Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Billions, except Share data, unless otherwise specified | Dec. 31, 2013 | Feb. 14, 2014 | Jun. 30, 2013 |
Document Document And Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Trading Symbol | 'AHL | ' | ' |
Entity Registrant Name | 'ASPEN INSURANCE HOLDINGS LTD | ' | ' |
Entity Central Index Key | '0001267395 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 65,138,273 | ' |
Entity Public Float | ' | ' | $2.40 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE INCOME (USD $) | 12 Months Ended | |||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Revenues | ' | ' | ' | |||
Net earned premium | $2,171.80 | $2,083.50 | $1,888.50 | |||
Net investment income | 186.4 | 204.9 | 225.6 | |||
Realized and unrealized investment gains | 56.9 | 35.4 | 46.8 | |||
Other income | 8.2 | 5.6 | 10.5 | |||
Total revenues | 2,423.30 | 2,329.40 | 2,171.40 | |||
Expenses | ' | ' | ' | |||
Losses and loss adjustment expenses | 1,223.70 | 1,238.50 | 1,556 | |||
Amortization of deferred policy acquisition costs | 422 | 381.2 | 347 | |||
Operating and administrative expenses | 368.1 | 345.1 | 284.5 | |||
Interest on long-term debt | 32.7 | 30.9 | 30.8 | |||
Change in fair value of derivatives | -1.3 | 28.4 | 59.9 | |||
Realized and unrealized investment losses | 20.5 | 8.6 | 16.5 | |||
Net realized and unrealized foreign exchange losses/(gains) | 13.2 | -3.4 | 6.7 | |||
Other expenses | 1.7 | 4.7 | 17.3 | |||
Total expenses | 2,080.60 | 2,034 | 2,318.70 | |||
Income/(loss) from operations before income tax | 342.7 | 295.4 | -147.3 | |||
Income tax (expense)/credit | -13.4 | -15 | 37.2 | |||
Net (loss) | 329.3 | 280.4 | -110.1 | |||
Add: Loss attributable to non-controlling interest | 0.5 | 0.2 | 0.1 | |||
Net income/(loss) attributable to Aspen Insurance Holdings Limited's ordinary shareholders | 329.8 | 280.6 | -110 | |||
Available for sale investments: | ' | ' | ' | |||
Reclassification adjustment for net realized losses/(gains) on investments included in net income | -24.1 | 2.6 | -19.1 | |||
Change in net unrealized gains on available for sale securities held | -174.3 | 16.5 | 115.3 | |||
Amortization of loss on derivative contract | 0.5 | 0.2 | 0.3 | |||
Change in foreign currency translation adjustment | -24.1 | -11.5 | 10.8 | |||
Other comprehensive income, gross of tax | -222 | 7.8 | 107.3 | |||
Tax thereon: | ' | ' | ' | |||
Reclassification adjustment for net realized losses on investments included in net income | 0.7 | -0.6 | 2.5 | |||
Change in net unrealized gains on available for sale securities held | 13 | -8.7 | -5.2 | |||
Total tax on other comprehensive income | 13.7 | -9.3 | -2.7 | |||
Other comprehensive income, net of tax | -208.3 | -1.5 | 104.6 | |||
Total comprehensive income/(loss) attributable to Aspen Holdings’ ordinary shareholders | $121.50 | $279.10 | ($5.40) | |||
Weighted average number of ordinary share and share equivalents | ' | ' | ' | |||
Basic | 66,872,048 | [1] | 71,095,856 | [1] | 70,665,166 | [1],[2] |
Diluted | 69,417,903 | [1] | 73,689,423 | [1] | 70,665,166 | [1],[2] |
Basic earnings per ordinary share adjusted for preference share dividends | $4.29 | $3.51 | ($1.88) | |||
Diluted earnings per ordinary share adjusted for preference share dividends | $4.14 | $3.39 | ($1.88) | |||
[1] | The basic and diluted number of ordinary shares for the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. | |||||
[2] | The basic and diluted number of ordinary shares for the three months ended March 31, 2011 and the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Investments: | ' | ' |
Fixed income maturities, available for sale at fair value (amortized cost — $5,449.9 and $5,228.5) | $5,569,100,000 | $5,557,300,000 |
Fixed income maturities, trading at fair value (amortized cost — $712.1 and $431.6) | 716,200,000 | 456,100,000 |
Equity securities, available for sale at fair value (cost — $112.2 and $174.0) | 149,500,000 | 200,100,000 |
Equity securities, trading at fair value (cost — $281.6 and $Nil) | 310,900,000 | 0 |
Short-term investments, available for sale at fair value (amortized cost — $160.3 and $431.5) | 160,300,000 | 431,500,000 |
Short-term investments, trading at fair value (amortized cost — $Nil and $2.4) | 0 | 2,400,000 |
Catastrophe bonds, trading at fair value (cost — $5.8 and $Nil) | 5,800,000 | 0 |
Catastrophe bonds, trading at fair value (cost — $5.8 and $Nil) | 5,800,000 | 0 |
Other investments, equity method | 48,000,000 | 45,000,000 |
Total investments | 6,959,800,000 | 6,692,400,000 |
Cash and cash equivalents (including cash within consolidated variable interest entities of $50.0 and $Nil) | 1,293,600,000 | 1,463,600,000 |
Reinsurance recoverables: | ' | ' |
Unpaid losses | 332,700,000 | 499,000,000 |
Ceded unearned premiums | 151,900,000 | 122,600,000 |
Receivables: | ' | ' |
Underwriting premiums | 999,000,000 | 1,057,500,000 |
Other | 90,300,000 | 68,500,000 |
Funds withheld | 46,500,000 | 84,300,000 |
Deferred policy acquisition costs | 262,200,000 | 223,000,000 |
Derivatives at fair value | 7,000,000 | 2,000,000 |
Receivable for securities sold | 5,200,000 | 200,000 |
Office properties and equipment | 60,100,000 | 57,900,000 |
Tax recoverable | 0 | 2,400,000 |
Deferred taxation | 1,600,000 | 0 |
Other assets | 2,200,000 | 18,200,000 |
Intangible assets | 18,400,000 | 19,000,000 |
Total assets | 10,230,500,000 | 10,310,600,000 |
Insurance reserves | ' | ' |
Losses and loss adjustment expenses | 4,678,900,000 | 4,779,700,000 |
Unearned premiums | 1,280,600,000 | 1,120,800,000 |
Total insurance reserves | 5,959,500,000 | 5,900,500,000 |
Payables | ' | ' |
Reinsurance premiums | 88,200,000 | 154,100,000 |
Current taxation | 15,700,000 | 0 |
Deferred taxation | 0 | 11,800,000 |
Accrued expenses and other payables | 265,600,000 | 249,300,000 |
Liabilities under derivative contracts | 2,900,000 | 7,400,000 |
Total payables | 372,400,000 | 422,600,000 |
Long-term debt issued by Silverton, at fair value | 50,000,000 | 0 |
Long-term debt | 549,000,000 | 499,100,000 |
Total liabilities | 6,930,900,000 | 6,822,200,000 |
Commitments and contingent liabilities (see Note 19) | 0 | 0 |
SHAREHOLDERS’ EQUITY | ' | ' |
65,546,976 shares of par value 0.15144558¢ each (December 31, 2012 — 70,753,723) | 99,000 | 107,000 |
Preference shares: | ' | ' |
Non-controlling interest | -300,000 | 200,000 |
Additional paid-in capital | 1,297,400,000 | 1,516,700,000 |
Retained earnings | 1,783,300,000 | 1,544,000,000 |
Accumulated other comprehensive income, net of taxes | 219,100,000 | 427,400,000 |
Total shareholders’ equity | 3,299,600,000 | 3,488,400,000 |
Total liabilities and shareholders’ equity | 10,230,500,000 | 10,310,600,000 |
5.950% Preference Shares | ' | ' |
Preference shares: | ' | ' |
Preference shares, value | 17,000 | 0 |
5.625% Preference Shares | ' | ' |
Preference shares: | ' | ' |
Preference shares, value | 0 | 7,000 |
7.401% Preference Shares | ' | ' |
Preference shares: | ' | ' |
Preference shares, value | 8,000 | 8,000 |
7.250% Preference Shares | ' | ' |
Preference shares: | ' | ' |
Preference shares, value | $10,000 | $10,000 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, except Share data, unless otherwise specified | Consolidated Variable Interest Entities | Consolidated Variable Interest Entities | ||
Fixed income maturities, available for sale, amortized cost | $5,449.90 | $5,228.50 | ' | ' |
Fixed income maturities, trading, amortized cost | 712.1 | 431.6 | ' | ' |
Equity securities, available for sale, cost | 112.2 | 174 | ' | ' |
Equity securities, trading at cost | 281.6 | 0 | ' | ' |
Short-term investments, available for sale, amortized cost | 160.3 | 431.5 | ' | ' |
Short-term investments, trading, amortized cost | 0 | 2.4 | ' | ' |
Cash within consolidated variable interest entities | 1,293.60 | 1,463.60 | 50 | 0 |
Catastrophe bonds, trading, fair value | $5.80 | $0 | ' | ' |
Ordinary shares, par value | $0.15 | $0.15 | ' | ' |
Ordinary shares, issued | 65,546,976 | 70,753,723 | ' | ' |
Preference shares, par value | $0.15 | $0.15 | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (USD $) | Total | Ordinary Shares | Preference Shares | Non-controlling interest | Additional paid-in capital | Additional paid-in capital | Additional paid-in capital | Retained earnings | Retained earnings | Retained earnings | Cumulative foreign currency translation adjustments, net of taxes: | Deferred loss on derivatives, net of taxes: | Unrealized appreciation on available for sale investments, net of taxes: | ||||
In Millions, unless otherwise specified | Ordinary Shares | Preference Shares | Ordinary Shares | Preference Shares | |||||||||||||
Shareholder's equity at Dec. 31, 2010 | ' | ' | ' | $0.50 | $1,388.30 | ' | ' | $1,517 | ' | ' | $113.40 | ($1) | $211.90 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Net (loss) attributable to non-controlling interest for the year | -0.1 | ' | ' | -0.1 | ' | ' | ' | 0.1 | ' | ' | ' | ' | ' | ||||
Introductory Capital | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Dividends due to non-controlling interest | ' | ' | ' | ' | ' | ' | ' | -0.1 | ' | ' | ' | ' | ' | ||||
Shares issued | ' | ' | ' | ' | ' | 0.8 | 0 | ' | ' | ' | ' | ' | ' | ||||
Shares repurchased/redeemed and cancelled | ' | ' | ' | ' | ' | -8.1 | ' | ' | ' | ' | ' | ' | ' | ||||
PIERS redeemed and cancelled | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ||||
PIERS redemption | 0 | [1] | ' | ' | ' | ' | ' | 0 | [2] | ' | ' | 0 | [2] | ' | ' | ' | |
Share-based compensation | ' | ' | ' | ' | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Net (loss) | -110.1 | ' | ' | ' | ' | ' | ' | -110.1 | ' | ' | ' | ' | ' | ||||
Dividends | ' | ' | ' | ' | ' | ' | ' | ' | -42.5 | -22.8 | ' | ' | ' | ||||
Change for the year, net of taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.8 | ' | 93.5 | ||||
Change for the year, net of income tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.3 | ' | ||||
Total accumulated other comprehensive income, net of taxes | 428.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Stockholders' Equity Attributable to Parent | 3,156 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Shareholder's equity at Dec. 31, 2011 | ' | 0.1 | 0 | 0.4 | 1,385 | ' | ' | 1,341.60 | [2] | ' | ' | 124.2 | -0.7 | 305.4 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Net (loss) attributable to non-controlling interest for the year | -0.2 | ' | ' | -0.2 | ' | ' | ' | 0.2 | ' | ' | ' | ' | ' | ||||
Introductory Capital | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Dividends due to non-controlling interest | ' | ' | ' | ' | ' | ' | ' | -0.1 | ' | ' | ' | ' | ' | ||||
Shares issued | ' | ' | ' | ' | ' | 22.1 | 154.5 | ' | ' | ' | ' | ' | ' | ||||
Shares repurchased/redeemed and cancelled | -59.9 | ' | ' | ' | ' | -62.7 | ' | ' | ' | ' | ' | ' | ' | ||||
PIERS redeemed and cancelled | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ||||
PIERS redemption | 0 | [1] | ' | ' | ' | ' | ' | 0 | [2] | ' | ' | 0 | [2] | ' | ' | ' | |
Share-based compensation | ' | ' | ' | ' | 17.8 | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Net (loss) | 280.4 | ' | ' | ' | ' | ' | ' | 280.4 | ' | ' | ' | ' | ' | ||||
Dividends | ' | ' | ' | ' | ' | ' | ' | ' | -47 | -31.1 | ' | ' | ' | ||||
Change for the year, net of taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -11.5 | ' | 9.8 | ||||
Change for the year, net of income tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.2 | ' | ||||
Total accumulated other comprehensive income, net of taxes | 427.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Stockholders' Equity Attributable to Parent | 3,488.40 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Shareholder's equity at Dec. 31, 2012 | ' | 0.1 | 0 | 0.2 | 1,516.70 | ' | ' | 1,544 | [2] | ' | ' | 112.7 | -0.5 | 315.2 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Net (loss) attributable to non-controlling interest for the year | -0.5 | ' | ' | -0.5 | ' | ' | ' | 0.5 | ' | ' | ' | ' | ' | ||||
Introductory Capital | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Dividends due to non-controlling interest | ' | ' | ' | ' | ' | ' | ' | -0.1 | ' | ' | ' | ' | ' | ||||
Shares issued | ' | ' | ' | ' | ' | 21.2 | 270.6 | ' | ' | ' | ' | ' | ' | ||||
Shares repurchased/redeemed and cancelled | ' | ' | ' | ' | ' | -309.6 | ' | ' | ' | ' | ' | ' | ' | ||||
PIERS redeemed and cancelled | ' | ' | -230 | ' | ' | ' | -230 | ' | ' | ' | ' | ' | ' | ||||
PIERS redemption | -7.1 | [1] | ' | ' | ' | ' | ' | 7.1 | [2] | ' | ' | -7.1 | [2] | ' | ' | ' | |
Share-based compensation | ' | ' | ' | ' | 21.4 | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Net (loss) | 329.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Dividends | ' | ' | ' | ' | ' | ' | ' | ' | -47.8 | -35.5 | ' | ' | ' | ||||
Change for the year, net of taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -24.1 | ' | -184.7 | ||||
Change for the year, net of income tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.5 | ' | ||||
Total accumulated other comprehensive income, net of taxes | 219.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Stockholders' Equity Attributable to Parent | 3,299.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Shareholder's equity at Dec. 31, 2013 | ' | $0.10 | $0 | ($0.30) | $1,297.40 | ' | ' | $1,783.30 | [2] | ' | ' | $88.60 | $0 | $130.50 | |||
[1] | The $7.1 million deduction from net income is attributable to the reclassification from additional paid-in capital to retained earnings representing the difference between the capital raised upon issuance of the PIERS, net of the original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million. For more information, please refer to Note 14 of these consolidated financial statements. | ||||||||||||||||
[2] | The $7.1 million reclassification from additional paid-in capital to retained earnings is the difference between the capital raised upon issuance of the 5.625% Perpetual Preferred Income Equity Replacement Securities (bPIERSb), net of the original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million. |
CONSOLIDATED_STATEMENTS_OF_CHA1
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Apr. 25, 2013 | Dec. 31, 2013 | |||
Reclassification from Additional Paid in Capital to Retained Earnings | Preference Shares | Preference Shares | |||||||
PIERS redemption | $7.10 | [1] | $0 | [1] | $0 | [1] | $7.10 | ' | ' |
PIERS redeemed and cancelled | ' | ' | ' | ' | $230 | $230 | |||
[1] | The $7.1 million deduction from net income is attributable to the reclassification from additional paid-in capital to retained earnings representing the difference between the capital raised upon issuance of the PIERS, net of the original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million. For more information, please refer to Note 14 of these consolidated financial statements. |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Net (loss) | $329.30 | $280.40 | ($110.10) |
Proportion due to non-controlling interest | 0.5 | 0.2 | 0.1 |
Adjustments to reconcile net income to net cash flows from operating activities: | ' | ' | ' |
Depreciation and amortization | 41.1 | 38.8 | 28.1 |
Share-based compensation | 21.4 | 17.8 | 4 |
Realized and unrealized investment (gains) | -56.9 | -35.4 | -46.8 |
Realized and unrealized investment losses | 20.5 | 8.6 | 16.5 |
Other investments gains/(losses) | 2.3 | 0 | 0 |
Net realized and unrealized investment foreign exchange losses | 3.7 | 1.9 | 0 |
Loss on derivative contracts | 0.5 | 0.2 | 0.3 |
Insurance reserves: | ' | ' | ' |
Losses and loss adjustment expenses | -82.9 | 211.9 | 700.2 |
Unearned premiums | 158.5 | 198.3 | 60.3 |
Reinsurance recoverables: | ' | ' | ' |
Unpaid losses | 164.1 | -70.4 | -146.6 |
Ceded unearned premiums | -29.4 | -34 | -25.2 |
Other receivables | 12.4 | 1.6 | -1.8 |
Deferred policy acquisition costs | -39.1 | -37.6 | -29.5 |
Reinsurance premiums payable | -32.8 | -2.3 | 42.6 |
Funds withheld | 37.8 | 6.4 | -7.4 |
Premiums receivable | 52.1 | -165.9 | -63.5 |
Deferred taxes | -19.5 | -20.8 | -36 |
Income tax payable | 21.3 | 18.3 | -32.1 |
Accrued expenses and other payable | -9.6 | 52.4 | -10.4 |
Fair value of derivatives and settlement of liabilities under derivatives | -9.2 | 7.7 | 9.7 |
Long-term debt | 0.2 | 0.1 | 0.2 |
Intangible assets | -0.1 | 0 | 0 |
Other assets | -19.8 | 18.2 | -9.1 |
Net cash generated by operating activities | 566.4 | 496.4 | 343.5 |
Cash flows (used in)/from investing activities: | ' | ' | ' |
(Purchases) of fixed income maturities b Available for sale | -2,129.80 | -1,529.60 | -1,784.40 |
(Purchases) of fixed income maturities b Trading | -763.4 | -300.8 | -378.6 |
Proceeds from sales and maturities of fixed income maturities b Available for sale | 1,872.30 | 1,416.50 | 1,823.50 |
Proceeds from sales and maturities of fixed income maturities b Trading | 486 | 257.2 | 389.9 |
(Purchases) of equity securities b Available for sale | -2.5 | -53.1 | -205.4 |
(Purchases) of equity securities b Trading | -304.4 | 0 | 0 |
Proceeds from sales of equity securities b Available for sale | 82.2 | 46.9 | 29.2 |
Proceeds from sales of equity securities b Trading | 24.1 | 0 | 0 |
Net (purchases)/sales of short-term investments | 260.6 | -122.7 | -13.3 |
Net change in (payable)/receivable for securities sold | -0.9 | 1.1 | -41.5 |
Investment in Chaspark Maritime Holdings Ltd | 0 | -8.7 | 0 |
Purchase of equipment | -16.3 | -24 | -29.9 |
(Purchases) of catastrophe bonds b Trading | -5.8 | 0 | 0 |
Net cash (used in)/from investing activities | -497.9 | -317.2 | -210.5 |
Cash flows (used in)/from financing activities: | ' | ' | ' |
Proceeds from the issuance of ordinary shares, net of issuance costs | 21.2 | 22.1 | 0.8 |
Proceeds from the issuance of preference shares, net of issuance costs | 270.6 | 154.5 | 0 |
PIERS repurchased and cancelled | -230 | 0 | 0 |
Ordinary shares repurchased | -309.6 | -62.7 | -8.1 |
Proceeds from long-term debt issuances by Silverton | 50 | 0 | 0 |
Dividends paid on ordinary shares | -47.8 | -47 | -42.5 |
Dividends paid on preference shares | -35.5 | -31.1 | -22.8 |
Dividends paid to non-controlling interest | -0.1 | -0.1 | -0.1 |
Proceeds from note issuances by Aspen Holdings | 299.7 | 0 | 0 |
Long-term debt redeemed | -250 | 0 | 0 |
Make whole payment | -9.3 | 0 | 0 |
Net cash (used in)/from financing activities | -240.8 | 35.7 | -72.7 |
Effect of exchange rate movements on cash and cash equivalents | 2.3 | 9.6 | -0.3 |
Increase/(decrease) in cash and cash equivalents | -170 | 224.5 | 60 |
Cash and cash equivalents at beginning of period | 1,463.60 | 1,239.10 | 1,179.10 |
Cash and cash equivalents at end of period | 1,293.60 | 1,463.60 | 1,239.10 |
Supplemental disclosure of cash flow information: | ' | ' | ' |
Net cash (received)/paid during the period for income tax | -6.3 | 11 | 24.8 |
Cash paid during the period for interest | $35 | $30 | $30.20 |
History_and_Organization
History and Organization | 12 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
History and Organization | ' |
History and Organization | |
Aspen Insurance Holdings Limited (“Aspen Holdings”) was incorporated on May 23, 2002 and holds subsidiaries that provide insurance and reinsurance on a worldwide basis. Its principal operating subsidiaries are Aspen Insurance UK Limited (“Aspen U.K.”), Aspen Bermuda Limited (“Aspen Bermuda”), Aspen Specialty Insurance Company (“Aspen Specialty”), Aspen American Insurance Company (“AAIC”) and Aspen Underwriting Limited (corporate member of Lloyd’s Syndicate 4711, “AUL”) (collectively, the “Operating Subsidiaries”). We have also established Aspen Capital Management, Ltd and other related entities (“ACM”) which will be used to leverage our existing franchise and underwriting expertise to offer investors access to reinsurance business. References to the “Company”, “we”, “us” or “our” refer to Aspen Holdings or Aspen Holdings and its subsidiaries. |
Basis_of_Preparation_and_Signi
Basis of Preparation and Significant Accounting Policies | 12 Months Ended | |
Dec. 31, 2013 | ||
Accounting Policies [Abstract] | ' | |
Basis of Preparation and Significant Accounting Policies | ' | |
The consolidated financial statements of Aspen Holdings are prepared in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”) and are presented on a consolidated basis including the transactions of all operating subsidiaries. Transactions between Aspen Holdings and its subsidiaries are eliminated within the consolidated financial statements. | ||
(a) | Use of Estimates | |
Assumptions and estimates made by management have a significant effect on the amounts reported within the consolidated financial statements. The most significant of these relate to the losses and loss adjustment expenses, reinsurance recoverables, gross written premiums and commissions which have not been reported to the Company such as those relating to proportional treaty reinsurance contracts, the fair value of derivatives and the fair value of other investments. All material assumptions and estimates are regularly reviewed and adjustments made as necessary, but actual results could turn out significantly different from those expected when the assumptions or estimates were made. | ||
(b) | Accounting for Insurance and Reinsurance Operations | |
Premiums Earned. Premiums are recognized as revenues proportionately over the coverage period. Premiums earned are recorded in the statements of operations, net of the cost of purchased reinsurance. Premiums written which are not yet recognized as earned premium are recorded in the consolidated balance sheet as unearned premiums, gross of any ceded unearned premiums. Written and earned premiums, and the related costs, include estimates for premiums which have not yet been finally determined. These relate mainly to contractual provisions for the payment of adjustment or additional premiums, premiums payable under proportional treaties and delegated underwriting authorities and reinstatement premiums. | ||
Adjustment and additional premiums are premiums charged after coverage has expired and related to experience during the policy term. The proportion of adjustable premiums included in the premium estimates varies between business lines with the largest adjustment premiums being in property and casualty reinsurance and the smallest in property and casualty insurance. | ||
Premiums payable under proportional treaty contracts and delegated underwriting authorities are generally not reported to the Company until after the reinsurance coverage is in force. As a result, an estimate of these “pipeline” premiums is recorded. The Company estimates pipeline premiums based on projections of ultimate premium taking into account reported premiums and expected development patterns. | ||
Reinstatement premiums on assumed excess of loss reinsurance contracts are provided for based on experience under such contracts. Reinstatement premiums are the premiums charged for the restoration of the reinsurance limit of an excess of loss contract to its full amount after payment by the reinsurer of losses as a result of an occurrence and are recognized as revenue in full at the date of loss, triggering the payment of the reinstatement premiums. The payment of reinstatement premiums provides future insurance cover for the remainder of the initial policy term. An allowance for uncollectible premiums is established for possible non-payment of premium receivables, as deemed necessary. | ||
Outward reinsurance premiums are accounted for using the same accounting methodology as we use for inwards premiums. Premiums payable under reinsurance contracts that operate on a “losses occurring during” basis are accounted for in full over the period of coverage while those arising from “risks attaching during” policies are expensed over the earnings period of the premiums receivable from the reinsured business. | ||
Losses and Loss Adjustment Expenses. Losses represent the amount paid or expected to be paid to claimants in respect of events that have occurred on or before the balance sheet date. The costs of investigating, resolving and processing these claims are known as loss adjustment expenses (“LAE”). The statement of operations records these losses net of reinsurance, meaning that gross losses and loss adjustment expenses incurred are reduced by the amounts recovered or expected to be recovered under reinsurance contracts. | ||
Reinsurance. Written premiums, earned premiums, incurred claims, LAE and the amortization of deferred policy acquisition costs all reflect the net effect of assumed and ceded reinsurance transactions. Assumed reinsurance refers to the Company’s acceptance of certain insurance risks that other insurance companies have underwritten. Ceded reinsurance arises from contracts under which other insurance companies agree to share certain risks with the Company. | ||
Reinsurance accounting is followed when there is significant timing risk, significant underwriting risk and a reasonable possibility of significant loss. | ||
Reinsurance does not isolate the ceding company from its obligations to policyholders. In the event that a reinsurer fails to meet its obligations, the ceding company’s obligations remain. The Company regularly evaluates the financial condition of its reinsurers and monitors the concentration of credit risk to minimize its exposure to financial loss from reinsurers’ insolvency. Where it is considered required, appropriate provision is made for balances deemed irrecoverable from reinsurers. | ||
Reserves. Insurance reserves are established for the total unpaid cost of claims and LAE in respect of events that have occurred by the balance sheet date, including the Company’s estimates of the total cost of claims incurred but not yet reported (“IBNR”). Claim reserves are reduced for estimated amounts of salvage and subrogation recoveries. Estimated amounts recoverable from reinsurers on unpaid losses and LAE are reflected as assets. | ||
For reported claims, reserves are established on a case-by-case basis within the parameters of coverage provided in the insurance policy or reinsurance agreement. For IBNR claims, reserves are estimated using a number of established actuarial methods to establish a range of estimates from which a management best estimate is selected. Both case and IBNR reserve estimates consider variables such as past loss experience, changes in legislative conditions, changes in judicial interpretation of legal liability, policy coverages and inflation. | ||
As many of the coverages underwritten involve claims that may not be ultimately settled for many years after they are incurred, subjective judgments as to the ultimate exposure to losses are an integral and necessary component of the loss reserving process. The Company regularly reviews its reserves, using a variety of statistical and actuarial techniques to analyze current claims costs, frequency and severity data, and prevailing economic, social and legal factors. Reserves established in prior periods are adjusted as claim experience develops and new information becomes available. Adjustments to previously estimated reserves are reflected in the financial results of the period in which the adjustments are made. | ||
The process of estimating required reserves does, by its very nature, involve considerable uncertainty. The level of uncertainty can be influenced by factors such as the existence of coverage with long duration payment patterns and changes in claims handling practices, as well as the factors noted above. Ultimate actual payments for claims and LAE could turn out to be significantly different from the Company’s estimates. | ||
Amortization of Deferred Policy Acquisition Costs. The costs directly related to writing an insurance policy are referred to as policy acquisition expenses and include commissions, premium taxes and profit commissions. With the exception of profit commissions, these expenses are incurred when a policy is issued, and only the costs directly related to the successful acquisition of new and renewal insurance contracts are deferred and amortized over the same period as the corresponding premiums are recorded as revenues. Profit commissions are estimated based on the related performance criteria evaluated at the balance sheet date, with subsequent changes to those estimates recognized when they occur. | ||
On a regular basis a recoverability analysis is performed of the deferred policy acquisition costs in relation to the expected recognition of revenues, including anticipated investment income, and adjustments, if any, are reflected as period costs. Should the analysis indicate that the acquisition costs are unrecoverable, further analyses are performed to determine if a reserve is required to provide for losses which may exceed the related unearned premium. | ||
General, Administrative and Corporate Expenses. These costs represent the expenses incurred in running the business and include, but are not limited to compensation costs for employees, rental costs, IT development and operating costs and professional and consultancy fees. General, policy and administrative costs directly attributable to the successful acquisition of business are deferred and amortized over the same period as the corresponding premiums are recorded as revenues. When reporting the results for its operating segments, the Company includes expenses which are directly attributable to the segment plus an allocation of central administrative costs. Corporate expenses are not allocated to the Company’s operating segments as they typically do not fluctuate with the levels of premium written and are related to the Company’s operations which include group executive costs, group finance costs, group legal and actuarial costs and certain strategic and non-recurring costs. | ||
(c) | Accounting for Investments, Cash and Cash Equivalents | |
Fixed Income Maturities. The fixed income maturity portfolio comprises securities issued by governments and government agencies, corporate bonds, mortgage and other asset-backed securities and bank loans. Investments in fixed maturities are classified as available for sale or trading and are reported at estimated fair value in the consolidated balance sheet. Investment transactions are recorded on the trade date with balances pending settlement reflected in the consolidated balance sheet as a receivable for investments sold or a payable for investments purchased. Fair values are based on quoted market prices and other data provided by third-party pricing services and index providers. | ||
Equity Securities. The Company’s equity securities comprise U.S. and foreign equity securities. They are classified as either trading or available for sale and carried on the consolidated balance sheet at estimated fair value. The fair values are based on quoted market prices in active markets from independent pricing sources. | ||
Short-term Investments. Short-term investments primarily comprise highly liquid debt securities with a maturity greater than three months but less than one year from the date of purchase and are held as part of the investment portfolio of the Company. Short-term investments are classified as either trading or available for sale and carried at estimated fair value. | ||
Gains and Losses. Realized gains or losses on the sale of investments are determined on the basis of the first in first out cost method and, for fixed income maturity available for sale securities, include adjustments to the cost basis of investments for declines in value that are considered to be other-than-temporary. Unrealized gains and losses represent the difference between the cost, or the cost as adjusted by amortization of any difference between its cost and its redemption value (“amortized cost”), of the security and its fair value at the reporting date and are included within other comprehensive income for securities classified as available for sale and in realized and unrealized investment gains or losses in the consolidated statement of operations for securities classified as trading. | ||
Other Investments. Other investments represent the Company’s investments that are recorded using the equity method of accounting. Adjustments to the fair value of these investments are made based on the net asset value of the investee. | ||
Catastrophe Bonds. Investments in catastrophe bonds are classified as trading and are carried on the consolidated balance sheet at estimated fair value. The fair values are based on independent broker-dealer quotes. | ||
Cash and Cash Equivalents. Cash and cash equivalents are carried at fair value. Cash and cash equivalents comprise cash on hand, deposits held on call with banks and other short-term highly liquid investments due to mature within three months from the date of purchase and which are subject to insignificant risk of change in fair value. | ||
Other-than-temporary Impairment of Investments. A security is impaired when its fair value is below its cost or amortized cost. The Company reviews its investment portfolio each quarter on an individual security basis for potential other-than-temporary impairment (“OTTI”) based on criteria including issuer-specific circumstances, credit ratings actions and general macro-economic conditions. | ||
OTTI is deemed to occur when there is no objective evidence to support recovery in value of a security and a) the Company intends to sell the security or more likely than not will be required to sell the security before recovery of its cost or adjusted amortized cost basis or b) it is deemed probable that the Company will be unable to collect all amounts due according to the contractual terms of the individual security. In the first case, the entire unrealized loss position is taken as an OTTI charge to realized losses in earnings. In the second case, the unrealized loss is separated into the amount related to credit loss and the amount related to all other factors. The OTTI charge related to credit loss is recognized in realized losses in earnings and the amount related to all other factors is recognized in other comprehensive income. The cost basis of the investment is reduced accordingly and no adjustments to the cost basis are made for subsequent recoveries in value. | ||
Equity securities do not have a maturity date and therefore the Company’s review of these securities utilizes a higher degree of judgment. In its review, the Company considers its ability and intent to hold an impaired equity security for a reasonable period of time to allow for a full recovery. Where an equity security is considered to be other-than-temporarily impaired, the entire charge is recognized in realized losses in earnings. The cost basis of the investment is reduced accordingly and no adjustments to the cost basis are made for subsequent recoveries in value. | ||
Although the Company reviews each security on a case by case basis, it has also established parameters focusing on the extent and duration of impairment to help identify securities in an unrealized loss position which are other-than-temporarily impaired. For fixed maturities, the Company considers securities which have been in an unrealized loss position for 12 months or more which currently have a market value of more than 20% below cost should be other-than-temporarily impaired. For equities, the Company considers declines in value to a level of 20% or more below cost for 12 consecutive months to indicate the security should be other-than-temporarily impaired. | ||
Investment Income. Investment income includes amounts received and accrued in respect of periodic interest (“coupons”) payable to the Company by the issuer of fixed income securities, equity dividends and interest credited on cash and cash equivalents. It also includes amortization of premium and accretion of discount in respect of fixed income securities. Investment management and custody fees are charged against net investment income reported in the consolidated statement of operations. | ||
(d) | Accounting for Derivative Financial Instruments | |
The Company enters into derivative instruments such as interest rate swaps and forward exchange contracts in order to manage certain market and credit risks. The Company records derivative instruments at fair value on the Company’s balance sheet as either assets or liabilities, depending on their rights and obligations. As at December 31, 2013 the Company held no instruments which qualify for hedge accounting. | ||
The accounting for the gain or loss due to the changes in the fair value of these instruments is dependent on whether the derivative qualifies as a hedge. If the derivative does not qualify as a hedge, the gains or losses are reported in earnings when they occur. If the derivative does qualify as a hedge, the accounting treatment varies based on the type of risk being hedged. | ||
(e) | Intangible Assets | |
Intangible assets are held in the consolidated balance sheet at cost less amortization and impairment. Amortization applies on a straight-line basis in respect of assets having a finite estimated useful economic life. The Company performs a qualitative assessment annually to determine whether it is more likely than not that an indefinite-lived intangible asset, other than goodwill, is impaired. | ||
(f) | Office Properties and Equipment | |
Office properties and equipment are carried at cost less accumulated depreciation. These assets are depreciated on a straight-line basis over the estimated useful lives of the assets. Computer equipment and software is depreciated between three and five years with depreciation for software commencing on the date the software is brought into use. Furniture and fittings are depreciated over four years and leasehold improvements are depreciated over the lesser of 15 years or the lease term. | ||
(g) | Foreign Currencies Translation | |
The reporting currency of the Company is the U.S. Dollar. The functional currencies of the Company’s foreign operations and branches are the currencies in which the majority of their business is transacted. | ||
Transactions in currencies other than the functional currency are measured in the functional currency of that operation at the exchange rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in non-functional currencies are remeasured at the exchange rate prevailing at the balance sheet date and any resulting foreign exchange gains or losses are reflected in the statement of operations. | ||
Monetary assets and liabilities of the Company’s functional currency operations are translated into U.S. Dollars at the exchange rate prevailing at the balance sheet date. Income and expenses of these operations are translated at the exchange rate prevailing at the date of the transaction. Unrealized gains or losses arising from the translation of functional currencies are recorded net of tax as a component of other comprehensive income. | ||
(h) | Earnings per Ordinary Share | |
Basic earnings per ordinary share is determined by dividing net income available to ordinary shareholders by the weighted average number of ordinary shares outstanding during the period. Net income available to ordinary shareholders is calculated by deducting preference share dividends and net income/(loss) attributable to non-controlling interest from net income after tax for the period. Diluted earnings per share reflect the effect on earnings of the average number of ordinary shares outstanding associated with dilutive securities. The dilutive effect of potentially dilutive securities is calculated using the treasury stock method. | ||
(i) | Accounting for Income Tax | |
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. When the Company does not believe that, on the basis of available information, it is more likely than not that the deferred tax asset will be fully recovered, it recognizes a valuation allowance against its deferred tax assets to reduce assets to the recoverable amount. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | ||
(j) | Preference Shares | |
The Company has in issue three classes of perpetual preference shares. The Company has no obligation to pay interest on these securities but they do carry entitlements to dividends payable at the discretion of the Board of Directors. In the event of non-payment of dividends for six consecutive periods, holders of preference shares have director appointment rights. They are therefore accounted for as equity instruments and included within total shareholders’ equity. | ||
(k) | Share-Based Employee Compensation | |
The Company operates a share and option-based employee compensation plan, the terms and conditions of which are described in Note 17. The Company applies a fair-value based measurement method including estimates for future forfeitures in the calculation of the compensation costs of stock options, performance shares, phantom shares and restricted share units. | ||
(l) | Long-term debt issued by Silverton | |
The consolidated variable interest entity, Silverton, has issued debt instruments due to mature on September 16, 2016 which are further described in Note 19(c), “Commitments and Contingencies” of these consolidated financial statements. This debt is separately identified on the Company’s balance sheet and the Company has elected to record the debt at fair value. The fair value option was elected due to the potential variability over the ultimate settlement value of the debt instruments. | ||
(m) | New Accounting Policies | |
New Accounting Policies Adopted in 2013 | ||
In 2011, the Financial Accounting Standard Board (“FASB”) issued ASU 2011-11, “Disclosures about Offsetting Assets and Liabilities.” ASU 2011-11 retains the existing offsetting model under U.S. GAAP but requires disclosures to allow investors to better compare financial statements prepared under U.S. GAAP with financial statements prepared under International Financial Reporting Standards (“IFRS”) by aligning these requirements. ASU 2011-11 is effective for annual reporting periods beginning January 1, 2013, and interim periods within those annual periods. Retrospective application is required. | ||
In January 2013, the FASB issued ASU 2013-01, “Clarifying the Scope of Disclosures About Offsetting Assets and Liabilities” which clarifies which instruments and transactions are subject to the offsetting disclosure requirements established by ASU 2011-11. ASU 2013-01 addresses concerns that the scope of the disclosure requirements under ASU 2011-11 was overly broad and imposed unintended costs that were not commensurate with estimated benefits to financial statement users. In choosing to narrow the scope of the offsetting disclosures, the FASB determined that it could make them more operable and cost effective for preparers while still giving financial statement users sufficient information to analyze the most significant presentation differences between financial statements prepared in accordance with U.S. GAAP and those prepared under IFRS. Like ASU 2011-11, ASU 2013-01 is effective for fiscal years beginning on or after January 1, 2013 and interim periods therein. Retrospective application is required for any period presented that begins before the entity’s initial application of the new requirements. The Company adopted ASU 2011-11 and ASU 2013-01 in the first quarter of 2013, with the only impact being to the Company’s disclosures of its derivative instruments as presented in Note 9 of the accompanying notes to the consolidated financial statements. | ||
In February 2013, the FASB issued ASU 2013-02, “Reporting of Amounts Reclassified out of Accumulated Other Comprehensive Income” which adds new disclosure requirements for items reclassified out of accumulated other comprehensive income (“AOCI”). ASU 2013-02 is intended to improve the transparency of changes in other comprehensive income (“OCI”) and items reclassified out of AOCI in the financial statements. It does not amend any existing requirements for reporting net income or OCI in the financial statements. ASU 2013-02 was applied prospectively and was effective for annual reporting periods beginning after December 15, 2012, and interim periods within those years. The Company adopted ASU 2013-02 in the first quarter of 2013 and this information is presented in Note 21 of the accompanying notes to the consolidated financial statements. | ||
In July 2013, the FASB issued ASU 2013-10, “Inclusion of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a Benchmark Interest Rate for Hedge Accounting Purposes” which provides guidance on the risks permitted to be hedged in a fair value or cash flow hedges, specifically, the risk of changes in a hedged item’s fair value or hedged transaction’s cash flows due to the changes in the designated benchmark interest rate. ASU 2013-10 is effective prospectively for qualifying new or redesignated hedging relationships entered into on or after July 17, 2013. The Company adopted ASU 2013-10 in the third quarter of 2013 and it did not have a material impact on the Company’s consolidated financial statements. | ||
Accounting Pronouncements Not Yet Adopted | ||
In February 2013, the FASB issued ASU 2013-04, “Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation is Fixed at the Reporting Date” to provide guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date. Examples of obligations include debt arrangements, other contractual obligations and settled litigation and judicial rulings. ASU 2013-04 will be applied retrospectively and is effective for annual reporting periods beginning after December 15, 2013, and interim periods within those years. The Company does not anticipate that this standard will have a material impact on its consolidated financial statements. | ||
In March 2013, the FASB issued ASU 2013-05, “Parent’s Accounting for the Cumulative Translation Adjustment Upon Derecognition of Certain Subsidiaries or Groups of Assets Within a Foreign Entity or of an Investment in a Foreign Entity” to standardize the release of the cumulative translation adjustment into net income when a parent either sells a part or all of its investment in its foreign entities or no longer holds a controlling financial interest in a subsidiary. ASU 2013-05 will be applied prospectively and is effective for annual reporting periods beginning after December 15, 2013, and interim periods within those years. The Company does not expect ASU 2013-05 to have a material impact on its consolidated financial statements unless it should choose to sell its investments in its foreign entities or cease to hold a controlling financial interest. | ||
In July 2013, the FASB issued ASU 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” which provides guidance on financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. ASU 2013-11 is effective for fiscal years beginning after December 15, 2013 or interim periods within those years. The Company does not expect ASU 2013-11 to have a material impact on the consolidated financial statements as its presentation of unrecognized tax benefits is already as required by ASU 2013-11. | ||
On June 27, 2013, the FASB issued a proposed Accounting Standards Update, Insurance Contracts (Topic 834). The FASB invited individuals and organizations to comment on the proposed Update and the comment period has now closed. The main objectives of the guidance in this proposed update is to increase the usefulness of the information about an entity’s insurance liabilities, including the nature, amount, timing, and uncertainty of cash flows related to those liabilities, and the related effect on the statement of comprehensive income, and to provide comparability, regardless of the type of entity issuing the contract. The guidance in this proposed update would require an entity to measure its insurance contracts under one of two measurement models, referred to as the building block approach and the premium allocation approach. The proposed update would improve convergence of U.S. GAAP and IFRS by moving towards a more globally comparable standard. | ||
Under the proposed FASB guidance, there would be changes to the earnings pattern of underwriting and net investment margins and changes in the pattern and amount of revenue. In addition, there would likely be increased income statement volatility due to the requirement to update assumptions each period. Income statement volatility would be somewhat mitigated by the requirement that the impact of changes in discount rate assumptions be recorded in other comprehensive income. Adoption will have significant impacts on business strategy, investor education, key performance indicators, underlying processes, systems, internal controls, valuation models, and other fundamental aspects of the business. An entity would apply the guidance in this proposed update retrospectively, restating all comparative periods presented. Early adoption of the guidance in this proposed update would be prohibited. |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2013 | |
Related Party Transactions [Abstract] | ' |
Related Party Transactions | ' |
Related Party Transactions | |
The following summarizes the related party transactions of the Company. | |
APJ Continuation Limited | |
On January 22, 2010, the Company entered into a sale and purchase agreement to purchase APJ Continuation Limited and its subsidiaries (“APJ”) for an aggregate consideration of $4.8 million. The Company closed the transaction on March 22, 2010. The business writes a specialist account of Kidnap & Ransom (“K&R”) insurance which complements our existing political and financial risk business. The directors of Aspen Holdings assessed the fair value of the net tangible and financial assets acquired at $1.2 million. An amount of $3.6 million was the estimated goodwill on acquisition that is treated as an intangible asset. Mr. Villers, an executive officer of Aspen Holdings, held a 30% shareholding in APJ prior to its acquisition by Aspen Holdings. |
Earnings_per_Ordinary_Share
Earnings per Ordinary Share | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Earnings per Ordinary Share | ' | ||||||||||||
Earnings per Ordinary Share | |||||||||||||
Basic earnings per ordinary share are calculated by dividing net income available to holders of Aspen Holdings’ ordinary shares by the weighted average number of ordinary shares outstanding. Net income available to ordinary shareholders is calculated by deducting preference share dividends and net income/(loss) attributable to non-controlling interest from net income/(loss) after tax for the period. Diluted earnings per ordinary share are based on the weighted average number of ordinary shares and dilutive potential ordinary shares outstanding during the period of calculation using the treasury stock method. The following table sets forth the computation of basic and diluted earnings per share for the twelve months ended months ended December 31, 2013, 2012, and 2011, respectively: | |||||||||||||
Twelve Months Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
($ in millions, except share and per share amounts) | |||||||||||||
Net income/(loss) | $ | 329.3 | $ | 280.4 | $ | (110.1 | ) | ||||||
PIERS redemption (1) | (7.1 | ) | — | — | |||||||||
Preference share dividends | (35.5 | ) | (31.1 | ) | (22.8 | ) | |||||||
Net loss attributable to non-controlling interest | 0.5 | 0.2 | 0.1 | ||||||||||
Basic and diluted net income/(loss) available to ordinary shareholders | 287.2 | 249.5 | (132.8 | ) | |||||||||
Ordinary shares: | |||||||||||||
Basic weighted average ordinary shares | 66,872,048 | 71,095,856 | 70,665,166 | ||||||||||
Weighted average effect of dilutive securities (2) | 2,545,855 | 2,593,567 | — | ||||||||||
Total diluted weighted average ordinary shares | 69,417,903 | 73,689,423 | 70,665,166 | ||||||||||
Earnings/(loss) per ordinary share: | |||||||||||||
Basic | $ | 4.29 | $ | 3.51 | $ | (1.88 | ) | ||||||
Diluted | $ | 4.14 | $ | 3.39 | $ | (1.88 | ) | ||||||
_______________ | |||||||||||||
(1) | The $7.1 million deduction from net income is attributable to the reclassification from additional paid-in capital to retained earnings representing the difference between the capital raised upon issuance of the PIERS, net of the original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million. For more information, please refer to Note 14 of these consolidated financial statements. | ||||||||||||
(2) | The basic and diluted number of ordinary shares for the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. Dilutive securities comprise: investor options, employee options, performance shares associated with the Company’s long term incentive program, employee share purchase plans and restricted stock units as described in Note 17(b) of these consolidated financial statements, in addition to the PIERS that were redeemed in 2013. | ||||||||||||
Dividends. On February 6, 2014, the Company’s Board of Directors declared the following quarterly dividends: | |||||||||||||
Dividend | Payable on: | Record Date: | |||||||||||
Ordinary shares | $ | 0.18 | March 7, 2014 | February 21, 2014 | |||||||||
7.401% Preference Shares | $ | 0.462563 | April 1, 2014 | March 15, 2014 | |||||||||
7.250% Preference Shares | $ | 0.4531 | April 1, 2014 | March 15, 2014 | |||||||||
5.95% Preference Shares | $ | 0.3719 | April 1, 2014 | March 15, 2014 | |||||||||
Segment_Reporting
Segment Reporting | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||
Segment Reporting | ' | ||||||||||||
Segment Reporting | |||||||||||||
The Company has two reporting business segments: Insurance and Reinsurance. In arriving at these reporting segments, the Company has considered similarities in economic characteristics, products, customers, distribution, the regulatory environment of the Company’s operating segments and quantitative thresholds to determine the Company’s reportable segments. Segment profit or loss for each of the Company’s operating segments is measured by underwriting profit or loss. Underwriting profit is the excess of net earned premiums over the sum of losses and loss expenses, amortization of deferred policy acquisition costs and general and administrative expenses. Underwriting profit or loss provides a basis for management to evaluate the segment’s underwriting performance. | |||||||||||||
Reinsurance Segment. The reinsurance segment consists of property catastrophe reinsurance, other property reinsurance (risk excess, pro rata, facultative and engineering), casualty reinsurance (U.S. treaty, international treaty and global facultative) and specialty reinsurance (credit and surety, agriculture and other specialty). Our recently established Aspen Capital Markets forms part of our property catastrophe reinsurance line of business, as it currently focuses entirely on property catastrophe business through using alternative capital. For a more detailed description of this segment, see Part I, Item 1, “Business — Business Segments — Reinsurance” above. | |||||||||||||
Insurance Segment. The insurance segment consists of property insurance, casualty insurance, marine, aviation, energy and construction insurance, financial and professional lines insurance and programs business. For a more detailed description of this segment, see Part I, Item 1 “Business — Business Segments — Insurance” above. | |||||||||||||
Non-underwriting Disclosures. The Company has provided additional disclosures for corporate and other (non-underwriting) income and expenses. Corporate and other income and expenses include net investment income, net realized and unrealized investment gains or losses, corporate expenses, interest expenses, net realized and unrealized foreign exchange gains or losses and income taxes, which are not allocated to the underwriting segments. Corporate expenses are not allocated to the Company’s operating segments as they typically do not fluctuate with the levels of premiums written and are not directly related to the Company’s segment operations. The Company does not allocate its assets by segment as it evaluates underwriting results of each segment separately from the results of the Company’s investment portfolio. | |||||||||||||
The following tables provide a summary of gross and net written and earned premiums, underwriting results, ratios and reserves for each of the Company’s business segments for the twelve months ended December 31, 2013, 2012 and 2011: | |||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||
Reinsurance | Insurance | Total | |||||||||||
($ in millions) | |||||||||||||
Underwriting Revenues | |||||||||||||
Gross written premiums | $ | 1,133.90 | $ | 1,512.80 | $ | 2,646.70 | |||||||
Net written premiums | 1,082.00 | 1,217.70 | 2,299.70 | ||||||||||
Gross earned premiums | 1,126.60 | 1,366.80 | 2,493.40 | ||||||||||
Net earned premiums | 1,073.00 | 1,098.80 | 2,171.80 | ||||||||||
Underwriting Expenses | |||||||||||||
Losses and loss adjustment expenses | 481.7 | 742 | 1,223.70 | ||||||||||
Amortization of deferred policy acquisition costs | 207.2 | 214.8 | 422 | ||||||||||
General and administrative expenses | 131 | 185.9 | 316.9 | ||||||||||
Underwriting income/(loss) | 253.1 | (43.9 | ) | 209.2 | |||||||||
Corporate expenses | (51.2 | ) | |||||||||||
Net investment income | 186.4 | ||||||||||||
Realized and unrealized investment gains | 56.9 | ||||||||||||
Realized and unrealized investment (losses) | (20.5 | ) | |||||||||||
Change in fair value of derivatives | 1.3 | ||||||||||||
Interest expense on long term debt | (32.7 | ) | |||||||||||
Net realized and unrealized foreign exchange (losses) | (13.2 | ) | |||||||||||
Other income | 8.2 | ||||||||||||
Other expenses | (1.7 | ) | |||||||||||
Income before tax | 342.7 | ||||||||||||
Income tax expense | (13.4 | ) | |||||||||||
Net income | $ | 329.3 | |||||||||||
Net reserves for loss and loss adjustment expenses | $ | 2,646.80 | $ | 1,699.40 | $ | 4,346.20 | |||||||
Ratios | |||||||||||||
Loss ratio | 44.9 | % | 67.5 | % | 56.3 | % | |||||||
Policy acquisition expense ratio | 19.3 | 19.5 | 19.4 | ||||||||||
General and administrative expense ratio (1) | 12.2 | 16.9 | 16.9 | ||||||||||
Expense ratio | 31.5 | 36.4 | 36.3 | ||||||||||
Combined ratio | 76.4 | % | 103.9 | % | 92.6 | % | |||||||
_______________ | |||||||||||||
-1 | The general and administrative expense ratio in the total column includes corporate expenses. | ||||||||||||
Twelve Months Ended December 31, 2012 | |||||||||||||
Reinsurance | Insurance | Total | |||||||||||
( $ in millions) | |||||||||||||
Underwriting Revenues | |||||||||||||
Gross written premiums | $ | 1,227.90 | $ | 1,355.40 | $ | 2,583.30 | |||||||
Net written premiums | 1,156.90 | 1,090.00 | 2,246.90 | ||||||||||
Gross earned premiums | 1,208.00 | 1,177.00 | 2,385.00 | ||||||||||
Net earned premiums | 1,132.40 | 951.1 | 2,083.50 | ||||||||||
Underwriting Expenses | |||||||||||||
Losses and loss adjustment expenses | 635.3 | 603.2 | 1,238.50 | ||||||||||
Amortization of deferred policy acquisition costs | 207.8 | 173.4 | 381.2 | ||||||||||
General and administrative expenses | 123.9 | 168.2 | 292.1 | ||||||||||
Underwriting income | 165.4 | 6.3 | 171.7 | ||||||||||
Corporate expenses | (53.0 | ) | |||||||||||
Net investment income | 204.9 | ||||||||||||
Realized and unrealized investment gains | 35.4 | ||||||||||||
Realized and unrealized investment (losses) | (8.6 | ) | |||||||||||
Change in fair value of derivatives | (28.4 | ) | |||||||||||
Interest expense on long term debt | (30.9 | ) | |||||||||||
Net realized and unrealized foreign exchange (losses) | 3.4 | ||||||||||||
Other income | 5.6 | ||||||||||||
Other expenses | (4.7 | ) | |||||||||||
Income before tax | 295.4 | ||||||||||||
Income tax expense | (15.0 | ) | |||||||||||
Net income | $ | 280.4 | |||||||||||
Net reserves for loss and loss adjustment expenses | $ | 2,811.30 | $ | 1,469.40 | $ | 4,280.70 | |||||||
Ratios | |||||||||||||
Loss ratio | 56.1 | % | 63.4 | % | 59.4 | % | |||||||
Policy acquisition expense ratio | 18.4 | 18.2 | 18.3 | ||||||||||
General and administrative expense ratio (1) | 10.9 | 17.7 | 16.6 | ||||||||||
Expense ratio | 29.3 | 35.9 | 34.9 | ||||||||||
Combined ratio | 85.4 | % | 99.3 | % | 94.3 | % | |||||||
________________ | |||||||||||||
-1 | The general and administrative expense ratio in the total column includes corporate expenses. | ||||||||||||
Twelve Months Ended December 31, 2011 | |||||||||||||
Reinsurance | Insurance | Total | |||||||||||
($ in millions) | |||||||||||||
Underwriting Revenues | |||||||||||||
Gross written premiums | $ | 1,187.50 | $ | 1,020.30 | $ | 2,207.80 | |||||||
Net written premiums | 1,098.10 | 831 | 1,929.10 | ||||||||||
Gross earned premiums | 1,190.60 | 950.5 | 2,141.10 | ||||||||||
Net earned premiums | 1,108.30 | 780.2 | 1,888.50 | ||||||||||
Underwriting Expenses | |||||||||||||
Losses and loss adjustment expenses | 1,083.30 | 472.7 | 1,556.00 | ||||||||||
Amortization of deferred policy acquisition costs | 197.7 | 149.3 | 347 | ||||||||||
General and administrative expenses | 111.8 | 128 | 239.8 | ||||||||||
Underwriting (loss)/income | (284.5 | ) | 30.2 | (254.3 | ) | ||||||||
Corporate expenses | (44.7 | ) | |||||||||||
Net investment income | 225.6 | ||||||||||||
Realized and unrealized investment gains | 46.8 | ||||||||||||
Realized and unrealized investment (losses) | (16.5 | ) | |||||||||||
Change in fair value of derivatives | (59.9 | ) | |||||||||||
Interest expense on long term debt | (30.8 | ) | |||||||||||
Net realized and unrealized foreign exchange (losses) | (6.7 | ) | |||||||||||
Other income | 10.5 | ||||||||||||
Other (expenses) | (17.3 | ) | |||||||||||
(Loss) before tax | (147.3 | ) | |||||||||||
Income tax credit | 37.2 | ||||||||||||
Net (loss) | $ | (110.1 | ) | ||||||||||
Net reserves for loss and loss adjustment expenses | $ | 2,770.00 | $ | 1,328.60 | $ | 4,098.60 | |||||||
Ratios | |||||||||||||
Loss ratio | 97.7 | % | 60.6 | % | 82.4 | % | |||||||
Policy acquisition expense ratio | 17.8 | 19.1 | 18.4 | ||||||||||
General and administrative expense ratio (1) | 10.1 | 16.4 | 15.1 | ||||||||||
Expense ratio | 27.9 | 35.5 | 33.5 | ||||||||||
Combined ratio | 125.6 | % | 96.1 | % | 115.9 | % | |||||||
_______________ | |||||||||||||
-1 | The general and administrative expense ratio in the total column includes corporate expenses. | ||||||||||||
Geographical Areas — The following summary presents the Company’s gross written premiums based on the location of the insured risk. | |||||||||||||
