Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2020 | May 04, 2020 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-14428 | |
Entity Central Index Key | 0000913144 | |
Current Fiscal Year End Date | --12-31 | |
Entity Registrant Name | RENAISSANCERE HOLDINGS LTD | |
Entity Incorporation, State or Country Code | D0 | |
Entity Tax Identification Number | 98-0141974 | |
Entity Address, Address Line One | Renaissance House | |
Entity Address, Address Line Two | 12 Crow Lane | |
Entity Address, City or Town | Pembroke | |
Entity Address, Country | BM | |
Entity Address, Postal Zip Code | HM 19 | |
City Area Code | 441 | |
Local Phone Number | 295-4513 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding (in shares) | 44,033,618 | |
Common shares | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Common Shares, Par Value $1.00 per share | |
Trading Symbol | RNR | |
Security Exchange Name | NYSE | |
Series E 5.375% Preference Shares, Par Value $1.00 per share | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Series E 5.375% Preference Shares, Par Value $1.00 per share | |
Trading Symbol | RNR PRE | |
Security Exchange Name | NYSE | |
Depositary Shares, each representing a 1/1,000th interest in a Series F 5. | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares, each representing a 1/1,000th interest in a Series F 5.750% Preference Share, Par Value $1.00 per share | |
Trading Symbol | RNR PRF | |
Security Exchange Name | NYSE |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Assets | ||
Fixed maturity investments trading, at fair value – amortized cost $10,941,672 at March 31, 2020 (December 31, 2019 – $11,067,414) | $ 11,045,801 | $ 11,171,655 |
Short term investments, at fair value | 5,263,242 | 4,566,277 |
Equity investments trading, at fair value | 360,444 | 436,931 |
Other investments, at fair value | 1,058,714 | 1,087,377 |
Investments in other ventures, under equity method | 90,396 | 106,549 |
Total investments | 17,818,597 | 17,368,789 |
Cash and cash equivalents | 896,216 | 1,379,068 |
Premiums receivable | 3,105,441 | 2,599,896 |
Prepaid reinsurance premiums | 1,151,926 | 767,781 |
Reinsurance recoverable | 2,765,583 | 2,791,297 |
Accrued investment income | 73,496 | 72,461 |
Deferred acquisition costs and value of business acquired | 739,875 | 663,991 |
Receivable for investments sold | 341,786 | 78,369 |
Other assets | 312,523 | 346,216 |
Goodwill and other intangible assets | 260,076 | 262,226 |
Total assets | 27,465,519 | 26,330,094 |
Liabilities | ||
Reserve for claims and claim expenses | 9,406,707 | 9,384,349 |
Unearned premiums | 3,245,914 | 2,530,975 |
Debt | 1,134,695 | 1,384,105 |
Reinsurance balances payable | 3,775,375 | 2,830,691 |
Payable for investments purchased | 636,136 | 225,275 |
Other liabilities | 351,320 | 932,024 |
Total liabilities | 18,550,147 | 17,287,419 |
Commitments and Contingencies | ||
Redeemable noncontrolling interests | 3,231,846 | 3,071,308 |
Shareholders’ Equity | ||
Preference shares: $1.00 par value – 11,010,000 shares issued and outstanding at March 31, 2020 (December 31, 2019 – 16,010,000) | 525,000 | 650,000 |
Common shares: $1.00 par value – 44,033,618 shares issued and outstanding at March 31, 2020 (December 31, 2019 – 44,148,116) | 44,034 | 44,148 |
Additional paid-in capital | 502,608 | 568,277 |
Accumulated other comprehensive loss | (1,664) | (1,939) |
Retained earnings | 4,613,548 | 4,710,881 |
Total shareholders’ equity attributable to RenaissanceRe | 5,683,526 | 5,971,367 |
Total liabilities, noncontrolling interests and shareholders’ equity | $ 27,465,519 | $ 26,330,094 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Fixed maturity investments trading, amortized cost | $ 10,941,672 | $ 11,067,414 |
Preference shares, par value (In dollars per share) | $ 1 | $ 1 |
Preference shares, shares issued (In shares) | 11,010,000 | 16,010,000 |
Preference shares, shares outstanding (In shares) | 11,010,000 | 16,010,000 |
Common shares, par value (In dollars per share) | $ 1 | $ 1 |
Common shares, shares issued (In shares) | 44,033,618 | 44,148,116 |
Common shares, shares outstanding (In shares) | 44,033,618 | 44,148,116 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Revenues | ||
Gross premiums written | $ 2,025,721 | $ 1,564,295 |
Net premiums written | 1,269,808 | 929,031 |
Increase in unearned premiums | (356,710) | (379,003) |
Net premiums earned | 913,098 | 550,028 |
Net investment income | 99,473 | 82,094 |
Net foreign exchange losses | (5,728) | (2,846) |
Equity in earnings of other ventures | 4,564 | 4,661 |
Other (loss) income | (4,436) | 3,171 |
Net realized and unrealized (losses) gains on investments | (110,707) | 170,013 |
Total revenues | 896,264 | 807,121 |
Expenses | ||
Net claims and claim expenses incurred | 570,954 | 227,035 |
Acquisition expenses | 210,604 | 123,951 |
Operational expenses | 67,461 | 44,933 |
Corporate expenses | 15,991 | 38,789 |
Interest expense | 14,927 | 11,754 |
Total expenses | 879,937 | 446,462 |
Income before taxes | 16,327 | 360,659 |
Income tax benefit (expense) | 8,846 | (7,531) |
Net income | 25,173 | 353,128 |
Net income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Net (loss) income attributable to RenaissanceRe | (72,918) | 282,906 |
Dividends on preference shares | (9,056) | (9,189) |
Net (loss) income (attributable) available to RenaissanceRe common shareholders | $ (81,974) | $ 273,717 |
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share – basic | $ (1.89) | $ 6.43 |
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share – diluted | (1.89) | 6.43 |
Dividends per common share (in dollars per share) | $ 0.35 | $ 0.34 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Comprehensive (loss) income | ||
Net income | $ 25,173 | $ 353,128 |
Change in net unrealized losses on investments, net of tax | (657) | (37) |
Foreign currency translation adjustments, net of tax | 932 | 0 |
Comprehensive income | 25,448 | 353,091 |
Net income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Comprehensive income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Comprehensive (loss) income attributable to RenaissanceRe | $ (72,643) | $ 282,869 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Preference shares | Common shares | Additional paid-in capital | Accumulated other comprehensive loss | Retained earnings |
Beginning balance at Dec. 31, 2018 | $ 650,000 | $ 42,207 | $ 296,099 | $ (1,433) | $ 4,058,207 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of shares | 1,739 | 248,259 | ||||
Repurchase of shares | 0 | 0 | 0 | |||
Exercise of options and issuance of restricted stock awards | 213 | (466) | ||||
Change in redeemable noncontrolling interests | (3) | |||||
Change in net unrealized losses on investments, net of tax | $ (37) | (37) | ||||
Foreign currency translation adjustments, net of tax | 0 | 0 | ||||
Net income | 353,128 | 353,128 | ||||
Net income attributable to redeemable noncontrolling interests | (70,222) | (70,222) | ||||
Dividends on common shares | (14,500) | (14,469) | ||||
Dividends on preference shares | (9,189) | (9,189) | ||||
Ending balance at Mar. 31, 2019 | 5,554,033 | 650,000 | 44,159 | 543,889 | (1,470) | 4,317,455 |
Beginning balance at Dec. 31, 2019 | 5,971,367 | 650,000 | 44,148 | 568,277 | (1,939) | 4,710,881 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of shares | 0 | 0 | ||||
Repurchase of shares | (125,000) | (406) | (62,215) | |||
Exercise of options and issuance of restricted stock awards | 292 | (3,105) | ||||
Change in redeemable noncontrolling interests | (349) | |||||
Change in net unrealized losses on investments, net of tax | (657) | (657) | ||||
Foreign currency translation adjustments, net of tax | 932 | 932 | ||||
Net income | 25,173 | 25,173 | ||||
Net income attributable to redeemable noncontrolling interests | (98,091) | (98,091) | ||||
Dividends on common shares | (15,400) | (15,359) | ||||
Dividends on preference shares | (9,056) | |||||
Ending balance at Mar. 31, 2020 | $ 5,683,526 | $ 525,000 | $ 44,034 | $ 502,608 | $ (1,664) | $ 4,613,548 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash flows provided by operating activities | ||
Net income | $ 25,173 | $ 353,128 |
Adjustments to reconcile net income to net cash provided by operating activities | ||
Amortization, accretion and depreciation | (4,405) | (3,606) |
Equity in undistributed earnings of other ventures | 7,398 | 5,965 |
Net realized and unrealized losses (gains) on investments | 110,707 | (170,013) |
Change in: | ||
Premiums receivable | (505,545) | (578,175) |
Prepaid reinsurance premiums | (384,145) | (330,044) |
Reinsurance recoverable | 25,714 | 12,619 |
Deferred acquisition costs | (75,884) | (58,861) |
Reserve for claims and claim expenses | 22,358 | (92,303) |
Unearned premiums | 714,939 | 709,046 |
Reinsurance balances payable | 944,684 | 837,333 |
Other | (405,528) | (307,940) |
Net cash provided by operating activities | 475,466 | 377,149 |
Cash flows used in investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 3,661,294 | 4,600,808 |
Purchases of fixed maturity investments trading | (3,370,394) | (3,519,277) |
Net purchases of equity investments trading | (44,514) | (4,601) |
Net purchases of short term investments | (704,226) | (1,374,632) |
Net purchases of other investments | (79,711) | (51,811) |
Net purchases of investments in other ventures | (1,888) | (1,573) |
Return of investment from investment in other ventures | 9,157 | 11,250 |
Net purchase of TMR | 0 | (276,206) |
Net cash used in investing activities | (530,282) | (616,042) |
Cash flows (used in) provided by financing activities | ||
Dividends paid – RenaissanceRe common shares | (15,359) | (14,469) |
Dividends paid – preference shares | (9,056) | (9,189) |
RenaissanceRe common share repurchases | (62,621) | 0 |
Repayment of debt | (250,000) | 0 |
Repayment of RenaissanceRe Revolving Credit Facility | 0 | 200,000 |
Redemption of 6.08% Series C preference shares | (125,000) | 0 |
Net third party redeemable noncontrolling interest share transactions | 42,599 | (16,847) |
Taxes paid on withholding shares | (10,180) | (6,957) |
Net cash (used in) provided by financing activities | (429,617) | 152,538 |
Effect of exchange rate changes on foreign currency cash | 1,581 | (292) |
Net decrease in cash and cash equivalents | (482,852) | (86,647) |
Cash and cash equivalents, beginning of period | 1,379,068 | 1,107,922 |
Cash and cash equivalents, end of period | $ 896,216 | $ 1,021,275 |
Organization
Organization | 3 Months Ended |
Mar. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | ORGANIZATION This report on Form 10-Q should be read in conjunction with RenaissanceRe’s Annual Report on Form 10-K (“Form 10-K”) for the fiscal year ended December 31, 2019 . RenaissanceRe was formed under the laws of Bermuda on June 7, 1993. Together with its wholly owned and majority-owned subsidiaries and joint ventures, the Company provides property, casualty and specialty reinsurance and certain insurance solutions to its customers. • On March 22, 2019, the Company’s wholly owned subsidiary, RenaissanceRe Specialty Holdings (UK) Limited (“RenaissanceRe Specialty Holdings”), completed its previously announced purchase of all of the share capital of RenaissanceRe Europe AG (formerly known as Tokio Millennium Re AG) (“RenaissanceRe Europe”), RenaissanceRe (UK) Limited (formerly known as Tokio Millennium Re (UK) Limited) (“RenaissanceRe UK”), and their respective subsidiaries (collectively, “TMR”) pursuant to a Stock Purchase Agreement by and among the Company, Tokio Marine & Nichido Fire Insurance Co. Ltd. (“Tokio”) and, with respect to certain sections only, Tokio Marine Holdings, Inc. entered into on October 30, 2018 (the “TMR Stock Purchase Agreement”) (the “TMR Stock Purchase”). See “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information regarding the TMR Stock Purchase. • Renaissance Reinsurance Ltd. (“Renaissance Reinsurance”), a Bermuda-domiciled reinsurance company, is the Company’s principal reinsurance subsidiary and provides property, casualty and specialty reinsurance coverages to insurers and reinsurers on a worldwide basis. • Renaissance Reinsurance U.S. Inc. (“Renaissance Reinsurance U.S.”) is a reinsurance company domiciled in the state of Maryland that provides property, casualty and specialty reinsurance coverages to insurers and reinsurers, primarily in the Americas. • RenaissanceRe Underwriting Managers U.S. LLC, a specialty reinsurance agency domiciled in the state of Connecticut, provides specialty treaty reinsurance solutions on both a quota share and excess of loss basis; and writes business on behalf of RenaissanceRe Specialty U.S. Ltd. (“RenaissanceRe Specialty U.S.”), a Bermuda-domiciled reinsurer, which operates subject to U.S. federal income tax, and RenaissanceRe Syndicate 1458 (“Syndicate 1458”). • Syndicate 1458 is the Company’s Lloyd’s syndicate. RenaissanceRe Corporate Capital (UK) Limited (“RenaissanceRe CCL”), a wholly owned subsidiary of RenaissanceRe, is Syndicate 1458’s sole corporate member. RenaissanceRe Syndicate Management Ltd. (“RSML”), a wholly owned subsidiary of RenaissanceRe, is the managing agent for Syndicate 1458. • RenaissanceRe Europe, a Swiss-domiciled reinsurance company, which has branches in Australia, Bermuda, the U.K. and the U.S., provides property, casualty and specialty reinsurance coverages to insurers and reinsurers on a worldwide basis. • RenaissanceRe UK, a U.K.-domiciled reinsurance company in run-off, provided property, casualty and specialty reinsurance coverages on a worldwide basis. RenaissanceRe UK was placed into run-off effective July 1, 2015, from which date all new and renewal business was written by the U.K. branch of RenaissanceRe Europe. On February 4, 2020, RenaissanceRe Specialty Holdings entered into an agreement to sell RenaissanceRe UK to an investment vehicle managed by AXA Liabilities Managers, an affiliate of AXA XL. The sale is subject to regulatory approval and is expected to close in 2020. • The Company also manages property, casualty and specialty reinsurance business written on behalf of joint ventures, which include Top Layer Reinsurance Ltd. (“Top Layer Re”), recorded under the equity method of accounting, and DaVinci Reinsurance Ltd. (“DaVinci”). Because the Company owns a noncontrolling equity interest in, but controls a majority of the outstanding voting power of, DaVinci’s parent, DaVinciRe Holdings Ltd. (“DaVinciRe”), the results of DaVinci and DaVinciRe are consolidated in the Company’s consolidated financial statements and all significant intercompany transactions have been eliminated. Redeemable noncontrolling interest - DaVinciRe represents the interests of external parties with respect to the net income and shareholders’ equity of DaVinciRe. Renaissance Underwriting Managers, Ltd. (“RUM”), a wholly owned subsidiary of RenaissanceRe, acts as exclusive underwriting manager for these joint ventures in return for fee-based income and profit participation. • RenaissanceRe Medici Fund Ltd. (“Medici”) is an exempted fund, incorporated under the laws of Bermuda. Medici’s objective is to seek to invest substantially all of its assets in various insurance-based investment instruments that have returns primarily tied to property catastrophe risk. Third-party investors have subscribed for a portion of the participating, non-voting common shares of Medici. Because the Company owns a noncontrolling equity interest in, but controls a majority of the outstanding voting power of Medici, through its wholly-owned parent, RenaissanceRe Fund Holdings Ltd. (“Fund Holdings”), the results of Medici and Fund Holdings are consolidated in the Company’s consolidated financial statements and all significant inter-company transactions have been eliminated. Redeemable noncontrolling interest - Medici represents the interests of external parties with respect to the net income and shareholders’ equity of Medici. • Upsilon RFO Re Ltd., formerly known as Upsilon Reinsurance II Ltd. (“Upsilon RFO”), a Bermuda domiciled special purpose insurer (“SPI”), is a managed joint venture formed by the Company principally to provide additional capacity to the worldwide aggregate and per-occurrence primary and retrocessional property catastrophe excess of loss market. Upsilon RFO is considered a variable interest entity (“VIE”) and the Company is considered the primary beneficiary. As a result, Upsilon RFO is consolidated by the Company and all significant inter-company transactions have been eliminated. • RenaissanceRe Upsilon Fund Ltd. (“Upsilon Fund”), an exempted Bermuda segregated accounts company, was formed by the Company to provide a fund structure through which third-party investors can invest in reinsurance risk managed by the Company. As a segregated accounts company, Upsilon Fund is permitted to establish segregated accounts to invest in and hold identified pools of assets and liabilities. Each pool of assets and liabilities in each segregated account is structured to be ring-fenced from any claims from the creditors of Upsilon Fund’s general account and from the creditors of other segregated accounts within Upsilon Fund. Third-party investors purchase redeemable, non-voting preference shares linked to specific segregated accounts of Upsilon Fund and own 100% of these shares. Upsilon Fund is an investment company and is considered a VIE. The Company is not considered the primary beneficiary of Upsilon Fund and, as a result, the Company does not consolidate the financial position and results of operations of Upsilon Fund. • The Company formed Vermeer Reinsurance Ltd. (“Vermeer”), an exempted Bermuda reinsurer, with PGGM, a Dutch pension fund manager. Vermeer provides capacity focused on risk remote layers in the U.S. property catastrophe market. Vermeer is managed by RUM in return for a management fee. The Company maintains a majority voting control of Vermeer, while PGGM retains economic benefits. Vermeer is considered a VIE, as it has voting rights that are not proportional to its participating rights and the Company is the primary beneficiary. As a result, the Company consolidates Vermeer and all significant inter-company transactions have been eliminated. The Company does not currently expect its voting or economic interest in Vermeer to fluctuate. • Fibonacci Reinsurance Ltd. ("Fibonacci Re"), a Bermuda-domiciled SPI, provides collateralized capacity to Renaissance Reinsurance and its affiliates. Fibonacci Re raises capital from third-party investors and the Company, via private placements of participating notes which are listed on the Bermuda Stock Exchange. Fibonacci Re is considered a VIE. The Company is not considered the primary beneficiary of Fibonacci Re and, as a result, the Company does not consolidate the financial position and results of operations of Fibonacci Re. • The Company and Reinsurance Group of America, Incorporated closed an initiative (“Langhorne”) to source third-party capital to support reinsurers targeting large in-force life and annuity blocks. Langhorne Holdings LLC (“Langhorne Holdings”) is a company that owns and manages certain reinsurance entities within Langhorne. Langhorne Partners LLC (“Langhorne Partners”) is the general partner for Langhorne and the entity which manages the third-parties investing in Langhorne Holdings. The Company concluded that Langhorne Holdings meets the definition of a VIE. The Company is not the primary beneficiary of Langhorne Holdings and as a result, the Company does not consolidate the financial position or results of operations of Langhorne Holdings. The Company concluded that Langhorne Partners is not a VIE. The Company will account for its investments in Langhorne Holdings and Langhorne Partners under the equity method of accounting, one quarter in arrears. • Mona Lisa Re Ltd. (“Mona Lisa Re”), a Bermuda domiciled SPI, provides reinsurance capacity to subsidiaries of RenaissanceRe, namely Renaissance Reinsurance and DaVinci, through reinsurance agreements which are collateralized and funded by Mona Lisa Re through the issuance of one or more series of principal-at-risk variable rate notes. The Company concluded that Mona Lisa Re meets the definition of a VIE as it does not have sufficient equity capital to finance its activities. The Company evaluated its relationship with Mona Lisa Re and concluded it is not the primary beneficiary of Mona Lisa Re as it does not have power over the activities that most significantly impact the economic performance of Mona Lisa Re. As a result, the financial position and results of operations of Mona Lisa Re are not consolidated by the Company. • In connection with the acquisition of TMR, the Company manages Shima Reinsurance Ltd. (“Shima Re”), Norwood Re Ltd. (“Norwood Re”) and Blizzard Re Ltd. (“Blizzard Re”) (together, the “TMR managed third-party capital vehicles”), which provide third-party investors with access to reinsurance risk formerly managed by TMR. Following the closing of the acquisition, the retrocessionaires providing reinsurance to TMR on certain TMR managed third-party capital vehicles’ legacy portfolios of in-force and expired contracts were replaced. The TMR managed third-party capital vehicles no longer write new business. |
Significant Accounting Policies
Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | SIGNIFICANT ACCOUNTING POLICIES There have been no material changes to the Company’s significant accounting policies as described in its Form 10-K for the year ended December 31, 2019 , except as described below. BASIS OF PRESENTATION These consolidated financial statements have been prepared on the basis of accounting principles generally accepted in the U.S. (“GAAP”) for interim financial information and in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete consolidated financial statements. In the opinion of management, these unaudited consolidated financial statements reflect all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the Company’s financial position and results of operations as at the end of and for the periods presented. All significant intercompany accounts and transactions have been eliminated from these statements. Certain comparative information has been reclassified to conform to the current presentation. Because of the seasonality of the Company’s business, the results of operations and cash flows for any interim period will not necessarily be indicative of the results of operations and cash flows for the full fiscal year or subsequent quarters. USE OF ESTIMATES IN FINANCIAL STATEMENTS The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported and disclosed amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates. The major estimates reflected in the Company’s consolidated financial statements include, but are not limited to, the reserve for claims and claim expenses; reinsurance recoverables, including allowances for reinsurance recoverables deemed uncollectible; estimates of written and earned premiums; fair value, including the fair value of investments, financial instruments and derivatives; impairment charges; deferred acquisition costs and the value of business acquired (“VOBA”) and the Company’s deferred tax valuation allowance. INVESTMENTS Other Investments The Company accounts for its other investments at fair value in accordance with FASB ASC Topic Financial Instruments with interest, dividend income, income distributions included in net investment income and realized and unrealized gains and losses included in net realized and unrealized (losses) gains on investments. The fair value of certain of the Company’s fund investments, which principally include private equity investments, senior secured bank loan funds and hedge funds, is recorded on its balance sheet in other investments, and is generally established on the basis of the net valuation criteria established by the managers of such investments, if applicable. The net valuation criteria established by the managers of such investments is established in accordance with the governing documents of such investments. Certain of the Company’s fund managers, fund administrators, or both, are unable to provide final fund valuations as of the Company’s current reporting date. The typical reporting lag experienced by the Company to receive a final net asset value report is one month for hedge funds and senior secured bank loan funds and three months for private equity investments, although, in the past, in respect of certain of the Company’s private equity investments, the Company has on occasion experienced delays of up to six months at year end, as the private equity investments typically complete their respective year-end audits before releasing their final net asset value statements. In circumstances where there is a reporting lag between the current period end reporting date and the reporting date of the latest fund valuation, the Company estimates the fair value of these funds by starting with the most recently available prior month or quarter-end fund valuations, adjusting these valuations for actual capital calls, redemptions or distributions, as well as the impact of changes in foreign currency exchange rates, and then estimating the return for the current period. In circumstances in which the Company estimates the return for the current period, all information available to the Company is utilized. This principally includes preliminary estimates reported to the Company by its fund managers, obtaining the valuation of underlying portfolio investments where such underlying investments are publicly traded and therefore have a readily observable price, using information that is available to the Company with respect to the underlying investments, reviewing various indices for similar investments or asset classes, as well as estimating returns based on the results of similar types of investments for which the Company has obtained reported results, or other valuation methods, where possible. Actual final fund valuations may differ, perhaps materially so, from the Company’s estimates and these differences are recorded in the Company’s statement of operations in the period in which they are reported to the Company as a change in estimate. The Company’s other investments also include investments in catastrophe bonds which are recorded at fair value and the fair value is based on broker or underwriter bid indications. RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS Measurement of Credit Losses on Financial Instruments In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 modifies the recognition of credit losses by replacing the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. ASU 2016-13 is applicable to financial assets such as loans, debt securities, trade receivables, off-balance sheet credit exposures, reinsurance receivables, and other financial assets that have the contractual right to receive cash. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. The Company's invested assets are measured at fair value through net income, and therefore those invested assets would not be impacted by the adoption of ASU 2016-13. The Company has other financial assets, such as reinsurance recoverables, that could be impacted by the adoption of ASU 2016-13. ASU 2016-13 is effective for public business entities that are SEC filers for annual and interim periods beginning after December 15, 2019, accordingly, the Company adopted ASU 2016-13 effective January 1, 2020. The adoption of ASU 2016-13 did not have a material impact on the Company’s consolidated statements of operations and financial position. Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement In August 2018, the FASB issued ASU No. 2018-13, Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). The ASU 2018-13 modifies the disclosure requirements of fair value measurements as part of the disclosure framework project with the objective to improve the effectiveness of disclosures in the notes to the financial statements. ASU 2018-13 allows for removal of the amount and reasons for transfer between Level 1 and Level 2 of the fair value hierarchy; the policy for transfers between levels; and the valuation processes for Level 3 fair value measurements. ASU 2018-13 is effective for all entities for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years, accordingly, the Company adopted ASU 2018-13 effective January 1, 2020. Since ASU 2018-13 is disclosure-related only, it did not have a material impact on the Company’s consolidated statements of operations and financial position. Simplifying the Test for Goodwill Impairment In January 2017, the FASB issued ASU No. 2017-04, Simplifying the Test for Goodwill Impairment (“ASU 2017-04”). Among other things, ASU 2017-04 requires the following: (1) the elimination of step two of the goodwill impairment test; entities will no longer utilize the implied fair value of their assets and liabilities for purposes of testing goodwill for impairment, (2) the quantitative portion of the goodwill impairment test will be performed by comparing the fair value of a reporting unit with its carrying amount; an impairment charge is to be recognized for the excess of carrying amount over fair value, but only to the extent of the amount of goodwill allocated to that reporting unit, and (3) foreign currency translation adjustments are not to be allocated to a reporting unit from an entity’s accumulated other comprehensive income (loss); the reporting unit’s carrying amount should include only the currently translated balances of the assets and liabilities assigned to the reporting unit. ASU 2017-04 is effective for public business entities that are SEC filers for annual periods, or any interim goodwill impairment tests in annual periods, beginning after December 15, 2019, accordingly, the Company adopted ASU 2017-04 effective January 1, 2020. The adoption of ASU 2017-04 did not have a material impact on the Company’s consolidated statements of operations and financial position. RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS NOT YET ADOPTED Simplifying the Accounting for Income Taxes In December 2019, the FASB issued ASU No. 2019-12, Simplifying the Accounting for Income Taxes (”ASU 2019-12”). Among other things, ASU 2019-12 eliminates certain exceptions for recognizing deferred taxes for investments, performing intraperiod tax allocation and calculating income taxes in interim periods. ASU 2019-12 also clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. ASU 2019-12 is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early adoption is permitted. The Company is currently evaluating the impact of this guidance; however, it is not expected to have a material impact on the Company’s consolidated statements of operations and financial position. |
