872,598 |
Recurring | State and municipal | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | State and municipal | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 3,895,632 | 3,872,598 |
Recurring | State and municipal | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 1,625,594 | 1,594,546 |
Recurring | Mortgage-backed securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | Mortgage-backed securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 1,625,594 | 1,594,546 |
Recurring | Mortgage-backed securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 2,790,630 | 2,438,747 |
Recurring | Asset-backed securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | Asset-backed securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 2,790,630 | 2,438,648 |
Recurring | Asset-backed securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 99 |
Recurring | Corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 4,156,415 | 4,111,311 |
Recurring | Corporate | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | Corporate | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 4,156,415 | 4,111,311 |
Recurring | Corporate | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | Foreign government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 847,076 | 808,735 |
Recurring | Foreign government | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | Foreign government | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 847,076 | 808,735 |
Recurring | Foreign government | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity securities available for sale | 0 | 0 |
Recurring | Common stocks | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 166,805 | 98,192 |
Recurring | Common stocks | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 157,752 | 89,596 |
Recurring | Common stocks | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 0 | 0 |
Recurring | Common stocks | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 9,053 | 8,596 |
Recurring | Preferred stocks | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 313,815 | 180,814 |
Recurring | Preferred stocks | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 0 | 0 |
Recurring | Preferred stocks | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 307,310 | 176,869 |
Recurring | Preferred stocks | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | $ 6,505 | $ 3,945 |
Fair Value Measurements (Summar
Fair Value Measurements (Summarize Changes in Level 3 Assets and Liabilities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Common stocks transferred to Level 3 | 2 | 1 |
Common stocks transferred out of Level 3 | 1 | |
Level 3 | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | $ 29,948 | $ 20,385 |
Earnings (Losses) | (6,794) | (456) |
Other Comprehensive Income (Losses) | 61 | 46 |
Impairments | 0 | 0 |
Purchases | 17,369 | 11,523 |
Sales | (39,915) | (7,353) |
Paydowns/Maturities | 0 | 0 |
Transfers In / Out | 14,889 | 5,803 |
Ending Balance | 15,558 | 29,948 |
Trading account securities sold but not yet purchased | ||
Beginning Balance | 793 | 0 |
Earnings (Losses) | 133 | (67) |
Other Comprehensive Income (Losses) | 0 | 0 |
Impairments | 0 | 0 |
Purchases | 7,609 | 860 |
Sales | (8,535) | 0 |
Paydowns/Maturities | 0 | 0 |
Transfers In / Out | 0 | 0 |
Ending Balance | 0 | 793 |
Level 3 | Asset-backed securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 99 | 172 |
Earnings (Losses) | (26) | (2) |
Other Comprehensive Income (Losses) | 61 | 46 |
Impairments | 0 | 0 |
Purchases | 0 | 0 |
Sales | (134) | (117) |
Paydowns/Maturities | 0 | 0 |
Transfers In / Out | 0 | 0 |
Ending Balance | 0 | 99 |
Level 3 | Fixed maturity securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 99 | 172 |
Earnings (Losses) | (26) | (2) |
Other Comprehensive Income (Losses) | 61 | 46 |
Impairments | 0 | 0 |
Purchases | 0 | 0 |
Sales | (134) | (117) |
Paydowns/Maturities | 0 | 0 |
Transfers In / Out | 0 | 0 |
Ending Balance | 0 | 99 |
Level 3 | Common stocks | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 8,596 | 9,370 |
Earnings (Losses) | 2,005 | (548) |
Other Comprehensive Income (Losses) | ||
Impairments | 0 | 0 |
Purchases | 0 | 0 |
Sales | (1,548) | (227) |
Paydowns/Maturities | 0 | 0 |
Transfers In / Out | 0 | 1 |
Ending Balance | 9,053 | 8,596 |
Level 3 | Preferred stocks | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 3,945 | 10,843 |
Earnings (Losses) | (42) | 100 |
Other Comprehensive Income (Losses) | 0 | 0 |
Impairments | 0 | 0 |
Purchases | 2,602 | |
Sales | 0 | (6,998) |
Paydowns/Maturities | 0 | 0 |
Transfers In / Out | 0 | 0 |
Ending Balance | 6,505 | 3,945 |
Level 3 | Equity securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 12,541 | 20,213 |
Earnings (Losses) | 1,963 | (448) |
Other Comprehensive Income (Losses) | 0 | 0 |
Impairments | 0 | 0 |
Purchases | 2,602 | 0 |
Sales | (1,548) | (7,225) |
Paydowns/Maturities | 0 | 0 |
Transfers In / Out | 0 | 1 |
Ending Balance | 15,558 | 12,541 |
Level 3 | Trading account | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 17,308 | 0 |
Earnings (Losses) | (8,731) | (6) |
Other Comprehensive Income (Losses) | 0 | 0 |
Impairments | 0 | 0 |
Purchases | 14,767 | 11,523 |
Sales | (38,233) | (11) |
Paydowns/Maturities | 0 | 0 |
Transfers In / Out | 14,889 | 5,802 |
Ending Balance | $ 0 | $ 17,308 |
Reserves For Losses And Loss _3
Reserves For Losses And Loss Expenses (Loss and Loss Expenses Incurred, Net of Reinsurance, and Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance) (Details) $ in Thousands | Dec. 31, 2019USD ($)claim | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Dec. 31, 2011USD ($) | Dec. 31, 2010USD ($) |
Claims Development [Line Items] | ||||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | $ 11,227,535 | |||||||||
Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 9,080,745 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 5,188,434 | |||||||||
Reserves for loss and loss adjustment expenses before 2010, net of reinsurance | 106,200 | |||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | 3,998,511 | |||||||||
Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 6,034,851 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 4,357,720 | |||||||||
Reserves for loss and loss adjustment expenses before 2010, net of reinsurance | 193,837 | |||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | 1,870,968 | |||||||||
Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 2,843,002 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 1,823,850 | |||||||||
Reserves for loss and loss adjustment expenses before 2010, net of reinsurance | 15,104 | |||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | 1,034,256 | |||||||||
Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 4,070,528 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 3,376,880 | |||||||||
Reserves for loss and loss adjustment expenses before 2010, net of reinsurance | 4,313 | |||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | 697,961 | |||||||||
Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 6,218,646 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 5,709,499 | |||||||||
Reserves for loss and loss adjustment expenses before 2010, net of reinsurance | 1,019 | |||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | 510,166 | |||||||||
Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 2,759,034 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 1,586,176 | |||||||||
Reserves for loss and loss adjustment expenses before 2010, net of reinsurance | 383,199 | |||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | 1,556,057 | |||||||||
Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 640,355 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 125,236 | |||||||||
Reserves for loss and loss adjustment expenses before 2010, net of reinsurance | 765,323 | |||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | 1,280,442 | |||||||||
Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 1,153,343 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 967,462 | |||||||||
Reserves for loss and loss adjustment expenses before 2010, net of reinsurance | 798 | |||||||||
Reserves for loss and loss adjustment expenses, net of reinsurance | 186,679 | |||||||||
Accident Year 2010 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 561,579 | $ 564,873 | $ 569,440 | $ 571,637 | $ 572,785 | $ 575,528 | $ 588,602 | $ 589,921 | $ 616,023 | $ 612,467 |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 531,085 | 522,939 | 506,283 | 489,077 | 459,478 | 414,945 | 334,054 | 246,647 | 128,948 | 45,194 |
IBNR | $ 19,742 | |||||||||
Cumulative Number of Reported Claims | claim | 22,000 | |||||||||
Accident Year 2010 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 424,195 | 424,374 | 427,698 | 429,762 | 429,952 | 426,622 | 420,604 | 411,527 | 355,305 | 352,138 |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 392,672 | 388,405 | 382,665 | 374,013 | 362,078 | 344,631 | 320,154 | 281,280 | 215,882 | 108,675 |
IBNR | $ 13,552 | |||||||||
Cumulative Number of Reported Claims | claim | 45,000 | |||||||||
Accident Year 2010 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 182,860 | 182,717 | 177,757 | 174,796 | 172,493 | 176,653 | 177,951 | 179,344 | 165,689 | 147,632 |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 179,865 | 178,756 | 171,206 | 164,894 | 160,466 | 144,336 | 129,619 | 108,438 | 58,851 | 14,806 |
IBNR | $ 62 | |||||||||
Cumulative Number of Reported Claims | claim | 4,000 | |||||||||
Accident Year 2010 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 329,768 | 329,976 | 330,297 | 330,586 | 331,615 | 332,748 | 328,901 | 330,224 | 320,098 | 310,591 |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 328,006 | 327,863 | 327,240 | 326,804 | 324,997 | 313,262 | 295,355 | 263,639 | 208,790 | 136,029 |
IBNR | $ 144 | |||||||||
Cumulative Number of Reported Claims | claim | 37,000 | |||||||||
Accident Year 2010 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 345,546 | 345,777 | 346,074 | 346,493 | 346,380 | 345,937 | 355,602 | 358,254 | 370,080 | 385,319 |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 344,989 | 344,908 | 344,887 | 343,899 | 342,773 | 340,066 | 346,622 | 337,688 | 325,163 | 245,037 |
IBNR | $ 233 | |||||||||
Cumulative Number of Reported Claims | claim | 19,000 | |||||||||
Accident Year 2010 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 249,472 | 249,599 | 250,596 | 252,900 | 256,271 | 265,455 | 276,049 | 288,146 | 298,265 | 290,438 |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 198,822 | 191,532 | 181,857 | 166,361 | 150,665 | 128,476 | 105,912 | 76,845 | 45,338 | 17,814 |
IBNR | 14,322 | |||||||||