For the Twelve Months Ended | |||||||||||||
31-Dec-13 | 31-Dec-12 | 31-Dec-11 | |||||||||||
($ in millions) | |||||||||||||
Australia/Asia | $ | 108.4 | $ | 139.3 | $ | 129.6 | |||||||
Caribbean | 14.4 | 12.2 | 12.4 | ||||||||||
Europe | 112.2 | 113 | 103.2 | ||||||||||
United Kingdom | 166.4 | 168.6 | 145.7 | ||||||||||
United States & Canada(1) | 1,179.60 | 1,106.90 | 875.6 | ||||||||||
Worldwide excluding United States (2) | 145.7 | 151.7 | 157.5 | ||||||||||
Worldwide including United States(3) | 827.4 | 810.8 | 698.7 | ||||||||||
Others | 92.6 | 80.8 | 85.1 | ||||||||||
Total | $ | 2,646.70 | $ | 2,583.30 | $ | 2,207.80 | |||||||
______________ | |||||||||||||
-1 | “United States and Canada” comprises individual policies that insure risks specifically in the United States and/or Canada, but not elsewhere. | ||||||||||||
-2 | “Worldwide excluding the United States” comprises individual policies that insure risks wherever they may be across the world but specifically excludes the United States. | ||||||||||||
-3 | “Worldwide including the United States” comprises individual policies that insure risks wherever they may be across the world but specifically includes the United States. |
Investments
Investments | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | ||||||||||||||||||||||||||
Investments | ' | ||||||||||||||||||||||||||
Investments | |||||||||||||||||||||||||||
Income Statement | |||||||||||||||||||||||||||
Investment Income. The following table summarizes investment income for the twelve months ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||||||||
For the Twelve Months Ended | |||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | 31-Dec-11 | |||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Fixed income maturities — Available for sale | $ | 155.6 | $ | 181.3 | $ | 203.2 | |||||||||||||||||||||
Fixed income maturities — Trading | 20.3 | 16.5 | 17.1 | ||||||||||||||||||||||||
Short-term investments — Available for sale | 2.1 | 3.1 | 1.2 | ||||||||||||||||||||||||
Short-term investments — Trading | — | — | 0.1 | ||||||||||||||||||||||||
Fixed term deposits (included in cash and cash equivalents) | 5.3 | 6.5 | 5.8 | ||||||||||||||||||||||||
Equity securities — Available for sale | 5.6 | 6.2 | 6.1 | ||||||||||||||||||||||||
Equity securities — Trading | 7 | — | — | ||||||||||||||||||||||||
Total | 195.9 | 213.6 | 233.5 | ||||||||||||||||||||||||
Investment expenses | (9.5 | ) | (8.7 | ) | (7.9 | ) | |||||||||||||||||||||
Net investment income | $ | 186.4 | $ | 204.9 | $ | 225.6 | |||||||||||||||||||||
The following table summarizes the net realized and unrealized investment gains and losses recorded in the statement of operations and the change in unrealized gains and losses on investments recorded in other comprehensive income: | |||||||||||||||||||||||||||
For the Twelve Months Ended | |||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | 31-Dec-11 | |||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
Fixed income maturities — gross realized gains | $ | 18.2 | $ | 7.6 | $ | 35.8 | |||||||||||||||||||||
Fixed income maturities — gross realized (losses) | (7.4 | ) | (0.4 | ) | (8.3 | ) | |||||||||||||||||||||
Equity securities — gross realized gains | 18 | 4.3 | 1.7 | ||||||||||||||||||||||||
Equity securities — gross realized (losses) | (0.3 | ) | (4.9 | ) | (3.2 | ) | |||||||||||||||||||||
Total other-than-temporary impairments | — | (3.0 | ) | — | |||||||||||||||||||||||
Trading: | |||||||||||||||||||||||||||
Fixed income maturities — gross realized gains | 9.5 | 9.8 | 6.2 | ||||||||||||||||||||||||
Fixed income maturities — gross realized (losses) | (2.9 | ) | (0.3 | ) | (1.7 | ) | |||||||||||||||||||||
Equity securities — gross realized gains | 2.1 | — | — | ||||||||||||||||||||||||
Equity securities — gross realized (losses) | (0.6 | ) | — | — | |||||||||||||||||||||||
Net change in gross unrealized gains/(losses) | 6.1 | 10.5 | (3.3 | ) | |||||||||||||||||||||||
Gross realized and unrealized gains in other investments | 3 | 3.2 | 3.1 | ||||||||||||||||||||||||
Other realized losses | (9.3 | ) | — | — | |||||||||||||||||||||||
Total net realized and unrealized investment gains recorded in the statement of operations | $ | 36.4 | $ | 26.8 | $ | 30.3 | |||||||||||||||||||||
Change in available for sale net unrealized (losses)/gains: | |||||||||||||||||||||||||||
Fixed income maturities | (209.6 | ) | 2.7 | 86.5 | |||||||||||||||||||||||
Short-term investments | — | — | — | ||||||||||||||||||||||||
Equity securities | 11.2 | 16.4 | 9.7 | ||||||||||||||||||||||||
Total change in pre-tax available for sale unrealized (losses)/gains | (198.4 | ) | 19.1 | 96.2 | |||||||||||||||||||||||
Change in taxes | 13.7 | (9.3 | ) | (2.7 | ) | ||||||||||||||||||||||
Total change in net unrealized (losses)/gains, net of taxes recorded in other comprehensive income | $ | (184.7 | ) | $ | 9.8 | $ | 93.5 | ||||||||||||||||||||
Other-than-temporary Impairments. A security is potentially impaired when its fair value is below its cost or amortized cost. The Company reviews its available for sale fixed income and equity portfolios on an individual security basis for potential OTTI each quarter based on criteria including issuer-specific circumstances, credit ratings actions and general macro-economic conditions. For a more detailed description of OTTI, please refer to Note 2 (c), “Basis of Preparation and Significant Accounting Policies — Accounting for Investments, Cash and Cash Equivalents.” The total OTTI charge for the twelve months ended December 31, 2013 was $Nil (2012 — $3.0 million). | |||||||||||||||||||||||||||
Other realized losses. On December 16, 2013, the Company redeemed its $250.0 million 6.00% Senior Notes due to mature August 16, 2014. This redemption resulted in a loss of $9.3 million, which is reflected in realized and unrealized investment losses recorded in the statement of operations. | |||||||||||||||||||||||||||
Balance Sheet | |||||||||||||||||||||||||||
Fixed Income Maturities, Short-Term Investments and Equities — Available For Sale. The following tables present the cost or amortized cost, gross unrealized gains and losses and estimated fair market value of available for sale investments in fixed income maturities, short-term investments and equity securities as at December 31, 2013 and December 31, 2012: | |||||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||||
Cost or | Gross | Gross | Fair Market | ||||||||||||||||||||||||
Amortized Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 1,004.70 | $ | 21.2 | $ | (5.5 | ) | $ | 1,020.40 | ||||||||||||||||||
U.S. agency | 258.5 | 11.4 | (0.8 | ) | 269.1 | ||||||||||||||||||||||
Municipal | 32.3 | 0.9 | (0.4 | ) | 32.8 | ||||||||||||||||||||||
Corporate | 2,005.60 | 82.5 | (18.7 | ) | 2,069.40 | ||||||||||||||||||||||
Non-U.S. government-backed corporate | 83.4 | 1.4 | (0.2 | ) | 84.6 | ||||||||||||||||||||||
Foreign government | 772 | 11.2 | (4.3 | ) | 778.9 | ||||||||||||||||||||||
Asset-backed | 119.8 | 2.8 | (0.3 | ) | 122.3 | ||||||||||||||||||||||
Non-agency commercial mortgage-backed | 56.9 | 5.7 | — | 62.6 | |||||||||||||||||||||||
Agency mortgage-backed | 1,116.70 | 30.6 | (18.3 | ) | 1,129.00 | ||||||||||||||||||||||
Total fixed income maturities — Available for sale | 5,449.90 | 167.7 | (48.5 | ) | 5,569.10 | ||||||||||||||||||||||
Total short-term investments — Available for sale | 160.3 | — | — | 160.3 | |||||||||||||||||||||||
Total equity securities — Available for sale | 112.2 | 37.8 | (0.5 | ) | 149.5 | ||||||||||||||||||||||
Total | $ | 5,722.40 | $ | 205.5 | $ | (49.0 | ) | $ | 5,878.90 | ||||||||||||||||||
As at December 31, 2012 | |||||||||||||||||||||||||||
Cost or | Gross | Gross | Fair Market | ||||||||||||||||||||||||
Amortized Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 1,071.80 | $ | 54.8 | $ | (0.3 | ) | $ | 1,126.30 | ||||||||||||||||||
U.S. agency | 288.3 | 20.3 | — | 308.6 | |||||||||||||||||||||||
Municipal | 37.2 | 2.6 | (0.1 | ) | 39.7 | ||||||||||||||||||||||
Corporate | 1,889.20 | 149.9 | (0.6 | ) | 2,038.50 | ||||||||||||||||||||||
Non-U.S. government-backed corporate | 98 | 3.1 | — | 101.1 | |||||||||||||||||||||||
Foreign government | 617 | 24.1 | (0.1 | ) | 641 | ||||||||||||||||||||||
Asset-backed | 49.2 | 4.6 | — | 53.8 | |||||||||||||||||||||||
Non-agency commercial mortgage-backed | 61.7 | 9.4 | — | 71.1 | |||||||||||||||||||||||
Agency mortgage-backed | 1,116.10 | 61.2 | (0.1 | ) | 1,177.20 | ||||||||||||||||||||||
Total fixed income maturities — Available for sale | 5,228.50 | 330 | (1.2 | ) | 5,557.30 | ||||||||||||||||||||||
Total short-term investments — Available for sale | 431.5 | — | — | 431.5 | |||||||||||||||||||||||
Total equity securities — Available for sale | 174 | 28.2 | (2.1 | ) | 200.1 | ||||||||||||||||||||||
Total | $ | 5,834.00 | $ | 358.2 | $ | (3.3 | ) | $ | 6,188.90 | ||||||||||||||||||
Fixed Income Maturities, Short Term Investments, Equities and Catastrophe Bonds — Trading. The following tables present the cost or amortized cost, gross unrealized gains and losses, and estimated fair market value of trading investments in fixed maturities, short-term investments, equity securities and catastrophe bonds as at December 31, 2013 and December 31, 2012: | |||||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||||
Cost or | Gross | Gross | Fair Market | ||||||||||||||||||||||||
Amortized Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 22.7 | $ | — | $ | (0.7 | ) | $ | 22 | ||||||||||||||||||
U.S. agency | 0.2 | — | — | 0.2 | |||||||||||||||||||||||
Municipal | 1.1 | — | — | 1.1 | |||||||||||||||||||||||
Corporate | 469.8 | 10.3 | (5.3 | ) | 474.8 | ||||||||||||||||||||||
Foreign government | 136.5 | 1.2 | (1.5 | ) | 136.2 | ||||||||||||||||||||||
Asset-backed | 12.7 | 0.1 | — | 12.8 | |||||||||||||||||||||||
Bank loans | 69.1 | 0.3 | (0.3 | ) | 69.1 | ||||||||||||||||||||||
Total fixed income maturities — Trading | 712.1 | 11.9 | (7.8 | ) | 716.2 | ||||||||||||||||||||||
Total equity securities — Trading | 281.6 | 34 | (4.7 | ) | 310.9 | ||||||||||||||||||||||
Total catastrophe bonds — Trading | 5.8 | — | — | 5.8 | |||||||||||||||||||||||
Total | $ | 999.5 | $ | 45.9 | $ | (12.5 | ) | $ | 1,032.90 | ||||||||||||||||||
As at December 31, 2012 | |||||||||||||||||||||||||||
Cost or | Gross | Gross | Fair Market | ||||||||||||||||||||||||
Amortized Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 9.3 | $ | 0.2 | $ | (0.1 | ) | $ | 9.4 | ||||||||||||||||||
U.S. agency | 0.2 | — | — | 0.2 | |||||||||||||||||||||||
Municipal | 2.8 | 0.1 | — | 2.9 | |||||||||||||||||||||||
Corporate | 392 | 22.7 | (0.3 | ) | 414.4 | ||||||||||||||||||||||
Foreign government | 24.4 | 1.9 | — | 26.3 | |||||||||||||||||||||||
Asset-backed | 2.9 | — | — | 2.9 | |||||||||||||||||||||||
Total fixed income maturities — Trading | 431.6 | 24.9 | (0.4 | ) | 456.1 | ||||||||||||||||||||||
Total short-term investments — Trading | 2.4 | — | — | 2.4 | |||||||||||||||||||||||
Total | $ | 434 | $ | 24.9 | $ | (0.4 | ) | $ | 458.5 | ||||||||||||||||||
The Company classifies these financial instruments as held for trading as this most closely reflects the facts and circumstances of the investments held. Unrealized foreign exchange gains and losses included in the tables above are included within net realized and unrealized foreign exchange gains/(losses) within the statement of operations and other comprehensive income. | |||||||||||||||||||||||||||
As of December 31, 2013, the Company had invested $26.5 million in BB high yield bonds classified within corporate securities and $69.1 million in its U.S. Dollar bank loans trading portfolio. In August 2013, the Company invested in a $200.0 million BBB rated EMD portfolio, which is reported above in corporate and foreign government securities. | |||||||||||||||||||||||||||
Catastrophe bonds. The Company has invested in three catastrophe bonds with a total value of $5.8 million, as of December 31, 2013. The bonds receive quarterly interest payments based on variable interest rates with scheduled maturities ranging from 2017 to 2018. The redemption value of the bonds will adjust based on the occurrence of a covered event, such as windstorms and earthquakes which occur in the geographic region of the United States, Canada and North Atlantic. | |||||||||||||||||||||||||||
Other Investments. The Company has invested in Cartesian Iris Offshore Fund L.P. (“Cartesian”), which provides capital to Iris Re, a Class 3 Bermudian reinsurer (“Iris Re”). The Company is not committed to making further investments in Cartesian; accordingly, the carrying value of the investment represents the Company’s maximum exposure to a loss as a result of its involvement with the partnership at each balance sheet date. In addition to returns on its investment, the Company provided services on risk selection, pricing and portfolio design in return for a percentage of profits from Iris Re. Adjustments to the carrying value of this investment are made based on the Company’s share of capital including share of income and expenses, which is provided in the quarterly management accounts of the partnership. The adjusted carrying value approximates fair value. On June 29, 2013, the Company notified Cartesian Capital Group of its intention to withdraw the Company’s investment in Cartesian and to terminate the services provided to Iris Re. This took effect on January 1, 2014. | |||||||||||||||||||||||||||
The Company has determined that Cartesian has the characteristics of a variable interest entity that are addressed by the guidance in ASC 810, Consolidation. Cartesian is not consolidated by the Company. The Company has no decision-making power, those powers having been reserved for the general partner. The arrangement with Cartesian is simply that of an investee to which the Company provides additional services. | |||||||||||||||||||||||||||
The Company has accounted for its investments in Cartesian in accordance with the equity method of accounting. In the twelve months ended December 31, 2013, the change in the value of the Company’s investment in Cartesian was a gain of $3.0 million (December 31, 2012 — gain of $3.2 million; December 31, 2011 — gain of $3.1 million). Changes in the value are recognized in realized and unrealized investment gains and losses in the consolidated statement of operations. | |||||||||||||||||||||||||||
On October 2, 2012, the Company established a subsidiary, Aspen Recoveries Limited, to take ownership of a 58.5% shareholding in Chaspark Maritime Holdings Ltd., a Singaporean registered company (“Chaspark”), with the remaining shareholding owned by other insurers. The shareholding in Chaspark was received as a settlement for subrogation rights associated with a contract frustration claim settlement. The Company has determined that Chaspark has the characteristics of a variable interest entity as addressed by the guidance in ASC 810-10, Consolidation. However, having considered the provisions of ASC 810-10, the Company’s investment in Chaspark does not permit the Company to direct the activities which most significantly impact Chaspark’s economic performance and the Company is not acting as principal or agent for a related party group of investors. Under these circumstances, the Company is not required to consolidate Chaspark. The investment is therefore accounted for under the equity method. Adjustments to the carrying value of this investment are made based on the Company’s share of capital including share of income and expenses, which is provided in the quarterly management accounts. The adjusted carrying value approximates fair value. | |||||||||||||||||||||||||||
The table below shows the Company’s investments in Cartesian and Chaspark for the twelve months ended December 31, 2013 and 2012: | |||||||||||||||||||||||||||
Cartesian | Chaspark | Total | |||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Opening undistributed value of investment as at January 1, 2013 | $ | 36.3 | $ | 8.7 | $ | 45 | |||||||||||||||||||||
Realized gain for the twelve months to December 31, 2013 | 3 | — | 3 | ||||||||||||||||||||||||
Closing value of investment as at December 31, 2013 | $ | 39.3 | $ | 8.7 | $ | 48 | |||||||||||||||||||||
Opening undistributed value of investment as at January 1, 2012 | $ | 33.1 | $ | — | $ | 33.1 | |||||||||||||||||||||
Investment in Chaspark Maritime Holdings Ltd. | — | 8.7 | 8.7 | ||||||||||||||||||||||||
Unrealized gain for the twelve months to December 31, 2012 | 3.2 | — | 3.2 | ||||||||||||||||||||||||
Closing value of investment as at December 31, 2012 | $ | 36.3 | $ | 8.7 | $ | 45 | |||||||||||||||||||||
Fixed Maturities. The scheduled maturity distribution of the Company’s available for sale fixed income maturity securities as at December 31, 2013 and December 31, 2012 is set forth below. Actual maturities may differ from contractual maturities because issuers of securities may have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||||
Amortized | Fair Market | Average | |||||||||||||||||||||||||
Cost or Cost | Value | S&P Ratings by | |||||||||||||||||||||||||
Maturity | |||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Due one year or less | $ | 694.8 | $ | 700 | AA | ||||||||||||||||||||||
Due after one year through five years | 2,376.10 | 2,438.00 | AA- | ||||||||||||||||||||||||
Due after five years through ten years | 1,003.90 | 1,032.80 | A+ | ||||||||||||||||||||||||
Due after ten years | 81.7 | 84.4 | AA- | ||||||||||||||||||||||||
Subtotal | 4,156.50 | 4,255.20 | |||||||||||||||||||||||||
Non-agency commercial mortgage-backed | 56.9 | 62.6 | AA+ | ||||||||||||||||||||||||
Agency mortgage-backed | 1,116.70 | 1,129.00 | AA+ | ||||||||||||||||||||||||
Other asset-backed | 119.8 | 122.3 | AAA | ||||||||||||||||||||||||
Total fixed income maturities — Available for sale | $ | 5,449.90 | $ | 5,569.10 | |||||||||||||||||||||||
As at December 31, 2012 | |||||||||||||||||||||||||||
Amortized | Fair Market | Average | |||||||||||||||||||||||||
Cost or Cost | Value | S&P Ratings by | |||||||||||||||||||||||||
Maturity | |||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Due one year or less | $ | 554.6 | $ | 561 | AA | ||||||||||||||||||||||
Due after one year through five years | 2,270.00 | 2,378.80 | AA | ||||||||||||||||||||||||
Due after five years through ten years | 1,077.80 | 1,199.30 | AA- | ||||||||||||||||||||||||
Due after ten years | 99.1 | 116.1 | AA+ | ||||||||||||||||||||||||
Subtotal | 4,001.50 | 4,255.20 | |||||||||||||||||||||||||
Non-agency commercial mortgage-backed | 61.7 | 71.1 | AA+ | ||||||||||||||||||||||||
Agency mortgage-backed | 1,116.10 | 1,177.20 | AA+ | ||||||||||||||||||||||||
Other asset-backed | 49.2 | 53.8 | AAA | ||||||||||||||||||||||||
Total fixed income maturities — Available for sale | $ | 5,228.50 | $ | 5,557.30 | |||||||||||||||||||||||
Guaranteed Investments. As at December 31, 2013, the Company held $2.3 million (December 31, 2012 — $1.5 million) in investments which are guaranteed by mono-line insurers, excluding those with explicit government guarantees, and the Company’s holding was limited to two municipal securities, both rated BBB- or higher (December 31, 2012 — two municipal securities, both rated BBB or higher). The standalone rating (rating without guarantee) is determined as the senior unsecured debt rating of the issuer. Where the credit ratings were split between the two main rating agencies, Standard & Poor’s Ratings Services LLC (“S&P”) and Moody’s Investors Service Inc. (“Moody’s”), the lowest rating was used. The Company’s exposure to other third-party guaranteed debt is primarily to investments backed by non-U.S. government guaranteed issuers. | |||||||||||||||||||||||||||
Gross Unrealized Loss. The following tables summarize as at December 31, 2013 and December 31, 2012, by type of security, the aggregate fair value and gross unrealized loss by length of time the security has been in an unrealized loss position for the Company’s available for sale portfolio: | |||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||
0-12 months | Over 12 months | Total | |||||||||||||||||||||||||
Fair | Gross | Fair | Gross | Fair | Gross | Number of | |||||||||||||||||||||
Market | Unrealized | Market | Unrealized | Market | Unrealized | Securities | |||||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 293.9 | $ | (5.5 | ) | $ | — | $ | — | $ | 293.9 | $ | (5.5 | ) | 51 | ||||||||||||
U.S. agency | 72.1 | (0.8 | ) | — | — | 72.1 | (0.8 | ) | 18 | ||||||||||||||||||
Municipal | 5.5 | (0.2 | ) | 1.3 | (0.2 | ) | 6.8 | (0.4 | ) | 7 | |||||||||||||||||
Corporate | 695.4 | (16.8 | ) | 23.4 | (1.9 | ) | 718.8 | (18.7 | ) | 372 | |||||||||||||||||
Non-U.S. government-backed corporate | 21.8 | (0.2 | ) | 4.9 | — | 26.7 | (0.2 | ) | 8 | ||||||||||||||||||
Foreign government | 239.7 | (4.1 | ) | 8.5 | (0.2 | ) | 248.2 | (4.3 | ) | 44 | |||||||||||||||||
Asset-backed | 50.2 | (0.3 | ) | — | — | 50.2 | (0.3 | ) | 51 | ||||||||||||||||||
Agency mortgage-backed | 491.8 | (18.3 | ) | 1.2 | — | 493 | (18.3 | ) | 123 | ||||||||||||||||||
Total fixed income maturities — Available for sale | 1,870.40 | (46.2 | ) | 39.3 | (2.3 | ) | 1,909.70 | (48.5 | ) | 674 | |||||||||||||||||
Total short-term investments — Available for sale | 7.7 | — | — | — | 7.7 | — | 6 | ||||||||||||||||||||
Total equity securities — Available for sale | 6 | (0.4 | ) | 2.3 | (0.1 | ) | 8.3 | (0.5 | ) | 7 | |||||||||||||||||
Total | $ | 1,884.10 | $ | (46.6 | ) | $ | 41.6 | $ | (2.4 | ) | $ | 1,925.70 | $ | (49.0 | ) | 687 | |||||||||||
December 31, 2012 | |||||||||||||||||||||||||||
0-12 months | Over 12 months | Total | |||||||||||||||||||||||||
Fair | Gross | Fair | Gross | Fair | Gross | Number of | |||||||||||||||||||||
Market | Unrealized | Market | Unrealized | Market | Unrealized | Securities | |||||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 72.7 | $ | (0.3 | ) | $ | — | $ | — | $ | 72.7 | $ | (0.3 | ) | 9 | ||||||||||||
Municipal | 1.4 | (0.1 | ) | — | — | 1.4 | (0.1 | ) | 1 | ||||||||||||||||||
Corporate | 170.8 | (0.6 | ) | — | — | 170.8 | (0.6 | ) | 63 | ||||||||||||||||||
Non-U.S. government-backed corporate | 10.1 | — | 2 | — | 12.1 | — | 3 | ||||||||||||||||||||
Foreign government | 87.7 | (0.1 | ) | 4 | — | 91.7 | (0.1 | ) | 20 | ||||||||||||||||||
Asset-backed | 0.7 | — | — | — | 0.7 | — | 1 | ||||||||||||||||||||
Agency mortgage-backed | 26.7 | (0.1 | ) | — | — | 26.7 | (0.1 | ) | 14 | ||||||||||||||||||
Total fixed income maturities — Available for sale | 370.1 | (1.2 | ) | 6 | — | 376.1 | (1.2 | ) | 111 | ||||||||||||||||||
Total short-term investments — Available for sale | 9.4 | — | — | — | 9.4 | — | 4 | ||||||||||||||||||||
Total equity securities — Available for sale | 28.6 | (1.9 | ) | 2.2 | (0.2 | ) | 30.8 | (2.1 | ) | 18 | |||||||||||||||||
Total | $ | 408.1 | $ | (3.1 | ) | $ | 8.2 | $ | (0.2 | ) | $ | 416.3 | $ | (3.3 | ) | 133 | |||||||||||
Investment Purchases and Sales. The following table summarizes investment purchases, sales and maturities for the twelve months ended months ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||||||||
For the Twelve Months Ended | |||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | 31-Dec-11 | |||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
(Purchases) of fixed income maturities — Available for sale | $ | (2,129.8 | ) | $ | (1,529.6 | ) | $ | (1,784.4 | ) | ||||||||||||||||||
(Purchases) of fixed income maturities — Trading | (763.4 | ) | (300.8 | ) | (378.6 | ) | |||||||||||||||||||||
(Purchases) of equity securities — Available for sale | (2.5 | ) | (53.1 | ) | (205.4 | ) | |||||||||||||||||||||
(Purchases) of equity securities — Trading | (304.4 | ) | — | — | |||||||||||||||||||||||
Proceeds from sales and maturities of fixed income maturities — Available for sale | 1,872.30 | 1,416.50 | 1,823.50 | ||||||||||||||||||||||||
Proceeds from sales and maturities of fixed income maturities — Trading | 486 | 257.2 | 389.9 | ||||||||||||||||||||||||
Proceeds from sales of equity securities — Available for sale | 82.2 | 46.9 | 29.2 | ||||||||||||||||||||||||
Proceeds from sales of equity securities — Trading | 24.1 | — | — | ||||||||||||||||||||||||
Net change in (payable)/receivable for securities (purchased) /sold | (0.9 | ) | 1.1 | (41.5 | ) | ||||||||||||||||||||||
Net sales/(purchases) of short-term investments — Available for sale | 258.2 | (122.7 | ) | (13.3 | ) | ||||||||||||||||||||||
Net sales/(purchases) of short-term investments — Trading | 2.4 | — | — | ||||||||||||||||||||||||
Investment in Chaspark Maritime Holdings Ltd | — | (8.7 | ) | — | |||||||||||||||||||||||
Net (purchases) of catastrophe bonds | $ | (5.8 | ) | $ | — | $ | — | ||||||||||||||||||||
Net (purchases)/sales for the year | $ | (481.6 | ) | $ | (293.2 | ) | $ | (180.6 | ) |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Fair Value Measurements | |||||||||||||||||
The Company’s estimates of fair value for financial assets and liabilities are based on the framework established in the fair value accounting guidance included in ASC Topic 820, “Fair Value Measurements and Disclosures.” The framework prioritizes the inputs, which refer broadly to assumptions market participants would use in pricing an asset or liability, into three levels. | |||||||||||||||||
The Company considers prices for actively traded securities to be derived based on quoted prices in an active market for identical assets, which are Level 1 inputs in the fair value hierarchy. The majority of these securities are valued using prices supplied by index providers. | |||||||||||||||||
The Company considers prices for other securities that may not be as actively traded which are priced via pricing services, index providers, vendors and broker-dealers, or with reference to interest rates and yield curves, to be derived based on inputs that are observable for the asset, either directly or indirectly, which are Level 2 inputs in the fair value hierarchy. The majority of these securities are also valued using prices supplied by index providers. | |||||||||||||||||
The Company considers securities, other financial instruments and derivative insurance contracts subject to fair value measurement whose valuation is derived by internal valuation models to be based largely on unobservable inputs, which are Level 3 inputs in the fair value hierarchy. | |||||||||||||||||
The following tables present the level within the fair value hierarchy at which the Company’s financial assets and liabilities are measured on a recurring basis at December 31, 2013 and December 31, 2012: | |||||||||||||||||
As at December 31, 2013 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
($ in millions) | |||||||||||||||||
Available for sale financial assets, at fair value | |||||||||||||||||
U.S. government | $ | 1,020.40 | $ | — | $ | — | $ | 1,020.40 | |||||||||
U.S. agency | — | 269.1 | — | 269.1 | |||||||||||||
Municipal | — | 32.8 | — | 32.8 | |||||||||||||
Corporate | — | 2,069.40 | — | 2,069.40 | |||||||||||||
Non-U.S. government-backed corporate | — | 84.6 | — | 84.6 | |||||||||||||
Foreign government | 596.2 | 182.7 | — | 778.9 | |||||||||||||
Asset-backed | — | 122.3 | — | 122.3 | |||||||||||||
Non-agency commercial mortgage-backed | — | 62.6 | — | 62.6 | |||||||||||||
Agency mortgage-backed | — | 1,129.00 | — | 1,129.00 | |||||||||||||
Total fixed income maturities available for sale, at fair value | 1,616.60 | 3,952.50 | — | 5,569.10 | |||||||||||||
Short-term investments available for sale, at fair value | 129.5 | 30.8 | — | 160.3 | |||||||||||||
Equity investments available for sale, at fair value | 149.5 | — | — | 149.5 | |||||||||||||
Held for trading financial assets, at fair value | |||||||||||||||||
U.S. government | $ | 22 | $ | — | $ | — | $ | 22 | |||||||||
U.S. agency | — | 0.2 | — | 0.2 | |||||||||||||
Municipal | — | 1.1 | — | 1.1 | |||||||||||||
Corporate | — | 474.8 | — | 474.8 | |||||||||||||
Foreign government | 44.2 | 92 | — | 136.2 | |||||||||||||
Asset-backed | — | 12.8 | — | 12.8 | |||||||||||||
Bank loans | — | 69.1 | — | 69.1 | |||||||||||||
Total fixed income maturities trading, at fair value | 66.2 | 650 | — | 716.2 | |||||||||||||
Short-term investments trading, at fair value | — | — | — | — | |||||||||||||
Equity investments trading, at fair value | 310.9 | — | — | 310.9 | |||||||||||||
Catastrophe bonds | — | 5.8 | — | 5.8 | |||||||||||||
Other financial assets and liabilities, at fair value | |||||||||||||||||
Derivatives at fair value — foreign exchange contracts | — | 5.9 | — | 5.9 | |||||||||||||
Derivatives at fair value — interest rate swaps | — | 1.1 | — | 1.1 | |||||||||||||
Liabilities under derivative contracts — foreign exchange contracts | — | (2.9 | ) | — | (2.9 | ) | |||||||||||
Long-term notes issued by Silverton | — | — | (50.0 | ) | (50.0 | ) | |||||||||||
Total | $ | 2,272.70 | $ | 4,643.20 | $ | (50.0 | ) | $ | 6,865.90 | ||||||||
There were no maturities, settlements or transfers between Level 1 and Level 2 during the twelve months ended December 31, 2013. There were no assets or liabilities that were classified as Level 3 as at December 31, 2013, except for the long-term notes issued by Silverton. There were no maturities, settlements, gains or transfers in or out of Level 3. For more information, see Note 19(c), “Commitments and Contingencies” of these consolidated financial statements. | |||||||||||||||||
As at December 31, 2012 | |||||||||||||||||
Level 1 | Level 2 | Total | |||||||||||||||
($ in millions) | |||||||||||||||||
Available for sale financial assets, at fair value | |||||||||||||||||
U.S. government | $ | 1,126.30 | $ | — | $ | 1,126.30 | |||||||||||
U.S. agency | — | 308.6 | 308.6 | ||||||||||||||
Municipal | — | 39.7 | 39.7 | ||||||||||||||
Corporate | — | 2,038.50 | 2,038.50 | ||||||||||||||
Non-U.S. government-backed corporate | — | 101.1 | 101.1 | ||||||||||||||
Foreign government | 487.2 | 153.8 | 641 | ||||||||||||||
Asset-backed | — | 53.8 | 53.8 | ||||||||||||||
Non-agency commercial mortgage-backed | — | 71.1 | 71.1 | ||||||||||||||
Agency mortgage-backed | — | 1,177.20 | 1,177.20 | ||||||||||||||
Total fixed income maturities available for sale, at fair value | 1,613.50 | 3,943.80 | 5,557.30 | ||||||||||||||
Short-term investments available for sale, at fair value | 426.2 | 5.3 | 431.5 | ||||||||||||||
Equity investments available for sale, at fair value | 200.1 | — | 200.1 | ||||||||||||||
Held for trading financial assets, at fair value | |||||||||||||||||
U.S. government | $ | 9.4 | $ | — | $ | 9.4 | |||||||||||
U.S. agency | — | 0.2 | 0.2 | ||||||||||||||
Municipal | — | 2.9 | 2.9 | ||||||||||||||
Corporate | — | 414.4 | 414.4 | ||||||||||||||
Foreign government | 4.2 | 22.1 | 26.3 | ||||||||||||||
Asset-backed | — | 2.9 | 2.9 | ||||||||||||||
Total fixed income maturities trading, at fair value | 13.6 | 442.5 | 456.1 | ||||||||||||||
Short-term investments trading, at fair value | 2.4 | — | 2.4 | ||||||||||||||
Other financial assets and liabilities, at fair value | |||||||||||||||||
Derivatives at fair value — foreign exchange contracts | — | 2 | 2 | ||||||||||||||
Liabilities under derivative contracts — foreign exchange contracts | — | (6.1 | ) | (6.1 | ) | ||||||||||||
Liabilities under derivative contracts — interest rate swaps | — | (1.3 | ) | (1.3 | ) | ||||||||||||
Total | $ | 2,255.80 | $ | 4,386.20 | $ | 6,642.00 | |||||||||||
There were no transfers between Level 1 and Level 2 during the twelve months ended December 31, 2012 and no assets or liabilities were classified as Level 3 as at December 31, 2012. | |||||||||||||||||
Valuation of Fixed Maturities. The Company’s fixed income maturity securities are classified as either available for sale or trading and are carried at fair value. At December 31, 2013 and December 31, 2012, the Company’s fixed income securities were valued by pricing services, index providers or broker-dealers using standard market conventions. The market conventions utilize market quotations, market transactions in comparable instruments and various relationships between instruments including, but not limited to, yield to maturity, dollar prices and spread prices in determining value. | |||||||||||||||||
Independent Pricing Services and Index Providers. The underlying methodology used to determine the fair value of securities in the Company’s available for sale and trading portfolios by the pricing services and index providers the Company uses is very similar. Pricing services will gather observable pricing inputs from multiple external sources, including buy and sell-side contacts and broker-dealers, in order to develop their internal prices. Index providers are those firms which provide prices for a range of securities within one or more asset classes, typically using their own in-house market makers (traders) as the primary pricing source for the indices, although ultimate valuations may also rely on other observable data inputs to derive a dollar price for all index-eligible securities. Index providers without in-house trading desks will function similarly to a pricing service in that they will gather their observable pricing inputs from multiple external sources. All prices for the Company’s securities attributed to index providers are for an individual security within the respective indices. | |||||||||||||||||
Pricing services and index providers provide pricing for less complex, liquid securities based on market quotations in active markets. Pricing services and index providers supply prices for a broad range of securities including those for actively traded securities, such as Treasury and other Government securities, in addition to those that trade less frequently or where valuation includes reference to credit spreads, pay down and pre-pay features and other observable inputs. These securities include Government Agency, Municipals, Corporate and Asset-Backed Securities. | |||||||||||||||||
For securities that may trade less frequently or do not trade on a listed exchange, these pricing services and index providers may use matrix pricing consisting of observable market inputs to estimate the fair value of a security. These observable market inputs include: reported trades, benchmark yields, broker-dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, reference data, and industry and economic factors. Additionally, pricing services and index providers may use a valuation model such as an option adjusted spread model commonly used for estimating fair values of mortgage-backed and asset-backed securities. Neither the Company, nor its index providers, derives dollar prices using an index as a pricing input for any individual security. | |||||||||||||||||
Broker-Dealers. The Company obtains quotes from broker-dealers who are active in the corresponding markets when prices are unavailable from independent pricing services or index providers. Generally, broker-dealers value securities through their trading desks based on observable market inputs. Their pricing methodologies include mapping securities based on trade data, bids or offers, observed spreads and performance of newly issued securities. They may also establish pricing through observing secondary trading of similar securities. Quotes from broker-dealers are non-binding. | |||||||||||||||||
The Company obtains prices for all of its fixed income investment securities via its third-party accounting service provider, and in the majority of cases receiving a number of quotes so as to obtain the most comprehensive information available to determine a security’s fair value. A single valuation is applied to each security based on the vendor hierarchy maintained by the Company’s third-party accounting service provider. | |||||||||||||||||
At December 31, 2013, the Company obtained an average of 2.6 quotes per fixed income investment, compared to 2.9 quotes at December 31, 2012. Pricing sources used in pricing fixed income investments at December 31, 2013 and December 31, 2012 were as follows: | |||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||||||
Index providers | 85 | % | 89 | % | |||||||||||||
Pricing services | 12 | 9 | |||||||||||||||
Broker-dealers | 3 | 2 | |||||||||||||||
Total | 100 | % | 100 | % | |||||||||||||
Fixed Income Maturities. A summary of securities priced using pricing information from index providers at December 31, 2013 and December 31, 2012 is provided below: | |||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||||||
Fair Market | % of Total | Fair Market | % of Total | ||||||||||||||
Value Determined | Fair Value by | Value Determined | Fair Value by | ||||||||||||||
using Prices from | Security Type | using Prices from | Security Type | ||||||||||||||
Index Providers | Index Providers | ||||||||||||||||
($ in millions, except for percentages) | |||||||||||||||||
U.S. government | $ | 998.5 | 96% | $ | 1,034.50 | 91% | |||||||||||
U.S. agency | 255.3 | 95% | 291.9 | 95% | |||||||||||||
Municipal | 14.5 | 43% | 20.5 | 48% | |||||||||||||
Corporate | 2,400.80 | 94% | 2,339.80 | 95% | |||||||||||||
Non-U.S. government-backed corporate | 55.9 | 66% | 84.5 | 84% | |||||||||||||
Foreign government | 605.8 | 66% | 516.9 | 77% | |||||||||||||
Asset-backed | 130.6 | 97% | 44.6 | 79% | |||||||||||||
Non-agency commercial mortgage-backed | 61 | 97% | 70.4 | 99% | |||||||||||||
Agency mortgage-backed | 830.6 | 74% | 957.8 | 81% | |||||||||||||
Total fixed income maturities | $ | 5,353.00 | 85% | $ | 5,360.90 | 89% | |||||||||||
The Company, in conjunction with its third-party accounting service provider, obtains an understanding of the methods, models and inputs used by the third-party pricing service and index provider to assess the ongoing appropriateness of vendors’ prices. The Company and its third-party accounting service provider also have controls in place to validate that amounts provided represent fair values. Processes to validate and review pricing include, but are not limited to: | |||||||||||||||||
• | quantitative analysis (e.g., comparing the quarterly return for each managed portfolio to its target benchmark, with significant differences identified and investigated); | ||||||||||||||||
• | comparison of market values obtained from pricing services, index providers and broker-dealers against alternative price sources for each security where further investigation is completed when significant differences exist for pricing of individual securities between pricing sources; | ||||||||||||||||
• | initial and ongoing evaluation of methodologies used by outside parties to calculate fair value; and | ||||||||||||||||
• | comparison of the fair value estimates to the Company’s knowledge of the current market. | ||||||||||||||||
Prices obtained from pricing services, index providers and broker-dealers are not adjusted by us; however, prices provided by a pricing service, index provider or broker-dealer in certain instances may be challenged based on market or information available from internal sources, including those available to the Company’s third-party investment accounting service provider. Subsequent to any challenge, revisions made by the pricing service, index provider or broker-dealer to the quotes are supplied to the Company’s investment accounting service provider. | |||||||||||||||||
Management reviews the vendor hierarchy maintained by the Company’s third-party accounting service provider in order to determine which price source provides the most appropriate fair value (i.e., a price obtained from a pricing service with more seniority in the hierarchy will be used over a less senior one in all cases). The hierarchy level assigned to each security in the Company’s available for sale and trading portfolios is based upon its assessment of the transparency and reliability of the inputs used in the valuation as of the measurement date. The hierarchy of index providers and pricing services is determined using various qualitative and quantitative points arising from reviews of the vendors conducted by the Company’s third-party accounting service provider. Vendor reviews include annual onsite due diligence meetings with index providers and pricing services vendors covering valuation methodology, operational walkthroughs and legal and compliance updates. Index providers are assigned the highest priority in the pricing hierarchy due primarily to availability and reliability of pricing information. | |||||||||||||||||
The Company’s fixed income securities are traded on the over-the-counter (“OTC”) market based on prices provided by one or more market makers in each security. Securities such as U.S. Government, U.S. Agency, Foreign Government and investment grade corporate bonds have multiple market makers in addition to readily observable market value indicators such as expected credit spread, except for Treasury securities, over the yield curve. The Company uses a variety of pricing sources to value fixed income securities including those securities that have pay down/prepay features such as mortgage-backed securities and asset-backed securities in order to ensure fair and accurate pricing. The fair value estimates for the investment grade securities in the Company’s portfolio do not use significant unobservable inputs or modeling techniques. | |||||||||||||||||
U.S. Government and Agency. U.S. government and agency securities consist primarily of bonds issued by the U.S. Treasury and corporate debt issued by agencies such as the Federal National Mortgage Association (“FNMA”), the Federal Home Loan Mortgage Corporation (“FHLMC”) and the Federal Home Loan Bank. As the fair values of U.S. Treasury securities are based on unadjusted market prices in active markets, they are classified within Level 1. The fair values of U.S. government agency securities are priced using the spread above the risk-free yield curve. As the yields for the risk-free yield curve and the spreads for these securities are observable market inputs, the fair values of U.S. government agency securities are classified within Level 2. | |||||||||||||||||
Municipals. The Company’s municipal portfolio comprises bonds issued by U.S. domiciled state and municipality entities. The fair value of these securities is determined using spreads obtained from broker-dealers, trade prices and the new issue market which are Level 2 inputs in the fair value hierarchy. Consequently, these securities are classified within Level 2. | |||||||||||||||||
Foreign Government. The issuers for securities in this category are non-U.S. governments and their agencies. The fair values of non-U.S. government bonds, primarily sourced from international indices, are based on unadjusted market prices in active markets and are therefore classified within Level 1. The fair values of the non-U.S. agency securities, again primarily sourced from international indices, are priced using the spread above the risk-free yield curve. As the yields for the risk-free yield curve and the spreads for these securities are observable market inputs, the fair values of non-U.S. agency securities are classified within Level 2. In addition, foreign government securities includes a portion of the EMD portfolio which is also classified within Level 2. | |||||||||||||||||
Corporate. Corporate securities consist primarily of U.S. and foreign corporations covering a variety of industries and are for the most part priced by index providers and pricing vendors. Some issuers may participate in the FDIC program or other similar non-U.S. government programs which guarantee timely payment of principal and interest in the event of a default. The fair values of these securities are generally determined using the spread above the risk-free yield curve. Inputs used in the evaluation of these securities include credit data, interest rate data, market observations and sector news, broker-dealer quotes and trade volumes. In addition, corporate securities includes the Company’s BB High Yield Bonds and a portion of the EMD portfolio. The Company classifies all of these securities within Level 2. | |||||||||||||||||
Mortgage-backed Securities. The Company’s residential and commercial mortgage-backed securities consist of bonds issued by the Government National Mortgage Association, the FNMA and the FHLMC as well as private non-agency issuers. The fair values of these securities are determined through the use of a pricing model (including Option Adjusted Spread) which uses prepayment speeds and spreads to determine the appropriate average life of the mortgage-backed security. These spreads are generally obtained from broker-dealers, trade prices and the new issue market. As the significant inputs used to price mortgage-backed securities are observable market inputs, these securities are classified within Level 2. | |||||||||||||||||
Asset-backed Securities. The underlying collateral for the Company’s asset-backed securities consists mainly of student loans, automobile loans and credit card receivables. These securities are primarily priced by index providers and pricing vendors. Inputs to the valuation process include broker-dealer quotes and other available trade information, prepayment speeds, interest rate data and credit spreads. The Company classifies these securities within Level 2. | |||||||||||||||||
Bank Loans. These are variable rate, senior secured debt instruments issued by non-investment grade companies that are not publicly registered but are the most senior debt in a capital structure and are generally secured by company assets. Although these assets do not trade in as liquid a market as traditional fixed income instruments, they are valued in similar fashion to other fixed maturities, using similar inputs such as yield curves, interest rates and credit spreads. These securities are primarily priced by a third party pricing vendor. Bank loans are therefore classified within Level 2. | |||||||||||||||||
Short-term Investments. Short-term investments comprise highly liquid debt securities with a maturity greater than three months but less than one year from the date of purchase. Short-term investments are valued in a manner similar to the Company’s fixed maturity investments and are classified within Levels 1 and 2. | |||||||||||||||||
Equity Securities. Equity securities include U.S. and foreign common stocks and are classified either as trading or available for sale and carried at fair value. These securities are classified within Level 1 as their fair values are based on quoted market prices in active markets from independent pricing sources. At December 31, 2013, the Company obtained an average of 4.9 quotes per equity investment, compared to 4.9 quotes as at December 31, 2012. Pricing sources used in pricing equities at December 31, 2013 and December 31, 2012 were all provided by index providers. | |||||||||||||||||
Catastrophe Bonds. Catastrophe bonds held by the Company are variable rate fixed income instruments with redemption values adjusted based on the occurrence of a covered event, usually windstorms and earthquakes. These bonds have been classified as trading and carried at fair value. Bonds are priced using an average of multiple broker-dealer quotes and as such, are considered Level 2. | |||||||||||||||||
Foreign Exchange Contracts. The foreign exchange contracts which the Company uses to mitigate currency risk are characterized as OTC due to their customized nature and the fact that they do not trade on a major exchange. These instruments trade in a very deep liquid market, providing substantial price transparency and accordingly are classified as Level 2. | |||||||||||||||||
Interest Rate Swaps. The interest rate swaps which the Company uses to mitigate interest rate risk are also characterized as OTC and are valued by the counterparty using quantitative models with multiple market inputs. The market inputs, such as interest rates and yield curves, are observable and the valuation can be compared for reasonableness with third party pricing services. Consequently, these instruments are classified as Level 2. |
Reinsurance
Reinsurance | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Reinsurance Disclosures [Abstract] | ' | ||||||||||||
Reinsurance | ' | ||||||||||||
Reinsurance | |||||||||||||
The Company purchases retrocession and reinsurance to limit and diversify the Company’s risk exposure and to increase its own insurance and reinsurance underwriting capacity. These agreements provide for recovery of a portion of losses and loss adjustment expenses from reinsurers. As is the case with most reinsurance contracts, the Company remains liable to the extent that reinsurers do not meet their obligations under these agreements, and therefore, in line with its risk management objectives, the Company evaluates the financial condition of its reinsurers and monitors concentrations of credit risk. | |||||||||||||
Balances pertaining to reinsurance transactions are reported “gross” on the consolidated balance sheet, meaning that reinsurance recoverable on unpaid losses and ceded unearned premiums are not deducted from insurance reserves but are recorded as assets. For more information on reinsurance recoverables, please refer to Note 20, “Concentrations of Credit Risk — Reinsurance recoverables” of these consolidated financial statements. | |||||||||||||
The effect of assumed and ceded reinsurance on premiums written, premiums earned and insurance losses and loss adjustment expenses is as follows: | |||||||||||||
Twelve Months Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
($ in millions) | |||||||||||||
Premiums written: | |||||||||||||
Direct | $ | 1,512.80 | $ | 1,355.40 | $ | 1,020.30 | |||||||
Assumed | 1,133.90 | 1,227.90 | 1,187.50 | ||||||||||
Ceded | (347.0 | ) | (336.4 | ) | (278.7 | ) | |||||||
Net premiums written | $ | 2,299.70 | $ | 2,246.90 | $ | 1,929.10 | |||||||
Premiums earned: | |||||||||||||
Direct | $ | 1,366.80 | $ | 1,177.00 | $ | 950.5 | |||||||
Assumed | 1,126.60 | 1,208.00 | 1,190.60 | ||||||||||
Ceded | (321.6 | ) | (301.5 | ) | (252.6 | ) | |||||||
Net premiums earned | $ | 2,171.80 | $ | 2,083.50 | $ | 1,888.50 | |||||||
Insurance losses and loss adjustment expenses: | |||||||||||||
Direct | $ | 829.4 | $ | 763 | $ | 553.4 | |||||||
Assumed | 459.4 | 650.1 | 1,230.30 | ||||||||||
Ceded | (65.1 | ) | (174.6 | ) | (227.7 | ) | |||||||
Net insurance losses and loss adjustment expenses | $ | 1,223.70 | $ | 1,238.50 | $ | 1,556.00 | |||||||
Derivative_Contracts
Derivative Contracts | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||||
Derivative Contracts | ' | |||||||||||||||||||
Derivative Contracts | ||||||||||||||||||||
The following table summarizes information on the location and amounts of derivative fair values on the consolidated balance sheet as at December 31, 2013 and 2012: | ||||||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | |||||||||||||||||||
Derivatives Not Designated as Hedging Instruments | Balance Sheet Location | Notional | Fair | Notional | Fair | |||||||||||||||
Under ASC 815 | Amount | Value | Amount | Value | ||||||||||||||||
($ in millions) | ($ in millions) | |||||||||||||||||||
Interest Rate Swaps | Derivatives at Fair Value | $ | 1,000.00 | $ | 1.1 | (1) | $ | — | $ | — | ||||||||||
Interest Rate Swaps | Liabilities under Derivative Contracts | $ | — | $ | — | $ | 1,000.00 | $ | (1.3 | ) | (1) | |||||||||
Foreign Exchange Contracts | Derivatives at Fair Value | $ | 224.4 | $ | 5.9 | $ | 335.4 | $ | 2 | |||||||||||
Foreign Exchange Contracts | Liabilities under Derivative Contracts | $ | 57.5 | $ | (2.9 | ) | $ | 88.6 | $ | (6.1 | ) | |||||||||
(1) | Net of $34.3 million of cash collateral provided to counterparties as security for the Company’s net liability position (December 31, 2012 — $52.0 million). | |||||||||||||||||||
The following table provides the unrealized and realized gains/(losses) recorded in the statement of operations for the twelve months ended December 31, 2013 and 2012: | ||||||||||||||||||||
Amount of Income/(Loss) | ||||||||||||||||||||
Recognized in the Statement | ||||||||||||||||||||
of Operations | ||||||||||||||||||||
Twelve Months Ended | ||||||||||||||||||||
Derivatives Not Designated as Hedging Instruments Under | Location of Income/(Loss) Recognized in the | 31-Dec-13 | 31-Dec-12 | |||||||||||||||||
ASC 815 | Statement of Operations | |||||||||||||||||||
($ in millions) | ||||||||||||||||||||
Foreign Exchange Contracts | Change in Fair Value of Derivatives | $ | (1.3 | ) | $ | (5.4 | ) | |||||||||||||
Interest Rate Swaps | Change in Fair Value of Derivatives | $ | 2.6 | $ | (23.0 | ) | ||||||||||||||
Foreign Exchange Contracts. The Company uses foreign exchange contracts to manage foreign currency risk. A foreign exchange contract involves an obligation to purchase or sell a specified currency at a future date at a price set at the time of the contract. Foreign exchange contracts will not eliminate fluctuations in the value of the Company’s assets and liabilities denominated in foreign currencies but rather allow it to establish a rate of exchange for a future point in time. | ||||||||||||||||||||
As at December 31, 2013, the Company held foreign exchange contracts with an aggregate value of $281.9 million (2012— $424.0 million). The foreign exchange contracts are recorded as derivatives at fair value with changes recorded as a change in fair value of derivatives in the statement of operations. For the twelve months ended December 31, 2013, the impact of foreign exchange contracts on net income was a charge of $1.3 million (December 31, 2012 — charge of $5.4 million). | ||||||||||||||||||||
Interest Rate Swaps. As at December 31, 2013, the Company held fixed for floating interest rate swaps with a total notional amount of $1.0 billion (December 31, 2012 — $1.0 billion) that are due to mature between August 4, 2014 and November 9, 2020. The interest rate swaps are used in the ordinary course of the Company’s investment activities to partially mitigate the negative impact of rises in interest rates on the market value of the Company’s fixed income portfolio. For the twelve months ended December 31, 2013, there was a gain of $2.6 million (December 31, 2012 — loss of $23.0 million). | ||||||||||||||||||||
During 2013, $38.9 million in notional amount of our interest rate swaps terminated, as a result of which we entered into $38.9 million notional 5-year interest rate swaps with termination dates in 2018. | ||||||||||||||||||||
As at December 31, 2013, cash collateral with a fair value of $34.3 million was held by the Company’s counterparties to support the current valuation of the interest rate swaps (December 31, 2012 — $52.0 million). As at December 31, 2013, no non-cash collateral was transferred to the Company by its counterparties (December 31, 2012 — $Nil). Transfers of cash collateral are recorded on the consolidated balance sheet within Derivatives at Fair Value, while transfers in respect of non-cash collateral are disclosed but not recorded. As at December 31, 2013, no amount was recorded in the consolidated balance sheet for the pledged assets. | ||||||||||||||||||||
None of the derivatives mentioned above meet the requirements for hedge accounting as per FASB ASU 815 Derivatives and Hedging and therefore changes in the estimated fair value are included in the consolidated statement of operations. |
Deferred_Policy_Acquisition_Co
Deferred Policy Acquisition Costs | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Insurance [Abstract] | ' | |||||||||
Deferred Policy Acquisition Costs | ' | |||||||||
Deferred Policy Acquisition Costs | ||||||||||
The following table represents a reconciliation of beginning and ending deferred policy acquisition costs for the twelve months ended December 31, 2013 and 2012: | ||||||||||
Twelve Months Ended | Twelve Months Ended December 31, 2012 | |||||||||
December 31, 2013 | ||||||||||
($ in millions) | ||||||||||
Balance at the beginning of the period | $ | 223 | $ | 184.5 | ||||||
Acquisition costs deferred | 461.2 | 419.7 | ||||||||
Amortization of deferred policy acquisition costs | (422.0 | ) | (381.2 | ) | ||||||
Balance at the end of the period | $ | 262.2 | $ | 223 | ||||||
Reserves_for_Losses_and_Adjust
Reserves for Losses and Adjustment Expenses | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Insurance [Abstract] | ' | ||||||||||||
Reserves for Losses and Adjustment Expenses | ' | ||||||||||||
Reserves for Losses and Loss Adjustment Expenses | |||||||||||||
The following table represents a reconciliation of beginning and ending consolidated loss and LAE reserves for the twelve months ended December 31, 2013, 2012 and 2011: | |||||||||||||
As at December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
($ in millions) | |||||||||||||
Provision for losses and LAE at the start of the year | $ | 4,779.70 | $ | 4,525.20 | $ | 3,820.50 | |||||||
Less reinsurance recoverable | (499.0 | ) | (426.6 | ) | (279.9 | ) | |||||||
Net loss and LAE at the start of the year | 4,280.70 | 4,098.60 | 3,540.60 | ||||||||||
Net loss and LAE expenses (disposed) | (34.6 | ) | (9.0 | ) | (20.6 | ) | |||||||
Provision for losses and LAE for claims incurred: | |||||||||||||
Current year | 1,331.40 | 1,375.90 | 1,648.30 | ||||||||||
Prior years | (107.7 | ) | (137.4 | ) | (92.3 | ) | |||||||
Total incurred | 1,223.70 | 1,238.50 | 1,556.00 | ||||||||||
Losses and LAE payments for claims incurred: | |||||||||||||
Current year | (172.8 | ) | (244.3 | ) | (269.3 | ) | |||||||
Prior years | (912.3 | ) | (835.7 | ) | (712.9 | ) | |||||||
Total paid | (1,085.1 | ) | (1,080.0 | ) | (982.2 | ) | |||||||
Foreign exchange (gains)/losses | (38.5 | ) | 32.6 | 4.8 | |||||||||
Net losses and LAE reserves at the end of the year | 4,346.20 | 4,280.70 | 4,098.60 | ||||||||||
Plus reinsurance recoverable on unpaid losses at the end of the year | 332.7 | 499 | 426.6 | ||||||||||
Provision for losses and LAE at the end of the year | $ | 4,678.90 | $ | 4,779.70 | $ | 4,525.20 | |||||||
For the twelve months ended December 31, 2013, there was a reduction of $107.7 million in the Company’s estimate of the ultimate claims to be paid in respect of prior accident years compared to $137.4 million for the twelve months ended December 31, 2012. The Company disposed of $34.6 million of its reserves relating to commutations during the twelve months ended December 31, 2013 (December 31, 2012 — $9.0 million, December 31, 2011 — $20.6 million). For additional information on the reserve releases, please refer to Part II, Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations — Reserves for Losses and Loss Adjustment Expenses” above. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||
Income Taxes | ' | ||||||||||||||||
Income Taxes | |||||||||||||||||
Aspen Holdings and Aspen Bermuda are incorporated under the laws of Bermuda. Under current Bermudian law, they are not taxed on any Bermudian income or capital gains and they have received an undertaking from the Bermuda Minister of Finance that, in the event of any Bermudian income or capital gains taxes being imposed, they will be exempt from those taxes until 2035. The Company’s U.S. operating companies are subject to United States corporate tax at a rate of 34%. Under the current laws of England and Wales, Aspen U.K., AUL and Aspen Managing Agency Limited (“AMAL”) are taxed at the U.K. corporate tax rate which has reduced from 24% to 23% effective as at April 1, 2013. This rate reduction was enacted on July 17, 2012 and has been reflected in current year income tax disclosures. Further reductions of the U.K. corporate tax rate to 21% from April 1, 2014 and to 20% from April 1, 2015 were enacted on July 17, 2013. The reductions in 2014 and 2015 have been reflected in deferred taxation disclosures. | |||||||||||||||||
The Company accrues interest and penalties, if applicable, as income tax expenses. The Company does not believe it will be subject to any penalties in any open tax years and has not accrued any such amounts during the twelve months ended December 31, 2013 (December 31, 2012 — $Nil). | |||||||||||||||||
Income tax returns that have been filed by the U.S. operating subsidiaries are subject to examination for 2006 and later tax years. The U.K. operating subsidiaries’ income tax returns are subject to examination for the 2012 and 2013 tax years. | |||||||||||||||||
Total income tax for the twelve months ended December 31, 2013, 2012 and 2011 is allocated as follows: | |||||||||||||||||
Twelve Months Ended December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
($ in millions) | |||||||||||||||||
Income tax expense/(benefit) on income | $ | 13.4 | $ | 15 | $ | (37.2 | ) | ||||||||||
Income tax expense/(benefit) on other comprehensive income | (13.7 | ) | 8.9 | 2.7 | |||||||||||||
Income tax (benefit) charged directly to shareholders’ equity | (1.5 | ) | (2.4 | ) | — | ||||||||||||
Total income tax expense/(benefit) | $ | (1.8 | ) | $ | 21.5 | $ | (34.5 | ) | |||||||||
Income/(loss) before tax and income tax expense/(benefit) attributable to that income/(loss) consists of: | |||||||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||||||
(Loss)/income | Current | Deferred | Total | ||||||||||||||
before tax | income tax | income tax | income tax | ||||||||||||||
expense | (benefit) | expense | |||||||||||||||
($ in millions) | |||||||||||||||||
U.S. | $ | (12.2 | ) | $ | 3.8 | $ | — | $ | 3.8 | ||||||||
Non-U.S. | 354.9 | 5.9 | 3.7 | 9.6 | |||||||||||||
Total | $ | 342.7 | $ | 9.7 | $ | 3.7 | $ | 13.4 | |||||||||
Twelve Months Ended December 31, 2012 | |||||||||||||||||
(Loss)/income | Current | Deferred | Total | ||||||||||||||
before tax | income tax | income tax | income tax | ||||||||||||||
expense | (benefit) | expense | |||||||||||||||
($ in millions) | |||||||||||||||||
U.S. | $ | (58.3 | ) | $ | 4.4 | $ | — | $ | 4.4 | ||||||||
Non-U.S. | 353.7 | 18.4 | (7.8 | ) | 10.6 | ||||||||||||
Total | $ | 295.4 | $ | 22.8 | $ | (7.8 | ) | $ | 15 | ||||||||
Twelve Months Ended December 31, 2011 | |||||||||||||||||
(Loss) | Current | Deferred | Total | ||||||||||||||
before tax | income tax | income tax | income tax | ||||||||||||||
(benefit) | (benefit) | (benefit) | |||||||||||||||
($ in millions) | |||||||||||||||||
U.S. | $ | (88.9 | ) | $ | (5.2 | ) | $ | — | $ | (5.2 | ) | ||||||
Non-U.S. | (58.4 | ) | (19.2 | ) | (12.8 | ) | (32.0 | ) | |||||||||
Total | $ | (147.3 | ) | $ | (24.4 | ) | $ | (12.8 | ) | $ | (37.2 | ) | |||||