Investments
Investments | 3 Months Ended |
Mar. 31, 2020 | |
Investments [Abstract] | |
Investments | INVESTMENTS Fixed Maturity Investments Trading The following table summarizes the fair value of fixed maturity investments trading: March 31, December 31, U.S. treasuries $ 3,915,130 $ 4,467,345 Agencies 537,490 343,031 Non-U.S. government 635,282 497,392 Non-U.S. government-backed corporate 283,577 321,356 Corporate 3,259,780 3,075,660 Agency mortgage-backed 1,056,272 1,148,499 Non-agency mortgage-backed 275,026 294,604 Commercial mortgage-backed 540,502 468,698 Asset-backed 542,742 555,070 Total fixed maturity investments trading $ 11,045,801 $ 11,171,655 Contractual maturities of fixed maturity investments trading are described in the following table. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. March 31, 2020 Amortized Cost Fair Value Due in less than one year $ 718,359 $ 723,397 Due after one through five years 4,984,696 5,039,456 Due after five through ten years 2,549,975 2,612,031 Due after ten years 254,762 256,375 Mortgage-backed 1,862,064 1,871,800 Asset-backed 571,816 542,742 Total $ 10,941,672 $ 11,045,801 Equity Investments Trading The following table summarizes the fair value of equity investments trading: March 31, December 31, Financials $ 162,904 $ 248,189 Communications and technology 88,882 79,206 Consumer 36,920 35,987 Industrial, utilities and energy 33,859 38,583 Healthcare 32,850 29,510 Basic materials 5,029 5,456 Total $ 360,444 $ 436,931 Pledged Investments At March 31, 2020 , $6.9 billion of cash and investments at fair value were on deposit with, or in trust accounts for the benefit of, various counterparties, including with respect to the Company’s letter of credit facilities ( December 31, 2019 - $7.0 billion ). Of this amount, $1.8 billion is on deposit with, or in trust accounts for the benefit of, U.S. state regulatory authorities ( December 31, 2019 - $2.0 billion ). Reverse Repurchase Agreements At March 31, 2020 , the Company held $158.6 million ( December 31, 2019 - $57.6 million ) of reverse repurchase agreements. These loans are fully collateralized, are generally outstanding for a short period of time and are presented on a gross basis as part of short term investments on the Company’s consolidated balance sheets. The required collateral for these loans typically includes high-quality, readily marketable instruments at a minimum amount of 102% of the loan principal. Upon maturity, the Company receives principal and interest income. Net Investment Income The components of net investment income are as follows: Three months ended March 31, March 31, Fixed maturity investments $ 73,338 $ 61,483 Short term investments 12,092 11,844 Equity investments 1,551 1,027 Other investments Catastrophe bonds 14,139 8,691 Other 1,629 1,640 Cash and cash equivalents 1,504 1,517 104,253 86,202 Investment expenses (4,780 ) (4,108 ) Net investment income $ 99,473 $ 82,094 Net Realized and Unrealized (Losses) Gains on Investments Net realized and unrealized (losses) gains on investments are as follows: Three months ended March 31, March 31, Gross realized gains $ 68,847 $ 24,373 Gross realized losses (11,360 ) (22,943 ) Net realized gains on fixed maturity investments 57,487 1,430 Net unrealized (losses) gains on fixed maturity investments trading (20,345 ) 103,922 Net realized and unrealized gains on investments-related derivatives 33,181 13,796 Net realized losses on equity investments trading sold during the period (15,047 ) (1,161 ) Net unrealized (losses) gains on equity investments trading still held at reporting date (105,937 ) 52,658 Net realized and unrealized (losses) gains on equity investments trading (120,984 ) 51,497 Net realized and unrealized losses on other investments - catastrophe bonds (14,352 ) (2,210 ) Net realized and unrealized (losses) gains on other investments - other (45,694 ) 1,578 Net realized and unrealized (losses) gains on investments $ (110,707 ) $ 170,013 |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS The use of fair value to measure certain assets and liabilities with resulting unrealized gains or losses is pervasive within the Company’s consolidated financial statements. Fair value is defined under accounting guidance currently applicable to the Company to be the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between open market participants at the measurement date. The Company recognizes the change in unrealized gains and losses arising from changes in fair value in its consolidated statements of operations. FASB ASC Topic Fair Value Measurements and Disclosures prescribes a fair value hierarchy that prioritizes the inputs to the respective valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to valuation techniques that use at least one significant input that is unobservable (Level 3). The three levels of the fair value hierarchy are described below: • Fair values determined by Level 1 inputs utilize unadjusted quoted prices obtained from active markets for identical assets or liabilities for which the Company has access. The fair value is determined by multiplying the quoted price by the quantity held by the Company; • Fair values determined by Level 2 inputs utilize inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets, and inputs other than quoted prices that are observable for the asset or liability, such as interest rates and yield curves that are observable at commonly quoted intervals, broker quotes and certain pricing indices; and • Level 3 inputs are based all or in part on significant unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. In these cases, significant management assumptions can be used to establish management’s best estimate of the assumptions used by other market participants in determining the fair value of the asset or liability. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement of the asset or liability. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and the Company considers factors specific to the asset or liability. In order to determine if a market is active or inactive for a security, the Company considers a number of factors, including, but not limited to, the spread between what a seller is asking for a security and what a buyer is bidding for the same security, the volume of trading activity for the security in question, the price of the security compared to its par value (for fixed maturity investments), and other factors that may be indicative of market activity. There have been no material changes in the Company’s valuation techniques, nor have there been any transfers between Level 1 and Level 2, or Level 2 and Level 3 during the period represented by these consolidated financial statements. Below is a summary of the assets and liabilities that are measured at fair value on a recurring basis and also represents the carrying amount on the Company’s consolidated balance sheets: At March 31, 2020 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fixed maturity investments U.S. treasuries $ 3,915,130 $ 3,915,130 $ — $ — Agencies 537,490 — 537,490 — Non-U.S. government 635,282 — 635,282 — Non-U.S. government-backed corporate 283,577 — 283,577 — Corporate 3,259,780 — 3,259,780 — Agency mortgage-backed 1,056,272 — 1,056,272 — Non-agency mortgage-backed 275,026 — 275,026 — Commercial mortgage-backed 540,502 — 540,502 — Asset-backed 542,742 — 542,742 — Total fixed maturity investments 11,045,801 3,915,130 7,130,671 — Short term investments 5,263,242 — 5,263,242 — Equity investments trading 360,444 360,444 — — Other investments Catastrophe bonds 786,531 — 786,531 — Private equity investments (1) 240,277 — — 72,620 Senior secured bank loan funds (1) 22,579 — — — Hedge funds (1) 9,327 — — — Total other investments 1,058,714 — 786,531 72,620 Other assets and (liabilities) Assumed and ceded (re)insurance contracts (2) 1,223 — — 1,223 Derivatives (3) 1,855 (2,328 ) 4,183 — Total other assets and (liabilities) 3,078 (2,328 ) 4,183 1,223 $ 17,731,279 $ 4,273,246 $ 13,184,627 $ 73,843 (1) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated balance sheet. (2) Included in assumed and ceded (re)insurance contracts at March 31, 2020 was $26.4 million of other assets and $25.2 million of other liabilities. (3) See “Note 13 . Derivative Instruments” for additional information related to the fair value, by type of contract, of derivatives entered into by the Company. At December 31, 2019 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fixed maturity investments U.S. treasuries $ 4,467,345 $ 4,467,345 $ — $ — Agencies 343,031 — 343,031 — Non-U.S. government 497,392 — 497,392 — Non-U.S. government-backed corporate 321,356 — 321,356 — Corporate 3,075,660 — 3,075,660 — Agency mortgage-backed 1,148,499 — 1,148,499 — Non-agency mortgage-backed 294,604 — 294,604 — Commercial mortgage-backed 468,698 — 468,698 — Asset-backed 555,070 — 555,070 — Total fixed maturity investments 11,171,655 4,467,345 6,704,310 — Short term investments 4,566,277 — 4,566,277 — Equity investments trading 436,931 436,931 — — Other investments Catastrophe bonds 781,641 — 781,641 — Private equity investments (1) 271,047 — — 74,634 Senior secured bank loan funds (1) 22,598 — — — Hedge funds (1) 12,091 — — — Total other investments 1,087,377 — 781,641 74,634 Other assets and (liabilities) Assumed and ceded (re)insurance contracts (2) 4,731 — — 4,731 Derivatives (3) 16,937 (1,020 ) 17,957 — Total other assets and (liabilities) 21,668 (1,020 ) 17,957 4,731 $ 17,283,908 $ 4,903,256 $ 12,070,185 $ 79,365 (1) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated balance sheet. (2) Included in assumed and ceded (re)insurance contracts at December 31, 2019 was $32.9 million of other assets and $28.2 million of other liabilities. (3) See “Note 13 . Derivative Instruments” for additional information related to the fair value, by type of contract, of derivatives entered into by the Company. Level 1 and Level 2 Assets and Liabilities Measured at Fair Value Fixed Maturity Investments Fixed maturity investments included in Level 1 consist of the Company’s investments in U.S. treasuries. Fixed maturity investments included in Level 2 are agencies, municipal, non-U.S. government, non-U.S. government-backed corporate, corporate, agency mortgage-backed, non-agency mortgage-backed, commercial mortgage-backed and asset-backed. The Company’s fixed maturity investments are primarily priced using pricing services, such as index providers and pricing vendors, as well as broker quotations. In general, the pricing vendors provide pricing for a high volume of liquid securities that are actively traded. For securities that do not trade on an exchange, the pricing services generally utilize market data and other observable inputs in matrix pricing models to determine month end prices. Observable inputs include benchmark yields, reported trades, broker-dealer quotes, issuer spreads, bids, offers, reference data and industry and economic events. Index pricing generally relies on market traders as the primary source for pricing; however, models are also utilized to provide prices for all index eligible securities. The models use a variety of observable inputs such as benchmark yields, transactional data, dealer runs, broker-dealer quotes and corporate actions. Prices are generally verified using third-party data. Securities which are priced by an index provider are generally included in the index. In general, broker-dealers value securities through their trading desks based on observable inputs. The methodologies include mapping securities based on trade data, bids or offers, observed spreads, and performance on newly issued securities. Broker-dealers also determine valuations by observing secondary trading of similar securities. Prices obtained from broker quotations are considered non-binding, however they are based on observable inputs and by observing secondary trading of similar securities obtained from active, non-distressed markets. The Company considers these broker quotations to be Level 2 inputs as they are corroborated with other market observable inputs. The techniques generally used to determine the fair value of the Company’s fixed maturity investments are detailed below by asset class. U.S. treasuries Level 1 - At March 31, 2020 , the Company’s U.S. treasuries fixed maturity investments were primarily priced by pricing services and had a weighted average yield to maturity of 0.4% and a weighted average credit quality of AA ( December 31, 2019 - 1.7% and AA, respectively). When pricing these securities, the pricing services utilize daily data from many real time market sources, including active broker-dealers. Certain data sources are regularly reviewed for accuracy to attempt to ensure the most reliable price source is used for each issue and maturity date. Agencies Level 2 - At March 31, 2020 , the Company’s agency fixed maturity investments had a weighted average yield to maturity of 1.0% and a weighted average credit quality of AA ( December 31, 2019 - 2.1% and AA, respectively). The issuers of the Company’s agency fixed maturity investments primarily consist of the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation and other agencies. Fixed maturity investments included in agencies are primarily priced by pricing services. When evaluating these securities, the pricing services gather information from market sources and integrate other observations from markets and sector news. Evaluations are updated by obtaining broker-dealer quotes and other market information including actual trade volumes, when available. The fair value of each security is individually computed using analytical models which incorporate option adjusted spreads and other daily interest rate data. Non-U.S. government Level 2 - At March 31, 2020 , the Company’s non-U.S. government fixed maturity investments had a weighted average yield to maturity of 0.8% and a weighted average credit quality of AAA ( December 31, 2019 - 1.6% and AA, respectively). The issuers of securities in this sector are non-U.S. governments and their respective agencies as well as supranational organizations. Securities held in these sectors are primarily priced by pricing services that employ proprietary discounted cash flow models to value the securities. Key quantitative inputs for these models are daily observed benchmark curves for treasury, swap and high issuance credits. The pricing services then apply a credit spread for each security which is developed by in-depth and real time market analysis. For securities in which trade volume is low, the pricing services utilize data from more frequently traded securities with similar attributes. These models may also be supplemented by daily market and credit research for international markets. Non-U.S. government-backed corporate Level 2 - At March 31, 2020 , the Company’s non-U.S. government-backed corporate fixed maturity investments had a weighted average yield to maturity of 1.2% and a weighted average credit quality of AAA ( December 31, 2019 - 2.0% and AA, respectively). Non-U.S. government-backed corporate fixed maturity investments are primarily priced by pricing services that employ proprietary discounted cash flow models to value the securities. Key quantitative inputs for these models are daily observed benchmark curves for treasury, swap and high issuance credits. The pricing services then apply a credit spread to the respective curve for each security which is developed by in-depth and real time market analysis. For securities in which trade volume is low, the pricing services utilize data from more frequently traded securities with similar attributes. These models may also be supplemented by daily market and credit research for international markets. Corporate Level 2 - At March 31, 2020 , the Company’s corporate fixed maturity investments principally consisted of U.S. and international corporations and had a weighted average yield to maturity of 3.8% and a weighted average credit quality of BBB ( December 31, 2019 - 3.0% and BBB, respectively). The Company’s corporate fixed maturity investments are primarily priced by pricing services. When evaluating these securities, the pricing services gather information from market sources regarding the issuer of the security and obtain credit data, as well as other observations, from markets and sector news. Evaluations are updated by obtaining broker-dealer quotes and other market information including actual trade volumes, when available. The pricing services also consider the specific terms and conditions of the securities, including any specific features which may influence risk. In certain instances, securities are individually evaluated using a spread which is added to the U.S. treasury curve or a security specific swap curve as appropriate. Agency mortgage-backed Level 2 - At March 31, 2020 , the Company’s agency mortgage-backed fixed maturity investments included agency residential mortgage-backed securities with a weighted average yield to maturity of 1.4% , a weighted average credit quality of AA and a weighted average life of 3.5 years ( December 31, 2019 - 2.5% , AA and 4.9 years, respectively). The Company’s agency mortgage-backed fixed maturity investments are primarily priced by pricing services using a mortgage pool specific model which utilizes daily inputs from the active to-be-announced market which is very liquid, as well as the U.S. treasury market. The model also utilizes additional information, such as the weighted average maturity, weighted average coupon and other available pool level data which is provided by the sponsoring agency. Valuations are also corroborated with daily active market quotes. Non-agency mortgage-backed Level 2 - The Company’s non-agency mortgage-backed fixed maturity investments include non-agency prime, non-agency Alt-A and other non-agency residential mortgage-backed securities. At March 31, 2020 , the Company’s non-agency prime residential mortgage-backed fixed maturity investments had a weighted average yield to maturity of 5.6% , a weighted average credit quality of BBB and a weighted average life of 4.4 years ( December 31, 2019 - 3.3% , BBB and 4.8 years, respectively). The Company’s non-agency Alt-A fixed maturity investments held at March 31, 2020 had a weighted average yield to maturity of 6.3% , a weighted average credit quality of non-investment grade and a weighted average life of 5.9 years ( December 31, 2019 - 3.8% , non-investment grade and 6.3 years, respectively). Securities held in these sectors are primarily priced by pricing services using an option adjusted spread model or other relevant models, which principally utilize inputs including benchmark yields, available trade information or broker quotes, and issuer spreads. The pricing services also review collateral prepayment speeds, loss severity and delinquencies among other collateral performance indicators for the securities valuation, when applicable. Commercial mortgage-backed Level 2 - At March 31, 2020 , the Company’s commercial mortgage-backed fixed maturity investments had a weighted average yield to maturity of 3.1% , a weighted average credit quality of AAA, and a weighted average life of 5.8 years ( December 31, 2019 - 2.6% , AAA and 5.7 years, respectively). Securities held in these sectors are primarily priced by pricing services. The pricing services apply dealer quotes and other available trade information such as bids and offers, prepayment speeds which may be adjusted for the underlying collateral or current price data, the U.S. treasury curve and swap curve as well as cash settlement. The pricing services discount the expected cash flows for each security held in this sector using a spread adjusted benchmark yield based on the characteristics of the security. Asset-backed Level 2 - At March 31, 2020 , the Company’s asset-backed fixed maturity investments had a weighted average yield to maturity of 4.4% , a weighted average credit quality of AAA and a weighted average life of 3.0 years ( December 31, 2019 - 3.3% , AAA and 3.2 years, respectively). The underlying collateral for the Company’s asset-backed fixed maturity investments primarily consists of bank loans, student loans, credit card receivables, auto loans and other receivables. Securities held in these sectors are primarily priced by pricing services. The pricing services apply dealer quotes and other available trade information such as bids and offers, prepayment speeds which may be adjusted for the underlying collateral or current price data, the U.S. treasury curve and swap curve as well as cash settlement. The pricing services determine the expected cash flows for each security held in this sector using historical prepayment and default projections for the underlying collateral and current market data. In addition, a spread is applied to the relevant benchmark and used to discount the cash flows noted above to determine the fair value of the securities held in this sector. Short Term Investments Level 2 - At March 31, 2020 , the Company’s short term investments had a weighted average yield to maturity of 0.5% and a weighted average credit quality of AAA ( December 31, 2019 - 1.6% and AAA, respectively). The fair value of the Company’s portfolio of short term investments is generally determined using amortized cost which approximates fair value and, in certain cases, in a manner similar to the Company’s fixed maturity investments noted above. Equity Investments, Classified as Trading Level 1 - The fair value of the Company’s portfolio of equity investments, classified as trading is primarily priced by pricing services, reflecting the closing price quoted for the final trading day of the period. When pricing these securities, the pricing services utilize daily data from many real time market sources, including applicable securities exchanges. All data sources are regularly reviewed for accuracy to attempt to ensure the most reliable price source was used for each security. Other investments Catastrophe bonds Level 2 - The Company’s other investments include investments in catastrophe bonds which are recorded at fair value based on broker or underwriter bid indications. Other assets and liabilities Derivatives Level 1 and Level 2 - Other assets and liabilities include certain derivatives entered into by the Company. The fair value of these transactions includes certain exchange traded futures contracts which are considered Level 1, and foreign currency contracts and certain credit derivatives, determined using standard industry valuation models and considered Level 2, as the inputs to the valuation model are based on observable market inputs. For credit derivatives, these inputs include credit spreads, credit ratings of the underlying referenced security, the risk free rate and the contract term. For foreign currency contracts, these inputs include spot rates and interest rate curves. Level 3 Assets and Liabilities Measured at Fair Value Below is a summary of quantitative information regarding the significant unobservable inputs (Level 3) used in determining the fair value of assets and liabilities measured at fair value on a recurring basis: At March 31, 2020 Fair Value (Level 3) Valuation Technique Unobservable Low High Weighted Average or Actual Other investments Private equity investment $ 1,822 External valuation model Manager pricing $ 151.69 $ 158.90 $ 151.69 Private equity investments 70,798 Internal valuation model Discount rate 8.0 % 10.0 % 8.0 % Liquidity discount n/a n/a 15.0 % Total other investments 72,620 Other assets and (liabilities) Assumed and ceded (re)insurance contracts (1,232 ) Internal valuation model Bond price $ 90.99 $ 98.19 $ 94.46 Liquidity discount n/a n/a 1.3 % Assumed and ceded (re)insurance contracts (8,556 ) Internal valuation model Net undiscounted cash flows n/a n/a $ 11,371 Expected loss ratio n/a n/a 30.5 % Discount rate n/a n/a 0.4 % Assumed and ceded (re)insurance contracts 11,011 Internal valuation model Expected loss ratio n/a n/a 0.0 % Total other assets and (liabilities) 1,223 Total assets and (liabilities) measured at fair value on a recurring basis using Level 3 inputs $ 73,843 Below is a reconciliation of the beginning and ending balances, for the periods shown, of assets and liabilities measured at fair value on a recurring basis using Level 3 inputs. Interest and dividend income are included in net investment income and are excluded from the reconciliation. Other investments Other assets and (liabilities) Total Balance - January 1, 2020 $ 74,634 $ 4,731 $ 79,365 Total realized and unrealized losses Included in net realized and unrealized (losses) gains on investments (14,156 ) — (14,156 ) Included in other (loss) income — (2,897 ) (2,897 ) Total foreign exchange losses (21 ) — (21 ) Purchases 20,962 (611 ) 20,351 Sales (8,799 ) — (8,799 ) Balance - March 31, 2020 $ 72,620 $ 1,223 $ 73,843 Other investments Other assets and (liabilities) Total Balance - January 1, 2019 $ 54,545 $ (8,359 ) $ 46,186 Total realized and unrealized (losses) gains Included in net realized and unrealized (losses) gains on investments (1,111 ) — (1,111 ) Included in other (loss) income — 1,093 1,093 Total