Accident Year 2010 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 99,944 | 95,374 | 94,986 | 100,065 | 104,732 | 102,424 | 118,712 | 120,272 | 123,497 | 135,639 |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 28,431 | 22,355 | 18,821 | 14,261 | 11,699 | 11,260 | 8,701 | 5,571 | 4,003 | 2,867 |
IBNR | 15,731 | |||||||||
Accident Year 2010 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 50,362 | 50,630 | 50,398 | 50,571 | 50,694 | 51,230 | 51,186 | 52,306 | 55,399 | 58,367 |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 49,690 | 49,749 | 49,001 | 48,745 | 46,141 | 44,550 | 43,634 | 42,153 | 37,483 | $ 23,424 |
IBNR | 208 | |||||||||
Accident Year 2011 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 642,774 | 632,382 | 643,195 | 647,091 | 651,973 | 656,976 | 657,679 | 671,537 | 665,420 | |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 591,990 | 573,236 | 554,152 | 522,369 | 469,004 | 377,769 | 265,071 | 141,192 | 48,830 | |
IBNR | $ 22,746 | |||||||||
Cumulative Number of Reported Claims | claim | 23,000 | |||||||||
Accident Year 2011 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 473,766 | 471,471 | 475,729 | 474,076 | 472,087 | 470,026 | 457,134 | 444,887 | 413,429 | |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 436,905 | 428,811 | 420,945 | 408,304 | 385,759 | 355,909 | 309,509 | 236,207 | 106,899 | |
IBNR | $ 17,276 | |||||||||
Cumulative Number of Reported Claims | claim | 46,000 | |||||||||
Accident Year 2011 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 176,230 | 175,689 | 176,606 | 173,309 | 176,936 | 189,988 | 187,074 | 165,291 | 179,818 | |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 170,205 | 168,526 | 166,949 | 158,678 | 150,487 | 134,253 | 102,898 | 62,305 | 18,726 | |
IBNR | $ 2,187 | |||||||||
Cumulative Number of Reported Claims | claim | 4,000 | |||||||||
Accident Year 2011 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 343,433 | 343,566 | 342,094 | 341,200 | 341,394 | 331,732 | 328,320 | 320,920 | 312,224 | |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 340,799 | 340,360 | 338,325 | 333,987 | 321,814 | 296,370 | 262,685 | 211,756 | 135,350 | |
IBNR | $ 964 | |||||||||
Cumulative Number of Reported Claims | claim | 37,000 | |||||||||
Accident Year 2011 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 451,064 | 451,410 | 449,529 | 450,325 | 457,182 | 460,030 | 463,253 | 471,678 | 478,520 | |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 450,439 | 450,352 | 447,538 | 446,944 | 445,234 | 440,937 | 436,718 | 417,730 | 303,016 | |
IBNR | $ 649 | |||||||||
Cumulative Number of Reported Claims | claim | 21,000 | |||||||||
Accident Year 2011 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 299,130 | 292,762 | 296,280 | 304,780 | 307,969 | 299,244 | 304,352 | 309,836 | 290,770 | |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 232,452 | 220,566 | 208,347 | 192,724 | 169,219 | 133,808 | 97,476 | 52,231 | 17,812 | |
IBNR | 16,563 | |||||||||
Accident Year 2011 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 72,091 | 74,109 | 78,246 | 83,850 | 85,299 | 89,031 | 98,051 | 93,993 | 88,650 | |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 23,686 | 21,463 | 20,164 | 18,638 | 15,684 | 14,042 | 6,395 | 4,848 | 2,593 | |
IBNR | 14,075 | |||||||||
Accident Year 2011 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 84,432 | 84,651 | 84,246 | 84,522 | 84,791 | 86,326 | 84,914 | 87,837 | 95,201 | |
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 83,250 | 83,169 | 82,094 | 81,560 | 78,357 | 75,778 | 73,142 | 58,702 | $ 31,402 | |
IBNR | 490 | |||||||||
Accident Year 2012 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 714,020 | 715,996 | 721,460 | 711,287 | 707,326 | 701,144 | 700,539 | 691,803 | ||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 651,000 | 620,507 | 578,617 | 511,601 | 415,890 | 298,095 | 157,316 | 57,568 | ||
IBNR | $ 32,727 | |||||||||
Cumulative Number of Reported Claims | claim | 23,000 | |||||||||
Accident Year 2012 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 506,730 | 508,169 | 512,707 | 509,167 | 503,863 | 503,956 | 501,810 | 501,681 | ||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 459,119 | 451,991 | 437,196 | 419,588 | 387,368 | 339,560 | 255,063 | 115,536 | ||
IBNR | $ 24,736 | |||||||||
Cumulative Number of Reported Claims | claim | 48,000 | |||||||||
Accident Year 2012 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 245,338 | 244,730 | 245,945 | 239,458 | 251,230 | 265,690 | 242,541 | 238,978 | ||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 232,160 | 223,988 | 214,821 | 190,584 | 159,285 | 128,245 | 86,734 | 21,697 | ||
IBNR | $ 7,091 | |||||||||
Cumulative Number of Reported Claims | claim | 5,000 | |||||||||
Accident Year 2012 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 365,806 | 366,541 | 364,328 | 364,084 | 355,609 | 342,588 | 326,831 | 314,309 | ||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 361,755 | 360,681 | 355,631 | 344,326 | 312,342 | 273,446 | 215,214 | 136,844 | ||
IBNR | $ 807 | |||||||||
Cumulative Number of Reported Claims | claim | 37,000 | |||||||||
Accident Year 2012 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 507,416 | 508,354 | 506,464 | 507,509 | 533,491 | 538,141 | 537,716 | 529,564 | ||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 504,342 | 503,614 | 499,355 | 498,207 | 515,520 | 504,954 | 454,731 | 281,830 | ||
IBNR | $ 2,229 | |||||||||
Cumulative Number of Reported Claims | claim | 28,000 | |||||||||
Accident Year 2012 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 331,270 | 334,588 | 336,492 | 333,982 | 325,224 | 330,882 | 335,867 | 331,991 | ||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 257,010 | 241,318 | 219,637 | 187,196 | 152,590 | 111,538 | 62,037 | 22,329 | ||
IBNR | 17,481 | |||||||||
Accident Year 2012 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 67,205 | 69,361 | 67,878 | 72,441 | 73,653 | 73,670 | 73,230 | 72,366 | ||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 20,004 | 17,982 | 15,738 | 13,234 | 11,167 | 10,815 | 6,097 | 1,127 | ||
IBNR | 11,249 | |||||||||
Accident Year 2012 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 84,555 | 84,746 | 83,822 | 83,814 | 85,334 | 86,330 | 94,661 | 103,833 | ||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 82,541 | 81,673 | 78,971 | 77,412 | 70,524 | 64,098 | 51,641 | $ 15,663 | ||
IBNR | 1,032 | |||||||||
Accident Year 2013 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 803,856 | 809,250 | 802,908 | 782,039 | 782,260 | 790,314 | 750,054 | |||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 693,306 | 647,891 | 587,102 | 471,648 | 330,928 | 188,240 | 63,293 | |||
IBNR | $ 49,079 | |||||||||
Cumulative Number of Reported Claims | claim | 25,000 | |||||||||
Accident Year 2013 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 541,926 | 542,274 | 547,000 | 543,238 | 546,995 | 547,295 | 552,570 | |||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 479,104 | 466,580 | 447,894 | 414,160 | 363,028 | 277,538 | 117,900 | |||
IBNR | $ 29,205 | |||||||||
Cumulative Number of Reported Claims | claim | 53,000 | |||||||||
Accident Year 2013 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 285,262 | 280,018 | 271,469 | 249,797 | 243,887 | 248,080 | 269,993 | |||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 258,394 | 249,005 | 207,020 | 177,525 | 119,567 | 63,951 | 23,939 | |||
IBNR | $ 14,062 | |||||||||
Cumulative Number of Reported Claims | claim | 6,000 | |||||||||
Accident Year 2013 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 365,953 | 366,822 | 367,264 | 376,860 | 368,894 | 349,136 | 327,514 | |||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 362,152 | 353,424 | 343,556 | 322,441 | 267,253 | 218,596 | 142,929 | |||
IBNR | $ 1,592 | |||||||||
Cumulative Number of Reported Claims | claim | 39,000 | |||||||||
Accident Year 2013 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 546,766 | 548,673 | 552,192 | 553,680 | 577,353 | 586,382 | 576,784 | |||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 540,158 | 539,553 | 538,304 | 531,474 | 536,630 | 488,140 | 314,122 | |||
IBNR | $ 3,405 | |||||||||
Cumulative Number of Reported Claims | claim | 30,000 | |||||||||
Accident Year 2013 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 303,568 | 299,224 | 293,686 | 285,032 | 275,539 | 270,382 | 319,491 | |||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 226,083 | 205,716 | 178,174 | 144,405 | 110,306 | 63,718 | 28,910 | |||
IBNR | 25,073 | |||||||||
Accident Year 2013 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 31,752 | 35,120 | 38,551 | 42,419 | 46,025 | 50,355 | 63,995 | |||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 5,349 | 4,418 | 3,396 | 3,008 | 2,158 | 1,897 | 647 | |||
IBNR | 12,626 | |||||||||
Accident Year 2013 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 109,699 | 111,895 | 112,579 | 111,945 | 114,123 | 112,684 | 141,563 | |||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 107,606 | 106,045 | 104,326 | 101,539 | 92,619 | 74,573 | $ 36,578 | |||
IBNR | 643 | |||||||||
Accident Year 2014 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 870,017 | 863,899 | 851,044 | 846,644 | 848,641 | 847,034 | ||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 680,436 | 594,488 | 480,418 | 338,365 | 190,876 | 78,921 | ||||
IBNR | $ 83,500 | |||||||||
Cumulative Number of Reported Claims | claim | 26,000 | |||||||||
Accident Year 2014 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 604,029 | 615,435 | 617,242 | 627,767 | 637,307 | 639,436 | ||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 521,141 | 503,915 | 471,235 | 412,611 | 319,743 | 148,405 | ||||
IBNR | $ 44,633 | |||||||||
Cumulative Number of Reported Claims | claim | 57,000 | |||||||||
Accident Year 2014 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 258,781 | 239,982 | 244,454 | 260,498 | 247,373 | 253,992 | ||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 216,228 | 199,337 | 176,134 | 138,678 | 83,694 | 19,446 | ||||
IBNR | $ 26,194 | |||||||||
Cumulative Number of Reported Claims | claim | 6,000 | |||||||||
Accident Year 2014 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 413,424 | 413,589 | 416,123 | 418,161 | 385,251 | 363,913 | ||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 402,013 | 394,063 | 365,376 | 328,125 | 237,665 | 155,572 | ||||
IBNR | $ 4,385 | |||||||||
Cumulative Number of Reported Claims | claim | 42,000 | |||||||||
Accident Year 2014 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 664,416 | 664,169 | 663,342 | 664,718 | 712,320 | 707,121 | ||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 655,332 | 648,072 | 632,796 | 613,530 | 599,119 | 372,670 | ||||
IBNR | $ 4,366 | |||||||||
Cumulative Number of Reported Claims | claim | 34,000 | |||||||||