The weighted average expected tax provision has been calculated using the pre-tax accounting income/loss in each jurisdiction multiplied by that jurisdiction’s applicable statutory tax rate. In accordance with Rule 4-08(h) of Regulation S-X, the reconciliation between the provision for income taxes and the expected tax at the weighted average rate provision is provided below: | |||||||||||||||||
Twelve Months Ended December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Income Tax Reconciliation | ($ in millions) | ||||||||||||||||
Expected tax (benefit)/expense at weighted average rate | $ | (7.5 | ) | $ | (14.4 | ) | $ | (42.9 | ) | ||||||||
Prior year adjustments (1) | (4.2 | ) | (4.9 | ) | (7.2 | ) | |||||||||||
Valuation provision on U.S. deferred tax assets | 15.1 | 26.7 | 15.9 | ||||||||||||||
Uncertain tax positions | 8.5 | 9.6 | — | ||||||||||||||
Non-utilizable foreign tax credits | 2.6 | — | — | ||||||||||||||
Disallowable expenses | 1.6 | 1.2 | 0.9 | ||||||||||||||
Other non-taxable items | (0.2 | ) | (2.4 | ) | (2.2 | ) | |||||||||||
Impact of changes in statutory tax rates | (2.5 | ) | (0.8 | ) | (1.7 | ) | |||||||||||
Total income tax expense/(benefit) | $ | 13.4 | $ | 15 | $ | (37.2 | ) | ||||||||||
________________ | |||||||||||||||||
(1) The submission dates for filing income tax returns for the Company’s U.S. and U.K. operating subsidiaries are after the submission date of the Company’s Annual Report on Form 10-K. The final tax liabilities may differ from the estimated tax provisions included in the Annual Report on Form 10-K and may result in prior year adjustments being reported. | |||||||||||||||||
For 2013, the prior period adjustment of $4.2 million includes a $2.0 million credit in respect of a change of accounting policy related to deferred acquisition costs under U.K. GAAP and a $2 million credit relating to the final determination of the equalization reserves required under U.K. GAAP, which can only be reasonably calculated on an accurate basis once the Prudential Regulation Authority Return has been finalized. Finalization of this return takes place after the Company’s Annual Report on Form 10-K has been filed. | |||||||||||||||||
For 2012, the $4.9 million prior year adjustment included a reclassification of a $3.9 million income tax charge to Other Comprehensive Income relating to unrealized investment gains (giving rise to a credit in the Income Statement), and a $1.0 million credit relating to an adjustment to the valuation of deductible employee stock awards. For 2011, the $7.2 million prior year adjustment relates to a $5.6 million adjustment following changes to the tax treatment of the Company’s Lloyd’s syndicate and a further $1.6 million adjustment for other disallowable items. | |||||||||||||||||
Uncertain tax positions. During the year ended December 31, 2013, there was a gross increase in unrecognized tax benefits totaling $8.5 million which relates to prior period tax positions. Unrecognized tax benefits as at December 31, 2012 were $15.4 million of which $9.6 million was in relation to interest and $5.8 million was in relation to equity reserves. The increase of $8.5 million comprises $0.4 million relating to interest, $0.4 million relating to tax deductions for certain expenses and $7.7 million relating to the adjustment to equity reserves. | |||||||||||||||||
Unrecognized tax benefits would reduce the effective tax rate if recognized. It is reasonably possible that the unrecognized tax benefits could decrease by $23.9 million in the next twelve months following completion of tax examinations into these matters. During the twelve months ended December 31, 2013, the Company did not recognize or accrue any interest or penalties in respect of uncertain tax positions (December 31, 2012 — $Nil). | |||||||||||||||||
Twelve Months Ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
($ in millions) | |||||||||||||||||
Unrecognized tax benefits balance at January 1 | $ | 15.4 | $ | — | |||||||||||||
Gross increases/(decreases) for tax positions of prior years | 8.5 | 5.8 | |||||||||||||||
Gross increases/(decreases) for tax positions of current year | — | 9.6 | |||||||||||||||
Unrecognized tax benefits balance at December 31 | $ | 23.9 | $ | 15.4 | |||||||||||||
Deferred_Taxation
Deferred Taxation | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Deferred Income Taxes and Other Assets [Abstract] | ' | ||||||||
Deferred Taxation | ' | ||||||||
Deferred Taxation | |||||||||
The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities are presented in the following table: | |||||||||
As at December 31, | |||||||||
2013 | 2012 | ||||||||
($ in millions) | |||||||||
Deferred tax assets: | |||||||||
Share options | $ | 3.9 | $ | 3.8 | |||||
Operating loss carry forwards | 80.9 | 69.5 | |||||||
Loss reserves | 1.7 | 1.6 | |||||||
Unrealized (gains) / losses on investments | 13.3 | — | |||||||
Accrued expenses | 8.4 | 4.5 | |||||||
Foreign tax credits | 7.5 | — | |||||||
Unearned premiums | 6.5 | 2.5 | |||||||
Timing differences on fixed assets | 5.6 | 1.2 | |||||||
Other temporary differences | 8.5 | 15.6 | |||||||
Total gross deferred tax assets | 136.3 | 98.7 | |||||||
Less valuation allowance | (93.8 | ) | (76.0 | ) | |||||
Net deferred tax assets | $ | 42.5 | $ | 22.7 | |||||
Deferred tax liabilities: | |||||||||
Equalization provision reserves | $ | (34.1 | ) | $ | (25.9 | ) | |||
Intangible assets (other) | (1.8 | ) | (1.5 | ) | |||||
Unrealized (gains) / losses on investments | (0.2 | ) | (2.8 | ) | |||||
Deferred policy acquisition costs | (4.2 | ) | (0.8 | ) | |||||
Other temporary differences | (0.6 | ) | (3.5 | ) | |||||
Total gross deferred tax (liabilities) | (40.9 | ) | (34.5 | ) | |||||
Net deferred tax (liability) | $ | 1.6 | $ | (11.8 | ) | ||||
Deferred tax liabilities and assets represent the tax effect of temporary differences between the value of assets and liabilities for financial statement purposes and such values as measured by U.K. and U.S. tax laws and regulations. Deferred tax assets and liabilities from the same tax jurisdiction have been netted off resulting in assets and liabilities being recorded under the deferred taxation captions on the consolidated balance sheet. | |||||||||
In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences and operating losses become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. At December 31, 2013, the Company had net operating losses carried forward for U.S. Federal income tax purposes of $230.6 million (2012 — $204.5 million) which are available to offset future U.S. Federal taxable income, if any, with expiry periods between 2026 and 2033. For U.S. Federal income tax purposes, the Company also has capital loss carryforwards of $2.4 million, with expiry periods between 2014 and 2016, and charitable contribution carryforwards of $0.5 million, with expiry periods between 2014 and 2018. A full valuation provision on U.S. deferred tax assets (which includes these loss carryforwards) has been recognized at December 31, 2013 as management believes that it is more likely than not that a tax benefit will not be realized. A valuation allowance of $93.8 million has been established against U.S. deferred tax assets (2012 — $76.0 million). The increase in valuation allowance totals $17.8 million with $15.1 million recorded in the consolidated income statement and $2.7 million recorded in other comprehensive income. |
Capital_Structure
Capital Structure | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Equity [Abstract] | ' | ||||||||||||
Capital Structure | ' | ||||||||||||
Capital Structure | |||||||||||||
The following table provides a summary of the Company’s authorized and issued share capital at December 31, 2013 and 2012: | |||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||
Number | $ in | Number | $ in | ||||||||||
Thousands | Thousands | ||||||||||||
Authorized share capital: | |||||||||||||
Ordinary Shares 0.15144558¢ per share | 969,629,030 | 1,469 | 969,629,030 | 1,469 | |||||||||
Non-Voting Shares 0.15144558¢ per share | 6,787,880 | 10 | 6,787,880 | 10 | |||||||||
Preference Shares 0.15144558¢ per share | 100,000,000 | 152 | 100,000,000 | 152 | |||||||||
Total authorized share capital | 1,631 | 1,631 | |||||||||||
Issued share capital: | |||||||||||||
Issued ordinary shares of 0.15144558¢ per share | 65,546,976 | 99 | 70,753,723 | 107 | |||||||||
Issued 5.625% preference shares of 0.15144558¢ each with a liquidation preference of $50 per share | — | — | 4,600,000 | 7 | |||||||||
Issued 7.401% Preference Shares of 0.15144558¢ each with a liquidation preference of $25 per share | 5,327,500 | 8 | 5,327,500 | 8 | |||||||||
Issued 7.250% Preference Shares of 0.15144558¢ each with a liquidation preference of $25 per share | 6,400,000 | 10 | 6,400,000 | 10 | |||||||||
Issued 5.95% Preference Shares of 0.15144558¢ each with a liquidation preference of $25 per share | 11,000,000 | 17 | — | — | |||||||||
Total issued share capital | 134 | 132 | |||||||||||
Additional paid-in capital as at December 31, 2013 was $1,297.4 million (2012 — $1,516.7 million). Additional paid-in capital includes the aggregate liquidation preferences of the Company’s preference shares of $568.2 million (December 31, 2012 — $523.2 million) less issue costs of $12.4 million (December 31, 2012 — $15.1 million). | |||||||||||||
(a) Ordinary Shares | |||||||||||||
The following table summarizes transactions in the Company’s ordinary shares during the years ended December 31, 2013 and December 31, 2012: | |||||||||||||
Number of Ordinary Shares | |||||||||||||
2013 | 2012 | ||||||||||||
Ordinary shares in issue at the beginning of the year | 70,753,723 | 70,655,698 | |||||||||||
Ordinary shares issued to the Names’ Trust upon exercise of investor options (refer to Note 17) | — | 116,510 | |||||||||||
Ordinary shares issued to employees under the 2003 share incentive plan and/or 2008 share purchase plan | 1,374,567 | 2,105,561 | |||||||||||
Ordinary shares issued to non-employee directors | 44,000 | 44,034 | |||||||||||
Ordinary shares repurchased | (8,461,174 | ) | (2,168,080 | ) | |||||||||
Ordinary shares issued in respect of the redemption of the PIERS | 1,835,860 | — | |||||||||||
Ordinary shares in issue at the end of the year | 65,546,976 | 70,753,723 | |||||||||||
Ordinary Share Repurchases in 2012. On February 2, 2012, our Board of Directors extended the authorization for the remaining amount of the $400.0 million ordinary share repurchase program originally authorized on February 9, 2010. As at December 31, 2011, $192.4 million remained available under the share repurchase plan. In 2012, we initiated an open market share repurchase program to repurchase ordinary shares in the open market and subsequently repurchased and cancelled a total of 2,064,643 ordinary shares for the year ended December 31, 2012 for a total consideration of $59.9 million. | |||||||||||||
On October 24, 2012, the Company’s Board of Directors approved a new share repurchase authorization for up to $400.0 million of outstanding ordinary shares. The share repurchase authorization replaced the previous authorization and permits the Company to effect the repurchases from time to time through a combination of transactions, including open market repurchases, privately negotiated transactions and accelerated share repurchase transactions. | |||||||||||||
In addition to the share repurchase program, the Company purchases shares offered from time to time by Appleby Services (Bermuda) Ltd. (the “Names’ Trustee”). On March 9, 2012, an agreement was entered into to repurchase 42,578 shares from the Names’ Trustee for a total consideration of $1.1 million and on March 23, 2012, an agreement was signed to repurchase 26,708 shares from the Names’ Trustee for a total consideration of $0.7 million. The shares under both transactions were repurchased on May 8, 2012 and subsequently cancelled. | |||||||||||||
On August 10, 2012, an agreement was entered into to repurchase 34,151 ordinary shares from the Names’ Trustee for a total consideration of $1.0 million. The shares were purchased and subsequently cancelled on October 24, 2012. | |||||||||||||
Ordinary Share Repurchases in 2013. On February 7, 2013, the Company’s Board of Directors replaced the then existing share repurchase authorization of $400.0 million with a new authorization of $500.0 million. The total share repurchase authorization, which was effective immediately through February 7, 2015, permits the Company to effect the repurchases from time to time through a combination of transactions, including open market repurchases, privately negotiated transactions and accelerated share repurchase transactions. | |||||||||||||
Under the open market repurchases, the Company acquired and cancelled a total of 4,353,461 ordinary shares for the twelve months ended December 31, 2013. The total consideration paid for the twelve months ended December 31, 2013 was $157.6 million with the average price for the twelve months ended December 31, 2013 being $36.21. The Company had $224.2 million remaining under its current share repurchase aurthorization as at December 31, 2013. | |||||||||||||
On February 26, 2013, the Company also entered into an Accelerated Share Repurchase Agreement (“ASR”) with Goldman Sachs & Co. (“Goldman”) to repurchase an aggregate of $150.0 million of the Company’s ordinary shares. Under the ASR, the Company initially acquired and cancelled 3,348,214 ordinary shares on March 1, 2013. On August 29, 2013, Goldman terminated the ASR and delivered to the Company an additional 705,062 ordinary shares. The total amount repurchased under the ASR was 4,053,276 ordinary shares at an average price of $37.01. Settlement was made entirely in the Company’s ordinary shares and was accounted for as an equity transaction under the guidelines specified under ASC 815 Derivatives and Hedging. | |||||||||||||
On March 4, 2013, the Company entered into a share repurchase agreement with the Names’ Trustee for the purchase of 54,437 ordinary shares for a total purchase price of $2.0 million. This share repurchase closed on March 21, 2013. | |||||||||||||
(b) Preference Shares | |||||||||||||
Preference Shares Redemption. During 2005 and 2006, the Company issued 4.6 million 5.625% Perpetual Preferred Income Equity Replacement Securities (“PIERS”). The PIERS were convertible at the Company’s option if, at any time on or after January 1, 2009, the closing sale price of the Company’s ordinary shares equaled or exceeded 130% of the then prevailing conversion price for 20 trading days during any consecutive 30-trading day period, as well as the last day of such 30-day period. | |||||||||||||
The PIERS were dilutive to the Company’s ordinary shares when the Company’s share price exceeded the prevailing conversion price and therefore, as the Company’s share price was generally above the 130% conversion price test, they were included in the Company’s fully diluted share count until the Company announced it would mandatorily redeem the PIERS. | |||||||||||||
On April 25, 2013, the Company announced it would mandatorily redeem all of its PIERS outstanding based on the terms of the PIERS. Each holder of a PIERS unit received $50.00, equating to a total payment of $230.0 million in cash plus a number of the Company’s ordinary shares based on the conversion rate calculated in accordance with the average trading price of the Company’s ordinary shares over a 20-trading day settlement period following the Company’s issuance of the press release announcing the mandatory conversion. The conversion rate was 1.7121 shares of the Company’s ordinary shares per $50.00 liquidation preference of the PIERS equating to a total issuance of 1,835,860 ordinary shares. The Company settled the amount on May 30, 2013. In accordance with the terms of the PIERS, no further dividends were paid on the PIERS following the announcement of their mandatory redemption. As a result of the redemption, the difference of $7.1 million between the capital raised upon issuance of the PIERS, net of original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million was reclassified from additional paid-in capital to retained earnings. | |||||||||||||
Preference Shares Issuance. On November 15, 2006, the Company issued 8,000,000 preference shares with a liquidation preference of $25 for an aggregate amount of $200.0 million. Each share will receive dividends on a non-cumulative basis only when declared by our Board of Directors initially at an annual rate of 7.401% (the “7.401% Preference Shares”) (NYSE: AHL-PRA). Starting on January 1, 2017, the dividend rate for the 7.401% Preference Shares will be paid at a floating annual rate, reset quarterly, equal to 3-month LIBOR plus 3.28%. The 7.401% Preference Shares have no stated maturity but are callable at the option of the Company on or after the 10th anniversary of the date of issuance. The Company raised proceeds of $196.3 million, net of total costs of $3.7 million, from this issuance. | |||||||||||||
On March 31, 2009, the Company repurchased 2,672,500 of its 7.401% Preference Shares at a price of $12.50 per share. For earnings per share purposes, the repurchase resulted in a $31.5 million gain, net of a non-cash charge of $1.2 million reflecting the write off of the pro-rata portion of the original issuance costs of the 7.401% Preference Shares. | |||||||||||||
On April 11, 2012, the Company issued 6,400,000 shares of 7.250% Perpetual Non-Cumulative Preference Shares (the “7.250% Preference Shares”) (NYSE: AHL-PRB). The 7.250% Preference Shares have a liquidation preference of $25 per share. Net proceeds were $154.5 million, comprising $160.0 million of total liquidation preference less $5.5 million of issue expenses. | |||||||||||||
The 7.250% Preference Shares ranked equally with the PIERS and rank equally with the 7.401% Preference Shares and the 5.95% Preference Shares and have no fixed maturity date. The Company may redeem all or a portion of the Preference Shares at a redemption price of $25 per share on or after July 1, 2017. | |||||||||||||
In the event of liquidation of the Company, the holders of outstanding preference shares would have preference over the ordinary shareholders and would receive a distribution equal to the liquidation preference per share, subject to availability of funds. In connection with the issuance of the 7.401% Preference Shares, the Company entered into a Replacement Capital Covenant, initially for the benefit of persons that hold the Company’s Senior Notes, that the Company will not redeem or repurchase the 7.401% Preference Shares on or before November 15, 2046, unless, during the six months prior to the date of that redemption or repurchase, the Company receives a specified amount of proceeds from the sale of ordinary shares. | |||||||||||||
On August 17, 2012, the Company designated the 6.00% Senior Notes due December 15, 2020, as the covered debt in accordance with the terms of the Replacement Capital Covenant. | |||||||||||||
On May 2, 2013, the Company issued 11.0 million shares of 5.95% of Fixed-to-Floating Perpetual Non-Cumulative Preference Shares (the “5.95% Preference Shares”). Each preference shareholder will receive dividends on a non-cumulative basis only when declared by the Board of Directors initially at an annual fixed rate of 5.95% until July 1, 2023 at which time a floating rate, reset quarterly, of 3-month LIBOR plus 4.06% will commence per annum. The 5.95% Preference Shares have a liquidation preference of $25.00 per share and net proceeds were $270.6 million (comprising $275.0 million of total liquidation preference less $4.4 million of issue expenses). | |||||||||||||
The Company used $230.0 million of the net proceeds from this offering for settling the cash portion of the mandatory conversion of the PIERS. | |||||||||||||
The 5.95% Preference Shares rank equally with preference shares previously issued by the Company and have no fixed maturity date. The Company may redeem all or a portion of the 5.95% Preference Shares at a redemption price of $25.00 per share on or after July 1, 2023. The Company has listed the 5.95% Preference Shares on the New York Stock Exchange under the symbol “AHLPRC.” |
Statutory_Requirements_and_Div
Statutory Requirements and Dividends Restrictions | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Statutory Requirements and Dividends Restrictions | ' | ||||||||||||
Statutory Requirements and Dividends Restrictions | |||||||||||||
As a holding company, Aspen Holdings relies on dividends and other distributions from its Operating Subsidiaries to | |||||||||||||
provide cash flow to meet ongoing cash requirements, including any future debt service payments and other expenses, and to | |||||||||||||
pay dividends, if any, to our preference and ordinary shareholders. As of December 31, 2013, there were no restrictions under Bermudian law or the law of any other jurisdiction on the payment of dividends from retained earnings by Aspen Holdings. The ability of the Company’s Operating Subsidiaries to pay the Company dividends or other distributions is subject to the laws and regulations applicable to each jurisdiction, as well as the Operating Subsidiaries’ need to maintain capital requirements adequate to maintain their insurance and reinsurance operations and their financial strength ratings issued by independent rating agencies. | |||||||||||||
The company law of England and Wales prohibits Aspen U.K. or AUL from declaring a dividend to its shareholders unless it has “profits available for distribution.” The determination of whether a company has profits available for distribution is based on its accumulated realized profits and other distributable reserves less its accumulated realized losses. While the U.K. insurance regulatory laws impose no statutory restrictions on a general insurer’s ability to declare a dividend, the PRA’s rules require each insurance company within its jurisdiction to maintain its solvency margin at all times. On October 21, 2013, and in line with common market practice for regulated institutions, the PRA requested that it be afforded with the opportunity to provide a “non-objection” prior to all future dividend payments made by Aspen U.K. As at December 31, 2013 Aspen U.K. and AUL had accumulated balances of retained losses of approximately $79.8 million and $2.0 million, respectively. In addition, Aspen U.K. held a capital contribution reserve of $470.0 million which under certain circumstances would also be distributable. | |||||||||||||
Aspen Bermuda and Aspen Holdings must comply with the provisions of the Bermuda Companies Act 1981, as amended, (the “Companies Act”) regulating the payment of dividends and distributions. There were no significant restrictions under company law on the ability of Aspen Bermuda to pay dividends funded from its accumulated balances of retained income as at December 31, 2013. Aspen Bermuda may not in any financial year pay dividends which would exceed 25% of its total statutory capital and surplus, as shown on its statutory balance sheet in relation to the previous financial year, unless it files with the BMA a solvency affidavit at least seven days in advance. As at December 31, 2013, 25% of Aspen Bermuda’s statutory capital and surplus amounted to $476.9 million. Further, Aspen Bermuda must obtain the prior approval of the BMA before reducing by 15% or more its total statutory capital as set out in its previous year’s financial statements. | |||||||||||||
Under North Dakota law, Aspen Specialty may only pay dividends out of earned surplus as distinguished from contributed surplus. Aspen Specialty could pay a dividend as at December 31, 2013 without regulatory approval of approximately $10.1 million. Under Texas law, AAIC’s policyholder surplus after payment of a dividend shall be an | |||||||||||||
amount reasonable in relation to AAIC’s outstanding liabilities and adequate to AAIC’s financial needs. AAIC could pay a dividend without regulatory approval as at December 31, 2013 of approximately $17.2 million. | |||||||||||||
Actual and required statutory capital and surplus for the principal operating subsidiaries of the Company, excluding its Lloyd’s syndicate, as at December 31, 2013 and December 31, 2012 were approximately: | |||||||||||||
As at December 31, 2013 | |||||||||||||
U.S. | Bermuda | U.K. | |||||||||||
($ in millions) | |||||||||||||
Required statutory capital and surplus | $ | 40.9 | $ | 1,068.20 | $ | 218.8 | |||||||
Statutory capital and surplus | $ | 375.3 | $ | 1,907.40 | $ | 1,005.10 | |||||||
As at December 31, 2012 | |||||||||||||
U.S. | Bermuda | U.K. | |||||||||||
($ in millions) | |||||||||||||
Required statutory capital and surplus | $ | 43.7 | $ | 1,089.70 | $ | 202.6 | |||||||
Statutory capital and surplus | $ | 273.2 | $ | 1,934.30 | $ | 1,273.60 | |||||||
AUL as the sole corporate member of our Lloyd’s Syndicate is required to maintain Funds at Lloyd’s of $325.1 million. As at December 31, 2013, AUL had total funds at Lloyd’s of $346.6 million of which $311.6 million was provided by Aspen Bermuda. |
Retirement_Plans
Retirement Plans | 12 Months Ended |
Dec. 31, 2013 | |
Compensation and Retirement Disclosure [Abstract] | ' |
Retirement Plans | ' |
Retirement Plans | |
The Company operates defined contribution retirement plans for the majority of its employees at varying rates of their salaries, up to a maximum of 20%. Total contributions by the Company to the retirement plan were $11.7 million in the twelve months ended December 31, 2013, $11.1 million in the twelve months ended December 31, 2012 and $11.0 million in the twelve months ended December 31, 2011. |
ShareBased_Payments
Share-Based Payments | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||||||||||
Share Based Payments | ' | ||||||||||||||||||||||||
Share-Based Payments | |||||||||||||||||||||||||
The Company issued options and other equity incentives under three arrangements: investor options, the employee equity incentive plan and the non-employee equity incentive plan. When options are exercised or other equity awards vest, new shares are issued as the Company does not currently hold treasury shares. | |||||||||||||||||||||||||
(a) | Investor Options | ||||||||||||||||||||||||
The investor options were issued on June 21, 2002 in connection with the transfer to Aspen Holdings of part of the operations of Wellington Underwriting plc (“Wellington”), the Company’s predecessor company. The Company conferred the option to subscribe for up to 6,787,880 ordinary shares of Aspen Holdings to Wellington and members of Syndicate 2020 who were not corporate members of the Lloyd’s syndicate managed by Wellington (the “Wellington Names”). All of the options issued to Wellington were exercised on March 28, 2007 resulting in the issuance of 426,083 ordinary shares by the Company. | |||||||||||||||||||||||||
The options issued to the Wellington Names were held for their benefit by the Names’ Trustee. The subscription price payable under the options was initially £10 and increased by 5% per annum, less any dividends paid. Option holders were not entitled to participate in any dividends prior to exercise and would not rank as a creditor in the event of liquidation. All options were exercised prior to the expiry date of June 21, 2012. | |||||||||||||||||||||||||
The table below shows the number of Names’ options exercised and the number of shares issued since our initial public offering: | |||||||||||||||||||||||||
Options Granted | Options Exercised | Ordinary Shares Issued | |||||||||||||||||||||||
2002 | 3,006,760 | — | — | ||||||||||||||||||||||
2003 | — | 440,144 | 152,583 | ||||||||||||||||||||||
2004 | — | 856,218 | 135,321 | ||||||||||||||||||||||
2005 | — | 303,321 | 56,982 | ||||||||||||||||||||||
2006 | — | 34,155 | 3,757 | ||||||||||||||||||||||
2007 | — | 66,759 | 7,381 | ||||||||||||||||||||||
2008 | — | 20,641 | 3,369 | ||||||||||||||||||||||
2009 | — | 9,342 | 3,056 | ||||||||||||||||||||||
2010 | — | 149,895 | 49,538 | ||||||||||||||||||||||
2011 | — | 761,037 | 255,504 | ||||||||||||||||||||||
2012 | — | 365,248 | 116,510 | ||||||||||||||||||||||
Total as at December 31, 2013 | 3,006,760 | 3,006,760 | 784,001 | ||||||||||||||||||||||
(b) | Employee Equity Incentives | ||||||||||||||||||||||||
Employee options and other awards are granted under the Aspen 2003 Share Incentive Plan prior to April 24, 2013 and thereafter, the new 2013 Share Incentive Plan. The total number of ordinary shares that may be issued under the 2013 Share Incentive Plan is 2,845,683 shares, which includes 595,683 shares available to grant under the 2003 Share Incentive Plan as of February 25, 2013. The number of ordinary shares that may be issued under the 2013 Share Incentive Plan is adjusted per the number of awards that may be forfeited under the 2003 Share Incentive Plan. | |||||||||||||||||||||||||
Options. Stock options were granted with an exercise price equivalent to the fair value of the share on the grant date. The weighted average value at grant date was determined using the Black-Scholes option pricing model. Stock options typically vest over a three-year period with a ten-year contract period (except for options granted in 2007 which have a seven-year exercise period) with vesting dependent on time and performance conditions established at the time of grant. No options were granted during the twelve months ended December 31, 2013 (2012 — Nil) and 904,242 options were exercised and issued in the twelve months ended December 31, 2013 (2012 — 1,243,194). No charges or tax charges against income were made in respect of employee options for the twelve months ended December 31, 2013 (2012 — $Nil; 2011 — $Nil). | |||||||||||||||||||||||||
The following table summarizes information about employee options outstanding to purchase ordinary shares at December 31, 2013. | |||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Options | Options | Options | Outstanding | Exercise | Weighted Average | Remaining | |||||||||||||||||||
Granted | Forfeited | Exercised | and | Price | Fair Value at | Contractual | |||||||||||||||||||
Exercisable | Grant Date | Time | |||||||||||||||||||||||
Option Holder | |||||||||||||||||||||||||
2003 Option grants | 3,884,030 | 712,906 | 3,171,124 | — | $16.20 | $5.31 | expired | ||||||||||||||||||
2004 Option grants | 500,113 | 276,082 | 196,178 | 27,853 | $24.44 | $5.74 | 1 year | ||||||||||||||||||
2006 Option grants February 16 | 1,072,490 | 450,567 | 470,095 | 151,828 | $23.65 | $6.99 | 2 years, 2 months | ||||||||||||||||||
2007 Option grants May 4 | 607,641 | 154,181 | 347,261 | 106,199 | $27.28 | $6.14 | 4 months | ||||||||||||||||||
With respect to the 2003 options, 65% of the options were subject to time-based vesting with 20% vesting upon grant and 20% vesting on each December 31 of the calendar years 2003, 2004, 2005 and 2006. The remaining 35% of the initial grant options were subject to performance-based vesting and in any event cliff vested on December 31, 2009. The 2003 options expired on August 20, 2013. | |||||||||||||||||||||||||
The 2004 options vested over a three-year period with vesting subject to the achievement of Company performance targets. The options lapse if the criteria are not met. As at December 31, 2004, not all performance targets were met and 242,643 options for non-performance were cancelled. | |||||||||||||||||||||||||
The 2006 options vested at the end of a three-year period with vesting subject to the achievement of one-year and three-year performance targets. The options lapse if the criteria were not met. A total of 695,643 of 2006 options vested. | |||||||||||||||||||||||||
The 2007 option grants are not subject to performance conditions and 476,250 options vested at the end of the three-year period from the date of grant on May 4, 2010. The options are exercisable for a period of seven years from the date of grant. | |||||||||||||||||||||||||
The intrinsic value of options exercised in the twelve months ended December 31, 2013 was $17.2 million (2012 — $18.7 million; 2011 — $0.4 million). | |||||||||||||||||||||||||
The following table shows the per share weighted average fair value and the related underlying assumptions using a modified Black-Scholes option pricing model by date of grant: | |||||||||||||||||||||||||
Grant Date | |||||||||||||||||||||||||
October 22, 2007 | May 4, | August 4, | February 16, | December 23, | August 20, | ||||||||||||||||||||
2007 | 2006 | 2006 | 2004 | 2003(1) | |||||||||||||||||||||
Per share weighted average fair value | $ | 5.76 | $ | 6.14 | $ | 4.41 | $ | 6.99 | $ | 5.74 | $ | 5.31 | |||||||||||||
Risk free interest rate | 4.09 | % | 4.55 | % | 5.06 | % | 4.66 | % | 3.57 | % | 4.7 | % | |||||||||||||
Dividend yield | 2.1 | % | 2.2 | % | 2.6 | % | 2.7 | % | 0.5 | % | 0.6 | % | |||||||||||||
Expected life | 5 years | 5 years | 5 years | 5 years | 5 years | 7 years | |||||||||||||||||||
Share price volatility | 20.28 | % | 23.76 | % | 19.33 | % | 35.12 | % | 19.68 | % | — | ||||||||||||||
Foreign currency volatility | — | — | — | — | 9.4 | % | 9.4 | % | |||||||||||||||||
________________ | |||||||||||||||||||||||||
-1 | The 2003 options had a price volatility of zero. The minimum value method was utilized because the Company was unlisted on the date that the options were issued. Foreign currency volatility of 9.40% was applied as the exercise price was initially in British Pounds and the share price of the Company is in U.S. Dollars. | ||||||||||||||||||||||||
The above table does not show the per share weighted average fair value and the related underlying assumptions for the 2005 options as the performance targets were not met and all options were forfeited. | |||||||||||||||||||||||||
Restricted Share Units. Restricted share units (“RSUs”) granted to employees vest over a two or three-year period, based on continued service. Some of the grants vest at year-end, while some other grants vest on the anniversary of the date of grant or when the Compensation Committee of the Board of Directors agrees to deliver them. Holders of restricted share units will be paid one ordinary share for each unit that vests as soon as practicable following the vesting date. Holders of restricted share units generally will not be entitled to any rights of a holder of ordinary shares, including the right to vote, unless and until their units vest and ordinary shares are issued but they are entitled to receive dividend equivalents. Dividend equivalents will be denominated in cash and paid in cash if and when the underlying units vest. | |||||||||||||||||||||||||
The following table summarizes information about RSUs as at December 31, 2013. | |||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Restricted Share Units | |||||||||||||||||||||||||
RSU Holder | Amount | Amount | Amount | Amount | |||||||||||||||||||||
Granted | Vested | Forfeited | Outstanding | ||||||||||||||||||||||
2004 - 2010 Grants | 782,892 | 734,002 | 48,890 | — | |||||||||||||||||||||
2011 Grants | 183,019 | 110,876 | 19,941 | 52,202 | |||||||||||||||||||||
2012 Grants | 350,899 | 110,438 | 43,855 | 196,606 | |||||||||||||||||||||
2013 Grants | 307,441 | — | 18,482 | 288,959 | |||||||||||||||||||||
Total | 1,624,251 | 955,316 | 131,168 | 537,767 | |||||||||||||||||||||
The fair value of the RSUs is based on the closing price on the date of the grant. The fair value is expensed through the consolidated income statement evenly over the vesting period. Compensation cost in respect of RSUs charged against income was $7.6 million for the twelve months ended December 31, 2013 (2012 — $7.6 million; 2011 — $3.0 million) with a fair value adjustment for the twelve months ended December 31, 2013 of $0.4 million (2012 — $0.3 million; 2011 — $Nil). The total tax credit recognized by the Company in relation to RSUs in the twelve months ended December 31, 2013 was $1.9 million (2012 — $1.6 million; 2011 — $1.0 million). | |||||||||||||||||||||||||
Performance Shares. Performance share awards are not entitled to dividends before they vest. Performance shares that vest will only be issued following the approval of the Board of Directors of the final performance target in the three-year period, and subject to the participant’s continued employment. | |||||||||||||||||||||||||
The following table summarizes information about performance shares as at December 31, 2013: | |||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Performance Share Awards | |||||||||||||||||||||||||
Amount | Amount | Amount | Amount Outstanding | ||||||||||||||||||||||
Granted | Vested | Forfeited | |||||||||||||||||||||||
2004 - 2010 Grants (1) | 3,303,844 | 1,735,291 | 1,568,553 | — | |||||||||||||||||||||
2011 Grants | 890,794 | 485,151 | 405,643 | — | |||||||||||||||||||||
2012 Grants (2) | 344,131 | 95,942 | 48,622 | 199,567 | |||||||||||||||||||||
2013 Grants (2) | 250,066 | 25,001 | 12,715 | 212,350 | |||||||||||||||||||||
Total | 4,788,835 | 2,341,385 | 2,035,533 | 411,917 | |||||||||||||||||||||
______________________ | |||||||||||||||||||||||||
-1 | The amounts vested and forfeited on the 2004 - 2010 performance share awards have been updated to reflect employees leaving after the financial reporting date but before the final vesting date. | ||||||||||||||||||||||||
-2 | These balances could increase depending on future performance. | ||||||||||||||||||||||||
On February 3 and 4, 2011, the Compensation Committee approved the grant of 853,223 performance shares with a grant date of February 9, 2011. Additional grants of 31,669 and 5,902 performance shares were made on March 21, 2011 and May 2, 2011, respectively. The performance shares will be subject to a 3-year vesting period with a separate annual ROE test for each year. One-third of the grant will be eligible for vesting each year based on a formula, and will only be issuable at the end of the 3-year period. | |||||||||||||||||||||||||
If the ROE achieved in 2011 is: | |||||||||||||||||||||||||
• | less than 6%, then the portion of the performance shares subject to the vesting conditions in such year will be forfeited (i.e., 33.33% of the initial grant); | ||||||||||||||||||||||||
• | between 6% and 11%, then the percentage of the performance shares eligible for vesting in such year will be between 10% and 100% on a straight-line basis; and | ||||||||||||||||||||||||
• | between 11% and 21%, then the percentage of the performance shares eligible for vesting in such year will be between 100% and 200% on a straight-line basis. | ||||||||||||||||||||||||
At its meeting held on February 1, 2012, the Compensation Committee approved the vesting conditions for the portion of the 2011 performance shares subject to 2012 performance testing. If the ROE achieved in 2012 is less than 5%, then the portion of the performance shares subject to the vesting conditions in such year will be forfeited (i.e. 33.33% of the initial grant). If the ROE achieved in 2012 is between 5% and 10%, then the percentage of the performance shares eligible for vesting will be between 10% and 100% on a straight-line basis. If the ROE achieved in 2012 is between 10% and 20%, then the percentage of the performance shares eligible for vesting will be between 100% and 200% on a straight-line basis. | |||||||||||||||||||||||||
2011 Performance Shares | |||||||||||||||||||||||||
Year | Split | ROE | Banked | ||||||||||||||||||||||
2011 | 33.3 | % | (5.3 | )% | — | % | |||||||||||||||||||
2012 | 33.3 | % | 10 | % | 33.3 | % | |||||||||||||||||||
2013 | 33.3 | % | 11.7 | % | 39 | % | |||||||||||||||||||
Total | 100 | % | 72.3 | % | |||||||||||||||||||||
The total number of shares that have vested for the 2011 performance shares in 2011 was nil. The total number of shares that have vested for the 2011 performance shares in 2012 was 169,981. The total number of 2011 performance shares that will vest in 2013 upon the filing of this report will be 315,170. | |||||||||||||||||||||||||
On February 2, 2012, the Compensation Committee approved the grant of 334,125 performance shares with a grant date of February 8, 2012. An additional grant of 10,006 performance shares was made on November 1, 2012. The performance shares will be subject to a three-year vesting period with a separate annual diluted book value per share (“BVPS”) growth test for each year, adjusted to add back ordinary dividends to shareholders’ equity at the end of the relevant year. One-third of the grant will be eligible for vesting each year based on a formula, and will only be issuable at the end of the three-year period. | |||||||||||||||||||||||||
If the diluted BVPS growth achieved in 2012 is: | |||||||||||||||||||||||||
• | less than 5%, then the portion of the performance shares subject to the vesting conditions in such year will be forfeited (i.e., 33.33% of the initial grant); | ||||||||||||||||||||||||
• | between 5% and 10%, then the percentage of the performance shares eligible for vesting in such year will be between 10% and 100% on a straight-line basis; and | ||||||||||||||||||||||||
• | between 10% and 20%, then the percentage of the performance shares eligible for vesting in such year will be between 100% and 200% on a straight-line basis. | ||||||||||||||||||||||||
2012 Performance Shares | |||||||||||||||||||||||||
Year | Split | Increase in BVPS | Banked | ||||||||||||||||||||||
2012 | 33.3 | % | 8.1 | % | 21.9 | % | |||||||||||||||||||
2013 | 33.3 | % | 6.2 | % | 10.5 | % | |||||||||||||||||||
2014 | 33.3 | % | NA | NA | |||||||||||||||||||||
Total | 100 | % | 32.4 | % | |||||||||||||||||||||
The total number of shares that have vested for the 2012 performance shares in 2012 was 62,930. The total number of 2012 performance shares that will vest in 2013 upon the filing of this report will be 33,012. | |||||||||||||||||||||||||
On February 6, 2013, the Compensation Committee approved the grant of 250,066 performance shares with a grant date of February 11, 2013. The performance shares will be subject to a three-year vesting period with a separate BVPS growth test for each year, adjusted to add back ordinary dividends to shareholders’ equity at the end of the relevant year. One-third of the grant will be eligible for vesting each year based on a formula, and will only be issuable at the end of the three-year period. | |||||||||||||||||||||||||
If the diluted BVPS growth achieved in 2013 is: | |||||||||||||||||||||||||
• | less than 5%, then the portion of the performance shares subject to the vesting conditions in such year will be forfeited (i.e., 33.33% of the initial grant); | ||||||||||||||||||||||||
• | between 5% and 10%, then the percentage of the performance shares eligible for vesting in such year will be between 10% and 100% on a straight-line basis; or | ||||||||||||||||||||||||
• | between 10% and 20%, then the percentage of the performance shares eligible for vesting in such year will be between 100% and 200% on a straight-line basis. | ||||||||||||||||||||||||
The Compensation Committee will determine the vesting conditions for the 2014 and 2015 portions of the grant in such years taking into consideration the market conditions and the Company’s business plans at the commencement of the years concerned. Notwithstanding the vesting criteria for each given year, if in any given year, the shares eligible for vesting are greater than 100% for the portion of such year’s grant and the average diluted BVPS growth over such year and the preceding year is less than the average of the minimum vesting thresholds for such year and the preceding year (which in the case of the 2013 portion of the grant, the average BVPS is less than 5%), then only 100% (and no more) of the shares that are eligible for vesting in such year shall vest. Notwithstanding the foregoing, if in the judgment of the Compensation Committee the main reason for the BVPS metric in the earlier year falling below the minimum threshold (or below 5% in the case of 2013) is due to the impact of rising interest rates and bond yields, then the Compensation Committee may, in its discretion, disapply this limitation on 100% vesting. | |||||||||||||||||||||||||
On February 5, 2014, the Compensation Committee approved the testing conditions of the performance share awards that were subject to the Company’s annual growth in BVPS test. For purposes of the annual growth in the diluted BVPS test, diluted BVPS was initially defined as the diluted BVPS, after adding back dividends, as described above. The approval by the Compensation Committee revises within the original terms the definition of diluted BVPS for purposes of the annual growth in diluted BVPS test for 2013 to reflect (i) the impact of all of the Company’s PIERS retired during the second quarter of 2013 and (ii) the variance between the Company’s assumptions of the price at which it would execute its share repurchase program in 2013 against the price at which it actually repurchased its ordinary shares. As a result of the 28.8% increase in the Company’s share price in 2013, the Company purchased a smaller quantity of ordinary shares than anticipated which adversely impacted the Company’s BVPS. | |||||||||||||||||||||||||
The Compensation Committee approved the testing conditions to ensure that the Company’s officers would not be penalized as a result of the increase in the Company’s ordinary share price, which benefited the Company and its shareholders, or as result of the impact on the Company’s diluted BVPS as a result of the retirement of the PIERS. Each of these factors were regarded by the Compensation Committee as sufficiently unusual or outside the control of the Company’s management and therefore justified revising (within the original terms) the BVPS test applicable to the 2013 tested performance share awards. As a result, after consideration of all factors involved, including the importance of retaining key talent, the Compensation Committee believed it was appropriate to make the above-described awards. The awards resulted in a vesting of 31.6% of one-third of each of the 2012 and 2013 performance share awards that are subject to the 2013 BVPS test. | |||||||||||||||||||||||||
2013 Performance Shares | |||||||||||||||||||||||||
Year | Split | Increase in BVPS | Banked | ||||||||||||||||||||||
2013 | 33.3 | % | 6.2 | % | 10.5 | % | |||||||||||||||||||
2014 | 33.3 | % | NA | NA | |||||||||||||||||||||
2015 | 33.3 | % | NA | NA | |||||||||||||||||||||
Total | 100 | % | 10.5 | % | |||||||||||||||||||||
The total number of 2013 performance shares that will vest in 2013 upon the filing of this report will be 25,001. | |||||||||||||||||||||||||
The fair value of performance share awards is based on the value of the closing share price on the date of the grant less a deduction for expected dividends which would not accrue during the vesting period. Compensation costs charged against income in the twelve months ended December 31, 2013 in respect of performance shares was a charge of $8.1 million (2012 — $11.1 million; 2011 — $Nil). The total tax credit recognized by the Company in relation to performance share awards in the twelve months ended December 31, 2013 was $2.0 million (2012 — $3.0 million; 2011 — $Nil). | |||||||||||||||||||||||||
A summary of performance share activity under Aspen’s 2003 and 2013 Share Incentive Plans for the twelve months ended December 31, 2013 is presented below: | |||||||||||||||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||||||||||||||
Number of | Weighted Average | ||||||||||||||||||||||||
Shares | Grant Date | ||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Outstanding performance share awards, beginning of period | 750,651 | $26.68 | |||||||||||||||||||||||
Granted | 250,066 | $29.56 | |||||||||||||||||||||||
Earned | (284,831 | ) | $27.72 | ||||||||||||||||||||||
Forfeited | (118,407 | ) | $28.20 | ||||||||||||||||||||||
Outstanding performance share awards, end of period | 597,479 | $27.15 | |||||||||||||||||||||||
Phantom Shares. On February 2, 2012, the Compensation Committee approved the grant of 278,143 phantom shares with a grant date of February 8, 2012 (2011 — nil). The phantom shares will be subject to a three-year vesting period with a separate annual diluted BVPS growth test for each year, in accordance with the test described above for the 2012 performance shares, with the difference being that any vested amount would be paid in cash in lieu of shares. As shares are not issued, these instruments have no dilutive effect. | |||||||||||||||||||||||||
2012 Phantom Shares | |||||||||||||||||||||||||
Year | Split | Increase in BVPS | Banked | ||||||||||||||||||||||
2012 | 33.3 | % | 8.1 | % | 21.9 | % | |||||||||||||||||||
2013 | 33.3 | % | 6.2 | % | 10.5 | % | |||||||||||||||||||
2014 | 33.3 | % | NA | NA | |||||||||||||||||||||
Total | 100 | % | 32.4 | % | |||||||||||||||||||||
The total number of 2012 phantom shares that have vested in 2012 was 61,006. The total number of 2012 phantom shares that will vest in 2013 upon the filing of this report will be 9,258. | |||||||||||||||||||||||||
On February 6, 2013, the Compensation Committee approved the grant of 152,541 phantom shares with a grant date of February 11, 2013. Additional grants of 6,521 and 542 phantom shares were made on April 8, 2013 and June 11, 2013, respectively. The phantom shares will be subject to a three-year vesting period with a separate annual diluted BVPS growth test for each year, in accordance with the test described above for the 2012 performance shares, with the difference being that any vested amount would be paid in cash in lieu of shares. As shares are not issued, these instruments have no dilutive effect. | |||||||||||||||||||||||||
2013 Phantom Shares | |||||||||||||||||||||||||
Year | Split | Increase in BVPS | Banked | ||||||||||||||||||||||
2013 | 33.3 | % | 6.2 | % | 10.5 | % | |||||||||||||||||||
2014 | 33.3 | % | NA | NA | |||||||||||||||||||||
2015 | 33.3 | % | NA | NA | |||||||||||||||||||||
Total | 100 | % | 10.5 | % | |||||||||||||||||||||
The total number of 2013 phantom shares that will vest in 2013 upon the filing of this report will be 16,812. | |||||||||||||||||||||||||
The fair value of the phantom shares is based on the closing share price on the date of the grant, less estimated dividends payable over the vesting period. The fair value is expensed through the consolidated income statement evenly over the vesting period, but as the payment to beneficiaries will ultimately be in cash rather than shares, an adjustment is required each quarter to revalue the accumulated liability to the balance sheet date fair value. | |||||||||||||||||||||||||
Compensation costs charged against income in the twelve months ended December 31, 2013 in respect of phantom shares was $1.5 million (2012 — $1.3 million; 2011 — $Nil) with a fair value adjustment for the twelve months ended December 31, 2013 of $1.4 million (2012 — $0.1 million; 2011 — $Nil). The total tax credit recognized by the Company in relation to phantom share awards in the twelve months ended December 31, 2013 was $0.4 million (2012 — $0.3 million; 2011 — $Nil). | |||||||||||||||||||||||||
Employee Share Purchase Plans. On April 30, 2008, the shareholders of the Company approved the Employee Share Purchase Plan (the “ESPP”), the 2008 Sharesave Scheme and the International Employee Share Purchase Plan, which are implemented by a series of consecutive offering periods as determined by the Board of Directors. In respect of the ESPP, employees can save up to $500 per month over a two-year period, at the end of which they will be eligible to purchase Company shares at a discounted price, subject to a further one year holding period. In respect of the 2008 Sharesave Scheme, employees can save up to £250 per month over a three-year period, at the end of which they will be eligible to purchase Company shares at a discounted price. The amount employees can save will increase to £500 per month effective April 6, 2014. The purchase price will be eighty-five percent 85% of the fair market value of a share on the offering date which may be adjusted upon changes in capitalization of the Company. Under the ESPP, 38,915 ordinary shares were issued during the twelve months ended December 31, 2013 (2012 — 75,066 shares). Compensation costs charged against income in the twelve months ended December 31, 2013 in respect of the ESPP was $1.3 million (2012 — $0.2 million; 2011 — $0.4 million). The total tax credit recognized by the Company in relation to the ESPP in the twelve months ended December 31, 2013 was $0.1 million (2012 — $Nil; 2011 — $Nil). | |||||||||||||||||||||||||
The fair value of the employee options granted was estimated on the date of grant using a modified Black-Scholes option pricing model under the following assumptions: | |||||||||||||||||||||||||
Grant Date | Per share | Risk free | Dividend yield | Expected life | Share price | ||||||||||||||||||||
weighted | interest rate | volatility | |||||||||||||||||||||||
average | |||||||||||||||||||||||||
fair value | |||||||||||||||||||||||||
($) | (%) | (%) | (in years) | (%) | |||||||||||||||||||||
November 4, 2008 | $3.18 | 0.48 | % | 2.7 | % | 3 | 68 | % | |||||||||||||||||
December 4, 2008 | 2.87 | (0.41 | ) | 3.16 | 2 | 102 | |||||||||||||||||||
November 23, 2009 | 3.76 | 0.01 | 2.28 | 3 | 22 | ||||||||||||||||||||
December 21, 2009 | 3.82 | 0.04 | 2.34 | 2 | 18 | ||||||||||||||||||||
December 22, 2010 | 4.24 | 0.13 | 2.07 | 3 | 14 | ||||||||||||||||||||
December 22, 2010 | 4.46 | 0.13 | 2.07 | 2 | 14 | ||||||||||||||||||||
December 13, 2011 | 4.2 | 0.05 | 2.8 | 3 | 26.2 | ||||||||||||||||||||
December 13, 2011 | 3.85 | 0.05 | 2.75 | 2 | 26.2 | ||||||||||||||||||||
March 20, 2013 | 7.79 | 0.38 | 1.88 | 3 | 2.8 | ||||||||||||||||||||
March 20, 2013 | $5.75 | 0.25 | % | 1.88 | % | 2 | 3.2 | % | |||||||||||||||||
(c) Non-employee equity incentives | |||||||||||||||||||||||||
Non-employee director options are granted under the Aspen 2006 Stock Option Plan for Non-Employee Directors (the “Director Stock Option Plan”). | |||||||||||||||||||||||||
Options. The following table summarizes information about non-employee director options outstanding to purchase ordinary shares at December 31, 2013. | |||||||||||||||||||||||||
Option Holder | Options Outstanding | Options Exercisable | Exercise | Fair Value at | Remaining | ||||||||||||||||||||
Price | Grant Date | Contractual Time | |||||||||||||||||||||||
Non-employee directors - 2006 Option grants (May 25) | 8,870 | 8,870 | $21.96 | $4.24 | 2 years, 5 months | ||||||||||||||||||||
Non-employee directors - 2007 Option grants (July 30) | 2,012 | 2,012 | $24.76 | $4.97 | 3 years, 7 months | ||||||||||||||||||||
The options issued in 2006 and 2007 vested at the end of a three-year period from the date of grant subject to continued service as a director. Vested options are exercisable for a period of ten years from the date of grant. No options were granted during the twelve months ended December 31, 2013 (2012 — Nil) and 2,012 options were exercised and shares issued in the twelve months ended December 31, 2013 (2012 — Nil). No charges or tax charges against income were made in respect of Non-employee directors options for the twelve months ended December 31, 2013 (2012 — $Nil; 2011 — $Nil). | |||||||||||||||||||||||||
The fair value of the non-employee director options granted were estimated on the date of grant using a modified Black-Scholes option pricing model under the following assumptions: | |||||||||||||||||||||||||
Grant Date | |||||||||||||||||||||||||
July 30, 2007 | May 25, 2006 | ||||||||||||||||||||||||
Per share weighted average fair value | $4.97 | $4.24 | |||||||||||||||||||||||
Risk-free interest rate | 4.64 | % | 4.85 | % | |||||||||||||||||||||
Dividend yield | 2.4 | % | 2.7 | % | |||||||||||||||||||||
Expected life | 5 years | 5 years | |||||||||||||||||||||||
Share price volatility | 19.55 | % | 20.05 | % | |||||||||||||||||||||
Restricted Share Units. The following table summarizes information about restricted share units issued to non-employee directors as at December 31, 2013. | |||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Restricted Share Units | |||||||||||||||||||||||||
Amount | Amount | Amount | Amount | ||||||||||||||||||||||
Granted | Vested | Forfeited | Outstanding | ||||||||||||||||||||||
Non-Employee Directors — 2011 and prior | 109,433 | (102,795 | ) | (6,638 | ) | — | |||||||||||||||||||
Non-Employee Directors — 2012 | 29,071 | (29,071 | ) | — | — | ||||||||||||||||||||
Non-Employee Directors — 2013 | 29,092 | (22,108 | ) | (2,365 | ) | 4,619 | |||||||||||||||||||
Chairman — 2011 and prior | 58,094 | (58,094 | ) | — | — | ||||||||||||||||||||
Chairman — 2012 | 17,705 | (17,705 | ) | — | — | ||||||||||||||||||||
Chairman — 2013 | 14,188 | (11,823 | ) | — | 2,365 | ||||||||||||||||||||
Total | 257,583 | (241,596 | ) | (9,003 | ) | 6,984 | |||||||||||||||||||
One-twelfth of the RSUs vest on each one month anniversary of the date of grant, with 100% of the restricted share units becoming vested and issued on the first anniversary of the grant date, or on the date of departure of a director (for the amount vested through such date). A portion of the shares that is eligible to vest following the final vesting date in the calendar year of the date of grant is delivered as soon as practicable thereafter and the remaining shares under the restricted share units are delivered on the first anniversary of the grant date. If a director leaves the Board for any reason other than “cause” (as defined in the award agreement), then the director would receive the shares under the restricted share units that had vested through the date the director leaves the Board. RSUs entitle the holder to receive one ordinary share unit for each unit that vests. Holders of RSUs are not entitled to any of the rights of a holder of ordinary shares, including the right to vote, unless and until their units vest and ordinary shares are issued but they are entitled to receive dividend equivalents with respect to their units. Dividend equivalents will be denominated in cash and paid in cash if and when the underlying units vest. | |||||||||||||||||||||||||
In respect of the RSUs granted to the Chairman up to December 31, 2009, one-third of the grants vests on the anniversary date of grant over a three-year period. For grants from January 1, 2010, onwards, one-twelfth of the RSUs vest on each one month anniversary of the date of grant, with 100% of the restricted share units becoming vested and issued on the first anniversary of the grant date, or on the date of departure. | |||||||||||||||||||||||||
The fair value of the RSUs is based on the closing price on the date of the grant. Compensation cost charged against income was $1.3 million for the twelve months ended December 31, 2013 (2012 — $1.4 million; 2011 — $1.6 million). | |||||||||||||||||||||||||
The total tax charge recognized by the Company in relation to non-employee RSUs in the twelve months ended December 31, 2013 was $Nil (2012 — $Nil; 2011 — $Nil). | |||||||||||||||||||||||||
(d) | Summary of investor options, employee and non-employee share options and restricted share units. | ||||||||||||||||||||||||
A summary of option activity and restricted share unit activity discussed above is presented in the tables below: | |||||||||||||||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||||||||||||||
Option activity | Number of Options | Weighted Average | |||||||||||||||||||||||
Exercise Price | |||||||||||||||||||||||||
Outstanding options, beginning of period | 1,208,787 | $23.07 | |||||||||||||||||||||||
Exercised | (906,254 | ) | 22.45 | ||||||||||||||||||||||
Forfeited or expired | (73 | ) | 24.21 | ||||||||||||||||||||||
Outstanding and exercisable options, end of period | 302,460 | $25.02 | |||||||||||||||||||||||
Twelve Months Ended December 31, 2012 | |||||||||||||||||||||||||
Option activity | Number of Options | Weighted Average | |||||||||||||||||||||||
Exercise Price | |||||||||||||||||||||||||
Outstanding options, beginning of period | 2,831,508 | $19.84 | |||||||||||||||||||||||
Exercised | (1,612,242 | ) | 15.72 | ||||||||||||||||||||||
Forfeited or expired | (10,479 | ) | 26.28 | ||||||||||||||||||||||
Outstanding and exercisable options, end of period | 1,208,787 | $23.07 | |||||||||||||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||||||||||||||
Restricted share unit activity | Number of | Weighted Average | |||||||||||||||||||||||
Shares | Grant Date | ||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Outstanding restricted stock, beginning of period | 488,013 | $27.81 | |||||||||||||||||||||||
Granted | 350,721 | 35.61 | |||||||||||||||||||||||
Vested | (253,700 | ) | 23.66 | ||||||||||||||||||||||
Forfeited | (40,283 | ) | 31.45 | ||||||||||||||||||||||
Outstanding restricted stock, end of period | 544,751 | $32.13 | |||||||||||||||||||||||
Twelve Months Ended December 31, 2012 | |||||||||||||||||||||||||
Restricted share unit activity | Number of | Weighted Average | |||||||||||||||||||||||
Shares | Grant Date | ||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Outstanding restricted stock, beginning of period | 319,138 | $26.58 | |||||||||||||||||||||||
Granted | 393,888 | 28.27 | |||||||||||||||||||||||
Vested | (179,177 | ) | 21.31 | ||||||||||||||||||||||
Forfeited | (45,836 | ) | 27.19 | ||||||||||||||||||||||
Outstanding restricted stock, end of period | 488,013 | $27.81 | |||||||||||||||||||||||
Intangible_Assets
Intangible Assets | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||
Intangible Assets | ' | ||||||||||||||||||||||||||||||||
Intangible Assets | |||||||||||||||||||||||||||||||||
The following table provides a summary of the Company’s intangible assets for the twelve months ended December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||
Twelve Months Ended December 31, 2013 | Twelve Months Ended December 31, 2012 | ||||||||||||||||||||||||||||||||
Trade | Insurance | Other | Total | Trade | Insurance | Other | Total | ||||||||||||||||||||||||||
Mark | Licenses | Mark | Licenses | ||||||||||||||||||||||||||||||
($ in millions) | ($ in millions) | ||||||||||||||||||||||||||||||||
Intangible Assets | |||||||||||||||||||||||||||||||||
Beginning of the period | $ | 1.6 | $ | 16.6 | $ | 0.8 | $ | 19 | $ | 1.6 | $ | 16.6 | $ | 1.8 | $ | 20 | |||||||||||||||||
Amortization | — | — | (0.6 | ) | (0.6 | ) | — | — | (1.0 | ) | (1.0 | ) | |||||||||||||||||||||