foreign exchange losses (1 ) — (1 ) Purchases 10,262 (897 ) 9,365 Settlements — 20 20 Amounts acquired (1) — 19,970 19,970 Balance - March 31, 2019 $ 63,695 $ 11,827 $ 75,522 (1) Represents the fair value of the other assets acquired from TMR, measured at fair value on a recurring basis using Level 3 inputs at March 22, 2019. See “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information related to the acquisition of TMR. Other investments Private equity investments Level 3 - At March 31, 2020 , the Company’s other investments included a $1.8 million private equity investment which is recorded at fair value, with the fair value obtained through the receipt of an indicative pricing obtained from the insurance manager of the security. The Company considers the price obtained to be unobservable, as there is little, if any, market activity for this security. This unobservable input in isolation can cause significant increases or decreases in fair value. Generally, an increase in the indicative pricing would result in an increase in the fair value of this private equity investment. Level 3 - At March 31, 2020 , the Company’s other investments included $70.8 million of private equity investments which are recorded at fair value, with the fair value obtained through the use of internal valuation models. The Company measured the fair value of these investments using multiples of net tangible book value of the underlying entity. The significant unobservable inputs used in the fair value measurement of these investments are liquidity discount rates applied to each of the net tangible book value multiples used in the internal valuation models, and discount rates applied to the expected cash flows of the underlying entity in various scenarios. These unobservable inputs in isolation can cause significant increases or decreases in fair value. Generally, an increase in the liquidity discount rate or discount rates would result in a decrease in the fair value of these private equity investments. Other assets and liabilities Assumed and ceded (re)insurance contracts Level 3 - At March 31, 2020 , the Company had a $1.2 million net liability related to an assumed reinsurance contract accounted for at fair value, with the fair value obtained through the use of an internal valuation model. The inputs to the internal valuation model are principally based on indicative pricing obtained from independent brokers and pricing vendors for similarly structured marketable securities. The most significant unobservable inputs include prices for similar marketable securities and a liquidity premium. The Company considers the prices for similar securities to be unobservable, as there is little, if any market activity for these similar assets. In addition, the Company has estimated a liquidity premium that would be required if the Company attempted to effectively exit its position by executing a short sale of these securities. Generally, an increase in the prices for similar marketable securities or a decrease in the liquidity premium would result in an increase in the expected profit and ultimate fair value of this assumed reinsurance contract. Level 3 - At March 31, 2020 , the Company had a $8.6 million net liability related to assumed and ceded (re)insurance contracts accounted for at fair value, with the fair value obtained through the use of an internal valuation model. The inputs to the internal valuation model are principally based on proprietary data as observable market inputs are generally not available. The most significant unobservable inputs include the assumed and ceded expected net cash flows related to the contracts, including the expected premium, acquisition expenses and losses; the expected loss ratio and the relevant discount rate used to present value the net cash flows. The contract period and acquisition expense ratio are considered an observable input as each is defined in the contract. Generally, an increase in the net expected cash flows and expected term of the contract and a decrease in the discount rate, expected loss ratio or acquisition expense ratio, would result in an increase in the expected profit and ultimate fair value of these assumed and ceded (re)insurance contracts. Level 3 - At March 31, 2020 , the Company had a $11.0 million net asset related to assumed and ceded (re)insurance contracts accounted for at fair value, with the fair value obtained through the use of internal valuation models. The inputs to the models are primarily based on the unexpired period of risk and an evaluation of the probability of loss. The fair value of the contracts are sensitive to loss-triggering events. In the event of a loss, the Company would adjust the fair value of the contract to account for a recovery or liability in accordance with the contract terms and the estimate of exposure under the contract. The inputs for the contracts are based on management’s evaluation and are unobservable. Financial Instruments Disclosed, But Not Carried, at Fair Value The Company uses various financial instruments in the normal course of its business. The Company’s insurance contracts are excluded from the fair value of financial instruments accounting guidance, unless the Company elects the fair value option, and therefore, are not included in the amounts discussed herein. The carrying values of cash and cash equivalents, accrued investment income, receivables for investments sold, certain other assets, payables for investments purchased, certain other liabilities, and other financial instruments not included herein approximated their fair values. Debt Included on the Company’s consolidated balance sheet at March 31, 2020 were debt obligations of $1.1 billion ( December 31, 2019 - $1.4 billion ). At March 31, 2020 , the fair value of the Company’s debt obligations was $1.2 billion ( December 31, 2019 – $1.5 billion ). The fair value of the Company’s debt obligations is determined using indicative market pricing obtained from third-party service providers, which the Company considers Level 2 in the fair value hierarchy. There have been no changes during the period in the Company’s valuation technique used to determine the fair value of the Company’s debt obligations. Refer to “Note 7 . Debt and Credit Facilities” for additional information related to the Company’s debt obligations. The Fair Value Option for Financial Assets and Financial Liabilities The Company has elected to account for certain financial assets and financial liabilities at fair value using the guidance under FASB ASC Topic Financial Instruments as the Company believes it represents the most meaningful measurement basis for these assets and liabilities. Below is a summary of the balances the Company has elected to account for at fair value: March 31, December 31, Other investments $ 1,058,714 $ 1,087,377 Other assets $ 26,442 $ 32,944 Other liabilities $ 25,219 $ 28,213 Included in net realized and unrealized (losses) gains on investments for the three months ended March 31, 2020 were net unrealized losses of $60.1 million , related to the changes in fair value of other investments ( 2019 – net unrealized gains of $1.3 million ). Included in other (loss) income for the three months ended March 31, 2020 were net unrealized gains of $ Nil related to the changes in the fair value of other assets and liabilities ( 2019 - $ Nil ). Measuring the Fair Value of Other Investments Using Net Asset Valuations The table below shows the Company’s portfolio of other investments measured using net asset valuations as a practical expedient: At March 31, 2020 Fair Value Unfunded Redemption Frequency Redemption Redemption Private equity investments $ 167,657 $ 417,393 See below See below See below Senior secured bank loan funds 22,579 7,141 See below See below See below Hedge funds 9,327 — See below See below See below Total other investments measured using net asset valuations $ 199,563 $ 424,534 Private equity investments – A significant portion of the Company’s investments in private equity investments include alternative asset limited partnerships (or similar corporate structures) that invest in certain private equity asset classes including U.S. and global leveraged buyouts, mezzanine investments, distressed securities, real estate, and oil, gas and power. The Company generally has no right to redeem its interest in any of these private equity investments in advance of dissolution of the applicable private equity investment. Instead, the nature of these investments is that distributions are received by the Company in connection with the liquidation of the underlying assets of the respective private equity investment. It is estimated that the majority of the underlying assets of the limited partnerships would liquidate over 7 to 10 years from inception of the respective limited partnership. Senior secured bank loan funds – At March 31, 2020 , the Company had $22.6 million invested in closed end funds which invest primarily in loans. The Company has no right to redeem its investment in these funds. It is estimated that the majority of the underlying assets in these closed end funds would begin to liquidate over 4 to 5 years from inception of the applicable fund. Hedge funds – At March 31, 2020 , the Company had $9.3 million of investments in hedge funds that are primarily focused on global credit opportunities which are generally redeemable at the option of the shareholder. |
Reinsurance
Reinsurance | 3 Months Ended |
Mar. 31, 2020 | |
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Abstract] | |
Reinsurance | REINSURANCE The Company purchases reinsurance and other protection to manage its risk portfolio and to reduce its exposure to large losses. The Company currently has in place contracts that provide for recovery of a portion of certain claims and claim expenses, generally in excess of various retentions or on a proportional basis. In addition to loss recoveries, certain of the Company’s ceded reinsurance contracts provide for payments of additional premiums, for reinstatement premiums and for lost no-claims bonuses, which are incurred when losses are ceded to the respective reinsurance contracts. The Company remains liable to the extent that any reinsurer fails to meet its obligations. The following table sets forth the effect of reinsurance and retrocessional activity on premiums written and earned and on net claims and claim expenses incurred: Three months ended March 31, March 31, Premiums written Direct $ 147,692 $ 110,968 Assumed 1,878,029 1,453,327 Ceded (755,913 ) (635,264 ) Net premiums written $ 1,269,808 $ 929,031 Premiums earned Direct $ 134,229 $ 89,814 Assumed 1,149,733 765,433 Ceded (370,864 ) (305,219 ) Net premiums earned $ 913,098 $ 550,028 Claims and claim expenses Gross claims and claim expenses incurred $ 747,715 $ 338,119 Claims and claim expenses recovered (176,761 ) (111,084 ) Net claims and claim expenses incurred $ 570,954 $ 227,035 The Company adopted ASU 2016-13 effective January 1, 2020. In assessing an allowance for reinsurance assets, which includes reinsurance balances receivable and reinsurance recoverables, the Company considers historical information, financial strength of reinsurers, collateralization amounts and ratings to determine the appropriateness of the allowance. In assessing future default for reinsurance assets, the Company evaluated the valuation allowance under the probability of default and loss given default method. The Company utilizes its internal capital and risk models which uses counterparty ratings from major rating agencies, as well as assessing the current market conditions for the likelihood of default. Historically, the Company has not experienced material credit losses from reinsurance assets. The adoption of ASU 2016-13 did not have a material impact on the Company’s consolidated statements of operations and financial position. At March 31, 2020 , the Company’s reinsurance recoverable balance was $2.8 billion ( December 31, 2019 - $2.8 billion ). Of the Company’s reinsurance recoverable balance at March 31, 2020 , 52.1% is fully collateralized by our reinsurers, 46.0% is recoverable from reinsurers rated A- or higher by major rating agencies and 1.9% is recoverable from reinsurers rated lower than A- by major rating agencies ( December 31, 2019 - 57.5% , 41.0% and 1.5% , respectively). The reinsurers with the three largest balances accounted for 15.4% , 8.2% and 7.3% , respectively, of the Company’s reinsurance recoverable balance at March 31, 2020 ( December 31, 2019 - 12.7% , 7.2% and 7.0% , respectively). The valuation allowance recorded against reinsurance recoverable was $7.3 million at March 31, 2020 ( December 31, 2019 - $7.3 million ). The three largest company-specific components of the valuation allowance represented 18.1% , 7.9% and 7.2% , respectively, of the Company’s total valuation allowance at March 31, 2020 ( December 31, 2019 - 18.1% , 7.9% and 7.2% , respectively). |
Reserve for Claims and Claim Ex
Reserve for Claims and Claim Expenses | 3 Months Ended |
Mar. 31, 2020 | |
Insurance Loss Reserves [Abstract] | |
Reserve for Claims and Claim Expenses | RESERVE FOR CLAIMS AND CLAIM EXPENSES The Company believes the most significant accounting judgment made by management is its estimate of claims and claim expense reserves. Claims and claim expense reserves represent estimates, including actuarial and statistical projections at a given point in time, of the ultimate settlement and administration costs for unpaid claims and claim expenses arising from the insurance and reinsurance contracts the Company sells. The Company establishes its claims and claim expense reserves by taking claims reported to the Company by insureds and ceding companies, but which have not yet been paid (“case reserves”), adding estimates for the anticipated cost of claims incurred but not yet reported to the Company, or incurred but not enough reported to the Company (collectively referred to as “IBNR”) and, if deemed necessary, adding costs for additional case reserves which represent the Company’s estimates for claims related to specific contracts previously reported to the Company which it believes may not be adequately estimated by the client as of that date, or adequately covered in the application of IBNR. The following table summarizes the Company’s claims and claim expense reserves by segment, allocated between case reserves, additional case reserves and IBNR: At March 31, 2020 Case Reserves Additional Case Reserves IBNR Total Property $ 1,095,840 $ 1,707,754 $ 958,827 $ 3,762,421 Casualty and Specialty 1,644,402 105,505 3,894,049 5,643,956 Other 330 — — 330 Total $ 2,740,572 $ 1,813,259 $ 4,852,876 $ 9,406,707 At December 31, 2019 Property $ 1,253,406 $ 1,631,223 $ 1,189,221 $ 4,073,850 Casualty and Specialty 1,596,426 129,720 3,583,913 5,310,059 Other 440 — — 440 Total $ 2,850,272 $ 1,760,943 $ 4,773,134 $ 9,384,349 Activity in the liability for unpaid claims and claim expenses is summarized as follows: Three months ended March 31, 2020 2019 Net reserves as of beginning of period $ 6,593,052 $ 3,704,050 Net incurred related to: Current year 557,054 231,341 Prior years 13,900 (4,306 ) Total net incurred 570,954 227,035 Net paid related to: Current year 31,201 8,149 Prior years 436,286 300,120 Total net paid 467,487 308,269 Amounts acquired (1) — 1,858,775 Foreign exchange (2) (55,395 ) 1,550 Net reserves as of end of period 6,641,124 5,483,141 Reinsurance recoverable as of end of period 2,765,583 2,908,343 Gross reserves as of end of period $ 9,406,707 $ 8,391,484 (1) Represents the fair value of TMR's reserves for claims and claim expenses, net of reinsurance recoverables, acquired at March 22, 2019. (2) Reflects the impact of the foreign exchange revaluation of net reserves denominated in non-U.S. dollars as at the balance sheet date. Prior Year Development of the Reserve for Net Claims and Claim Expenses The Company’s estimates of claims and claim expense reserves are not precise in that, among other things, they are based on predictions of future developments and estimates of future trends and other variable factors. Some, but not all, of the Company’s reserves are further subject to the uncertainty inherent in actuarial methodologies and estimates. Because a reserve estimate is simply an insurer’s estimate at a point in time of its ultimate liability, and because there are numerous factors that affect reserves and claims payments that cannot be determined with certainty in advance, the Company’s ultimate payments will vary, perhaps materially, from its estimates of reserves. If the Company determines in a subsequent period that adjustments to its previously established reserves are appropriate, such adjustments are recorded in the period in which they are identified. On a net basis, the Company’s cumulative favorable or unfavorable development is generally reduced by offsetting changes in its reinsurance recoverables, as well as changes to loss related premiums such as reinstatement premiums and redeemable noncontrolling interest, all of which generally move in the opposite direction to changes in the Company’s ultimate claims and claim expenses. The following table details the Company’s prior year development by segment of its liability for unpaid claims and claim expenses: Three months ended March 31, 2020 2019 (Favorable) adverse development (Favorable) adverse development Property $ 14,008 $ 1,877 Casualty and Specialty (1 ) (6,202 ) Other (107 ) 19 Total net adverse (favorable) development of prior accident years net claims and claim expenses $ 13,900 $ (4,306 ) Changes to prior year estimated claims reserves decreased net income by $13.9 million during the three months ended March 31, 2020 ( 2019 - increased net income by $4.3 million ), excluding the consideration of changes in reinstatement, adjustment or other premium items, profit commissions, redeemable noncontrolling interests and income tax. Property Segment The following tables detail the development of the Company’s liability for unpaid claims and claim expenses for its Property segment, allocated between large and small catastrophe net claims and claim expenses and attritional net claims and claim expenses, included in the other line item: Three months ended March 31, 2020 (Favorable) adverse development Catastrophe net claims and claim expenses Large catastrophe events 2019 Large Loss Events $ (19,681 ) 2018 Large Loss Events (14,200 ) 2017 Large Loss Events (6,237 ) Other 8,027 Total large catastrophe events (32,091 ) Small catastrophe events and attritional loss movements Other small catastrophe events and attritional loss movements 46,099 Total small catastrophe events and attritional loss movements 46,099 Total net adverse development of prior accident years net claims and claim expenses $ 14,008 The net adverse development of prior accident years net claims and claim expenses within the Company’s Property segment in the three months ended March 31, 2020 of $14.0 million was comprised of net adverse development of $54.1 million primarily within the Company’s other property class of business and principally driven by higher than expected attritional losses related to lines of business where the Company principally estimates net claims and claim expenses using traditional actuarial methods, combined with the impact of certain of the Company’s whole account ceded protections. Partially offsetting this adverse development was favorable development on prior accident years net claims and claim expenses associated with the following large catastrophe events: • $19.7 million associated with Hurricane Dorian and Typhoon Faxai, Typhoon Hagibis and losses associated with aggregate loss contracts (collectively, the “2019 Large Loss Events”); • $14.2 million associated with Typhoons Jebi, Mangkhut and Trami, Hurricane Florence, the wildfires in California during the third and fourth quarters of 2018, Hurricane Michael and certain losses associated with aggregate loss contracts (collectively, the ”2018 Large Loss Events”); and • $6.2 million associated with Hurricanes Harvey, Irma and Maria, the Mexico City Earthquake, the wildfires in California during the fourth quarter of 2017 and certain losses associated with aggregate loss contracts (collectively, the “2017 Large Loss Events”). Three months ended March 31, 2019 (Favorable) adverse development Catastrophe net claims and claim expenses Large catastrophe events 2017 Large Loss Events $ (10,918 ) Other (1,374 ) Total large catastrophe events (12,292 ) Small catastrophe events and attritional loss movements Other small catastrophe events and attritional loss movements 14,169 Total small catastrophe events and attritional loss movements 14,169 Total catastrophe and attritional net claims and claim expenses 1,877 Total net adverse development of prior accident years net claims and claim expenses $ 1,877 The net adverse development of prior accident years net claims and claim expenses within the Company’s Property segment in the three months ended March 31, 2019 of $1.9 million was principally comprised of net adverse development of $14.2 million related to small catastrophe events and attritional loss movements and partially offset by net favorable development of $10.9 million related to the 2017 Large Loss Events . Casualty and Specialty Segment The following table details the development of the Company’s liability for unpaid claims and claim expenses for its Casualty and Specialty segment: Three months ended March 31, 2020 2019 (Favorable) adverse development (Favorable) adverse development Actuarial methods $ (1 ) $ (6,202 ) Total net favorable development of prior accident years net claims and claim expenses $ (1 ) $ (6,202 ) The net favorable development of prior accident years net claims and claim expenses within the Company’s Casualty and Specialty segment of $1 thousand in the three months ended March 31, 2020 was due to reported losses generally coming in as expected on attritional net claims and claim expenses. The net favorable development of prior accident years net claims and claim expenses within the Company’s Casualty and Specialty segment was $6.2 million in the three months ended March 31, 2019 driven by reported losses generally coming in lower than expected on attritional net claims and claim expenses and certain assumption changes across a number of lines of business. |
Debt and Credit Facilities
Debt and Credit Facilities | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt and Credit Facilities | DEBT AND CREDIT FACILITIES There have been no material changes to the Company’s debt obligations and credit facilities as described in its Form 10-K for the year ended December 31, 2019 , except as described below. Debt Obligations A summary of the Company’s debt obligations on its consolidated balance sheets is set forth below: March 31, 2020 December 31, 2019 Fair Value Carrying Value Fair Value Carrying Value 3.600% Senior Notes due 2029 $ 421,260 $ 391,703 $ 424,920 $ 391,475 3.450% Senior Notes due 2027 317,685 296,415 314,070 296,292 3.700% Senior Notes due 2025 316,560 298,150 318,567 298,057 5.750% Senior Notes due 2020 — — 251,030 249,931 4.750% Senior Notes due 2025 (DaVinciRe) (1) 145,842 148,427 160,031 148,350 Total debt $ 1,201,347 $ 1,134,695 $ 1,468,618 $ 1,384,105 (1) RenaissanceRe owns a noncontrolling economic interest in its joint venture DaVinciRe. Because RenaissanceRe controls a majority of DaVinciRe’s outstanding voting rights, the consolidated financial statements of DaVinciRe are included in the consolidated financial statements of RenaissanceRe. However, RenaissanceRe does not guarantee or provide credit support for DaVinciRe and RenaissanceRe’s financial exposure to DaVinciRe is limited to its investment in DaVinciRe’s shares and counterparty credit risk arising from reinsurance transactions. 5.75% Senior Notes due 2020 of RenRe North America Holdings Inc. and RenaissanceRe Finance On March 15, 2020 , the Company repaid in full at maturity the aggregate principal amount of $250.0 million , plus applicable accrued interest, of the 5.75% Senior Notes due 2020 of RenRe North America Holdings Inc. and RenaissanceRe Finance. Credit Facilities The outstanding amounts issued or drawn under each of the Company’s significant credit facilities is set forth below: At March 31, 2020 Issued or Drawn Revolving Credit Facility (1) $ — Bilateral Letter of Credit Facilities Secured 324,147 Unsecured 373,951 Funds at Lloyd’s Letter of Credit Facility 290,000 TMR Letters of Credit (2) 75 $ 988,173 (1) At March 31, 2020 , no amounts were issued or drawn under this facility. (2) These letters of credit were transferred to the Company in connection with the acquisition of TMR and were terminated during the quarter ended March 31, 2020, except for certain immaterial amounts. Refer to “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information related to the acquisition of TMR. TMR Letters of Credit During the quarter ended March 31, 2020, the following letters of credit and facilities that were transferred to the Company in connection with the acquisition of TMR were terminated: (a) certain letters of credit for the account of RenaissanceRe Europe issued by Mizuho Bank, Ltd. pursuant to a Letter of Credit and Reimbursement Agreement, dated as of May 14, 2012, as amended, (b) certain letters of credit for the account of RenaissanceRe Europe issued by The Bank of Tokyo-Mitsubishi UFJ Ltd., Düsseldorf Branch pursuant to a Committed Revolving Standby Letter of Credit Agreement, dated as of September 29, 2017, and (c) certain letters of credit for the account of RenaissanceRe UK issued by The Bank of Tokyo-Mitsubishi UFJ, Ltd. pursuant to a Facility Letter, dated as of December 21, 2006. The parties had previously agreed that no new letters of credit would be issued under these facilities. |
Noncontrolling Interests
Noncontrolling Interests | 3 Months Ended |
Mar. 31, 2020 | |