Accident Year 2014 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 324,941 | 325,497 | 331,339 | 319,573 | 320,226 | 320,579 | ||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 227,684 | 198,196 | 155,207 | 115,873 | 68,992 | 21,280 | ||||
IBNR | 34,043 | |||||||||
Accident Year 2014 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 42,541 | 41,671 | 45,758 | 49,478 | 57,558 | 63,561 | ||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 7,595 | 5,808 | 4,175 | 3,354 | 1,729 | 377 | ||||
IBNR | 15,347 | |||||||||
Accident Year 2014 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 98,912 | 99,250 | 100,011 | 97,279 | 96,636 | 113,126 | ||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 93,160 | 91,452 | 88,317 | 82,172 | 66,869 | $ 38,803 | ||||
IBNR | 1,685 | |||||||||
Accident Year 2015 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 966,662 | 964,598 | 961,441 | 986,655 | 951,028 | |||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 676,037 | 538,071 | 382,185 | 210,773 | 82,712 | |||||
IBNR | $ 134,615 | |||||||||
Cumulative Number of Reported Claims | claim | 25,000 | |||||||||
Accident Year 2015 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 626,431 | 641,169 | 650,997 | 690,525 | 712,800 | |||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 512,933 | 477,541 | 421,734 | 323,744 | 139,320 | |||||
IBNR | $ 60,862 | |||||||||
Cumulative Number of Reported Claims | claim | 58,000 | |||||||||
Accident Year 2015 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 292,401 | 276,842 | 275,608 | 258,780 | 260,216 | |||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 216,575 | 187,664 | 139,835 | 85,470 | 20,415 | |||||
IBNR | $ 37,634 | |||||||||
Cumulative Number of Reported Claims | claim | 7,000 | |||||||||
Accident Year 2015 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 432,415 | 431,376 | 423,180 | 417,053 | 389,660 | |||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 397,666 | 370,037 | 324,976 | 265,083 | 160,024 | |||||
IBNR | $ 7,808 | |||||||||
Cumulative Number of Reported Claims | claim | 46,000 | |||||||||
Accident Year 2015 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 718,506 | 726,748 | 728,186 | 731,950 | 743,454 | |||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 699,770 | 690,037 | 668,012 | 612,369 | 395,440 | |||||
IBNR | $ 10,676 | |||||||||
Cumulative Number of Reported Claims | claim | 37,000 | |||||||||
Accident Year 2015 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 293,718 | 252,959 | 230,856 | 232,272 | 259,922 | |||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 178,657 | 141,348 | 91,198 | 48,445 | 17,866 | |||||
IBNR | 43,622 | |||||||||
Accident Year 2015 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 39,682 | 45,115 | 50,099 | 57,897 | 69,977 | |||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 4,416 | 4,099 | 3,272 | 2,481 | 2,069 | |||||
IBNR | 19,040 | |||||||||
Accident Year 2015 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 129,492 | 130,391 | 131,755 | 117,563 | 127,259 | |||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 122,621 | 118,603 | 109,090 | 89,153 | $ 53,477 | |||||
IBNR | 2,478 | |||||||||
Accident Year 2016 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 1,031,150 | 1,019,893 | 1,010,984 | 1,018,009 | ||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 558,539 | 390,231 | 208,991 | 69,477 | ||||||
IBNR | $ 245,835 | |||||||||
Cumulative Number of Reported Claims | claim | 25,000 | |||||||||
Accident Year 2016 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 660,508 | 684,700 | 696,339 | 702,716 | ||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 504,850 | 446,072 | 338,835 | 142,998 | ||||||
IBNR | $ 71,710 | |||||||||
Cumulative Number of Reported Claims | claim | 57,000 | |||||||||
Accident Year 2016 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 402,929 | 361,996 | 325,241 | 311,099 | ||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 255,841 | 201,854 | 102,661 | 28,631 | ||||||
IBNR | $ 56,934 | |||||||||
Cumulative Number of Reported Claims | claim | 8,000 | |||||||||
Accident Year 2016 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 443,268 | 442,210 | 430,911 | 431,261 | ||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 390,359 | 341,423 | 279,381 | 184,516 | ||||||
IBNR | $ 18,162 | |||||||||
Cumulative Number of Reported Claims | claim | 45,000 | |||||||||
Accident Year 2016 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 758,881 | 764,278 | 777,270 | 773,945 | ||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 728,122 | 712,815 | 671,219 | 417,424 | ||||||
IBNR | $ 12,383 | |||||||||
Cumulative Number of Reported Claims | claim | 40,000 | |||||||||
Accident Year 2016 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 268,508 | 246,019 | 253,501 | 241,533 | ||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 140,411 | 100,262 | 61,787 | 19,895 | ||||||
IBNR | 51,973 | |||||||||
Accident Year 2016 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 64,957 | 71,404 | 70,281 | 72,657 | ||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 5,928 | 5,573 | 4,783 | 2,498 | ||||||
IBNR | 23,676 | |||||||||
Accident Year 2016 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 181,002 | 181,757 | 174,570 | 168,129 | ||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 168,605 | 157,491 | 133,576 | $ 78,936 | ||||||
IBNR | 4,891 | |||||||||
Accident Year 2017 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 1,122,209 | 1,100,127 | 1,066,362 | |||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 453,389 | 255,849 | 80,037 | |||||||
IBNR | $ 377,307 | |||||||||
Cumulative Number of Reported Claims | claim | 25,000 | |||||||||
Accident Year 2017 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 689,559 | 733,505 | 762,093 | |||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 468,817 | 362,299 | 153,456 | |||||||
IBNR | $ 107,981 | |||||||||
Cumulative Number of Reported Claims | claim | 57,000 | |||||||||
Accident Year 2017 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 339,021 | 332,864 | 333,758 | |||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 163,003 | 96,456 | 36,579 | |||||||
IBNR | $ 112,457 | |||||||||
Cumulative Number of Reported Claims | claim | 9,000 | |||||||||
Accident Year 2017 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 430,499 | 428,708 | 430,768 | |||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 327,135 | 267,587 | 180,755 | |||||||
IBNR | $ 31,607 | |||||||||
Cumulative Number of Reported Claims | claim | 41,000 | |||||||||
Accident Year 2017 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 748,451 | 753,803 | 753,512 | |||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 718,949 | 690,029 | 445,560 | |||||||
IBNR | $ 18,189 | |||||||||
Cumulative Number of Reported Claims | claim | 46,000 | |||||||||
Accident Year 2017 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 239,788 | 221,769 | 232,010 | |||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 69,465 | 40,138 | 16,473 | |||||||
IBNR | 85,671 | |||||||||
Accident Year 2017 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 70,749 | 80,508 | 76,701 | |||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 15,356 | 12,810 | 6,282 | |||||||
IBNR | 29,999 | |||||||||
Accident Year 2017 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 199,497 | 200,510 | 206,672 | |||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 171,745 | 141,389 | $ 72,132 | |||||||
IBNR | 11,224 | |||||||||
Accident Year 2018 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 1,131,202 | 1,104,631 | ||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 264,392 | 86,858 | ||||||||
IBNR | $ 606,500 | |||||||||
Cumulative Number of Reported Claims | claim | 23,000 | |||||||||
Accident Year 2018 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 724,463 | 778,964 | ||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 397,464 | 171,006 | ||||||||
IBNR | $ 153,587 | |||||||||
Cumulative Number of Reported Claims | claim | 55,000 | |||||||||
Accident Year 2018 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 322,952 | 335,728 | ||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 99,789 | 28,231 | ||||||||
IBNR | $ 168,475 | |||||||||
Cumulative Number of Reported Claims | claim | 9,000 | |||||||||
Accident Year 2018 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 462,756 | 442,788 | ||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 281,651 | 180,162 | ||||||||
IBNR | $ 67,700 | |||||||||
Cumulative Number of Reported Claims | claim | 40,000 | |||||||||
Accident Year 2018 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 750,780 | 760,474 | ||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 662,185 | 415,206 | ||||||||
IBNR | $ 33,738 | |||||||||
Cumulative Number of Reported Claims | claim | 52,000 | |||||||||
Accident Year 2018 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 211,227 | 222,100 | ||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 41,018 | 11,092 | ||||||||
IBNR | 109,087 | |||||||||
Accident Year 2018 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 72,505 | 77,820 | ||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 8,230 | 6,141 | ||||||||
IBNR | 36,930 | |||||||||
Accident Year 2018 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 112,152 | 108,342 | ||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 65,193 | $ 34,004 | ||||||||
IBNR | 19,159 | |||||||||
Accident Year 2019 | Other liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 1,237,276 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 88,260 | |||||||||
IBNR | $ 937,110 | |||||||||
Cumulative Number of Reported Claims | claim | 20,000 | |||||||||
Accident Year 2019 | Workers' compensation | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 783,244 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 184,715 | |||||||||
IBNR | $ 372,381 | |||||||||
Cumulative Number of Reported Claims | claim | 50,000 | |||||||||
Accident Year 2019 | Professional liability | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 337,228 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 31,790 | |||||||||
IBNR | $ 259,157 | |||||||||
Cumulative Number of Reported Claims | claim | 9,000 | |||||||||
Accident Year 2019 | Commercial automobile | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 483,206 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 185,344 | |||||||||
IBNR | $ 162,432 | |||||||||
Cumulative Number of Reported Claims | claim | 37,000 | |||||||||
Accident Year 2019 | Short-tail lines | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 726,820 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 405,213 | |||||||||
IBNR | $ 168,528 | |||||||||
Cumulative Number of Reported Claims | claim | 42,000 | |||||||||