End of the period | $ | 1.6 | $ | 16.6 | $ | 0.2 | $ | 18.4 | $ | 1.6 | $ | 16.6 | $ | 0.8 | $ | 19 | |||||||||||||||||
License to use the “Aspen” Trademark. On April 5, 2005, the Company entered into an agreement with Aspen (Actuaries and Pension Consultants) Plc to acquire the right to use the Aspen trademark in the United Kingdom. The consideration paid was approximately $1.6 million. As at December 31, 2013, the value of the license to use the Aspen trademark was $1.6 million (December 31, 2012 — $1.6 million). The Company performed its annual qualitative assessment and determined that it was not more likely than not that the Aspen trademark was impaired as at December 31, 2013. | |||||||||||||||||||||||||||||||||
Insurance Licenses. The total value of the licenses as at December 31, 2013 was $16.6 million (December 31, 2012 — $16.6 million). This includes $10.0 million of acquired licenses held by AAIC, $4.5 million of acquired licenses held by Aspen Specialty and $2.1 million of acquired licenses held by Aspen U.K. The insurance licenses are considered to have an indefinite life and are not being amortized. The Company performed its annual qualitative assessment and determined that it was not more likely than not that the insurance licenses were impaired as at December 31, 2013. | |||||||||||||||||||||||||||||||||
Other. In 2010, the Company purchased APJ for an aggregate consideration of $4.8 million. The directors of Aspen Holdings assessed the fair value of the net tangible and financial assets acquired at $1.2 million. The $3.6 million intangible asset represented the Company’s assessment of the value of renewal rights and distribution channels ($2.2 million) and the lock-in period for employees associated with the business ($1.4 million). The asset is being amortized over a five-year period and the value as at December 31, 2013 was $0.2 million (December 31, 2012 — $0.8 million). |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||
Commitments and Contingencies | ' | ||||||||||||||||||||||||||||
Commitments and Contingent Liabilities | |||||||||||||||||||||||||||||
(a) | Restricted assets | ||||||||||||||||||||||||||||
The Company’s subsidiaries are obliged by the terms of its contractual obligations to U.S. policyholders and by obligations to certain regulatory authorities to facilitate issue of letters of credit or maintain certain balances in trust funds for the benefit of policyholders. | |||||||||||||||||||||||||||||
The following table details the forms and value of Company’s restricted assets as at December 31, 2013 and 2012: | |||||||||||||||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||||||||||||||||||
($ in millions, except percentages) | |||||||||||||||||||||||||||||
Regulatory trusts and deposits: | |||||||||||||||||||||||||||||
Affiliated transactions | $ | 685.8 | $ | 598.7 | |||||||||||||||||||||||||
Third party | 2,236.40 | 1,933.50 | |||||||||||||||||||||||||||
Letters of credit / guarantees(1) | 830.4 | 1,189.20 | |||||||||||||||||||||||||||
Total restricted assets | $ | 3,752.60 | $ | 3,721.40 | |||||||||||||||||||||||||
Total as percent of cash and invested assets | 45.5 | % | 45.6 | % | |||||||||||||||||||||||||
_______________ | |||||||||||||||||||||||||||||
-1 | As of December 31, 2013, the Company had pledged funds of $803.7 million and £16.1 million (December 31, 2012 — $1,163.2 million and £16.0 million) as collateral for the secured letters of credit. | ||||||||||||||||||||||||||||
Letters of credit. Our current arrangements with our bankers for the issue of letters of credit require us to provide collateral in the form of cash and investments for the full amount of all secured and undrawn letters of credit that are outstanding. We monitor the proportion of our otherwise liquid assets that are committed to trust funds or to the collateralization of letters of credit. As at December 31, 2013 and 2012, these funds amounted to approximately 46% of the $8.3 billion and approximately 46% of the $8.2 billion of cash and investments held by the Company, respectively. We do not consider that this unduly restricts our liquidity at this time. Refer to Note 22, “Credit Facility and Long-term Debt” of these consolidated financial statements for further discussion of our credit facilities and long-term debt arrangements. | |||||||||||||||||||||||||||||
Funds at Lloyd’s. AUL operates at Lloyd’s as the corporate member for Syndicate 4711. Lloyd’s determines Syndicate 4711’s required regulatory capital principally through the syndicate’s annual business plan. Such capital, called Funds at Lloyd’s, comprising of cash and investments at December 31, 2013 in the amount of $346.4 million (2012 — $280.2 million). | |||||||||||||||||||||||||||||
The amounts provided as Funds at Lloyd’s will be drawn upon and become a liability of the Company in the event of Syndicate 4711 declaring a loss at a level that cannot be funded from other resources, or if Syndicate 4711 requires funds to cover a short term liquidity gap. The amount which the Company provides as Funds at Lloyd’s is not available for distribution to the Company for the payment of dividends. AMAL is also required by Lloyd’s to maintain a minimum level of capital which as at December 31, 2013 was $0.7 million (December 31, 2012 — $0.6 million). This is not available for distribution by the Company for the payment of dividends. | |||||||||||||||||||||||||||||
U.S. Reinsurance Trust Fund. For its U.S. reinsurance activities, Aspen U.K. has established and must retain a multi-beneficiary U.S. trust fund for the benefit of its U.S. cedants so that they are able to take financial statement credit without the need to post cedant-specific security. The minimum trust fund amount is $20.0 million plus an amount equal to 100% of Aspen U.K.’s U.S. reinsurance liabilities, which were $1,035.9 million at December 31, 2013 and $901.1 million at December 31, 2012. At December 31, 2013, the total value of assets held in the trust was $1,352.2 million (2012 — $1,123.0 million). | |||||||||||||||||||||||||||||
Aspen Bermuda has also established and must retain a multi-beneficiary U.S. trust fund for the benefit of its U.S. cedants so that they are able to take financial statement credit without the need to post cedant-specific security. The minimum trust fund amount is $20.0 million plus an amount equal to 100% of Aspen Bermuda’s liabilities to its U.S. cedants which was $442.2 million and $295.3 million as at December 31, 2013 and 2012, respectively. At December 31, 2013, total value assets held in the trust were $918.6 million (2012 —$295.6 million). | |||||||||||||||||||||||||||||
U.S. Surplus Lines Trust Fund. Aspen U.K. has also established a U.S. surplus lines trust fund with a U.S. bank to secure liabilities under U.S. surplus lines policies. The balance held in the trust at December 31, 2013 was $146.6 million (2012 — $145.3 million). | |||||||||||||||||||||||||||||
U.S. Credit and Surety Lines Trust Fund. Aspen U.K. has also established a U.S. credit and surety lines trust fund with a U.S. bank to secure liabilities under U.S. credit and surety lines policies. The balance held in the trust at December 31, 2013 was Nil (2012 —$10.0 million). | |||||||||||||||||||||||||||||
U.S. Regulatory Deposits. As at December 31, 2013, Aspen Specialty had a total of $6.2 million (2012 — $6.2 million) on deposit with six U.S. states in order to satisfy state regulations for writing business in those states. AAIC had a further $7.2 million (2012 — $6.2 million) on deposit with twelve U.S. states. | |||||||||||||||||||||||||||||
Canadian Trust Fund. Aspen U.K. has established a Canadian trust fund with a Canadian bank to secure a Canadian insurance license. As at December 31, 2013, the balance held in trust was CAD$354.4 million (2012 — CAD$346.5 million). | |||||||||||||||||||||||||||||
Australian Trust Fund. Aspen U.K. has established an Australian trust fund with an Australian bank to secure policyholder liabilities and as a condition for maintaining an Australian insurance license. As at December 31, 2013, the balance held in trust was AUD$182.1 million (2012 — AUD$184.9 million). | |||||||||||||||||||||||||||||
Swiss Trust Fund. Aspen U.K. has established a Swiss trust fund with a Swiss bank to secure policyholder liabilities and as a condition for maintaining a Swiss insurance license. As at December 31, 2013, the balance held in trust was CHF16.6 million (2012— CHF8.3 million). | |||||||||||||||||||||||||||||
Singapore Fund. Aspen U.K. has established a segregated Singaporean bank account to secure policyholder liabilities and as a condition for maintaining a Singaporean insurance license and meet local solvency requirements. As at December 31, 2013, the balance in the account was SGD$67.5 million (2012 — SGD$84.2 million). | |||||||||||||||||||||||||||||
Interest Rate Swaps. As at December 31, 2013, cash collateral with a fair value of $34.3 million was held by the Company’s counterparties to support the current valuation of the interest rate swaps (December 31, 2012 — $52.0 million). For more information, please refer to Note 9, “Derivative Contracts” of these consolidated financial statements. | |||||||||||||||||||||||||||||
(b)Operating leases | |||||||||||||||||||||||||||||
Amounts outstanding under operating leases net of subleases as of December 31, 2013 and 2012 were: | |||||||||||||||||||||||||||||
As at December 31, 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | Later | Total | ||||||||||||||||||||||
Years | |||||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||||
Operating Lease Obligations | $ | 11.9 | $ | 12.1 | $ | 8.3 | $ | 7.5 | $ | 6.3 | $ | 6.5 | $ | 52.6 | |||||||||||||||
As at December 31, 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | Later | Total | ||||||||||||||||||||||
Years | |||||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||||
Operating Lease Obligations | $ | 11.5 | $ | 11.3 | $ | 10.7 | $ | 7.7 | $ | 6 | $ | 9 | $ | 56.2 | |||||||||||||||
Total rental and premises expenses for 2013 was $19.9 million (2012 — $18.9 million). For all leases, all rent incentives, including reduced-rent and rent-free periods, are spread on a straight-line basis over the term of the lease. We believe that our office space is sufficient for us to conduct our operations for the foreseeable future in these locations. | |||||||||||||||||||||||||||||
The total depreciation for fixed assets was $14.4 million for the twelve months ended December 31, 2013 (2012 — $21.2 million). Accumulated depreciation as at December 31, 2013 was $89.4 million (2012 — $75.0 million). | |||||||||||||||||||||||||||||
(c) | Variable interest entities | ||||||||||||||||||||||||||||
As at December 31, 2013, the Company had three investments in variable interest entities, Cartesian Iris Offshore Fund L.P, Chaspark Maritime Holdings Ltd and Silverton Re Ltd. | |||||||||||||||||||||||||||||
Cartesian Iris Offshore Fund L.P. See Note 6, “Investments” of these consolidated financial statements for further information regarding the Company’s investment in Cartesian Iris Offshore Fund L.P. | |||||||||||||||||||||||||||||
Chaspark Maritime Holdings Ltd. See Note 6, “Investments” of these consolidated financial statements for further information regarding the Company’s investment in Chaspark Maritime Holdings Ltd. | |||||||||||||||||||||||||||||
Silverton Re Ltd. On September 10, 2013, the Company established a subsidiary, Silverton, a Bermuda domiciled special purpose insurer, formed to provide additional collateralized capacity to support Aspen Re’s reinsurance business. In respect of the debt issued by Silverton to investors, Silverton will receive a quota share of Aspen Bermuda’s catastrophe business under a retrocession agreement with Aspen Bermuda effective January 1, 2014. Silverton will not be rated and the risks assumed will be fully collateralized by way of accounts held in trusts for the benefit of Aspen Bermuda, to be invested according to agreed investment guidelines. As a result of the Company’s partnership with the capital markets, Silverton is able to provide investors with access to diversified natural catastrophe risk backed by the distribution, underwriting, analysis and research expertise of Aspen Re. | |||||||||||||||||||||||||||||
The Company has determined that Silverton has the characteristics of a variable interest entity that are addressed by the guidance in ASC 810 Consolidation. The Company concluded that it is the primary beneficiary and has consolidated the subsidiary upon its formation as it owns 100% of the voting shares, 100% of the issued share capital and has a significant financial interest and the power to control Silverton. The Company has no other obligation to provide financial support to Silverton. Neither the creditors nor beneficial interest holders of Silverton have recourse to the Company’s general credit. | |||||||||||||||||||||||||||||
In the event of either an extreme catastrophic property reinsurance event or severe credit related event there is a risk that Aspen Bermuda would be unable to recover losses from Silverton. These two risks are mitigated as follows: | |||||||||||||||||||||||||||||
i. | Silverton has collateralized the aggregate limit provided to Aspen Bermuda by way of a trust in favor of Aspen Bermuda as the beneficiary; | ||||||||||||||||||||||||||||
ii. | the trustee is a large, well-established regulated entity; and | ||||||||||||||||||||||||||||
iii. | all funds within the trust account are bound by investment guidelines restricting investments to one of the institutional class money market funds run by large international investment managers. | ||||||||||||||||||||||||||||
Silverton issued $65.0 million of loan notes on December 27, 2013 (of which $50.0 million was issued to third parties and $15.0 million to Aspen Holdings), which will provide quota share support for Aspen Re’s global property catastrophe excess of loss reinsurance business. The operations of Silverton commenced on January 1, 2014. The Company’s maximum loss exposure to Silverton is its $15.0 million note holdings as at December 31, 2013 due to mature on September 16, 2016. The fair value is calculated based on the value of underlying assets and liabilities of Silverton. There is no difference between the fair value as at December 31, 2013 and the aggregate unpaid principal balance of $50.0 million. There were no gains or losses in the period due to fair value charges. | |||||||||||||||||||||||||||||
(d) | Contingent liabilities | ||||||||||||||||||||||||||||
In common with the rest of the insurance and reinsurance industry, the Company is also subject to litigation and arbitration in the ordinary course of business. The Company’s Operating Subsidiaries are regularly engaged in the investigation, conduct and defense of disputes, or potential disputes, resulting from questions of insurance or reinsurance coverage or claims activities. Pursuant to insurance and reinsurance arrangements, many of these disputes are resolved by arbitration or other forms of alternative dispute resolution. Such legal proceedings are considered in connection with estimating the Company’s Insurance Reserves — Loss and Loss Adjustment Expenses, as provided on the Company’s consolidated balance sheet. | |||||||||||||||||||||||||||||
In some jurisdictions, noticeably the U.S., a failure to deal with such disputes or potential disputes in an appropriate manner could result in an award of “bad faith” punitive damages against the Company’s Operating Subsidiaries. In accordance with ASC 450-20-50-4b, for (a) reasonably possible losses for which no accrual is made because any of the conditions for accrual in ASC 450-20-25-2 are not met and (b) reasonably possible losses in excess of the amounts accrued pursuant to ASC 450-20-30-1, the Company will provide an estimate of the possible loss or range of possible loss or state that such an estimate cannot be made. | |||||||||||||||||||||||||||||
As of December 31, 2013, based on available information, it was the opinion of the Company’s management that the probability of the ultimate resolution of pending or threatened litigation or arbitrations having a material effect on the Company’s financial condition, results of operations or liquidity would be remote. |
Concentrations_of_Credit_Risk
Concentrations of Credit Risk | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Risks and Uncertainties [Abstract] | ' | |||||||||||||
Concentrations of Credit Risk | ' | |||||||||||||
Concentrations of Credit Risk | ||||||||||||||
The Company is potentially exposed to concentrations of credit risk in respect of amounts recoverable from reinsurers, investments and cash and cash equivalents, and insurance and reinsurance balances owed by the brokers with whom the Company transacts business. | ||||||||||||||
The Company’s Reinsurance Credit Committee defines credit risk tolerances in line with the risk appetite set by our Board and they, together with the group’s risk management function, monitor exposures to individual counterparties. Any exceptions are reported to senior management and our Board’s Risk Committee. | ||||||||||||||
Reinsurance recoverables | ||||||||||||||
The total amount recoverable by the Company from reinsurers at December 31, 2013 is $332.7 million (2012 — $499.0 million). Of the balance at December 31, 2013, 23.5% of the Company’s reinsurance recoverables are with Lloyd’s of London Syndicates rated A by A.M. Best and A+ by S&P and 17.1% are with Munich Re which is rated A+ by A.M. Best and AA- by S&P. These are the Company’s largest exposures to individual reinsurers. | ||||||||||||||
Underwriting premium receivables | ||||||||||||||
The total underwriting premium receivable by the Company at December 31, 2013 was $999.0 million (2012 — $1,057.5 million). Of the balance receivable at December 31, 2013, $0.9 million has been due for settlement for more than one year. The Company assesses the recoverability of premium receivables through a review of policies and the concentration of receivables by broker. The Company considers the receivables balance to be collectable in full. No provision has been included for credit risk on the grounds that past experience has proved that when there is an indication that a premium receivable is unlikely to be collected we are able to cancel the policy and release associated claims, provisions and unearned premium reserves. | ||||||||||||||
Investments and cash and cash equivalents | ||||||||||||||
The Company’s investment policies include specific provisions that limit the allowable holdings of a single issue and issuer. At December 31, 2013, there were no investments in any single issuer, other than the U.S. government, U.S. government agencies, U.S. government sponsored enterprises, Canadian government and the U.K. government in excess of 2% of the aggregate investment portfolio. | ||||||||||||||
Balances owed by brokers | ||||||||||||||
The Company underwrites a significant amount of its business through brokers and a credit risk exists should any of these brokers be unable to fulfill their contractual obligations in respect of insurance or reinsurance balances due to the Company. The following table shows the largest brokers that the Company transacted business with in the three years ended December 31, 2013 and the proportion of gross written premiums from each of those brokers. | ||||||||||||||
Twelve Months Ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Broker | (in percentages) | |||||||||||||
Aon Corporation | 16.8 | % | 18.5 | % | 19.5 | % | ||||||||
Marsh & McLennan Companies, Inc. | 15 | 15.8 | 18.9 | |||||||||||
Willis Group Holdings, Ltd. | 14.4 | 15.1 | 16.1 | |||||||||||
Others(1) | 53.8 | 50.6 | 45.5 | |||||||||||
Total | 100 | % | 100 | % | 100 | % | ||||||||
Gross written premiums ($ millions) | $ | 2,646.70 | $ | 2,583.30 | $ | 2,207.80 | ||||||||
________________ | ||||||||||||||
-1 | No other individual broker accounted for more than 10% of total gross written premiums. |
Reclassifications_from_Accumul
Reclassifications from Accumulated Other Comprehensive Income | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Equity [Abstract] | ' | ||||||
Reclassifications from Accumulated Other Comprehensive Income | ' | ||||||
Reclassifications from Accumulated Other Comprehensive Income | |||||||
The following table sets out the components of the Company’s AOCI that are reclassified into the audited condensed consolidated statement of operations for the twelve months ended months ended December 31, 2013: | |||||||
Amount Reclassified from AOCI | |||||||
Details about the AOCI Components | Twelve Months Ended December 31, 2013 | Affected Line Item in the | |||||
Consolidated Statement of Operations | |||||||
($ in millions) | |||||||
Available for sale securities: | |||||||
Realized gain on sale of securities | $ | 24.6 | Realized and unrealized investment gains | ||||
Realized (loss) on sale of securities | (0.5 | ) | Realized and unrealized investment losses | ||||
24.1 | Income from operations before tax | ||||||
Tax on realized gains and (losses) of securities | (0.7 | ) | Income tax expense | ||||
$ | 23.4 | Net income | |||||
Foreign currency translation adjustments: | |||||||
Foreign currency translation adjustments, before tax | $ | (1.9 | ) | Net realized and unrealized foreign exchange gains/(losses) | |||
Tax on foreign currency translation adjustments | 0.4 | Income tax expense | |||||
$ | (1.5 | ) | Net income | ||||
Amortization of derivatives: | |||||||
Amortization of long-term debt associated expenses, before tax | $ | (0.5 | ) | Interest on long-term debt | |||
$ | (0.5 | ) | Net income | ||||
Total reclassifications from AOCI to the statement of operations, net of tax | $ | 21.4 | Net income | ||||
Credit_Facility_and_Longterm_D
Credit Facility and Long-term Debt | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||||||||||
Credit Facility and Long-term Debt | ' | |||||||||||||||||||||
Credit Facility and Long-term Debt | ||||||||||||||||||||||
Credit Facility. On July 30, 2010, the Company and certain of our direct and indirect subsidiaries (collectively, the “Borrowers”) entered into a three-year revolving credit facility with a syndicate of commercial banks under which it may, subject to the terms of the credit agreements, borrow up to $280.0 million or issue letters of credit with an aggregate value of up to $280.0 million. The facility could have been used by any of the Borrowers (as defined in the agreement) to provide funding for the operating subsidiaries of the Company, to finance the working capital needs of the Company and its subsidiaries and for general corporate purposes of the Company and its subsidiaries. The revolving credit facility further provided for the issuance of collateralized letters of credit. Initial availability under the facility was $280.0 million, and the Company had the option (subject to obtaining commitments from acceptable lenders) to increase the facility by up to $75.0 million. The expiry date of this facility was July 30, 2013. | ||||||||||||||||||||||
On June 12, 2013, the Borrowers entered into an amended and restated credit agreement (the “credit agreement”) with various lenders and Barclays Bank PLC, as administrative agent, which amends and restates the credit agreement dated as of July 30, 2010 among the Company, certain of its subsidiaries, various lenders and Barclays Bank PLC, as administrative agent. The credit facility is used to finance the Company’s working capital needs and those of its subsidiaries, for letters of credit in connection with its insurance and reinsurance businesses and for other general corporate purposes. Initial availability under the credit facility is $200.0 million with the option (subject to obtaining commitments from acceptable lenders) to increase the facility by up to $100.0 million. The facility will expire on June 12, 2017. As of December 31, 2013, no borrowings were outstanding under the credit facility. | ||||||||||||||||||||||
The fees and interest rates on the loans and the fees on the letters of credit payable by the Borrowers under the Credit Agreement are based upon the credit ratings for the Company’s long-term unsecured senior debt by S&P and Moody’s. In addition, the fees for a letter of credit vary based upon whether the applicable Borrower has provided collateral (in the form of cash or qualifying debt securities) to secure its reimbursement obligations with respect to such letter of credit. | ||||||||||||||||||||||
Under the credit facility, the Company must not permit (a) consolidated tangible net worth to be less than approximately $2,428.6 million plus 50% of consolidated net income and 50% of aggregate net cash proceeds from the issuance by the Company of its capital stock, in each case after January 1, 2013, (b) the ratio of its total consolidated debt to the sum of such debt plus our consolidated tangible net worth to exceed 35% or (c) any material insurance subsidiary to have a financial strength rating of less than “B++” from A.M. Best. In addition, the credit facility contains other customary affirmative and negative covenants as well as certain customary events of default, including with respect to a change in control. The various affirmative and negative covenants, include, among others, covenants that, subject to various exceptions, restrict the ability of the Company and its subsidiaries to: incur indebtedness; create or permit liens on assets; engage in mergers or consolidations; dispose of assets; pay dividends or other distributions; purchase or redeem the Company’s equity securities or those of its subsidiaries and make other restricted payments; make certain investments; agree with others to limit the ability of the Company’s subsidiaries to pay dividends or other restricted payments or to make loans or transfer assets to the Company or another of its subsidiaries. In addition, the credit facility has customary events of default, including (subject to certain materiality thresholds and grace periods) payment default, failure to comply with covenants, material inaccuracy of representation or warranty, bankruptcy or insolvency proceedings, change of control and cross-default to other debt agreements. | ||||||||||||||||||||||
Other Credit Facilities. On February 28, 2011, Aspen U.K. and Aspen Bermuda entered into an amendment to the $200.0 million secured letter of credit facility agreement with Barclays Bank PLC dated as of October 6, 2009. The amendment extends the maturity date of the credit facility to December 31, 2013. On February 1, 2013, Aspen U.K. and Aspen Bermuda entered into a further amendment to the secured letter of credit facility to extend the maturity date of the credit facility to January 31, 2015. On August 21, 2013, the commitments were reduced to $100.0 million. All letters of credit issued under the facility are used to support reinsurance obligations of the parties to the agreement and their respective subsidiaries. As at December 31, 2013, $18.9 million collateralized letters of credit were outstanding under this facility (December 31, 2012 — $37.5 million). | ||||||||||||||||||||||
On April 29, 2009, Aspen Bermuda replaced its existing letter of credit facility with Citibank Europe plc dated October 29, 2008 in a maximum aggregate amount of up to $450.0 million with a new letter of credit facility in a maximum aggregate amount of up to $550.0 million. On August 12, 2011, the maximum aggregate amount was increased to $1,050.0 million. On July 30, 2012, Aspen Bermuda and Citibank Europe plc replaced the existing letter of credit facility dated August 12, 2011 in a maximum aggregate amount of up to $1,050.0 million with a new letter of credit facility in a maximum aggregate amount of up to $950.0 million. The new facility was structured in two separate tranches; Tranche I, for $650.0 million, only applies in respect of credits issued on or prior to June 30, 2014. Tranche II, for $300.0 million, only applies in respect of credits issued on or prior to December 31, 2013. Each tranche of the facility shall expire on the earlier of (1) the date that is one year from the end of the relevant Tranche Facility Period (as defined in the agreement); or (2) the stated expiry date on the last remaining credit issued within the relevant Tranche Facility Period. Tranche II of this facility was cancelled effective July 31, 2013. As at December 31, 2013, we had $516.8 million of outstanding collateralized letters of credit under this facility compared to $839.1 million at December 31, 2012. | ||||||||||||||||||||||
Long-term Debt. On August 16, 2004, the Company closed its offering of $250.0 million 6.00% coupon Senior Notes due August 15, 2014 (the “2014 Senior Notes”). The net proceeds from the 2014 Senior Notes offering, before offering expenses, were $249.3 million. On December 16, 2013, the Company redeemed the 2014 Senior Notes. The redemption resulted in a realized loss, or make-whole payment, of $9.3 million which is reflected in net realized and unrealized investment gains and losses of the statement of operations and other comprehensive income. | ||||||||||||||||||||||
On December 15, 2010, the Company closed its offering of $250.0 million 6.00% coupon Senior Notes due December 15, 2020. The net proceeds from this offering, before offering expenses, were $247.5 million. | ||||||||||||||||||||||
On November 13, 2013, the Company closed its offering of $300.0 million 4.65% Senior Notes due November 15, 2023 (the “2023 Senior Notes”). The net proceeds from the 2023 Senior Notes offering, before offering expenses, were $299.7 million and a portion of the proceeds was used to redeem the outstanding 2014 Senior Notes. Subject to applicable law, the 2023 Senior Notes will be the senior unsecured obligations of Aspen Holdings and will rank equally in right of payment with all of our other senior unsecured indebtedness from time to time outstanding. | ||||||||||||||||||||||
Subject to certain exceptions, so long as any of the Senior Notes remains outstanding, we have agreed that neither we nor any of our subsidiaries will (i) create a lien on any shares of capital stock of any designated subsidiary (currently Aspen U.K. and Aspen Bermuda, as defined in the Indenture), or (ii) issue, sell, assign, transfer or otherwise dispose of any shares of capital stock of any designated subsidiary. Certain events will constitute an event of default under the Indenture, including default in payment at maturity of any of our other indebtedness in excess of $50.0 million. | ||||||||||||||||||||||
On December 27, 2013, Silverton issued $65.0 million of loan notes (of which $50.0 million was issued to third parties), which will provide quota share support for Aspen Re’s global property catastrophe excess of loss reinsurance business. The operations of Silverton commenced on January 1, 2014. The Company’s maximum loss exposure to Silverton is its $15.0 million note holdings as at December 31, 2013 due to mature on September 16, 2016. | ||||||||||||||||||||||
The following table summarizes our contractual obligations under the long-term debts as of December 31, 2013. | ||||||||||||||||||||||
Payments Due By Period | ||||||||||||||||||||||
Contractual Basis | Less than | 1-3 years | 3-5 years | More than 5 years | Total | |||||||||||||||||
1 year | ||||||||||||||||||||||
($ in millions) | ||||||||||||||||||||||
Long-term Debt Obligations | $ | — | $ | — | $ | — | $ | 550 | $ | 550 | ||||||||||||
The Senior Notes obligation disclosed above does not include the $29.0 million annual interest payable associated with the Senior Notes or the loan notes issued by Silverton in the amount of $50.0 million. |
Unaudited_Quarterly_Financial_
Unaudited Quarterly Financial Data | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||
Unaudited Quarterly Financial Data | ' | ||||||||||||||||||||
Unaudited Quarterly Financial Data | |||||||||||||||||||||
The following is a summary of the quarterly financial data for the twelve months ended December 31, 2013, 2012 and 2011. | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Quarter Ended | Quarter Ended | Quarter Ended September 30 | Quarter Ended December 31 | Year Ended December 31 | |||||||||||||||||
March 31 | 30-Jun | ||||||||||||||||||||
Revenues | ($ in millions) | ||||||||||||||||||||
Net earned premium | $ | 510.9 | $ | 544 | $ | 544.3 | $ | 572.6 | $ | 2,171.80 | |||||||||||
Net investment income | 48.3 | 45.9 | 45 | 47.2 | 186.4 | ||||||||||||||||
Realized and unrealized investment gains | 16.3 | 14.4 | 23.6 | 2.6 | 56.9 | ||||||||||||||||
Other income | 1.1 | 0.9 | 1.6 | 4.6 | 8.2 | ||||||||||||||||
Total revenues | 576.6 | 605.2 | 614.5 | 627 | 2,423.30 | ||||||||||||||||
Expenses | |||||||||||||||||||||
Losses and loss adjustment expenses | 268.7 | 333.4 | 290.2 | 331.4 | 1,223.70 | ||||||||||||||||
Amortization of deferred policy acquisition costs | 104.6 | 107.2 | 110.5 | 99.7 | 422 | ||||||||||||||||
General, administrative and corporate expenses | 86.6 | 87.7 | 98.9 | 94.9 | 368.1 | ||||||||||||||||
Interest on long-term debt | 7.7 | 7.8 | 7.7 | 9.5 | 32.7 | ||||||||||||||||
Change in fair value of derivatives | 4.2 | 2.9 | (6.6 | ) | (1.8 | ) | (1.3 | ) | |||||||||||||
Realized and unrealized investment losses/(gains) | 1.1 | 21 | 5.9 | (7.5 | ) | 20.5 | |||||||||||||||
Net realized and unrealized foreign exchange losses/(gains) | 5.4 | 4.1 | (2.4 | ) | 6.1 | 13.2 | |||||||||||||||
Other expenses | 0.6 | — | — | 1.1 | 1.7 | ||||||||||||||||
Total expenses | 478.9 | 564.1 | 504.2 | 533.4 | 2,080.60 | ||||||||||||||||
Income from operations before income tax | 97.7 | 41.1 | 110.3 | 93.6 | 342.7 | ||||||||||||||||
Income tax (expense) | (5.9 | ) | (1.0 | ) | (2.9 | ) | (3.6 | ) | (13.4 | ) | |||||||||||
Net income | $ | 91.8 | $ | 40.1 | $ | 107.4 | $ | 90 | $ | 329.3 | |||||||||||
Per Share Data | |||||||||||||||||||||
Weighted average number of ordinary share and share equivalents | |||||||||||||||||||||
Basic | 68,854,286 | 66,191,426 | 66,716,202 | 65,593,669 | 66,872,048 | ||||||||||||||||
Diluted | 72,452,705 | 69,291,324 | 68,561,515 | 67,051,993 | 69,417,903 | ||||||||||||||||
Basic earnings per ordinary share adjusted for preference share dividends | $ | 1.21 | $ | 0.38 | $ | 1.47 | $ | 1.23 | $ | 4.29 | |||||||||||
Diluted earnings per ordinary share adjusted for preference share dividends | $ | 1.15 | $ | 0.36 | $ | 1.43 | $ | 1.21 | $ | 4.14 | |||||||||||
2012 | |||||||||||||||||||||
Quarter Ended | Quarter Ended | Quarter Ended September 30 | Quarter Ended December 31 | Year Ended December 31 | |||||||||||||||||
31-Mar | 30-Jun | ||||||||||||||||||||
Revenues | ($ in millions) | ||||||||||||||||||||
Net earned premium | $ | 495.4 | $ | 513.4 | $ | 516.2 | $ | 558.5 | $ | 2,083.50 | |||||||||||
Net investment income | 52.4 | 52.8 | 48.6 | 51.1 | 204.9 | ||||||||||||||||
Realized and unrealized investment gains | 10.7 | 5.4 | 13.2 | 6.1 | 35.4 | ||||||||||||||||
Other income | 0.7 | 3.5 | 4.8 | (3.4 | ) | 5.6 | |||||||||||||||
Total revenues | 559.2 | 575.1 | 582.8 | 612.3 | 2,329.40 | ||||||||||||||||
Expenses | |||||||||||||||||||||
Losses and loss adjustment expenses | 284 | 262.1 | 255 | 437.4 | 1,238.50 | ||||||||||||||||
Amortization of deferred policy acquisition costs | 96.1 | 102 | 103.1 | 80 | 381.2 | ||||||||||||||||
General, administrative and corporate expenses | 84.8 | 83.5 | 90.7 | 86.1 | 345.1 | ||||||||||||||||
Interest on long-term debt | 7.7 | 7.7 | 7.8 | 7.7 | 30.9 | ||||||||||||||||
Change in fair value of derivatives | 7.5 | 11.6 | 4.9 | 4.4 | 28.4 | ||||||||||||||||
Realized and unrealized investment losses | 1.7 | 4.1 | 2.4 | 0.4 | 8.6 | ||||||||||||||||
Net realized and unrealized foreign exchange losses/(gains) | (7.7 | ) | 12.7 | (4.5 | ) | (3.9 | ) | (3.4 | ) | ||||||||||||
Other expenses | 1 | 0.6 | 0.3 | 2.8 | 4.7 | ||||||||||||||||
Total expenses | 475.1 | 484.3 | 459.7 | 614.9 | 2,034.00 | ||||||||||||||||
Income/(loss) from operations before income tax | 84.1 | 90.8 | 123.1 | (2.6 | ) | 295.4 | |||||||||||||||
Income tax (expense)/credit | (5.4 | ) | (6.2 | ) | (8.0 | ) | 4.6 | (15.0 | ) | ||||||||||||
Net income | $ | 78.7 | $ | 84.6 | $ | 115.1 | $ | 2 | $ | 280.4 | |||||||||||
Per Share Data | |||||||||||||||||||||
Weighted average number of ordinary share and share equivalents | |||||||||||||||||||||
Basic | 70,943,997 | 71,303,855 | 71,129,102 | 71,007,079 | 71,095,856 | ||||||||||||||||
Diluted | 73,832,734 | 73,845,903 | 73,397,796 | 71,007,079 | 73,689,423 | ||||||||||||||||
Basic earnings/(loss) per ordinary share adjusted for preference share dividends | $ | 1.03 | $ | 1.07 | $ | 1.5 | $ | (0.09 | ) | $ | 3.51 | ||||||||||
Diluted earnings/(loss) per ordinary share adjusted for preference share dividends | $ | 0.99 | $ | 1.03 | $ | 1.45 | $ | (0.09 | ) | $ | 3.39 | ||||||||||
2011 | |||||||||||||||||||||
Quarter Ended | Quarter Ended | Quarter Ended September 30 | Quarter Ended December 31 | Year Ended December 31 | |||||||||||||||||
31-Mar | 30-Jun | ||||||||||||||||||||
Revenues | ($ in millions) | ||||||||||||||||||||
Net earned premium | $ | 452.4 | $ | 459.8 | $ | 486.9 | $ | 489.4 | $ | 1,888.50 | |||||||||||
Net investment income | 55.5 | 58.6 | 57.3 | 54.2 | 225.6 | ||||||||||||||||
Realized and unrealized investment gains | 15.2 | 11 | 8.8 | 11.8 | 46.8 | ||||||||||||||||
Other income | 0.8 | 6.7 | (4.7 | ) | 7.7 | 10.5 | |||||||||||||||
Total revenues | 523.9 | 536.1 | 548.3 | 563.1 | 2,171.40 | ||||||||||||||||
Expenses | |||||||||||||||||||||
Losses and loss adjustment expenses | 528.9 | 326.4 | 306.2 | 394.5 | 1,556.00 | ||||||||||||||||
Amortization of deferred policy acquisition costs | 81.4 | 86.7 | 93.4 | 85.5 | 347 | ||||||||||||||||
General, administrative and corporate expenses | 62.5 | 70.7 | 72 | 79.3 | 284.5 | ||||||||||||||||
Interest on long-term debt | 7.7 | 7.7 | 7.7 | 7.7 | 30.8 | ||||||||||||||||
Change in fair value of derivatives | 3.4 | 22.3 | 30 | 4.2 | 59.9 | ||||||||||||||||
Realized and unrealized investment losses | 6.8 | 1.2 | 5.6 | 2.9 | 16.5 | ||||||||||||||||
Net realized and unrealized foreign exchange losses/(gains) | (6.4 | ) | 10.9 | 5.8 | (3.6 | ) | 6.7 | ||||||||||||||
Other expenses | 8.9 | — | 4.4 | 4 | 17.3 | ||||||||||||||||
Total expenses | 693.2 | 525.9 | 525.1 | 574.5 | 2,318.70 | ||||||||||||||||
Income/(loss) from operations before income tax | (169.3 | ) | 10.2 | 23.2 | (11.4 | ) | (147.3 | ) | |||||||||||||
Income tax (expense)/credit | 16.5 | (1.2 | ) | (2.0 | ) | 23.9 | 37.2 | ||||||||||||||
Net income/(loss) | $ | (152.8 | ) | $ | 9 | $ | 21.2 | $ | 12.5 | $ | (110.1 | ) | |||||||||
Per Share Data | |||||||||||||||||||||
Weighted average number of ordinary share and share equivalents | |||||||||||||||||||||
Basic (1) | 70,551,849 | 70,792,483 | 70,699,343 | 70,615,233 | 70,665,166 | ||||||||||||||||
Diluted (1) | 70,551,849 | 73,568,910 | 73,299,985 | 73,260,574 | 70,665,166 | ||||||||||||||||
Basic earnings/(loss) per ordinary share adjusted for preference share dividends | $ | (2.25 | ) | $ | 0.05 | $ | 0.21 | $ | 0.09 | $ | (1.88 | ) | |||||||||
Diluted earnings/(loss) per ordinary share adjusted for preference share dividends | $ | (2.25 | ) | $ | 0.05 | $ | 0.21 | $ | 0.09 | $ | (1.88 | ) | |||||||||
____________________ | |||||||||||||||||||||
(1) The basic and diluted number of ordinary shares for the three months ended March 31, 2011 and the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. |
Schedule_I_Investments
Schedule I - Investments | 12 Months Ended |
Dec. 31, 2013 | |
Summary of Investments, Other than Investments in Related Parties [Abstract] | ' |
Schedule I - Investments | ' |
ASPEN INSURANCE HOLDINGS LIMITED | |
SCHEDULE I - INVESTMENTS | |
For the Twelve Months Ended December 31, 2013, 2012 and 2011 | |
The Company’s investments comprise investments in subsidiaries. |
Schedule_II_Condensed_Financia
Schedule II - Condensed Financial Information of Registrant | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ||||||||||||
Schedule II - Condensed Financial Information of Registrant | ' | ||||||||||||
ASPEN INSURANCE HOLDINGS LIMITED | |||||||||||||
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT | |||||||||||||
BALANCE SHEETS | |||||||||||||
As at December 31, 2013 and 2012 | |||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||
($ in millions, except per share amounts) | |||||||||||||
ASSETS | |||||||||||||
Cash and cash equivalents | $ | 94.2 | $ | 192.3 | |||||||||
Investments in subsidiaries | 3,153.70 | 2,715.30 | |||||||||||
Other investments | 39.3 | 36.2 | |||||||||||
Eurobond issued by subsidiary | 571.9 | 970 | |||||||||||
Long-term debt issued by subsidiaries | 15 | — | |||||||||||
Intercompany funds due from affiliates | — | 86 | |||||||||||
Other assets | 9.3 | 6.4 | |||||||||||
Total assets | $ | 3,883.40 | $ | 4,006.20 | |||||||||
LIABILITIES | |||||||||||||
Accrued expenses and other payables | 14.6 | 18.7 | |||||||||||
Intercompany funds due to affiliates | 20.2 | — | |||||||||||
Long-term debt | 549 | 499.1 | |||||||||||
Total liabilities | $ | 583.8 | $ | 517.8 | |||||||||
SHAREHOLDERS’ EQUITY | |||||||||||||
Ordinary Shares: | |||||||||||||
65,546,976 shares of par value 0.15144558¢ each | $ | 0.1 | $ | 0.1 | |||||||||
(December 31, 2012 — 70,753,723) | |||||||||||||
Preference Shares: | |||||||||||||
11,000,000 5.950% shares of par value 0.15144558¢ each | — | — | |||||||||||
(December 31, 2012 — Nil) | |||||||||||||
Nil 5.625% shares of par value 0.15144558¢ each | — | — | |||||||||||
(December 31, 2012 — 4,600,000) | |||||||||||||
5,327,500 7.401% shares of par value 0.15144558¢ each | — | — | |||||||||||
(December 31, 2012 — 5,327,500) | |||||||||||||
6,400,000 7.250% shares of par value 0.15144558¢ each | — | — | |||||||||||
(December 31, 2012 — 6,400,000) | |||||||||||||
Additional paid in capital | 1,297.40 | 1,516.70 | |||||||||||
Retained earnings | 1,783.30 | 1,544.00 | |||||||||||
Non-controlling interest | (0.3 | ) | 0.2 | ||||||||||
Accumulated other comprehensive income, net of taxes: | |||||||||||||
Unrealized gains on investments | 130.5 | 315.2 | |||||||||||
Loss on derivatives | — | (0.5 | ) | ||||||||||
Gains on foreign currency translation | 88.6 | 112.7 | |||||||||||
Total accumulated other comprehensive income | 219.1 | 427.4 | |||||||||||
Total shareholders’ equity | 3,299.60 | 3,488.40 | |||||||||||
Total liabilities and shareholders’ equity | $ | 3,883.40 | $ | 4,006.20 | |||||||||
ASPEN INSURANCE HOLDINGS LIMITED | |||||||||||||
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT - Continued | |||||||||||||
STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME | |||||||||||||
For the Twelve Months Ended December 31, 2013, 2012 and 2011 | |||||||||||||
Twelve Months Ended December 31, 2013 | Twelve Months Ended December 31, 2012 | Twelve Months Ended December 31, 2011 | |||||||||||
($ in millions) | |||||||||||||
Operating Activities: | |||||||||||||
Equity in net earnings/(loss) of subsidiaries and other investments | $ | 40.6 | $ | 160.6 | $ | (311.5 | ) | ||||||
Dividend income | 301.8 | 100 | 185 | ||||||||||
Interest income on Eurobond | 44.6 | 56.5 | 52 | ||||||||||
Realized investment gains | (6.3 | ) | 3.2 | 3.1 | |||||||||
Other income | 1.9 | 3.4 | 4 | ||||||||||
Total Revenues | 382.6 | 323.7 | (67.4 | ) | |||||||||
Expenses: | |||||||||||||
Operating and administrative expenses | (20.6 | ) | (12.4 | ) | (11.9 | ) | |||||||
Interest expense | (32.7 | ) | (30.9 | ) | (30.8 | ) | |||||||
Income from operations before income tax | 329.3 | 280.4 | (110.1 | ) | |||||||||
Income tax | — | — | — | ||||||||||
Net income | 329.3 | 280.4 | (110.1 | ) | |||||||||
Add: Loss attributable to non-controlling interest | 0.5 | 0.2 | 0.1 | ||||||||||
Net income/(loss) attributable to Aspen Insurance Holdings Limited ordinary shareholders | 329.8 | 280.6 | (110.0 | ) | |||||||||
Other comprehensive income/(loss), net of taxes: | |||||||||||||
Change in unrealized losses on investments | (184.7 | ) | 9.8 | 93.5 | |||||||||
Loss on derivatives reclassified to interest expense | 0.5 | 0.2 | 0.3 | ||||||||||
Change in unrealized gains on foreign currency translation | (24.1 | ) | (11.5 | ) | 10.8 | ||||||||
Other comprehensive income | (208.3 | ) | (1.5 | ) | 104.6 | ||||||||
Comprehensive income | $ | 121.5 | $ | 279.1 | $ | (5.4 | ) | ||||||
ASPEN INSURANCE HOLDINGS LIMITED | |||||||||||||
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT - Continued | |||||||||||||
STATEMENTS OF CASH FLOWS | |||||||||||||
For the Twelve Months Ended December 31, 2013, 2012 and 2011 | |||||||||||||
Twelve Months Ended December 31, 2013 | Twelve Months Ended December 31, 2012 | Twelve Months Ended December 31, 2011 | |||||||||||
($ in millions) | |||||||||||||
Cash Flows Provided By Operating Activities: | |||||||||||||
Net income (excluding equity in net earnings of subsidiaries) | $ | 288.8 | $ | 119.8 | $ | 201.4 | |||||||
Adjustments: | |||||||||||||
Share-based compensation expenses | 21.4 | 17.8 | 4 | ||||||||||
Realized and unrealized losses/(gains) | 6.3 | (3.2 | ) | (3.1 | ) | ||||||||
Loss on derivative reclassified to interest expense | 0.5 | 0.2 | 0.3 | ||||||||||
Change in other assets | (2.8 | ) | 1.1 | 0.9 | |||||||||
Change in accrued expenses and other payables | (5.5 | ) | 4 | (4.4 | ) | ||||||||
Change in intercompany activities | 104.3 | (58.5 | ) | 11.8 | |||||||||
Net cash generated by operating activities | 413 | 81.2 | 210.9 | ||||||||||
Cash Flows Used in Investing Activities: | |||||||||||||
Investment in subsidiaries | (605.4 | ) | — | — | |||||||||
Investment in long-term debt issued by subsidiary | (15.0 | ) | — | — | |||||||||
Net cash (used in) investing activities | (620.4 | ) | — | — | |||||||||
Cash Flows Used in Financing Activities: | |||||||||||||
Proceeds from issuance of ordinary shares, net of issuance costs | 21.2 | 22.1 | 0.8 | ||||||||||
Proceeds from issuance of preference shares, net of issuance costs | 270.6 | 154.5 | — | ||||||||||
PIERS redeemed and cancelled | (230.0 | ) | — | — | |||||||||
Ordinary share repurchase | (309.6 | ) | (62.7 | ) | (8.1 | ) | |||||||
Make-whole payment | (9.3 | ) | — | — | |||||||||
Proceeds from long term debt | 299.7 | — | — | ||||||||||
Debt redemption | (250.0 | ) | — | — | |||||||||
Ordinary and preference share dividends paid | (83.3 | ) | (78.1 | ) | (65.3 | ) | |||||||
Proceeds from maturity of Eurobond | 400 | 50 | — | ||||||||||
Eurobond purchased from subsidiary | — | (100.0 | ) | (367.0 | ) | ||||||||
Net cash (used in)/generated by financing activities | 109.3 | (14.2 | ) | (439.6 | ) | ||||||||
Increase in cash and cash equivalents | (98.1 | ) | 67 | (228.7 | ) | ||||||||
Cash and cash equivalents — beginning of period | 192.3 | 125.3 | 354 | ||||||||||
Cash and cash equivalents — end of period | $ | 94.2 | $ | 192.3 | $ | 125.3 | |||||||
Schedule_III_Supplementary_Ins
Schedule III - Supplementary Insurance Information | 12 Months Ended | ||||||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||||||
Supplementary Insurance Information [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
Schedule III - Supplementary Insurance Information | ' | ||||||||||||||||||||||||||||||||||||
ASPEN INSURANCE HOLDINGS LIMITED | |||||||||||||||||||||||||||||||||||||
SCHEDULE III - SUPPLEMENTARY INSURANCE INFORMATION | |||||||||||||||||||||||||||||||||||||
For the Twelve Months Ended December 31, 2013, 2012 and 2011 | |||||||||||||||||||||||||||||||||||||
Supplementary Information | |||||||||||||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2013 | Deferred | Net | Net | Net | Net | Losses and | Policy | Net | General | ||||||||||||||||||||||||||||
Policy | Reserves | Reserves | Premiums | Investment | LAE | Acquisition | Premium | and | |||||||||||||||||||||||||||||
Acquisition | for Losses | for | Earned | Income | Expenses | Expenses | Written | Administrative | |||||||||||||||||||||||||||||
Costs | and LAE | Unearned | Expenses | ||||||||||||||||||||||||||||||||||
Premiums | |||||||||||||||||||||||||||||||||||||
Reinsurance | $ | 131.9 | $ | 2,646.80 | $ | 529.9 | $ | 1,073.00 | $ | 481.7 | $ | 207.2 | $ | 1,082.00 | $ | 131 | |||||||||||||||||||||
Insurance | 130.3 | 1,699.40 | 598.8 | 1,098.80 | 742 | 214.8 | 1,217.70 | 185.9 | |||||||||||||||||||||||||||||
Total | $ | 262.2 | $ | 4,346.20 | $ | 1,128.70 | $ | 2,171.80 | $ | 186.4 | $ | 1,223.70 | $ | 422 | $ | 2,299.70 | $ | 316.9 | |||||||||||||||||||
Year to date December 31, 2012 | Deferred | Net | Net | Net | Net | Losses and | Policy | Net | General | ||||||||||||||||||||||||||||
Policy | Reserves | Reserves | Premiums | Investment | LAE | Acquisition | Premium | and | |||||||||||||||||||||||||||||
Acquisition | for Losses | for | Earned | Income | Expenses | Expenses | Written | Administrative | |||||||||||||||||||||||||||||
Costs | and LAE | Unearned | Expenses | ||||||||||||||||||||||||||||||||||
Premiums | |||||||||||||||||||||||||||||||||||||
Reinsurance | $ | 109.4 | $ | 2,811.30 | $ | 469.1 | $ | 1,132.40 | $ | 635.3 | $ | 207.8 | $ | 1,156.90 | $ | 123.9 | |||||||||||||||||||||
Insurance | 113.6 | 1,469.40 | 529.1 | 951.1 | 603.2 | 173.4 | 1,090.00 | 168.2 | |||||||||||||||||||||||||||||
Total | $ | 223 | $ | 4,280.70 | $ | 998.2 | $ | 2,083.50 | $ | 204.9 | $ | 1,238.50 | $ | 381.2 | $ | 2,246.90 | $ | 292.1 | |||||||||||||||||||
Year to date December 31, 2011 | Deferred | Net | Net | Net | Net | Losses and | Policy | Net | General | ||||||||||||||||||||||||||||
Policy | Reserves | Reserves | Premiums | Investment | LAE | Acquisition | Premium | and | |||||||||||||||||||||||||||||
Acquisition | for Losses | for | Earned | Income | Expenses | Expenses | Written | Administrative | |||||||||||||||||||||||||||||
Costs | and LAE | Unearned | Expenses | ||||||||||||||||||||||||||||||||||
Premiums | |||||||||||||||||||||||||||||||||||||
Reinsurance | $ | 80.4 | $ | 2,770.00 | $ | 393.3 | $ | 1,108.30 | $ | 1,083.30 | $ | 197.7 | $ | 1,098.10 | $ | 111.8 | |||||||||||||||||||||
Insurance | 104.1 | 1,328.60 | 435 | 780.2 | 472.7 | 149.3 | 831 | 128 | |||||||||||||||||||||||||||||
Total | $ | 184.5 | $ | 4,098.60 | $ | 828.3 | $ | 1,888.50 | $ | 225.6 | $ | 1,556.00 | $ | 347 | $ | 1,929.10 | $ | 239.8 | |||||||||||||||||||
Schedule_IV_Reinsurance
Schedule IV - Reinsurance | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Supplemental Schedule of Reinsurance Premiums for Insurance Companies [Abstract] | ' | |||||||||||||||||||
Schedule IV - Reinsurance | ' | |||||||||||||||||||
ASPEN INSURANCE HOLDINGS LIMITED | ||||||||||||||||||||
SCHEDULE IV - REINSURANCE | ||||||||||||||||||||
For the Twelve Months Ended December 31, 2013, 2012 and 2011 | ||||||||||||||||||||
Premiums Written | ||||||||||||||||||||
Direct | Assumed | Ceded | Net Amount | |||||||||||||||||
($ in millions) | ||||||||||||||||||||
2013 | $ | 1,512.80 | $ | 1,133.90 | $ | (347.0 | ) | $ | 2,299.70 | |||||||||||
2012 | $ | 1,355.40 | $ | 1,227.90 | $ | (336.4 | ) | $ | 2,246.90 | |||||||||||
2011 | $ | 1,020.30 | $ | 1,187.50 | $ | (278.7 | ) | $ | 1,929.10 | |||||||||||
Premiums Earned | ||||||||||||||||||||
Gross Amount | Ceded to Other | Assumed From | Net Amount | Percentage of | ||||||||||||||||
Companies | Other | Amount | ||||||||||||||||||
Companies | Assumed | |||||||||||||||||||
to Net | ||||||||||||||||||||
($ in millions. except for percentages) | ||||||||||||||||||||
2013 | $ | 1,366.80 | $ | (321.6 | ) | $ | 1,126.60 | $ | 2,171.80 | 51.9 | % | |||||||||
2012 | $ | 1,177.00 | $ | (301.5 | ) | $ | 1,208.00 | $ | 2,083.50 | 58 | % | |||||||||
2011 | $ | 950.5 | $ | (252.6 | ) | $ | 1,190.60 | $ | 1,888.50 | 63 | % | |||||||||
Schedule_V_Valuation_and_Quali
Schedule V - Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | ||||||||||||||||||||
Schedule V - Valuation and Qualifying Accounts | ' | ||||||||||||||||||||
ASPEN INSURANCE HOLDINGS LIMITED | |||||||||||||||||||||
SCHEDULE V - VALUATION AND QUALIFYING ACCOUNTS | |||||||||||||||||||||
For the Twelve Months Ended December 31, 2013, 2012 and 2011 | |||||||||||||||||||||
Balance at | Charged to | Charged to | Deductions | Balance at | |||||||||||||||||
Beginning of | Costs and | Other | End of Year | ||||||||||||||||||
Year | Expenses | Accounts | |||||||||||||||||||
($ in millions) | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Premiums receivable from underwriting activities | $ | 0.1 | $ | 1 | $ | — | $ | — | $ | 1.1 | |||||||||||
Reinsurance | $ | 0.2 | $ | (0.2 | ) | $ | — | $ | — | $ | — | ||||||||||
2012 | |||||||||||||||||||||
Premiums receivable from underwriting activities | $ | — | $ | 0.1 | $ | — | $ | — | $ | 0.1 | |||||||||||
Reinsurance | $ | 0.2 | $ | — | $ | — | $ | — | $ | 0.2 | |||||||||||
2011 | |||||||||||||||||||||
Premiums receivable from underwriting activities | $ | 1.5 | $ | (1.5 | ) | $ | — | $ | — | $ | — | ||||||||||
Reinsurance | $ | 0.2 | $ | — | $ | — | $ | — | $ | 0.2 | |||||||||||
Basis_of_Preparation_and_Signi1
Basis of Preparation and Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
Use of Estimates | ' |
Use of Estimates | |
Assumptions and estimates made by management have a significant effect on the amounts reported within the consolidated financial statements. The most significant of these relate to the losses and loss adjustment expenses, reinsurance recoverables, gross written premiums and commissions which have not been reported to the Company such as those relating to proportional treaty reinsurance contracts, the fair value of derivatives and the fair value of other investments. All material assumptions and estimates are regularly reviewed and adjustments made as necessary, but actual results could turn out significantly different from those expected when the assumptions or estimates were made. | |
Accounting for Insurance and Reinsurance Operations | ' |
Accounting for Insurance and Reinsurance Operations | |
Premiums Earned. Premiums are recognized as revenues proportionately over the coverage period. Premiums earned are recorded in the statements of operations, net of the cost of purchased reinsurance. Premiums written which are not yet recognized as earned premium are recorded in the consolidated balance sheet as unearned premiums, gross of any ceded unearned premiums. Written and earned premiums, and the related costs, include estimates for premiums which have not yet been finally determined. These relate mainly to contractual provisions for the payment of adjustment or additional premiums, premiums payable under proportional treaties and delegated underwriting authorities and reinstatement premiums. | |
Adjustment and additional premiums are premiums charged after coverage has expired and related to experience during the policy term. The proportion of adjustable premiums included in the premium estimates varies between business lines with the largest adjustment premiums being in property and casualty reinsurance and the smallest in property and casualty insurance. | |
Premiums payable under proportional treaty contracts and delegated underwriting authorities are generally not reported to the Company until after the reinsurance coverage is in force. As a result, an estimate of these “pipeline” premiums is recorded. The Company estimates pipeline premiums based on projections of ultimate premium taking into account reported premiums and expected development patterns. | |
Reinstatement premiums on assumed excess of loss reinsurance contracts are provided for based on experience under such contracts. Reinstatement premiums are the premiums charged for the restoration of the reinsurance limit of an excess of loss contract to its full amount after payment by the reinsurer of losses as a result of an occurrence and are recognized as revenue in full at the date of loss, triggering the payment of the reinstatement premiums. The payment of reinstatement premiums provides future insurance cover for the remainder of the initial policy term. An allowance for uncollectible premiums is established for possible non-payment of premium receivables, as deemed necessary. | |
Outward reinsurance premiums are accounted for using the same accounting methodology as we use for inwards premiums. Premiums payable under reinsurance contracts that operate on a “losses occurring during” basis are accounted for in full over the period of coverage while those arising from “risks attaching during” policies are expensed over the earnings period of the premiums receivable from the reinsured business. | |
Losses and Loss Adjustment Expenses. Losses represent the amount paid or expected to be paid to claimants in respect of events that have occurred on or before the balance sheet date. The costs of investigating, resolving and processing these claims are known as loss adjustment expenses (“LAE”). The statement of operations records these losses net of reinsurance, meaning that gross losses and loss adjustment expenses incurred are reduced by the amounts recovered or expected to be recovered under reinsurance contracts. | |
Reinsurance. Written premiums, earned premiums, incurred claims, LAE and the amortization of deferred policy acquisition costs all reflect the net effect of assumed and ceded reinsurance transactions. Assumed reinsurance refers to the Company’s acceptance of certain insurance risks that other insurance companies have underwritten. Ceded reinsurance arises from contracts under which other insurance companies agree to share certain risks with the Company. | |
Reinsurance accounting is followed when there is significant timing risk, significant underwriting risk and a reasonable possibility of significant loss. | |
Reinsurance does not isolate the ceding company from its obligations to policyholders. In the event that a reinsurer fails to meet its obligations, the ceding company’s obligations remain. The Company regularly evaluates the financial condition of its reinsurers and monitors the concentration of credit risk to minimize its exposure to financial loss from reinsurers’ insolvency. Where it is considered required, appropriate provision is made for balances deemed irrecoverable from reinsurers. | |
Reserves. Insurance reserves are established for the total unpaid cost of claims and LAE in respect of events that have occurred by the balance sheet date, including the Company’s estimates of the total cost of claims incurred but not yet reported (“IBNR”). Claim reserves are reduced for estimated amounts of salvage and subrogation recoveries. Estimated amounts recoverable from reinsurers on unpaid losses and LAE are reflected as assets. | |
For reported claims, reserves are established on a case-by-case basis within the parameters of coverage provided in the insurance policy or reinsurance agreement. For IBNR claims, reserves are estimated using a number of established actuarial methods to establish a range of estimates from which a management best estimate is selected. Both case and IBNR reserve estimates consider variables such as past loss experience, changes in legislative conditions, changes in judicial interpretation of legal liability, policy coverages and inflation. | |
As many of the coverages underwritten involve claims that may not be ultimately settled for many years after they are incurred, subjective judgments as to the ultimate exposure to losses are an integral and necessary component of the loss reserving process. The Company regularly reviews its reserves, using a variety of statistical and actuarial techniques to analyze current claims costs, frequency and severity data, and prevailing economic, social and legal factors. Reserves established in prior periods are adjusted as claim experience develops and new information becomes available. Adjustments to previously estimated reserves are reflected in the financial results of the period in which the adjustments are made. | |
The process of estimating required reserves does, by its very nature, involve considerable uncertainty. The level of uncertainty can be influenced by factors such as the existence of coverage with long duration payment patterns and changes in claims handling practices, as well as the factors noted above. Ultimate actual payments for claims and LAE could turn out to be significantly different from the Company’s estimates. | |
Amortization of Deferred Policy Acquisition Costs. The costs directly related to writing an insurance policy are referred to as policy acquisition expenses and include commissions, premium taxes and profit commissions. With the exception of profit commissions, these expenses are incurred when a policy is issued, and only the costs directly related to the successful acquisition of new and renewal insurance contracts are deferred and amortized over the same period as the corresponding premiums are recorded as revenues. Profit commissions are estimated based on the related performance criteria evaluated at the balance sheet date, with subsequent changes to those estimates recognized when they occur. | |
On a regular basis a recoverability analysis is performed of the deferred policy acquisition costs in relation to the expected recognition of revenues, including anticipated investment income, and adjustments, if any, are reflected as period costs. Should the analysis indicate that the acquisition costs are unrecoverable, further analyses are performed to determine if a reserve is required to provide for losses which may exceed the related unearned premium. | |
General, Administrative and Corporate Expenses. These costs represent the expenses incurred in running the business and include, but are not limited to compensation costs for employees, rental costs, IT development and operating costs and professional and consultancy fees. General, policy and administrative costs directly attributable to the successful acquisition of business are deferred and amortized over the same period as the corresponding premiums are recorded as revenues. When reporting the results for its operating segments, the Company includes expenses which are directly attributable to the segment plus an allocation of central administrative costs. Corporate expenses are not allocated to the Company’s operating segments as they typically do not fluctuate with the levels of premium written and are related to the Company’s operations which include group executive costs, group finance costs, group legal and actuarial costs and certain strategic and non-recurring costs. | |
Accounting for Investments, Cash and Cash Equivalents | ' |