Business Combination, Acquisition of Less than 100 Percent, Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | NONCONTROLLING INTERESTS A summary of the Company’s redeemable noncontrolling interests on its consolidated balance sheets is set forth below: March 31, December 31, 2019 Redeemable noncontrolling interest - DaVinciRe $ 1,533,085 $ 1,435,581 Redeemable noncontrolling interest - Medici 677,283 632,112 Redeemable noncontrolling interest - Vermeer 1,021,478 1,003,615 Redeemable noncontrolling interests $ 3,231,846 $ 3,071,308 A summary of the Company’s redeemable noncontrolling interests on its consolidated statements of operations is set forth below: Three months ended March 31, March 31, Redeemable noncontrolling interest - DaVinciRe $ 84,906 $ 62,533 Redeemable noncontrolling interest - Medici (4,678 ) 2,481 Redeemable noncontrolling interest - Vermeer 17,863 5,208 Net income attributable to redeemable noncontrolling interests $ 98,091 $ 70,222 Redeemable Noncontrolling Interest – DaVinciRe RenaissanceRe owns a noncontrolling economic interest in DaVinciRe; however, because RenaissanceRe controls a majority of DaVinciRe’s outstanding voting rights, the consolidated financial statements of DaVinciRe are included in the consolidated financial statements of the Company. The portion of DaVinciRe’s earnings owned by third parties is recorded in the consolidated statements of operations as net income attributable to redeemable noncontrolling interests. The Company’s noncontrolling economic ownership in DaVinciRe was 21.4% at March 31, 2020 ( December 31, 2019 - 21.9% ). DaVinciRe shareholders are party to a shareholders agreement which provides DaVinciRe shareholders, excluding RenaissanceRe, with certain redemption rights that enable each shareholder to notify DaVinciRe of such shareholder’s desire for DaVinciRe to repurchase up to half of such shareholder’s initial aggregate number of shares held, subject to certain limitations, such as limiting the aggregate of all share repurchase requests to 25% of DaVinciRe’s capital in any given year and satisfying all applicable regulatory requirements. If total shareholder requests exceed 25% of DaVinciRe’s capital, the number of shares repurchased will be reduced among the requesting shareholders pro-rata, based on the amounts desired to be repurchased. Shareholders desiring to have DaVinci repurchase their shares must notify DaVinciRe before March 1 of each year. The repurchase price will be based on GAAP book value as of the end of the year in which the shareholder notice is given, and the repurchase will be effective as of January 1 of the following year. The repurchase price is generally subject to a true-up for potential development on outstanding loss reserves after settlement of all claims relating to the applicable years. 2020 Effective January 1, 2020, the Company sold an aggregate of $10.0 million of its shares in DaVinciRe to an existing third-party investor. The Company’s noncontrolling economic ownership in DaVinciRe subsequent to these transactions was 21.4% . The Company expects its noncontrolling economic ownership in DaVinciRe to fluctuate over time. The activity in redeemable noncontrolling interest – DaVinciRe is detailed in the table below: Three months ended March 31, March 31, Beginning balance $ 1,435,581 $ 1,034,946 Redemption of shares from redeemable noncontrolling interest, net of adjustments 2,607 (234 ) Sale of shares to redeemable noncontrolling interests 9,991 — Net income attributable to redeemable noncontrolling interest 84,906 62,533 Ending balance $ 1,533,085 $ 1,097,245 Redeemable Noncontrolling Interest - RenaissanceRe Medici Fund Ltd. Medici is an exempted company incorporated under the laws of Bermuda and its objective is to seek to invest substantially all of its assets in various insurance-based investment instruments that have returns primarily tied to property catastrophe risk. RenaissanceRe owns a noncontrolling economic interest in Medici; however, because RenaissanceRe controls all of Medici’s outstanding voting rights, the financial statements of Medici are included in the consolidated financial statements of the Company. The portion of Medici’s earnings owned by third parties is recorded in the consolidated statements of operations as net income attributable to redeemable noncontrolling interests. Any shareholder may redeem all or any portion of its shares as of the last day of any calendar month, upon at least 30 calendar days’ prior irrevocable written notice to Medici. 2020 During the three months ended March 31, 2020 , third-party investors subscribed for $54.6 million and redeemed $4.8 million of the participating, non-voting common shares of Medici. As a result of these net subscriptions, the Company’s noncontrolling economic ownership in Medici was 11.2% at March 31, 2020 . 2019 During the three months ended March 31, 2019 , third-party investors subscribed for $3.6 million and redeemed $15.9 million of the participating, non-voting common shares of Medici. As a result of these net subscriptions, the Company’s noncontrolling economic ownership in Medici was 17.1% at March 31, 2019 . The Company expects its noncontrolling economic ownership in Medici to fluctuate over time. The activity in redeemable noncontrolling interest – Medici is detailed in the table below: Three months ended March 31, March 31, Beginning balance $ 632,112 $ 416,765 Redemption of shares from redeemable noncontrolling interest, net of adjustments (4,764 ) (15,884 ) Sale of shares to redeemable noncontrolling interests 54,613 3,596 Net (loss) income attributable to redeemable noncontrolling interest (4,678 ) 2,481 Ending balance $ 677,283 $ 406,958 Redeemable Noncontrolling Interest – Vermeer Vermeer is an exempted Bermuda reinsurer that provides capacity focused on risk remote layers in the U.S. property catastrophe market. Vermeer is managed by RUM in return for a management fee. The Company maintains majority voting control of Vermeer, while the sole third-party investor, PGGM, retains all of the economic benefits. The Company concluded that Vermeer is a VIE as it has voting rights that are not proportional to its participating rights, and the Company is the primary beneficiary. As a result, the Company consolidates Vermeer and all significant inter-company transactions have been eliminated. The portion of Vermeer’s earnings owned by PGGM is recorded in the consolidated statements of operations as net income attributable to redeemable noncontrolling interests. The Company has not provided any financial or other support to Vermeer that it was not contractually required to provide. 2019 During the three months ended December 31, 2018, PGGM subscribed for $600.0 million of the participating, non-voting common shares of Vermeer and the Company subscribed for $1 thousand of all the voting, non-participating shares of Vermeer. The Company does not expect its noncontrolling economic ownership in Vermeer to fluctuate over time. The activity in redeemable noncontrolling interest – Vermeer is detailed in the table below: Three months ended March 31, March 31, Beginning balance $ 1,003,615 $ 599,989 Net income attributable to redeemable noncontrolling interest 17,863 5,208 Ending balance $ 1,021,478 $ 605,197 |
Variable Interest Entities
Variable Interest Entities | 3 Months Ended |
Mar. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES Upsilon RFO Upsilon RFO is a managed joint venture and a Bermuda domiciled SPI that was formed by the Company principally to provide additional capacity to the worldwide aggregate and per-occurrence retrocessional property catastrophe excess of loss market. The shareholders (other than the Class A shareholder) participate in substantially all of the profits or losses of Upsilon RFO while their shares remain outstanding. The shareholders (other than the Class A shareholder) indemnify Upsilon RFO against losses relating to insurance risk, and therefore, these shares have been accounted for as prospective reinsurance under FASB ASC Topic Financial Services - Insurance . Upsilon RFO is considered a VIE as it has insufficient equity capital to finance its activities without additional financial support. The Company is the primary beneficiary of Upsilon RFO as it has the power over the activities that most significantly impact the economic performance of Upsilon RFO and has the obligation to absorb expected losses and the right to receive expected benefits that could be significant to Upsilon RFO, in accordance with the accounting guidance. As a result, the Company consolidates Upsilon RFO and all significant inter-company transactions have been eliminated. Other than its equity investment in Upsilon RFO, the Company has not provided financial or other support to Upsilon RFO that it was not contractually required to provide. 2020 During the three months ended March 31, 2020 , Upsilon RFO returned $81.8 million of capital to its investors, including $29.9 million to the Company. In addition, during the three months ended March 31, 2020 , $620.9 million of Upsilon RFO non-voting preference shares were issued to existing investors, including $75.4 million to the Company. At March 31, 2020 , the Company’s participation in the risks assumed by Upsilon RFO was 14.2% . At March 31, 2020 , the Company’s consolidated balance sheet included total assets and total liabilities of Upsilon RFO of $3.4 billion and $3.4 billion , respectively ( December 31, 2019 - $3.1 billion and $3.1 billion , respectively). 2019 During 2019 , Upsilon RFO returned $279.2 million of capital to its investors, including $31.0 million to the Company. In addition, during 2019 , $618.7 million of Upsilon RFO non-voting preference shares were issued to new and existing investors, including $100.0 million to the Company. At December 31, 2019, the Company’s participation in the risks assumed by Upsilon RFO was 16.5% . Payments for certain of the shares issued during 2019 that were received by the Company prior to January 1, 2019 were included in other liabilities on the Company’s consolidated balance sheet at December 31, 2018, and in other operating cash flows on the Company’s consolidated statements of cash flows for 2018. During 2019, in connection with the issuance of the non-voting preference shares of Upsilon RFO, other liabilities were reduced by this amount, and reinsurance balances payable were increased by an offsetting amount, with corresponding impacts to other operating cash flows and the change in reinsurance balances payable on the Company consolidated statements of cash flows for the year ended December 31, 2019. Vermeer Vermeer is an exempted Bermuda reinsurer that provides capacity focused on risk remote layers in the U.S. property catastrophe market. Vermeer is considered a VIE as it has voting rights that are not proportional to its participating rights. The Company is the primary beneficiary of Vermeer as it has power over the activities that most significantly impact the economic performance of Vermeer and has the obligation to absorb expected losses and the right to receive expected benefits that could be significant to Vermeer, in accordance with the accounting guidance. The portion of Vermeer’s earnings owned by PGGM is recorded in the consolidated statements of operations as net income attributable to redeemable noncontrolling interests. See “Note 8 . Noncontrolling Interests” for additional information regarding Vermeer. Other than the Company’s minimal equity investment, it has not provided any financial or other support to Vermeer that it was not contractually required to provide. At March 31, 2020 , the Company’s consolidated balance sheet included total assets and total liabilities of Vermeer of $1.0 billion and $27.3 million , respectively ( December 31, 2019 - $1.0 billion and $23.2 million , respectively). In addition, the Company’s consolidated balance sheet included redeemable noncontrolling interests associated with Vermeer of $1.0 billion at March 31, 2020 ( December 31, 2019 - $1.0 billion ). Mona Lisa Re Mona Lisa Re is licensed as a Bermuda domiciled SPI to provide reinsurance capacity to subsidiaries of RenaissanceRe, namely Renaissance Reinsurance and DaVinci, through reinsurance agreements which are collateralized and funded by Mona Lisa Re through the issuance of one or more series of principal-at-risk variable rate notes. Upon issuance of a series of notes by Mona Lisa Re, all of the proceeds from the issuance are deposited into collateral accounts, separated by series, to fund any potential obligation under the reinsurance agreements entered into with Renaissance Reinsurance and/or DaVinci underlying such series of notes. The outstanding principal amount of each series of notes generally will be returned to holders of such notes upon the expiration of the risk period underlying such notes, unless an event occurs which causes a loss under the applicable series of notes, in which case the amount returned will be reduced by such noteholder’s pro rata share of such loss, as specified in the applicable governing documents of such notes. In addition, holders of such notes are generally entitled to interest payments, payable quarterly, as determined by the applicable governing documents of each series of notes. The Company concluded that Mona Lisa Re meets the definition of a VIE as it does not have sufficient equity capital to finance its activities. The Company evaluated its relationship with Mona Lisa Re and concluded it is not the primary beneficiary of Mona Lisa Re as it does not have power over the activities that most significantly impact the economic performance of Mona Lisa Re. As a result, the financial position and results of operations of Mona Lisa Re are not consolidated by the Company. On July 6, 2018, all previously outstanding series of notes issued by Mona Lisa Re were redeemed and the proceeds were returned to the holders of such notes. Effective January 10, 2020, Mona Lisa Re issued two series of principal-at-risk variable rate notes to investors for a total principal amount of $400.0 million . At March 31, 2020 , the total assets and total liabilities of Mona Lisa Re were $424.7 million and $424.7 million , respectively ( 2019 - $6 thousand and $6 thousand , respectively). The only transactions related to Mona Lisa Re that are recorded in the Company’s consolidated financial statements are the ceded reinsurance agreements entered into by Renaissance Reinsurance and DaVinci which are accounted for as prospective reinsurance under FASB ASC Topic Financial Services - Insurance , and the fair value of the principal-at-risk variable rate notes owned by the Company. Other than its investment in the principal-at-risk variable rate notes of Mona Lisa Re, the Company has not provided financial or other support to Mona Lisa Re that it was not contractually required to provide. The fair value of the Company’s investment in the principal-at-risk variable rate notes of Mona Lisa Re is included in other investments. Net of third-party investors, the fair value of the Company’s investment in Mona Lisa Re was $2.9 million at March 31, 2020 . Renaissance Reinsurance and DaVinci have together entered into ceded reinsurance contracts with Mona Lisa Re with gross premiums ceded of $29.2 million and $7.3 million , respectively, during the three months ended March 31, 2020 ( 2019 - $ Nil and $ Nil , respectively). In addition, Renaissance Reinsurance and DaVinci recognized ceded premiums earned related to the ceded reinsurance contracts with Mona Lisa Re of $7.3 million and $1.8 million , respectively, during the three months ended March 31, 2020 ( 2019 - $ Nil and $ Nil , respectively). Fibonacci Re Fibonacci Re, a Bermuda-domiciled SPI, was formed to provide collateralized capacity to Renaissance Reinsurance and its affiliates. Upon issuance of a series of notes by Fibonacci Re, all of the proceeds from the issuance are deposited into collateral accounts, separated by series, to fund any potential obligation under the reinsurance agreements entered into with Renaissance Reinsurance underlying such series of notes. The outstanding principal amount of each series of notes generally is expected to be returned to holders of such notes upon the expiration of the risk period underlying such notes, unless an event occurs which causes a loss under the applicable series of notes, in which case the amount returned is expected to be reduced by such noteholder’s pro rata share of such loss, as specified in the applicable governing documents of such notes. In addition, holders of such notes are generally entitled to interest payments, payable quarterly, as determined by the applicable governing documents of each series of notes. RUM receives an origination and structuring fee in connection with the formation and operation of Fibonacci Re. The Company concluded that Fibonacci Re meets the definition of a VIE as it does not have sufficient equity capital to finance its activities. The Company evaluated its relationship with Fibonacci Re and concluded it is not the primary beneficiary of Fibonacci Re as it does not have power over the activities that most significantly impact the economic performance of Fibonacci Re. As a result, the Company does not consolidate the financial position or results of operations of Fibonacci Re. The only transactions related to Fibonacci Re that will be recorded in the Company’s consolidated financial statements will be the ceded reinsurance agreements entered into by Renaissance Reinsurance that are accounted for as prospective reinsurance under FASB ASC Topic Financial Services - Insurance, and the fair value of the participating notes owned by the Company. Other than its investment in the participating notes of Fibonacci Re, the Company has not provided financial or other support to Fibonacci Re that it was not contractually required to provide. The fair value of the Company’s investment in the participating notes of Fibonacci Re is included in other investments. Net of third-party investors, the fair value of the Company’s investment in Fibonacci Re was $0.4 million at March 31, 2020 ( December 31, 2019 - $0.4 million ). Renaissance Reinsurance entered into ceded reinsurance contracts with Fibonacci Re with ceded premiums written of $ Nil and ceded premiums earned of $ Nil during the three months ended March 31, 2020 ( 2019 - $6 thousand and $6 thousand , respectively). During the three months ended March 31, 2020 , Renaissance Reinsurance reduced its net claims and claim expenses ceded to Fibonacci by $1.1 million ( 2019 - ceded net claims and claim expenses of $7.5 million ) and as of March 31, 2020 had a net reinsurance recoverable of $6.4 million from Fibonacci Re ( December 31, 2019 - $7.5 million ). Langhorne The Company and Reinsurance Group of America, Incorporated formed Langhorne, an initiative to source third party capital to support reinsurers targeting large in-force life and annuity blocks. In connection with Langhorne, as of March 31, 2020 the Company has invested $1.8 million in Langhorne Holdings ( December 31, 2019 - $1.7 million ), a company that owns and manages certain reinsurance entities within Langhorne. In addition, as of March 31, 2020 the Company has invested $0.1 million in Langhorne Partners ( December 31, 2019 - $0.1 million ), the general partner for Langhorne and the entity which manages the third-party investors investing into Langhorne Holdings. The Company concluded that Langhorne Holdings meets the definition of a VIE as the voting rights are not proportional with the obligations to absorb losses and rights to receive residual returns. The Company evaluated its relationship with Langhorne Holdings and concluded it is not the primary beneficiary of Langhorne Holdings, as it does not have power over the activities that most significantly impact the economic performance of Langhorne Holdings. As a result, the Company does not consolidate the financial position or results of operations of Langhorne Holdings. The Company separately evaluated Langhorne Partners and concluded that it was not a VIE. The Company accounts for its investments in Langhorne Holdings and Langhorne Partners under the equity method of accounting, one quarter in arrears. The Company anticipates that its absolute investment in Langhorne will increase, perhaps materially, as in-force life and annuity blocks of businesses are written. The Company expects its absolute and relative ownership in Langhorne Partners to remain stable. Other than its current and committed future equity investment in Langhorne, the Company has not provided financial or other support to Langhorne that it was not contractually required to provide. Shima Re Shima Re was acquired on March 22, 2019 in connection with the acquisition of TMR. See “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information related to the acquisition of TMR. Shima Re is a Bermuda domiciled Class 3 insurer. Shima Re is registered as a segregated accounts company and provides third-party investors with access to reinsurance risk formerly managed by TMR. Following the closing of the acquisition, the retrocessionaires providing reinsurance to TMR on certain of the TMR managed third-party capital vehicles’ legacy portfolios of in-force and expired contracts were replaced. The maximum remaining exposure of each segregated account is fully collateralized and is funded by cash and term deposits or investments as prescribed by the participant thereto. Shima Re no longer writes new business and the last in-force contract written by Shima Re expired on December 31, 2019. Shima Re is considered a VIE as it has voting rights that are not proportional to its participating rights. The Company evaluated its relationship with Shima Re and concluded it is not the primary beneficiary of any segregated account, as it does not have power over the activities that most significantly impact the economic performance of any segregated account. As a result, the Company does not consolidate the financial position or results of operations of Shima Re or its segregated accounts. The Company has not provided any financial or other support to any segregated account of Shima Re that it was not contractually required to provide. Norwood Re A subsidiary of RenaissanceRe Europe that the Company acquired in the acquisition of TMR manages Norwood Re. See “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information related to the acquisition of TMR. Norwood Re is a Bermuda domiciled SPI registered as a segregated accounts company formed to provide solutions for reinsurance-linked asset investors. Norwood Re is wholly owned by the Norwood Re Purpose Trust. Risks assumed by the segregated accounts of Norwood Re are fronted by or ceded from only one cedant - RenaissanceRe Europe and/or its insurance affiliates. The obligations of each segregated account are funded through the issuance of non-voting preference shares to third-party investors. The maximum exposure of each segregated account is fully collateralized and is funded by cash and term deposits or investments as prescribed by the participant thereto. Norwood Re no longer writes new business, and the last in-force contract written by Norwood will expire no later than May 31, 2020. Norwood Re is considered a VIE as it has voting rights that are not proportional to its participating rights. The Company evaluated its relationship with Norwood Re and concluded it is not the primary beneficiary of Norwood Re and its segregated accounts, as it does not have power over the activities that most significantly impact the economic performance of Norwood Re and its segregated accounts. As a result, the Company does not consolidate the financial position or results of operations of Norwood Re and its segregated accounts. The Company has not provided any financial or other support to Norwood Re that it was not contractually required to provide. |
Shareholders' Equity
Shareholders' Equity | 3 Months Ended |
Mar. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | SHAREHOLDERS’ EQUITY Dividends The Board of Directors of RenaissanceRe declared dividends of $0.35 per common share, payable to common shareholders of record on March 13, 2020, and the Company paid the dividends on March 31, 2020. The Board of Directors approved the payment of quarterly dividends on the Series C 6.08% Preference Shares, Series E 5.375% Preference Shares and 5.750% Series F Preference Shares to preference shareholders of record in the amounts and on the quarterly record dates and dividend payment dates set forth in the prospectus supplement and Certificate of Designation for the applicable series of preference shares, unless and until further action is taken by the Board of Directors. The dividend payment dates for the preference shares will be the first day of March, June, September and December of each year (or if this date is not a business day, on the business day immediately following this date). The record dates for the preference share dividends are one day prior to the dividend payment dates. The amount of the dividend on the Series C 6.08% Preference Shares is an amount per share equal to 6.08% of the liquidation preference per annum (the equivalent to $1.52 per share per annum, or $0.38 per share per quarter). The amount of the dividend on the Series E 5.375% Preference Shares is an amount per share equal to 5.375% of the liquidation preference per annum (the equivalent to $1.34375 per share per annum, or $0.3359375 per share per quarter). The amount of the dividend on the 5.750% Series F Preference Shares is an amount per share equal to 5.750% of the liquidation preference per annum (the equivalent to $1,437.50 per 5.750% Series F Preference Share per annum, or $359.375 per 5.750% Series F Preference Share per quarter, or $1.4375 per Depositary Share per annum, or $0.359375 per Depositary Share per quarter). During the three months ended March 31, 2020 , the Company paid $9.1 million in preference share dividends ( 2019 - $9.2 million ) and $15.4 million in common share dividends ( 2019 - $14.5 million ). Series C 6.08% Preference Shares Redemption In February 2020, RenaissanceRe announced a redemption of all 5 million of its outstanding Series C 6.08% Preference Shares. The Series C 6.08% Preference Shares were redeemed on March 26, 2020 for $125.0 million plus accrued and unpaid dividends thereon. Following the redemption, no Series C 6.08% Preference Shares remain outstanding. Common Shares On March 22, 2019, in connection with the closing of the TMR Stock Purchase, the Company issued 1,739,071 of its common shares to Tokio as part of the aggregate consideration payable to Tokio under the TMR Stock Purchase Agreement. See “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information related to the acquisition of TMR. On January 9, 2020, Tokio completed a secondary public offering of these common shares, which represented all of Tokio's remaining ownership in the Company. The Company did not receive any proceeds from Tokio’s sale of its common shares. Share Repurchases The Company’s share repurchase program may be effected from time to time, depending on market conditions and other factors, through open market purchases and privately negotiated transactions. On November 10, 2017 , RenaissanceRe’s Board of Directors approved a renewal of its authorized share repurchase program for an aggregate amount of up to $500.0 million . Unless terminated earlier by RenaissanceRe’s Board of Directors, the program will expire when the Company has repurchased the full value of the common shares authorized. The Company’s decision to repurchase common shares will depend on, among other matters, the market price of the common shares and the capital requirements of the Company. During the first quarter of 2020 , the Company repurchased 406 thousand common shares in open market transactions at an aggregate cost of $62.6 million and an average price of $154.36 per common share. At March 31, 2020 , $437.4 million remained available for repurchase under the share repurchase program. Given the current economic environment and to preserve capital for both risk and opportunity, the Company suspended share repurchases in March 2020. The Company has not engaged in any share repurchase activity during April 2020 or May 2020 to date. In the near term, the Company intends to prioritize capital for deployment into its business; however, we may resume repurchases at any time when we believe it is prudent to do so and without further notice. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per common share: Three months ended (common shares in thousands) March 31, March 31, Numerator: Net (loss) income (attributable) available to RenaissanceRe common shareholders $ (81,974 ) $ 273,717 Amount allocated to participating common shareholders (1) (146 ) (3,121 ) Net (loss) income allocated to RenaissanceRe common shareholders $ (82,120 ) $ 270,596 Denominator: Denominator for basic (loss) income per RenaissanceRe common share - weighted average common shares 43,441 42,065 Per common share equivalents of employee stock options and non-vested shares — 26 Denominator for diluted (loss) income per RenaissanceRe common share - adjusted weighted average common shares and assumed conversions 43,441 42,091 Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share – basic $ (1.89 ) $ 6.43 Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share – diluted $ (1.89 ) $ 6.43 (1) Represents earnings and dividends attributable to holders of unvested shares issued pursuant to the Company's stock compensation plans. |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2020 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Segment Reporting | SEGMENT REPORTING The Company’s reportable segments are defined as follows: (1) Property, which is comprised of catastrophe and other property reinsurance and insurance written on behalf of the Company’s operating subsidiaries and certain joint ventures managed by the Company’s ventures unit, and (2) Casualty and Specialty, which is comprised of casualty and specialty reinsurance and insurance written on behalf of the Company’s operating subsidiaries and certain joint ventures managed by the Company’s ventures unit. In addition to its reportable segments, the Company has an Other category, which primarily includes its strategic investments, investments unit, corporate expenses, capital servicing costs, noncontrolling interests, certain expenses related to acquisitions and the remnants of its former Bermuda-based insurance operations. The Company’s Property segment is managed by the Chief Underwriting Officer - Property and the Casualty and Specialty segment is managed by the Chief Underwriting Officer - Casualty and Specialty, each of whom operate under the direction of the Company’s Group Chief Underwriting Officer, who in turn reports to the Company’s President and Chief Executive Officer. The Company does not manage its assets by segment; accordingly, net investment income and total assets are not allocated to the segments. A summary of the significant components of the Company’s revenues and expenses by segment is as follows: Three months ended March 31, 2020 Property Casualty and Specialty Other Total Gross premiums written $ 1,220,526 $ 805,195 $ — $ 2,025,721 Net premiums written $ 674,581 $ 595,227 $ — $ 1,269,808 Net premiums earned $ 421,335 $ 491,763 $ — $ 913,098 Net claims and claim expenses incurred 144,852 426,209 (107 ) 570,954 Acquisition expenses 85,351 125,253 — 210,604 Operational expenses 44,007 23,454 — 67,461 Underwriting income (loss) $ 147,125 $ (83,153 ) $ 107 64,079 Net investment income 99,473 99,473 Net foreign exchange losses (5,728 ) (5,728 ) Equity in earnings of other ventures 4,564 4,564 Other loss (4,436 ) (4,436 ) Net realized and unrealized losses on investments (110,707 ) (110,707 ) Corporate expenses (15,991 ) (15,991 ) Interest expense (14,927 ) (14,927 ) Income before taxes 16,327 Income tax benefit 8,846 8,846 Net income attributable to redeemable noncontrolling interests (98,091 ) (98,091 ) Dividends on preference shares (9,056 ) (9,056 ) Net loss attributable to RenaissanceRe common shareholders $ (81,974 ) Net claims and claim expenses incurred – current accident year $ 130,844 $ 426,210 $ — $ 557,054 Net claims and claim expenses incurred – prior accident years 14,008 (1 ) (107 ) 13,900 Net claims and claim expenses incurred – total $ 144,852 $ 426,209 $ (107 ) $ 570,954 Net claims and claim expense ratio – current accident year 31.1 % 86.7 % 61.0 % Net claims and claim expense ratio – prior accident years 3.3 % — % 1.5 % Net claims and claim expense ratio – calendar year 34.4 % 86.7 % 62.5 % Underwriting expense ratio 30.7 % 30.2 % 30.5 % Combined ratio 65.1 % 116.9 % 93.0 % Three months ended March 31, 2019 Property Casualty and Specialty Other Total Gross premiums written $ 1,032,384 $ 531,911 $ — $ 1,564,295 Net premiums written $ 564,230 $ 364,801 $ — $ 929,031 Net premiums earned $ 290,745 $ 259,283 $ — $ 550,028 Net claims and claim expenses incurred 56,083 170,933 19 227,035 Acquisition expenses 53,739 70,212 — 123,951 Operational expenses 28,544 16,389 — 44,933 Underwriting income (loss) $ 152,379 $ 1,749 $ (19 ) 154,109 Net investment income 82,094 82,094 Net foreign exchange losses (2,846 ) (2,846 ) Equity in earnings of other ventures 4,661 4,661 Other income 3,171 3,171 Net realized and unrealized gains on investments 170,013 170,013 Corporate expenses (38,789 ) (38,789 ) Interest expense (11,754 ) (11,754 ) Income before taxes 360,659 Income tax expense (7,531 ) (7,531 ) Net income attributable to redeemable noncontrolling interests (70,222 ) (70,222 ) Dividends on preference shares (9,189 ) (9,189 ) Net income available to RenaissanceRe common shareholders $ 273,717 Net claims and claim expenses incurred – current accident year $ 54,206 $ 177,135 $ — $ 231,341 Net claims and claim expenses incurred – prior accident years 1,877 (6,202 ) 19 (4,306 ) Net claims and claim expenses incurred – total $ 56,083 $ 170,933 $ 19 $ 227,035 Net claims and claim expense ratio – current accident year 18.6 % 68.3 % 42.1 % Net claims and claim expense ratio – prior accident years 0.7 % (2.4 )% (0.8 )% Net claims and claim expense ratio – calendar year 19.3 % 65.9 % 41.3 % Underwriting expense ratio 28.3 % 33.4 % 30.7 % Combined ratio 47.6 % 99.3 % 72.0 % |
Derivative Instruments
Derivative Instruments | 3 Months Ended |
Mar. 31, 2020 | |
Summary of Derivative Instruments [Abstract] | |
Derivative Instruments | DERIVATIVE INSTRUMENTS From time to time, the Company may enter into derivative instruments such as futures, options, swaps, forward contracts and other derivative contracts primarily to manage its foreign currency exposure, obtain exposure to a particular financial market, for yield enhancement, or for trading and to assume risk. The Company’s derivative instruments can be exchange traded or over-the-counter, with over-the-counter derivatives generally traded under International Swaps and Derivatives Association master agreements, which establish the terms of the transactions entered into with the Company’s derivative counterparties. In the event a party becomes insolvent or otherwise defaults on its obligations, a master agreement generally permits the non-defaulting party to accelerate and terminate all outstanding transactions and net the transactions’ marked-to-market values so that a single sum in a single currency will be owed by, or owed to, the non-defaulting party. Effectively, this contractual close-out netting reduces credit exposure from gross to net exposure. Where the Company has entered into master netting agreements with counterparties, or the Company has the legal and contractual right to offset positions, the derivative positions are generally netted by counterparty and are reported accordingly in other assets and other liabilities. Commencing in the second quarter of 2019, the Company elected to adopt hedge accounting for certain of its derivative instruments used as hedges of a net investment in a foreign operation. The tables below show the gross and net amounts of recognized derivative assets and liabilities at fair value, including the location on the consolidated balance sheets of the Company’s principal derivative instruments: Derivative Assets At March 31, 2020 Gross Amounts of Recognized Assets Gross Amounts Offset in the Balance Sheet Net Amounts of Assets Presented in the Balance Sheet Balance Sheet Location Collateral Net Amount Derivative instruments not designated as hedges Interest rate futures $ 139 $ (789 ) $ 928 Other assets $ — $ 928 Foreign currency forward contracts (1) 17,824 2,416 15,408 Other assets — 15,408 Foreign currency forward contracts (2) 6,645 439 6,206 Other assets — 6,206 Credit default swaps 30 — 30 Other assets — 30 Total derivative instruments not designated as hedges 24,638 2,066 22,572 — 22,572 Derivative instruments designated as hedges Foreign currency forward contracts (3) 4,154 — 4,154 Other assets — 4,154 Total $ 28,792 $ 2,066 $ 26,726 $ — $ 26,726 Derivative Liabilities At March 31, 2020 Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Balance Sheet Net Amounts of Liabilities Presented in the Balance Sheet Balance Sheet Location Collateral Pledged Net Amount Derivative instruments not designated as hedges Interest rate futures $ 1,654 $ (789 ) $ 2,443 Other liabilities $ 2,443 $ — Interest rate swaps 114 — 114 Other assets 114 — Foreign currency forward contracts (1) 9,700 4,810 4,890 Other liabilities — 4,890 Foreign currency forward contracts (2) 440 439 1 Other liabilities — 1 Credit default swaps 332 — 332 Other assets 332 — Total return swaps 17,767 — 17,767 Other assets 17,767 — Equity futures 813 — 813 Other liabilities 813 — Total derivative instruments not designated as hedges 30,820 4,460 26,360 21,469 4,891 Derivative instruments designated as hedges Foreign currency forward contracts (3) — 1,489 (1,489 ) Other liabilities — (1,489 ) Total $ 30,820 $ 5,949 $ 24,871 $ 21,469 $ 3,402 (1) Contracts used to manage foreign currency risks in underwriting and non-investment operations. (2) Contracts used to manage foreign currency risks in investment operations. (3) Contracts designated as hedges of a net investment in a foreign operation. Derivative Assets At December 31, 2019 Gross Amounts of Recognized Assets Gross Amounts Offset in the Balance Sheet Net Amounts of Assets Presented in the Balance Sheet Balance Sheet Location Collateral Net Amount Derivative instruments not designated as hedges Interest rate futures $ 234 $ 122 $ 112 Other assets $ — $ 112 Foreign currency forward contracts (1) 22,702 2,418 20,284 Other assets — 20,284 Foreign currency forward contracts (2) 1,082 622 460 Other assets — 460 Credit default swaps 37 — 37 Other assets — 37 Total return swaps 3,744 — 3,744 Other assets 3,601 143 Equity futures 291 — 291 Other assets — 291 Total derivative instruments not designated as hedges 28,090 3,162 24,928 3,601 21,327 Derivative instruments designated as hedges Foreign currency forward contracts (3) 64 667 (603 ) Other assets — (603 ) Total $ 28,154 $ 3,829 $ 24,325 $ 3,601 $ 20,724 Derivative Liabilities At December 31, 2019 Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Balance Sheet Net Amounts of Liabilities Presented in the Balance Sheet Balance Sheet Location Collateral Pledged Net Amount Derivative instruments not designated as hedges Interest rate futures $ 1,545 $ 122 $ 1,423 Other liabilities $ 1,423 $ — Interest rate swaps 50 — 50 Other liabilities 50 — Foreign currency forward contracts (1) 3,808 28 3,780 Other liabilities — 3,780 Foreign currency forward contracts (2) 939 622 317 Other liabilities — 317 Total derivative instruments not designated as hedges 6,342 772 5,570 1,473 4,097 Derivative instruments designated as hedges Foreign currency forward contracts (3) 1,818 — 1,818 Other liabilities — 1,818 Total $ 8,160 $ 772 $ 7,388 $ 1,473 $ 5,915 (1) Contracts used to manage foreign currency risks in underwriting and non-investment operations. (2) Contracts used to manage foreign currency risks in investment operations. (3) Contracts designated as hedges of a net investment in a foreign operation. See “Note 3 . Investments” for information on reverse repurchase agreements. The location and amount of the gain (loss) recognized in the Company’s consolidated statements of operations related to its principal derivative instruments are shown in the following table: Location of gain (loss) recognized on derivatives Amount of gain (loss) recognized on derivatives Three months ended March 31, 2020 2019 Derivative instruments not designated as hedges Interest rate futures Net realized and unrealized (losses) gains on investments $ 88,006 $ 6,056 Interest rate swaps Net realized and unrealized (losses) gains on investments 2,107 349 Foreign currency forward contracts (1) Net foreign exchange losses (330 ) 4,442 Foreign currency forward contracts (2) Net foreign exchange losses 6,400 1,145 Credit default swaps Net realized and unrealized (losses) gains on investments (4,897 ) 4,410 Total return swaps Net realized and unrealized (losses) gains on investments (21,137 ) 534 Equity futures Net realized and unrealized (losses) gains on investments (30,898 ) 2,447 Total derivative instruments not designated as hedges 39,251 19,383 Derivative instruments designated as hedges Foreign currency forward contracts (3) Accumulated other comprehensive loss 10,844 — Total $ 50,095 $ 19,383 (1) Contracts used to manage foreign currency risks in underwriting and non-investment operations. (2) Contracts used to manage foreign currency risks in investment operations. (3) Contracts designated as hedges of a net investment in a foreign operation. The Company is not aware of the existence of any credit-risk related contingent features that it believes would be triggered in its derivative instruments that are in a net liability position at March 31, 2020 . Derivative Instruments Not Designated as Hedges Interest Rate Derivatives The Company uses interest rate futures and swaps within its portfolio of fixed maturity investments to manage its exposure to interest rate risk, which may result in increasing or decreasing its exposure to this risk. Interest Rate Futures The fair value of interest rate futures is determined using exchange traded prices. At March 31, 2020 , the Company had $2.2 billion of notional long positions and $935.7 million of notional short positions of primarily Eurodollar and U.S. treasury futures contracts ( December 31, 2019 - $2.5 billion and $1.0 billion , respectively). Interest Rate Swaps The fair value of interest rate swaps is determined using the relevant exchange traded price where available or a discounted cash flow model based on the terms of the contract and inputs, including, where applicable, observable yield curves. At March 31, 2020 , the Company had $2.0 million of notional positions paying a fixed rate and $25.5 million receiving a fixed rate denominated in U.S. dollar swap contracts ( December 31, 2019 - $27.9 million and $25.5 million , respectively). Foreign Currency Derivatives The Company’s reporting currency is the U.S. dollar. In addition, the functional currency of the Company, and the majority of the Company’s subsidiaries, is the U.S. dollar. However, the Company writes a portion of its business in currencies other than U.S. dollars and may, from time to time, experience foreign exchange gains and losses in the Company’s consolidated financial statements. All changes in exchange rates, with the exception of non-monetary assets and liabilities, are recognized in the Company’s consolidated statements of operations. Underwriting and Non-Investments Operations Related Foreign Currency Contracts The Company’s foreign currency policy with regard to its underwriting operations is generally to enter into foreign currency forward and option contracts for notional values that approximate the foreign currency liabilities, including claims and claim expense reserves and reinsurance balances payable, net of any cash, investments and receivables held in the respective foreign currency. The Company’s use of foreign currency forward and option contracts is intended to minimize the effect of fluctuating foreign currencies on the value of non-U.S. dollar denominated assets and liabilities associated with its underwriting operations. The fair value of the Company’s underwriting operations related foreign currency contracts is determined using indicative pricing obtained from counterparties or broker quotes. At March 31, 2020 , the Company had outstanding underwriting related foreign currency contracts of $502.4 million in notional long positions and $651.5 million in notional short positions, denominated in U.S. dollars ( December 31, 2019 - $722.6 million and $1.2 billion , respectively). Investment Portfolio Related Foreign Currency Forward Contracts The Company’s investment operations are exposed to currency fluctuations through its investments in non-U.S. dollar fixed maturity investments, short term investments and other investments. From time to time, the Company may employ foreign currency forward contracts in its investment portfolio to either assume foreign currency risk or to economically hedge its exposure to currency fluctuations from these investments. The fair value of the Company’s investment portfolio related foreign currency forward contracts is determined using an interpolated rate based on closing forward market rates. At March 31, 2020 , the Company had outstanding investment portfolio related foreign currency contracts of $384.8 million in notional long positions and $255.5 million in notional short positions, denominated in U.S. dollars ( December 31, 2019 - $195.6 million and $61.0 million , respectively). Credit Derivatives The Company’s exposure to credit risk is primarily due to its fixed maturity investments, short term investments, premiums receivable and reinsurance recoverable. From time to time, the Company may purchase credit derivatives to hedge its exposures in the insurance industry, and to assist in managing the credit risk associated with ceded reinsurance. The Company also employs credit derivatives in its investment portfolio to either assume credit risk or hedge its credit exposure. Credit Default Swaps The fair value of the Company’s credit default swaps is determined using industry valuation models, broker bid indications or internal pricing valuation techniques. The fair value of these credit default swaps can change based on a variety of factors including changes in credit spreads, default rates and recovery rates, the correlation of credit risk between the referenced credit and the counterparty, and market rate inputs such as interest rates. At March 31, 2020 , the Company had outstanding credit default swaps of $0.5 million in notional positions to hedge credit risk and $117.1 million in notional positions to assume credit risk, denominated in U.S. dollars ( December 31, 2019 - $0.5 million and $143.4 million , respectively). Total Return Swaps The Company uses total return swaps as a means to manage spread duration and credit exposure in its investment portfolio. The fair value of the Company’s total return swaps is determined using broker-dealer bid quotations, market-based prices from pricing vendors or valuation models. At March 31, 2020 , the Company had $173.5 million of notional long positions (long credit) and $ Nil of notional short positions (short credit), denominated in U.S. dollars ( December 31, 2019 - $173.5 million and $ Nil , respectively). Equity Derivatives Equity Futures The Company uses equity derivatives in its investment portfolio from time to time to either assume equity risk or hedge its equity exposure. The fair value of the Company’s equity futures is determined using market-based prices from pricing vendors. At March 31, 2020 , the Company had $50.4 million notional long position and $ Nil notional short position of equity futures, denominated in U.S. dollars ( December 31, 2019 - $122.0 million and $ Nil , respectively). Derivative Instruments Designated as Hedges of a Net Investment in a Foreign Operation Foreign Currency Derivatives Hedges of a Net Investment in a Foreign Operation In connection with the acquisition of TMR, the Company acquired certain entities with non-U.S. dollar functional currencies, including RenaissanceRe Europe, Australia Branch, which has an Australian dollar functional currency. The Company has entered into foreign exchange forwards to hedge the Australian dollar net investment in foreign operations, on an after-tax basis, from changes in the exchange rate between the U.S. dollar and the Australian dollar. The Company utilizes foreign exchange forward contracts to hedge the fair value of its net investment in a foreign operation. During 2020 and 2019 , the Company entered into foreign exchange forward contracts that were formally designated as hedges of its investment in RenaissanceRe Europe, Australia Branch. There was no ineffectiveness in these transactions. The table below provides a summary of derivative instruments designated as hedges of a net investment in a foreign operation, including the weighted average U.S. dollar equivalent of foreign denominated net assets that were hedged and the resulting derivative gain that was recorded in foreign currency translation adjustments, net of tax, within accumulated other comprehensive loss on the Company’s consolidated statements of changes in shareholders’ equity: Three months ended March 31, March 31, Weighted average of U.S. dollar equivalent of foreign denominated net assets $ 76,804 $ — Derivative gains (1) $ 10,844 $ — (1) Derivative gains from derivative instruments designated as hedges of the net investment in a foreign operation are recorded in foreign currency translation adjustments, net of tax, within accumulated other comprehensive loss on the Company’s consolidated statements of changes in shareholders’ equity. |
Commitments, Contingencies and
Commitments, Contingencies and Other Items | 3 Months Ended |
Mar. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, Contingencies and Other Items | COMMITMENTS, CONTINGENCIES AND OTHER ITEMS There are no material changes from the commitments, contingencies and other items previously disclosed in the Company’s Form 10-K for the year ended December 31, 2019 . Legal Proceedings The Company and its subsidiaries are subject to lawsuits and regulatory actions in the normal course of business that do not arise from or directly relate to claims on reinsurance treaties or contracts or direct surplus lines insurance policies. In the Company’s industry, business litigation may involve allegations of underwriting or claims-handling errors or misconduct, disputes relating to the scope of, or compliance with, the terms of delegated underwriting agreements, employment claims, regulatory actions or disputes arising from the Company’s business ventures. The Company’s operating subsidiaries are subject to claims litigation involving, among other things, disputed interpretations of policy coverages. Generally, the Company’s direct surplus lines insurance operations are subject to greater frequency and diversity of claims and claims-related litigation than its reinsurance operations and, in some jurisdictions, may be subject to direct actions by allegedly injured persons or entities seeking damages from policyholders. These lawsuits, involving or arising out of claims on policies issued by the Company’s subsidiaries which are typical to the insurance industry in general and in the normal course of business, are considered in its loss and loss expense reserves. In addition, the Company may from time to time engage in litigation or arbitration related to its claims for payment in respect of ceded reinsurance, including disputes that challenge the Company’s ability to enforce its underwriting intent. Such matters could result, directly or indirectly, in providers of protection not meeting their obligations to the Company or not doing so on a timely basis. The Company may also be subject to other disputes from time to time, relating to operational or other matters distinct from insurance or reinsurance claims. Any litigation or arbitration, or regulatory process contains an element of uncertainty, and the value of an exposure or a gain contingency related to a dispute is difficult to estimate. The Company believes that no individual litigation or arbitration to which it is presently a party is likely to have a material adverse effect on its financial condition, business or operations. |
Assets and Liabilities Held For
Assets and Liabilities Held For Sale | 3 Months Ended |
Mar. 31, 2020 | |
Transfers and Servicing [Abstract] | |
Assets and Liabilities Held For Sale | NOTE 15. ASSETS AND LIABILITIES HELD FOR SALE On February 4, 2020, RenaissanceRe Specialty Holdings entered into an agreement to sell its wholly owned subsidiary, RenaissanceRe UK, a U.K. run-off company, to an investment vehicle managed by AXA Liabilities Managers, an affiliate of AXA XL. The sale is subject to regulatory approval and is expected to close in 2020. The estimated purchase price was calculated based on preliminary book value. The ultimate purchase price will be determined following receipt of regulatory approval, based on the closing book value. The Company classified the assets and liabilities of RenaissanceRe UK as held for sale. The financial results of RenaissanceRe UK are recorded in the Company’s consolidated statements of operations as part of net (loss) income (attributable) available to RenaissanceRe common shareholders for the three months ended March 31, 2020 . The underwriting activities of RenaissanceRe UK are principally all within the Company’s Casualty and Specialty segment. The carrying value of the major classes of assets and liabilities held for sale at March 31, 2020 and December 31, 2019 are as follows: March 31, December 31, Assets of RenaissanceRe UK held for sale Total investments $ 440,418 $ 458,731 Other assets 24,165 40,284 Total assets held for sale $ 464,583 $ 499,015 Liabilities of RenaissanceRe UK held for sale Reserve for claims and claim expenses $ 175,506 $ 199,436 Other liabilities 2,863 925 Total liabilities held for sale $ 178,369 $ 200,361 |
Condensed Consolidating Financi
Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries | 3 Months Ended |
Mar. 31, 2020 | |
Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries [Abstract] | |
Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries | CONDENSED CONSOLIDATING FINANCIAL INFORMATION PROVIDED IN CONNECTION WITH OUTSTANDING DEBT OF SUBSIDIARIES The following tables are provided in connection with outstanding debt of the Company’s subsidiaries and present condensed consolidating balance sheets at March 31, 2020 and December 31, 2019 , condensed consolidating statements of operations and condensed consolidating statements of comprehensive income for the three months ended March 31, 2020 and 2019 , and condensed consolidating statements of cash flows for the three months ended March 31, 2020 and 2019 . RenaissanceRe Finance Inc. is a 100% owned subsidiary of RenaissanceRe and has outstanding debt securities. For additional information related to the terms of the Company’s outstanding debt securities, see “Note 8. Debt and Credit Facilities” in the “Notes to the Consolidated Financial Statements” in the Company’s Form 10-K for the year ended December 31, 2019 and “Note 7 . Debt and Credit Facilities” in the “Notes to the Consolidated Financial Statements” included herein. Condensed Consolidating Balance Sheet at March 31, 2020 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Assets Total investments $ 275,173 $ 24,564 $ 17,518,860 $ — $ 17,818,597 Cash and cash equivalents 3,066 16,089 877,061 — 896,216 Investments in subsidiaries 5,017,427 1,392,419 641,103 (7,050,949 ) — Due from subsidiaries and affiliates 11,712 — (11,712 ) — — Premiums receivable — — 3,105,441 — 3,105,441 Prepaid reinsurance premiums — — 1,151,926 — 1,151,926 Reinsurance recoverable — — 2,765,583 — 2,765,583 Accrued investment income — 43 73,453 — 73,496 Deferred acquisition costs — — 739,875 — 739,875 Receivable for investments sold 2,186 — 339,600 — 341,786 Other assets 784,513 9,937 300,107 (782,034 ) 312,523 Goodwill and other intangible assets 115,186 — 144,890 — 260,076 Total assets $ 6,209,263 $ 1,443,052 $ 27,646,187 $ (7,832,983 ) $ 27,465,519 Liabilities, Noncontrolling Interests and Shareholders’ Equity Liabilities Reserve for claims and claim expenses $ — $ — $ 9,406,707 $ — $ 9,406,707 Unearned premiums — — 3,245,914 — 3,245,914 Debt 483,203 721,867 711,040 (781,415 ) 1,134,695 Amounts due to subsidiaries and affiliates 21,756 117,770 (139,526 ) — — Reinsurance balances payable — — 3,775,375 — 3,775,375 Payable for investments purchased 1,100 — 635,036 — 636,136 Other liabilities 19,678 11,366 1,534,530 (1,214,254 ) 351,320 Total liabilities 525,737 851,003 19,169,076 (1,995,669 ) 18,550,147 Redeemable noncontrolling interests — — 3,231,846 — 3,231,846 Shareholders’ Equity Total shareholders’ equity 5,683,526 592,049 5,245,265 (5,837,314 ) 5,683,526 Total liabilities, noncontrolling interests and shareholders’ equity $ 6,209,263 $ 1,443,052 $ 27,646,187 $ (7,832,983 ) $ 27,465,519 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Balance Sheet at December 31, 2019 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenaissanceRe Finance Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Assets Total investments $ 190,451 $ 288,137 $ 16,890,201 $ — $ 17,368,789 Cash and cash equivalents 26,460 8,731 1,343,877 — 1,379,068 Investments in subsidiaries 5,204,260 1,426,838 48,247 (6,679,345 ) — Due from subsidiaries and affiliates 10,725 — 101,579 (112,304 ) — Premiums receivable — — 2,599,896 — 2,599,896 Prepaid reinsurance premiums — — 767,781 — 767,781 Reinsurance recoverable — — 2,791,297 — 2,791,297 Accrued investment income — 1,171 71,290 — 72,461 Deferred acquisition costs — — 663,991 — 663,991 Receivable for investments sold 173 — 78,196 — 78,369 Other assets 847,406 12,211 312,556 (825,957 ) 346,216 Goodwill and other intangible assets 116,212 — 146,014 — 262,226 Total assets $ 6,395,687 $ 1,737,088 $ 25,814,925 $ (7,617,606 ) $ 26,330,094 Liabilities, Noncontrolling Interest and Shareholders’ Equity Liabilities Reserve for claims and claim expenses $ — $ — $ 9,384,349 $ — $ 9,384,349 Unearned premiums — — 2,530,975 — 2,530,975 Debt 391,475 970,255 148,349 (125,974 ) 1,384,105 Amounts due to subsidiaries and affiliates 6,708 102,493 51 (109,252 ) — Reinsurance balances payable — — 2,830,691 — 2,830,691 Payable for investments purchased — — 225,275 — 225,275 Other liabilities 26,137 14,162 899,960 (8,235 ) 932,024 Total liabilities 424,320 1,086,910 16,019,650 (243,461 ) 17,287,419 Redeemable noncontrolling interests — — 3,071,308 — 3,071,308 Shareholders’ Equity Total shareholders’ equity 5,971,367 650,178 6,723,967 (7,374,145 ) 5,971,367 Total liabilities, redeemable noncontrolling interest and shareholders’ equity $ 6,395,687 $ 1,737,088 $ 25,814,925 $ (7,617,606 ) $ 26,330,094 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Operations for the three months ended March 31, 2020 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Revenues Net premiums earned $ — $ — $ 913,098 $ — $ 913,098 Net investment income 10,488 883 98,542 (10,440 ) 99,473 Net foreign exchange (losses) gains (7,330 ) — 1,602 — (5,728 ) Equity in earnings of other ventures — 389 4,175 — 4,564 Other income (loss) 372 — 11,073 (15,881 ) (4,436 ) Net realized and unrealized (losses) gains on investments (21,118 ) 116 (89,705 ) — (110,707 ) Total revenues (17,588 ) 1,388 938,785 (26,321 ) 896,264 Expenses Net claims and claim expenses incurred — — 570,954 — 570,954 Acquisition expenses — — 210,604 — 210,604 Operational expenses 2,732 17,318 62,919 (15,508 ) 67,461 Corporate expenses 8,679 — 7,312 — 15,991 Interest expense 3,828 9,969 11,517 (10,387 ) 14,927 Total expenses 15,239 27,287 863,306 (25,895 ) 879,937 (Loss) income before equity in net (loss) income of subsidiaries and taxes (32,827 ) (25,899 ) 75,479 (426 ) 16,327 Equity in net (loss) income of subsidiaries (39,673 ) (33,669 ) 16,639 56,703 — (Loss) income before taxes (72,500 ) (59,568 ) 92,118 56,277 16,327 Income tax (expense) benefit (418 ) 2,186 7,078 — 8,846 Net (loss) income (72,918 ) (57,382 ) 99,196 56,277 25,173 Net income attributable to redeemable noncontrolling interests — — (98,091 ) — (98,091 ) Net (loss) income attributable to RenaissanceRe (72,918 ) (57,382 ) 1,105 56,277 (72,918 ) Dividends on preference shares (9,056 ) — — — (9,056 ) Net (loss) income (attributable) available to RenaissanceRe common shareholders $ (81,974 ) $ (57,382 ) $ 1,105 $ 56,277 $ (81,974 ) (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Comprehensive (Loss) Income for the three months ended March 31, 2020 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Comprehensive (loss) income Net (loss) income $ (72,918 ) $ (57,382 ) $ 99,196 $ 56,277 $ 25,173 Change in net unrealized gains on investments, net of tax (657 ) 745 (14,562 ) 13,817 (657 ) Foreign currency translation adjustments, net of tax 932 — — 932 Comprehensive (loss) income (72,643 ) (56,637 ) 84,634 70,094 25,448 Net income attributable to redeemable noncontrolling interests — — (98,091 ) — (98,091 ) Comprehensive income attributable to noncontrolling interests — — (98,091 ) — (98,091 ) Comprehensive (loss) income attributable to RenaissanceRe $ (72,643 ) $ (56,637 ) $ (13,457 ) $ 70,094 $ (72,643 ) (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Operations for the year ended March 31, 2019 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Revenues Net premiums earned $ — $ — $ 550,028 $ — $ 550,028 Net investment income 8,277 2,060 80,559 (8,802 ) 82,094 Net foreign exchange losses (1 ) — (2,845 ) — (2,846 ) Equity in earnings of other ventures — 965 3,696 — 4,661 Other income — — 3,171 — 3,171 Net realized and unrealized gains on investments 1,002 109 168,902 — 170,013 Total revenues 9,278 3,134 803,511 (8,802 ) 807,121 Expenses Net claims and claim expenses incurred — — 227,035 — 227,035 Acquisition expenses — — 123,951 — 123,951 Operational expenses 469 12,333 42,620 (10,489 ) 44,933 Corporate expenses 38,828 — (1,922 ) 1,883 38,789 Interest expense 1,883 9,252 619 — 11,754 Total expenses 41,180 21,585 392,303 (8,606 ) 446,462 (Loss) income before equity in net income of subsidiaries and taxes (31,902 ) (18,451 ) 411,208 (196 ) 360,659 Equity in net income of subsidiaries 314,887 33,532 828 (349,247 ) — Income before taxes 282,985 15,081 412,036 (349,443 ) 360,659 Income tax (expense) benefit (79 ) 1,662 (9,114 ) — (7,531 ) Net income 282,906 16,743 402,922 (349,443 ) 353,128 Net income attributable to redeemable noncontrolling interests — — (70,222 ) — (70,222 ) Net income attributable to RenaissanceRe 282,906 16,743 332,700 (349,443 ) 282,906 Dividends on preference shares (9,189 ) — — — (9,189 ) Net income available to RenaissanceRe common shareholders $ 273,717 $ 16,743 $ 332,700 $ (349,443 ) $ 273,717 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Comprehensive Income for the three months ended March 31, 2019 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Comprehensive income Net income $ 282,906 $ 16,743 $ 402,922 $ (349,443 ) $ 353,128 Change in net unrealized losses on investments — — (37 ) — (37 ) Comprehensive income 282,906 16,743 402,885 (349,443 ) 353,091 Net income attributable to redeemable noncontrolling interests — — (70,222 ) — (70,222 ) Comprehensive income attributable to noncontrolling interests — — (70,222 ) — (70,222 ) Comprehensive income attributable to RenaissanceRe $ 282,906 $ 16,743 $ 332,663 $ (349,443 ) $ 282,869 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2020 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other RenaissanceRe Consolidated Cash flows provided by (used in) operating activities Net cash provided by (used in) operating activities $ 6,839 $ (21,068 ) $ 489,695 $ 475,466 Cash flows provided by (used in) investing activities Proceeds from sales and maturities of fixed maturity investments trading — 2,493 3,658,801 3,661,294 Purchases of fixed maturity investments trading — (17,602 ) (3,352,792 ) (3,370,394 ) Net purchases of equity investments trading — — (44,514 ) (44,514 ) Net (purchases) sales of short term investments (85,628 ) 278,258 (896,856 ) (704,226 ) Net purchases of other investments — — (79,711 ) (79,711 ) Net purchases of investments in other ventures — — (1,888 ) (1,888 ) Return of investment from investments in other ventures — — 9,157 9,157 Dividends and return of capital from subsidiaries 216,243 — (216,243 ) — Contributions to subsidiaries (64,952 ) — 64,952 — Due to (from) subsidiary 126,320 15,277 (141,597 ) — Net cash provided by (used in) investing activities 191,983 278,426 (1,000,691 ) (530,282 ) Cash flows (used in) provided by financing activities Dividends paid – RenaissanceRe common shares (15,359 ) — — (15,359 ) Dividends paid – preference shares (9,056 ) — — (9,056 ) RenaissanceRe common share repurchases (62,621 ) — — (62,621 ) Redemption of 6.08% Series C preference shares (125,000 ) — — (125,000 ) Repayment of debt — (250,000 ) — (250,000 ) Net third party redeemable noncontrolling interest share transactions — — 42,599 42,599 Taxes paid on withholding shares (10,180 ) — — (10,180 ) Net cash (used in) provided by financing activities (222,216 ) (250,000 ) 42,599 (429,617 ) Effect of exchange rate changes on foreign currency cash — — 1,581 1,581 Net (decrease) increase in cash and cash equivalents (23,394 ) 7,358 (466,816 ) (482,852 ) Cash and cash equivalents, beginning of period 26,460 8,731 1,343,877 1,379,068 Cash and cash equivalents, end of period $ 3,066 $ 16,089 $ 877,061 $ 896,216 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2019 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) RenaissanceRe Consolidated Cash flows (used in) provided by operating activities Net cash (used in) provided by operating activities $ (317,296 ) $ (21,202 ) $ 715,647 $ 377,149 Cash flows provided by (used in) investing activities Proceeds from sales and maturities of fixed maturity investments trading 277,030 29,861 4,293,917 4,600,808 Purchases of fixed maturity investments trading (35,909 ) (14,098 ) (3,469,270 ) (3,519,277 ) Net purchases of equity investments trading — — (4,601 ) (4,601 ) Net purchases of short term investments (54,622 ) (4,946 ) (1,315,064 ) (1,374,632 ) Net purchases of other investments — — (51,811 ) (51,811 ) Net purchases of investment in other venture — — (1,573 ) (1,573 ) Return of investment from investment in other ventures — — 11,250 11,250 Dividends and return of capital from subsidiaries 487,264 — (487,264 ) — Contributions to subsidiaries (528,416 ) — 528,416 — Due (from) to subsidiaries 2,100 6,629 (8,729 ) — Net purchase of TMR — — (276,206 ) (276,206 ) Net cash provided by (used in) investing activities 147,447 17,446 (780,935 ) (616,042 ) Cash flows provided by (used in) financing activities Dividends paid – RenaissanceRe common shares (14,469 ) — — (14,469 ) Dividends paid – preference shares (9,189 ) — — (9,189 ) Drawdown of RenaissanceRe Revolving Credit Facility 200,000 — — 200,000 Net third party redeemable noncontrolling interest share transactions — — (16,847 ) (16,847 ) Taxes paid on withholding shares (6,957 ) — — (6,957 ) Net cash provided by (used in) financing activities 169,385 — (16,847 ) 152,538 Effect of exchange rate changes on foreign currency cash — — (292 ) (292 ) Net decrease in cash and cash equivalents (464 ) (3,756 ) (82,427 ) (86,647 ) Cash and cash equivalents, beginning of period 3,534 9,604 1,094,784 1,107,922 Cash and cash equivalents, end of period $ 3,070 $ 5,848 $ 1,012,357 $ 1,021,275 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. |
Significant Accounting Polici_2
Significant Accounting Policies (Policy) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | BASIS OF PRESENTATION These consolidated financial statements have been prepared on the basis of accounting principles generally accepted in the U.S. (“GAAP”) for interim financial information and in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete consolidated financial statements. In the opinion of management, these unaudited consolidated financial statements reflect all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the Company’s financial position and results of operations as at the end of and for the periods presented. All significant intercompany accounts and transactions have been eliminated from these statements. Certain comparative information has been reclassified to conform to the current presentation. Because of the seasonality of the Company’s business, the results of operations and cash flows for any interim period will not necessarily be indicative of the results of operations and cash flows for the full fiscal year or subsequent quarters. |
Use of Estimates in Financial Statements | USE OF ESTIMATES IN FINANCIAL STATEMENTS The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported and disclosed amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ materially from those estimates. The major estimates reflected in the Company’s consolidated financial statements include, but are not limited to, the reserve for claims and claim expenses; reinsurance recoverables, including allowances for reinsurance recoverables deemed uncollectible; estimates of written and earned premiums; fair value, including the fair value of investments, financial instruments and derivatives; impairment charges; deferred acquisition costs and the value of business acquired (“VOBA”) and the Company’s deferred tax valuation allowance. |
Investments | INVESTMENTS Other Investments The Company accounts for its other investments at fair value in accordance with FASB ASC Topic Financial Instruments with interest, dividend income, income distributions included in net investment income and realized and unrealized gains and losses included in net realized and unrealized (losses) gains on investments. The fair value of certain of the Company’s fund investments, which principally include private equity investments, senior secured bank loan funds and hedge funds, is recorded on its balance sheet in other investments, and is generally established on the basis of the net valuation criteria established by the managers of such investments, if applicable. The net valuation criteria established by the managers of such investments is established in accordance with the governing documents of such investments. Certain of the Company’s fund managers, fund administrators, or both, are unable to provide final fund valuations as of the Company’s current reporting date. The typical reporting lag experienced by the Company to receive a final net asset value report is one month for hedge funds and senior secured bank loan funds and three months for private equity investments, although, in the past, in respect of certain of the Company’s private equity investments, the Company has on occasion experienced delays of up to six months at year end, as the private equity investments typically complete their respective year-end audits before releasing their final net asset value statements. In circumstances where there is a reporting lag between the current period end reporting date and the reporting date of the latest fund valuation, the Company estimates the fair value of these funds by starting with the most recently available prior month or quarter-end fund valuations, adjusting these valuations for actual capital calls, redemptions or distributions, as well as the impact of changes in foreign currency exchange rates, and then estimating the return for the current period. In circumstances in which the Company estimates the return for the current period, all information available to the Company is utilized. This principally includes preliminary estimates reported to the Company by its fund managers, obtaining the valuation of underlying portfolio investments where such underlying investments are publicly traded and therefore have a readily observable price, using information that is available to the Company with respect to the underlying investments, reviewing various indices for similar investments or asset classes, as well as estimating returns based on the results of similar types of investments for which the Company has obtained reported results, or other valuation methods, where possible. Actual final fund valuations may differ, perhaps materially so, from the Company’s estimates and these differences are recorded in the Company’s statement of operations in the period in which they are reported to the Company as a change in estimate. The Company’s other investments also include investments in catastrophe bonds which are recorded at fair value and the fair value is based on broker or underwriter bid indications. |
Recently Adopted Accounting Pronouncements and Recently Issued Accounting Pronouncements Not Yet Adopted | RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS Measurement of Credit Losses on Financial Instruments In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 modifies the recognition of credit losses by replacing the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. ASU 2016-13 is applicable to financial assets such as loans, debt securities, trade receivables, off-balance sheet credit exposures, reinsurance receivables, and other financial assets that have the contractual right to receive cash. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. The Company's invested assets are measured at fair value through net income, and therefore those invested assets would not be impacted by the adoption of ASU 2016-13. The Company has other financial assets, such as reinsurance recoverables, that could be impacted by the adoption of ASU 2016-13. ASU 2016-13 is effective for public business entities that are SEC filers for annual and interim periods beginning after December 15, 2019, accordingly, the Company adopted ASU 2016-13 effective January 1, 2020. The adoption of ASU 2016-13 did not have a material impact on the Company’s consolidated statements of operations and financial position. Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement In August 2018, the FASB issued ASU No. 2018-13, Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). The ASU 2018-13 modifies the disclosure requirements of fair value measurements as part of the disclosure framework project with the objective to improve the effectiveness of disclosures in the notes to the financial statements. ASU 2018-13 allows for removal of the amount and reasons for transfer between Level 1 and Level 2 of the fair value hierarchy; the policy for transfers between levels; and the valuation processes for Level 3 fair value measurements. ASU 2018-13 is effective for all entities for fiscal years beginning after December 15, 2019 and interim periods within those fiscal years, accordingly, the Company adopted ASU 2018-13 effective January 1, 2020. Since ASU 2018-13 is disclosure-related only, it did not have a material impact on the Company’s consolidated statements of operations and financial position. Simplifying the Test for Goodwill Impairment In January 2017, the FASB issued ASU No. 2017-04, Simplifying the Test for Goodwill Impairment (“ASU 2017-04”). Among other things, ASU 2017-04 requires the following: (1) the elimination of step two of the goodwill impairment test; entities will no longer utilize the implied fair value of their assets and liabilities for purposes of testing goodwill for impairment, (2) the quantitative portion of the goodwill impairment test will be performed by comparing the fair value of a reporting unit with its carrying amount; an impairment charge is to be recognized for the excess of carrying amount over fair value, but only to the extent of the amount of goodwill allocated to that reporting unit, and (3) foreign currency translation adjustments are not to be allocated to a reporting unit from an entity’s accumulated other comprehensive income (loss); the reporting unit’s carrying amount should include only the currently translated balances of the assets and liabilities assigned to the reporting unit. ASU 2017-04 is effective for public business entities that are SEC filers for annual periods, or any interim goodwill impairment tests in annual periods, beginning after December 15, 2019, accordingly, the Company adopted ASU 2017-04 effective January 1, 2020. The adoption of ASU 2017-04 did not have a material impact on the Company’s consolidated statements of operations and financial position. RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS NOT YET ADOPTED Simplifying the Accounting for Income Taxes In December 2019, the FASB issued ASU No. 2019-12, Simplifying the Accounting for Income Taxes (”ASU 2019-12”). Among other things, ASU 2019-12 eliminates certain exceptions for recognizing deferred taxes for investments, performing intraperiod tax allocation and calculating income taxes in interim periods. ASU 2019-12 also clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. ASU 2019-12 is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early adoption is permitted. The Company is currently evaluating the impact of this guidance; however, it is not expected to have a material impact on the Company’s consolidated statements of operations and financial position. |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Investments [Abstract] | |
Schedule of Fair Value of Fixed Maturity and Equity Investments Trading | The following table summarizes the fair value of equity investments trading: March 31, December 31, Financials $ 162,904 $ 248,189 Communications and technology 88,882 79,206 Consumer 36,920 35,987 Industrial, utilities and energy 33,859 38,583 Healthcare 32,850 29,510 Basic materials 5,029 5,456 Total $ 360,444 $ 436,931 The following table summarizes the fair value of fixed maturity investments trading: March 31, December 31, U.S. treasuries $ 3,915,130 $ 4,467,345 Agencies 537,490 343,031 Non-U.S. government 635,282 497,392 Non-U.S. government-backed corporate 283,577 321,356 Corporate 3,259,780 3,075,660 Agency mortgage-backed 1,056,272 1,148,499 Non-agency mortgage-backed 275,026 294,604 Commercial mortgage-backed 540,502 468,698 Asset-backed 542,742 555,070 Total fixed maturity investments trading $ 11,045,801 $ 11,171,655 |
Schedule of Contractual Maturities of Fixed Maturity Investments | Contractual maturities of fixed maturity investments trading are described in the following table. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. March 31, 2020 Amortized Cost Fair Value Due in less than one year $ 718,359 $ 723,397 Due after one through five years 4,984,696 5,039,456 Due after five through ten years 2,549,975 2,612,031 Due after ten years 254,762 256,375 Mortgage-backed 1,862,064 1,871,800 Asset-backed 571,816 542,742 Total $ 10,941,672 $ 11,045,801 |
Schedule of Net Investment Income | The components of net investment income are as follows: Three months ended March 31, March 31, Fixed maturity investments $ 73,338 $ 61,483 Short term investments 12,092 11,844 Equity investments 1,551 1,027 Other investments Catastrophe bonds 14,139 8,691 Other 1,629 1,640 Cash and cash equivalents 1,504 1,517 104,253 86,202 Investment expenses (4,780 ) (4,108 ) Net investment income $ 99,473 $ 82,094 |
Schedule of Net Realized and Unrealized Gains (Losses) | Net realized and unrealized (losses) gains on investments are as follows: Three months ended March 31, March 31, Gross realized gains $ 68,847 $ 24,373 Gross realized losses (11,360 ) (22,943 ) Net realized gains on fixed maturity investments 57,487 1,430 Net unrealized (losses) gains on fixed maturity investments trading (20,345 ) 103,922 Net realized and unrealized gains on investments-related derivatives 33,181 13,796 Net realized losses on equity investments trading sold during the period (15,047 ) (1,161 ) Net unrealized (losses) gains on equity investments trading still held at reporting date (105,937 ) 52,658 Net realized and unrealized (losses) gains on equity investments trading (120,984 ) 51,497 Net realized and unrealized losses on other investments - catastrophe bonds (14,352 ) (2,210 ) Net realized and unrealized (losses) gains on other investments - other (45,694 ) 1,578 Net realized and unrealized (losses) gains on investments $ (110,707 ) $ 170,013 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | Below is a summary of the assets and liabilities that are measured at fair value on a recurring basis and also represents the carrying amount on the Company’s consolidated balance sheets: At March 31, 2020 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fixed maturity investments U.S. treasuries $ 3,915,130 $ 3,915,130 $ — $ — Agencies 537,490 — 537,490 — Non-U.S. government 635,282 — 635,282 — Non-U.S. government-backed corporate 283,577 — 283,577 — Corporate 3,259,780 — 3,259,780 — Agency mortgage-backed 1,056,272 — 1,056,272 — Non-agency mortgage-backed 275,026 — 275,026 — Commercial mortgage-backed 540,502 — 540,502 — Asset-backed 542,742 — 542,742 — Total fixed maturity investments 11,045,801 3,915,130 7,130,671 — Short term investments 5,263,242 — 5,263,242 — Equity investments trading 360,444 360,444 — — Other investments Catastrophe bonds 786,531 — 786,531 — Private equity investments (1) 240,277 — — 72,620 Senior secured bank loan funds (1) 22,579 — — — Hedge funds (1) 9,327 — — — Total other investments 1,058,714 — 786,531 72,620 Other assets and (liabilities) Assumed and ceded (re)insurance contracts (2) 1,223 — — 1,223 Derivatives (3) 1,855 (2,328 ) 4,183 — Total other assets and (liabilities) 3,078 (2,328 ) 4,183 1,223 $ 17,731,279 $ 4,273,246 $ 13,184,627 $ 73,843 (1) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated balance sheet. (2) Included in assumed and ceded (re)insurance contracts at March 31, 2020 was $26.4 million of other assets and $25.2 million of other liabilities. (3) See “Note 13 . Derivative Instruments” for additional information related to the fair value, by type of contract, of derivatives entered into by the Company. At December 31, 2019 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Fixed maturity investments U.S. treasuries $ 4,467,345 $ 4,467,345 $ — $ — Agencies 343,031 — 343,031 — Non-U.S. government 497,392 — 497,392 — Non-U.S. government-backed corporate 321,356 — 321,356 — Corporate 3,075,660 — 3,075,660 — Agency mortgage-backed 1,148,499 — 1,148,499 — Non-agency mortgage-backed 294,604 — 294,604 — Commercial mortgage-backed 468,698 — 468,698 — Asset-backed 555,070 — 555,070 — Total fixed maturity investments 11,171,655 4,467,345 6,704,310 — Short term investments 4,566,277 — 4,566,277 — Equity investments trading 436,931 436,931 — — Other investments Catastrophe bonds 781,641 — 781,641 — Private equity investments (1) 271,047 — — 74,634 Senior secured bank loan funds (1) 22,598 — — — Hedge funds (1) 12,091 — — — Total other investments 1,087,377 — 781,641 74,634 Other assets and (liabilities) Assumed and ceded (re)insurance contracts (2) 4,731 — — 4,731 Derivatives (3) 16,937 (1,020 ) 17,957 — Total other assets and (liabilities) 21,668 (1,020 ) 17,957 4,731 $ 17,283,908 $ 4,903,256 $ 12,070,185 $ 79,365 (1) Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the consolidated balance sheet. (2) Included in assumed and ceded (re)insurance contracts at December 31, 2019 was $32.9 million of other assets and $28.2 million of other liabilities. (3) See “Note 13 . Derivative Instruments” for additional information related to the fair value, by type of contract, of derivatives entered into by the Company. |
Schedule of Quantitative Information Used as Level 3 Inputs | Below is a summary of quantitative information regarding the significant unobservable inputs (Level 3) used in determining the fair value of assets and liabilities measured at fair value on a recurring basis: At March 31, 2020 Fair Value (Level 3) Valuation Technique Unobservable Low High Weighted Average or Actual Other investments Private equity investment $ 1,822 External valuation model Manager pricing $ 151.69 $ 158.90 $ 151.69 Private equity investments 70,798 Internal valuation model Discount rate 8.0 % 10.0 % 8.0 % Liquidity discount n/a n/a 15.0 % Total other investments 72,620 Other assets and (liabilities) Assumed and ceded (re)insurance contracts (1,232 ) Internal valuation model Bond price $ 90.99 $ 98.19 $ 94.46 Liquidity discount n/a n/a 1.3 % Assumed and ceded (re)insurance contracts (8,556 ) Internal valuation model Net undiscounted cash flows n/a n/a $ 11,371 Expected loss ratio n/a n/a 30.5 % Discount rate n/a n/a 0.4 % Assumed and ceded (re)insurance contracts 11,011 Internal valuation model Expected loss ratio n/a n/a 0.0 % Total other assets and (liabilities) 1,223 Total assets and (liabilities) measured at fair value on a recurring basis using Level 3 inputs $ 73,843 |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Level 3 Inputs | Below is a reconciliation of the beginning and ending balances, for the periods shown, of assets and liabilities measured at fair value on a recurring basis using Level 3 inputs. Interest and dividend income are included in net investment income and are excluded from the reconciliation. Other investments Other assets and (liabilities) Total Balance - January 1, 2020 $ 74,634 $ 4,731 $ 79,365 Total realized and unrealized losses Included in net realized and unrealized (losses) gains on investments (14,156 ) — (14,156 ) Included in other (loss) income — (2,897 ) (2,897 ) Total foreign exchange losses (21 ) — (21 ) Purchases 20,962 (611 ) 20,351 Sales (8,799 ) — (8,799 ) Balance - March 31, 2020 $ 72,620 $ 1,223 $ 73,843 Other investments Other assets and (liabilities) Total Balance - January 1, 2019 $ 54,545 $ (8,359 ) $ 46,186 Total realized and unrealized (losses) gains Included in net realized and unrealized (losses) gains on investments (1,111 ) — (1,111 ) Included in other (loss) income — 1,093 1,093 Total foreign exchange losses (1 ) — (1 ) Purchases 10,262 (897 ) 9,365 Settlements — 20 20 Amounts acquired (1) — 19,970 19,970 Balance - March 31, 2019 $ 63,695 $ 11,827 $ 75,522 (1) Represents the fair value of the other assets acquired from TMR, measured at fair value on a recurring basis using Level 3 inputs at March 22, 2019. See “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information related to the acquisition of TMR. |