Accident Year 2019 | Casualty | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | $ 237,412 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 14,574 | |||||||||
IBNR | 196,623 | |||||||||
Accident Year 2019 | Monoline excess | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 78,929 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 6,241 | |||||||||
IBNR | 48,526 | |||||||||
Accident Year 2019 | Property | ||||||||||
Claims Development [Line Items] | ||||||||||
Loss and loss expenses incurred, net of reinsurance | 103,240 | |||||||||
Cumulative paid claims and claim adjustment expenses, net of reinsurance | 23,051 | |||||||||
IBNR | $ 52,334 |
Reserves For Losses And Loss _4
Reserves For Losses And Loss Expenses (Reconciliation of Net Incurred and Paid Claims Development to Reserves for Loss and Loss Adjustment Expenses) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | $ 11,227,535 | ||
Total due from reinsurers on unpaid claims | 1,885,251 | ||
Total loss reserve discount | (529,537) | ||
Total gross reserves for loss and loss expenses | 12,583,249 | $ 11,966,448 | $ 11,670,408 |
Other liability | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 3,998,511 | ||
Workers' compensation | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 1,870,968 | ||
Professional liability | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 1,034,256 | ||
Commercial automobile | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 697,961 | ||
Short-tail lines | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 510,166 | ||
Casualty | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 1,556,057 | ||
Monoline excess | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 1,280,442 | ||
Property | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 186,679 | ||
Insurance | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 8,204,357 | ||
Total due from reinsurers on unpaid claims | 1,643,569 | ||
Total loss reserve discount | (10,976) | ||
Insurance | Other liability | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 3,998,511 | ||
Total due from reinsurers on unpaid claims | 518,759 | ||
Total loss reserve discount | 0 | ||
Insurance | Workers' compensation | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 1,870,968 | ||
Total due from reinsurers on unpaid claims | 300,966 | ||
Total loss reserve discount | (10,976) | ||
Insurance | Professional liability | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 1,034,256 | ||
Total due from reinsurers on unpaid claims | 509,828 | ||
Total loss reserve discount | 0 | ||
Insurance | Commercial automobile | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 697,961 | ||
Total due from reinsurers on unpaid claims | 24,486 | ||
Total loss reserve discount | 0 | ||
Insurance | Short-tail lines | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 510,166 | ||
Total due from reinsurers on unpaid claims | 243,333 | ||
Total loss reserve discount | 0 | ||
Insurance | Other | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 92,495 | ||
Total due from reinsurers on unpaid claims | 46,197 | ||
Total loss reserve discount | 0 | ||
Reinsurance & Monoline Excess | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 3,023,178 | ||
Total due from reinsurers on unpaid claims | 241,682 | ||
Total loss reserve discount | (518,561) | ||
Reinsurance & Monoline Excess | Casualty | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 1,556,057 | ||
Total due from reinsurers on unpaid claims | 113,332 | ||
Total loss reserve discount | (107,929) | ||
Reinsurance & Monoline Excess | Monoline excess | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 1,280,442 | ||
Total due from reinsurers on unpaid claims | 38,384 | ||
Total loss reserve discount | 410,632 | ||
Reinsurance & Monoline Excess | Property | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Total undiscounted reserves for loss and loss expenses, net of reinsurance | 186,679 | ||
Total due from reinsurers on unpaid claims | 89,966 | ||
Total loss reserve discount | $ 0 |
Reserves For Losses And Loss _5
Reserves For Losses And Loss Expenses (Supplementary Information Regarding Average Historical Claims Duration) (Details) | Dec. 31, 2019 |
Insurance | Other liability | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 7.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 14.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 18.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 16.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 14.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 8.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 5.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 3.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 2.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 1.50% |
Insurance | Workers' compensation | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 23.10% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 28.70% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 15.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 9.30% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 6.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 3.70% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 2.70% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 1.70% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 1.50% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 1.00% |
Insurance | Professional liability | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 8.70% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 21.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 21.30% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 15.20% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 9.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 8.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 3.50% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 2.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 3.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 0.60% |
Insurance | Commercial automobile | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 39.30% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 21.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 15.50% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 10.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 6.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 3.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 1.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 0.30% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 0.20% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 0.00% |
Insurance | Short-tail lines | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 58.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 30.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 5.70% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 1.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 0.10% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 0.50% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 0.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 0.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 0.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 0.00% |
Reinsurance & Monoline Excess | Casualty | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 6.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 12.30% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 14.20% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 13.10% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 11.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 8.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 6.20% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 5.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 3.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 2.90% |
Reinsurance & Monoline Excess | Monoline excess | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 4.50% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 3.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 2.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 3.10% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 2.30% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 3.10% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 2.70% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 3.10% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 3.30% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 6.10% |
Reinsurance & Monoline Excess | Property | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 34.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 31.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 14.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 5.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 3.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 2.40% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 2.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 0.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 0.80% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 0.00% |
Reserves For Losses And Loss _6
Reserves For Losses And Loss Expenses (Schedule of Liability for Unpaid Claims and Claims Adjustment Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | |||
Net reserves at beginning of year | $ 10,248,883 | $ 10,056,914 | $ 9,590,265 |
Net provision for losses and loss expenses: | |||
Claims occuring during the current year | 4,057,989 | 3,926,489 | 3,963,543 |
Increase (decrease) in estimates for claims occurring in prior years (2) | 34,079 | 6,831 | (5,165) |
Loss reserve discount accretion | 39,048 | 41,382 | 43,970 |
Total | 4,131,116 | 3,974,702 | 4,002,348 |
Net payments for claims: | |||
Current year | 985,599 | 964,808 | 1,027,405 |
Prior year | 2,673,803 | 2,700,077 | 2,562,550 |
Total | 3,659,402 | 3,664,885 | 3,589,955 |
Foreign currency translation | (22,599) | (117,848) | 54,256 |
Net reserves at end of year | 10,697,998 | 10,248,883 | 10,056,914 |
Ceded reserve at end of year | 1,885,251 | 1,717,565 | 1,613,494 |
Gross reserves at end of year | 12,583,249 | 11,966,448 | 11,670,408 |
(Increase) decrease in estimates for claims occurring in prior years (2) | (34,079) | (6,831) | 5,165 |
Retrospective premium adjustments for claims occurring in prior years (3) | 53,511 | 45,638 | 32,162 |
Net favorable premium and reserve development on prior years | 19,432 | 38,807 | 37,327 |
Workers' compensation discount, amount | 20,000 | 24,000 | 22,000 |
Increase (decrease) in estimates for claims occurring in prior years, undiscounted basis | $ 19,000 | $ (4,000) | $ (32,000) |
Reserves For Losses And Loss _7
Reserves For Losses And Loss Expenses (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reserves For Losses And Loss Expenses [Line Items] | |||