Accounting for Investments, Cash and Cash Equivalents | |
Fixed Income Maturities. The fixed income maturity portfolio comprises securities issued by governments and government agencies, corporate bonds, mortgage and other asset-backed securities and bank loans. Investments in fixed maturities are classified as available for sale or trading and are reported at estimated fair value in the consolidated balance sheet. Investment transactions are recorded on the trade date with balances pending settlement reflected in the consolidated balance sheet as a receivable for investments sold or a payable for investments purchased. Fair values are based on quoted market prices and other data provided by third-party pricing services and index providers. | |
Equity Securities. The Company’s equity securities comprise U.S. and foreign equity securities. They are classified as either trading or available for sale and carried on the consolidated balance sheet at estimated fair value. The fair values are based on quoted market prices in active markets from independent pricing sources. | |
Short-term Investments. Short-term investments primarily comprise highly liquid debt securities with a maturity greater than three months but less than one year from the date of purchase and are held as part of the investment portfolio of the Company. Short-term investments are classified as either trading or available for sale and carried at estimated fair value. | |
Gains and Losses. Realized gains or losses on the sale of investments are determined on the basis of the first in first out cost method and, for fixed income maturity available for sale securities, include adjustments to the cost basis of investments for declines in value that are considered to be other-than-temporary. Unrealized gains and losses represent the difference between the cost, or the cost as adjusted by amortization of any difference between its cost and its redemption value (“amortized cost”), of the security and its fair value at the reporting date and are included within other comprehensive income for securities classified as available for sale and in realized and unrealized investment gains or losses in the consolidated statement of operations for securities classified as trading. | |
Other Investments. Other investments represent the Company’s investments that are recorded using the equity method of accounting. Adjustments to the fair value of these investments are made based on the net asset value of the investee. | |
Catastrophe Bonds. Investments in catastrophe bonds are classified as trading and are carried on the consolidated balance sheet at estimated fair value. The fair values are based on independent broker-dealer quotes. | |
Cash and Cash Equivalents. Cash and cash equivalents are carried at fair value. Cash and cash equivalents comprise cash on hand, deposits held on call with banks and other short-term highly liquid investments due to mature within three months from the date of purchase and which are subject to insignificant risk of change in fair value. | |
Other-than-temporary Impairment of Investments. A security is impaired when its fair value is below its cost or amortized cost. The Company reviews its investment portfolio each quarter on an individual security basis for potential other-than-temporary impairment (“OTTI”) based on criteria including issuer-specific circumstances, credit ratings actions and general macro-economic conditions. | |
OTTI is deemed to occur when there is no objective evidence to support recovery in value of a security and a) the Company intends to sell the security or more likely than not will be required to sell the security before recovery of its cost or adjusted amortized cost basis or b) it is deemed probable that the Company will be unable to collect all amounts due according to the contractual terms of the individual security. In the first case, the entire unrealized loss position is taken as an OTTI charge to realized losses in earnings. In the second case, the unrealized loss is separated into the amount related to credit loss and the amount related to all other factors. The OTTI charge related to credit loss is recognized in realized losses in earnings and the amount related to all other factors is recognized in other comprehensive income. The cost basis of the investment is reduced accordingly and no adjustments to the cost basis are made for subsequent recoveries in value. | |
Equity securities do not have a maturity date and therefore the Company’s review of these securities utilizes a higher degree of judgment. In its review, the Company considers its ability and intent to hold an impaired equity security for a reasonable period of time to allow for a full recovery. Where an equity security is considered to be other-than-temporarily impaired, the entire charge is recognized in realized losses in earnings. The cost basis of the investment is reduced accordingly and no adjustments to the cost basis are made for subsequent recoveries in value. | |
Although the Company reviews each security on a case by case basis, it has also established parameters focusing on the extent and duration of impairment to help identify securities in an unrealized loss position which are other-than-temporarily impaired. For fixed maturities, the Company considers securities which have been in an unrealized loss position for 12 months or more which currently have a market value of more than 20% below cost should be other-than-temporarily impaired. For equities, the Company considers declines in value to a level of 20% or more below cost for 12 consecutive months to indicate the security should be other-than-temporarily impaired. | |
Investment Income. Investment income includes amounts received and accrued in respect of periodic interest (“coupons”) payable to the Company by the issuer of fixed income securities, equity dividends and interest credited on cash and cash equivalents. It also includes amortization of premium and accretion of discount in respect of fixed income securities. Investment management and custody fees are charged against net investment income reported in the consolidated statement of operations. | |
Accounting for Derivative Financial Instruments | ' |
Accounting for Derivative Financial Instruments | |
The Company enters into derivative instruments such as interest rate swaps and forward exchange contracts in order to manage certain market and credit risks. The Company records derivative instruments at fair value on the Company’s balance sheet as either assets or liabilities, depending on their rights and obligations. As at December 31, 2013 the Company held no instruments which qualify for hedge accounting. | |
The accounting for the gain or loss due to the changes in the fair value of these instruments is dependent on whether the derivative qualifies as a hedge. If the derivative does not qualify as a hedge, the gains or losses are reported in earnings when they occur. If the derivative does qualify as a hedge, the accounting treatment varies based on the type of risk being hedged. | |
Intangible Assets | ' |
Intangible Assets | |
Intangible assets are held in the consolidated balance sheet at cost less amortization and impairment. Amortization applies on a straight-line basis in respect of assets having a finite estimated useful economic life. The Company performs a qualitative assessment annually to determine whether it is more likely than not that an indefinite-lived intangible asset, other than goodwill, is impaired. | |
Office Properties and Equipment | ' |
Office Properties and Equipment | |
Office properties and equipment are carried at cost less accumulated depreciation. These assets are depreciated on a straight-line basis over the estimated useful lives of the assets. Computer equipment and software is depreciated between three and five years with depreciation for software commencing on the date the software is brought into use. Furniture and fittings are depreciated over four years and leasehold improvements are depreciated over the lesser of 15 years or the lease term. | |
Foreign Currencies Translation | ' |
Foreign Currencies Translation | |
The reporting currency of the Company is the U.S. Dollar. The functional currencies of the Company’s foreign operations and branches are the currencies in which the majority of their business is transacted. | |
Transactions in currencies other than the functional currency are measured in the functional currency of that operation at the exchange rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in non-functional currencies are remeasured at the exchange rate prevailing at the balance sheet date and any resulting foreign exchange gains or losses are reflected in the statement of operations. | |
Monetary assets and liabilities of the Company’s functional currency operations are translated into U.S. Dollars at the exchange rate prevailing at the balance sheet date. Income and expenses of these operations are translated at the exchange rate prevailing at the date of the transaction. Unrealized gains or losses arising from the translation of functional currencies are recorded net of tax as a component of other comprehensive income. | |
Earnings per Ordinary Share | ' |
Earnings per Ordinary Share | |
Basic earnings per ordinary share is determined by dividing net income available to ordinary shareholders by the weighted average number of ordinary shares outstanding during the period. Net income available to ordinary shareholders is calculated by deducting preference share dividends and net income/(loss) attributable to non-controlling interest from net income after tax for the period. Diluted earnings per share reflect the effect on earnings of the average number of ordinary shares outstanding associated with dilutive securities. The dilutive effect of potentially dilutive securities is calculated using the treasury stock method. | |
Accounting for Income Tax | ' |
Accounting for Income Tax | |
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. When the Company does not believe that, on the basis of available information, it is more likely than not that the deferred tax asset will be fully recovered, it recognizes a valuation allowance against its deferred tax assets to reduce assets to the recoverable amount. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | |
Preference Shares | ' |
Preference Shares | |
The Company has in issue three classes of perpetual preference shares. The Company has no obligation to pay interest on these securities but they do carry entitlements to dividends payable at the discretion of the Board of Directors. In the event of non-payment of dividends for six consecutive periods, holders of preference shares have director appointment rights. They are therefore accounted for as equity instruments and included within total shareholders’ equity. | |
Share-Based Employee Compensation | ' |
Share-Based Employee Compensation | |
The Company operates a share and option-based employee compensation plan, the terms and conditions of which are described in Note 17. The Company applies a fair-value based measurement method including estimates for future forfeitures in the calculation of the compensation costs of stock options, performance shares, phantom shares and restricted share units. | |
Long-term debt issued by Silverton | ' |
Long-term debt issued by Silverton | |
The consolidated variable interest entity, Silverton, has issued debt instruments due to mature on September 16, 2016 which are further described in Note 19(c), “Commitments and Contingencies” of these consolidated financial statements. This debt is separately identified on the Company’s balance sheet and the Company has elected to record the debt at fair value. The fair value option was elected due to the potential variability over the ultimate settlement value of the debt instruments. | |
New Accounting Policies Adopted in 2013 | ' |
New Accounting Policies Adopted in 2013 | |
In 2011, the Financial Accounting Standard Board (“FASB”) issued ASU 2011-11, “Disclosures about Offsetting Assets and Liabilities.” ASU 2011-11 retains the existing offsetting model under U.S. GAAP but requires disclosures to allow investors to better compare financial statements prepared under U.S. GAAP with financial statements prepared under International Financial Reporting Standards (“IFRS”) by aligning these requirements. ASU 2011-11 is effective for annual reporting periods beginning January 1, 2013, and interim periods within those annual periods. Retrospective application is required. | |
In January 2013, the FASB issued ASU 2013-01, “Clarifying the Scope of Disclosures About Offsetting Assets and Liabilities” which clarifies which instruments and transactions are subject to the offsetting disclosure requirements established by ASU 2011-11. ASU 2013-01 addresses concerns that the scope of the disclosure requirements under ASU 2011-11 was overly broad and imposed unintended costs that were not commensurate with estimated benefits to financial statement users. In choosing to narrow the scope of the offsetting disclosures, the FASB determined that it could make them more operable and cost effective for preparers while still giving financial statement users sufficient information to analyze the most significant presentation differences between financial statements prepared in accordance with U.S. GAAP and those prepared under IFRS. Like ASU 2011-11, ASU 2013-01 is effective for fiscal years beginning on or after January 1, 2013 and interim periods therein. Retrospective application is required for any period presented that begins before the entity’s initial application of the new requirements. The Company adopted ASU 2011-11 and ASU 2013-01 in the first quarter of 2013, with the only impact being to the Company’s disclosures of its derivative instruments as presented in Note 9 of the accompanying notes to the consolidated financial statements. | |
In February 2013, the FASB issued ASU 2013-02, “Reporting of Amounts Reclassified out of Accumulated Other Comprehensive Income” which adds new disclosure requirements for items reclassified out of accumulated other comprehensive income (“AOCI”). ASU 2013-02 is intended to improve the transparency of changes in other comprehensive income (“OCI”) and items reclassified out of AOCI in the financial statements. It does not amend any existing requirements for reporting net income or OCI in the financial statements. ASU 2013-02 was applied prospectively and was effective for annual reporting periods beginning after December 15, 2012, and interim periods within those years. The Company adopted ASU 2013-02 in the first quarter of 2013 and this information is presented in Note 21 of the accompanying notes to the consolidated financial statements. | |
In July 2013, the FASB issued ASU 2013-10, “Inclusion of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a Benchmark Interest Rate for Hedge Accounting Purposes” which provides guidance on the risks permitted to be hedged in a fair value or cash flow hedges, specifically, the risk of changes in a hedged item’s fair value or hedged transaction’s cash flows due to the changes in the designated benchmark interest rate. ASU 2013-10 is effective prospectively for qualifying new or redesignated hedging relationships entered into on or after July 17, 2013. The Company adopted ASU 2013-10 in the third quarter of 2013 and it did not have a material impact on the Company’s consolidated financial statements. | |
Accounting Pronouncements Not Yet Adopted | |
In February 2013, the FASB issued ASU 2013-04, “Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation is Fixed at the Reporting Date” to provide guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date. Examples of obligations include debt arrangements, other contractual obligations and settled litigation and judicial rulings. ASU 2013-04 will be applied retrospectively and is effective for annual reporting periods beginning after December 15, 2013, and interim periods within those years. The Company does not anticipate that this standard will have a material impact on its consolidated financial statements. | |
In March 2013, the FASB issued ASU 2013-05, “Parent’s Accounting for the Cumulative Translation Adjustment Upon Derecognition of Certain Subsidiaries or Groups of Assets Within a Foreign Entity or of an Investment in a Foreign Entity” to standardize the release of the cumulative translation adjustment into net income when a parent either sells a part or all of its investment in its foreign entities or no longer holds a controlling financial interest in a subsidiary. ASU 2013-05 will be applied prospectively and is effective for annual reporting periods beginning after December 15, 2013, and interim periods within those years. The Company does not expect ASU 2013-05 to have a material impact on its consolidated financial statements unless it should choose to sell its investments in its foreign entities or cease to hold a controlling financial interest. | |
In July 2013, the FASB issued ASU 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” which provides guidance on financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. ASU 2013-11 is effective for fiscal years beginning after December 15, 2013 or interim periods within those years. The Company does not expect ASU 2013-11 to have a material impact on the consolidated financial statements as its presentation of unrecognized tax benefits is already as required by ASU 2013-11. | |
On June 27, 2013, the FASB issued a proposed Accounting Standards Update, Insurance Contracts (Topic 834). The FASB invited individuals and organizations to comment on the proposed Update and the comment period has now closed. The main objectives of the guidance in this proposed update is to increase the usefulness of the information about an entity’s insurance liabilities, including the nature, amount, timing, and uncertainty of cash flows related to those liabilities, and the related effect on the statement of comprehensive income, and to provide comparability, regardless of the type of entity issuing the contract. The guidance in this proposed update would require an entity to measure its insurance contracts under one of two measurement models, referred to as the building block approach and the premium allocation approach. The proposed update would improve convergence of U.S. GAAP and IFRS by moving towards a more globally comparable standard. | |
Under the proposed FASB guidance, there would be changes to the earnings pattern of underwriting and net investment margins and changes in the pattern and amount of revenue. In addition, there would likely be increased income statement volatility due to the requirement to update assumptions each period. Income statement volatility would be somewhat mitigated by the requirement that the impact of changes in discount rate assumptions be recorded in other comprehensive income. Adoption will have significant impacts on business strategy, investor education, key performance indicators, underlying processes, systems, internal controls, valuation models, and other fundamental aspects of the business. An entity would apply the guidance in this proposed update retrospectively, restating all comparative periods presented. Early adoption of the guidance in this proposed update would be prohibited. | |
Accounting Pronouncements Not Yet Adopted | ' |
Accounting Pronouncements Not Yet Adopted | |
In February 2013, the FASB issued ASU 2013-04, “Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation is Fixed at the Reporting Date” to provide guidance for the recognition, measurement, and disclosure of obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date. Examples of obligations include debt arrangements, other contractual obligations and settled litigation and judicial rulings. ASU 2013-04 will be applied retrospectively and is effective for annual reporting periods beginning after December 15, 2013, and interim periods within those years. The Company does not anticipate that this standard will have a material impact on its consolidated financial statements. | |
In March 2013, the FASB issued ASU 2013-05, “Parent’s Accounting for the Cumulative Translation Adjustment Upon Derecognition of Certain Subsidiaries or Groups of Assets Within a Foreign Entity or of an Investment in a Foreign Entity” to standardize the release of the cumulative translation adjustment into net income when a parent either sells a part or all of its investment in its foreign entities or no longer holds a controlling financial interest in a subsidiary. ASU 2013-05 will be applied prospectively and is effective for annual reporting periods beginning after December 15, 2013, and interim periods within those years. The Company does not expect ASU 2013-05 to have a material impact on its consolidated financial statements unless it should choose to sell its investments in its foreign entities or cease to hold a controlling financial interest. | |
In July 2013, the FASB issued ASU 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” which provides guidance on financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. ASU 2013-11 is effective for fiscal years beginning after December 15, 2013 or interim periods within those years. The Company does not expect ASU 2013-11 to have a material impact on the consolidated financial statements as its presentation of unrecognized tax benefits is already as required by ASU 2013-11. | |
On June 27, 2013, the FASB issued a proposed Accounting Standards Update, Insurance Contracts (Topic 834). The FASB invited individuals and organizations to comment on the proposed Update and the comment period has now closed. The main objectives of the guidance in this proposed update is to increase the usefulness of the information about an entity’s insurance liabilities, including the nature, amount, timing, and uncertainty of cash flows related to those liabilities, and the related effect on the statement of comprehensive income, and to provide comparability, regardless of the type of entity issuing the contract. The guidance in this proposed update would require an entity to measure its insurance contracts under one of two measurement models, referred to as the building block approach and the premium allocation approach. The proposed update would improve convergence of U.S. GAAP and IFRS by moving towards a more globally comparable standard. | |
Under the proposed FASB guidance, there would be changes to the earnings pattern of underwriting and net investment margins and changes in the pattern and amount of revenue. In addition, there would likely be increased income statement volatility due to the requirement to update assumptions each period. Income statement volatility would be somewhat mitigated by the requirement that the impact of changes in discount rate assumptions be recorded in other comprehensive income. Adoption will have significant impacts on business strategy, investor education, key performance indicators, underlying processes, systems, internal controls, valuation models, and other fundamental aspects of the business. An entity would apply the guidance in this proposed update retrospectively, restating all comparative periods presented. Early adoption of the guidance in this proposed update would be prohibited. |
Earnings_per_Ordinary_Share_Ta
Earnings per Ordinary Share (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||
Computation of Basic and Diluted Earnings per Share | ' | ||||||||||||
4 | Earnings per Ordinary Share | ||||||||||||
Basic earnings per ordinary share are calculated by dividing net income available to holders of Aspen Holdings’ ordinary shares by the weighted average number of ordinary shares outstanding. Net income available to ordinary shareholders is calculated by deducting preference share dividends and net income/(loss) attributable to non-controlling interest from net income/(loss) after tax for the period. Diluted earnings per ordinary share are based on the weighted average number of ordinary shares and dilutive potential ordinary shares outstanding during the period of calculation using the treasury stock method. The following table sets forth the computation of basic and diluted earnings per share for the twelve months ended months ended December 31, 2013, 2012, and 2011, respectively: | |||||||||||||
Twelve Months Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
($ in millions, except share and per share amounts) | |||||||||||||
Net income/(loss) | $ | 329.3 | $ | 280.4 | $ | (110.1 | ) | ||||||
PIERS redemption (1) | (7.1 | ) | — | — | |||||||||
Preference share dividends | (35.5 | ) | (31.1 | ) | (22.8 | ) | |||||||
Net loss attributable to non-controlling interest | 0.5 | 0.2 | 0.1 | ||||||||||
Basic and diluted net income/(loss) available to ordinary shareholders | 287.2 | 249.5 | (132.8 | ) | |||||||||
Ordinary shares: | |||||||||||||
Basic weighted average ordinary shares | 66,872,048 | 71,095,856 | 70,665,166 | ||||||||||
Weighted average effect of dilutive securities (2) | 2,545,855 | 2,593,567 | — | ||||||||||
Total diluted weighted average ordinary shares | 69,417,903 | 73,689,423 | 70,665,166 | ||||||||||
Earnings/(loss) per ordinary share: | |||||||||||||
Basic | $ | 4.29 | $ | 3.51 | $ | (1.88 | ) | ||||||
Diluted | $ | 4.14 | $ | 3.39 | $ | (1.88 | ) | ||||||
_______________ | |||||||||||||
(1) | The $7.1 million deduction from net income is attributable to the reclassification from additional paid-in capital to retained earnings representing the difference between the capital raised upon issuance of the PIERS, net of the original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million. For more information, please refer to Note 14 of these consolidated financial statements. | ||||||||||||
(2) | The basic and diluted number of ordinary shares for the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. Dilutive securities comprise: investor options, employee options, performance shares associated with the Company’s long term incentive program, employee share purchase plans and restricted stock units as described in Note 17(b) of these consolidated financial statements, in addition to the PIERS that were redeemed in 2013. | ||||||||||||
Summary of Declared Dividends | ' | ||||||||||||
Dividends. On February 6, 2014, the Company’s Board of Directors declared the following quarterly dividends: | |||||||||||||
Dividend | Payable on: | Record Date: | |||||||||||
Ordinary shares | $ | 0.18 | March 7, 2014 | February 21, 2014 | |||||||||
7.401% Preference Shares | $ | 0.462563 | April 1, 2014 | March 15, 2014 | |||||||||
7.250% Preference Shares | $ | 0.4531 | April 1, 2014 | March 15, 2014 | |||||||||
5.95% Preference Shares | $ | 0.3719 | April 1, 2014 | March 15, 2014 | |||||||||
Segment_Reporting_Tables
Segment Reporting (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||
Summary of gross and net written and earned premiums, underwriting results, ratios and reserves for each of Company's business segments | ' | ||||||||||||
The following tables provide a summary of gross and net written and earned premiums, underwriting results, ratios and reserves for each of the Company’s business segments for the twelve months ended December 31, 2013, 2012 and 2011: | |||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||
Reinsurance | Insurance | Total | |||||||||||
($ in millions) | |||||||||||||
Underwriting Revenues | |||||||||||||
Gross written premiums | $ | 1,133.90 | $ | 1,512.80 | $ | 2,646.70 | |||||||
Net written premiums | 1,082.00 | 1,217.70 | 2,299.70 | ||||||||||
Gross earned premiums | 1,126.60 | 1,366.80 | 2,493.40 | ||||||||||
Net earned premiums | 1,073.00 | 1,098.80 | 2,171.80 | ||||||||||
Underwriting Expenses | |||||||||||||
Losses and loss adjustment expenses | 481.7 | 742 | 1,223.70 | ||||||||||
Amortization of deferred policy acquisition costs | 207.2 | 214.8 | 422 | ||||||||||
General and administrative expenses | 131 | 185.9 | 316.9 | ||||||||||
Underwriting income/(loss) | 253.1 | (43.9 | ) | 209.2 | |||||||||
Corporate expenses | (51.2 | ) | |||||||||||
Net investment income | 186.4 | ||||||||||||
Realized and unrealized investment gains | 56.9 | ||||||||||||
Realized and unrealized investment (losses) | (20.5 | ) | |||||||||||
Change in fair value of derivatives | 1.3 | ||||||||||||
Interest expense on long term debt | (32.7 | ) | |||||||||||
Net realized and unrealized foreign exchange (losses) | (13.2 | ) | |||||||||||
Other income | 8.2 | ||||||||||||
Other expenses | (1.7 | ) | |||||||||||
Income before tax | 342.7 | ||||||||||||
Income tax expense | (13.4 | ) | |||||||||||
Net income | $ | 329.3 | |||||||||||
Net reserves for loss and loss adjustment expenses | $ | 2,646.80 | $ | 1,699.40 | $ | 4,346.20 | |||||||
Ratios | |||||||||||||
Loss ratio | 44.9 | % | 67.5 | % | 56.3 | % | |||||||
Policy acquisition expense ratio | 19.3 | 19.5 | 19.4 | ||||||||||
General and administrative expense ratio (1) | 12.2 | 16.9 | 16.9 | ||||||||||
Expense ratio | 31.5 | 36.4 | 36.3 | ||||||||||
Combined ratio | 76.4 | % | 103.9 | % | 92.6 | % | |||||||
_______________ | |||||||||||||
-1 | The general and administrative expense ratio in the total column includes corporate expenses. | ||||||||||||
Twelve Months Ended December 31, 2012 | |||||||||||||
Reinsurance | Insurance | Total | |||||||||||
( $ in millions) | |||||||||||||
Underwriting Revenues | |||||||||||||
Gross written premiums | $ | 1,227.90 | $ | 1,355.40 | $ | 2,583.30 | |||||||
Net written premiums | 1,156.90 | 1,090.00 | 2,246.90 | ||||||||||
Gross earned premiums | 1,208.00 | 1,177.00 | 2,385.00 | ||||||||||
Net earned premiums | 1,132.40 | 951.1 | 2,083.50 | ||||||||||
Underwriting Expenses | |||||||||||||
Losses and loss adjustment expenses | 635.3 | 603.2 | 1,238.50 | ||||||||||
Amortization of deferred policy acquisition costs | 207.8 | 173.4 | 381.2 | ||||||||||
General and administrative expenses | 123.9 | 168.2 | 292.1 | ||||||||||
Underwriting income | 165.4 | 6.3 | 171.7 | ||||||||||
Corporate expenses | (53.0 | ) | |||||||||||
Net investment income | 204.9 | ||||||||||||
Realized and unrealized investment gains | 35.4 | ||||||||||||
Realized and unrealized investment (losses) | (8.6 | ) | |||||||||||
Change in fair value of derivatives | (28.4 | ) | |||||||||||
Interest expense on long term debt | (30.9 | ) | |||||||||||
Net realized and unrealized foreign exchange (losses) | 3.4 | ||||||||||||
Other income | 5.6 | ||||||||||||
Other expenses | (4.7 | ) | |||||||||||
Income before tax | 295.4 | ||||||||||||
Income tax expense | (15.0 | ) | |||||||||||
Net income | $ | 280.4 | |||||||||||
Net reserves for loss and loss adjustment expenses | $ | 2,811.30 | $ | 1,469.40 | $ | 4,280.70 | |||||||
Ratios | |||||||||||||
Loss ratio | 56.1 | % | 63.4 | % | 59.4 | % | |||||||
Policy acquisition expense ratio | 18.4 | 18.2 | 18.3 | ||||||||||
General and administrative expense ratio (1) | 10.9 | 17.7 | 16.6 | ||||||||||
Expense ratio | 29.3 | 35.9 | 34.9 | ||||||||||
Combined ratio | 85.4 | % | 99.3 | % | 94.3 | % | |||||||
________________ | |||||||||||||
-1 | The general and administrative expense ratio in the total column includes corporate expenses. | ||||||||||||
Twelve Months Ended December 31, 2011 | |||||||||||||
Reinsurance | Insurance | Total | |||||||||||
($ in millions) | |||||||||||||
Underwriting Revenues | |||||||||||||
Gross written premiums | $ | 1,187.50 | $ | 1,020.30 | $ | 2,207.80 | |||||||
Net written premiums | 1,098.10 | 831 | 1,929.10 | ||||||||||
Gross earned premiums | 1,190.60 | 950.5 | 2,141.10 | ||||||||||
Net earned premiums | 1,108.30 | 780.2 | 1,888.50 | ||||||||||
Underwriting Expenses | |||||||||||||
Losses and loss adjustment expenses | 1,083.30 | 472.7 | 1,556.00 | ||||||||||
Amortization of deferred policy acquisition costs | 197.7 | 149.3 | 347 | ||||||||||
General and administrative expenses | 111.8 | 128 | 239.8 | ||||||||||
Underwriting (loss)/income | (284.5 | ) | 30.2 | (254.3 | ) | ||||||||
Corporate expenses | (44.7 | ) | |||||||||||
Net investment income | 225.6 | ||||||||||||
Realized and unrealized investment gains | 46.8 | ||||||||||||
Realized and unrealized investment (losses) | (16.5 | ) | |||||||||||
Change in fair value of derivatives | (59.9 | ) | |||||||||||
Interest expense on long term debt | (30.8 | ) | |||||||||||
Net realized and unrealized foreign exchange (losses) | (6.7 | ) | |||||||||||
Other income | 10.5 | ||||||||||||
Other (expenses) | (17.3 | ) | |||||||||||
(Loss) before tax | (147.3 | ) | |||||||||||
Income tax credit | 37.2 | ||||||||||||
Net (loss) | $ | (110.1 | ) | ||||||||||
Net reserves for loss and loss adjustment expenses | $ | 2,770.00 | $ | 1,328.60 | $ | 4,098.60 | |||||||
Ratios | |||||||||||||
Loss ratio | 97.7 | % | 60.6 | % | 82.4 | % | |||||||
Policy acquisition expense ratio | 17.8 | 19.1 | 18.4 | ||||||||||
General and administrative expense ratio (1) | 10.1 | 16.4 | 15.1 | ||||||||||
Expense ratio | 27.9 | 35.5 | 33.5 | ||||||||||
Combined ratio | 125.6 | % | 96.1 | % | 115.9 | % | |||||||
_______________ | |||||||||||||
-1 | The general and administrative expense ratio in the total column includes corporate expenses. | ||||||||||||
Schedule of the Company's gross written premiums based on the location of the insured risk | ' | ||||||||||||
Geographical Areas — The following summary presents the Company’s gross written premiums based on the location of the insured risk. | |||||||||||||
For the Twelve Months Ended | |||||||||||||
31-Dec-13 | 31-Dec-12 | 31-Dec-11 | |||||||||||
($ in millions) | |||||||||||||
Australia/Asia | $ | 108.4 | $ | 139.3 | $ | 129.6 | |||||||
Caribbean | 14.4 | 12.2 | 12.4 | ||||||||||
Europe | 112.2 | 113 | 103.2 | ||||||||||
United Kingdom | 166.4 | 168.6 | 145.7 | ||||||||||
United States & Canada(1) | 1,179.60 | 1,106.90 | 875.6 | ||||||||||
Worldwide excluding United States (2) | 145.7 | 151.7 | 157.5 | ||||||||||
Worldwide including United States(3) | 827.4 | 810.8 | 698.7 | ||||||||||
Others | 92.6 | 80.8 | 85.1 | ||||||||||
Total | $ | 2,646.70 | $ | 2,583.30 | $ | 2,207.80 | |||||||
______________ | |||||||||||||
-1 | “United States and Canada” comprises individual policies that insure risks specifically in the United States and/or Canada, but not elsewhere. | ||||||||||||
-2 | “Worldwide excluding the United States” comprises individual policies that insure risks wherever they may be across the world but specifically excludes the United States. | ||||||||||||
-3 | “Worldwide including the United States” comprises individual policies that insure risks wherever they may be across the world but specifically includes the United States. |
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | ' | ||||||||||||||||||||||||||
Summary of Investment Income | ' | ||||||||||||||||||||||||||
Investment Income. The following table summarizes investment income for the twelve months ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||||||||
For the Twelve Months Ended | |||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | 31-Dec-11 | |||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Fixed income maturities — Available for sale | $ | 155.6 | $ | 181.3 | $ | 203.2 | |||||||||||||||||||||
Fixed income maturities — Trading | 20.3 | 16.5 | 17.1 | ||||||||||||||||||||||||
Short-term investments — Available for sale | 2.1 | 3.1 | 1.2 | ||||||||||||||||||||||||
Short-term investments — Trading | — | — | 0.1 | ||||||||||||||||||||||||
Fixed term deposits (included in cash and cash equivalents) | 5.3 | 6.5 | 5.8 | ||||||||||||||||||||||||
Equity securities — Available for sale | 5.6 | 6.2 | 6.1 | ||||||||||||||||||||||||
Equity securities — Trading | 7 | — | — | ||||||||||||||||||||||||
Total | 195.9 | 213.6 | 233.5 | ||||||||||||||||||||||||
Investment expenses | (9.5 | ) | (8.7 | ) | (7.9 | ) | |||||||||||||||||||||
Net investment income | $ | 186.4 | $ | 204.9 | $ | 225.6 | |||||||||||||||||||||
Net Realized and Unrealized Investment Gains and Losses and Change in Unrealized Gains and Losses on Investments | ' | ||||||||||||||||||||||||||
The following table summarizes the net realized and unrealized investment gains and losses recorded in the statement of operations and the change in unrealized gains and losses on investments recorded in other comprehensive income: | |||||||||||||||||||||||||||
For the Twelve Months Ended | |||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | 31-Dec-11 | |||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Available for sale: | |||||||||||||||||||||||||||
Fixed income maturities — gross realized gains | $ | 18.2 | $ | 7.6 | $ | 35.8 | |||||||||||||||||||||
Fixed income maturities — gross realized (losses) | (7.4 | ) | (0.4 | ) | (8.3 | ) | |||||||||||||||||||||
Equity securities — gross realized gains | 18 | 4.3 | 1.7 | ||||||||||||||||||||||||
Equity securities — gross realized (losses) | (0.3 | ) | (4.9 | ) | (3.2 | ) | |||||||||||||||||||||
Total other-than-temporary impairments | — | (3.0 | ) | — | |||||||||||||||||||||||
Trading: | |||||||||||||||||||||||||||
Fixed income maturities — gross realized gains | 9.5 | 9.8 | 6.2 | ||||||||||||||||||||||||
Fixed income maturities — gross realized (losses) | (2.9 | ) | (0.3 | ) | (1.7 | ) | |||||||||||||||||||||
Equity securities — gross realized gains | 2.1 | — | — | ||||||||||||||||||||||||
Equity securities — gross realized (losses) | (0.6 | ) | — | — | |||||||||||||||||||||||
Net change in gross unrealized gains/(losses) | 6.1 | 10.5 | (3.3 | ) | |||||||||||||||||||||||
Gross realized and unrealized gains in other investments | 3 | 3.2 | 3.1 | ||||||||||||||||||||||||
Other realized losses | (9.3 | ) | — | — | |||||||||||||||||||||||
Total net realized and unrealized investment gains recorded in the statement of operations | $ | 36.4 | $ | 26.8 | $ | 30.3 | |||||||||||||||||||||
Change in available for sale net unrealized (losses)/gains: | |||||||||||||||||||||||||||
Fixed income maturities | (209.6 | ) | 2.7 | 86.5 | |||||||||||||||||||||||
Short-term investments | — | — | — | ||||||||||||||||||||||||
Equity securities | 11.2 | 16.4 | 9.7 | ||||||||||||||||||||||||
Total change in pre-tax available for sale unrealized (losses)/gains | (198.4 | ) | 19.1 | 96.2 | |||||||||||||||||||||||
Change in taxes | 13.7 | (9.3 | ) | (2.7 | ) | ||||||||||||||||||||||
Total change in net unrealized (losses)/gains, net of taxes recorded in other comprehensive income | $ | (184.7 | ) | $ | 9.8 | $ | 93.5 | ||||||||||||||||||||
Cost, Gross Unrealized Gains and Losses, and Estimated Fair Value of Available for Sale Investments in Fixed Income Maturities, Short-Term Investments and Equities | ' | ||||||||||||||||||||||||||
Fixed Income Maturities, Short-Term Investments and Equities — Available For Sale. The following tables present the cost or amortized cost, gross unrealized gains and losses and estimated fair market value of available for sale investments in fixed income maturities, short-term investments and equity securities as at December 31, 2013 and December 31, 2012: | |||||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||||
Cost or | Gross | Gross | Fair Market | ||||||||||||||||||||||||
Amortized Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 1,004.70 | $ | 21.2 | $ | (5.5 | ) | $ | 1,020.40 | ||||||||||||||||||
U.S. agency | 258.5 | 11.4 | (0.8 | ) | 269.1 | ||||||||||||||||||||||
Municipal | 32.3 | 0.9 | (0.4 | ) | 32.8 | ||||||||||||||||||||||
Corporate | 2,005.60 | 82.5 | (18.7 | ) | 2,069.40 | ||||||||||||||||||||||
Non-U.S. government-backed corporate | 83.4 | 1.4 | (0.2 | ) | 84.6 | ||||||||||||||||||||||
Foreign government | 772 | 11.2 | (4.3 | ) | 778.9 | ||||||||||||||||||||||
Asset-backed | 119.8 | 2.8 | (0.3 | ) | 122.3 | ||||||||||||||||||||||
Non-agency commercial mortgage-backed | 56.9 | 5.7 | — | 62.6 | |||||||||||||||||||||||
Agency mortgage-backed | 1,116.70 | 30.6 | (18.3 | ) | 1,129.00 | ||||||||||||||||||||||
Total fixed income maturities — Available for sale | 5,449.90 | 167.7 | (48.5 | ) | 5,569.10 | ||||||||||||||||||||||
Total short-term investments — Available for sale | 160.3 | — | — | 160.3 | |||||||||||||||||||||||
Total equity securities — Available for sale | 112.2 | 37.8 | (0.5 | ) | 149.5 | ||||||||||||||||||||||
Total | $ | 5,722.40 | $ | 205.5 | $ | (49.0 | ) | $ | 5,878.90 | ||||||||||||||||||
As at December 31, 2012 | |||||||||||||||||||||||||||
Cost or | Gross | Gross | Fair Market | ||||||||||||||||||||||||
Amortized Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 1,071.80 | $ | 54.8 | $ | (0.3 | ) | $ | 1,126.30 | ||||||||||||||||||
U.S. agency | 288.3 | 20.3 | — | 308.6 | |||||||||||||||||||||||
Municipal | 37.2 | 2.6 | (0.1 | ) | 39.7 | ||||||||||||||||||||||
Corporate | 1,889.20 | 149.9 | (0.6 | ) | 2,038.50 | ||||||||||||||||||||||
Non-U.S. government-backed corporate | 98 | 3.1 | — | 101.1 | |||||||||||||||||||||||
Foreign government | 617 | 24.1 | (0.1 | ) | 641 | ||||||||||||||||||||||
Asset-backed | 49.2 | 4.6 | — | 53.8 | |||||||||||||||||||||||
Non-agency commercial mortgage-backed | 61.7 | 9.4 | — | 71.1 | |||||||||||||||||||||||
Agency mortgage-backed | 1,116.10 | 61.2 | (0.1 | ) | 1,177.20 | ||||||||||||||||||||||
Total fixed income maturities — Available for sale | 5,228.50 | 330 | (1.2 | ) | 5,557.30 | ||||||||||||||||||||||
Total short-term investments — Available for sale | 431.5 | — | — | 431.5 | |||||||||||||||||||||||
Total equity securities — Available for sale | 174 | 28.2 | (2.1 | ) | 200.1 | ||||||||||||||||||||||
Total | $ | 5,834.00 | $ | 358.2 | $ | (3.3 | ) | $ | 6,188.90 | ||||||||||||||||||
Cost, Gross Unrealized Gains and Losses, and Estimated Fair Value of Trading Investments in Fixed Income Maturities | ' | ||||||||||||||||||||||||||
Fixed Income Maturities, Short Term Investments, Equities and Catastrophe Bonds — Trading. The following tables present the cost or amortized cost, gross unrealized gains and losses, and estimated fair market value of trading investments in fixed maturities, short-term investments, equity securities and catastrophe bonds as at December 31, 2013 and December 31, 2012: | |||||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||||
Cost or | Gross | Gross | Fair Market | ||||||||||||||||||||||||
Amortized Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 22.7 | $ | — | $ | (0.7 | ) | $ | 22 | ||||||||||||||||||
U.S. agency | 0.2 | — | — | 0.2 | |||||||||||||||||||||||
Municipal | 1.1 | — | — | 1.1 | |||||||||||||||||||||||
Corporate | 469.8 | 10.3 | (5.3 | ) | 474.8 | ||||||||||||||||||||||
Foreign government | 136.5 | 1.2 | (1.5 | ) | 136.2 | ||||||||||||||||||||||
Asset-backed | 12.7 | 0.1 | — | 12.8 | |||||||||||||||||||||||
Bank loans | 69.1 | 0.3 | (0.3 | ) | 69.1 | ||||||||||||||||||||||
Total fixed income maturities — Trading | 712.1 | 11.9 | (7.8 | ) | 716.2 | ||||||||||||||||||||||
Total equity securities — Trading | 281.6 | 34 | (4.7 | ) | 310.9 | ||||||||||||||||||||||
Total catastrophe bonds — Trading | 5.8 | — | — | 5.8 | |||||||||||||||||||||||
Total | $ | 999.5 | $ | 45.9 | $ | (12.5 | ) | $ | 1,032.90 | ||||||||||||||||||
As at December 31, 2012 | |||||||||||||||||||||||||||
Cost or | Gross | Gross | Fair Market | ||||||||||||||||||||||||
Amortized Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 9.3 | $ | 0.2 | $ | (0.1 | ) | $ | 9.4 | ||||||||||||||||||
U.S. agency | 0.2 | — | — | 0.2 | |||||||||||||||||||||||
Municipal | 2.8 | 0.1 | — | 2.9 | |||||||||||||||||||||||
Corporate | 392 | 22.7 | (0.3 | ) | 414.4 | ||||||||||||||||||||||
Foreign government | 24.4 | 1.9 | — | 26.3 | |||||||||||||||||||||||
Asset-backed | 2.9 | — | — | 2.9 | |||||||||||||||||||||||
Total fixed income maturities — Trading | 431.6 | 24.9 | (0.4 | ) | 456.1 | ||||||||||||||||||||||
Total short-term investments — Trading | 2.4 | — | — | 2.4 | |||||||||||||||||||||||
Total | $ | 434 | $ | 24.9 | $ | (0.4 | ) | $ | 458.5 | ||||||||||||||||||
Other Investments | ' | ||||||||||||||||||||||||||
The table below shows the Company’s investments in Cartesian and Chaspark for the twelve months ended December 31, 2013 and 2012: | |||||||||||||||||||||||||||
Cartesian | Chaspark | Total | |||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Opening undistributed value of investment as at January 1, 2013 | $ | 36.3 | $ | 8.7 | $ | 45 | |||||||||||||||||||||
Realized gain for the twelve months to December 31, 2013 | 3 | — | 3 | ||||||||||||||||||||||||
Closing value of investment as at December 31, 2013 | $ | 39.3 | $ | 8.7 | $ | 48 | |||||||||||||||||||||
Opening undistributed value of investment as at January 1, 2012 | $ | 33.1 | $ | — | $ | 33.1 | |||||||||||||||||||||
Investment in Chaspark Maritime Holdings Ltd. | — | 8.7 | 8.7 | ||||||||||||||||||||||||
Unrealized gain for the twelve months to December 31, 2012 | 3.2 | — | 3.2 | ||||||||||||||||||||||||
Closing value of investment as at December 31, 2012 | $ | 36.3 | $ | 8.7 | $ | 45 | |||||||||||||||||||||
Summary of Fixed Maturities | ' | ||||||||||||||||||||||||||
Fixed Maturities. The scheduled maturity distribution of the Company’s available for sale fixed income maturity securities as at December 31, 2013 and December 31, 2012 is set forth below. Actual maturities may differ from contractual maturities because issuers of securities may have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||||
Amortized | Fair Market | Average | |||||||||||||||||||||||||
Cost or Cost | Value | S&P Ratings by | |||||||||||||||||||||||||
Maturity | |||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Due one year or less | $ | 694.8 | $ | 700 | AA | ||||||||||||||||||||||
Due after one year through five years | 2,376.10 | 2,438.00 | AA- | ||||||||||||||||||||||||
Due after five years through ten years | 1,003.90 | 1,032.80 | A+ | ||||||||||||||||||||||||
Due after ten years | 81.7 | 84.4 | AA- | ||||||||||||||||||||||||
Subtotal | 4,156.50 | 4,255.20 | |||||||||||||||||||||||||
Non-agency commercial mortgage-backed | 56.9 | 62.6 | AA+ | ||||||||||||||||||||||||
Agency mortgage-backed | 1,116.70 | 1,129.00 | AA+ | ||||||||||||||||||||||||
Other asset-backed | 119.8 | 122.3 | AAA | ||||||||||||||||||||||||
Total fixed income maturities — Available for sale | $ | 5,449.90 | $ | 5,569.10 | |||||||||||||||||||||||
As at December 31, 2012 | |||||||||||||||||||||||||||
Amortized | Fair Market | Average | |||||||||||||||||||||||||
Cost or Cost | Value | S&P Ratings by | |||||||||||||||||||||||||
Maturity | |||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
Due one year or less | $ | 554.6 | $ | 561 | AA | ||||||||||||||||||||||
Due after one year through five years | 2,270.00 | 2,378.80 | AA | ||||||||||||||||||||||||
Due after five years through ten years | 1,077.80 | 1,199.30 | AA- | ||||||||||||||||||||||||
Due after ten years | 99.1 | 116.1 | AA+ | ||||||||||||||||||||||||
Subtotal | 4,001.50 | 4,255.20 | |||||||||||||||||||||||||
Non-agency commercial mortgage-backed | 61.7 | 71.1 | AA+ | ||||||||||||||||||||||||
Agency mortgage-backed | 1,116.10 | 1,177.20 | AA+ | ||||||||||||||||||||||||
Other asset-backed | 49.2 | 53.8 | AAA | ||||||||||||||||||||||||
Total fixed income maturities — Available for sale | $ | 5,228.50 | $ | 5,557.30 | |||||||||||||||||||||||
Aggregate Fair Value and Gross Unrealized Loss by Type of Security | ' | ||||||||||||||||||||||||||
Gross Unrealized Loss. The following tables summarize as at December 31, 2013 and December 31, 2012, by type of security, the aggregate fair value and gross unrealized loss by length of time the security has been in an unrealized loss position for the Company’s available for sale portfolio: | |||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||
0-12 months | Over 12 months | Total | |||||||||||||||||||||||||
Fair | Gross | Fair | Gross | Fair | Gross | Number of | |||||||||||||||||||||
Market | Unrealized | Market | Unrealized | Market | Unrealized | Securities | |||||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 293.9 | $ | (5.5 | ) | $ | — | $ | — | $ | 293.9 | $ | (5.5 | ) | 51 | ||||||||||||
U.S. agency | 72.1 | (0.8 | ) | — | — | 72.1 | (0.8 | ) | 18 | ||||||||||||||||||
Municipal | 5.5 | (0.2 | ) | 1.3 | (0.2 | ) | 6.8 | (0.4 | ) | 7 | |||||||||||||||||
Corporate | 695.4 | (16.8 | ) | 23.4 | (1.9 | ) | 718.8 | (18.7 | ) | 372 | |||||||||||||||||
Non-U.S. government-backed corporate | 21.8 | (0.2 | ) | 4.9 | — | 26.7 | (0.2 | ) | 8 | ||||||||||||||||||
Foreign government | 239.7 | (4.1 | ) | 8.5 | (0.2 | ) | 248.2 | (4.3 | ) | 44 | |||||||||||||||||
Asset-backed | 50.2 | (0.3 | ) | — | — | 50.2 | (0.3 | ) | 51 | ||||||||||||||||||
Agency mortgage-backed | 491.8 | (18.3 | ) | 1.2 | — | 493 | (18.3 | ) | 123 | ||||||||||||||||||
Total fixed income maturities — Available for sale | 1,870.40 | (46.2 | ) | 39.3 | (2.3 | ) | 1,909.70 | (48.5 | ) | 674 | |||||||||||||||||
Total short-term investments — Available for sale | 7.7 | — | — | — | 7.7 | — | 6 | ||||||||||||||||||||
Total equity securities — Available for sale | 6 | (0.4 | ) | 2.3 | (0.1 | ) | 8.3 | (0.5 | ) | 7 | |||||||||||||||||
Total | $ | 1,884.10 | $ | (46.6 | ) | $ | 41.6 | $ | (2.4 | ) | $ | 1,925.70 | $ | (49.0 | ) | 687 | |||||||||||
December 31, 2012 | |||||||||||||||||||||||||||
0-12 months | Over 12 months | Total | |||||||||||||||||||||||||
Fair | Gross | Fair | Gross | Fair | Gross | Number of | |||||||||||||||||||||
Market | Unrealized | Market | Unrealized | Market | Unrealized | Securities | |||||||||||||||||||||
Value | Loss | Value | Loss | Value | Loss | ||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
U.S. government | $ | 72.7 | $ | (0.3 | ) | $ | — | $ | — | $ | 72.7 | $ | (0.3 | ) | 9 | ||||||||||||
Municipal | 1.4 | (0.1 | ) | — | — | 1.4 | (0.1 | ) | 1 | ||||||||||||||||||
Corporate | 170.8 | (0.6 | ) | — | — | 170.8 | (0.6 | ) | 63 | ||||||||||||||||||
Non-U.S. government-backed corporate | 10.1 | — | 2 | — | 12.1 | — | 3 | ||||||||||||||||||||
Foreign government | 87.7 | (0.1 | ) | 4 | — | 91.7 | (0.1 | ) | 20 | ||||||||||||||||||
Asset-backed | 0.7 | — | — | — | 0.7 | — | 1 | ||||||||||||||||||||
Agency mortgage-backed | 26.7 | (0.1 | ) | — | — | 26.7 | (0.1 | ) | 14 | ||||||||||||||||||
Total fixed income maturities — Available for sale | 370.1 | (1.2 | ) | 6 | — | 376.1 | (1.2 | ) | 111 | ||||||||||||||||||
Total short-term investments — Available for sale | 9.4 | — | — | — | 9.4 | — | 4 | ||||||||||||||||||||
Total equity securities — Available for sale | 28.6 | (1.9 | ) | 2.2 | (0.2 | ) | 30.8 | (2.1 | ) | 18 | |||||||||||||||||
Total | $ | 408.1 | $ | (3.1 | ) | $ | 8.2 | $ | (0.2 | ) | $ | 416.3 | $ | (3.3 | ) | 133 | |||||||||||
Analysis of Investment Purchases/Sales and Maturities | ' | ||||||||||||||||||||||||||
Investment Purchases and Sales. The following table summarizes investment purchases, sales and maturities for the twelve months ended months ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||||||||
For the Twelve Months Ended | |||||||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | 31-Dec-11 | |||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||
(Purchases) of fixed income maturities — Available for sale | $ | (2,129.8 | ) | $ | (1,529.6 | ) | $ | (1,784.4 | ) | ||||||||||||||||||
(Purchases) of fixed income maturities — Trading | (763.4 | ) | (300.8 | ) | (378.6 | ) | |||||||||||||||||||||
(Purchases) of equity securities — Available for sale | (2.5 | ) | (53.1 | ) | (205.4 | ) | |||||||||||||||||||||
(Purchases) of equity securities — Trading | (304.4 | ) | — | — | |||||||||||||||||||||||
Proceeds from sales and maturities of fixed income maturities — Available for sale | 1,872.30 | 1,416.50 | 1,823.50 | ||||||||||||||||||||||||
Proceeds from sales and maturities of fixed income maturities — Trading | 486 | 257.2 | 389.9 | ||||||||||||||||||||||||
Proceeds from sales of equity securities — Available for sale | 82.2 | 46.9 | 29.2 | ||||||||||||||||||||||||
Proceeds from sales of equity securities — Trading | 24.1 | — | — | ||||||||||||||||||||||||
Net change in (payable)/receivable for securities (purchased) /sold | (0.9 | ) | 1.1 | (41.5 | ) | ||||||||||||||||||||||
Net sales/(purchases) of short-term investments — Available for sale | 258.2 | (122.7 | ) | (13.3 | ) | ||||||||||||||||||||||
Net sales/(purchases) of short-term investments — Trading | 2.4 | — | — | ||||||||||||||||||||||||
Investment in Chaspark Maritime Holdings Ltd | — | (8.7 | ) | — | |||||||||||||||||||||||
Net (purchases) of catastrophe bonds | $ | (5.8 | ) | $ | — | $ | — | ||||||||||||||||||||
Net (purchases)/sales for the year | $ | (481.6 | ) | $ | (293.2 | ) | $ | (180.6 | ) |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Financial Assets Measured on Recurring Basis | ' | ||||||||||||||||
The following tables present the level within the fair value hierarchy at which the Company’s financial assets and liabilities are measured on a recurring basis at December 31, 2013 and December 31, 2012: | |||||||||||||||||
As at December 31, 2013 | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
($ in millions) | |||||||||||||||||
Available for sale financial assets, at fair value | |||||||||||||||||
U.S. government | $ | 1,020.40 | $ | — | $ | — | $ | 1,020.40 | |||||||||
U.S. agency | — | 269.1 | — | 269.1 | |||||||||||||
Municipal | — | 32.8 | — | 32.8 | |||||||||||||
Corporate | — | 2,069.40 | — | 2,069.40 | |||||||||||||
Non-U.S. government-backed corporate | — | 84.6 | — | 84.6 | |||||||||||||
Foreign government | 596.2 | 182.7 | — | 778.9 | |||||||||||||
Asset-backed | — | 122.3 | — | 122.3 | |||||||||||||
Non-agency commercial mortgage-backed | — | 62.6 | — | 62.6 | |||||||||||||
Agency mortgage-backed | — | 1,129.00 | — | 1,129.00 | |||||||||||||
Total fixed income maturities available for sale, at fair value | 1,616.60 | 3,952.50 | — | 5,569.10 | |||||||||||||
Short-term investments available for sale, at fair value | 129.5 | 30.8 | — | 160.3 | |||||||||||||
Equity investments available for sale, at fair value | 149.5 | — | — | 149.5 | |||||||||||||
Held for trading financial assets, at fair value | |||||||||||||||||
U.S. government | $ | 22 | $ | — | $ | — | $ | 22 | |||||||||
U.S. agency | — | 0.2 | — | 0.2 | |||||||||||||
Municipal | — | 1.1 | — | 1.1 | |||||||||||||
Corporate | — | 474.8 | — | 474.8 | |||||||||||||
Foreign government | 44.2 | 92 | — | 136.2 | |||||||||||||
Asset-backed | — | 12.8 | — | 12.8 | |||||||||||||
Bank loans | — | 69.1 | — | 69.1 | |||||||||||||
Total fixed income maturities trading, at fair value | 66.2 | 650 | — | 716.2 | |||||||||||||
Short-term investments trading, at fair value | — | — | — | — | |||||||||||||
Equity investments trading, at fair value | 310.9 | — | — | 310.9 | |||||||||||||
Catastrophe bonds | — | 5.8 | — | 5.8 | |||||||||||||
Other financial assets and liabilities, at fair value | |||||||||||||||||
Derivatives at fair value — foreign exchange contracts | — | 5.9 | — | 5.9 | |||||||||||||
Derivatives at fair value — interest rate swaps | — | 1.1 | — | 1.1 | |||||||||||||
Liabilities under derivative contracts — foreign exchange contracts | — | (2.9 | ) | — | (2.9 | ) | |||||||||||
Long-term notes issued by Silverton | — | — | (50.0 | ) | (50.0 | ) | |||||||||||
Total | $ | 2,272.70 | $ | 4,643.20 | $ | (50.0 | ) | $ | 6,865.90 | ||||||||
There were no maturities, settlements or transfers between Level 1 and Level 2 during the twelve months ended December 31, 2013. There were no assets or liabilities that were classified as Level 3 as at December 31, 2013, except for the long-term notes issued by Silverton. There were no maturities, settlements, gains or transfers in or out of Level 3. For more information, see Note 19(c), “Commitments and Contingencies” of these consolidated financial statements. | |||||||||||||||||
As at December 31, 2012 | |||||||||||||||||
Level 1 | Level 2 | Total | |||||||||||||||
($ in millions) | |||||||||||||||||
Available for sale financial assets, at fair value | |||||||||||||||||
U.S. government | $ | 1,126.30 | $ | — | $ | 1,126.30 | |||||||||||
U.S. agency | — | 308.6 | 308.6 | ||||||||||||||
Municipal | — | 39.7 | 39.7 | ||||||||||||||
Corporate | — | 2,038.50 | 2,038.50 | ||||||||||||||
Non-U.S. government-backed corporate | — | 101.1 | 101.1 | ||||||||||||||
Foreign government | 487.2 | 153.8 | 641 | ||||||||||||||
Asset-backed | — | 53.8 | 53.8 | ||||||||||||||
Non-agency commercial mortgage-backed | — | 71.1 | 71.1 | ||||||||||||||
Agency mortgage-backed | — | 1,177.20 | 1,177.20 | ||||||||||||||
Total fixed income maturities available for sale, at fair value | 1,613.50 | 3,943.80 | 5,557.30 | ||||||||||||||
Short-term investments available for sale, at fair value | 426.2 | 5.3 | 431.5 | ||||||||||||||
Equity investments available for sale, at fair value | 200.1 | — | 200.1 | ||||||||||||||
Held for trading financial assets, at fair value | |||||||||||||||||
U.S. government | $ | 9.4 | $ | — | $ | 9.4 | |||||||||||
U.S. agency | — | 0.2 | 0.2 | ||||||||||||||
Municipal | — | 2.9 | 2.9 | ||||||||||||||
Corporate | — | 414.4 | 414.4 | ||||||||||||||
Foreign government | 4.2 | 22.1 | 26.3 | ||||||||||||||
Asset-backed | — | 2.9 | 2.9 | ||||||||||||||
Total fixed income maturities trading, at fair value | 13.6 | 442.5 | 456.1 | ||||||||||||||
Short-term investments trading, at fair value | 2.4 | — | 2.4 | ||||||||||||||
Other financial assets and liabilities, at fair value | |||||||||||||||||
Derivatives at fair value — foreign exchange contracts | — | 2 | 2 | ||||||||||||||
Liabilities under derivative contracts — foreign exchange contracts | — | (6.1 | ) | (6.1 | ) | ||||||||||||
Liabilities under derivative contracts — interest rate swaps | — | (1.3 | ) | (1.3 | ) | ||||||||||||
Total | $ | 2,255.80 | $ | 4,386.20 | $ | 6,642.00 | |||||||||||
Pricing Sources Used in Pricing Fixed Income Investments | ' | ||||||||||||||||
Pricing sources used in pricing fixed income investments at December 31, 2013 and December 31, 2012 were as follows: | |||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||||||
Index providers | 85 | % | 89 | % | |||||||||||||
Pricing services | 12 | 9 | |||||||||||||||
Broker-dealers | 3 | 2 | |||||||||||||||
Total | 100 | % | 100 | % | |||||||||||||
Summary of Securities Priced Using Pricing Information from Index Providers | ' | ||||||||||||||||
Fixed Income Maturities. A summary of securities priced using pricing information from index providers at December 31, 2013 and December 31, 2012 is provided below: | |||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||||||
Fair Market | % of Total | Fair Market | % of Total | ||||||||||||||
Value Determined | Fair Value by | Value Determined | Fair Value by | ||||||||||||||
using Prices from | Security Type | using Prices from | Security Type | ||||||||||||||
Index Providers | Index Providers | ||||||||||||||||
($ in millions, except for percentages) | |||||||||||||||||
U.S. government | $ | 998.5 | 96% | $ | 1,034.50 | 91% | |||||||||||
U.S. agency | 255.3 | 95% | 291.9 | 95% | |||||||||||||
Municipal | 14.5 | 43% | 20.5 | 48% | |||||||||||||
Corporate | 2,400.80 | 94% | 2,339.80 | 95% | |||||||||||||
Non-U.S. government-backed corporate | 55.9 | 66% | 84.5 | 84% | |||||||||||||
Foreign government | 605.8 | 66% | 516.9 | 77% | |||||||||||||
Asset-backed | 130.6 | 97% | 44.6 | 79% | |||||||||||||
Non-agency commercial mortgage-backed | 61 | 97% | 70.4 | 99% | |||||||||||||
Agency mortgage-backed | 830.6 | 74% | 957.8 | 81% | |||||||||||||
Total fixed income maturities | $ | 5,353.00 | 85% | $ | 5,360.90 | 89% | |||||||||||
Reinsurance_Tables
Reinsurance (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Reinsurance Disclosures [Abstract] | ' | ||||||||||||
Summary of Assumed and Ceded Reinsurance on Premiums Written, Premiums Earned and Insurance Losses and Loss Adjustment Expenses | ' | ||||||||||||
The effect of assumed and ceded reinsurance on premiums written, premiums earned and insurance losses and loss adjustment expenses is as follows: | |||||||||||||
Twelve Months Ended December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
($ in millions) | |||||||||||||
Premiums written: | |||||||||||||
Direct | $ | 1,512.80 | $ | 1,355.40 | $ | 1,020.30 | |||||||
Assumed | 1,133.90 | 1,227.90 | 1,187.50 | ||||||||||
Ceded | (347.0 | ) | (336.4 | ) | (278.7 | ) | |||||||
Net premiums written | $ | 2,299.70 | $ | 2,246.90 | $ | 1,929.10 | |||||||
Premiums earned: | |||||||||||||
Direct | $ | 1,366.80 | $ | 1,177.00 | $ | 950.5 | |||||||
Assumed | 1,126.60 | 1,208.00 | 1,190.60 | ||||||||||
Ceded | (321.6 | ) | (301.5 | ) | (252.6 | ) | |||||||
Net premiums earned | $ | 2,171.80 | $ | 2,083.50 | $ | 1,888.50 | |||||||
Insurance losses and loss adjustment expenses: | |||||||||||||
Direct | $ | 829.4 | $ | 763 | $ | 553.4 | |||||||
Assumed | 459.4 | 650.1 | 1,230.30 | ||||||||||
Ceded | (65.1 | ) | (174.6 | ) | (227.7 | ) | |||||||
Net insurance losses and loss adjustment expenses | $ | 1,223.70 | $ | 1,238.50 | $ | 1,556.00 | |||||||
Derivative_Contracts_Tables
Derivative Contracts (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||||
Fair Value of Derivative Instruments | ' | |||||||||||||||||||
The following table summarizes information on the location and amounts of derivative fair values on the consolidated balance sheet as at December 31, 2013 and 2012: | ||||||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | |||||||||||||||||||
Derivatives Not Designated as Hedging Instruments | Balance Sheet Location | Notional | Fair | Notional | Fair | |||||||||||||||
Under ASC 815 | Amount | Value | Amount | Value | ||||||||||||||||
($ in millions) | ($ in millions) | |||||||||||||||||||
Interest Rate Swaps | Derivatives at Fair Value | $ | 1,000.00 | $ | 1.1 | (1) | $ | — | $ | — | ||||||||||
Interest Rate Swaps | Liabilities under Derivative Contracts | $ | — | $ | — | $ | 1,000.00 | $ | (1.3 | ) | (1) | |||||||||
Foreign Exchange Contracts | Derivatives at Fair Value | $ | 224.4 | $ | 5.9 | $ | 335.4 | $ | 2 | |||||||||||
Foreign Exchange Contracts | Liabilities under Derivative Contracts | $ | 57.5 | $ | (2.9 | ) | $ | 88.6 | $ | (6.1 | ) | |||||||||
(1) | Net of $34.3 million of cash collateral provided to counterparties as security for the Company’s net liability position (December 31, 2012 — $52.0 million). | |||||||||||||||||||
Gain/(Loss) Recognized in Income on Derivative | ' | |||||||||||||||||||
The following table provides the unrealized and realized gains/(losses) recorded in the statement of operations for the twelve months ended December 31, 2013 and 2012: | ||||||||||||||||||||