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Level 3 Inputs | Below is a reconciliation of the beginning and ending balances, for the periods shown, of assets and liabilities measured at fair value on a recurring basis using Level 3 inputs. Interest and dividend income are included in net investment income and are excluded from the reconciliation. Other investments Other assets and (liabilities) Total Balance - January 1, 2020 $ 74,634 $ 4,731 $ 79,365 Total realized and unrealized losses Included in net realized and unrealized (losses) gains on investments (14,156 ) — (14,156 ) Included in other (loss) income — (2,897 ) (2,897 ) Total foreign exchange losses (21 ) — (21 ) Purchases 20,962 (611 ) 20,351 Sales (8,799 ) — (8,799 ) Balance - March 31, 2020 $ 72,620 $ 1,223 $ 73,843 Other investments Other assets and (liabilities) Total Balance - January 1, 2019 $ 54,545 $ (8,359 ) $ 46,186 Total realized and unrealized (losses) gains Included in net realized and unrealized (losses) gains on investments (1,111 ) — (1,111 ) Included in other (loss) income — 1,093 1,093 Total foreign exchange losses (1 ) — (1 ) Purchases 10,262 (897 ) 9,365 Settlements — 20 20 Amounts acquired (1) — 19,970 19,970 Balance - March 31, 2019 $ 63,695 $ 11,827 $ 75,522 (1) Represents the fair value of the other assets acquired from TMR, measured at fair value on a recurring basis using Level 3 inputs at March 22, 2019. See “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information related to the acquisition of TMR. |
Schedule of Balances Elected to Account for at Fair Value | Below is a summary of the balances the Company has elected to account for at fair value: March 31, December 31, Other investments $ 1,058,714 $ 1,087,377 Other assets $ 26,442 $ 32,944 Other liabilities $ 25,219 $ 28,213 |
Schedule of Other Investments Measured Using Net Asset Valuations | The table below shows the Company’s portfolio of other investments measured using net asset valuations as a practical expedient: At March 31, 2020 Fair Value Unfunded Redemption Frequency Redemption Redemption Private equity investments $ 167,657 $ 417,393 See below See below See below Senior secured bank loan funds 22,579 7,141 See below See below See below Hedge funds 9,327 — See below See below See below Total other investments measured using net asset valuations $ 199,563 $ 424,534 |
Reinsurance (Tables)
Reinsurance (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
SEC Schedule, 12-17, Insurance Companies, Reinsurance [Abstract] | |
Schedule of Effect of Reinsurance and Retrocessional Activity on Premiums Written and Earned and on Net Claims and Claim Expenses Incurred | The following table sets forth the effect of reinsurance and retrocessional activity on premiums written and earned and on net claims and claim expenses incurred: Three months ended March 31, March 31, Premiums written Direct $ 147,692 $ 110,968 Assumed 1,878,029 1,453,327 Ceded (755,913 ) (635,264 ) Net premiums written $ 1,269,808 $ 929,031 Premiums earned Direct $ 134,229 $ 89,814 Assumed 1,149,733 765,433 Ceded (370,864 ) (305,219 ) Net premiums earned $ 913,098 $ 550,028 Claims and claim expenses Gross claims and claim expenses incurred $ 747,715 $ 338,119 Claims and claim expenses recovered (176,761 ) (111,084 ) Net claims and claim expenses incurred $ 570,954 $ 227,035 |
Reserve for Claims and Claim _2
Reserve for Claims and Claim Expenses (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Insurance Loss Reserves [Abstract] | |
Schedule of Liability for Unpaid Claims and Claim Expenses | Three months ended March 31, 2019 (Favorable) adverse development Catastrophe net claims and claim expenses Large catastrophe events 2017 Large Loss Events $ (10,918 ) Other (1,374 ) Total large catastrophe events (12,292 ) Small catastrophe events and attritional loss movements Other small catastrophe events and attritional loss movements 14,169 Total small catastrophe events and attritional loss movements 14,169 Total catastrophe and attritional net claims and claim expenses 1,877 Total net adverse development of prior accident years net claims and claim expenses $ 1,877 The following table details the Company’s prior year development by segment of its liability for unpaid claims and claim expenses: Three months ended March 31, 2020 2019 (Favorable) adverse development (Favorable) adverse development Property $ 14,008 $ 1,877 Casualty and Specialty (1 ) (6,202 ) Other (107 ) 19 Total net adverse (favorable) development of prior accident years net claims and claim expenses $ 13,900 $ (4,306 ) The following table summarizes the Company’s claims and claim expense reserves by segment, allocated between case reserves, additional case reserves and IBNR: At March 31, 2020 Case Reserves Additional Case Reserves IBNR Total Property $ 1,095,840 $ 1,707,754 $ 958,827 $ 3,762,421 Casualty and Specialty 1,644,402 105,505 3,894,049 5,643,956 Other 330 — — 330 Total $ 2,740,572 $ 1,813,259 $ 4,852,876 $ 9,406,707 At December 31, 2019 Property $ 1,253,406 $ 1,631,223 $ 1,189,221 $ 4,073,850 Casualty and Specialty 1,596,426 129,720 3,583,913 5,310,059 Other 440 — — 440 Total $ 2,850,272 $ 1,760,943 $ 4,773,134 $ 9,384,349 Activity in the liability for unpaid claims and claim expenses is summarized as follows: Three months ended March 31, 2020 2019 Net reserves as of beginning of period $ 6,593,052 $ 3,704,050 Net incurred related to: Current year 557,054 231,341 Prior years 13,900 (4,306 ) Total net incurred 570,954 227,035 Net paid related to: Current year 31,201 8,149 Prior years 436,286 300,120 Total net paid 467,487 308,269 Amounts acquired (1) — 1,858,775 Foreign exchange (2) (55,395 ) 1,550 Net reserves as of end of period 6,641,124 5,483,141 Reinsurance recoverable as of end of period 2,765,583 2,908,343 Gross reserves as of end of period $ 9,406,707 $ 8,391,484 (1) Represents the fair value of TMR's reserves for claims and claim expenses, net of reinsurance recoverables, acquired at March 22, 2019. (2) Reflects the impact of the foreign exchange revaluation of net reserves denominated in non-U.S. dollars as at the balance sheet date. The following tables detail the development of the Company’s liability for unpaid claims and claim expenses for its Property segment, allocated between large and small catastrophe net claims and claim expenses and attritional net claims and claim expenses, included in the other line item: Three months ended March 31, 2020 (Favorable) adverse development Catastrophe net claims and claim expenses Large catastrophe events 2019 Large Loss Events $ (19,681 ) 2018 Large Loss Events (14,200 ) 2017 Large Loss Events (6,237 ) Other 8,027 Total large catastrophe events (32,091 ) Small catastrophe events and attritional loss movements Other small catastrophe events and attritional loss movements 46,099 Total small catastrophe events and attritional loss movements 46,099 Total net adverse development of prior accident years net claims and claim expenses $ 14,008 The following table details the development of the Company’s liability for unpaid claims and claim expenses for its Casualty and Specialty segment: Three months ended March 31, 2020 2019 (Favorable) adverse development (Favorable) adverse development Actuarial methods $ (1 ) $ (6,202 ) Total net favorable development of prior accident years net claims and claim expenses $ (1 ) $ (6,202 ) |
Debt and Credit Facilities (Tab
Debt and Credit Facilities (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments | A summary of the Company’s debt obligations on its consolidated balance sheets is set forth below: March 31, 2020 December 31, 2019 Fair Value Carrying Value Fair Value Carrying Value 3.600% Senior Notes due 2029 $ 421,260 $ 391,703 $ 424,920 $ 391,475 3.450% Senior Notes due 2027 317,685 296,415 314,070 296,292 3.700% Senior Notes due 2025 316,560 298,150 318,567 298,057 5.750% Senior Notes due 2020 — — 251,030 249,931 4.750% Senior Notes due 2025 (DaVinciRe) (1) 145,842 148,427 160,031 148,350 Total debt $ 1,201,347 $ 1,134,695 $ 1,468,618 $ 1,384,105 (1) RenaissanceRe owns a noncontrolling economic interest in its joint venture DaVinciRe. Because RenaissanceRe controls a majority of DaVinciRe’s outstanding voting rights, the consolidated financial statements of DaVinciRe are included in the consolidated financial statements of RenaissanceRe. However, RenaissanceRe does not guarantee or provide credit support for DaVinciRe and RenaissanceRe’s financial exposure to DaVinciRe is limited to its investment in DaVinciRe’s shares and counterparty credit risk arising from reinsurance transactions. |
Schedule of Line of Credit Facilities | The outstanding amounts issued or drawn under each of the Company’s significant credit facilities is set forth below: At March 31, 2020 Issued or Drawn Revolving Credit Facility (1) $ — Bilateral Letter of Credit Facilities Secured 324,147 Unsecured 373,951 Funds at Lloyd’s Letter of Credit Facility 290,000 TMR Letters of Credit (2) 75 $ 988,173 (1) At March 31, 2020 , no amounts were issued or drawn under this facility. (2) These letters of credit were transferred to the Company in connection with the acquisition of TMR and were terminated during the quarter ended March 31, 2020, except for certain immaterial amounts. Refer to “Note 3. Acquisition of Tokio Millennium Re” in the Company’s “Notes to the Consolidated Financial Statements” included in the Company’s Form 10-K for the year ended December 31, 2019 for additional information related to the acquisition of TMR. |
Noncontrolling Interests (Table
Noncontrolling Interests (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Business Combination, Acquisition of Less than 100 Percent, Noncontrolling Interest [Abstract] | |
Schedule of Redeemable Noncontrolling Interest | The activity in redeemable noncontrolling interest – Vermeer is detailed in the table below: Three months ended March 31, March 31, Beginning balance $ 1,003,615 $ 599,989 Net income attributable to redeemable noncontrolling interest 17,863 5,208 Ending balance $ 1,021,478 $ 605,197 The activity in redeemable noncontrolling interest – DaVinciRe is detailed in the table below: Three months ended March 31, March 31, Beginning balance $ 1,435,581 $ 1,034,946 Redemption of shares from redeemable noncontrolling interest, net of adjustments 2,607 (234 ) Sale of shares to redeemable noncontrolling interests 9,991 — Net income attributable to redeemable noncontrolling interest 84,906 62,533 Ending balance $ 1,533,085 $ 1,097,245 A summary of the Company’s redeemable noncontrolling interests on its consolidated balance sheets is set forth below: March 31, December 31, 2019 Redeemable noncontrolling interest - DaVinciRe $ 1,533,085 $ 1,435,581 Redeemable noncontrolling interest - Medici 677,283 632,112 Redeemable noncontrolling interest - Vermeer 1,021,478 1,003,615 Redeemable noncontrolling interests $ 3,231,846 $ 3,071,308 A summary of the Company’s redeemable noncontrolling interests on its consolidated statements of operations is set forth below: Three months ended March 31, March 31, Redeemable noncontrolling interest - DaVinciRe $ 84,906 $ 62,533 Redeemable noncontrolling interest - Medici (4,678 ) 2,481 Redeemable noncontrolling interest - Vermeer 17,863 5,208 Net income attributable to redeemable noncontrolling interests $ 98,091 $ 70,222 The activity in redeemable noncontrolling interest – Medici is detailed in the table below: Three months ended March 31, March 31, Beginning balance $ 632,112 $ 416,765 Redemption of shares from redeemable noncontrolling interest, net of adjustments (4,764 ) (15,884 ) Sale of shares to redeemable noncontrolling interests 54,613 3,596 Net (loss) income attributable to redeemable noncontrolling interest (4,678 ) 2,481 Ending balance $ 677,283 $ 406,958 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings Per Common Share | The following table sets forth the computation of basic and diluted earnings per common share: Three months ended (common shares in thousands) March 31, March 31, Numerator: Net (loss) income (attributable) available to RenaissanceRe common shareholders $ (81,974 ) $ 273,717 Amount allocated to participating common shareholders (1) (146 ) (3,121 ) Net (loss) income allocated to RenaissanceRe common shareholders $ (82,120 ) $ 270,596 Denominator: Denominator for basic (loss) income per RenaissanceRe common share - weighted average common shares 43,441 42,065 Per common share equivalents of employee stock options and non-vested shares — 26 Denominator for diluted (loss) income per RenaissanceRe common share - adjusted weighted average common shares and assumed conversions 43,441 42,091 Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share – basic $ (1.89 ) $ 6.43 Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share – diluted $ (1.89 ) $ 6.43 (1) Represents earnings and dividends attributable to holders of unvested shares issued pursuant to the Company's stock compensation plans. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Schedule of Significant Components of the Company's Revenues and Expenses by Segment | A summary of the significant components of the Company’s revenues and expenses by segment is as follows: Three months ended March 31, 2020 Property Casualty and Specialty Other Total Gross premiums written $ 1,220,526 $ 805,195 $ — $ 2,025,721 Net premiums written $ 674,581 $ 595,227 $ — $ 1,269,808 Net premiums earned $ 421,335 $ 491,763 $ — $ 913,098 Net claims and claim expenses incurred 144,852 426,209 (107 ) 570,954 Acquisition expenses 85,351 125,253 — 210,604 Operational expenses 44,007 23,454 — 67,461 Underwriting income (loss) $ 147,125 $ (83,153 ) $ 107 64,079 Net investment income 99,473 99,473 Net foreign exchange losses (5,728 ) (5,728 ) Equity in earnings of other ventures 4,564 4,564 Other loss (4,436 ) (4,436 ) Net realized and unrealized losses on investments (110,707 ) (110,707 ) Corporate expenses (15,991 ) (15,991 ) Interest expense (14,927 ) (14,927 ) Income before taxes 16,327 Income tax benefit 8,846 8,846 Net income attributable to redeemable noncontrolling interests (98,091 ) (98,091 ) Dividends on preference shares (9,056 ) (9,056 ) Net loss attributable to RenaissanceRe common shareholders $ (81,974 ) Net claims and claim expenses incurred – current accident year $ 130,844 $ 426,210 $ — $ 557,054 Net claims and claim expenses incurred – prior accident years 14,008 (1 ) (107 ) 13,900 Net claims and claim expenses incurred – total $ 144,852 $ 426,209 $ (107 ) $ 570,954 Net claims and claim expense ratio – current accident year 31.1 % 86.7 % 61.0 % Net claims and claim expense ratio – prior accident years 3.3 % — % 1.5 % Net claims and claim expense ratio – calendar year 34.4 % 86.7 % 62.5 % Underwriting expense ratio 30.7 % 30.2 % 30.5 % Combined ratio 65.1 % 116.9 % 93.0 % Three months ended March 31, 2019 Property Casualty and Specialty Other Total Gross premiums written $ 1,032,384 $ 531,911 $ — $ 1,564,295 Net premiums written $ 564,230 $ 364,801 $ — $ 929,031 Net premiums earned $ 290,745 $ 259,283 $ — $ 550,028 Net claims and claim expenses incurred 56,083 170,933 19 227,035 Acquisition expenses 53,739 70,212 — 123,951 Operational expenses 28,544 16,389 — 44,933 Underwriting income (loss) $ 152,379 $ 1,749 $ (19 ) 154,109 Net investment income 82,094 82,094 Net foreign exchange losses (2,846 ) (2,846 ) Equity in earnings of other ventures 4,661 4,661 Other income 3,171 3,171 Net realized and unrealized gains on investments 170,013 170,013 Corporate expenses (38,789 ) (38,789 ) Interest expense (11,754 ) (11,754 ) Income before taxes 360,659 Income tax expense (7,531 ) (7,531 ) Net income attributable to redeemable noncontrolling interests (70,222 ) (70,222 ) Dividends on preference shares (9,189 ) (9,189 ) Net income available to RenaissanceRe common shareholders $ 273,717 Net claims and claim expenses incurred – current accident year $ 54,206 $ 177,135 $ — $ 231,341 Net claims and claim expenses incurred – prior accident years 1,877 (6,202 ) 19 (4,306 ) Net claims and claim expenses incurred – total $ 56,083 $ 170,933 $ 19 $ 227,035 Net claims and claim expense ratio – current accident year 18.6 % 68.3 % 42.1 % Net claims and claim expense ratio – prior accident years 0.7 % (2.4 )% (0.8 )% Net claims and claim expense ratio – calendar year 19.3 % 65.9 % 41.3 % Underwriting expense ratio 28.3 % 33.4 % 30.7 % Combined ratio 47.6 % 99.3 % 72.0 % |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Summary of Derivative Instruments [Abstract] | |
Schedule of Location on Consolidated Balance Sheets and Fair Value of Principal Derivative Instruments | The tables below show the gross and net amounts of recognized derivative assets and liabilities at fair value, including the location on the consolidated balance sheets of the Company’s principal derivative instruments: Derivative Assets At March 31, 2020 Gross Amounts of Recognized Assets Gross Amounts Offset in the Balance Sheet Net Amounts of Assets Presented in the Balance Sheet Balance Sheet Location Collateral Net Amount Derivative instruments not designated as hedges Interest rate futures $ 139 $ (789 ) $ 928 Other assets $ — $ 928 Foreign currency forward contracts (1) 17,824 2,416 15,408 Other assets — 15,408 Foreign currency forward contracts (2) 6,645 439 6,206 Other assets — 6,206 Credit default swaps 30 — 30 Other assets — 30 Total derivative instruments not designated as hedges 24,638 2,066 22,572 — 22,572 Derivative instruments designated as hedges Foreign currency forward contracts (3) 4,154 — 4,154 Other assets — 4,154 Total $ 28,792 $ 2,066 $ 26,726 $ — $ 26,726 Derivative Liabilities At March 31, 2020 Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Balance Sheet Net Amounts of Liabilities Presented in the Balance Sheet Balance Sheet Location Collateral Pledged Net Amount Derivative instruments not designated as hedges Interest rate futures $ 1,654 $ (789 ) $ 2,443 Other liabilities $ 2,443 $ — Interest rate swaps 114 — 114 Other assets 114 — Foreign currency forward contracts (1) 9,700 4,810 4,890 Other liabilities — 4,890 Foreign currency forward contracts (2) 440 439 1 Other liabilities — 1 Credit default swaps 332 — 332 Other assets 332 — Total return swaps 17,767 — 17,767 Other assets 17,767 — Equity futures 813 — 813 Other liabilities 813 — Total derivative instruments not designated as hedges 30,820 4,460 26,360 21,469 4,891 Derivative instruments designated as hedges Foreign currency forward contracts (3) — 1,489 (1,489 ) Other liabilities — (1,489 ) Total $ 30,820 $ 5,949 $ 24,871 $ 21,469 $ 3,402 (1) Contracts used to manage foreign currency risks in underwriting and non-investment operations. (2) Contracts used to manage foreign currency risks in investment operations. (3) Contracts designated as hedges of a net investment in a foreign operation. Derivative Assets At December 31, 2019 Gross Amounts of Recognized Assets Gross Amounts Offset in the Balance Sheet Net Amounts of Assets Presented in the Balance Sheet Balance Sheet Location Collateral Net Amount Derivative instruments not designated as hedges Interest rate futures $ 234 $ 122 $ 112 Other assets $ — $ 112 Foreign currency forward contracts (1) 22,702 2,418 20,284 Other assets — 20,284 Foreign currency forward contracts (2) 1,082 622 460 Other assets — 460 Credit default swaps 37 — 37 Other assets — 37 Total return swaps 3,744 — 3,744 Other assets 3,601 143 Equity futures 291 — 291 Other assets — 291 Total derivative instruments not designated as hedges 28,090 3,162 24,928 3,601 21,327 Derivative instruments designated as hedges Foreign currency forward contracts (3) 64 667 (603 ) Other assets — (603 ) Total $ 28,154 $ 3,829 $ 24,325 $ 3,601 $ 20,724 Derivative Liabilities At December 31, 2019 Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Balance Sheet Net Amounts of Liabilities Presented in the Balance Sheet Balance Sheet Location Collateral Pledged Net Amount Derivative instruments not designated as hedges Interest rate futures $ 1,545 $ 122 $ 1,423 Other liabilities $ 1,423 $ — Interest rate swaps 50 — 50 Other liabilities 50 — Foreign currency forward contracts (1) 3,808 28 3,780 Other liabilities — 3,780 Foreign currency forward contracts (2) 939 622 317 Other liabilities — 317 Total derivative instruments not designated as hedges 6,342 772 5,570 1,473 4,097 Derivative instruments designated as hedges Foreign currency forward contracts (3) 1,818 — 1,818 Other liabilities — 1,818 Total $ 8,160 $ 772 $ 7,388 $ 1,473 $ 5,915 (1) Contracts used to manage foreign currency risks in underwriting and non-investment operations. (2) Contracts used to manage foreign currency risks in investment operations. (3) Contracts designated as hedges of a net investment in a foreign operation. |
Schedule of Gain (Loss) Recognized in Consolidated Statements of Operations Related to Principal Derivative Instruments | The location and amount of the gain (loss) recognized in the Company’s consolidated statements of operations related to its principal derivative instruments are shown in the following table: Location of gain (loss) recognized on derivatives Amount of gain (loss) recognized on derivatives Three months ended March 31, 2020 2019 Derivative instruments not designated as hedges Interest rate futures Net realized and unrealized (losses) gains on investments $ 88,006 $ 6,056 Interest rate swaps Net realized and unrealized (losses) gains on investments 2,107 349 Foreign currency forward contracts (1) Net foreign exchange losses (330 ) 4,442 Foreign currency forward contracts (2) Net foreign exchange losses 6,400 1,145 Credit default swaps Net realized and unrealized (losses) gains on investments (4,897 ) 4,410 Total return swaps Net realized and unrealized (losses) gains on investments (21,137 ) 534 Equity futures Net realized and unrealized (losses) gains on investments (30,898 ) 2,447 Total derivative instruments not designated as hedges 39,251 19,383 Derivative instruments designated as hedges Foreign currency forward contracts (3) Accumulated other comprehensive loss 10,844 — Total $ 50,095 $ 19,383 (1) Contracts used to manage foreign currency risks in underwriting and non-investment operations. (2) Contracts used to manage foreign currency risks in investment operations. (3) Contracts designated as hedges of a net investment in a foreign operation. |
Schedule of Derivative Instruments Designated as Hedges of a Net Investment in a Foreign Operation | The table below provides a summary of derivative instruments designated as hedges of a net investment in a foreign operation, including the weighted average U.S. dollar equivalent of foreign denominated net assets that were hedged and the resulting derivative gain that was recorded in foreign currency translation adjustments, net of tax, within accumulated other comprehensive loss on the Company’s consolidated statements of changes in shareholders’ equity: Three months ended March 31, March 31, Weighted average of U.S. dollar equivalent of foreign denominated net assets $ 76,804 $ — Derivative gains (1) $ 10,844 $ — (1) Derivative gains from derivative instruments designated as hedges of the net investment in a foreign operation are recorded in foreign currency translation adjustments, net of tax, within accumulated other comprehensive loss on the Company’s consolidated statements of changes in shareholders’ equity. |
Assets and Liabilities Held F_2
Assets and Liabilities Held For Sale (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Transfers and Servicing [Abstract] | |
Carrying Value of the Major Classes of Assets and Liabilities Held for Sale | The carrying value of the major classes of assets and liabilities held for sale at March 31, 2020 and December 31, 2019 are as follows: March 31, December 31, Assets of RenaissanceRe UK held for sale Total investments $ 440,418 $ 458,731 Other assets 24,165 40,284 Total assets held for sale $ 464,583 $ 499,015 Liabilities of RenaissanceRe UK held for sale Reserve for claims and claim expenses $ 175,506 $ 199,436 Other liabilities 2,863 925 Total liabilities held for sale $ 178,369 $ 200,361 |
Condensed Consolidating Finan_2
Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries [Abstract] | |
Schedule of Condensed Consolidating Balance Sheets | Condensed Consolidating Balance Sheet at March 31, 2020 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Assets Total investments $ 275,173 $ 24,564 $ 17,518,860 $ — $ 17,818,597 Cash and cash equivalents 3,066 16,089 877,061 — 896,216 Investments in subsidiaries 5,017,427 1,392,419 641,103 (7,050,949 ) — Due from subsidiaries and affiliates 11,712 — (11,712 ) — — Premiums receivable — — 3,105,441 — 3,105,441 Prepaid reinsurance premiums — — 1,151,926 — 1,151,926 Reinsurance recoverable — — 2,765,583 — 2,765,583 Accrued investment income — 43 73,453 — 73,496 Deferred acquisition costs — — 739,875 — 739,875 Receivable for investments sold 2,186 — 339,600 — 341,786 Other assets 784,513 9,937 300,107 (782,034 ) 312,523 Goodwill and other intangible assets 115,186 — 144,890 — 260,076 Total assets $ 6,209,263 $ 1,443,052 $ 27,646,187 $ (7,832,983 ) $ 27,465,519 Liabilities, Noncontrolling Interests and Shareholders’ Equity Liabilities Reserve for claims and claim expenses $ — $ — $ 9,406,707 $ — $ 9,406,707 Unearned premiums — — 3,245,914 — 3,245,914 Debt 483,203 721,867 711,040 (781,415 ) 1,134,695 Amounts due to subsidiaries and affiliates 21,756 117,770 (139,526 ) — — Reinsurance balances payable — — 3,775,375 — 3,775,375 Payable for investments purchased 1,100 — 635,036 — 636,136 Other liabilities 19,678 11,366 1,534,530 (1,214,254 ) 351,320 Total liabilities 525,737 851,003 19,169,076 (1,995,669 ) 18,550,147 Redeemable noncontrolling interests — — 3,231,846 — 3,231,846 Shareholders’ Equity Total shareholders’ equity 5,683,526 592,049 5,245,265 (5,837,314 ) 5,683,526 Total liabilities, noncontrolling interests and shareholders’ equity $ 6,209,263 $ 1,443,052 $ 27,646,187 $ (7,832,983 ) $ 27,465,519 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Balance Sheet at December 31, 2019 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenaissanceRe Finance Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Assets Total investments $ 190,451 $ 288,137 $ 16,890,201 $ — $ 17,368,789 Cash and cash equivalents 26,460 8,731 1,343,877 — 1,379,068 Investments in subsidiaries 5,204,260 1,426,838 48,247 (6,679,345 ) — Due from subsidiaries and affiliates 10,725 — 101,579 (112,304 ) — Premiums receivable — — 2,599,896 — 2,599,896 Prepaid reinsurance premiums — — 767,781 — 767,781 Reinsurance recoverable — — 2,791,297 — 2,791,297 Accrued investment income — 1,171 71,290 — 72,461 Deferred acquisition costs — — 663,991 — 663,991 Receivable for investments sold 173 — 78,196 — 78,369 Other assets 847,406 12,211 312,556 (825,957 ) 346,216 Goodwill and other intangible assets 116,212 — 146,014 — 262,226 Total assets $ 6,395,687 $ 1,737,088 $ 25,814,925 $ (7,617,606 ) $ 26,330,094 Liabilities, Noncontrolling Interest and Shareholders’ Equity Liabilities Reserve for claims and claim expenses $ — $ — $ 9,384,349 $ — $ 9,384,349 Unearned premiums — — 2,530,975 — 2,530,975 Debt 391,475 970,255 148,349 (125,974 ) 1,384,105 Amounts due to subsidiaries and affiliates 6,708 102,493 51 (109,252 ) — Reinsurance balances payable — — 2,830,691 — 2,830,691 Payable for investments purchased — — 225,275 — 225,275 Other liabilities 26,137 14,162 899,960 (8,235 ) 932,024 Total liabilities 424,320 1,086,910 16,019,650 (243,461 ) 17,287,419 Redeemable noncontrolling interests — — 3,071,308 — 3,071,308 Shareholders’ Equity Total shareholders’ equity 5,971,367 650,178 6,723,967 (7,374,145 ) 5,971,367 Total liabilities, redeemable noncontrolling interest and shareholders’ equity $ 6,395,687 $ 1,737,088 $ 25,814,925 $ (7,617,606 ) $ 26,330,094 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. |