Favorable reserve development net of premium offsets | $ 19,432 | $ 38,807 | $ 37,327 |
Reserve for losses and loss adjustment expenses relating to asbestos and environmental claims, net | 24,000 | 28,000 | |
Workers' compensation discount, amount | 20,000 | 24,000 | 22,000 |
Workers' Compensation Discount, Prior Year Amount | 1,793,000 | ||
Prior year | 2,673,803 | 2,700,077 | 2,562,550 |
Workers' compensation discount after effects of ceded reinsurance, amount | $ 530,000 | 563,000 | |
Minimum | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Workers' compensation discount, percent | 2.00% | ||
Maximum | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Workers' compensation discount, percent | 6.50% | ||
Weighted Average | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Workers' compensation discount, percent | 3.70% | ||
Discounted [Member] | Weighted Average | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Workers' compensation discount, percent | 3.00% | ||
Insurance | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Favorable reserve development net of premium offsets | $ 21,000 | 19,000 | 30,000 |
Reinsurance & Monoline Excess | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Favorable reserve development net of premium offsets | $ 20,000 | $ 7,000 | |
Unfavorable Reserve Development Net Of Premium Offsets | 2,000 | ||
Reinsurance & Monoline Excess | Minimum | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Reinsurance Reserves, Ogden Discount Rate | 2.50% | ||
Reinsurance & Monoline Excess | Maximum | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Reinsurance Reserves, Ogden Discount Rate | 0.75% | ||
Workers' compensation | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Workers' compensation discount, amount | $ 1,731,000 | ||
Excess workers' compensation | |||
Reserves For Losses And Loss Expenses [Line Items] | |||
Workers' compensation discount, percent | 97.00% |
Reinsurance (Reinsurance Financ
Reinsurance (Reinsurance Financial Information) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reinsurance Disclosures [Abstract] | |||
Written premiums, Direct | $ 7,386,759,000 | $ 6,973,216,000 | $ 6,726,029,000 |
Written premiums, Assumed | 875,459,000 | 729,278,000 | 750,934,000 |
Written premiums, Ceded | (1,398,719,000) | (1,269,267,000) | (1,216,455,000) |
Total net premiums written | 6,863,499,000 | 6,433,227,000 | 6,260,508,000 |
Earned premiums, Direct | 7,141,427,000 | 6,851,795,000 | 6,661,046,000 |
Earned premiums, Assumed | 820,705,000 | 755,759,000 | 812,309,000 |
Earned premiums, Ceded | (1,328,844,000) | (1,236,049,000) | (1,161,936,000) |
Net premiums earned | 6,633,288,000 | 6,371,505,000 | 6,311,419,000 |
Ceded losses and loss expenses incurred | 836,831,000 | 829,742,000 | 601,769,000 |
Ceded commission earned | 314,191,000 | 268,037,000 | 241,983,000 |
Uncollectible reinsurance | $ 690,127 | $ 946,965 | $ 1,010,000 |
Reinsurance (Schedule Of Ceded
Reinsurance (Schedule Of Ceded Credit Risk by Reinsurer) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | $ 2,133,683 | $ 1,932,291 |
Credit Risk Reinsurers, Subtotal, Excluding Residual Market Pools [Member] | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 1,814,515 | |
Munich Re | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 243,021 | |
Lloyds of London | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 201,092 | |
Swiss Re | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 179,274 | |
Alleghany Group | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 169,185 | |
Partner Re | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 127,638 | |
Hannover Re Group | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 95,486 | |
Axis Capital | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 93,547 | |
Berkshire Hathaway | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 82,882 | |
Renaissance Re | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 79,954 | |
Korean Re | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 64,464 | |
Everest Re | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 55,431 | |
Liberty Mutual | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 49,346 | |
Arch Capital Group | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 27,116 | |
Qatar Re GRP | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 22,477 | |
Chubb Limited | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 15,199 | |
Other Reinsurers Less than $20,000 | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | 308,404 | |
Residual Market Pools | ||
Ceded Credit Risk [Line Items] | ||
Ceded reserve at end of year | $ 319,168 |
Indebtedness (Details)
Indebtedness (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Subsidiary Debt | ||
Debt Instrument [Line Items] | ||
Face Value | $ 108,804,000 | |
Carrying Value | 108,805,000 | $ 123,992,000 |
Repayments in 2019 | 6,000,000 | |
Repayments in 2020 | 1,000,000 | |
Repayments thereafter | 102,000,000 | |
Total senior notes and other debt | ||
Debt Instrument [Line Items] | ||
Face Value | 1,435,307,000 | |
Carrying Value | $ 1,427,575,000 | 1,882,028,000 |
Senior Notes | Senior Notes due August 15, 2019 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.15% | |
Face Value | $ 0 | |
Carrying Value | $ 0 | 140,568,000 |
Senior Notes | Senior Notes due September 15, 2019 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 7.375% | |
Face Value | $ 0 | |
Carrying Value | $ 0 | 299,816,000 |
Senior Notes | Senior Notes due September 15, 2020 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.375% | |
Face Value | $ 300,000,000 | |
Carrying Value | $ 299,756,000 | 299,420,000 |
Senior Notes | Senior Notes due January 1, 2022 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 8.70% | |
Face Value | $ 76,503,000 | |
Carrying Value | $ 76,343,000 | 76,273,000 |
Senior Notes | Senior Notes due March 15, 2022 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.625% | |
Face Value | $ 350,000,000 | |
Carrying Value | $ 349,088,000 | 348,670,000 |
Senior Notes | Senior Notes due February 15, 2037 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.25% | |
Face Value | $ 250,000,000 | |
Carrying Value | $ 248,116,000 | 248,006,000 |
Senior Notes | Senior Notes due August 1, 2044 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.75% | |
Face Value | $ 350,000,000 | |
Carrying Value | 345,467,000 | 345,283,000 |
Total subordinated debentures | ||
Debt Instrument [Line Items] | ||
Face Value | 1,235,000,000 | |
Carrying Value | $ 1,198,704,000 | 907,491,000 |
Total subordinated debentures | Subordinated Debt due April 30,2053 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.625% | |
Face Value | $ 350,000,000 | |
Carrying Value | $ 341,356,000 | 341,097,000 |
Total subordinated debentures | Subordinated Debt due March 1, 2056 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.90% | |
Face Value | $ 110,000,000 | |
Carrying Value | $ 106,262,000 | 106,159,000 |
Total subordinated debentures | Subordinated Debt due June1, 2056 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.75% | |
Face Value | $ 290,000,000 | |
Carrying Value | $ 281,777,000 | 281,551,000 |
Total subordinated debentures | Subordinated Debt due March 30, 2058 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.70% | |
Face Value | $ 185,000,000 | |
Carrying Value | $ 178,845,000 | 178,684,000 |
Total subordinated debentures | Subordinated Debt due December 30, 2059 | ||
Debt Instrument [Line Items] | ||
Interest Rate | 5.10% | |
Face Value | $ 300,000,000 | |
Carrying Value | $ 290,464,000 | $ 0 |
Non-recourse loan | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.21% | |
Face Value | $ 101,750,000 |
Income Taxes (Schedule of Compo
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Current Expense, Domestic | $ 124,231 | $ 188,712 | $ 225,694 |
Deferred Expense (Benefit), Domestic | 27,616 | (63,134) | (27,601) |
Domestic, Total | 151,847 | 125,578 | 198,093 |
Current Expense, Foreign | 9,030 | 13,963 | 8,803 |
Deferred Expense (Benefit), Foreign | 8,058 | 23,487 | 12,537 |
Foreign, Total | 17,088 | 37,450 | 21,340 |
Current Expense, Total | 133,261 | 202,675 | 234,497 |
Deferred Expense (Benefit), Total | 35,674 | (39,647) | (15,064) |
Total expense | 168,935 | 163,028 | 219,433 |
Income (Loss) from Continuing Operations before Income Taxes, Domestic | 739,000 | 755,000 | 797,000 |
Income (Loss) from Continuing Operations before Income Taxes, Foreign | $ 114,000 | $ 57,000 | $ (25,000) |
Income Taxes (Schedule of Effec
Income Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Expense (Benefit), Continuing Operations, Income Tax Reconciliation [Abstract] | |||
Computed “expected” tax expense | $ 179,113 | $ 170,540 | $ 270,470 |
Tax-exempt investment income | (14,666) | (18,833) | (37,209) |
Change in valuation allowance | (1,945) | 18,576 | 11,161 |
Impact of foreign tax rates | 7,700 | 7,683 | 3,508 |
State and local taxes | 4,842 | 3,901 | 1,644 |
Impact of change in U.S. tax rate | 0 | (10,950) | (30,531) |
Other, net | (6,109) | (7,889) | 390 |
Total expense | $ 168,935 | $ 163,028 | $ 219,433 |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2018 |
Deferred tax asset: | |||
Loss reserve discounting | $ 136,100 | $ 130,513 | $ 40,000 |
Unearned premiums | 120,246 | 112,190 | |
Net operating losses | 37,147 | 37,463 | |
Other-than-temporary impairments | 8,049 | 9,910 | |
Employee compensation plans | 60,552 | 56,027 | |
Other | 63,633 | 58,809 | |
Gross deferred tax asset | 425,727 | 404,912 | |
Less valuation allowance | (33,250) | (35,195) | |
Deferred tax asset | 392,477 | 369,717 | |
Deferred tax liability: | |||
Amortization of intangibles | 12,832 | 13,641 | |
Loss reserve discounting - transition rule | 29,697 | 41,088 | |
Deferred policy acquisition costs | 103,947 | 99,293 | |
Unrealized investment gains | 93,330 | 35,430 | |
Property, furniture and equipment | 47,082 | 39,239 | |
Investment funds | 73,083 | 51,712 | |
Other | 50,212 | 53,824 | |
Deferred tax liability | 410,183 | 334,227 | |
Net deferred tax liability (asset) | 17,706 | ||
Net deferred tax liability (asset) | (35,490) | ||
Operating Loss Carryforwards [Line Items] | |||
Current federal and foreign income taxes | 13,398 | 703 | |
Current federal income taxes | 700 | ||
Valuation allowance | 33,300 | $ 35,200 | |
Foreign Tax Authority | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards, subject to expire | 9,000 | ||
Operating loss carryforwards, not subject to expire | $ 169,000 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2018 |
Income Tax Disclosure [Abstract] | |||
Loss reserve discounting | $ 136,100 | $ 130,513 | $ 40,000 |
undistributed earnings of non-U.S. subsidiaries | $ 124,000 |
Dividends From Subsidiaries A_3