Amount of Income/(Loss) | ||||||||||||||||||||
Recognized in the Statement | ||||||||||||||||||||
of Operations | ||||||||||||||||||||
Twelve Months Ended | ||||||||||||||||||||
Derivatives Not Designated as Hedging Instruments Under | Location of Income/(Loss) Recognized in the | 31-Dec-13 | 31-Dec-12 | |||||||||||||||||
ASC 815 | Statement of Operations | |||||||||||||||||||
($ in millions) | ||||||||||||||||||||
Foreign Exchange Contracts | Change in Fair Value of Derivatives | $ | (1.3 | ) | $ | (5.4 | ) | |||||||||||||
Interest Rate Swaps | Change in Fair Value of Derivatives | $ | 2.6 | $ | (23.0 | ) | ||||||||||||||
Deferred_Policy_Acquisition_Co1
Deferred Policy Acquisition Costs (Tables) | 12 Months Ended | |||||||||
Dec. 31, 2013 | ||||||||||
Insurance [Abstract] | ' | |||||||||
Reconciliation of beginning and ending deferred policy acquisition costs | ' | |||||||||
The following table represents a reconciliation of beginning and ending deferred policy acquisition costs for the twelve months ended December 31, 2013 and 2012: | ||||||||||
Twelve Months Ended | Twelve Months Ended December 31, 2012 | |||||||||
December 31, 2013 | ||||||||||
($ in millions) | ||||||||||
Balance at the beginning of the period | $ | 223 | $ | 184.5 | ||||||
Acquisition costs deferred | 461.2 | 419.7 | ||||||||
Amortization of deferred policy acquisition costs | (422.0 | ) | (381.2 | ) | ||||||
Balance at the end of the period | $ | 262.2 | $ | 223 | ||||||
Reserves_for_Losses_and_Adjust1
Reserves for Losses and Adjustment Expenses (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Insurance [Abstract] | ' | ||||||||||||
Reconciliation of Beginning and Ending Consolidated Loss and Loss Adjustment Expenses ("LAE") Reserves | ' | ||||||||||||
The following table represents a reconciliation of beginning and ending consolidated loss and LAE reserves for the twelve months ended December 31, 2013, 2012 and 2011: | |||||||||||||
As at December 31, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
($ in millions) | |||||||||||||
Provision for losses and LAE at the start of the year | $ | 4,779.70 | $ | 4,525.20 | $ | 3,820.50 | |||||||
Less reinsurance recoverable | (499.0 | ) | (426.6 | ) | (279.9 | ) | |||||||
Net loss and LAE at the start of the year | 4,280.70 | 4,098.60 | 3,540.60 | ||||||||||
Net loss and LAE expenses (disposed) | (34.6 | ) | (9.0 | ) | (20.6 | ) | |||||||
Provision for losses and LAE for claims incurred: | |||||||||||||
Current year | 1,331.40 | 1,375.90 | 1,648.30 | ||||||||||
Prior years | (107.7 | ) | (137.4 | ) | (92.3 | ) | |||||||
Total incurred | 1,223.70 | 1,238.50 | 1,556.00 | ||||||||||
Losses and LAE payments for claims incurred: | |||||||||||||
Current year | (172.8 | ) | (244.3 | ) | (269.3 | ) | |||||||
Prior years | (912.3 | ) | (835.7 | ) | (712.9 | ) | |||||||
Total paid | (1,085.1 | ) | (1,080.0 | ) | (982.2 | ) | |||||||
Foreign exchange (gains)/losses | (38.5 | ) | 32.6 | 4.8 | |||||||||
Net losses and LAE reserves at the end of the year | 4,346.20 | 4,280.70 | 4,098.60 | ||||||||||
Plus reinsurance recoverable on unpaid losses at the end of the year | 332.7 | 499 | 426.6 | ||||||||||
Provision for losses and LAE at the end of the year | $ | 4,678.90 | $ | 4,779.70 | $ | 4,525.20 | |||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||
Summary of Total Income Tax | ' | ||||||||||||||||
Total income tax for the twelve months ended December 31, 2013, 2012 and 2011 is allocated as follows: | |||||||||||||||||
Twelve Months Ended December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
($ in millions) | |||||||||||||||||
Income tax expense/(benefit) on income | $ | 13.4 | $ | 15 | $ | (37.2 | ) | ||||||||||
Income tax expense/(benefit) on other comprehensive income | (13.7 | ) | 8.9 | 2.7 | |||||||||||||
Income tax (benefit) charged directly to shareholders’ equity | (1.5 | ) | (2.4 | ) | — | ||||||||||||
Total income tax expense/(benefit) | $ | (1.8 | ) | $ | 21.5 | $ | (34.5 | ) | |||||||||
Schedule of Income Tax by Taxing Authority | ' | ||||||||||||||||
Income/(loss) before tax and income tax expense/(benefit) attributable to that income/(loss) consists of: | |||||||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||||||
(Loss)/income | Current | Deferred | Total | ||||||||||||||
before tax | income tax | income tax | income tax | ||||||||||||||
expense | (benefit) | expense | |||||||||||||||
($ in millions) | |||||||||||||||||
U.S. | $ | (12.2 | ) | $ | 3.8 | $ | — | $ | 3.8 | ||||||||
Non-U.S. | 354.9 | 5.9 | 3.7 | 9.6 | |||||||||||||
Total | $ | 342.7 | $ | 9.7 | $ | 3.7 | $ | 13.4 | |||||||||
Twelve Months Ended December 31, 2012 | |||||||||||||||||
(Loss)/income | Current | Deferred | Total | ||||||||||||||
before tax | income tax | income tax | income tax | ||||||||||||||
expense | (benefit) | expense | |||||||||||||||
($ in millions) | |||||||||||||||||
U.S. | $ | (58.3 | ) | $ | 4.4 | $ | — | $ | 4.4 | ||||||||
Non-U.S. | 353.7 | 18.4 | (7.8 | ) | 10.6 | ||||||||||||
Total | $ | 295.4 | $ | 22.8 | $ | (7.8 | ) | $ | 15 | ||||||||
Twelve Months Ended December 31, 2011 | |||||||||||||||||
(Loss) | Current | Deferred | Total | ||||||||||||||
before tax | income tax | income tax | income tax | ||||||||||||||
(benefit) | (benefit) | (benefit) | |||||||||||||||
($ in millions) | |||||||||||||||||
U.S. | $ | (88.9 | ) | $ | (5.2 | ) | $ | — | $ | (5.2 | ) | ||||||
Non-U.S. | (58.4 | ) | (19.2 | ) | (12.8 | ) | (32.0 | ) | |||||||||
Total | $ | (147.3 | ) | $ | (24.4 | ) | $ | (12.8 | ) | $ | (37.2 | ) | |||||
Income Tax Reconciliation | ' | ||||||||||||||||
The weighted average expected tax provision has been calculated using the pre-tax accounting income/loss in each jurisdiction multiplied by that jurisdiction’s applicable statutory tax rate. In accordance with Rule 4-08(h) of Regulation S-X, the reconciliation between the provision for income taxes and the expected tax at the weighted average rate provision is provided below: | |||||||||||||||||
Twelve Months Ended December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Income Tax Reconciliation | ($ in millions) | ||||||||||||||||
Expected tax (benefit)/expense at weighted average rate | $ | (7.5 | ) | $ | (14.4 | ) | $ | (42.9 | ) | ||||||||
Prior year adjustments (1) | (4.2 | ) | (4.9 | ) | (7.2 | ) | |||||||||||
Valuation provision on U.S. deferred tax assets | 15.1 | 26.7 | 15.9 | ||||||||||||||
Uncertain tax positions | 8.5 | 9.6 | — | ||||||||||||||
Non-utilizable foreign tax credits | 2.6 | — | — | ||||||||||||||
Disallowable expenses | 1.6 | 1.2 | 0.9 | ||||||||||||||
Other non-taxable items | (0.2 | ) | (2.4 | ) | (2.2 | ) | |||||||||||
Impact of changes in statutory tax rates | (2.5 | ) | (0.8 | ) | (1.7 | ) | |||||||||||
Total income tax expense/(benefit) | $ | 13.4 | $ | 15 | $ | (37.2 | ) | ||||||||||
________________ | |||||||||||||||||
(1) The submission dates for filing income tax returns for the Company’s U.S. and U.K. operating subsidiaries are after the submission date of the Company’s Annual Report on Form 10-K. The final tax liabilities may differ from the estimated tax provisions included in the Annual Report on Form 10-K and may result in prior year adjustments being reported. | |||||||||||||||||
Schedule of Unrecognized Tax Benefits | ' | ||||||||||||||||
During the twelve months ended December 31, 2013, the Company did not recognize or accrue any interest or penalties in respect of uncertain tax positions (December 31, 2012 — $Nil). | |||||||||||||||||
Twelve Months Ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
($ in millions) | |||||||||||||||||
Unrecognized tax benefits balance at January 1 | $ | 15.4 | $ | — | |||||||||||||
Gross increases/(decreases) for tax positions of prior years | 8.5 | 5.8 | |||||||||||||||
Gross increases/(decreases) for tax positions of current year | — | 9.6 | |||||||||||||||
Unrecognized tax benefits balance at December 31 | $ | 23.9 | $ | 15.4 | |||||||||||||
Deferred_Taxation_Tables
Deferred Taxation (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Deferred Income Taxes and Other Assets [Abstract] | ' | ||||||||
Tax Effects of Deferred Tax Assets and Deferred Tax Liabilities | ' | ||||||||
The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities are presented in the following table: | |||||||||
As at December 31, | |||||||||
2013 | 2012 | ||||||||
($ in millions) | |||||||||
Deferred tax assets: | |||||||||
Share options | $ | 3.9 | $ | 3.8 | |||||
Operating loss carry forwards | 80.9 | 69.5 | |||||||
Loss reserves | 1.7 | 1.6 | |||||||
Unrealized (gains) / losses on investments | 13.3 | — | |||||||
Accrued expenses | 8.4 | 4.5 | |||||||
Foreign tax credits | 7.5 | — | |||||||
Unearned premiums | 6.5 | 2.5 | |||||||
Timing differences on fixed assets | 5.6 | 1.2 | |||||||
Other temporary differences | 8.5 | 15.6 | |||||||
Total gross deferred tax assets | 136.3 | 98.7 | |||||||
Less valuation allowance | (93.8 | ) | (76.0 | ) | |||||
Net deferred tax assets | $ | 42.5 | $ | 22.7 | |||||
Deferred tax liabilities: | |||||||||
Equalization provision reserves | $ | (34.1 | ) | $ | (25.9 | ) | |||
Intangible assets (other) | (1.8 | ) | (1.5 | ) | |||||
Unrealized (gains) / losses on investments | (0.2 | ) | (2.8 | ) | |||||
Deferred policy acquisition costs | (4.2 | ) | (0.8 | ) | |||||
Other temporary differences | (0.6 | ) | (3.5 | ) | |||||
Total gross deferred tax (liabilities) | (40.9 | ) | (34.5 | ) | |||||
Net deferred tax (liability) | $ | 1.6 | $ | (11.8 | ) | ||||
Capital_Structure_Tables
Capital Structure (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Equity [Abstract] | ' | ||||||||||||
Summary of Authorized and Issued Share Capital | ' | ||||||||||||
The following table provides a summary of the Company’s authorized and issued share capital at December 31, 2013 and 2012: | |||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||
Number | $ in | Number | $ in | ||||||||||
Thousands | Thousands | ||||||||||||
Authorized share capital: | |||||||||||||
Ordinary Shares 0.15144558¢ per share | 969,629,030 | 1,469 | 969,629,030 | 1,469 | |||||||||
Non-Voting Shares 0.15144558¢ per share | 6,787,880 | 10 | 6,787,880 | 10 | |||||||||
Preference Shares 0.15144558¢ per share | 100,000,000 | 152 | 100,000,000 | 152 | |||||||||
Total authorized share capital | 1,631 | 1,631 | |||||||||||
Issued share capital: | |||||||||||||
Issued ordinary shares of 0.15144558¢ per share | 65,546,976 | 99 | 70,753,723 | 107 | |||||||||
Issued 5.625% preference shares of 0.15144558¢ each with a liquidation preference of $50 per share | — | — | 4,600,000 | 7 | |||||||||
Issued 7.401% Preference Shares of 0.15144558¢ each with a liquidation preference of $25 per share | 5,327,500 | 8 | 5,327,500 | 8 | |||||||||
Issued 7.250% Preference Shares of 0.15144558¢ each with a liquidation preference of $25 per share | 6,400,000 | 10 | 6,400,000 | 10 | |||||||||
Issued 5.95% Preference Shares of 0.15144558¢ each with a liquidation preference of $25 per share | 11,000,000 | 17 | — | — | |||||||||
Total issued share capital | 134 | 132 | |||||||||||
Summary of Ordinary Shares | ' | ||||||||||||
The following table summarizes transactions in the Company’s ordinary shares during the years ended December 31, 2013 and December 31, 2012: | |||||||||||||
Number of Ordinary Shares | |||||||||||||
2013 | 2012 | ||||||||||||
Ordinary shares in issue at the beginning of the year | 70,753,723 | 70,655,698 | |||||||||||
Ordinary shares issued to the Names’ Trust upon exercise of investor options (refer to Note 17) | — | 116,510 | |||||||||||
Ordinary shares issued to employees under the 2003 share incentive plan and/or 2008 share purchase plan | 1,374,567 | 2,105,561 | |||||||||||
Ordinary shares issued to non-employee directors | 44,000 | 44,034 | |||||||||||
Ordinary shares repurchased | (8,461,174 | ) | (2,168,080 | ) | |||||||||
Ordinary shares issued in respect of the redemption of the PIERS | 1,835,860 | — | |||||||||||
Ordinary shares in issue at the end of the year | 65,546,976 | 70,753,723 | |||||||||||
Statutory_Requirements_and_Div1
Statutory Requirements and Dividends Restrictions (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Summary of Statutory Requirements and Dividends Restrictions | ' | ||||||||||||
Actual and required statutory capital and surplus for the principal operating subsidiaries of the Company, excluding its Lloyd’s syndicate, as at December 31, 2013 and December 31, 2012 were approximately: | |||||||||||||
As at December 31, 2013 | |||||||||||||
U.S. | Bermuda | U.K. | |||||||||||
($ in millions) | |||||||||||||
Required statutory capital and surplus | $ | 40.9 | $ | 1,068.20 | $ | 218.8 | |||||||
Statutory capital and surplus | $ | 375.3 | $ | 1,907.40 | $ | 1,005.10 | |||||||
As at December 31, 2012 | |||||||||||||
U.S. | Bermuda | U.K. | |||||||||||
($ in millions) | |||||||||||||
Required statutory capital and surplus | $ | 43.7 | $ | 1,089.70 | $ | 202.6 | |||||||
Statutory capital and surplus | $ | 273.2 | $ | 1,934.30 | $ | 1,273.60 | |||||||
ShareBased_Payments_Tables
Share-Based Payments (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||||||||||
Schedule of Number of Names Options Exercised and Number of Shares Issued | ' | ||||||||||||||||||||||||
The table below shows the number of Names’ options exercised and the number of shares issued since our initial public offering: | |||||||||||||||||||||||||
Options Granted | Options Exercised | Ordinary Shares Issued | |||||||||||||||||||||||
2002 | 3,006,760 | — | — | ||||||||||||||||||||||
2003 | — | 440,144 | 152,583 | ||||||||||||||||||||||
2004 | — | 856,218 | 135,321 | ||||||||||||||||||||||
2005 | — | 303,321 | 56,982 | ||||||||||||||||||||||
2006 | — | 34,155 | 3,757 | ||||||||||||||||||||||
2007 | — | 66,759 | 7,381 | ||||||||||||||||||||||
2008 | — | 20,641 | 3,369 | ||||||||||||||||||||||
2009 | — | 9,342 | 3,056 | ||||||||||||||||||||||
2010 | — | 149,895 | 49,538 | ||||||||||||||||||||||
2011 | — | 761,037 | 255,504 | ||||||||||||||||||||||
2012 | — | 365,248 | 116,510 | ||||||||||||||||||||||
Total as at December 31, 2013 | 3,006,760 | 3,006,760 | 784,001 | ||||||||||||||||||||||
Information About Employee Options Outstanding to Purchase Ordinary Shares | ' | ||||||||||||||||||||||||
The following table summarizes information about employee options outstanding to purchase ordinary shares at December 31, 2013. | |||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Options | Options | Options | Outstanding | Exercise | Weighted Average | Remaining | |||||||||||||||||||
Granted | Forfeited | Exercised | and | Price | Fair Value at | Contractual | |||||||||||||||||||
Exercisable | Grant Date | Time | |||||||||||||||||||||||
Option Holder | |||||||||||||||||||||||||
2003 Option grants | 3,884,030 | 712,906 | 3,171,124 | — | $16.20 | $5.31 | expired | ||||||||||||||||||
2004 Option grants | 500,113 | 276,082 | 196,178 | 27,853 | $24.44 | $5.74 | 1 year | ||||||||||||||||||
2006 Option grants February 16 | 1,072,490 | 450,567 | 470,095 | 151,828 | $23.65 | $6.99 | 2 years, 2 months | ||||||||||||||||||
2007 Option grants May 4 | 607,641 | 154,181 | 347,261 | 106,199 | $27.28 | $6.14 | 4 months | ||||||||||||||||||
Per share Weighted Average Fair Value and Related Underlying Assumptions Using Modified Black-Scholes Option Pricing Model by Date of Grant | ' | ||||||||||||||||||||||||
The following table shows the per share weighted average fair value and the related underlying assumptions using a modified Black-Scholes option pricing model by date of grant: | |||||||||||||||||||||||||
Grant Date | |||||||||||||||||||||||||
October 22, 2007 | May 4, | August 4, | February 16, | December 23, | August 20, | ||||||||||||||||||||
2007 | 2006 | 2006 | 2004 | 2003(1) | |||||||||||||||||||||
Per share weighted average fair value | $ | 5.76 | $ | 6.14 | $ | 4.41 | $ | 6.99 | $ | 5.74 | $ | 5.31 | |||||||||||||
Risk free interest rate | 4.09 | % | 4.55 | % | 5.06 | % | 4.66 | % | 3.57 | % | 4.7 | % | |||||||||||||
Dividend yield | 2.1 | % | 2.2 | % | 2.6 | % | 2.7 | % | 0.5 | % | 0.6 | % | |||||||||||||
Expected life | 5 years | 5 years | 5 years | 5 years | 5 years | 7 years | |||||||||||||||||||
Share price volatility | 20.28 | % | 23.76 | % | 19.33 | % | 35.12 | % | 19.68 | % | — | ||||||||||||||
Foreign currency volatility | — | — | — | — | 9.4 | % | 9.4 | % | |||||||||||||||||
________________ | |||||||||||||||||||||||||
-1 | The 2003 options had a price volatility of zero. The minimum value method was utilized because the Company was unlisted on the date that the options were issued. Foreign currency volatility of 9.40% was applied as the exercise price was initially in British Pounds and the share price of the Company is in U.S. Dollars. | ||||||||||||||||||||||||
Summary of Restricted Share Units | ' | ||||||||||||||||||||||||
The following table summarizes information about RSUs as at December 31, 2013. | |||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Restricted Share Units | |||||||||||||||||||||||||
RSU Holder | Amount | Amount | Amount | Amount | |||||||||||||||||||||
Granted | Vested | Forfeited | Outstanding | ||||||||||||||||||||||
2004 - 2010 Grants | 782,892 | 734,002 | 48,890 | — | |||||||||||||||||||||
2011 Grants | 183,019 | 110,876 | 19,941 | 52,202 | |||||||||||||||||||||
2012 Grants | 350,899 | 110,438 | 43,855 | 196,606 | |||||||||||||||||||||
2013 Grants | 307,441 | — | 18,482 | 288,959 | |||||||||||||||||||||
Total | 1,624,251 | 955,316 | 131,168 | 537,767 | |||||||||||||||||||||
Summary of Performance Shares by Year of Grants | ' | ||||||||||||||||||||||||
The following table summarizes information about performance shares as at December 31, 2013: | |||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Performance Share Awards | |||||||||||||||||||||||||
Amount | Amount | Amount | Amount Outstanding | ||||||||||||||||||||||
Granted | Vested | Forfeited | |||||||||||||||||||||||
2004 - 2010 Grants (1) | 3,303,844 | 1,735,291 | 1,568,553 | — | |||||||||||||||||||||
2011 Grants | 890,794 | 485,151 | 405,643 | — | |||||||||||||||||||||
2012 Grants (2) | 344,131 | 95,942 | 48,622 | 199,567 | |||||||||||||||||||||
2013 Grants (2) | 250,066 | 25,001 | 12,715 | 212,350 | |||||||||||||||||||||
Total | 4,788,835 | 2,341,385 | 2,035,533 | 411,917 | |||||||||||||||||||||
______________________ | |||||||||||||||||||||||||
-1 | The amounts vested and forfeited on the 2004 - 2010 performance share awards have been updated to reflect employees leaving after the financial reporting date but before the final vesting date. | ||||||||||||||||||||||||
-2 | These balances could increase depending on future performance. | ||||||||||||||||||||||||
Summary of Performance Shares Which are Vested, Roe Achieved and Vested | ' | ||||||||||||||||||||||||
2012 Performance Shares | |||||||||||||||||||||||||
Year | Split | Increase in BVPS | Banked | ||||||||||||||||||||||
2012 | 33.3 | % | 8.1 | % | 21.9 | % | |||||||||||||||||||
2013 | 33.3 | % | 6.2 | % | 10.5 | % | |||||||||||||||||||
2014 | 33.3 | % | NA | NA | |||||||||||||||||||||
Total | 100 | % | 32.4 | % | |||||||||||||||||||||
2011 Performance Shares | |||||||||||||||||||||||||
Year | Split | ROE | Banked | ||||||||||||||||||||||
2011 | 33.3 | % | (5.3 | )% | — | % | |||||||||||||||||||
2012 | 33.3 | % | 10 | % | 33.3 | % | |||||||||||||||||||
2013 | 33.3 | % | 11.7 | % | 39 | % | |||||||||||||||||||
Total | 100 | % | 72.3 | % | |||||||||||||||||||||
2013 Performance Shares | |||||||||||||||||||||||||
Year | Split | Increase in BVPS | Banked | ||||||||||||||||||||||
2013 | 33.3 | % | 6.2 | % | 10.5 | % | |||||||||||||||||||
2014 | 33.3 | % | NA | NA | |||||||||||||||||||||
2015 | 33.3 | % | NA | NA | |||||||||||||||||||||
Total | 100 | % | 10.5 | % | |||||||||||||||||||||
Summary of Performance Share Activity Under Aspen's 2003 Share Incentive Plan | ' | ||||||||||||||||||||||||
A summary of performance share activity under Aspen’s 2003 and 2013 Share Incentive Plans for the twelve months ended December 31, 2013 is presented below: | |||||||||||||||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||||||||||||||
Number of | Weighted Average | ||||||||||||||||||||||||
Shares | Grant Date | ||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Outstanding performance share awards, beginning of period | 750,651 | $26.68 | |||||||||||||||||||||||
Granted | 250,066 | $29.56 | |||||||||||||||||||||||
Earned | (284,831 | ) | $27.72 | ||||||||||||||||||||||
Forfeited | (118,407 | ) | $28.20 | ||||||||||||||||||||||
Outstanding performance share awards, end of period | 597,479 | $27.15 | |||||||||||||||||||||||
Summary of Phantom Shares Which Committee Approved | ' | ||||||||||||||||||||||||
2012 Phantom Shares | |||||||||||||||||||||||||
Year | Split | Increase in BVPS | Banked | ||||||||||||||||||||||
2012 | 33.3 | % | 8.1 | % | 21.9 | % | |||||||||||||||||||
2013 | 33.3 | % | 6.2 | % | 10.5 | % | |||||||||||||||||||
2014 | 33.3 | % | NA | NA | |||||||||||||||||||||
Total | 100 | % | 32.4 | % | |||||||||||||||||||||
2013 Phantom Shares | |||||||||||||||||||||||||
Year | Split | Increase in BVPS | Banked | ||||||||||||||||||||||
2013 | 33.3 | % | 6.2 | % | 10.5 | % | |||||||||||||||||||
2014 | 33.3 | % | NA | NA | |||||||||||||||||||||
2015 | 33.3 | % | NA | NA | |||||||||||||||||||||
Total | 100 | % | 10.5 | % | |||||||||||||||||||||
Amounts for Employee Options Granted were Estimated on Date of Grant Using Modified Black-Scholes Option Pricing Model | ' | ||||||||||||||||||||||||
The fair value of the employee options granted was estimated on the date of grant using a modified Black-Scholes option pricing model under the following assumptions: | |||||||||||||||||||||||||
Grant Date | Per share | Risk free | Dividend yield | Expected life | Share price | ||||||||||||||||||||
weighted | interest rate | volatility | |||||||||||||||||||||||
average | |||||||||||||||||||||||||
fair value | |||||||||||||||||||||||||
($) | (%) | (%) | (in years) | (%) | |||||||||||||||||||||
November 4, 2008 | $3.18 | 0.48 | % | 2.7 | % | 3 | 68 | % | |||||||||||||||||
December 4, 2008 | 2.87 | (0.41 | ) | 3.16 | 2 | 102 | |||||||||||||||||||
November 23, 2009 | 3.76 | 0.01 | 2.28 | 3 | 22 | ||||||||||||||||||||
December 21, 2009 | 3.82 | 0.04 | 2.34 | 2 | 18 | ||||||||||||||||||||
December 22, 2010 | 4.24 | 0.13 | 2.07 | 3 | 14 | ||||||||||||||||||||
December 22, 2010 | 4.46 | 0.13 | 2.07 | 2 | 14 | ||||||||||||||||||||
December 13, 2011 | 4.2 | 0.05 | 2.8 | 3 | 26.2 | ||||||||||||||||||||
December 13, 2011 | 3.85 | 0.05 | 2.75 | 2 | 26.2 | ||||||||||||||||||||
March 20, 2013 | 7.79 | 0.38 | 1.88 | 3 | 2.8 | ||||||||||||||||||||
March 20, 2013 | $5.75 | 0.25 | % | 1.88 | % | 2 | 3.2 | % | |||||||||||||||||
Summary of Information About Non-employee Director Options Outstanding to Purchase Ordinary Shares | ' | ||||||||||||||||||||||||
Options. The following table summarizes information about non-employee director options outstanding to purchase ordinary shares at December 31, 2013. | |||||||||||||||||||||||||
Option Holder | Options Outstanding | Options Exercisable | Exercise | Fair Value at | Remaining | ||||||||||||||||||||
Price | Grant Date | Contractual Time | |||||||||||||||||||||||
Non-employee directors - 2006 Option grants (May 25) | 8,870 | 8,870 | $21.96 | $4.24 | 2 years, 5 months | ||||||||||||||||||||
Non-employee directors - 2007 Option grants (July 30) | 2,012 | 2,012 | $24.76 | $4.97 | 3 years, 7 months | ||||||||||||||||||||
Non-employee Director Options Granted | ' | ||||||||||||||||||||||||
The fair value of the non-employee director options granted were estimated on the date of grant using a modified Black-Scholes option pricing model under the following assumptions: | |||||||||||||||||||||||||
Grant Date | |||||||||||||||||||||||||
July 30, 2007 | May 25, 2006 | ||||||||||||||||||||||||
Per share weighted average fair value | $4.97 | $4.24 | |||||||||||||||||||||||
Risk-free interest rate | 4.64 | % | 4.85 | % | |||||||||||||||||||||
Dividend yield | 2.4 | % | 2.7 | % | |||||||||||||||||||||
Expected life | 5 years | 5 years | |||||||||||||||||||||||
Share price volatility | 19.55 | % | 20.05 | % | |||||||||||||||||||||
Restricted Share Units Issued to Non-Employee Directors | ' | ||||||||||||||||||||||||
Restricted Share Units. The following table summarizes information about restricted share units issued to non-employee directors as at December 31, 2013. | |||||||||||||||||||||||||
As at December 31, 2013 | |||||||||||||||||||||||||
Restricted Share Units | |||||||||||||||||||||||||
Amount | Amount | Amount | Amount | ||||||||||||||||||||||
Granted | Vested | Forfeited | Outstanding | ||||||||||||||||||||||
Non-Employee Directors — 2011 and prior | 109,433 | (102,795 | ) | (6,638 | ) | — | |||||||||||||||||||
Non-Employee Directors — 2012 | 29,071 | (29,071 | ) | — | — | ||||||||||||||||||||
Non-Employee Directors — 2013 | 29,092 | (22,108 | ) | (2,365 | ) | 4,619 | |||||||||||||||||||
Chairman — 2011 and prior | 58,094 | (58,094 | ) | — | — | ||||||||||||||||||||
Chairman — 2012 | 17,705 | (17,705 | ) | — | — | ||||||||||||||||||||
Chairman — 2013 | 14,188 | (11,823 | ) | — | 2,365 | ||||||||||||||||||||
Total | 257,583 | (241,596 | ) | (9,003 | ) | 6,984 | |||||||||||||||||||
Summary of Option Activity and Restricted Share Unit Activity | ' | ||||||||||||||||||||||||
A summary of option activity and restricted share unit activity discussed above is presented in the tables below: | |||||||||||||||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||||||||||||||
Option activity | Number of Options | Weighted Average | |||||||||||||||||||||||
Exercise Price | |||||||||||||||||||||||||
Outstanding options, beginning of period | 1,208,787 | $23.07 | |||||||||||||||||||||||
Exercised | (906,254 | ) | 22.45 | ||||||||||||||||||||||
Forfeited or expired | (73 | ) | 24.21 | ||||||||||||||||||||||
Outstanding and exercisable options, end of period | 302,460 | $25.02 | |||||||||||||||||||||||
Twelve Months Ended December 31, 2012 | |||||||||||||||||||||||||
Option activity | Number of Options | Weighted Average | |||||||||||||||||||||||
Exercise Price | |||||||||||||||||||||||||
Outstanding options, beginning of period | 2,831,508 | $19.84 | |||||||||||||||||||||||
Exercised | (1,612,242 | ) | 15.72 | ||||||||||||||||||||||
Forfeited or expired | (10,479 | ) | 26.28 | ||||||||||||||||||||||
Outstanding and exercisable options, end of period | 1,208,787 | $23.07 | |||||||||||||||||||||||
Twelve Months Ended December 31, 2013 | |||||||||||||||||||||||||
Restricted share unit activity | Number of | Weighted Average | |||||||||||||||||||||||
Shares | Grant Date | ||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Outstanding restricted stock, beginning of period | 488,013 | $27.81 | |||||||||||||||||||||||
Granted | 350,721 | 35.61 | |||||||||||||||||||||||
Vested | (253,700 | ) | 23.66 | ||||||||||||||||||||||
Forfeited | (40,283 | ) | 31.45 | ||||||||||||||||||||||
Outstanding restricted stock, end of period | 544,751 | $32.13 | |||||||||||||||||||||||
Twelve Months Ended December 31, 2012 | |||||||||||||||||||||||||
Restricted share unit activity | Number of | Weighted Average | |||||||||||||||||||||||
Shares | Grant Date | ||||||||||||||||||||||||
Fair Value | |||||||||||||||||||||||||
Outstanding restricted stock, beginning of period | 319,138 | $26.58 | |||||||||||||||||||||||
Granted | 393,888 | 28.27 | |||||||||||||||||||||||
Vested | (179,177 | ) | 21.31 | ||||||||||||||||||||||
Forfeited | (45,836 | ) | 27.19 | ||||||||||||||||||||||
Outstanding restricted stock, end of period | 488,013 | $27.81 | |||||||||||||||||||||||
Intangible_Assets_Tables
Intangible Assets (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||
Summary of Changes in Intangible Assets | ' | ||||||||||||||||||||||||||||||||
The following table provides a summary of the Company’s intangible assets for the twelve months ended December 31, 2013 and 2012: | |||||||||||||||||||||||||||||||||
Twelve Months Ended December 31, 2013 | Twelve Months Ended December 31, 2012 | ||||||||||||||||||||||||||||||||
Trade | Insurance | Other | Total | Trade | Insurance | Other | Total | ||||||||||||||||||||||||||
Mark | Licenses | Mark | Licenses | ||||||||||||||||||||||||||||||
($ in millions) | ($ in millions) | ||||||||||||||||||||||||||||||||
Intangible Assets | |||||||||||||||||||||||||||||||||
Beginning of the period | $ | 1.6 | $ | 16.6 | $ | 0.8 | $ | 19 | $ | 1.6 | $ | 16.6 | $ | 1.8 | $ | 20 | |||||||||||||||||
Amortization | — | — | (0.6 | ) | (0.6 | ) | — | — | (1.0 | ) | (1.0 | ) | |||||||||||||||||||||
End of the period | $ | 1.6 | $ | 16.6 | $ | 0.2 | $ | 18.4 | $ | 1.6 | $ | 16.6 | $ | 0.8 | $ | 19 | |||||||||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||
Schedule of Company's Restricted Assets | ' | ||||||||||||||||||||||||||||
The following table details the forms and value of Company’s restricted assets as at December 31, 2013 and 2012: | |||||||||||||||||||||||||||||
As at December 31, 2013 | As at December 31, 2012 | ||||||||||||||||||||||||||||
($ in millions, except percentages) | |||||||||||||||||||||||||||||
Regulatory trusts and deposits: | |||||||||||||||||||||||||||||
Affiliated transactions | $ | 685.8 | $ | 598.7 | |||||||||||||||||||||||||
Third party | 2,236.40 | 1,933.50 | |||||||||||||||||||||||||||
Letters of credit / guarantees(1) | 830.4 | 1,189.20 | |||||||||||||||||||||||||||
Total restricted assets | $ | 3,752.60 | $ | 3,721.40 | |||||||||||||||||||||||||
Total as percent of cash and invested assets | 45.5 | % | 45.6 | % | |||||||||||||||||||||||||
_______________ | |||||||||||||||||||||||||||||
-1 | As of December 31, 2013, the Company had pledged funds of $803.7 million and £16.1 million (December 31, 2012 — $1,163.2 million and £16.0 million) as collateral for the secured letters of credit. | ||||||||||||||||||||||||||||
Amounts Outstanding under Operating Leases | ' | ||||||||||||||||||||||||||||
Amounts outstanding under operating leases net of subleases as of December 31, 2013 and 2012 were: | |||||||||||||||||||||||||||||
As at December 31, 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | Later | Total | ||||||||||||||||||||||
Years | |||||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||||
Operating Lease Obligations | $ | 11.9 | $ | 12.1 | $ | 8.3 | $ | 7.5 | $ | 6.3 | $ | 6.5 | $ | 52.6 | |||||||||||||||
As at December 31, 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | Later | Total | ||||||||||||||||||||||
Years | |||||||||||||||||||||||||||||
($ in millions) | |||||||||||||||||||||||||||||
Operating Lease Obligations | $ | 11.5 | $ | 11.3 | $ | 10.7 | $ | 7.7 | $ | 6 | $ | 9 | $ | 56.2 | |||||||||||||||
Concentrations_of_Credit_Risk_
Concentrations of Credit Risk (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Risks and Uncertainties [Abstract] | ' | |||||||||||||
Brokers | ' | |||||||||||||
The following table shows the largest brokers that the Company transacted business with in the three years ended December 31, 2013 and the proportion of gross written premiums from each of those brokers. | ||||||||||||||
Twelve Months Ended December 31, | ||||||||||||||
2013 | 2012 | 2011 | ||||||||||||
Broker | (in percentages) | |||||||||||||
Aon Corporation | 16.8 | % | 18.5 | % | 19.5 | % | ||||||||
Marsh & McLennan Companies, Inc. | 15 | 15.8 | 18.9 | |||||||||||
Willis Group Holdings, Ltd. | 14.4 | 15.1 | 16.1 | |||||||||||
Others(1) | 53.8 | 50.6 | 45.5 | |||||||||||
Total | 100 | % | 100 | % | 100 | % | ||||||||
Gross written premiums ($ millions) | $ | 2,646.70 | $ | 2,583.30 | $ | 2,207.80 | ||||||||
________________ | ||||||||||||||
-1 | No other individual broker accounted for more than 10% of total gross written premiums. |
Reclassifications_from_Accumul1
Reclassifications from Accumulated Other Comprehensive Income (Tables) | 12 Months Ended | ||||||
Dec. 31, 2013 | |||||||
Equity [Abstract] | ' | ||||||
Schedule of Accumulated Other Comprehensive Income Reclassification | ' | ||||||
The following table sets out the components of the Company’s AOCI that are reclassified into the audited condensed consolidated statement of operations for the twelve months ended months ended December 31, 2013: | |||||||
Amount Reclassified from AOCI | |||||||
Details about the AOCI Components | Twelve Months Ended December 31, 2013 | Affected Line Item in the | |||||
Consolidated Statement of Operations | |||||||
($ in millions) | |||||||
Available for sale securities: | |||||||
Realized gain on sale of securities | $ | 24.6 | Realized and unrealized investment gains | ||||
Realized (loss) on sale of securities | (0.5 | ) | Realized and unrealized investment losses | ||||
24.1 | Income from operations before tax | ||||||
Tax on realized gains and (losses) of securities | (0.7 | ) | Income tax expense | ||||
$ | 23.4 | Net income | |||||
Foreign currency translation adjustments: | |||||||
Foreign currency translation adjustments, before tax | $ | (1.9 | ) | Net realized and unrealized foreign exchange gains/(losses) | |||
Tax on foreign currency translation adjustments | 0.4 | Income tax expense | |||||
$ | (1.5 | ) | Net income | ||||
Amortization of derivatives: | |||||||
Amortization of long-term debt associated expenses, before tax | $ | (0.5 | ) | Interest on long-term debt | |||
$ | (0.5 | ) | Net income | ||||
Total reclassifications from AOCI to the statement of operations, net of tax | $ | 21.4 | Net income | ||||
Credit_Facility_and_Longterm_D1
Credit Facility and Long-term Debt (Tables) | 12 Months Ended | |||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||||||||||
Summary of Contractual Obligations Under Long-term Debts | ' | |||||||||||||||||||||
The following table summarizes our contractual obligations under the long-term debts as of December 31, 2013. | ||||||||||||||||||||||
Payments Due By Period | ||||||||||||||||||||||
Contractual Basis | Less than | 1-3 years | 3-5 years | More than 5 years | Total | |||||||||||||||||
1 year | ||||||||||||||||||||||
($ in millions) | ||||||||||||||||||||||
Long-term Debt Obligations | $ | — | $ | — | $ | — | $ | 550 | $ | 550 | ||||||||||||
Unaudited_Quarterly_Financial_1
Unaudited Quarterly Financial Data (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||
Summary of Quarterly Financial Data | ' | ||||||||||||||||||||
The following is a summary of the quarterly financial data for the twelve months ended December 31, 2013, 2012 and 2011. | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Quarter Ended | Quarter Ended | Quarter Ended September 30 | Quarter Ended December 31 | Year Ended December 31 | |||||||||||||||||
March 31 | 30-Jun | ||||||||||||||||||||
Revenues | ($ in millions) | ||||||||||||||||||||
Net earned premium | $ | 510.9 | $ | 544 | $ | 544.3 | $ | 572.6 | $ | 2,171.80 | |||||||||||
Net investment income | 48.3 | 45.9 | 45 | 47.2 | 186.4 | ||||||||||||||||
Realized and unrealized investment gains | 16.3 | 14.4 | 23.6 | 2.6 | 56.9 | ||||||||||||||||
Other income | 1.1 | 0.9 | 1.6 | 4.6 | 8.2 | ||||||||||||||||
Total revenues | 576.6 | 605.2 | 614.5 | 627 | 2,423.30 | ||||||||||||||||
Expenses | |||||||||||||||||||||
Losses and loss adjustment expenses | 268.7 | 333.4 | 290.2 | 331.4 | 1,223.70 | ||||||||||||||||
Amortization of deferred policy acquisition costs | 104.6 | 107.2 | 110.5 | 99.7 | 422 | ||||||||||||||||
General, administrative and corporate expenses | 86.6 | 87.7 | 98.9 | 94.9 | 368.1 | ||||||||||||||||
Interest on long-term debt | 7.7 | 7.8 | 7.7 | 9.5 | 32.7 | ||||||||||||||||
Change in fair value of derivatives | 4.2 | 2.9 | (6.6 | ) | (1.8 | ) | (1.3 | ) | |||||||||||||
Realized and unrealized investment losses/(gains) | 1.1 | 21 | 5.9 | (7.5 | ) | 20.5 | |||||||||||||||
Net realized and unrealized foreign exchange losses/(gains) | 5.4 | 4.1 | (2.4 | ) | 6.1 | 13.2 | |||||||||||||||
Other expenses | 0.6 | — | — | 1.1 | 1.7 | ||||||||||||||||
Total expenses | 478.9 | 564.1 | 504.2 | 533.4 | 2,080.60 | ||||||||||||||||
Income from operations before income tax | 97.7 | 41.1 | 110.3 | 93.6 | 342.7 | ||||||||||||||||
Income tax (expense) | (5.9 | ) | (1.0 | ) | (2.9 | ) | (3.6 | ) | (13.4 | ) | |||||||||||
Net income | $ | 91.8 | $ | 40.1 | $ | 107.4 | $ | 90 | $ | 329.3 | |||||||||||
Per Share Data | |||||||||||||||||||||
Weighted average number of ordinary share and share equivalents | |||||||||||||||||||||
Basic | 68,854,286 | 66,191,426 | 66,716,202 | 65,593,669 | 66,872,048 | ||||||||||||||||
Diluted | 72,452,705 | 69,291,324 | 68,561,515 | 67,051,993 | 69,417,903 | ||||||||||||||||
Basic earnings per ordinary share adjusted for preference share dividends | $ | 1.21 | $ | 0.38 | $ | 1.47 | $ | 1.23 | $ | 4.29 | |||||||||||
Diluted earnings per ordinary share adjusted for preference share dividends | $ | 1.15 | $ | 0.36 | $ | 1.43 | $ | 1.21 | $ | 4.14 | |||||||||||
2012 | |||||||||||||||||||||
Quarter Ended | Quarter Ended | Quarter Ended September 30 | Quarter Ended December 31 | Year Ended December 31 | |||||||||||||||||
31-Mar | 30-Jun | ||||||||||||||||||||
Revenues | ($ in millions) | ||||||||||||||||||||
Net earned premium | $ | 495.4 | $ | 513.4 | $ | 516.2 | $ | 558.5 | $ | 2,083.50 | |||||||||||
Net investment income | 52.4 | 52.8 | 48.6 | 51.1 | 204.9 | ||||||||||||||||
Realized and unrealized investment gains | 10.7 | 5.4 | 13.2 | 6.1 | 35.4 | ||||||||||||||||
Other income | 0.7 | 3.5 | 4.8 | (3.4 | ) | 5.6 | |||||||||||||||
Total revenues | 559.2 | 575.1 | 582.8 | 612.3 | 2,329.40 | ||||||||||||||||
Expenses | |||||||||||||||||||||
Losses and loss adjustment expenses | 284 | 262.1 | 255 | 437.4 | 1,238.50 | ||||||||||||||||
Amortization of deferred policy acquisition costs | 96.1 | 102 | 103.1 | 80 | 381.2 | ||||||||||||||||
General, administrative and corporate expenses | 84.8 | 83.5 | 90.7 | 86.1 | 345.1 | ||||||||||||||||
Interest on long-term debt | 7.7 | 7.7 | 7.8 | 7.7 | 30.9 | ||||||||||||||||
Change in fair value of derivatives | 7.5 | 11.6 | 4.9 | 4.4 | 28.4 | ||||||||||||||||
Realized and unrealized investment losses | 1.7 | 4.1 | 2.4 | 0.4 | 8.6 | ||||||||||||||||
Net realized and unrealized foreign exchange losses/(gains) | (7.7 | ) | 12.7 | (4.5 | ) | (3.9 | ) | (3.4 | ) | ||||||||||||
Other expenses | 1 | 0.6 | 0.3 | 2.8 | 4.7 | ||||||||||||||||
Total expenses | 475.1 | 484.3 | 459.7 | 614.9 | 2,034.00 | ||||||||||||||||
Income/(loss) from operations before income tax | 84.1 | 90.8 | 123.1 | (2.6 | ) | 295.4 | |||||||||||||||
Income tax (expense)/credit | (5.4 | ) | (6.2 | ) | (8.0 | ) | 4.6 | (15.0 | ) | ||||||||||||
Net income | $ | 78.7 | $ | 84.6 | $ | 115.1 | $ | 2 | $ | 280.4 | |||||||||||
Per Share Data | |||||||||||||||||||||
Weighted average number of ordinary share and share equivalents | |||||||||||||||||||||
Basic | 70,943,997 | 71,303,855 | 71,129,102 | 71,007,079 | 71,095,856 | ||||||||||||||||
Diluted | 73,832,734 | 73,845,903 | 73,397,796 | 71,007,079 | 73,689,423 | ||||||||||||||||
Basic earnings/(loss) per ordinary share adjusted for preference share dividends | $ | 1.03 | $ | 1.07 | $ | 1.5 | $ | (0.09 | ) | $ | 3.51 | ||||||||||
Diluted earnings/(loss) per ordinary share adjusted for preference share dividends | $ | 0.99 | $ | 1.03 | $ | 1.45 | $ | (0.09 | ) | $ | 3.39 | ||||||||||
2011 | |||||||||||||||||||||
Quarter Ended | Quarter Ended | Quarter Ended September 30 | Quarter Ended December 31 | Year Ended December 31 | |||||||||||||||||
31-Mar | 30-Jun | ||||||||||||||||||||
Revenues | ($ in millions) | ||||||||||||||||||||
Net earned premium | $ | 452.4 | $ | 459.8 | $ | 486.9 | $ | 489.4 | $ | 1,888.50 | |||||||||||
Net investment income | 55.5 | 58.6 | 57.3 | 54.2 | 225.6 | ||||||||||||||||
Realized and unrealized investment gains | 15.2 | 11 | 8.8 | 11.8 | 46.8 | ||||||||||||||||
Other income | 0.8 | 6.7 | (4.7 | ) | 7.7 | 10.5 | |||||||||||||||
Total revenues | 523.9 | 536.1 | 548.3 | 563.1 | 2,171.40 | ||||||||||||||||
Expenses | |||||||||||||||||||||
Losses and loss adjustment expenses | 528.9 | 326.4 | 306.2 | 394.5 | 1,556.00 | ||||||||||||||||
Amortization of deferred policy acquisition costs | 81.4 | 86.7 | 93.4 | 85.5 | 347 | ||||||||||||||||
General, administrative and corporate expenses | 62.5 | 70.7 | 72 | 79.3 | 284.5 | ||||||||||||||||
Interest on long-term debt | 7.7 | 7.7 | 7.7 | 7.7 | 30.8 | ||||||||||||||||
Change in fair value of derivatives | 3.4 | 22.3 | 30 | 4.2 | 59.9 | ||||||||||||||||
Realized and unrealized investment losses | 6.8 | 1.2 | 5.6 | 2.9 | 16.5 | ||||||||||||||||
Net realized and unrealized foreign exchange losses/(gains) | (6.4 | ) | 10.9 | 5.8 | (3.6 | ) | 6.7 | ||||||||||||||
Other expenses | 8.9 | — | 4.4 | 4 | 17.3 | ||||||||||||||||
Total expenses | 693.2 | 525.9 | 525.1 | 574.5 | 2,318.70 | ||||||||||||||||
Income/(loss) from operations before income tax | (169.3 | ) | 10.2 | 23.2 | (11.4 | ) | (147.3 | ) | |||||||||||||
Income tax (expense)/credit | 16.5 | (1.2 | ) | (2.0 | ) | 23.9 | 37.2 | ||||||||||||||
Net income/(loss) | $ | (152.8 | ) | $ | 9 | $ | 21.2 | $ | 12.5 | $ | (110.1 | ) | |||||||||
Per Share Data | |||||||||||||||||||||
Weighted average number of ordinary share and share equivalents | |||||||||||||||||||||
Basic (1) | 70,551,849 | 70,792,483 | 70,699,343 | 70,615,233 | 70,665,166 | ||||||||||||||||
Diluted (1) | 70,551,849 | 73,568,910 | 73,299,985 | 73,260,574 | 70,665,166 | ||||||||||||||||
Basic earnings/(loss) per ordinary share adjusted for preference share dividends | $ | (2.25 | ) | $ | 0.05 | $ | 0.21 | $ | 0.09 | $ | (1.88 | ) | |||||||||
Diluted earnings/(loss) per ordinary share adjusted for preference share dividends | $ | (2.25 | ) | $ | 0.05 | $ | 0.21 | $ | 0.09 | $ | (1.88 | ) | |||||||||
____________________ | |||||||||||||||||||||
(1) The basic and diluted number of ordinary shares for the three months ended March 31, 2011 and the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. |
Basis_of_Preparation_and_Signi2
Basis of Preparation and Significant Accounting Policies - (Details) | 12 Months Ended |
Dec. 31, 2013 | |
period | |
Property, Plant and Equipment [Line Items] | ' |
Non-Payment Of Dividends, Number Of Periods | 6 |
Computer Equipment | Minimum | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P3Y |
Computer Equipment | Maximum | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P5Y |
Furniture and Fixtures | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P4Y |
Leasehold Improvements | ' |
Property, Plant and Equipment [Line Items] | ' |
Property, Plant and Equipment, Estimated Useful Lives | 'P15Y |
Fixed maturities | ' |
Property, Plant and Equipment [Line Items] | ' |
Percentage of Value Decline in Securities to be considered Other than Temporary Impairment | 20.00% |
Equity securities | ' |
Property, Plant and Equipment [Line Items] | ' |
Percentage of Value Decline in Securities to be considered Other than Temporary Impairment | 20.00% |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 0 Months Ended | 12 Months Ended | 1 Months Ended |
In Millions, unless otherwise specified | Apr. 05, 2005 | Dec. 31, 2010 | Jan. 22, 2010 |
APJ Continuation Limited | |||
Related Party Transaction [Line Items] | ' | ' | ' |
Aggregate consideration for sale and purchase agreement | $1.60 | $4.80 | $4.80 |
Fair value of tangible and financial assets, net | ' | 1.2 | 1.2 |
Estimated goodwill on acquisition | ' | ' | $3.60 |
Percentage of shares formerly held by executive officer | ' | ' | 30.00% |
Earnings_per_Ordinary_Share_Co
Earnings per Ordinary Share - Computation (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||||||
Earnings Per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||
Net (loss) | $90 | $107.40 | $40.10 | $91.80 | $2 | $115.10 | $84.60 | $78.70 | $12.50 | $21.20 | $9 | ($152.80) | $329.30 | $280.40 | ($110.10) | |||||||
PIERS redemption | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -7.1 | [1] | 0 | [1] | 0 | [1] | ||||
Preference share dividends | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -35.5 | -31.1 | -22.8 | |||||||
Proportion due to non-controlling interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.5 | 0.2 | 0.1 | |||||||
Basic and diluted net income/(loss) available to ordinary shareholders | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $287.20 | $249.50 | ($132.80) | |||||||
Ordinary shares: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||
Basic weighted average ordinary shares | 65,593,669 | 66,716,202 | 66,191,426 | 68,854,286 | 71,007,079 | 71,129,102 | 71,303,855 | 70,943,997 | 70,615,233 | [2] | 70,699,343 | [2] | 70,792,483 | [2] | 70,551,849 | [2] | 66,872,048 | [3] | 71,095,856 | [3] | 70,665,166 | [2],[3] |
Weighted average effect of diluted securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,545,855 | [4] | 2,593,567 | [4] | 0 | [4] | ||||
Total diluted weighted average ordinary shares | 67,051,993 | 68,561,515 | 69,291,324 | 72,452,705 | 71,007,079 | 73,397,796 | 73,845,903 | 73,832,734 | 73,260,574 | [2] | 73,299,985 | [2] | 73,568,910 | [2] | 70,551,849 | [2] | 69,417,903 | [3] | 73,689,423 | [3] | 70,665,166 | [2],[3] |
Earnings/(loss) per ordinary share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||
Basic | $1.23 | $1.47 | $0.38 | $1.21 | ($0.09) | $1.50 | $1.07 | $1.03 | $0.09 | $0.21 | $0.05 | ($2.25) | $4.29 | $3.51 | ($1.88) | |||||||
Diluted | $1.21 | $1.43 | $0.36 | $1.15 | ($0.09) | $1.45 | $1.03 | $0.99 | $0.09 | $0.21 | $0.05 | ($2.25) | $4.14 | $3.39 | ($1.88) | |||||||
[1] | The $7.1 million deduction from net income is attributable to the reclassification from additional paid-in capital to retained earnings representing the difference between the capital raised upon issuance of the PIERS, net of the original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million. For more information, please refer to Note 14 of these consolidated financial statements. | |||||||||||||||||||||
[2] | The basic and diluted number of ordinary shares for the three months ended March 31, 2011 and the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. | |||||||||||||||||||||
[3] | The basic and diluted number of ordinary shares for the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. | |||||||||||||||||||||
[4] | The basic and diluted number of ordinary shares for the twelve months ended DecemberB 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. Dilutive securities comprise: investor options, employee options, performance shares associated with the Companybs long term incentive program, employee share purchase plans and restricted stock units as described in Note 17(b) of these consolidated financial statements, in addition to the PIERS that were redeemed in 2013. |
Earnings_per_Ordinary_Share_Co1
Earnings per Ordinary Share - Computation (Parenthetical) (Detail) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Apr. 25, 2013 | Dec. 31, 2013 | |||
Reclassification from Additional Paid in Capital to Retained Earnings | Preference Shares | Preference Shares | |||||||
Earnings Per Share [Line Items] | ' | ' | ' | ' | ' | ' | |||
PIERS redemption | $7.10 | [1] | $0 | [1] | $0 | [1] | $7.10 | ' | ' |
PIERS redeemed and cancelled | ' | ' | ' | ' | $230 | $230 | |||
[1] | The $7.1 million deduction from net income is attributable to the reclassification from additional paid-in capital to retained earnings representing the difference between the capital raised upon issuance of the PIERS, net of the original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million. For more information, please refer to Note 14 of these consolidated financial statements. |
Earnings_per_Ordinary_Share_Su
Earnings per Ordinary Share - Summary of Declared Dividends (Detail) (USD $) | 1 Months Ended | 12 Months Ended | 0 Months Ended | ||||
Mar. 31, 2009 | Nov. 30, 2006 | Dec. 31, 2013 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | Feb. 06, 2014 | |
7.401% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | Subsequent Event | Subsequent Event | Subsequent Event | Subsequent Event | |
Ordinary Shares | 7.401% Preference Shares | 7.250% Preference Shares | 5.950% Preference Shares | ||||
Dividends Payable [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Dividend | ' | ' | ' | $0.18 | $0.46 | $0.45 | $0.37 |
Payable on | ' | ' | ' | 7-Mar-14 | 1-Apr-14 | 1-Apr-14 | 1-Apr-14 |
Record Date | ' | ' | ' | 21-Feb-14 | 15-Mar-14 | 15-Mar-14 | 15-Mar-14 |
Preference shares, rate | 7.40% | 7.40% | 7.40% | ' | 7.40% | 7.25% | 5.95% |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Segment | |
Segment Reporting Information [Line Items] | ' |
Number of business segments | 2 |
Segment_Reporting_Summary_of_G
Segment Reporting - Summary of Gross and Net Written and Earned Premiums, Underwriting Results, Ratios and Reserves for Each of Company's Business Segments (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2,646.70 | $2,583.30 | $2,207.80 | |||
Net written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,299.70 | 2,246.90 | 1,929.10 | |||
Gross earned premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,493.40 | 2,385 | 2,141.10 | |||
Net earned premium | 572.6 | 544.3 | 544 | 510.9 | 558.5 | 516.2 | 513.4 | 495.4 | 489.4 | 486.9 | 459.8 | 452.4 | 2,171.80 | 2,083.50 | 1,888.50 | |||
Underwriting Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Losses and loss adjustment expenses | 331.4 | 290.2 | 333.4 | 268.7 | 437.4 | 255 | 262.1 | 284 | 394.5 | 306.2 | 326.4 | 528.9 | 1,223.70 | 1,238.50 | 1,556 | |||
Amortization of deferred policy acquisition costs | 99.7 | 110.5 | 107.2 | 104.6 | 80 | 103.1 | 102 | 96.1 | 85.5 | 93.4 | 86.7 | 81.4 | 422 | 381.2 | 347 | |||
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 316.9 | 292.1 | 239.8 | |||
Underwriting income/(loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 209.2 | 171.7 | -254.3 | |||
Corporate expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -51.2 | -53 | -44.7 | |||
Net investment income | 47.2 | 45 | 45.9 | 48.3 | 51.1 | 48.6 | 52.8 | 52.4 | 54.2 | 57.3 | 58.6 | 55.5 | 186.4 | 204.9 | 225.6 | |||
Realized and unrealized investment gains | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 56.9 | 35.4 | 46.8 | |||
Realized and unrealized investment (losses) | 7.5 | -5.9 | -21 | -1.1 | -0.4 | -2.4 | -4.1 | -1.7 | -2.9 | -5.6 | -1.2 | -6.8 | -20.5 | -8.6 | -16.5 | |||
Change in fair value of derivatives | 1.8 | 6.6 | -2.9 | -4.2 | -4.4 | -4.9 | -11.6 | -7.5 | -4.2 | -30 | -22.3 | -3.4 | 1.3 | -28.4 | -59.9 | |||
Interest expense on long term debt | -9.5 | -7.7 | -7.8 | -7.7 | -7.7 | -7.8 | -7.7 | -7.7 | -7.7 | -7.7 | -7.7 | -7.7 | -32.7 | -30.9 | -30.8 | |||
Net realized and unrealized foreign exchange (losses) | -6.1 | 2.4 | -4.1 | -5.4 | 3.9 | 4.5 | -12.7 | 7.7 | 3.6 | -5.8 | -10.9 | 6.4 | -13.2 | 3.4 | -6.7 | |||
Other income | 4.6 | 1.6 | 0.9 | 1.1 | -3.4 | 4.8 | 3.5 | 0.7 | 7.7 | -4.7 | 6.7 | 0.8 | 8.2 | 5.6 | 10.5 | |||
Other expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1.7 | -4.7 | -17.3 | |||
Income/(loss) from operations before income tax | 93.6 | 110.3 | 41.1 | 97.7 | -2.6 | 123.1 | 90.8 | 84.1 | -11.4 | 23.2 | 10.2 | -169.3 | 342.7 | 295.4 | -147.3 | |||
Income tax expense | -3.6 | -2.9 | -1 | -5.9 | 4.6 | -8 | -6.2 | -5.4 | 23.9 | -2 | -1.2 | 16.5 | -13.4 | -15 | 37.2 | |||
Net (loss) | 90 | 107.4 | 40.1 | 91.8 | 2 | 115.1 | 84.6 | 78.7 | 12.5 | 21.2 | 9 | -152.8 | 329.3 | 280.4 | -110.1 | |||
Net reserves for loss and loss adjustment expenses | 4,346.20 | ' | ' | ' | 4,280.70 | ' | ' | ' | 4,098.60 | ' | ' | ' | 4,346.20 | 4,280.70 | 4,098.60 | |||
Ratios | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Loss ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 56.30% | 59.40% | 82.40% | |||
Policy acquisition expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19.40% | 18.30% | 18.40% | |||
General and administrative expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16.90% | [1] | 16.60% | [1] | 15.10% | [1] |
Expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 36.30% | 34.90% | 33.50% | |||
Combined ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 92.60% | 94.30% | 115.90% | |||
Australia/Asia | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 108.4 | 139.3 | 129.6 | |||
Caribbean | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14.4 | 12.2 | 12.4 | |||
Europe | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 112.2 | 113 | 103.2 | |||
United Kingdom | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 166.4 | 168.6 | 145.7 | |||
United States And Canada | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,179.60 | [2] | 1,106.90 | [2] | 875.6 | [2] |
Worldwide Excluding United States | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 145.7 | [3] | 151.7 | [3] | 157.5 | [3] |
Worldwide Including United States | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 827.4 | [4] | 810.8 | [4] | 698.7 | [4] |
Others | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 92.6 | 80.8 | 85.1 | |||
Reinsurance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,133.90 | 1,227.90 | 1,187.50 | |||
Net written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,082 | 1,156.90 | 1,098.10 | |||
Gross earned premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,126.60 | 1,208 | 1,190.60 | |||
Net earned premium | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,073 | 1,132.40 | 1,108.30 | |||
Underwriting Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Losses and loss adjustment expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 481.7 | 635.3 | 1,083.30 | |||
Amortization of deferred policy acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 207.2 | 207.8 | 197.7 | |||
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 131 | 123.9 | 111.8 | |||
Underwriting income/(loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 253.1 | 165.4 | -284.5 | |||
Net reserves for loss and loss adjustment expenses | 2,646.80 | ' | ' | ' | 2,811.30 | ' | ' | ' | 2,770 | ' | ' | ' | 2,646.80 | 2,811.30 | 2,770 | |||
Ratios | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Loss ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 44.90% | 56.10% | 97.70% | |||
Policy acquisition expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19.30% | 18.40% | 17.80% | |||
General and administrative expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12.20% | [1] | 10.90% | [1] | 10.10% | [1] |
Expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31.50% | 29.30% | 27.90% | |||
Combined ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 76.40% | 85.40% | 125.60% | |||
Insurance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Underwriting Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,512.80 | 1,355.40 | 1,020.30 | |||
Net written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,217.70 | 1,090 | 831 | |||
Gross earned premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,366.80 | 1,177 | 950.5 | |||
Net earned premium | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,098.80 | 951.1 | 780.2 | |||
Underwriting Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Losses and loss adjustment expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 742 | 603.2 | 472.7 | |||
Amortization of deferred policy acquisition costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 214.8 | 173.4 | 149.3 | |||
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 185.9 | 168.2 | 128 | |||
Underwriting income/(loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -43.9 | 6.3 | 30.2 | |||
Net reserves for loss and loss adjustment expenses | $1,699.40 | ' | ' | ' | $1,469.40 | ' | ' | ' | $1,328.60 | ' | ' | ' | $1,699.40 | $1,469.40 | $1,328.60 | |||
Ratios | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Loss ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 67.50% | 63.40% | 60.60% | |||
Policy acquisition expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19.50% | 18.20% | 19.10% | |||
General and administrative expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16.90% | [1] | 17.70% | [1] | 16.40% | [1] |
Expense ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 36.40% | 35.90% | 35.50% | |||
Combined ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 103.90% | 99.30% | 96.10% | |||
[1] | The general and administrative expense ratio in the total column includes corporate expenses. | |||||||||||||||||
[2] | bUnited States and Canadab comprises individual policies that insure risks specifically in the United States and/or Canada, but not elsewhere. | |||||||||||||||||
[3] | bWorldwide excluding the United Statesb comprises individual policies that insure risks wherever they may be across the world but specifically excludes the United States. | |||||||||||||||||
[4] | bWorldwide including the United Statesb comprises individual policies that insure risks wherever they may be across the world but specifically includes the United States. |
Investments_Summary_of_Investm
Investments - Summary of Investment Income (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $195.90 | $213.60 | $233.50 |
Investment expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -9.5 | -8.7 | -7.9 |
Net investment income | 47.2 | 45 | 45.9 | 48.3 | 51.1 | 48.6 | 52.8 | 52.4 | 54.2 | 57.3 | 58.6 | 55.5 | 186.4 | 204.9 | 225.6 |
Fixed income maturities b Available for sale | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 155.6 | 181.3 | 203.2 |
Fixed income maturities b Trading | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20.3 | 16.5 | 17.1 |
Short-term investments b Available for sale | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.1 | 3.1 | 1.2 |
Short-term investments b Trading | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0.1 |
Fixed term deposits (included in cash and cash equivalents) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.3 | 6.5 | 5.8 |
Equity securities b Available for sale | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.6 | 6.2 | 6.1 |
Equity securities b Trading | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $7 | $0 | $0 |
Investments_Net_Realized_and_U
Investments - Net Realized and Unrealized Investment Gains and Losses and Change in Unrealized Gains and Losses on Investments (Detail) (USD $) | 0 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 16, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' |
Fixed income maturities b gross realized gains | ' | $24.60 | ' | ' |
Fixed income maturities b gross realized (losses) | ' | -0.5 | ' | ' |
Net change in gross unrealized gains/(losses) | ' | 6.1 | 10.5 | -3.3 |
Total other-than-temporary impairments | ' | 0 | -3 | 0 |
Gross realized and unrealized gains in other investments | ' | 3 | 3.2 | ' |
Other realized losses | -9.3 | -9.3 | 0 | 0 |
Total net realized and unrealized investment gains recorded in the statement of operations | ' | 36.4 | 26.8 | 30.3 |
Change in available for sale net unrealized (losses)/gains: | ' | ' | ' | ' |
Fixed income maturities | ' | -209.6 | 2.7 | 86.5 |
Short-term investments | ' | 0 | 0 | 0 |
Equity securities | ' | 11.2 | 16.4 | 9.7 |
Total change in pre-tax available for sale unrealized (losses)/gains | ' | -198.4 | 19.1 | 96.2 |
Change in taxes | ' | 13.7 | -9.3 | -2.7 |
Total change in net unrealized (losses)/gains, net of taxes recorded in other comprehensive income | ' | -184.7 | 9.8 | 93.5 |
Available for sale - Fixed income maturities | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' |
Fixed income maturities b gross realized gains | ' | 18.2 | 7.6 | 35.8 |
Fixed income maturities b gross realized (losses) | ' | -7.4 | -0.4 | -8.3 |
Available for sale - Equity securities | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' |
Equity securities b gross realized gains | ' | 18 | 4.3 | 1.7 |
Equity securities b gross realized (losses) | ' | -0.3 | -4.9 | -3.2 |
Trading - Fixed income maturities | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' |
Fixed income maturities b gross realized gains | ' | 9.5 | 9.8 | 6.2 |
Fixed income maturities b gross realized (losses) | ' | -2.9 | -0.3 | -1.7 |
Trading - Equity securities | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' |
Equity securities b gross realized gains | ' | 2.1 | 0 | 0 |
Equity securities b gross realized (losses) | ' | -0.6 | 0 | 0 |
Cartesian | ' | ' | ' | ' |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ' | ' | ' | ' |
Gross realized and unrealized gains in other investments | ' | $3 | $3.20 | $3.10 |
Investments_Additional_Informa
Investments - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | ||||||||||
In Millions, unless otherwise specified | Dec. 16, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Oct. 02, 2012 | Dec. 31, 2013 | Aug. 31, 2013 | Dec. 31, 2013 | Dec. 16, 2013 |
Insurers | Insurers | Cartesian | Cartesian | Cartesian | Chaspark | BB High Yield Bonds | Corporate and Foreign Government Debt Securities | Bank loans | Senior Notes | |||
Investment Securities [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other-than-temporary impairment charge | ' | $0 | ($3) | $0 | ' | ' | ' | ' | ' | ' | ' | ' |
Senior note, aggregate principal amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250 |
Interest rate of senior notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6.00% |
Gain (loss) on notes reflected in net realized investment gains | -9.3 | -9.3 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' |
Investment funded | ' | 2.3 | 1.5 | ' | ' | ' | ' | ' | 26.5 | ' | ' | ' |
Fair Market Value | ' | 716.2 | 456.1 | ' | ' | ' | ' | ' | ' | 200 | 69.1 | ' |
Gross realized and unrealized gains in other investments | ' | 3 | 3.2 | ' | 3 | 3.2 | 3.1 | ' | ' | ' | ' | ' |
Percentage of ownership acquired | ' | ' | ' | ' | ' | ' | ' | 58.50% | ' | ' | ' | ' |
Catastrophe bonds, trading at fair value (cost b $5.8 and $Nil) | ' | 5.8 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase in estimated fair value recorded in net realized and unrealized gains (losses) on investments | ' | $36.40 | $26.80 | $30.30 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of municipal holdings | ' | 2 | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investments_Cost_Gross_Unreali
Investments - Cost, Gross Unrealized Gains and Losses, and Estimated Fair Value of Available for Sale Investments in Fixed Income Maturities, Short-Term Investments and Equities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | $5,722.40 | $5,834 |
Gross Unrealized Gains | 205.5 | 358.2 |
Gross Unrealized Losses | -49 | -3.3 |
Fair Market Value | 5,878.90 | 6,188.90 |