Dividends From Subsidiaries And Statutory Financial Information (Schedule of Combined Net Income and Policyholders' Surplus in Accordance with Statutory Accounting Practices) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Insurance [Abstract] | |||
Amount available for dividend distribution without prior approval from regulatory authorities | $ 601,000 | ||
Net income | 601,564 | $ 1,099,953 | $ 698,862 |
Policyholders' surplus | 6,013,062 | $ 5,587,930 | $ 5,479,603 |
Increase in BIC's statutory capital and surplus | $ 268,000 | ||
Total Adjusted Capital percentage threshold | 200.00% | ||
BIC's Total Adjusted Capital balance | $ 5,746,000 | ||
BIC's Total Adjusted Capital balance as percentage of RBC Authorized Control Level | 396.00% |
Common Stockholders' Equity (We
Common Stockholders' Equity (Weighted Average Number of Common Shares Used In the Computation of Basic and Diluted Earnings per Share) (Details) - shares | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Class of Stock [Line Items] | ||||
Basic | 190,722 | 190,048 | 187,265 | |
Diluted | 193,521 | 192,395 | 193,527 | |
Restricted Stock Units (RSUs) | Grantor Trust | ||||
Class of Stock [Line Items] | ||||
Basic | 7,575,168 |
Common Stockholders' Equity (Sc
Common Stockholders' Equity (Schedule of Changes in Shares of Common Stock Outstanding) (Details) - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Common Stock Shares Outstanding [Roll Forward] | |||
Balance, beginning of year | 182,993,640 | 182,272,278 | 181,790,399 |
Shares issued | 687,339 | 1,257,762 | 1,578,384 |
Shares repurchased | (269,072) | (536,400) | (1,096,505) |
Balance, end of year | 183,411,907 | 182,993,640 | 182,272,278 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments (Carrying Amounts and Estimated Fair Values of Financial Instruments) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets: | ||
Arbitrage trading account | $ 400,809 | $ 452,548 |
Loans receivable | 94,613 | 97,073 |
Liabilities: | ||
Due to broker | 27,116 | 20,144 |
Due to broker | 27,116 | 20,144 |
Carrying Value | ||
Assets: | ||
Fixed maturity securities | 14,180,961 | 13,606,812 |
Equity securities | 480,620 | 279,006 |
Arbitrage trading account | 400,809 | 452,548 |
Loans receivable | 91,799 | 94,813 |
Cash and cash equivalents | 1,023,710 | 817,602 |
Trading accounts receivable from brokers and clearing organizations | 423,543 | 347,228 |
Liabilities: | ||
Trading account securities sold but not yet purchased | 36,143 | 38,120 |
Senior notes and other debt | 1,427,575 | 1,882,028 |
Subordinated debentures | 1,198,704 | 907,491 |
Fair Value | ||
Assets: | ||
Fixed maturity securities | 14,194,955 | 13,619,620 |
Equity securities | 480,620 | 279,006 |
Arbitrage trading account | 400,809 | 452,548 |
Loans receivable | 94,613 | 97,073 |
Cash and cash equivalents | 1,023,710 | 817,602 |
Trading accounts receivable from brokers and clearing organizations | 423,543 | 347,228 |
Liabilities: | ||
Trading account securities sold but not yet purchased | 36,143 | 38,120 |
Senior notes and other debt | 1,582,290 | 1,968,996 |
Subordinated debentures | $ 1,274,088 | $ 840,002 |
Commitments, Litigation And C_2
Commitments, Litigation And Contingent Liabilities (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitment to Invest in Certain Investment Funds | $ 232 |
Commitment to Invest in Real Estate Construction Projects | $ 114 |
Leases (Lease Cost) (Details)
Leases (Lease Cost) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Lease cost | $ 44,107 |
Cash paid for amounts included in the measurement of lease liabilities reported in operating cash flows | 40,083 |
Right-of-use assets obtained in exchange for new lease liabilities | $ 32,881 |
Leases (Supplemental Balance Sh
Leases (Supplemental Balance Sheet Information) (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
Right-of-use assets | $ 193,311 |
Lease liabilities | $ 230,338 |
Weighted-average remaining lease term | 7 years 1 month 9 days |
Weighted-average discount rate | 5.97% |
Leases (Maturities of Operating
Leases (Maturities of Operating Lease Liabilities) (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 49,293 |
2021 | 47,107 |
2022 | 41,652 |
2023 | 37,510 |
2024 | 31,152 |
Thereafter | 78,820 |
Total undiscounted future minimum lease payments | 285,534 |
Less: Discount impact | (55,196) |
Total lease liability | $ 230,338 |
Stock Incentive Plan (Schedule
Stock Incentive Plan (Schedule of Share-based Compensation, Stock Options, Activity) (Details) | 12 Months Ended |
Dec. 31, 2019shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Deferred shares | 7,532,977 |
Restricted Stock Units (RSUs) | Minimum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Restricted Stock Units (RSUs) | Maximum | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 5 years |
Stock Incentive Plan (Schedul_2
Stock Incentive Plan (Schedule of Nonvested Restricted Stock Units Activity) (Details) - Restricted Stock Units (RSUs) - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
RSUs granted and unvested at beginning of period: | 5,062,661 | 5,216,972 | 7,293,147 |
Granted | 840,796 | 1,140,048 | 1,283,976 |
Vested | (1,447,522) | (900,254) | (2,990,261) |
Canceled | (331,675) | (394,105) | (369,890) |
RSUs granted and unvested at end of period: | 4,124,260 | 5,062,661 | 5,216,972 |
Stock Incentive Plan (Schedul_3
Stock Incentive Plan (Schedule of Share-based Compensation, Unearned Compensation Related to RSU's) (Details) - Restricted Stock Units (RSUs) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Changes In Unearned Compensation [Roll Forward] | |||
Unearned compensation at beginning of year | $ 129,669 | $ 122,910 | $ 115,965 |
RSUs granted, net of cancellations | 53,583 | 52,204 | 52,897 |
RSUs expensed | 47,329 | (34,408) | (38,796) |
RSUs forfeitures | 7,533 | (11,037) | (7,156) |
Unearned compensation at end of year | $ 128,390 | $ 129,669 | $ 122,910 |
Compensation Plans (Details)
Compensation Plans (Details) | 12 Months Ended | ||
Dec. 31, 2019USD ($)hourshares | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
LTIP Expense | $ 16,119,000 | $ 21,438,000 | $ 21,264,000 |
Deferred Profit Sharing | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Profit Sharing Plan Minimum Contribution, Percent | 5.00% | ||
Number of service hours required (in hours) | hour | 250 | ||
Profit Sharing Plan, Contributions Vesting Immediately, Percent | 40.00% | ||
Profit Sharing Plan, Contributions Vesting Based on Years of Service, Percent | 60.00% | ||
Profit sharing expense | $ 47,000,000 | 42,000,000 | 42,000,000 |
2013 grant | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
LTIP Expense | 0 | (1,124,000) | 7,667,000 |
2014 grant | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
LTIP Expense | $ (558,000) | 3,227,000 | 3,167,000 |
2015 grant | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Long-Term Incentive Compensation Plan, Number of Units Oustanding | shares | 179,250 | ||
Long-Term Incentive Compensation Plan, Maximum Value | $ 17,925,000 | ||
Long-Term Incentive Compensation Plan, Earned | 17,925,000 | ||
LTIP Expense | $ 3,319,000 | 5,170,000 | 3,667,000 |
2016 grant | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Long-Term Incentive Compensation Plan, Number of Units Oustanding | shares | 199,500 | ||
Long-Term Incentive Compensation Plan, Maximum Value | $ 19,950,000 | ||
Long-Term Incentive Compensation Plan, Earned | 15,243,000 | ||
LTIP Expense | $ 3,548,000 | 5,148,000 | 3,601,000 |
2017 grant | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Long-Term Incentive Compensation Plan, Number of Units Oustanding | shares | 210,000 | ||
Long-Term Incentive Compensation Plan, Maximum Value | $ 21,000,000 | ||
Long-Term Incentive Compensation Plan, Earned | 10,938,900 | ||
LTIP Expense | $ 3,432,000 | 4,700,000 | 3,162,000 |
2018 grant | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Long-Term Incentive Compensation Plan, Number of Units Oustanding | shares | 215,250,000 | ||
Long-Term Incentive Compensation Plan, Maximum Value | $ 21,525,000 | ||
Long-Term Incentive Compensation Plan, Earned | 7,501,463 | ||
LTIP Expense | $ 3,310,000 | 4,317,000 | 0 |
2019 grant | |||
Deferred Compensation Arrangement with Individual, Excluding Share-based Payments and Postretirement Benefits [Line Items] | |||
Long-Term Incentive Compensation Plan, Number of Units Oustanding | shares | 228,750,000 | ||
Long-Term Incentive Compensation Plan, Maximum Value | $ 22,875,000 | ||
Long-Term Incentive Compensation Plan, Earned | 3,068,338 | ||
LTIP Expense | $ 3,068,000 | $ 0 | $ 0 |
Supplemental Financial Statem_3
Supplemental Financial Statement Data (Schedule of Other Operating Cost and Expense, by Component) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Other Income and Expenses [Abstract] | |||
Amortization of deferred policy acquisition costs | $ 1,001,611 | $ 915,246 | $ 1,111,489 |
Insurance operating expenses | 1,088,690 | 1,183,635 | 989,535 |
Insurance service expenses | 101,317 | 118,357 | 129,776 |
Net foreign currency (gains) losses | (30,715) | (27,067) | 15,267 |
Other costs and expenses | 201,179 | 193,050 | 190,865 |
Total | $ 2,362,082 | $ 2,383,221 | $ 2,436,932 |
Industry Segments (Financial In
Industry Segments (Financial Information of Company Operating Segments) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2019USD ($)segment | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||
Number of reportable segments | segment | 2 | ||||||||||
Earned Premiums | $ 6,633,288 | $ 6,371,505 | $ 6,311,419 | ||||||||
Investment Income | 645,614 | 674,235 | 575,788 | ||||||||
Net investment gains | 120,703 | 154,488 | 335,858 | ||||||||
Other Revenues | 623,294 | 645,911 | 797,557 | ||||||||
Total revenues | $ 1,976,074 | $ 1,965,716 | $ 2,023,384 | $ 1,937,022 | $ 1,951,586 | $ 1,937,902 | $ 1,910,916 | $ 1,891,247 | 7,902,196 | 7,691,651 | 7,684,764 |
Pre-Tax Income (Loss) | 852,920 | 812,094 | 772,770 | ||||||||
Net investment gains | 95,355 | 122,046 | 218,308 | ||||||||
Net income to common stockholders | $ 119,306 | $ 165,208 | $ 216,709 | $ 180,722 | $ 132,357 | $ 161,920 | $ 180,075 | $ 166,397 | 681,944 | 640,749 | 549,094 |
Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Earned Premiums | 5,919,819 | 5,702,073 | 5,549,403 | ||||||||
Reinsurance & Monoline Excess | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Earned Premiums | 713,469 | 669,432 | 762,016 | ||||||||
Operating Segments | Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Earned Premiums | 5,919,819 | 5,702,073 | 5,549,403 | ||||||||
Investment Income | 429,405 | 433,490 | 366,862 | ||||||||
Other Revenues | 47,850 | 72,727 | 86,865 | ||||||||
Total revenues | 6,397,074 | 6,208,290 | 6,003,130 | ||||||||
Pre-Tax Income (Loss) | 814,862 | 717,154 | 623,746 | ||||||||
Net income to common stockholders | 650,510 | 571,381 | 437,953 | ||||||||
Operating Segments | Reinsurance & Monoline Excess | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Earned Premiums | 713,469 | 669,432 | 762,016 | ||||||||
Investment Income | 164,082 | 179,534 | 160,462 | ||||||||
Other Revenues | 0 | 0 | 0 | ||||||||
Total revenues | 877,551 | 848,966 | 922,478 | ||||||||
Pre-Tax Income (Loss) | 189,188 | 201,001 | 117,131 | ||||||||
Net income to common stockholders | 152,046 | 160,791 | 90,358 | ||||||||
Corporate, other and eliminations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Investment Income | 52,127 | 61,211 | 48,464 | ||||||||
Other Revenues | 454,741 | 418,696 | 374,834 | ||||||||
Total revenues | 506,868 | 479,907 | 423,298 | ||||||||
Pre-Tax Income (Loss) | (271,833) | (260,549) | (303,965) | ||||||||
Net income to common stockholders | $ (215,967) | $ (213,469) | $ (197,525) |
Industry Segments (Identifiable
Industry Segments (Identifiable Assets by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting, Asset Reconciling Item [Line Items] | |||||||||||
Identifiable Assets | $ 26,643,428 | $ 24,895,977 | $ 26,643,428 | $ 24,895,977 | |||||||
Revenues | 1,976,074 | $ 1,965,716 | $ 2,023,384 | $ 1,937,022 | 1,951,586 | $ 1,937,902 | $ 1,910,916 | $ 1,891,247 | 7,902,196 | 7,691,651 | $ 7,684,764 |
Operating Segments | Insurance | |||||||||||
Segment Reporting, Asset Reconciling Item [Line Items] | |||||||||||
Identifiable Assets | 20,003,202 | 18,214,293 | 20,003,202 | 18,214,293 | |||||||
Revenues | 6,397,074 | 6,208,290 | 6,003,130 | ||||||||
Operating Segments | Insurance | Foreign countries | |||||||||||
Segment Reporting, Asset Reconciling Item [Line Items] | |||||||||||
Revenues | 725,400 | 714,200 | 688,200 | ||||||||
Operating Segments | Reinsurance & Monoline Excess | |||||||||||
Segment Reporting, Asset Reconciling Item [Line Items] | |||||||||||
Identifiable Assets | 4,709,724 | 4,371,151 | 4,709,724 | 4,371,151 | |||||||
Revenues | 877,551 | 848,966 | 922,478 | ||||||||
Operating Segments | Reinsurance & Monoline Excess | Foreign countries | |||||||||||
Segment Reporting, Asset Reconciling Item [Line Items] | |||||||||||
Revenues | 249,600 | 228,100 | 201,300 | ||||||||
Corporate, other and eliminations | |||||||||||
Segment Reporting, Asset Reconciling Item [Line Items] | |||||||||||
Identifiable Assets | $ 1,930,502 | $ 2,310,533 | 1,930,502 | 2,310,533 | |||||||
Revenues | $ 506,868 | $ 479,907 | $ 423,298 |
Industry Segments (Net Premiums
Industry Segments (Net Premiums Earned By Major Line of Business) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Net premiums earned | $ 6,633,288 | $ 6,371,505 | $ 6,311,419 |
Insurance | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 5,919,819 | 5,702,073 | 5,549,403 |
Insurance | Other liability | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 2,063,401 | 1,912,071 | 1,843,826 |
Insurance | Workers' compensation | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 1,301,980 | 1,327,206 | 1,324,801 |
Insurance | Short-tail lines | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 1,223,902 | 1,184,447 | 1,184,465 |
Insurance | Commercial automobile | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 750,051 | 722,236 | 650,441 |
Insurance | Professional liability | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 580,485 | 556,113 | 545,870 |
Reinsurance & Monoline Excess | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 713,469 | 669,432 | 762,016 |
Reinsurance & Monoline Excess | Casualty | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 405,063 | 362,886 | 377,650 |
Reinsurance & Monoline Excess | Monoline Excess | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | 160,071 | 162,908 | 157,039 |
Reinsurance & Monoline Excess | Property | |||
Segment Reporting Information [Line Items] | |||
Net premiums earned | $ 148,335 | $ 143,638 | $ 227,327 |
Quarterly Financial Informati_3
Quarterly Financial Information (Unaudited) (Schedule of Quarterly Financial Information) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenues | $ 1,976,074 | $ 1,965,716 | $ 2,023,384 | $ 1,937,022 | $ 1,951,586 | $ 1,937,902 | $ 1,910,916 | $ 1,891,247 | $ 7,902,196 | $ 7,691,651 | $ 7,684,764 |
Net income | $ 119,306 | $ 165,208 | $ 216,709 | $ 180,722 | $ 132,357 | $ 161,920 | $ 180,075 | $ 166,397 | $ 681,944 | $ 640,749 | $ 549,094 |
Net income per share | |||||||||||
Basic (dollars per share) | $ 0.62 | $ 0.87 | $ 1.14 | $ 0.95 | $ 0.69 | $ 0.85 | $ 0.95 | $ 0.88 | $ 3.58 | $ 3.37 | $ 2.93 |
Diluted (dollars per share) | $ 0.62 | $ 0.85 | $ 1.12 | $ 0.94 | $ 0.69 | $ 0.84 | $ 0.93 | $ 0.87 | $ 3.52 | $ 3.33 | $ 2.84 |
Schedule II - Condensed Finan_2
Schedule II - Condensed Financial Information of Registrant (Balance Sheets (Parent Company)) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 30, 2011 |
Assets: | |||||
Cash and cash equivalents | $ 1,023,710 | $ 817,602 | $ 950,471 | $ 795,285 | |
Fixed maturity securities available for sale at fair value (cost $718,642 and $1,317,058 at December 31, 2019 and 2018, respectively) | 14,180,961 | 13,606,812 | |||
Equity securities, at fair value (cost $3,430 in 2019 and $3,430 in 2018) | 480,620 | 279,006 | |||
Current federal income taxes | 13,398 | 703 | |||
Deferred federal income taxes | 0 | 35,490 | |||
Property, furniture and equipment at cost, less accumulated depreciation | 422,091 | 416,372 | |||
Other assets | 762,743 | 501,413 | |||
Total assets | 26,643,428 | 24,895,977 | |||
Liabilities: | |||||
Other liabilities | 1,244,888 | 1,005,184 | |||
Deferred federal income taxes | 17,706 | 0 | |||
Subordinated debentures | 1,198,704 | 907,491 | |||
Total liabilities | 20,525,086 | 19,416,179 | |||
Stockholders' equity: | |||||
Preferred stock | 0 | 0 | |||
Common stock | 70,535 | 70,535 | |||
Additional paid-in capital | 1,056,042 | 1,039,633 | |||
Retained earnings (including accumulated undistributed net income of subsidiaries of $5,564,980 and $5,068,139 at December 31, 2019 and 2018, respectively) | 7,932,372 | 7,558,619 | |||
Accumulated other comprehensive loss | (257,299) | (510,470) | |||
Treasury stock, at cost | (2,726,711) | (2,720,466) | |||
Total common stockholders’ equity | 6,074,939 | 5,437,851 | |||
Total liabilities and equity | 26,643,428 | 24,895,977 | |||
Fixed maturity securities available for sale at cost | 13,897,964 | 13,596,057 | |||
Parent Company | |||||
Assets: | |||||
Cash and cash equivalents | 389,801 | 83,950 | $ 45,062 | $ 124,803 | |
Fixed maturity securities available for sale at fair value (cost $718,642 and $1,317,058 at December 31, 2019 and 2018, respectively) | 723,959 | 1,307,347 | |||
Loans receivable | 55,794 | 51,544 | |||
Equity securities, at fair value (cost $3,430 in 2019 and $3,430 in 2018) | 3,430 | 3,430 | |||
Investment in subsidiaries | 7,623,639 | 6,786,999 | |||
Current federal income taxes | 18,857 | 9,068 | |||
Deferred federal income taxes | 0 | 66,995 | |||
Property, furniture and equipment at cost, less accumulated depreciation | 12,323 | 13,391 | |||
Other assets | 13,294 | 12,340 | |||
Total assets | 8,841,097 | 8,335,064 | |||
Liabilities: | |||||
Due to subsidiaries | 107,245 | 116,125 | |||
Other liabilities | 118,593 | 115,562 | |||
Deferred federal income taxes | 22,846 | 0 | |||
Subordinated debentures | 1,198,704 | 907,491 | |||
Senior notes | 1,318,770 | 1,758,035 | |||
Total liabilities | 2,766,158 | 2,897,213 | |||
Stockholders' equity: | |||||
Preferred stock | 0 | 0 | |||
Common stock | 70,535 | 70,535 | |||
Additional paid-in capital | 1,056,042 | 1,039,633 | |||
Retained earnings (including accumulated undistributed net income of subsidiaries of $5,564,980 and $5,068,139 at December 31, 2019 and 2018, respectively) | 7,932,372 | 7,558,619 | |||
Accumulated other comprehensive loss | (257,299) | (510,470) | |||
Treasury stock, at cost | (2,726,711) | (2,720,466) | |||
Total common stockholders’ equity | 6,074,939 | 5,437,851 | |||
Total liabilities and equity | 8,841,097 | 8,335,064 | |||
Fixed maturity securities available for sale at cost | 718,642 | 1,317,058 | |||
Equity securities available for sale at cost | 3,430 | 3,430 | |||
Accumulated undistributed net income of subsidiaries | $ 5,564,980 | $ 5,068,139 |
Schedule II - Condensed Finan_3
Schedule II - Condensed Financial Information of Registrant (Statements of Income (Parent Company)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Income Statements, Captions [Line Items] | |||||||||||
Net investment gains (losses) | $ 120,703 | $ 154,488 | $ 335,858 | ||||||||
Other income | 3,370 | 681 | 805 | ||||||||
Total revenues | $ 1,976,074 | $ 1,965,716 | $ 2,023,384 | $ 1,937,022 | $ 1,951,586 | $ 1,937,902 | $ 1,910,916 | $ 1,891,247 | 7,902,196 | 7,691,651 | 7,684,764 |
Operating costs and expense | 7,049,276 | 6,879,557 | 6,911,994 | ||||||||
Income before income taxes | 852,920 | 812,094 | 772,770 | ||||||||
Federal income taxes: | |||||||||||
Net federal income tax expense (benefit) | (168,935) | (163,028) | (219,433) | ||||||||
Net income to common stockholders | $ 119,306 | $ 165,208 | $ 216,709 | $ 180,722 | $ 132,357 | $ 161,920 | $ 180,075 | $ 166,397 | 681,944 | 640,749 | 549,094 |
Dividends from subsidiaries | 416,027 | 639,477 | 694,462 | ||||||||
Parent Company | |||||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||
Management fees and investment income including dividends from subsidiaries of$416,027, $639,477, and $694,462 for the years ended December 31, 2019, 2018 and 2017, respectively | 470,773 | 697,687 | 738,923 | ||||||||
Net investment gains (losses) | 850 | (1,685) | (4,286) | ||||||||
Other income | 117 | 530 | 805 | ||||||||
Total revenues | 471,740 | 696,532 | 735,442 | ||||||||
Operating costs and expense | 204,812 | 191,873 | 182,145 | ||||||||
Interest expense | 148,282 | 155,082 | 146,929 | ||||||||
Income before income taxes | 118,646 | 349,577 | 406,368 | ||||||||
Federal income taxes: | |||||||||||
Federal income taxes provided by subsidiaries on a separate return basis | 207,647 | 409,439 | 115,597 | ||||||||
Federal income tax expense on a consolidated return basis | (141,190) | (113,138) | (195,261) | ||||||||
Net federal income tax expense (benefit) | 66,457 | 296,301 | (79,664) | ||||||||
Income before undistributed equity in net income of subsidiaries | 185,103 | 645,878 | 326,704 | ||||||||
Equity in undistributed net income (loss) of subsidiaries | 496,841 | (5,129) | 222,390 | ||||||||
Net income to common stockholders | $ 681,944 | $ 640,749 | $ 549,094 |
Schedule II - Condensed Finan_4
Schedule II - Condensed Financial Information of Registrant (Statements of Cash Flows (Parent Company)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from operating activities: | |||||||||||
Net income | $ 119,306 | $ 165,208 | $ 216,709 | $ 180,722 | $ 132,357 | $ 161,920 | $ 180,075 | $ 166,397 | $ 681,944 | $ 640,749 | $ 549,094 |