Total fixed income maturities b Available for sale | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 5,449.90 | 5,228.50 |
Gross Unrealized Gains | 167.7 | 330 |
Gross Unrealized Losses | -48.5 | -1.2 |
Fair Market Value | 5,569.10 | 5,557.30 |
Total short-term investments b Available for sale | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 160.3 | 431.5 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Market Value | 160.3 | 431.5 |
Total equity securities b Available for sale | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 112.2 | 174 |
Gross Unrealized Gains | 37.8 | 28.2 |
Gross Unrealized Losses | -0.5 | -2.1 |
Fair Market Value | 149.5 | 200.1 |
U.S. government | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 1,004.70 | 1,071.80 |
Gross Unrealized Gains | 21.2 | 54.8 |
Gross Unrealized Losses | -5.5 | -0.3 |
Fair Market Value | 1,020.40 | 1,126.30 |
U.S. agency | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 258.5 | 288.3 |
Gross Unrealized Gains | 11.4 | 20.3 |
Gross Unrealized Losses | -0.8 | 0 |
Fair Market Value | 269.1 | 308.6 |
Municipal | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 32.3 | 37.2 |
Gross Unrealized Gains | 0.9 | 2.6 |
Gross Unrealized Losses | -0.4 | -0.1 |
Fair Market Value | 32.8 | 39.7 |
Corporate | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 2,005.60 | 1,889.20 |
Gross Unrealized Gains | 82.5 | 149.9 |
Gross Unrealized Losses | -18.7 | -0.6 |
Fair Market Value | 2,069.40 | 2,038.50 |
Non-U.S. government-backed corporate | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 83.4 | 98 |
Gross Unrealized Gains | 1.4 | 3.1 |
Gross Unrealized Losses | -0.2 | 0 |
Fair Market Value | 84.6 | 101.1 |
Foreign government | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 772 | 617 |
Gross Unrealized Gains | 11.2 | 24.1 |
Gross Unrealized Losses | -4.3 | -0.1 |
Fair Market Value | 778.9 | 641 |
Asset-backed | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 119.8 | 49.2 |
Gross Unrealized Gains | 2.8 | 4.6 |
Gross Unrealized Losses | -0.3 | 0 |
Fair Market Value | 122.3 | 53.8 |
Non-agency commercial mortgage-backed | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 56.9 | 61.7 |
Gross Unrealized Gains | 5.7 | 9.4 |
Gross Unrealized Losses | 0 | 0 |
Fair Market Value | 62.6 | 71.1 |
Agency mortgage-backed | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' |
Cost or Amortized Cost | 1,116.70 | 1,116.10 |
Gross Unrealized Gains | 30.6 | 61.2 |
Gross Unrealized Losses | -18.3 | -0.1 |
Fair Market Value | $1,129 | $1,177.20 |
Investments_Cost_Gross_Unreali1
Investments - Cost, Gross Unrealized Gains and Losses, and Estimated Fair Value of Trading Investments in Fixed Income Maturities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | |||
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | $712.10 | $431.60 | ' |
Gross Unrealized Gains | 11.9 | 24.9 | ' |
Gross Unrealized Losses | -7.8 | -0.4 | ' |
Fair Market Value | 716.2 | 456.1 | ' |
Closing value of investment, balance | 48 | 45 | 33.1 |
U.S. government | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 22.7 | 9.3 | ' |
Gross Unrealized Gains | 0 | 0.2 | ' |
Gross Unrealized Losses | -0.7 | -0.1 | ' |
Fair Market Value | 22 | 9.4 | ' |
U.S. agency | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 0.2 | 0.2 | ' |
Gross Unrealized Gains | 0 | 0 | ' |
Gross Unrealized Losses | 0 | 0 | ' |
Fair Market Value | 0.2 | 0.2 | ' |
Municipal | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 1.1 | 2.8 | ' |
Gross Unrealized Gains | 0 | 0.1 | ' |
Gross Unrealized Losses | 0 | 0 | ' |
Fair Market Value | 1.1 | 2.9 | ' |
Corporate | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 469.8 | 392 | ' |
Gross Unrealized Gains | 10.3 | 22.7 | ' |
Gross Unrealized Losses | -5.3 | -0.3 | ' |
Fair Market Value | 474.8 | 414.4 | ' |
Foreign government | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 136.5 | 24.4 | ' |
Gross Unrealized Gains | 1.2 | 1.9 | ' |
Gross Unrealized Losses | -1.5 | 0 | ' |
Fair Market Value | 136.2 | 26.3 | ' |
Asset-backed | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 12.7 | 2.9 | ' |
Gross Unrealized Gains | 0.1 | 0 | ' |
Gross Unrealized Losses | 0 | 0 | ' |
Fair Market Value | 12.8 | 2.9 | ' |
Bank loans | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 69.1 | ' | ' |
Gross Unrealized Gains | 0.3 | ' | ' |
Gross Unrealized Losses | -0.3 | ' | ' |
Fair Market Value | 69.1 | ' | ' |
Total equity securities b Trading | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 281.6 | ' | ' |
Gross Unrealized Gains | 34 | ' | ' |
Gross Unrealized Losses | -4.7 | ' | ' |
Fair Market Value | 310.9 | ' | ' |
Total short-term investments b Trading | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | ' | 2.4 | ' |
Gross Unrealized Gains | ' | 0 | ' |
Gross Unrealized Losses | ' | 0 | ' |
Fair Market Value | ' | 2.4 | ' |
Total catastrophe bonds b Trading | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 5.8 | ' | ' |
Gross Unrealized Gains | 0 | ' | ' |
Gross Unrealized Losses | 0 | ' | ' |
Fair Market Value | 5.8 | ' | ' |
Total | ' | ' | ' |
Schedule of Trading Securities and Other Trading Items [Line Items] | ' | ' | ' |
Cost or Amortized Cost | 999.5 | 434 | ' |
Gross Unrealized Gains | 45.9 | 24.9 | ' |
Gross Unrealized Losses | -12.5 | -0.4 | ' |
Fair Market Value | $1,032.90 | $458.50 | ' |
Investments_Other_Investments_
Investments - Other Investments (Detail) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 |
Schedule Of Equity Method Investments Joint Ventures [Line Items] | ' | ' | ' | ' |
Opening undistributed value of investment, balance | $45 | $33.10 | ' | $48 |
Investment in Chaspark Maritime Holdings Ltd. | 5.8 | 0 | 0 | ' |
Gain | 3 | 3.2 | ' | ' |
Cartesian | ' | ' | ' | ' |
Schedule Of Equity Method Investments Joint Ventures [Line Items] | ' | ' | ' | ' |
Opening undistributed value of investment, balance | 36.3 | 33.1 | ' | 39.3 |
Investment in Chaspark Maritime Holdings Ltd. | ' | 0 | ' | ' |
Gain | 3 | 3.2 | 3.1 | ' |
Chaspark | ' | ' | ' | ' |
Schedule Of Equity Method Investments Joint Ventures [Line Items] | ' | ' | ' | ' |
Opening undistributed value of investment, balance | 8.7 | 0 | ' | 8.7 |
Investment in Chaspark Maritime Holdings Ltd. | ' | 8.7 | ' | ' |
Gain | $0 | $0 | ' | ' |
Investments_Summary_of_Fixed_M
Investments - Summary of Fixed Maturities (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule Of Available For Sale Securities And Held To Maturity Securities [Line Items] | ' | ' |
Cost or Amortized Cost | $5,722.40 | $5,834 |
Total, Available for sale investments in fixed income maturities, Cost or Amortized Cost | 5,449.90 | 5,228.50 |
Available for sale investments in fixed income maturities, Fair Market Value | 5,569.10 | 5,557.30 |
Non-agency commercial mortgage-backed | ' | ' |
Schedule Of Available For Sale Securities And Held To Maturity Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 56.9 | 61.7 |
Available for sale investments in fixed income maturities, Fair Market Value | 62.6 | 71.1 |
Available for sale investments Average Ratings by Maturity | 'AA+ | 'AA+ |
Agency mortgage-backed | ' | ' |
Schedule Of Available For Sale Securities And Held To Maturity Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 1,116.70 | 1,116.10 |
Available for sale investments in fixed income maturities, Fair Market Value | 1,129 | 1,177.20 |
Available for sale investments Average Ratings by Maturity | 'AA+ | 'AA+ |
Other asset-backed | ' | ' |
Schedule Of Available For Sale Securities And Held To Maturity Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 119.8 | 49.2 |
Available for sale investments in fixed income maturities, Fair Market Value | 122.3 | 53.8 |
Available for sale investments Average Ratings by Maturity | 'AAA | 'AAA |
Total fixed income maturities b Available for sale | ' | ' |
Schedule Of Available For Sale Securities And Held To Maturity Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 5,449.90 | 5,228.50 |
Available for sale investments in fixed income maturities, Fair Market Value | 5,569.10 | 5,557.30 |
Other Fixed Income Securities | ' | ' |
Schedule Of Available For Sale Securities And Held To Maturity Securities [Line Items] | ' | ' |
Due one year or less, Cost or Amortized Cost | 694.8 | 554.6 |
Due after one year through five years, Cost or Amortized Cost | 2,376.10 | 2,270 |
Due after five years through ten years, Cost or Amortized Cost | 1,003.90 | 1,077.80 |
Due after ten years, Cost or Amortized Cost | 81.7 | 99.1 |
Total, Available for sale investments in fixed income maturities, Cost or Amortized Cost | 4,156.50 | 4,001.50 |
Due one year or less, Fair Market Value | 700 | 561 |
Due after one year through five years, Fair Market Value | 2,438 | 2,378.80 |
Due after five years through ten years, Fair Market Value | 1,032.80 | 1,199.30 |
Due after ten years, Fair Market Value | 84.4 | 116.1 |
Available for sale investments in fixed income maturities, Fair Market Value | $4,255.20 | $4,255.20 |
Due one year or less, Average Ratings by Maturity | 'AA | 'AA |
Due after one year through five years, Average Ratings by Maturity | 'AA- | 'AA |
Due after five years through ten years, Average Ratings by Maturity | 'A+ | 'AA- |
Due after ten years, Average Ratings by Maturity | 'AA- | 'AA+ |
Investments_Aggregate_Fair_Val
Investments - Aggregate Fair Value and Gross Unrealized Loss by Type of Security (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | Security | Security |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | $1,884.10 | $408.10 |
0-12 months, Gross Unrealized Loss | 46.6 | 3.1 |
Over 12 months, Fair Market Value | 41.6 | 8.2 |
Over 12 months, Gross Unrealized Loss | -2.4 | -0.2 |
Total, Fair Market Value | 1,925.70 | 416.3 |
Total, Gross Unrealized Loss | -49 | -3.3 |
Total, Number of Securities | 687 | 133 |
Fixed income maturities b Available for sale | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 1,870.40 | 370.1 |
0-12 months, Gross Unrealized Loss | 46.2 | 1.2 |
Over 12 months, Fair Market Value | 39.3 | 6 |
Over 12 months, Gross Unrealized Loss | -2.3 | 0 |
Total, Fair Market Value | 1,909.70 | 376.1 |
Total, Gross Unrealized Loss | -48.5 | -1.2 |
Total, Number of Securities | 674 | 111 |
Short-term investments b Available for sale | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 7.7 | 9.4 |
0-12 months, Gross Unrealized Loss | 0 | 0 |
Over 12 months, Fair Market Value | 0 | 0 |
Over 12 months, Gross Unrealized Loss | 0 | 0 |
Total, Fair Market Value | 7.7 | 9.4 |
Total, Gross Unrealized Loss | 0 | 0 |
Total, Number of Securities | 6 | 4 |
Total equity securities b Available for sale | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 6 | 28.6 |
0-12 months, Gross Unrealized Loss | 0.4 | 1.9 |
Over 12 months, Fair Market Value | 2.3 | 2.2 |
Over 12 months, Gross Unrealized Loss | -0.1 | -0.2 |
Total, Fair Market Value | 8.3 | 30.8 |
Total, Gross Unrealized Loss | -0.5 | -2.1 |
Total, Number of Securities | 7 | 18 |
U.S. government | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 293.9 | 72.7 |
0-12 months, Gross Unrealized Loss | 5.5 | 0.3 |
Over 12 months, Fair Market Value | 0 | 0 |
Over 12 months, Gross Unrealized Loss | 0 | 0 |
Total, Fair Market Value | 293.9 | 72.7 |
Total, Gross Unrealized Loss | -5.5 | -0.3 |
Total, Number of Securities | 51 | 9 |
Municipal | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 5.5 | 1.4 |
0-12 months, Gross Unrealized Loss | 0.2 | 0.1 |
Over 12 months, Fair Market Value | 1.3 | 0 |
Over 12 months, Gross Unrealized Loss | -0.2 | 0 |
Total, Fair Market Value | 6.8 | 1.4 |
Total, Gross Unrealized Loss | -0.4 | -0.1 |
Total, Number of Securities | 7 | 1 |
Corporate | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 695.4 | 170.8 |
0-12 months, Gross Unrealized Loss | 16.8 | 0.6 |
Over 12 months, Fair Market Value | 23.4 | 0 |
Over 12 months, Gross Unrealized Loss | -1.9 | 0 |
Total, Fair Market Value | 718.8 | 170.8 |
Total, Gross Unrealized Loss | -18.7 | -0.6 |
Total, Number of Securities | 372 | 63 |
Non-U.S. government-backed corporate | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 21.8 | 10.1 |
0-12 months, Gross Unrealized Loss | 0.2 | 0 |
Over 12 months, Fair Market Value | 4.9 | 2 |
Over 12 months, Gross Unrealized Loss | 0 | 0 |
Total, Fair Market Value | 26.7 | 12.1 |
Total, Gross Unrealized Loss | -0.2 | 0 |
Total, Number of Securities | 8 | 3 |
Foreign government | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 239.7 | 87.7 |
0-12 months, Gross Unrealized Loss | 4.1 | 0.1 |
Over 12 months, Fair Market Value | 8.5 | 4 |
Over 12 months, Gross Unrealized Loss | -0.2 | 0 |
Total, Fair Market Value | 248.2 | 91.7 |
Total, Gross Unrealized Loss | -4.3 | -0.1 |
Total, Number of Securities | 44 | 20 |
Asset-backed | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 50.2 | 0.7 |
0-12 months, Gross Unrealized Loss | 0.3 | 0 |
Over 12 months, Fair Market Value | 0 | 0 |
Over 12 months, Gross Unrealized Loss | 0 | 0 |
Total, Fair Market Value | 50.2 | 0.7 |
Total, Gross Unrealized Loss | -0.3 | 0 |
Total, Number of Securities | 51 | 1 |
Agency mortgage-backed | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 491.8 | 26.7 |
0-12 months, Gross Unrealized Loss | 18.3 | 0.1 |
Over 12 months, Fair Market Value | 1.2 | 0 |
Over 12 months, Gross Unrealized Loss | 0 | 0 |
Total, Fair Market Value | 493 | 26.7 |
Total, Gross Unrealized Loss | -18.3 | -0.1 |
Total, Number of Securities | 123 | 14 |
U.S. agency | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
0-12 months, Fair Market Value | 72.1 | ' |
0-12 months, Gross Unrealized Loss | 0.8 | ' |
Over 12 months, Fair Market Value | 0 | ' |
Over 12 months, Gross Unrealized Loss | 0 | ' |
Total, Fair Market Value | 72.1 | ' |
Total, Gross Unrealized Loss | ($0.80) | ' |
Total, Number of Securities | 18 | ' |
Investments_Analysis_of_Invest
Investments - Analysis of Investment Purchases/Sales and Maturities (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Gain (Loss) on Investments [Line Items] | ' | ' | ' |
(Purchases) of fixed income maturities b Available for sale | ($2,129.80) | ($1,529.60) | ($1,784.40) |
(Purchases) of fixed income maturities b Trading | -763.4 | -300.8 | -378.6 |
(Purchases) of equity securities b Available for sale | -2.5 | -53.1 | -205.4 |
(Purchases) of equity securities b Trading | -304.4 | 0 | 0 |
Proceeds from sales and maturities of fixed income maturities b Available for sale | 1,872.30 | 1,416.50 | 1,823.50 |
Proceeds from sales and maturities of fixed income maturities b Trading | 486 | 257.2 | 389.9 |
Proceeds from sales of equity securities b Available for sale | 82.2 | 46.9 | 29.2 |
Proceeds from sales of equity securities b Trading | 24.1 | 0 | 0 |
Net change in (payable)/receivable for securities (purchased) /sold | -0.9 | 1.1 | -41.5 |
Net (purchases)/sales of short-term investments | 260.6 | -122.7 | -13.3 |
Net (purchases) of catastrophe bonds | -5.8 | 0 | 0 |
Net (purchases)/sales for the period | -481.6 | -293.2 | -180.6 |
Available for sale | ' | ' | ' |
Gain (Loss) on Investments [Line Items] | ' | ' | ' |
Net (purchases)/sales of short-term investments | 258.2 | -122.7 | -13.3 |
Trading | ' | ' | ' |
Gain (Loss) on Investments [Line Items] | ' | ' | ' |
Net (purchases)/sales of short-term investments | 2.4 | 0 | 0 |
Chaspark Maritime Holdings Ltd | ' | ' | ' |
Gain (Loss) on Investments [Line Items] | ' | ' | ' |
Net (purchases) of catastrophe bonds | $0 | ($8.70) | $0 |
Fair_Value_Measurements_Financ
Fair Value Measurements - Financial Assets Measured on Recurring Basis (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Catastrophe bonds, trading at fair value (cost b $5.8 and $Nil) | $5.80 | $0 |
Derivatives at fair value | 7 | 2 |
Recurring | Level 1 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Catastrophe bonds, trading at fair value (cost b $5.8 and $Nil) | 0 | ' |
Long-term notes issued by Silverton | 0 | ' |
Total | 2,272.70 | 2,255.80 |
Recurring | Level 1 | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | ' | 0 |
Recurring | Level 1 | Short-term investments trading, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 2.4 |
Recurring | Level 1 | Equity investments trading, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 310.9 | ' |
Recurring | Level 1 | Derivatives at fair value | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | 0 | ' |
Recurring | Level 1 | Derivatives at fair value | Interest Rate Swaps | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | 0 | ' |
Recurring | Level 1 | Liabilities under derivative contracts b foreign exchange contracts | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Liabilities under derivative contracts, fair value | 0 | 0 |
Recurring | Level 1 | Liabilities under derivative contracts b foreign exchange contracts | Interest Rate Swaps | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Liabilities under derivative contracts, fair value | ' | 0 |
Recurring | Level 1 | Available for sale financial assets, at fair value | U.S. government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 1,020.40 | 1,126.30 |
Recurring | Level 1 | Available for sale financial assets, at fair value | U.S. agency | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Available for sale financial assets, at fair value | Municipal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Available for sale financial assets, at fair value | Corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Available for sale financial assets, at fair value | Non-U.S. government-backed corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Available for sale financial assets, at fair value | Foreign government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 596.2 | 487.2 |
Recurring | Level 1 | Available for sale financial assets, at fair value | Asset-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Available for sale financial assets, at fair value | Non-agency commercial mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Available for sale financial assets, at fair value | Agency mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Fixed income maturities b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 1,616.60 | 1,613.50 |
Recurring | Level 1 | Short-term investments b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 129.5 | 426.2 |
Recurring | Level 1 | Total equity securities b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 149.5 | 200.1 |
Recurring | Level 1 | Held for trading financial assets, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 66.2 | 13.6 |
Recurring | Level 1 | Held for trading financial assets, at fair value | U.S. government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 22 | 9.4 |
Recurring | Level 1 | Held for trading financial assets, at fair value | U.S. agency | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Held for trading financial assets, at fair value | Municipal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Held for trading financial assets, at fair value | Corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Held for trading financial assets, at fair value | Foreign government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 44.2 | 4.2 |
Recurring | Level 1 | Held for trading financial assets, at fair value | Asset-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 1 | Held for trading financial assets, at fair value | Bank loans | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 2 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Catastrophe bonds, trading at fair value (cost b $5.8 and $Nil) | 5.8 | ' |
Long-term notes issued by Silverton | 0 | ' |
Total | 4,643.20 | 4,386.20 |
Recurring | Level 2 | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | ' | 2 |
Recurring | Level 2 | Short-term investments trading, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 2 | Equity investments trading, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 2 | Derivatives at fair value | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | 5.9 | ' |
Recurring | Level 2 | Derivatives at fair value | Interest Rate Swaps | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | 1.1 | ' |
Recurring | Level 2 | Liabilities under derivative contracts b foreign exchange contracts | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Liabilities under derivative contracts, fair value | -2.9 | -6.1 |
Recurring | Level 2 | Liabilities under derivative contracts b foreign exchange contracts | Interest Rate Swaps | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Liabilities under derivative contracts, fair value | ' | -1.3 |
Recurring | Level 2 | Available for sale financial assets, at fair value | U.S. government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 2 | Available for sale financial assets, at fair value | U.S. agency | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 269.1 | 308.6 |
Recurring | Level 2 | Available for sale financial assets, at fair value | Municipal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 32.8 | 39.7 |
Recurring | Level 2 | Available for sale financial assets, at fair value | Corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 2,069.40 | 2,038.50 |
Recurring | Level 2 | Available for sale financial assets, at fair value | Non-U.S. government-backed corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 84.6 | 101.1 |
Recurring | Level 2 | Available for sale financial assets, at fair value | Foreign government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 182.7 | 153.8 |
Recurring | Level 2 | Available for sale financial assets, at fair value | Asset-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 122.3 | 53.8 |
Recurring | Level 2 | Available for sale financial assets, at fair value | Non-agency commercial mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 62.6 | 71.1 |
Recurring | Level 2 | Available for sale financial assets, at fair value | Agency mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 1,129 | 1,177.20 |
Recurring | Level 2 | Fixed income maturities b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 3,952.50 | 3,943.80 |
Recurring | Level 2 | Short-term investments b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 30.8 | 5.3 |
Recurring | Level 2 | Total equity securities b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 2 | Held for trading financial assets, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 650 | 442.5 |
Recurring | Level 2 | Held for trading financial assets, at fair value | U.S. government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 0 |
Recurring | Level 2 | Held for trading financial assets, at fair value | U.S. agency | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0.2 | 0.2 |
Recurring | Level 2 | Held for trading financial assets, at fair value | Municipal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 1.1 | 2.9 |
Recurring | Level 2 | Held for trading financial assets, at fair value | Corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 474.8 | 414.4 |
Recurring | Level 2 | Held for trading financial assets, at fair value | Foreign government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 92 | 22.1 |
Recurring | Level 2 | Held for trading financial assets, at fair value | Asset-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 12.8 | 2.9 |
Recurring | Level 2 | Held for trading financial assets, at fair value | Bank loans | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 69.1 | ' |
Recurring | Level 3 | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Catastrophe bonds, trading at fair value (cost b $5.8 and $Nil) | 0 | ' |
Long-term notes issued by Silverton | -50 | ' |
Total | -50 | ' |
Recurring | Level 3 | Short-term investments trading, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Equity investments trading, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Derivatives at fair value | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | 0 | ' |
Recurring | Level 3 | Derivatives at fair value | Interest Rate Swaps | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | 0 | ' |
Recurring | Level 3 | Liabilities under derivative contracts b foreign exchange contracts | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Liabilities under derivative contracts, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | U.S. government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | U.S. agency | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | Municipal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | Corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | Non-U.S. government-backed corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | Foreign government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | Asset-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | Non-agency commercial mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Available for sale financial assets, at fair value | Agency mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Fixed income maturities b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Short-term investments b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Total equity securities b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Held for trading financial assets, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Held for trading financial assets, at fair value | U.S. government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Held for trading financial assets, at fair value | U.S. agency | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Held for trading financial assets, at fair value | Municipal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Held for trading financial assets, at fair value | Corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Held for trading financial assets, at fair value | Foreign government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Held for trading financial assets, at fair value | Asset-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Level 3 | Held for trading financial assets, at fair value | Bank loans | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | ' |
Recurring | Total Fair Value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Catastrophe bonds, trading at fair value (cost b $5.8 and $Nil) | 5.8 | ' |
Long-term notes issued by Silverton | -50 | ' |
Total | 6,865.90 | 6,642 |
Recurring | Total Fair Value | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | ' | 2 |
Recurring | Total Fair Value | Short-term investments trading, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0 | 2.4 |
Recurring | Total Fair Value | Equity investments trading, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 310.9 | ' |
Recurring | Total Fair Value | Derivatives at fair value | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | 5.9 | ' |
Recurring | Total Fair Value | Derivatives at fair value | Interest Rate Swaps | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Derivatives at fair value | 1.1 | ' |
Recurring | Total Fair Value | Liabilities under derivative contracts b foreign exchange contracts | Foreign Exchange Contracts | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Liabilities under derivative contracts, fair value | -2.9 | -6.1 |
Recurring | Total Fair Value | Liabilities under derivative contracts b foreign exchange contracts | Interest Rate Swaps | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Liabilities under derivative contracts, fair value | ' | -1.3 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | U.S. government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 1,020.40 | 1,126.30 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | U.S. agency | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 269.1 | 308.6 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | Municipal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 32.8 | 39.7 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | Corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 2,069.40 | 2,038.50 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | Non-U.S. government-backed corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 84.6 | 101.1 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | Foreign government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 778.9 | 641 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | Asset-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 122.3 | 53.8 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | Non-agency commercial mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 62.6 | 71.1 |
Recurring | Total Fair Value | Available for sale financial assets, at fair value | Agency mortgage-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 1,129 | 1,177.20 |
Recurring | Total Fair Value | Fixed income maturities b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 5,569.10 | 5,557.30 |
Recurring | Total Fair Value | Short-term investments b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 160.3 | 431.5 |
Recurring | Total Fair Value | Total equity securities b Available for sale | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 149.5 | 200.1 |
Recurring | Total Fair Value | Held for trading financial assets, at fair value | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 716.2 | 456.1 |
Recurring | Total Fair Value | Held for trading financial assets, at fair value | U.S. government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 22 | 9.4 |
Recurring | Total Fair Value | Held for trading financial assets, at fair value | U.S. agency | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 0.2 | 0.2 |
Recurring | Total Fair Value | Held for trading financial assets, at fair value | Municipal | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 1.1 | 2.9 |
Recurring | Total Fair Value | Held for trading financial assets, at fair value | Corporate | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 474.8 | 414.4 |
Recurring | Total Fair Value | Held for trading financial assets, at fair value | Foreign government | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 136.2 | 26.3 |
Recurring | Total Fair Value | Held for trading financial assets, at fair value | Asset-backed | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | 12.8 | 2.9 |
Recurring | Total Fair Value | Held for trading financial assets, at fair value | Bank loans | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, fair value | $69.10 | ' |
Fair_Value_Measurements_Additi
Fair Value Measurements - Additional Information (Detail) | Dec. 31, 2013 | Dec. 31, 2012 |
Investments, Debt and Equity Securities [Abstract] | ' | ' |
Quotes per fixed income investment | 2.6 | 2.9 |
Quotes per equity investment | 4.9 | 4.9 |
Fair_Value_Measurements_Pricin
Fair Value Measurements - Pricing Sources Used in Pricing Fixed Income Investments (Detail) | Dec. 31, 2013 | Dec. 31, 2012 |
Fair Value Disclosures [Abstract] | ' | ' |
Index providers | 85.00% | 89.00% |
Pricing services | 12.00% | 9.00% |
Broker-dealers | 3.00% | 2.00% |
Total | 100.00% | 100.00% |
Fair_Value_Measurements_Summar
Fair Value Measurements - Summary of Securities Priced Using Pricing Information from Index Providers (Detail) (Fixed Income Maturities, USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | $5,353 | $5,360.90 |
% of Total Fair Value by Security Type | 85.00% | 89.00% |
U.S. government | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | 998.5 | 1,034.50 |
% of Total Fair Value by Security Type | 96.00% | 91.00% |
U.S. agency | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | 255.3 | 291.9 |
% of Total Fair Value by Security Type | 95.00% | 95.00% |
Municipal | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | 14.5 | 20.5 |
% of Total Fair Value by Security Type | 43.00% | 48.00% |
Corporate | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | 2,400.80 | 2,339.80 |
% of Total Fair Value by Security Type | 94.00% | 95.00% |
Non-U.S. government-backed corporate | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | 55.9 | 84.5 |
% of Total Fair Value by Security Type | 0.00% | 84.00% |
Foreign government | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | 605.8 | 516.9 |
% of Total Fair Value by Security Type | 66.00% | 77.00% |
Asset-backed | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | 130.6 | 44.6 |
% of Total Fair Value by Security Type | 97.00% | 79.00% |
Non-agency commercial mortgage-backed | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | 61 | 70.4 |
% of Total Fair Value by Security Type | 97.00% | 99.00% |
Agency mortgage-backed | ' | ' |
Fair Value [Line Items] | ' | ' |
Fair Market Value Determined using Prices from Index Providers | $830.60 | $957.80 |
% of Total Fair Value by Security Type | 74.00% | 81.00% |
Reinsurance_Detail
Reinsurance (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Premiums written: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Direct | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,512.80 | $1,355.40 | $1,020.30 |
Assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,133.90 | 1,227.90 | 1,187.50 |
Ceded | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -347 | -336.4 | -278.7 |
Net premiums written | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,299.70 | 2,246.90 | 1,929.10 |
Premiums earned: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Direct | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,366.80 | 1,177 | 950.5 |
Assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,126.60 | 1,208 | 1,190.60 |
Ceded | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -321.6 | -301.5 | -252.6 |
Net premiums earned | 572.6 | 544.3 | 544 | 510.9 | 558.5 | 516.2 | 513.4 | 495.4 | 489.4 | 486.9 | 459.8 | 452.4 | 2,171.80 | 2,083.50 | 1,888.50 |
Insurance losses and loss adjustment expenses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Direct | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 829.4 | 763 | 553.4 |
Assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 459.4 | 650.1 | 1,230.30 |
Ceded | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -65.1 | -174.6 | -227.7 |
Net insurance losses and loss adjustment expenses | $331.40 | $290.20 | $333.40 | $268.70 | $437.40 | $255 | $262.10 | $284 | $394.50 | $306.20 | $326.40 | $528.90 | $1,223.70 | $1,238.50 | $1,556 |
Derivative_Contracts_Fair_Valu
Derivative Contracts - Fair Value of Derivative Instruments (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Millions, unless otherwise specified | ||||
Interest Rate Swaps | ' | ' | ||
Derivatives, Fair Value [Line Items] | ' | ' | ||
Collateral provided to counterparties as security for the Company's net liability position | $34.30 | $52 | ||
Not Designated as Hedging Instrument | Derivatives at Fair Value | Interest Rate Swaps | ' | ' | ||
Derivatives, Fair Value [Line Items] | ' | ' | ||
Notional Amount | 1,000 | 0 | ||
Fair Value | 1.1 | [1] | 0 | |
Not Designated as Hedging Instrument | Derivatives at Fair Value | Foreign Exchange Contracts | ' | ' | ||
Derivatives, Fair Value [Line Items] | ' | ' | ||
Notional Amount | 224.4 | 335.4 | ||
Fair Value | 5.9 | 2 | ||
Not Designated as Hedging Instrument | Liabilities under Derivative Contracts | Interest Rate Swaps | ' | ' | ||
Derivatives, Fair Value [Line Items] | ' | ' | ||
Notional Amount | 0 | 1,000 | ||
Fair Value | 0 | -1.3 | [1] | |
Not Designated as Hedging Instrument | Liabilities under Derivative Contracts | Foreign Exchange Contracts | ' | ' | ||
Derivatives, Fair Value [Line Items] | ' | ' | ||
Notional Amount | 57.5 | 88.6 | ||
Fair Value | ($2.90) | ($6.10) | ||
[1] | Net of $34.3 million of cash collateral provided to counterparties as security for the Companybs net liability position (DecemberB 31, 2012 b $52.0 million). |
Derivative_Contracts_GainLoss_
Derivative Contracts - Gain/(Loss) Recognized in Income on Derivative (Detail) (Change in Fair Value of Derivatives, USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Foreign Exchange Contracts | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Amount of Income/(Loss) Recognized in the Statement of Operations | ($1.30) | ($5.40) |
Interest Rate Swaps | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Amount of Income/(Loss) Recognized in the Statement of Operations | $2.60 | ($23) |
Derivative_Contracts_Additiona
Derivative Contracts - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Foreign Exchange Contracts | Change in Fair Value of Derivatives | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Gain (charge) to net income from derivative instruments | ($1,300,000) | ($5,400,000) |
Foreign Exchange Contracts | Not Designated as Hedging Instrument | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Purchase of US and foreign exchange | 281,900,000 | 424,000,000 |
Interest Rate Swaps | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Purchase of US and foreign exchange | 1,000,000,000 | 1,000,000,000 |
Collateral provided to counterparties as security for the Company's net liability position | 34,300,000 | 52,000,000 |
Pledged assets | 0 | 0 |
Pledged assets recorded in balance sheet | 0 | ' |
Interest Rate Swaps | Change in Fair Value of Derivatives | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Gain (charge) to net income from derivative instruments | 2,600,000 | -23,000,000 |
Interest Rate Swaps | Contract Termination | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Purchase of US and foreign exchange | 38,900,000 | ' |
Interest Rate Swaps | New Contract | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' |
Purchase of US and foreign exchange | $38,900,000 | ' |
Derivative, term of contract | '5 years | ' |
Deferred_Policy_Acquisition_Co2
Deferred Policy Acquisition Costs (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | ' | ' | ' | $223 | ' | ' | ' | $184.50 | ' | ' | ' | ' | $223 | $184.50 | ' |
Acquisition costs deferred | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 461.2 | 419.7 | ' |
Amortization of deferred policy acquisition costs | 99.7 | 110.5 | 107.2 | 104.6 | 80 | 103.1 | 102 | 96.1 | 85.5 | 93.4 | 86.7 | 81.4 | 422 | 381.2 | 347 |
Balance at the end of the period | $262.20 | ' | ' | ' | $223 | ' | ' | ' | $184.50 | ' | ' | ' | $262.20 | $223 | $184.50 |
Reserves_for_Losses_and_Adjust2
Reserves for Losses and Adjustment Expenses (Details) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Insurance [Abstract] | ' | ' | ' | ' |
Provision for losses and LAE at the start of the year | $4,779.70 | $4,525.20 | $3,820.50 | ' |
Less reinsurance recoverable | ' | -499 | -426.6 | -279.9 |
Net losses and LAE reserves | 4,346.20 | 4,280.70 | 4,098.60 | 3,540.60 |
Net loss and LAE expenses (disposed) | -34.6 | -9 | -20.6 | ' |
Provision for losses and LAE for claims incurred: | ' | ' | ' | ' |
Current year | 1,331.40 | 1,375.90 | 1,648.30 | ' |
Prior years | 107.7 | 137.4 | 92.3 | ' |
Total incurred | 1,223.70 | 1,238.50 | 1,556 | ' |
Losses and LAE payments for claims incurred: | ' | ' | ' | ' |
Current year | -172.8 | -244.3 | -269.3 | ' |
Prior years | -912.3 | -835.7 | -712.9 | ' |
Total paid | -1,085.10 | -1,080 | -982.2 | ' |
Foreign exchange (gains)/losses | -38.5 | 32.6 | 4.8 | ' |
Plus reinsurance recoverable on unpaid losses at the end of the year | 332.7 | 499 | 426.6 | ' |
Provision for losses and LAE at the end of the year | $4,678.90 | $4,779.70 | $4,525.20 | ' |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 12 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2016 | Mar. 31, 2015 | ||||
U.K. | U.K. | Accumulated Net Unrealized Investment Gain (Loss) | Employee Stock Awards | Lloyd's | Adjustment For Other Disallowable Items | Final Determination of Equalization Reserves | Acquisition-related Costs | Forecast | Forecast | |||||||
U.K. | U.K. | |||||||||||||||
Income Taxes [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Prior year adjustments | ($4,200,000) | [1] | ($4,900,000) | [1] | ($7,200,000) | [1] | ' | ' | ($3,900,000) | ($1,000,000) | ($5,600,000) | ($1,600,000) | ($2,000,000) | ($2,000,000) | ' | ' |
Tax Credit Carryforward, Amount | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unrecognized Tax Benefits, Treatment of Interest | 400,000 | 9,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unrecognized Tax Benefits Resulting in Net Operating Loss Carryforward | 23,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
United States corporate tax at a rate | 34.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
U. K. corporate tax rate reduced during the period | ' | ' | ' | 24.00% | 23.00% | ' | ' | ' | ' | ' | ' | 20.00% | 21.00% | |||
Accrued interest and penalties | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Uncertain tax positions | 8,500,000 | 9,600,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gross increases/(decreases) for tax positions of prior years | 8,500,000 | 5,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unrecognized Tax Benefits | 23,900,000 | 15,400,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Unrecognized Tax Benefits, Valuation Allowance | $7,700,000 | $5,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
[1] | The submission dates for filing income tax returns for the Companybs U.S. and U.K. operating subsidiaries are after the submission date of the Companybs Annual Report on Form 10-K. The final tax liabilities may differ from the estimated tax provisions included in the Annual Report on Form 10-K and may result in prior year adjustments being reported. |
Income_Taxes_Summary_of_Total_
Income Taxes - Summary of Total Income Tax (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income tax expense/(benefit) on income | $3.60 | $2.90 | $1 | $5.90 | ($4.60) | $8 | $6.20 | $5.40 | ($23.90) | $2 | $1.20 | ($16.50) | $13.40 | $15 | ($37.20) |
Income tax expense/(benefit) on other comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -13.7 | 8.9 | 2.7 |
Income tax (benefit) charged directly to shareholdersb equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1.5 | -2.4 | 0 |
Total income tax expense/(benefit) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($1.80) | $21.50 | ($34.50) |
Income_Taxes_IncomeLoss_Before
Income Taxes - Income/(Loss) Before Tax and Income Tax Expense/(Benefit) Attributable to that Income (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
(Loss)/income before tax, U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($12.20) | ($58.30) | ($88.90) |
(Loss)/income before tax, Non-U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 354.9 | 353.7 | -58.4 |
Income/(loss) from operations before income tax | 93.6 | 110.3 | 41.1 | 97.7 | -2.6 | 123.1 | 90.8 | 84.1 | -11.4 | 23.2 | 10.2 | -169.3 | 342.7 | 295.4 | -147.3 |
Current income tax (benefit)/expense, U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.8 | 4.4 | -5.2 |
Current income tax (benefit)/expense, Non-U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.9 | 18.4 | -19.2 |
Current income tax (benefit)/expense, Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9.7 | 22.8 | -24.4 |
Deferred income Tax (benefit), U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Deferred income Tax (benefit), Non-U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.7 | -7.8 | -12.8 |
Deferred Income Tax, Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.7 | -7.8 | -12.8 |
Total income tax expense/(benefit), U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.8 | 4.4 | -5.2 |
Total income tax expense/(benefit), Non-U.S. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9.6 | 10.6 | -32 |
Total income tax expense/(benefit) | $3.60 | $2.90 | $1 | $5.90 | ($4.60) | $8 | $6.20 | $5.40 | ($23.90) | $2 | $1.20 | ($16.50) | $13.40 | $15 | ($37.20) |
Income_Taxes_Income_Tax_Reconc
Income Taxes - Income Tax Reconciliation (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Income Tax Reconciliation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Expected tax (benefit)/expense at weighted average rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($7.50) | ($14.40) | ($42.90) | |||
Prior year adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -4.2 | [1] | -4.9 | [1] | -7.2 | [1] |
Valuation provision on U.S. deferred tax assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.1 | 26.7 | 15.9 | |||
Uncertain tax positions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8.5 | 9.6 | 0 | |||
Non-utilizable foreign tax credits | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.6 | 0 | 0 | |||
Disallowable expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.6 | 1.2 | 0.9 | |||
Other non-taxable items | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -0.2 | -2.4 | -2.2 | |||
Impact of changes in statutory tax rates | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2.5 | -0.8 | -1.7 | |||
Total income tax expense/(benefit) | 3.6 | 2.9 | 1 | 5.9 | -4.6 | 8 | 6.2 | 5.4 | -23.9 | 2 | 1.2 | -16.5 | 13.4 | 15 | -37.2 | |||
Accumulated Net Unrealized Investment Gain (Loss) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Income Tax Reconciliation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Prior year adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -3.9 | ' | |||
Employee Stock Awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Income Tax Reconciliation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Prior year adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1 | ' | |||
Lloyd's | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Income Tax Reconciliation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Prior year adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -5.6 | |||
Adjustment For Other Disallowable Items | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Income Tax Reconciliation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Prior year adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ($1.60) | |||
[1] | The submission dates for filing income tax returns for the Companybs U.S. and U.K. operating subsidiaries are after the submission date of the Companybs Annual Report on Form 10-K. The final tax liabilities may differ from the estimated tax provisions included in the Annual Report on Form 10-K and may result in prior year adjustments being reported. |
Income_Taxes_Unrecognized_Tax_
Income Taxes - Unrecognized Tax Benefits (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Reconciliation of Unrecognized Tax Benefits [Roll Forward] | ' | ' |
Unrecognized tax benefits balance at January 1 | $15.40 | $0 |
Gross increases/(decreases) for tax positions of prior years | 8.5 | 5.8 |
Gross increases/(decreases) for tax positions of current year | 0 | 9.6 |
Unrecognized tax benefits balance at December 31 | $23.90 | $15.40 |
Deferred_Taxation_Tax_Effects_
Deferred Taxation - Tax Effects of Deferred Tax Assets and Deferred Tax Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Deferred tax assets: | ' | ' |
Share options | $3.90 | $3.80 |
Operating loss carry forwards | 80.9 | 69.5 |
Loss reserves | 1.7 | 1.6 |
Unrealized (gains) / losses on investments | 13.3 | 0 |
Accrued expenses | 8.4 | 4.5 |
Foreign tax credits | 7.5 | 0 |
Unearned premiums | 6.5 | 2.5 |
Timing differences on fixed assets | 5.6 | 1.2 |
Other temporary differences | 8.5 | 15.6 |
Total gross deferred tax assets | 136.3 | 98.7 |
Less valuation allowance | -93.8 | -76 |
Net deferred tax assets | 42.5 | 22.7 |
Deferred tax liabilities: | ' | ' |
Equalization provision reserves | -34.1 | -25.9 |
Intangible assets (other) | -1.8 | -1.5 |
Unrealized (gains) / losses on investments | -0.2 | -2.8 |
Deferred policy acquisition costs | -4.2 | -0.8 |
Other temporary differences | -0.6 | -3.5 |
Total gross deferred tax (liabilities) | -40.9 | -34.5 |
Net deferred tax (liability) | $1.60 | ($11.80) |
Deferred_Taxation_Additional_I
Deferred Taxation - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Valuation allowance | $93.80 | $76 |
Increase in valuation allowance | 17.8 | ' |
Income Statement | ' | ' |
Valuation allowance | 15.1 | ' |
Accumulated Other Comprehensive Income | ' | ' |
Valuation allowance | 2.7 | ' |
Internal Revenue Service (IRS) [Member] | ' | ' |
Net operating loss carryforwards | 230.6 | 204.5 |
Valuation allowance | 93.8 | 76 |
Capital loss carryforwards | 2.4 | ' |
Charitable contribution carryforwards | $0.50 | ' |
Minimum | Internal Revenue Service (IRS) [Member] | ' | ' |
Net operating loss carryforwards expiration year | '2026 | ' |
Maximum | Internal Revenue Service (IRS) [Member] | ' | ' |
Net operating loss carryforwards expiration year | '2033 | ' |
Capital_Structure_Summary_of_A
Capital Structure - Summary of Authorized and Issued Share Capital (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 30, 2006 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | 7.250% Preference Shares | 7.250% Preference Shares | 5.950% Preference Shares | 5.950% Preference Shares | |||
Authorized share capital: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of ordinary shares | 969,629,030 | 969,629,030 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of non-voting shares | 6,787,880 | 6,787,880 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of preference shares | 100,000,000 | 100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ordinary Shares, authorized | $1,469 | $1,469 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-Voting Shares, authorized | 10 | 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preference Shares, authorized | 152 | 152 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total authorized share capital | 1,631 | 1,631 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issued share capital: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of issued ordinary shares | 65,546,976 | 70,753,723 | 70,655,698 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preference shares, issued | ' | ' | ' | 0 | 4,600,000 | 4,600,000 | 4,600,000 | 5,327,500 | 5,327,500 | 8,000,000 | 6,400,000 | 6,400,000 | 11,000,000 | 0 |
Ordinary shares, value | 99 | 107 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preference shares, value | ' | ' | ' | 0 | 7 | ' | ' | 8 | 8 | ' | 10 | 10 | 17 | 0 |
Total issued share capital | $134 | $132 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital_Structure_Summary_of_A1
Capital Structure - Summary of Authorized and Issued Share Capital (Parenthetical) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Apr. 25, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 30, 2006 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 11, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | 7.250% Preference Shares | 7.250% Preference Shares | 7.250% Preference Shares | 5.950% Preference Shares | 5.950% Preference Shares | |||
Class of Stock [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ordinary shares, par value | $0.15 | $0.15 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Non-voting shares, par value | $0.15 | $0.15 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preference shares, par value | $0.15 | $0.15 | $0.15 | ' | $0.15 | $0.15 | $0.15 | ' | $0.15 | $0.15 | ' | $0.15 | $0.15 |
Redemption price per share | $25 | $25 | $50 | $50 | $50 | $25 | $25 | $25 | $25 | $25 | $25 | $25 | $25 |
Preference shares, rate | ' | ' | 5.63% | ' | 5.63% | 7.40% | 7.40% | ' | 7.25% | 7.25% | ' | 5.95% | 5.95% |
Capital_Structure_Summary_of_O
Capital Structure - Summary of Ordinary Shares (Detail) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Equity [Abstract] | ' | ' |
Ordinary shares in issue at the beginning of the year | 70,753,723 | 70,655,698 |
Ordinary shares issued to the Namesb Trust upon exercise of investor options (refer to Note 17) | 0 | 116,510 |
Ordinary shares issued to employees under the 2003 share incentive plan and/or 2008 share purchase plan | 1,374,567 | 2,105,561 |
Ordinary shares issued to non-employee directors | 44,000 | 44,034 |
Ordinary shares repurchased | -8,461,174 | -2,168,080 |
Ordinary shares issued in respect of the redemption of the PIERS | 1,835,860 | 0 |
Ordinary shares in issue at the end of the year | 65,546,976 | 70,753,723 |
Capital_Structure_Additional_I
Capital Structure - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 0 Months Ended | 1 Months Ended | ||||||||||||||||||||||
In Millions, except Share data, unless otherwise specified | Apr. 25, 2013 | Feb. 28, 2012 | Nov. 30, 2006 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2005 | Apr. 11, 2012 | Dec. 31, 2013 | Apr. 25, 2013 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 25, 2013 | Dec. 31, 2013 | Mar. 31, 2009 | Nov. 30, 2006 | Dec. 31, 2013 | Dec. 31, 2012 | 2-May-13 | Apr. 11, 2012 | 2-May-13 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 11, 2012 | Feb. 07, 2013 | Feb. 07, 2013 | Oct. 24, 2012 | Oct. 24, 2012 | Mar. 09, 2012 | Mar. 23, 2012 | Aug. 29, 2013 | Mar. 31, 2013 | Feb. 26, 2013 | Dec. 31, 2013 | Mar. 21, 2013 | Dec. 31, 2013 | Feb. 06, 2014 | Dec. 31, 2013 | Feb. 06, 2014 | Aug. 31, 2012 | |||
Reclassification from Additional Paid in Capital to Retained Earnings | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | Preference Shares | Preference Shares | Series B Preferred Stock | Series B Preferred Stock | Series B Preferred Stock | Series B Preferred Stock | Perpetual Non-Cumulative Preference Shares | Perpetual Non-Cumulative Preference Shares | Perpetual Non-Cumulative Preference Shares | Perpetual Non-Cumulative Preference Shares | Series C Preferred Stock | Series C Preferred Stock | Series C Preferred Stock | Existing Share Repurchase Program | New Repurchase Program | New Repurchase Program | Names Trustee Repurchase Program | Names Trustee Repurchase Program | Names Trustee Repurchase Program | Accelerated Share Repurchase Agreement | Accelerated Share Repurchase Agreement | Accelerated Share Repurchase Agreement | Accelerated Share Repurchase Agreement | Names' Trustee | Open Markets | Subsequent Event | Subsequent Event | Subsequent Event | Senior Notes Due December 15, 2020 | ||||||||||||
Series B Preferred Stock | Perpetual Non-Cumulative Preference Shares | Series C Preferred Stock | ||||||||||||||||||||||||||||||||||||||||||||
Class of Stock [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Additional paid in capital | ' | ' | ' | $1,297.40 | $1,516.70 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Aggregate liquidation preferences | ' | ' | ' | 568.2 | 523.2 | ' | ' | 154.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200 | ' | ' | 270.6 | ' | 270.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Issuance costs | ' | ' | 3.7 | 12.4 | 15.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.4 | 5.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Stock Issued During Period, Shares, Purchase of Assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,672,500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Existing share repurchase authorization amount | ' | 400 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400 | 500 | 400 | ' | ' | ' | ' | ' | 150 | ' | ' | ' | ' | ' | ' | ' | |||
Shares repurchase and cancelled during period, shares | ' | ' | ' | ' | 2,064,643 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 34,151 | 42,578 | 26,708 | 4,053,276 | 3,348,214 | ' | ' | ' | 4,353,461 | ' | ' | ' | ' | |||
Shares repurchase and cancelled during period, value | ' | ' | ' | ' | 59.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | 1.1 | 0.7 | ' | ' | ' | ' | 2 | 157.6 | ' | ' | ' | ' | |||
Average price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $37.01 | ' | ' | ' | ' | $36.21 | ' | ' | ' | ' | |||
ASR, commenced date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7-Feb-15 | ' | ' | ' | ' | ' | ' | |||
Remaining authorized repurchase amount | ' | ' | ' | 224.2 | ' | 192.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Additional ordinary shares receivable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 705,062 | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Shares repurchased during period, shares | ' | ' | ' | 8,461,174 | 2,168,080 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 54,437 | ' | ' | ' | ' | ' | |||
Preference shares, issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,600,000 | 4,600,000 | 0 | 4,600,000 | ' | ' | ' | 8,000,000 | 5,327,500 | 5,327,500 | 11,000,000 | 6,400,000 | 11,000,000 | ' | 6,400,000 | 6,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Minimum conversion price | ' | ' | ' | ' | ' | ' | 130.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Conversion price, number of trading days in period | '20 days | ' | ' | ' | ' | ' | '20 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Number of consecutive trading days in period | ' | ' | ' | ' | ' | ' | '30 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Conversion rate of ordinary shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.7121 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Preference shares, liquidation preference | ' | ' | ' | $25 | $25 | ' | ' | ' | ' | $50 | ' | ' | $50 | $50 | ' | ' | ' | $25 | $25 | $25 | $25 | ' | $25 | ' | $25 | $25 | $25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $25 | ' | ' | |||
Preferred Stock, Redemption Price Per Share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $12.50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Gain On Purchase Of Shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Write Off Of Preferred Share Issuance Cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Ordinary shares issued in respect of the redemption of the PIERS | ' | ' | ' | 1,835,860 | 0 | ' | ' | ' | ' | 1,835,860 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
PIERS redemption | ' | ' | ' | 7.1 | [1] | 0 | [1] | 0 | [1] | ' | ' | 7.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
PIERS redeemed and cancelled | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 230 | 230 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Annual rate of dividend | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.63% | 5.63% | ' | ' | ' | ' | 7.40% | 7.40% | 7.40% | ' | ' | 7.25% | 5.95% | 7.25% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7.40% | ' | 7.25% | ' | |||
Interest Rate Of Senior Notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6.00% | |||
Preference Dividend Basis Spread On Variable Rate | ' | ' | 3.28% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Proceeds from the issuance of preference shares, net of issuance costs | ' | ' | 196.3 | 270.6 | 154.5 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Preference shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $275 | $160 | $275 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Preference shares dividend, floating rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3-month LIBOR | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Preference shares dividend, variable spread | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.06% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Preference shares, callable option | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'No stated maturity but are callable at the option of the Company on or after the 10th anniversary of the date of issuance. | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Preference Shares, redemption date | ' | ' | ' | 1-Jul-23 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
[1] | The $7.1 million deduction from net income is attributable to the reclassification from additional paid-in capital to retained earnings representing the difference between the capital raised upon issuance of the PIERS, net of the original issuance costs, and the final redemption of the PIERS in the amount of $230.0 million. For more information, please refer to Note 14 of these consolidated financial statements. |
Statutory_Requirements_and_Div2
Statutory Requirements and Dividends Restrictions - Additional Information (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Dividend payment made without regulatory approval | ($17.20) | ' |
Aspen Specialty | ' | ' |
Dividend payment made without regulatory approval | 10.1 | ' |
AUL | ' | ' |
Syndicate to maintain funds at Lloyd | 325.1 | ' |
Total funds held by AUL | 346.6 | ' |
U.K. | ' | ' |
Dividend payment made without regulatory approval | 79.8 | 2 |
Capital contributions reserves | 470 | ' |
Bermuda | ' | ' |
Dividend payment made without regulatory approval | 476.9 | ' |
Bermuda | AUL | ' | ' |
Total funds held by AUL | $311.60 | ' |
Statutory_Requirements_and_Div3
Statutory Requirements and Dividends Restrictions - Summary of Statutory Requirements and Dividends Restrictions (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
U.S. | ' | ' |
Required statutory capital and surplus | $40.90 | $43.70 |
Statutory capital and surplus | 375.3 | 273.2 |
Bermuda | ' | ' |
Required statutory capital and surplus | 1,068.20 | 1,089.70 |
Statutory capital and surplus | 1,907.40 | 1,934.30 |
U.K. | ' | ' |
Required statutory capital and surplus | 218.8 | 202.6 |
Statutory capital and surplus | $1,005.10 | $1,273.60 |
Retirement_Plans_Additional_In
Retirement Plans - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Compensation and Retirement Disclosure [Abstract] | ' | ' | ' |
Rate of contribution on retirement plans of its employees salaries, Maximum | 20.00% | ' | ' |
Total contributions by the Company to the retirement plan | $11.70 | $11.10 | $11 |
ShareBased_Payments_Additional
Share-Based Payments - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nov. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 28, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 21, 2002 | Dec. 31, 2013 | Dec. 31, 2013 | Apr. 06, 2014 | Dec. 31, 2013 | Jun. 30, 2013 | Apr. 30, 2013 | Feb. 28, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 28, 2007 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2004 | Dec. 31, 2009 | Dec. 31, 2003 | 31-May-11 | Mar. 31, 2011 | Feb. 28, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 02, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | |
USD ($) | USD ($) | USD ($) | Employee Stock Option | Employee Stock Option | Performance Share Awards | Performance Share Awards | Performance Share Awards | Investor Options | Investor Options | International Employee Share Purchase Plan | Share Save Scheme | Share Save Scheme | Phantom Shares | Phantom Shares | Phantom Shares | Phantom Shares | Phantom Shares | Phantom Shares | Employee Share Purchase Plan | Employee Share Purchase Plan | Employee Share Purchase Plan | Minimum | Maximum | Wellington Investment | Non Employee Equity Incentive Plan | Non Employee Equity Incentive Plan | Non Employee Equity Incentive Plan | Non-employee directors - 2007 Option grants (July 30) | 2013 Share Incentive Plan | 2003 Share Incentive Plan | Investor Options | Investor Options | Investor Options | 2003 Option grants | 2003 Option grants | 2011 Performance Shares | 2011 Performance Shares | 2011 Performance Shares | 2011 Performance Shares | 2011 Performance Shares | 2011 Performance Shares | Employee Share Purchase Plan | Restricted Share Units | Restricted Share Units | Restricted Share Units | 2012 Performance Shares | 2012 Performance Shares | 2012 Phantom Shares | 2012 Phantom Shares | 2012 Phantom Shares | 2012 Phantom Shares | Performance Share Awards | Performance Share Awards | Performance Share Awards | Predecessor | Achievement One | Achievement One | Achievement One | Achievement One | Achievement One | Achievement Two | Achievement Two | Achievement Two | Achievement Two | Achievement Two | Achievement Two | Achievement Two | Achievement Two | Achievement Three | Achievement Three | Achievement Three | Achievement Three | Achievement Three | Achievement Three | Achievement Three | Achievement Three | Achievement Three | Achievement Three | Achievement Three | ||
USD ($) | USD ($) | Agreement | USD ($) | GBP (£) | GBP (£) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | GBP (£) | Minimum | 2012 Performance Shares | 2013 Performance Shares | 2013 Performance Shares | Performance Shares 2014 | 2012 Performance Shares | 2012 Performance Shares | 2013 Performance Shares | 2013 Performance Shares | 2013 Performance Shares | 2013 Performance Shares | Performance Shares 2014 | Performance Shares 2014 | Maximum | 2012 Performance Shares | 2012 Performance Shares | 2013 Performance Shares | 2013 Performance Shares | 2013 Performance Shares | 2013 Performance Shares | 2012 Phantom Shares | 2012 Phantom Shares | Performance Shares 2014 | Performance Shares 2014 | |||||||||||||||||||||||||||||||||||
Minimum | Maximum | Minimum | Minimum | Maximum | Maximum | Minimum | Maximum | Minimum | Maximum | Minimum | Minimum | Maximum | Maximum | Minimum | Minimum | Minimum | Maximum | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non Employee Share Based Compensation Arrangement With Individual Share Based Payments By Title Of Individual [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of arrangements under options and equity incentive plans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Option to subscribe for ordinary shares of Aspen Holdings (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,787,880 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ordinary shares Issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 426,083 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Subscription Price Payable Under Options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | £ 10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Subscription price increase percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Shares Available for Grant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,845,683 | 595,683 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting period | ' | '3 years | ' | ' | '3 years | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | '2 years | '3 years | ' | '3 years | ' | ' | '3 years | ' | ' | '3 years | '3 years | '3 years | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contract period | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise period | ' | ' | ' | ' | '7 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options exercised | ' | 906,254 | 1,612,242 | ' | 904,242 | 1,243,194 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,012 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation cost | ' | ' | ' | ' | ' | ' | ' | $8,100,000 | $11,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | $1,500,000 | $1,300,000 | $0 | ' | $200,000 | $400,000 | ' | ' | ' | $0 | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,300,000 | $7,600,000 | $7,600,000 | $3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Portion of grant eligible for time based vesting | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 65.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of performance Shares vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Portion of grant eligible for performance based vesting | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options cancelled | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 242,643 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Options vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 476,250 | 695,643 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intrinsic value of options | ' | 17,200,000 | 18,700,000 | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Tax charge recognized, Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted share units grant to employees, time period | ' | '7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total tax credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,900,000 | 1,600,000 | 1,000,000 | ' | ' | ' | ' | ' | ' | 2,000,000 | 3,000,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value adjustment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400,000 | 300,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, Number of Shares | ' | ' | ' | ' | ' | ' | 250,066 | ' | ' | ' | ' | ' | ' | ' | 542 | 6,521 | 152,541 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,902 | 31,669 | 853,223 | 334,125 | ' | ' | ' | 1,624,251 | ' | ' | ' | ' | 278,143 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Instruments other than options forfeited | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 131,168 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Portion of grant eligible for vesting | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33.33% | ' | ' | ' | ' | ' | 33.33% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33.33% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vested, Number of Shares | ' | ' | ' | ' | ' | ' | ' | 25,001 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 315,170 | 169,981 | 0 | ' | 955,316 | ' | ' | 33,012 | 62,930 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional performance shares granted | 10,006 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,300,000 | 1,400,000 | 1,600,000 | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Performance share vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16,812 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,258 | 61,006 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value adjustment on compensation cost | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,400,000 | 100,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Tax credit recognized by the company | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400,000 | 300,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee savings under ESPP | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $500 | £ 500 | £ 250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares Issued | ' | 38,915 | 75,066 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
ROE achieved | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6.00% | 5.00% | 5.00% | 5.00% | 6.00% | 11.00% | 5.00% | 5.00% | 10.00% | 10.00% | 5.00% | 10.00% | ' | 11.00% | 21.00% | 10.00% | 10.00% | 20.00% | 20.00% | ' | ' | 10.00% | 20.00% |
Percentage of performance shares eligible for vesting | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10.00% | 100.00% | 10.00% | 10.00% | 100.00% | 100.00% | 10.00% | 100.00% | ' | 100.00% | 200.00% | ' | ' | 200.00% | 200.00% | 100.00% | 100.00% | 100.00% | 200.00% |
Percentage of shares eligible for vesting | ' | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employee contribution period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase Price Percentage Of Fair Market Value | ' | 85.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Holding period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase In Company's Share Price, Percent | ' | 28.80% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting Adjustment Due To Share Price Increase, Percent | ' | 31.60% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
ShareBased_Payments_Schedule_o
Share-Based Payments - Schedule of Number of Names Options Exercised and Number of Shares Issued (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 3,006,760 |
Options Exercised | 3,006,760 |
Ordinary Shares Issued | 784,001 |
2002 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 3,006,760 |
Options Exercised | 0 |
Ordinary Shares Issued | 0 |
2003 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 440,144 |
Ordinary Shares Issued | 152,583 |
2004 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 856,218 |
Ordinary Shares Issued | 135,321 |
2005 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 303,321 |
Ordinary Shares Issued | 56,982 |
2006 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 34,155 |
Ordinary Shares Issued | 3,757 |
2007 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 66,759 |
Ordinary Shares Issued | 7,381 |
2008 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 20,641 |
Ordinary Shares Issued | 3,369 |
2009 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 9,342 |
Ordinary Shares Issued | 3,056 |
2010 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 149,895 |
Ordinary Shares Issued | 49,538 |
2011 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 761,037 |
Ordinary Shares Issued | 255,504 |
2012 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Granted | 0 |
Options Exercised | 365,248 |
Ordinary Shares Issued | 116,510 |
ShareBased_Payments_Informatio
Share-Based Payments - Information About Employee Options Outstanding to Purchase Ordinary Shares (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Granted | 3,006,760 | ' |
Options Exercised | 3,006,760 | ' |
Exercise Price | $22.45 | $15.72 |
2003 Option grants | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Granted | 3,884,030 | ' |
Options Forfeited | 712,906 | ' |
Options Exercised | 3,171,124 | ' |
Outstanding and Exercisable | 0 | ' |
Exercise Price | $16.20 | ' |
Weighted Average Fair Value at Grant Date | $5.31 | ' |
2004 Option grants | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Granted | 500,113 | ' |
Options Forfeited | 276,082 | ' |
Options Exercised | 196,178 | ' |
Outstanding and Exercisable | 27,853 | ' |
Exercise Price | $24.44 | ' |
Weighted Average Fair Value at Grant Date | $5.74 | ' |
Remaining Contractual Time | '1 year | ' |
2006 Option grants February 16 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Granted | 1,072,490 | ' |
Options Forfeited | 450,567 | ' |
Options Exercised | 470,095 | ' |
Outstanding and Exercisable | 151,828 | ' |
Exercise Price | $23.65 | ' |
Weighted Average Fair Value at Grant Date | $6.99 | ' |
Remaining Contractual Time | '2 years 2 months | ' |
2007 Option grants May 4 | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Granted | 607,641 | ' |
Options Forfeited | 154,181 | ' |
Options Exercised | 347,261 | ' |
Outstanding and Exercisable | 106,199 | ' |
Exercise Price | $27.28 | ' |
Weighted Average Fair Value at Grant Date | $6.14 | ' |
Remaining Contractual Time | '4 months | ' |
ShareBased_Payments_Per_share_
Share-Based Payments - Per share Weighted Average Fair Value and Related Underlying Assumptions Using Modified Black-Scholes Option Pricing Model by Date of Grant (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | ||
22-Oct-07 | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Weighted Average Fair Value at Grant Date | $5.76 | |
Risk free interest rate | 4.09% | |
Dividend yield | 2.10% | |
Expected life | '5 years | |
Share price volatility | 20.28% | |
4-May-07 | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Weighted Average Fair Value at Grant Date | $6.14 | |
Risk free interest rate | 4.55% | |
Dividend yield | 2.20% | |
Expected life | '5 years | |
Share price volatility | 23.76% | |
4-Aug-06 | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Weighted Average Fair Value at Grant Date | $4.41 | |
Risk free interest rate | 5.06% | |
Dividend yield | 2.60% | |
Expected life | '5 years | |
Share price volatility | 19.33% | |
16-Feb-06 | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Weighted Average Fair Value at Grant Date | $6.99 | |
Risk free interest rate | 4.66% | |
Dividend yield | 2.70% | |
Expected life | '5 years | |
Share price volatility | 35.12% | |
23-Dec-04 | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Weighted Average Fair Value at Grant Date | $5.74 | |
Risk free interest rate | 3.57% | |
Dividend yield | 0.50% | |
Expected life | '5 years | |
Share price volatility | 19.68% | |
Foreign currency volatility | 9.40% | |
20-Aug-03 | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Weighted Average Fair Value at Grant Date | $5.31 | [1] |
Risk free interest rate | 4.70% | [1] |
Dividend yield | 0.60% | [1] |
Expected life | '7 years | [1] |
Foreign currency volatility | 9.40% | [1] |
[1] | The 2003 options had a price volatility of zero. The minimum value method was utilized because the Company was unlisted on the date that the options were issued. Foreign currency volatility of 9.40% was applied as the exercise price was initially in British Pounds and the share price of the Company is in U.S. Dollars. |
ShareBased_Payments_Per_share_1
Share-Based Payments - Per share Weighted Average Fair Value and Related Underlying Assumptions Using Modified Black-Scholes Option Pricing Model by Date of Grant (Parenthetical) (Detail) (2003 Option grants) | 12 Months Ended |
Dec. 31, 2013 | |
2003 Option grants | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Foreign currency volatility | 9.40% |
ShareBased_Payments_Restricted
Share-Based Payments - Restricted Share Units (Detail) (Restricted Share Units) | 12 Months Ended |
Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Amount Granted | 1,624,251 |
Amount Vested | 955,316 |
Amount Forfeited | 131,168 |
Amount Outstanding | 537,767 |
2004 - 2010 Grants | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Amount Granted | 782,892 |
Amount Vested | 734,002 |
Amount Forfeited | 48,890 |
Amount Outstanding | 0 |
2011 Grants | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Amount Granted | 183,019 |
Amount Vested | 110,876 |
Amount Forfeited | 19,941 |
Amount Outstanding | 52,202 |
2012 Grants | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Amount Granted | 350,899 |
Amount Vested | 110,438 |
Amount Forfeited | 43,855 |
Amount Outstanding | 196,606 |
2013 Grants | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Amount Granted | 307,441 |
Amount Vested | 0 |
Amount Forfeited | 18,482 |
Amount Outstanding | 288,959 |
ShareBased_Payments_Summary_of
Share-Based Payments - Summary of Performance Shares by Year of Grants (Detail) (Performance Share Awards) | 12 Months Ended | |
Dec. 31, 2013 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Amount Granted | 4,788,835 | |
Amount Vested | 2,341,385 | |
Amount Forfeited | 2,035,533 | |
Amount Outstanding | 411,917 | |
2004 - 2010 Grants | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Amount Granted | 3,303,844 | [1] |
Amount Vested | 1,735,291 | [1] |
Amount Forfeited | 1,568,553 | [1] |
Amount Outstanding | 0 | [1] |
2011 Grants | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Amount Granted | 890,794 | |
Amount Vested | 485,151 | |
Amount Forfeited | 405,643 | |
Amount Outstanding | 0 | |
2012 Grants | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Amount Granted | 344,131 | [2] |
Amount Vested | 95,942 | [2] |
Amount Forfeited | 48,622 | [2] |
Amount Outstanding | 199,567 | [2] |
2013 Grants | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | |
Amount Granted | 250,066 | [2] |
Amount Vested | 25,001 | [2] |
Amount Forfeited | 12,715 | [2] |
Amount Outstanding | 212,350 | [2] |
[1] | The amounts vested and forfeited on the 2004 - 2010 performance share awards have been updated to reflect employees leaving after the financial reporting date but before the final vesting date. | |
[2] | These balances could increase depending on future performance. |
ShareBased_Payments_Summary_of1
Share-Based Payments - Summary of Performance and Phantom Shares Which are Vested, Roe Achieved and Vested (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Phantom Shares Banked | 10.50% |
2011 Performance Shares | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Performance Shares Split, year one | 33.30% |
Performance Shares Split, year two | 33.30% |
Performance Shares Split, year three | 33.30% |
Performance Shares Split, Total | 100.00% |
ROE Achieved in year one | -5.30% |
ROE Achieved in year two | 10.00% |
ROE Achieved in year two | 11.70% |
Performance Shares Banked, year one | 0.00% |
Performance Shares Banked, year two | 33.30% |
Performance Shares Banked, year three | 39.00% |
Performance Shares Banked, Total | 72.30% |
2012 Performance Shares | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Performance Shares Split, year one | 33.30% |
Performance Shares Split, year two | 33.30% |
Performance Shares Split, year three | 33.30% |
Performance Shares Split, Total | 100.00% |
Performance Shares Banked, year one | 21.90% |
Performance Shares Banked, year two | 10.50% |
Performance Shares Banked, Total | 32.40% |
Increase in BVPS, year one | 8.10% |
Increase in BVPS, year two | 6.20% |
2013 Performance Shares | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Performance Shares Split, year one | 33.30% |
Performance Shares Split, year two | 33.30% |
Performance Shares Split, year three | 33.30% |
Performance Shares Split, Total | 100.00% |
Performance Shares Banked, year one | 10.50% |
Performance Shares Banked, Total | 10.50% |
Increase in BVPS, year one | 6.20% |
2012 Phantom Shares | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Increase in BVPS, year one | 8.10% |
Increase in BVPS, year two | 6.20% |
Phantom Shares Split, year one | 33.30% |
Phantom Shares Split, year two | 33.30% |
Phantom Shares Split, year three | 33.30% |
Phantom Shares Split, Total | 100.00% |
Phantom Shares Banked, year one | 21.90% |
Phantom Shares Banked, year two | 10.50% |
Phantom Shares Banked | 32.40% |
2013 Phantom Shares | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Increase in BVPS, year one | 6.20% |
Phantom Shares Split, year one | 33.30% |
Phantom Shares Split, year two | 33.30% |
Phantom Shares Split, year three | 33.30% |
Phantom Shares Split, Total | 100.00% |
Phantom Shares Banked, year one | 10.50% |
ShareBased_Payments_Summary_of2
Share-Based Payments - Summary of Performance Share Activity Under Aspen's 2003 Share Incentive Plan (Detail) (Performance Share Incentive Plan 2003, USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Performance Share Incentive Plan 2003 | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Number of shares outstanding, beginning of period | 750,651 |
Granted, Number of Shares | 250,066 |
Earned | -284,831 |
Amount Forfeited | -118,407 |
Number of shares outstanding, end of period | 597,479 |
Number of shares outstanding ,weighted average grant date fair value beginning of period | $26.68 |
Granted, weighted average grant date fair value | $29.56 |
Earned, weighted average grant date fair value | $27.72 |
Forfeited, weighted average grant date fair value | $28.20 |
Number of shares outstanding, weighted average grant date fair value end of period | $27.15 |
ShareBased_Payments_Amounts_fo
Share-Based Payments - Amounts for Employee Options Granted were Estimated on Date of Grant Using Modified Black-Scholes Option Pricing Model (Detail) (Employee Stock Purchase Plan, USD $) | 12 Months Ended |
Dec. 31, 2013 | |
4-Nov-08 | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $3.18 |
Risk free interest rate | 0.48% |
Dividend yield | 2.70% |
Expected life | '3 years |
Share price volatility | 68.00% |
4-Dec-08 | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $2.87 |
Risk free interest rate | -0.41% |
Dividend yield | 3.16% |
Expected life | '2 years |
Share price volatility | 102.00% |
23-Nov-09 | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $3.76 |
Risk free interest rate | 0.01% |
Dividend yield | 2.28% |
Expected life | '3 years |
Share price volatility | 22.00% |
21-Dec-09 | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $3.82 |
Risk free interest rate | 0.04% |
Dividend yield | 2.34% |
Expected life | '2 years |
Share price volatility | 18.00% |
December 22, 2010 grant one | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $4.24 |
Risk free interest rate | 0.13% |
Dividend yield | 2.07% |
Expected life | '3 years |
Share price volatility | 14.00% |
December 22, 2010 grant two | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $4.46 |
Risk free interest rate | 0.13% |
Dividend yield | 2.07% |
Expected life | '2 years |
Share price volatility | 14.00% |
December 13, 2011 grant one | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $4.20 |
Risk free interest rate | 0.05% |
Dividend yield | 2.80% |
Expected life | '3 years |
Share price volatility | 26.20% |
December 13, 2011 grant two | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $3.85 |
Risk free interest rate | 0.05% |
Dividend yield | 2.75% |
Expected life | '2 years |
Share price volatility | 26.20% |
March 20, 2013 grant one | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $7.79 |
Risk free interest rate | 0.38% |
Dividend yield | 1.88% |
Expected life | '3 years |
Share price volatility | 2.80% |
March 20, 2013 grant two | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per share weighted average fair value | $5.75 |
Risk free interest rate | 0.25% |
Dividend yield | 1.88% |
Expected life | '2 years |
Share price volatility | 3.20% |
ShareBased_Payments_Summary_of3
Share-Based Payments - Summary of Information About Non-employee Director Options Outstanding to Purchase Ordinary Shares (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Options Outstanding | 302,460 | 1,208,787 | 2,831,508 |
Exercise Price | $22.45 | $15.72 | ' |
Non-employee directors - 2006 Option grants (May 25) | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Options Outstanding | 8,870 | ' | ' |
Options Exercisable | 8,870 | ' | ' |
Exercise Price | $21.96 | ' | ' |
Fair Value at Grant Date | $4.24 | ' | ' |
Remaining Contractual Time | '2 years 5 months | ' | ' |
Non-employee directors - 2007 Option grants (July 30) | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Options Outstanding | 2,012 | ' | ' |
Options Exercisable | 2,012 | ' | ' |
Exercise Price | $24.76 | ' | ' |
Fair Value at Grant Date | $4.97 | ' | ' |
Remaining Contractual Time | '3 years 7 months | ' | ' |
ShareBased_Payments_Nonemploye
Share-Based Payments - Non-employee Director Options Granted (Detail) (Stock Incentive Plan To Non Employee Directors Plan, USD $) | 12 Months Ended |
Dec. 31, 2013 | |
30-Jul-07 | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Weighted Average Fair Value at Grant Date | $4.97 |
Risk-free interest rate | 4.64% |
Dividend yield | 2.40% |
Expected life | '5 years |
Share price volatility | 19.55% |
25-May-06 | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Weighted Average Fair Value at Grant Date | $4.24 |
Risk-free interest rate | 4.85% |
Dividend yield | 2.70% |
Expected life | '5 years |
Share price volatility | 20.05% |
ShareBased_Payments_Restricted1
Share-Based Payments - Restricted Share Units Issued to Non-employee Directors (Detail) (Restricted Share Units) | 12 Months Ended |
Dec. 31, 2013 | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' |
Amount Granted | 257,583 |
Amount Vested | -241,596 |
Amount Forfeited | -9,003 |
Amount Outstanding | 6,984 |
Non-Employee Directors b 2011 and prior | ' |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' |
Amount Granted | 109,433 |
Amount Vested | -102,795 |
Amount Forfeited | -6,638 |
Amount Outstanding | 0 |
Non-Employee Directors b 2012 | ' |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' |
Amount Granted | 29,071 |
Amount Vested | -29,071 |
Amount Forfeited | 0 |
Amount Outstanding | 0 |
Non-Employee Directors b 2013 | ' |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' |
Amount Granted | 29,092 |
Amount Vested | -22,108 |
Amount Forfeited | -2,365 |
Amount Outstanding | 4,619 |
Chairman b 2011 and prior | ' |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' |
Amount Granted | 58,094 |
Amount Vested | -58,094 |
Amount Forfeited | 0 |
Amount Outstanding | 0 |
Chairman b 2012 | ' |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' |
Amount Granted | 17,705 |
Amount Vested | -17,705 |
Amount Forfeited | 0 |
Amount Outstanding | 0 |
Chairman b 2013 | ' |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ' |
Amount Granted | 14,188 |
Amount Vested | -11,823 |
Amount Forfeited | 0 |
Amount Outstanding | 2,365 |
ShareBased_Payments_Summary_of4
Share-Based Payments - Summary of Option Activity and Restricted Share Units Activity (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Option Activity | ' | ' |
Outstanding options, beginning of period | 1,208,787 | 2,831,508 |
Exercised, Number of Options | -906,254 | -1,612,242 |
Number of Options Forfeited or expired | -73 | -10,479 |
Outstanding options, end of period | 302,460 | 1,208,787 |
Outstanding Options, Weighted Average Exercise Price, beginning of period | $23.07 | $19.84 |
Options Exercise Price | $22.45 | $15.72 |
Options forfeited or expired, weighted average exercise price | $24.21 | $26.28 |
Outstanding Options, Weighted Average Exercise Price, end of period | $25.02 | $23.07 |
Restricted Share Units | ' | ' |
Restricted share unit activity | ' | ' |
Granted, Number of Shares | 1,624,251 | ' |
Amount Vested | -955,316 | ' |
Amount Forfeited | -131,168 | ' |
Number of shares outstanding, end of period | 537,767 | ' |
Restricted Share Units | Executive Officer | ' | ' |
Restricted share unit activity | ' | ' |
Number of shares outstanding, beginning of period | 488,013 | 319,138 |
Granted, Number of Shares | 350,721 | 393,888 |
Amount Vested | -253,700 | -179,177 |
Amount Forfeited | -40,283 | -45,836 |
Number of shares outstanding, end of period | 544,751 | 488,013 |
Number of shares outstanding ,weighted average grant date fair value beginning of period | $27.81 | $26.58 |
Granted, weighted average grant date fair value | $35.61 | $28.27 |
Vested, weighted average grant date fair value | $23.66 | $21.31 |
Forfeited, weighted average grant date fair value | $31.45 | $27.19 |
Number of shares outstanding, weighted average grant date fair value end of period | $32.13 | $27.81 |
Intangible_Assets_Summary_of_C
Intangible Assets - Summary of Changes in Intangible Assets (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Intangible Assets | ' | ' |
Beginning of the period | $19 | $20 |
Amortization | -0.6 | -1 |
End of the period | 18.4 | 19 |
Trade Mark | ' | ' |
Intangible Assets | ' | ' |
Beginning of the period | 1.6 | 1.6 |
Amortization | 0 | 0 |
End of the period | 1.6 | 1.6 |
Insurance Licenses | ' | ' |
Intangible Assets | ' | ' |
Beginning of the period | 16.6 | 16.6 |
Amortization | 0 | 0 |
End of the period | 16.6 | 16.6 |
Other | ' | ' |
Intangible Assets | ' | ' |
Beginning of the period | 0.8 | 1.8 |
Amortization | -0.6 | -1 |
End of the period | $0.20 | $0.80 |
Intangible_Assets_Additional_I
Intangible Assets - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |||
In Millions, unless otherwise specified | Apr. 05, 2005 | Dec. 31, 2013 | Dec. 31, 2010 | Dec. 31, 2012 | Dec. 31, 2011 |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Aggregate consideration for sale and purchase agreement | $1.60 | ' | $4.80 | ' | ' |
Value of the asset | ' | 18.4 | ' | 19 | 20 |
Acquired licenses | ' | ' | 3.6 | ' | ' |
Fair value of tangible and financial assets, net | ' | ' | 1.2 | ' | ' |
Asset amortization period | ' | '5 years | ' | ' | ' |
Trade Mark | ' | ' | ' | ' | ' |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Value of the asset | ' | 1.6 | ' | 1.6 | 1.6 |
Insurance Licenses | ' | ' | ' | ' | ' |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Value of the asset | ' | 16.6 | ' | 16.6 | 16.6 |
Insurance Licenses | AAIC | ' | ' | ' | ' | ' |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Acquired licenses | ' | 10 | ' | ' | ' |
Insurance Licenses | Aspen Specialty | ' | ' | ' | ' | ' |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Acquired licenses | ' | 4.5 | ' | ' | ' |
Insurance Licenses | Aspen U.K. | ' | ' | ' | ' | ' |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Acquired licenses | ' | 2.1 | ' | ' | ' |
Intangible Asset: Renewal Rights and Distribution Channels | ' | ' | ' | ' | ' |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Acquired licenses | ' | ' | 2.2 | ' | ' |
Intangible Asset: Lock-in Period | ' | ' | ' | ' | ' |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Acquired licenses | ' | ' | 1.4 | ' | ' |
Other | ' | ' | ' | ' | ' |
Finite And Indefinite Lived Intangible Assets By Major Class [Line Items] | ' | ' | ' | ' | ' |
Value of the asset | ' | $0.20 | ' | $0.80 | $1.80 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Schedule of Company's Restricted Assets (Detail) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | ||
Regulatory trusts and deposits: | ' | ' | ||
Total restricted assets | $3,752.60 | $3,721.40 | ||
Total as percent of cash and invested assets | 45.50% | 45.60% | ||
Affiliated transactions | ' | ' | ||
Regulatory trusts and deposits: | ' | ' | ||
Total restricted assets | 685.8 | 598.7 | ||
Third party | ' | ' | ||
Regulatory trusts and deposits: | ' | ' | ||
Total restricted assets | 2,236.40 | 1,933.50 | ||
Letters of credit / guarantees | ' | ' | ||
Regulatory trusts and deposits: | ' | ' | ||
Total restricted assets | $830.40 | [1] | $1,189.20 | [1] |
[1] | As of DecemberB 31, 2013, the Company had pledged funds of $803.7 million and £16.1 million (DecemberB 31, 2012B b $1,163.2 million and £16.0 million) as collateral for the secured letters of credit. |
Commitments_and_Contingencies_2
Commitments and Contingencies - Schedule of Company's Restricted Assets (Parenthetical) (Detail) | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 |
In Millions, unless otherwise specified | USD ($) | GBP (£) | USD ($) | GBP (£) |
Commitments and Contingencies Disclosure [Abstract] | ' | ' | ' | ' |
Securities and cash as collateral secured letters of credit | $803.70 | £ 16.1 | $1,163.20 | £ 16 |
Commitments_and_Contingencies_3
Commitments and Contingencies - Additional Information (Detail) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 27, 2013 | Dec. 27, 2013 | |
USD ($) | USD ($) | AUD | AUD | USD ($) | Interest Rate Swaps | Interest Rate Swaps | Us Multi Beneficiary Trust Fund | Us Multi Beneficiary Trust Fund | Us Surplus Lines Trust Fund | Us Surplus Lines Trust Fund | Us Credit And Surety Lines Trust Fund | Us Credit And Surety Lines Trust Fund | Canadian Trust Fund | Canadian Trust Fund | Swiss Trust Fund | Swiss Trust Fund | Singapore Trust Fund | Singapore Trust Fund | Bermuda | Bermuda | Silverton | Silverton | Aspen Holdings | |
Investment | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | CAD | CAD | CHF | CHF | SGD | SGD | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||
Restricted Cash And Collateral [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Plus reinsurance recoverable on unpaid losses at the end of the year | $332,700,000 | $499,000,000 | ' | ' | $426,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating Leases, Rent Expense | 19,900,000 | 18,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Depreciation, Depletion and Amortization, Nonproduction | 14,400,000 | 21,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated Depreciation | 89,400,000 | 75,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total as percent of cash and invested assets | 45.50% | 45.60% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash, Cash Equivalents, and Short-term Investments | 8,300,000,000 | 8,200,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Assets Held by Insurance Regulators | 346,400,000 | 280,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum capital required | 700,000 | 600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum Trust Fund | ' | ' | ' | ' | ' | ' | ' | 20,000,000 | 20,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage Of Reinsurance Liabilities | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' | ' | ' |
Reinsurance Liabilities | 1,035,900,000 | 901,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 442,200,000 | 295,300,000 | ' | ' | ' |
Assets Held-in-trust | 1,352,200,000 | 1,123,000,000 | 182,100,000 | 184,900,000 | ' | ' | ' | 918,600,000 | 295,600,000 | 146,600,000 | 145,300,000 | 0 | 10,000,000 | 354,400,000 | 346,500,000 | 16,600,000 | 8,300,000 | 67,500,000 | 84,200,000 | ' | ' | ' | ' | ' |
Regulatory Deposits | 6,200,000 | 6,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deposit With States | 7,200,000 | 6,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Collateral provided to counterparties as security for the Company's net liability position | ' | ' | ' | ' | ' | 34,300,000 | 52,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of investments | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of voting shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' |
Loan notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50,000,000 | 65,000,000 | 15,000,000 |
Loan notes issued by third parties | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50,000,000 | 50,000,000 | ' |
Maximum exposure to loss | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $15,000,000 | ' |
Commitments_and_Contingencies_4
Commitments and Contingencies - Amounts Outstanding under Operating Leases (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Leases [Abstract] | ' | ' |
Operating Lease Obligations, Due next year | $11.90 | $11.50 |
Operating Lease Obligations, Due in two years | 12.1 | 11.3 |
Operating Lease Obligations, Due in three years | 8.3 | 10.7 |
Operating Lease Obligations, Due in four years | 7.5 | 7.7 |
Operating Lease Obligations, Due in five years | 6.3 | 6 |
Operating Lease Obligations, Due in later years | 6.5 | 9 |
Operating Lease Obligations, Total | $52.60 | $56.20 |
Concentrations_of_Credit_Risk_1
Concentrations of Credit Risk - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Reinsurance [Line Items] | ' | ' | ' |
Unpaid losses | $332.70 | $499 | $426.60 |
Underwriting premiums | 999 | 1,057.50 | ' |
Due for settlement | $0.90 | ' | ' |
Settlement period | 'more than one year | ' | ' |
Allowable holdings of a single issue or issuer, percentage | 2.00% | ' | ' |
Lloyd's | ' | ' | ' |
Reinsurance [Line Items] | ' | ' | ' |
Reinsurance recoverables | 23.50% | ' | ' |
Munich Re | ' | ' | ' |
Reinsurance [Line Items] | ' | ' | ' |
Reinsurance recoverables | 17.10% | ' | ' |
Concentrations_of_Credit_Risk_2
Concentrations of Credit Risk - Brokers (Detail) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Investment Holdings [Line Items] | ' | ' | ' | |||
Gross written premiums, percentage | 100.00% | 100.00% | 100.00% | |||
Gross written premiums | $2,646.70 | $2,583.30 | $2,207.80 | |||
Aon Corporation | ' | ' | ' | |||
Investment Holdings [Line Items] | ' | ' | ' | |||
Gross written premiums, percentage | 16.80% | 18.50% | 19.50% | |||
Marsh & McLennan Companies, Inc. | ' | ' | ' | |||
Investment Holdings [Line Items] | ' | ' | ' | |||
Gross written premiums, percentage | 15.00% | 15.80% | 18.90% | |||
Willis Group Holdings, Ltd. | ' | ' | ' | |||
Investment Holdings [Line Items] | ' | ' | ' | |||
Gross written premiums, percentage | 14.40% | 15.10% | 16.10% | |||
Others | ' | ' | ' | |||
Investment Holdings [Line Items] | ' | ' | ' | |||
Gross written premiums, percentage | 53.80% | [1] | 50.60% | [1] | 45.50% | [1] |
[1] | No other individual broker accounted for more than 10% of total gross written premiums. |
Concentrations_of_Credit_Risk_3
Concentrations of Credit Risk - Brokers (Parenthetical) (Detail) | 3 Months Ended |
Dec. 31, 2013 | |
Risks and Uncertainties [Abstract] | ' |
Written premium major broker accounted percentage | 10.00% |
Reclassifications_from_Accumul2
Reclassifications from Accumulated Other Comprehensive Income - Schedule of Accumulated Other Comprehensive Income Reclassification (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Available for sale securities: | ' |
Realized gain on sale of securities | $24.60 |
Realized (loss) on sale of securities | -0.5 |
Net realized and unrealized investment gains reclassified to the statement of operations, gross of tax | 24.1 |
Tax on realized gains and (losses) of securities | 0.7 |
Net realized and unrealized investment gains reclassified to the statement of operations, net of tax | 23.4 |
Foreign currency translation adjustments: | ' |
Realized translation adjustments, before tax | -1.9 |
Tax credit on realized translation adjustments | 0.4 |
Net realized and unrealized foreign exchange investment gains reclassified to the statement of operations, net of tax | -1.5 |
Amortization of derivatives: | ' |
Amortization of long-term debt associated expenses, before tax | -0.5 |
Amortization of long-term debt associated expenses, net of tax | -0.5 |
Total reclassifications from AOCI to the statement of operations, net of tax | $21.40 |
Credit_Facility_and_Longterm_D2
Credit Facility and Long-term Debt - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 0 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Millions, unless otherwise specified | Jun. 20, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Aug. 21, 2013 | Dec. 31, 2012 | Feb. 28, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jul. 30, 2012 | Aug. 12, 2011 | Apr. 29, 2009 | Oct. 29, 2008 | Jul. 31, 2012 | Jul. 31, 2012 | Jul. 30, 2010 | Nov. 15, 2013 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2004 | Nov. 13, 2013 | Dec. 15, 2010 | Aug. 16, 2004 | Dec. 31, 2013 | Dec. 27, 2013 |
Barclays Bank Plc | Barclays Bank Plc | Barclays Bank Plc | Barclays Bank Plc | Citibank Europe | Citibank Europe | Citibank Europe | Citibank Europe | Citibank Europe | Citibank Europe | Tranche I | Tranche II | Three Year Revolving Credit Facility | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Senior Notes | Silverton | Silverton | |||||
Line Of Credit Facility Covenant Compliance [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility, credit agreement maximum limit | $200 | ' | ' | ' | ' | $100 | ' | $200 | ' | ' | $950 | $1,050 | $550 | $450 | ' | ' | $280 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility Increasable capacity | 100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 75 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum consolidated tangible net worth under credit facility | ' | 2,428.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of consolidated net income | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of aggregate net cash proceeds from the issuance of capital stock | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of consolidated leverage ratio permitted | ' | 35.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit facility borrowings outstanding | ' | 0 | ' | ' | 18.9 | ' | 37.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding collateralized letters of credit facility | ' | ' | ' | ' | ' | ' | ' | ' | 516.8 | 839.1 | ' | ' | ' | ' | 650 | 300 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300 | 250 | 250 | 50 | 65 |
Total net realized and unrealized investment gains recorded in the statement of operations | ' | 36.4 | 26.8 | 30.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9.3 | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate of senior notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.65% | 6.00% | ' | ' | ' |
Net proceeds from senior notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 299.7 | 247.5 | 249.3 | ' | ' | ' | ' | ' |
Amount of indebtedness subject to default in payment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50 | ' | ' | ' | ' | ' | ' | ' |
Loan notes issued by third parties | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50 | 50 |
Maximum exposure to loss | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15 |
Annual interest payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $29 | ' | ' | ' | ' | ' | ' | ' |
Credit_Facility_and_Longterm_D3
Credit Facility and Long-term Debt - Summary of Contractual Obligations Under Long-term Debts (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Debt Disclosure [Abstract] | ' |
Long-term Debt Obligations, Less than 1 year | $0 |
Long-term Debt Obligations, 1-3 years | 0 |
Long-term Debt Obligations, 3-5 years | 0 |
Long-term Debt Obligations, More than 5 years | 550 |
Long-term Debt Obligations | $550 |
Unaudited_Quarterly_Financial_2
Unaudited Quarterly Financial Data - Summary of Quarterly Financial Data (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||
Net earned premium | $572.60 | $544.30 | $544 | $510.90 | $558.50 | $516.20 | $513.40 | $495.40 | $489.40 | $486.90 | $459.80 | $452.40 | $2,171.80 | $2,083.50 | $1,888.50 | |||||||
Net investment income | 47.2 | 45 | 45.9 | 48.3 | 51.1 | 48.6 | 52.8 | 52.4 | 54.2 | 57.3 | 58.6 | 55.5 | 186.4 | 204.9 | 225.6 | |||||||
Realized and unrealized investment gains | 2.6 | 23.6 | 14.4 | 16.3 | 6.1 | 13.2 | 5.4 | 10.7 | 11.8 | 8.8 | 11 | 15.2 | 56.9 | 35.4 | 46.8 | |||||||
Other income | 4.6 | 1.6 | 0.9 | 1.1 | -3.4 | 4.8 | 3.5 | 0.7 | 7.7 | -4.7 | 6.7 | 0.8 | 8.2 | 5.6 | 10.5 | |||||||
Total revenues | 627 | 614.5 | 605.2 | 576.6 | 612.3 | 582.8 | 575.1 | 559.2 | 563.1 | 548.3 | 536.1 | 523.9 | 2,423.30 | 2,329.40 | 2,171.40 | |||||||
Losses and loss adjustment expenses | -331.4 | -290.2 | -333.4 | -268.7 | -437.4 | -255 | -262.1 | -284 | -394.5 | -306.2 | -326.4 | -528.9 | -1,223.70 | -1,238.50 | -1,556 | |||||||
Amortization of deferred policy acquisition costs | 99.7 | 110.5 | 107.2 | 104.6 | 80 | 103.1 | 102 | 96.1 | 85.5 | 93.4 | 86.7 | 81.4 | 422 | 381.2 | 347 | |||||||
Operating and administrative expenses | 94.9 | 98.9 | 87.7 | 86.6 | 86.1 | 90.7 | 83.5 | 84.8 | 79.3 | 72 | 70.7 | 62.5 | 368.1 | 345.1 | 284.5 | |||||||
Interest on long-term debt | 9.5 | 7.7 | 7.8 | 7.7 | 7.7 | 7.8 | 7.7 | 7.7 | 7.7 | 7.7 | 7.7 | 7.7 | 32.7 | 30.9 | 30.8 | |||||||
Derivative, Gain (Loss) on Derivative, Net | -1.8 | -6.6 | 2.9 | 4.2 | 4.4 | 4.9 | 11.6 | 7.5 | 4.2 | 30 | 22.3 | 3.4 | -1.3 | 28.4 | 59.9 | |||||||
Realized and unrealized investment losses | -7.5 | 5.9 | 21 | 1.1 | 0.4 | 2.4 | 4.1 | 1.7 | 2.9 | 5.6 | 1.2 | 6.8 | 20.5 | 8.6 | 16.5 | |||||||
Net realized and unrealized foreign exchange (losses) | 6.1 | -2.4 | 4.1 | 5.4 | -3.9 | -4.5 | 12.7 | -7.7 | -3.6 | 5.8 | 10.9 | -6.4 | 13.2 | -3.4 | 6.7 | |||||||
Other expenses | 1.1 | 0 | 0 | 0.6 | 2.8 | 0.3 | 0.6 | 1 | 4 | 4.4 | 0 | 8.9 | 1.7 | 4.7 | 17.3 | |||||||
Total expenses | 533.4 | 504.2 | 564.1 | 478.9 | 614.9 | 459.7 | 484.3 | 475.1 | 574.5 | 525.1 | 525.9 | 693.2 | 2,080.60 | 2,034 | 2,318.70 | |||||||
Income/(loss) from operations before income tax | 93.6 | 110.3 | 41.1 | 97.7 | -2.6 | 123.1 | 90.8 | 84.1 | -11.4 | 23.2 | 10.2 | -169.3 | 342.7 | 295.4 | -147.3 | |||||||
Income tax expense | -3.6 | -2.9 | -1 | -5.9 | 4.6 | -8 | -6.2 | -5.4 | 23.9 | -2 | -1.2 | 16.5 | -13.4 | -15 | 37.2 | |||||||
Net (loss) | $90 | $107.40 | $40.10 | $91.80 | $2 | $115.10 | $84.60 | $78.70 | $12.50 | $21.20 | $9 | ($152.80) | $329.30 | $280.40 | ($110.10) | |||||||
Ordinary shares: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||
Basic weighted average ordinary shares | 65,593,669 | 66,716,202 | 66,191,426 | 68,854,286 | 71,007,079 | 71,129,102 | 71,303,855 | 70,943,997 | 70,615,233 | [1] | 70,699,343 | [1] | 70,792,483 | [1] | 70,551,849 | [1] | 66,872,048 | [2] | 71,095,856 | [2] | 70,665,166 | [1],[2] |
Total diluted weighted average ordinary shares | 67,051,993 | 68,561,515 | 69,291,324 | 72,452,705 | 71,007,079 | 73,397,796 | 73,845,903 | 73,832,734 | 73,260,574 | [1] | 73,299,985 | [1] | 73,568,910 | [1] | 70,551,849 | [1] | 69,417,903 | [2] | 73,689,423 | [2] | 70,665,166 | [1],[2] |
Weighted average number of ordinary share and share equivalents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||||
Basic | $1.23 | $1.47 | $0.38 | $1.21 | ($0.09) | $1.50 | $1.07 | $1.03 | $0.09 | $0.21 | $0.05 | ($2.25) | $4.29 | $3.51 | ($1.88) | |||||||
Diluted | $1.21 | $1.43 | $0.36 | $1.15 | ($0.09) | $1.45 | $1.03 | $0.99 | $0.09 | $0.21 | $0.05 | ($2.25) | $4.14 | $3.39 | ($1.88) | |||||||
[1] | The basic and diluted number of ordinary shares for the three months ended March 31, 2011 and the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. | |||||||||||||||||||||
[2] | The basic and diluted number of ordinary shares for the twelve months ended December 31, 2011 is the same, as the inclusion of dilutive securities in a loss-making period would be anti-dilutive. |
Schedule_II_Condensed_Financia1
Schedule II - Condensed Financial Information of Registrant - Balance Sheets (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents (including cash within consolidated variable interest entities of $50.0 and $Nil) | $1,293,600,000 | $1,463,600,000 | $1,239,100,000 | $1,179,100,000 |
Other assets | 2,200,000 | 18,200,000 | ' | ' |
Total assets | 10,230,500,000 | 10,310,600,000 | ' | ' |
LIABILITIES | ' | ' | ' | ' |
Accrued expenses and other payables | 265,600,000 | 249,300,000 | ' | ' |
Long-term debt | 549,000,000 | 499,100,000 | ' | ' |
Total liabilities | 6,930,900,000 | 6,822,200,000 | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
65,546,976 shares of par value 0.15144558B" each (December 31, 2012 b 70,753,723) | 99,000 | 107,000 | ' | ' |
Additional paid in capital | 1,297,400,000 | 1,516,700,000 | ' | ' |
Retained earnings | 1,783,300,000 | 1,544,000,000 | ' | ' |
Non-controlling interest | -300,000 | 200,000 | ' | ' |
Accumulated other comprehensive income, net of taxes | 219,100,000 | 427,400,000 | 428,900,000 | ' |
Total shareholdersb equity | 3,299,600,000 | 3,488,400,000 | 3,156,000,000 | ' |
Total liabilities and shareholdersb equity | 10,230,500,000 | 10,310,600,000 | ' | ' |
5.950% Preference Shares | ' | ' | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
Preference shares, value | 17,000 | 0 | ' | ' |
5.625% Preference Shares | ' | ' | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
Preference shares, value | 0 | 7,000 | ' | ' |
7.401% Preference Shares | ' | ' | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
Preference shares, value | 8,000 | 8,000 | ' | ' |
7.250% Preference Shares | ' | ' | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
Preference shares, value | 10,000 | 10,000 | ' | ' |
Parent | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Cash and cash equivalents (including cash within consolidated variable interest entities of $50.0 and $Nil) | 94,200,000 | 192,300,000 | 125,300,000 | 354,000,000 |
Investments in subsidiaries | 3,153,700,000 | 2,715,300,000 | ' | ' |
Other investments | 39,300,000 | 36,200,000 | ' | ' |
Eurobond issued by subsidiary | 571,900,000 | 970,000,000 | ' | ' |
Long-term debt issued by subsidiaries | 15,000,000 | 0 | ' | ' |
Intercompany funds due from affiliates | 0 | 86,000,000 | ' | ' |
Other assets | 9,300,000 | 6,400,000 | ' | ' |
Total assets | 3,883,400,000 | 4,006,200,000 | ' | ' |
LIABILITIES | ' | ' | ' | ' |
Accrued expenses and other payables | 14,600,000 | 18,700,000 | ' | ' |
Intercompany funds due to affiliates | 20,200,000 | 0 | ' | ' |
Long-term debt | 549,000,000 | 499,100,000 | ' | ' |
Total liabilities | 583,800,000 | 517,800,000 | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
65,546,976 shares of par value 0.15144558B" each (December 31, 2012 b 70,753,723) | 100,000 | 100,000 | ' | ' |
Additional paid in capital | 1,297,400,000 | 1,516,700,000 | ' | ' |
Retained earnings | 1,783,300,000 | 1,544,000,000 | ' | ' |
Non-controlling interest | -300,000 | 200,000 | ' | ' |
Unrealized gains on investments | 130,500,000 | 315,200,000 | ' | ' |
Loss on derivatives | 0 | -500,000 | ' | ' |
Gains on foreign currency translation | 88,600,000 | 112,700,000 | ' | ' |
Accumulated other comprehensive income, net of taxes | 219,100,000 | 427,400,000 | ' | ' |
Total shareholdersb equity | 3,299,600,000 | 3,488,400,000 | ' | ' |
Total liabilities and shareholdersb equity | 3,883,400,000 | 4,006,200,000 | ' | ' |
Parent | 5.950% Preference Shares | ' | ' | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
Preference shares, value | 0 | 0 | ' | ' |
Parent | 5.625% Preference Shares | ' | ' | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
Preference shares, value | 0 | 0 | ' | ' |
Parent | 7.401% Preference Shares | ' | ' | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
Preference shares, value | 0 | 0 | ' | ' |
Parent | 7.250% Preference Shares | ' | ' | ' | ' |
SHAREHOLDERSb EQUITY | ' | ' | ' | ' |
Preference shares, value | $0 | $0 | ' | ' |
Schedule_II_Condensed_Financia2
Schedule II - Condensed Financial Information of Registrant - Balance Sheets (Parentheticals) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2006 | Dec. 31, 2005 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 30, 2006 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Parent | Parent | 5.950% Preference Shares | 5.950% Preference Shares | 5.950% Preference Shares | 5.950% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 5.625% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | 7.401% Preference Shares | 7.250% Preference Shares | 7.250% Preference Shares | 7.250% Preference Shares | 7.250% Preference Shares | ||||
Parent | Parent | Parent | Parent | Parent | Parent | Parent | Parent | |||||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ordinary shares, issued | 65,546,976 | 70,753,723 | 70,655,698 | 65,546,976 | 70,753,723 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ordinary shares, par value | $0.15 | $0.15 | ' | $0.00 | $0.00 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preference shares, issued | ' | ' | ' | ' | ' | 11,000,000 | 0 | 11,000,000 | 11,000,000 | 0 | 4,600,000 | 4,600,000 | 4,600,000 | 0 | 4,600,000 | 5,327,500 | 5,327,500 | 8,000,000 | 5,327,500 | 5,327,500 | 6,400,000 | 6,400,000 | 6,400,000 | 6,400,000 |
Preference shares, rate | ' | ' | ' | ' | ' | 5.95% | 5.95% | 5.95% | 5.95% | 5.63% | 5.63% | ' | ' | 5.63% | 5.63% | 7.40% | 7.40% | ' | 7.40% | 7.40% | 7.25% | 7.25% | 7.25% | 7.25% |
Preference shares, par value | $0.15 | $0.15 | ' | ' | ' | $0.15 | $0.15 | $0.00 | $0.00 | $0.15 | $0.15 | ' | ' | $0.00 | $0.00 | $0.15 | $0.15 | ' | $0.00 | $0.00 | $0.15 | $0.15 | $0.00 | $0.00 |
Schedule_II_Condensed_Financia3
Schedule II - Condensed Financial Information of Registrant - Statements of Operations and Comprehensive Income (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividend income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $195.90 | $213.60 | $233.50 |
Other income | 4.6 | 1.6 | 0.9 | 1.1 | -3.4 | 4.8 | 3.5 | 0.7 | 7.7 | -4.7 | 6.7 | 0.8 | 8.2 | 5.6 | 10.5 |
Total Revenues | 627 | 614.5 | 605.2 | 576.6 | 612.3 | 582.8 | 575.1 | 559.2 | 563.1 | 548.3 | 536.1 | 523.9 | 2,423.30 | 2,329.40 | 2,171.40 |
Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating and administrative expenses | -94.9 | -98.9 | -87.7 | -86.6 | -86.1 | -90.7 | -83.5 | -84.8 | -79.3 | -72 | -70.7 | -62.5 | -368.1 | -345.1 | -284.5 |
Income from operations before income tax | 93.6 | 110.3 | 41.1 | 97.7 | -2.6 | 123.1 | 90.8 | 84.1 | -11.4 | 23.2 | 10.2 | -169.3 | 342.7 | 295.4 | -147.3 |
Income tax expense | -3.6 | -2.9 | -1 | -5.9 | 4.6 | -8 | -6.2 | -5.4 | 23.9 | -2 | -1.2 | 16.5 | -13.4 | -15 | 37.2 |
Net income | 90 | 107.4 | 40.1 | 91.8 | 2 | 115.1 | 84.6 | 78.7 | 12.5 | 21.2 | 9 | -152.8 | 329.3 | 280.4 | -110.1 |
Add: Loss attributable to non-controlling interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.5 | 0.2 | 0.1 |
Net income/(loss) attributable to Aspen Insurance Holdings Limited ordinary shareholders | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 329.8 | 280.6 | -110 |
Other Comprehensive Income: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Change in unrealized losses on investments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -184.7 | 9.8 | 93.5 |
Other comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -208.3 | -1.5 | 104.6 |
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 121.5 | 279.1 | -5.4 |
Parent | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity in net (loss)/earnings of subsidiaries | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 40.6 | 160.6 | -311.5 |
Dividend income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 301.8 | 100 | 185 |
Interest income on Eurobond | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 44.6 | 56.5 | 52 |
Realized investment gains | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -6.3 | 3.2 | 3.1 |
Other income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.9 | 3.4 | 4 |
Total Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 382.6 | 323.7 | -67.4 |
Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -20.6 | -12.4 | -11.9 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -32.7 | -30.9 | -30.8 |
Income from operations before income tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 329.3 | 280.4 | -110.1 |
Income tax expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Net income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 329.3 | 280.4 | -110.1 |
Add: Loss attributable to non-controlling interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.5 | 0.2 | 0.1 |
Net income/(loss) attributable to Aspen Insurance Holdings Limited ordinary shareholders | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 329.8 | 280.6 | -110 |
Other Comprehensive Income: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Change in unrealized losses on investments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -184.7 | 9.8 | 93.5 |
Loss on derivatives reclassified to interest expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.5 | 0.2 | 0.3 |
Change in unrealized gains on foreign currency translation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -24.1 | -11.5 | 10.8 |
Other comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -208.3 | -1.5 | 104.6 |
Comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $121.50 | $279.10 | ($5.40) |
Schedule_II_Condensed_Financia4
Schedule II - Condensed Financial Information of Registrant - Statements of Cash Flows (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Share-based compensation | $21.40 | $17.80 | $4 |
Net cash generated by operating activities | 566.4 | 496.4 | 343.5 |
Cash flows (used in)/from investing activities: | ' | ' | ' |
Net cash (used in)/from investing activities | -497.9 | -317.2 | -210.5 |
Cash flows (used in)/from financing activities: | ' | ' | ' |
Proceeds from the issuance of ordinary shares, net of issuance costs | 21.2 | 22.1 | 0.8 |
Proceeds from the issuance of preference shares, net of issuance costs | 270.6 | 154.5 | 0 |
PIERS redeemed and cancelled | -230 | 0 | 0 |
Ordinary share repurchase | -309.6 | -62.7 | -8.1 |
Make whole payment | -9.3 | 0 | 0 |
Proceeds from long term debt | 50 | 0 | 0 |
Debt redemption | -250 | 0 | 0 |
Net cash (used in)/from financing activities | -240.8 | 35.7 | -72.7 |
Increase in cash and cash equivalents | -170 | 224.5 | 60 |
Cash and cash equivalents at beginning of period | 1,463.60 | 1,239.10 | 1,179.10 |
Cash and cash equivalents at end of period | 1,293.60 | 1,463.60 | 1,239.10 |
Parent | ' | ' | ' |
Cash flows from operating activities: | ' | ' | ' |
Net income (excluding equity in net earnings of subsidiaries) | 288.8 | 119.8 | 201.4 |
Share-based compensation | 21.4 | 17.8 | 4 |
Realized and unrealized losses/(gains) | 6.3 | -3.2 | -3.1 |
Loss on derivative reclassified to interest expense | 0.5 | 0.2 | 0.3 |
Change in other assets | -2.8 | 1.1 | 0.9 |
Change in accrued expenses and other payables | -5.5 | 4 | -4.4 |
Change in intercompany activities | 104.3 | -58.5 | 11.8 |
Net cash generated by operating activities | 413 | 81.2 | 210.9 |
Cash flows (used in)/from investing activities: | ' | ' | ' |
Investment in subsidiaries | -605.4 | ' | ' |
Investment in long-term debt issued by subsidiary | -15 | 0 | 0 |
Net cash (used in)/from investing activities | -620.4 | ' | ' |
Cash flows (used in)/from financing activities: | ' | ' | ' |
Proceeds from the issuance of ordinary shares, net of issuance costs | 21.2 | 22.1 | 0.8 |
Proceeds from the issuance of preference shares, net of issuance costs | 270.6 | 154.5 | 0 |
PIERS redeemed and cancelled | -230 | 0 | 0 |
Ordinary share repurchase | -309.6 | -62.7 | -8.1 |
Make whole payment | -9.3 | 0 | 0 |
Proceeds from long term debt | 299.7 | 0 | 0 |
Debt redemption | -250 | 0 | 0 |
Ordinary and preference share dividends paid | -83.3 | -78.1 | -65.3 |
Proceeds from maturity of Eurobond | 400 | 50 | 0 |
Eurobond purchased from subsidiary | 0 | -100 | -367 |
Net cash (used in)/from financing activities | 109.3 | -14.2 | -439.6 |
Increase in cash and cash equivalents | -98.1 | 67 | -228.7 |
Cash and cash equivalents at beginning of period | 192.3 | 125.3 | 354 |
Cash and cash equivalents at end of period | $94.20 | $192.30 | $125.30 |
Schedule_III_Supplementary_Ins1
Schedule III - Supplementary Insurance Information - (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Deferred Policy Acquisition Costs | $262.20 | ' | ' | ' | $223 | ' | ' | ' | $184.50 | ' | ' | ' | $262.20 | $223 | $184.50 |
Net reserves for loss and loss adjustment expenses | 4,346.20 | ' | ' | ' | 4,280.70 | ' | ' | ' | 4,098.60 | ' | ' | ' | 4,346.20 | 4,280.70 | 4,098.60 |
Net Reserves for Unearned Premiums | 1,128.70 | ' | ' | ' | 998.2 | ' | ' | ' | 828.3 | ' | ' | ' | 1,128.70 | 998.2 | 828.3 |
Net earned premium | 572.6 | 544.3 | 544 | 510.9 | 558.5 | 516.2 | 513.4 | 495.4 | 489.4 | 486.9 | 459.8 | 452.4 | 2,171.80 | 2,083.50 | 1,888.50 |
Net Investment Income | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 186.4 | 204.9 | 225.6 |
Losses and LAE Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,223.70 | 1,238.50 | 1,556 |
Policy Acquisition Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 422 | 381.2 | 347 |
Net written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,299.70 | 2,246.90 | 1,929.10 |
General and Administrative Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 316.9 | 292.1 | 239.8 |
Reinsurance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred Policy Acquisition Costs | 131.9 | ' | ' | ' | 109.4 | ' | ' | ' | 80.4 | ' | ' | ' | 131.9 | 109.4 | 80.4 |
Net reserves for loss and loss adjustment expenses | 2,646.80 | ' | ' | ' | 2,811.30 | ' | ' | ' | 2,770 | ' | ' | ' | 2,646.80 | 2,811.30 | 2,770 |
Net Reserves for Unearned Premiums | 529.9 | ' | ' | ' | 469.1 | ' | ' | ' | 393.3 | ' | ' | ' | 529.9 | 469.1 | 393.3 |
Net earned premium | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,073 | 1,132.40 | 1,108.30 |
Losses and LAE Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 481.7 | 635.3 | 1,083.30 |
Policy Acquisition Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 207.2 | 207.8 | 197.7 |
Net written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,082 | 1,156.90 | 1,098.10 |
General and Administrative Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 131 | 123.9 | 111.8 |
Insurance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred Policy Acquisition Costs | 130.3 | ' | ' | ' | 113.6 | ' | ' | ' | 104.1 | ' | ' | ' | 130.3 | 113.6 | 104.1 |
Net reserves for loss and loss adjustment expenses | 1,699.40 | ' | ' | ' | 1,469.40 | ' | ' | ' | 1,328.60 | ' | ' | ' | 1,699.40 | 1,469.40 | 1,328.60 |
Net Reserves for Unearned Premiums | 598.8 | ' | ' | ' | 529.1 | ' | ' | ' | 435 | ' | ' | ' | 598.8 | 529.1 | 435 |
Net earned premium | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,098.80 | 951.1 | 780.2 |
Losses and LAE Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 742 | 603.2 | 472.7 |
Policy Acquisition Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 214.8 | 173.4 | 149.3 |
Net written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,217.70 | 1,090 | 831 |
General and Administrative Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $185.90 | $168.20 | $128 |
Schedule_IV_Reinsurance_Premiu
Schedule IV - Reinsurance - Premiums Written and Premiums Earned (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2011 | Jun. 30, 2011 | Mar. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Supplemental Schedule of Reinsurance Premiums for Insurance Companies [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Direct | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,512.80 | $1,355.40 | $1,020.30 |
Assumed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,133.90 | 1,227.90 | 1,187.50 |
Ceded | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -347 | -336.4 | -278.7 |
Net written premiums | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,299.70 | 2,246.90 | 1,929.10 |
Gross Amount Premiums Earned | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,366.80 | 1,177 | 950.5 |
Ceded to Other Companies Premiums Earned | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -321.6 | -301.5 | -252.6 |
Assumed From Other Companies Premiums Earned | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,126.60 | 1,208 | 1,190.60 |
Net Amount Premiums Earned | $572.60 | $544.30 | $544 | $510.90 | $558.50 | $516.20 | $513.40 | $495.40 | $489.40 | $486.90 | $459.80 | $452.40 | $2,171.80 | $2,083.50 | $1,888.50 |
Percentage of Amount Assumed to Net Premiums Earned | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 51.90% | 58.00% | 63.00% |
Schedule_V_Valuation_and_Quali1
Schedule V - Valuation and Qualifying Accounts - (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Premiums Receivable | ' | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' |
Balance at Beginning of Year | $0.10 | $0 | $1.50 |
Charged to Costs and Expenses | 1 | 0.1 | -1.5 |
Charged to Other Accounts | ' | ' | ' |
Deductions | ' | ' | ' |
Balance at End of Year | 1.1 | 0.1 | 0 |
Reinsurance | ' | ' | ' |
Valuation and Qualifying Accounts Disclosure [Line Items] | ' | ' | ' |
Balance at Beginning of Year | 0.2 | 0.2 | 0.2 |
Charged to Costs and Expenses | -0.2 | ' | ' |
Charged to Other Accounts | ' | ' | ' |
Deductions | ' | ' | ' |
Balance at End of Year | $0 | $0.20 | $0.20 |