Adjustments to reconcile net income to net cash from operating activities: | |||||||||||
Depreciation and amortization | 113,387 | 131,108 | 112,956 | ||||||||
Stock incentive plans | 49,274 | 36,591 | 40,490 | ||||||||
Change in: | |||||||||||
Other liabilities | (19,506) | (48,770) | 66,482 | ||||||||
Net cash from operating activities | 1,143,793 | 620,199 | 710,883 | ||||||||
Cash from (used) in investing activities: | |||||||||||
Proceeds from sale of fixed maturity securities | 2,093,271 | 3,525,149 | 4,035,162 | ||||||||
Proceeds from maturities and prepayments of fixed maturity securities | 2,933,980 | 2,676,455 | 3,556,744 | ||||||||
Cost of purchases of fixed maturity securities | (5,352,886) | (6,677,753) | (7,940,957) | ||||||||
Change in loans receivable | 3,481 | (13,204) | 27,135 | ||||||||
Change in balances due from security brokers | 2,844 | 4,262 | (4,372) | ||||||||
Net additions to real estate, furniture & equipment | (60,457) | (49,860) | (115,719) | ||||||||
Other, net | (21,391) | (17,740) | (6,043) | ||||||||
Net cash used in investing activities | (424,871) | (714,244) | (333,464) | ||||||||
Cash used in financing activities: | |||||||||||
Purchase of common treasury shares | (18,225) | (24,750) | (47,807) | ||||||||
Cash dividends to common stockholders | (308,191) | (254,951) | (188,199) | ||||||||
Net cash used in financing activities | (513,193) | (7,403) | (235,086) | ||||||||
Net increase (decrease) in cash and cash equivalents | 206,108 | (132,869) | 155,186 | ||||||||
Cash and cash equivalents at beginning of year | 817,602 | 950,471 | 817,602 | 950,471 | 795,285 | ||||||
Cash and cash equivalents at end of year | 1,023,710 | 817,602 | 1,023,710 | 817,602 | 950,471 | ||||||
Parent Company | |||||||||||
Cash flows from operating activities: | |||||||||||
Net income | 681,944 | 640,749 | 549,094 | ||||||||
Adjustments to reconcile net income to net cash from operating activities: | |||||||||||
Net investment (gains) losses | (850) | 1,685 | 4,286 | ||||||||
Depreciation and amortization | 7,058 | 9,441 | 2,039 | ||||||||
Equity in undistributed earnings of subsidiaries | (496,841) | 5,129 | (222,390) | ||||||||
Tax payments received from subsidiaries | 192,407 | 282,084 | 98,313 | ||||||||
Federal income taxes provided by subsidiaries on a separate return basis | (207,646) | (409,439) | (115,597) | ||||||||
Stock incentive plans | 28,389 | 28,531 | 38,075 | ||||||||
Change in: | |||||||||||
Federal income taxes | 11,841 | (77,415) | 2,711 | ||||||||
Other assets | (5,343) | 1,348 | (877) | ||||||||
Other liabilities | 11,866 | 109,016 | 18,661 | ||||||||
Accrued investment income | 4,395 | (2,870) | (2,818) | ||||||||
Net cash from operating activities | 227,220 | 588,259 | 371,497 | ||||||||
Cash from (used) in investing activities: | |||||||||||
Proceeds from sale of fixed maturity securities | 619,334 | 668,447 | 849,330 | ||||||||
Proceeds from maturities and prepayments of fixed maturity securities | 435,473 | 255,528 | 316,611 | ||||||||
Cost of purchases of fixed maturity securities | (459,418) | (1,188,821) | (1,329,379) | ||||||||
Change in loans receivable | (4,250) | 1,475 | (29,600) | ||||||||
Investments in and advances to subsidiaries, net | (36,170) | (184,597) | (21,139) | ||||||||
Change in balances due from security brokers | 245 | 0 | 0 | ||||||||
Net additions to real estate, furniture & equipment | (112) | (264) | (1,055) | ||||||||
Other, net | 142 | 0 | 0 | ||||||||
Net cash used in investing activities | 555,244 | (448,232) | (215,232) | ||||||||
Cash used in financing activities: | |||||||||||
Net proceeds from issuance of senior notes | 290,454 | 178,562 | 0 | ||||||||
Repayment of senior notes | (440,651) | 0 | 0 | ||||||||
Purchase of common treasury shares | (18,225) | (24,750) | (47,807) | ||||||||
Cash dividends to common stockholders | (308,191) | (254,951) | (188,199) | ||||||||
Net cash used in financing activities | (476,613) | (101,139) | (236,006) | ||||||||
Net increase (decrease) in cash and cash equivalents | 305,851 | 38,888 | (79,741) | ||||||||
Cash and cash equivalents at beginning of year | $ 83,950 | $ 45,062 | 83,950 | 45,062 | |||||||
Cash and cash equivalents at end of year | $ 389,801 | $ 83,950 | $ 389,801 | $ 83,950 | $ 45,062 |
Schedule III - Supplementary _2
Schedule III - Supplementary Insurance Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
SEC Schedule, 12-16, Insurance Companies, Supplementary Insurance Information [Line Items] | |||
Deferred Policy Acquisition Cost | $ 517,364 | $ 497,629 | $ 507,549 |
Reserve for Losses and Loss Expenses | 12,583,249 | 11,966,448 | 11,670,408 |
Unearned Premiums | 3,656,507 | 3,359,991 | 3,290,180 |
Net Premiums Earned | 6,633,288 | 6,371,505 | 6,311,419 |
Net Investment Income | 645,614 | 674,235 | 575,788 |
Loss and Loss Expenses | 4,131,116 | 3,974,702 | 4,002,348 |
Amortization of Deferred Policy Acquisition Cost | 1,001,611 | 915,246 | 1,111,489 |
Other Operating Costs and Expenses | 1,360,471 | 1,467,975 | 1,325,443 |
Net Premiums Written | 6,863,499 | 6,433,227 | 6,260,508 |
Operating Segments | Insurance | |||
SEC Schedule, 12-16, Insurance Companies, Supplementary Insurance Information [Line Items] | |||
Deferred Policy Acquisition Cost | 438,082 | 432,568 | 428,535 |
Reserve for Losses and Loss Expenses | 9,836,950 | 9,278,729 | 8,858,926 |
Unearned Premiums | 3,304,152 | 3,081,433 | 2,987,805 |
Net Premiums Earned | 5,919,819 | 5,702,073 | 5,549,403 |
Net Investment Income | 429,405 | 433,490 | 366,862 |
Loss and Loss Expenses | 3,692,551 | 3,566,358 | 3,469,175 |
Amortization of Deferred Policy Acquisition Cost | 840,333 | 788,508 | 908,746 |
Other Operating Costs and Expenses | 1,049,328 | 1,136,269 | 1,001,463 |
Net Premiums Written | 6,086,009 | 5,791,905 | 5,555,515 |
Operating Segments | Reinsurance & Monoline Excess | |||
SEC Schedule, 12-16, Insurance Companies, Supplementary Insurance Information [Line Items] | |||
Deferred Policy Acquisition Cost | 79,282 | 65,061 | 79,014 |
Reserve for Losses and Loss Expenses | 2,746,299 | 2,687,719 | 2,811,482 |
Unearned Premiums | 352,355 | 278,558 | 302,375 |
Net Premiums Earned | 713,469 | 669,432 | 762,016 |
Net Investment Income | 164,082 | 179,534 | 160,462 |
Loss and Loss Expenses | 438,565 | 408,344 | 533,173 |
Amortization of Deferred Policy Acquisition Cost | 161,278 | 126,738 | 202,743 |
Other Operating Costs and Expenses | 88,520 | 112,885 | 69,431 |
Net Premiums Written | 777,490 | 641,322 | 704,993 |
Corporate, other and eliminations | |||
SEC Schedule, 12-16, Insurance Companies, Supplementary Insurance Information [Line Items] | |||
Deferred Policy Acquisition Cost | 0 | 0 | 0 |
Reserve for Losses and Loss Expenses | 0 | 0 | 0 |
Unearned Premiums | 0 | 0 | 0 |
Net Premiums Earned | 0 | 0 | 0 |
Net Investment Income | 52,127 | 61,211 | 48,464 |
Loss and Loss Expenses | 0 | 0 | 0 |
Amortization of Deferred Policy Acquisition Cost | 0 | 0 | 0 |
Other Operating Costs and Expenses | 222,623 | 218,821 | 254,549 |
Net Premiums Written | $ 0 | $ 0 | $ 0 |
Schedule IV - Reinsurance (Deta
Schedule IV - Reinsurance (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Line Items] | |||
Direct Amount | $ 7,386,759 | $ 6,973,216 | $ 6,726,029 |
Ceded to Other Companies | 1,398,719 | 1,269,267 | 1,216,455 |
Assumed from Other Companies | 875,459 | 729,278 | 750,934 |
Total net premiums written | $ 6,863,499 | $ 6,433,227 | $ 6,260,508 |
Percentage of Amount Assumed to Net | 12.80% | 11.30% | 12.00% |
Insurance | |||
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Line Items] | |||
Direct Amount | $ 7,180,759 | $ 6,782,757 | $ 6,537,777 |
Ceded to Other Companies | 1,312,564 | 1,188,297 | 1,143,656 |
Assumed from Other Companies | 217,814 | 197,445 | 161,394 |
Total net premiums written | $ 6,086,009 | $ 5,791,905 | $ 5,555,515 |
Percentage of Amount Assumed to Net | 3.60% | 3.40% | 2.90% |
Reinsurance & Monoline Excess | |||
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Line Items] | |||
Direct Amount | $ 206,000 | $ 190,459 | $ 188,252 |
Ceded to Other Companies | 86,155 | 80,970 | 72,799 |
Assumed from Other Companies | 657,645 | 531,833 | 589,540 |
Total net premiums written | $ 777,490 | $ 641,322 | $ 704,993 |
Percentage of Amount Assumed to Net | 84.60% | 82.90% | 83.60% |
Schedule V - Valuation and Qu_2
Schedule V - Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Premiums and fees receivable | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Opening Balance | $ 39,093 | $ 39,926 | $ 26,569 |
Additions - Charged to Expense | (5,549) | 6,985 | 20,720 |
Deductions - Amounts Written Off | (6,998) | (7,817) | (7,363) |
Ending Balance | 26,546 | 39,093 | 39,926 |
Due from reinsurers | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Opening Balance | 947 | 1,010 | 1,049 |
Additions - Charged to Expense | 0 | 65 | (29) |
Deductions - Amounts Written Off | (257) | (128) | (10) |
Ending Balance | 690 | 947 | 1,010 |
Deferred federal and foreign income taxes | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Opening Balance | 35,195 | 16,619 | 5,457 |
Additions - Charged to Expense | 1,298 | 18,772 | 12,663 |
Deductions - Amounts Written Off | (3,243) | (196) | (1,501) |
Ending Balance | 33,250 | 35,195 | 16,619 |
Loan loss reserves | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Opening Balance | 3,383 | 3,383 | 3,397 |
Additions - Charged to Expense | 0 | 0 | (14) |
Deductions - Amounts Written Off | (1,237) | 0 | 0 |
Ending Balance | 2,146 | 3,383 | 3,383 |
General Valuation Allowance | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Opening Balance | 78,618 | 60,938 | 36,472 |
Additions - Charged to Expense | (4,251) | 25,822 | 33,340 |
Deductions - Amounts Written Off | (11,735) | (8,141) | (8,874) |
Ending Balance | $ 62,632 | $ 78,618 | $ 60,938 |
Schedule VI - Supplementary I_2
Schedule VI - Supplementary Information Concerning Property-Casualty Insurance Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
SEC Schedule, 12-18, Supplemental Information, Property-Casualty Insurance Underwriters [Abstract] | |||
Deferred policy acquisition costs | $ 517,364 | $ 497,629 | $ 507,549 |
Reserves for losses and loss expenses | 12,583,249 | 11,966,448 | 11,670,408 |
Unearned premiums | 3,656,507 | 3,359,991 | 3,290,180 |
Net premiums earned | 6,633,288 | 6,371,505 | 6,311,419 |
Net investment income | 645,614 | 674,235 | 575,788 |
Losses and loss expenses incurred: | |||
Current year | 4,057,989 | 3,926,489 | 3,963,543 |
Prior years | 34,079 | 6,831 | (5,165) |
Loss reserve discount accretion | 39,048 | 41,382 | 43,970 |
Amortization of deferred policy acquisition costs | 1,001,611 | 915,246 | 1,111,489 |
Paid losses and loss expenses | 3,659,402 | 3,664,885 | 3,589,955 |
Net premiums written | $ 6,863,499 | $ 6,433,227 | $ 6,260,508 |