Schedule of Condensed Consolidating Statements of Operations | Condensed Consolidating Statement of Operations for the year ended March 31, 2019 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Revenues Net premiums earned $ — $ — $ 550,028 $ — $ 550,028 Net investment income 8,277 2,060 80,559 (8,802 ) 82,094 Net foreign exchange losses (1 ) — (2,845 ) — (2,846 ) Equity in earnings of other ventures — 965 3,696 — 4,661 Other income — — 3,171 — 3,171 Net realized and unrealized gains on investments 1,002 109 168,902 — 170,013 Total revenues 9,278 3,134 803,511 (8,802 ) 807,121 Expenses Net claims and claim expenses incurred — — 227,035 — 227,035 Acquisition expenses — — 123,951 — 123,951 Operational expenses 469 12,333 42,620 (10,489 ) 44,933 Corporate expenses 38,828 — (1,922 ) 1,883 38,789 Interest expense 1,883 9,252 619 — 11,754 Total expenses 41,180 21,585 392,303 (8,606 ) 446,462 (Loss) income before equity in net income of subsidiaries and taxes (31,902 ) (18,451 ) 411,208 (196 ) 360,659 Equity in net income of subsidiaries 314,887 33,532 828 (349,247 ) — Income before taxes 282,985 15,081 412,036 (349,443 ) 360,659 Income tax (expense) benefit (79 ) 1,662 (9,114 ) — (7,531 ) Net income 282,906 16,743 402,922 (349,443 ) 353,128 Net income attributable to redeemable noncontrolling interests — — (70,222 ) — (70,222 ) Net income attributable to RenaissanceRe 282,906 16,743 332,700 (349,443 ) 282,906 Dividends on preference shares (9,189 ) — — — (9,189 ) Net income available to RenaissanceRe common shareholders $ 273,717 $ 16,743 $ 332,700 $ (349,443 ) $ 273,717 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Operations for the three months ended March 31, 2020 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Revenues Net premiums earned $ — $ — $ 913,098 $ — $ 913,098 Net investment income 10,488 883 98,542 (10,440 ) 99,473 Net foreign exchange (losses) gains (7,330 ) — 1,602 — (5,728 ) Equity in earnings of other ventures — 389 4,175 — 4,564 Other income (loss) 372 — 11,073 (15,881 ) (4,436 ) Net realized and unrealized (losses) gains on investments (21,118 ) 116 (89,705 ) — (110,707 ) Total revenues (17,588 ) 1,388 938,785 (26,321 ) 896,264 Expenses Net claims and claim expenses incurred — — 570,954 — 570,954 Acquisition expenses — — 210,604 — 210,604 Operational expenses 2,732 17,318 62,919 (15,508 ) 67,461 Corporate expenses 8,679 — 7,312 — 15,991 Interest expense 3,828 9,969 11,517 (10,387 ) 14,927 Total expenses 15,239 27,287 863,306 (25,895 ) 879,937 (Loss) income before equity in net (loss) income of subsidiaries and taxes (32,827 ) (25,899 ) 75,479 (426 ) 16,327 Equity in net (loss) income of subsidiaries (39,673 ) (33,669 ) 16,639 56,703 — (Loss) income before taxes (72,500 ) (59,568 ) 92,118 56,277 16,327 Income tax (expense) benefit (418 ) 2,186 7,078 — 8,846 Net (loss) income (72,918 ) (57,382 ) 99,196 56,277 25,173 Net income attributable to redeemable noncontrolling interests — — (98,091 ) — (98,091 ) Net (loss) income attributable to RenaissanceRe (72,918 ) (57,382 ) 1,105 56,277 (72,918 ) Dividends on preference shares (9,056 ) — — — (9,056 ) Net (loss) income (attributable) available to RenaissanceRe common shareholders $ (81,974 ) $ (57,382 ) $ 1,105 $ 56,277 $ (81,974 ) (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. |
Schedule of Condensed Consolidating Statement of Comprehensive Income (Loss) | Condensed Consolidating Statement of Comprehensive (Loss) Income for the three months ended March 31, 2020 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Comprehensive (loss) income Net (loss) income $ (72,918 ) $ (57,382 ) $ 99,196 $ 56,277 $ 25,173 Change in net unrealized gains on investments, net of tax (657 ) 745 (14,562 ) 13,817 (657 ) Foreign currency translation adjustments, net of tax 932 — — 932 Comprehensive (loss) income (72,643 ) (56,637 ) 84,634 70,094 25,448 Net income attributable to redeemable noncontrolling interests — — (98,091 ) — (98,091 ) Comprehensive income attributable to noncontrolling interests — — (98,091 ) — (98,091 ) Comprehensive (loss) income attributable to RenaissanceRe $ (72,643 ) $ (56,637 ) $ (13,457 ) $ 70,094 $ (72,643 ) (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Comprehensive Income for the three months ended March 31, 2019 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Comprehensive income Net income $ 282,906 $ 16,743 $ 402,922 $ (349,443 ) $ 353,128 Change in net unrealized losses on investments — — (37 ) — (37 ) Comprehensive income 282,906 16,743 402,885 (349,443 ) 353,091 Net income attributable to redeemable noncontrolling interests — — (70,222 ) — (70,222 ) Comprehensive income attributable to noncontrolling interests — — (70,222 ) — (70,222 ) Comprehensive income attributable to RenaissanceRe $ 282,906 $ 16,743 $ 332,663 $ (349,443 ) $ 282,869 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. |
Schedule of Condensed Consolidating Statements of Cash Flows | Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2020 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other RenaissanceRe Consolidated Cash flows provided by (used in) operating activities Net cash provided by (used in) operating activities $ 6,839 $ (21,068 ) $ 489,695 $ 475,466 Cash flows provided by (used in) investing activities Proceeds from sales and maturities of fixed maturity investments trading — 2,493 3,658,801 3,661,294 Purchases of fixed maturity investments trading — (17,602 ) (3,352,792 ) (3,370,394 ) Net purchases of equity investments trading — — (44,514 ) (44,514 ) Net (purchases) sales of short term investments (85,628 ) 278,258 (896,856 ) (704,226 ) Net purchases of other investments — — (79,711 ) (79,711 ) Net purchases of investments in other ventures — — (1,888 ) (1,888 ) Return of investment from investments in other ventures — — 9,157 9,157 Dividends and return of capital from subsidiaries 216,243 — (216,243 ) — Contributions to subsidiaries (64,952 ) — 64,952 — Due to (from) subsidiary 126,320 15,277 (141,597 ) — Net cash provided by (used in) investing activities 191,983 278,426 (1,000,691 ) (530,282 ) Cash flows (used in) provided by financing activities Dividends paid – RenaissanceRe common shares (15,359 ) — — (15,359 ) Dividends paid – preference shares (9,056 ) — — (9,056 ) RenaissanceRe common share repurchases (62,621 ) — — (62,621 ) Redemption of 6.08% Series C preference shares (125,000 ) — — (125,000 ) Repayment of debt — (250,000 ) — (250,000 ) Net third party redeemable noncontrolling interest share transactions — — 42,599 42,599 Taxes paid on withholding shares (10,180 ) — — (10,180 ) Net cash (used in) provided by financing activities (222,216 ) (250,000 ) 42,599 (429,617 ) Effect of exchange rate changes on foreign currency cash — — 1,581 1,581 Net (decrease) increase in cash and cash equivalents (23,394 ) 7,358 (466,816 ) (482,852 ) Cash and cash equivalents, beginning of period 26,460 8,731 1,343,877 1,379,068 Cash and cash equivalents, end of period $ 3,066 $ 16,089 $ 877,061 $ 896,216 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2019 RenaissanceRe RenaissanceRe Finance Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) RenaissanceRe Consolidated Cash flows (used in) provided by operating activities Net cash (used in) provided by operating activities $ (317,296 ) $ (21,202 ) $ 715,647 $ 377,149 Cash flows provided by (used in) investing activities Proceeds from sales and maturities of fixed maturity investments trading 277,030 29,861 4,293,917 4,600,808 Purchases of fixed maturity investments trading (35,909 ) (14,098 ) (3,469,270 ) (3,519,277 ) Net purchases of equity investments trading — — (4,601 ) (4,601 ) Net purchases of short term investments (54,622 ) (4,946 ) (1,315,064 ) (1,374,632 ) Net purchases of other investments — — (51,811 ) (51,811 ) Net purchases of investment in other venture — — (1,573 ) (1,573 ) Return of investment from investment in other ventures — — 11,250 11,250 Dividends and return of capital from subsidiaries 487,264 — (487,264 ) — Contributions to subsidiaries (528,416 ) — 528,416 — Due (from) to subsidiaries 2,100 6,629 (8,729 ) — Net purchase of TMR — — (276,206 ) (276,206 ) Net cash provided by (used in) investing activities 147,447 17,446 (780,935 ) (616,042 ) Cash flows provided by (used in) financing activities Dividends paid – RenaissanceRe common shares (14,469 ) — — (14,469 ) Dividends paid – preference shares (9,189 ) — — (9,189 ) Drawdown of RenaissanceRe Revolving Credit Facility 200,000 — — 200,000 Net third party redeemable noncontrolling interest share transactions — — (16,847 ) (16,847 ) Taxes paid on withholding shares (6,957 ) — — (6,957 ) Net cash provided by (used in) financing activities 169,385 — (16,847 ) 152,538 Effect of exchange rate changes on foreign currency cash — — (292 ) (292 ) Net decrease in cash and cash equivalents (464 ) (3,756 ) (82,427 ) (86,647 ) Cash and cash equivalents, beginning of period 3,534 9,604 1,094,784 1,107,922 Cash and cash equivalents, end of period $ 3,070 $ 5,848 $ 1,012,357 $ 1,021,275 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. |
Organization (Details)
Organization (Details) | 3 Months Ended |
Mar. 31, 2020 | |
Variable Interest Entity, Not Primary Beneficiary | RenaissanceRe Upsilon Fund Ltd. | |
Variable Interest Entity [Line Items] | |
Percent of segregated funds owned by third party investors | 100.00% |
Investments (Schedule of Fair V
Investments (Schedule of Fair Value of Fixed Maturity Investments Trading) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | $ 11,045,801 | $ 11,171,655 |
U.S. treasuries | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | 3,915,130 | 4,467,345 |
Agencies | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | 537,490 | 343,031 |
Non-U.S. government | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | 635,282 | 497,392 |
Non-U.S. government-backed corporate | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | 283,577 | 321,356 |
Corporate | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | 3,259,780 | 3,075,660 |
Agency mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | 1,056,272 | 1,148,499 |
Non-agency mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | 275,026 | 294,604 |
Commercial mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | 540,502 | 468,698 |
Asset-backed | ||
Schedule of Investments [Line Items] | ||
Total fixed maturity investments trading | $ 542,742 | $ 555,070 |
Investments (Schedule of Contra
Investments (Schedule of Contractual Maturities of Fixed Maturity Investments) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Amortized Cost | ||
Due in less than one year | $ 718,359 | |
Due after one through five years | 4,984,696 | |
Due after five through ten years | 2,549,975 | |
Due after ten years | 254,762 | |
Amortized Cost | 10,941,672 | $ 11,067,414 |
Fair Value | ||
Due in less than one year | 723,397 | |
Due after one through five years | 5,039,456 | |
Due after five through ten years | 2,612,031 | |
Due after ten years | 256,375 | |
Fixed maturity investments | 11,045,801 | 11,171,655 |
Mortgage-backed | ||
Amortized Cost | ||
Amortized Cost | 1,862,064 | |
Fair Value | ||
Fixed maturity investments | 1,871,800 | |
Asset-backed | ||
Amortized Cost | ||
Amortized Cost | 571,816 | |
Fair Value | ||
Fixed maturity investments | $ 542,742 | $ 555,070 |
Investments (Schedule of Fair_2
Investments (Schedule of Fair Value of Equity Investments Trading) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity investments trading | $ 360,444 | $ 436,931 |
Financials | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity investments trading | 162,904 | 248,189 |
Communications and technology | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity investments trading | 88,882 | 79,206 |
Consumer | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity investments trading | 36,920 | 35,987 |
Industrial, utilities and energy | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity investments trading | 33,859 | 38,583 |
Healthcare | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity investments trading | 32,850 | 29,510 |
Basic materials | ||
Debt and Equity Securities, FV-NI [Line Items] | ||
Equity investments trading | $ 5,029 | $ 5,456 |
Investments (Pledged Investment
Investments (Pledged Investments) (Details) - USD ($) $ in Billions | Mar. 31, 2020 | Dec. 31, 2019 |
Investments [Abstract] | ||
Cash and investments at fair value on deposit with, or in trust accounts for the benefit of various counterparties | $ 6.9 | $ 7 |
Cash and investments at fair value on deposit with, or in trust accounts for the benefit of U.S. state regulatory authorities | $ 1.8 | $ 2 |
Investments (Reverse Purchase A
Investments (Reverse Purchase Agreements) (Details) - USD ($) $ in Millions | Mar. 31, 2020 | Dec. 31, 2019 |
Investments, Debt and Equity Securities [Abstract] | ||
Value of reverse repurchase agreements | $ 158.6 | $ 57.6 |
Minimum required collateral for reverse repurchase agreements, expressed as a percentage of loan principal | 102.00% |
Investments (Schedule of Net In
Investments (Schedule of Net Investment Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||
Investment income before investment expenses | $ 104,253 | $ 86,202 |
Investment expenses | (4,780) | (4,108) |
Net investment income | 99,473 | 82,094 |
Fixed maturity investments | ||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||
Investment income before investment expenses | 73,338 | 61,483 |
Short term investments | ||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||
Investment income before investment expenses | 12,092 | 11,844 |
Equity investments | ||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||
Investment income before investment expenses | 1,551 | 1,027 |
Catastrophe bonds | ||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||
Investment income before investment expenses | 14,139 | 8,691 |
Other | ||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||
Investment income before investment expenses | 1,629 | 1,640 |
Cash and cash equivalents | ||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||
Investment income before investment expenses | $ 1,504 | $ 1,517 |
Investments (Schedule of Net Re
Investments (Schedule of Net Realized and Unrealized (Losses) Gains on Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Gain (Loss) on Securities [Line Items] | ||
Net realized and unrealized (losses) gains on investments | $ (110,707) | $ 170,013 |
Fixed maturity investments | ||
Gain (Loss) on Securities [Line Items] | ||
Gross realized gains | 68,847 | 24,373 |
Gross realized losses | (11,360) | (22,943) |
Net realized gains on fixed maturity investments | 57,487 | 1,430 |
Net unrealized (losses) gains on fixed maturity investments trading | (20,345) | 103,922 |
Derivatives | ||
Gain (Loss) on Securities [Line Items] | ||
Net realized and unrealized gains on investments-related derivatives | 33,181 | 13,796 |
Equity investments | ||
Gain (Loss) on Securities [Line Items] | ||
Net realized losses on equity investments trading sold during the period | (15,047) | (1,161) |
Net unrealized (losses) gains on equity investments trading still held at reporting date | 52,658 | |
Net unrealized (losses) gains on equity investments trading still held at reporting date | (105,937) | |
Net realized and unrealized (losses) gains on equity investments trading | (120,984) | 51,497 |
Catastrophe bonds | Other investments | ||
Gain (Loss) on Securities [Line Items] | ||
Net realized and unrealized (losses) gains on other investments | (14,352) | (2,210) |
Other | Other investments | ||
Gain (Loss) on Securities [Line Items] | ||
Net realized and unrealized (losses) gains on other investments | $ (45,694) | $ 1,578 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | $ 11,045,801 | $ 11,171,655 |
Short term investments | 5,263,242 | 4,566,277 |
Equity investments trading | 360,444 | 436,931 |
Other investments | 1,058,714 | 1,087,377 |
Other assets | 26,442 | 32,944 |
Other liabilities | (25,219) | (28,213) |
Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 11,045,801 | 11,171,655 |
Short term investments | 5,263,242 | 4,566,277 |
Equity investments trading | 360,444 | 436,931 |
Other investments | 1,058,714 | 1,087,377 |
Other assets | 3,078 | 21,668 |
Total assets and (liabilities) measured at fair value on a recurring basis using Level 3 inputs | 17,731,279 | 17,283,908 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 3,915,130 | 4,467,345 |
Short term investments | 0 | 0 |
Equity investments trading | 360,444 | 436,931 |
Other investments | 0 | 0 |
Other liabilities | (2,328) | (1,020) |
Total assets and (liabilities) measured at fair value on a recurring basis using Level 3 inputs | 4,273,246 | 4,903,256 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 7,130,671 | 6,704,310 |
Short term investments | 5,263,242 | 4,566,277 |
Equity investments trading | 0 | 0 |
Other investments | 786,531 | 781,641 |
Other assets | 4,183 | 17,957 |
Total assets and (liabilities) measured at fair value on a recurring basis using Level 3 inputs | 13,184,627 | 12,070,185 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Short term investments | 0 | 0 |
Equity investments trading | 0 | 0 |
Other investments | 72,620 | 74,634 |
Other assets | 1,223 | 4,731 |
Total assets and (liabilities) measured at fair value on a recurring basis using Level 3 inputs | 73,843 | 79,365 |
Fair Value, Measurements, Recurring | U.S. treasuries | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 3,915,130 | 4,467,345 |
Fair Value, Measurements, Recurring | U.S. treasuries | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 3,915,130 | 4,467,345 |
Fair Value, Measurements, Recurring | U.S. treasuries | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | U.S. treasuries | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 537,490 | 343,031 |
Fair Value, Measurements, Recurring | Agencies | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Agencies | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 537,490 | 343,031 |
Fair Value, Measurements, Recurring | Agencies | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Non-U.S. government | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 635,282 | 497,392 |
Fair Value, Measurements, Recurring | Non-U.S. government | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Non-U.S. government | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 635,282 | 497,392 |
Fair Value, Measurements, Recurring | Non-U.S. government | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Non-U.S. government-backed corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 283,577 | 321,356 |
Fair Value, Measurements, Recurring | Non-U.S. government-backed corporate | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Non-U.S. government-backed corporate | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 283,577 | 321,356 |
Fair Value, Measurements, Recurring | Non-U.S. government-backed corporate | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 3,259,780 | 3,075,660 |
Fair Value, Measurements, Recurring | Corporate | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Corporate | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 3,259,780 | 3,075,660 |
Fair Value, Measurements, Recurring | Corporate | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Agency mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 1,056,272 | 1,148,499 |
Fair Value, Measurements, Recurring | Agency mortgage-backed | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Agency mortgage-backed | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 1,056,272 | 1,148,499 |
Fair Value, Measurements, Recurring | Agency mortgage-backed | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Non-agency mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 275,026 | 294,604 |
Fair Value, Measurements, Recurring | Non-agency mortgage-backed | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Non-agency mortgage-backed | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 275,026 | 294,604 |
Fair Value, Measurements, Recurring | Non-agency mortgage-backed | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Commercial mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 540,502 | 468,698 |
Fair Value, Measurements, Recurring | Commercial mortgage-backed | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Commercial mortgage-backed | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 540,502 | 468,698 |
Fair Value, Measurements, Recurring | Commercial mortgage-backed | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Asset-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 542,742 | 555,070 |
Fair Value, Measurements, Recurring | Asset-backed | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Asset-backed | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 542,742 | 555,070 |
Fair Value, Measurements, Recurring | Asset-backed | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Fair Value, Measurements, Recurring | Catastrophe bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 786,531 | 781,641 |
Fair Value, Measurements, Recurring | Catastrophe bonds | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Catastrophe bonds | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 786,531 | 781,641 |
Fair Value, Measurements, Recurring | Catastrophe bonds | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Private equity investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 240,277 | 271,047 |
Fair Value, Measurements, Recurring | Private equity investments | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Private equity investments | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Private equity investments | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 72,620 | 74,634 |
Fair Value, Measurements, Recurring | Senior secured bank loan funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 22,579 | 22,598 |
Fair Value, Measurements, Recurring | Senior secured bank loan funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Senior secured bank loan funds | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Senior secured bank loan funds | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Hedge funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 9,327 | 12,091 |
Fair Value, Measurements, Recurring | Hedge funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Hedge funds | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Hedge funds | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 1,223 | 4,731 |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 0 | 0 |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 0 | 0 |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 1,223 | 4,731 |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | Significant Unobservable Inputs (Level 3) | Other assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 26,400 | 32,900 |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | Significant Unobservable Inputs (Level 3) | Other liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other liabilities | (25,200) | (28,200) |
Fair Value, Measurements, Recurring | Derivatives | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 1,855 | 16,937 |
Fair Value, Measurements, Recurring | Derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other liabilities | (2,328) | (1,020) |
Fair Value, Measurements, Recurring | Derivatives | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | 4,183 | 17,957 |
Fair Value, Measurements, Recurring | Derivatives | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets | $ 0 | $ 0 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other investments | $ 1,058,714,000 | $ 1,087,377,000 | |
Other assets | 26,442,000 | 32,944,000 | |
Other liabilities | 25,219,000 | 28,213,000 | |
Debt | 1,134,695,000 | 1,384,105,000 | |
Long-term debt, fair value | 1,201,347,000 | 1,468,618,000 | |
Net investment income | Other investments | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Net unrealized gains recognized in earnings | (60,100,000) | $ 1,300,000 | |
Other income (loss) | Other assets and (liabilities) | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Net unrealized gains recognized in earnings | 0 | $ 0 | |
Fair Value, Measurements, Recurring | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other investments | 1,058,714,000 | 1,087,377,000 | |
Other assets | 3,078,000 | 21,668,000 | |
Fair Value, Measurements, Recurring | Private equity investments | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other investments | 240,277,000 | 271,047,000 | |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other assets | 1,223,000 | 4,731,000 | |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other investments | 72,620,000 | 74,634,000 | |
Other assets | 1,223,000 | 4,731,000 | |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Private equity investments | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other investments | 72,620,000 | 74,634,000 | |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other assets | 1,223,000 | $ 4,731,000 | |
Significant Unobservable Inputs (Level 3) | External valuation model | Fair Value, Measurements, Recurring | Private equity investments | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other investments | 1,822,000 | ||
Significant Unobservable Inputs (Level 3) | Internal valuation model | Fair Value, Measurements, Recurring | Private equity investments | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other investments | 70,798,000 | ||
Significant Unobservable Inputs (Level 3) | Internal valuation model | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other liabilities | 1,200,000 | ||
Significant Unobservable Inputs (Level 3) | Internal valuation model | Fair Value, Measurements, Recurring | Assumed reinsurance contract | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other liabilities | 8,556,000 | ||
Significant Unobservable Inputs (Level 3) | Internal valuation model | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contract | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Other assets | 11,011,000 | ||
Fair Value Measured at Net Asset Value Per Share | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Miscellaneous other investments | $ 199,563,000 | ||
U.S. treasuries | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 0.40% | 1.70% | |
Agencies | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 1.00% | 2.10% | |
Non-U.S. government | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 0.80% | 1.60% | |
Non-U.S. government-backed corporate | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 1.20% | 2.00% | |
Corporate | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 3.80% | 3.00% | |
Agency mortgage-backed | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 1.40% | 2.50% | |
Weighted average life | 3 years 6 months | 4 years 10 months 24 days | |
Non-agency prime residential mortgage-backed | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 5.60% | 3.30% | |
Weighted average life | 4 years 4 months 24 days | 4 years 9 months 18 days | |
Alt-A non-agency mortgage-backed | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 6.30% | 3.80% | |
Weighted average life | 5 years 10 months 24 days | 6 years 3 months 18 days | |
Commercial mortgage-backed | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 3.10% | 2.60% | |
Weighted average life | 5 years 9 months 18 days | 5 years 8 months 12 days | |
Asset-backed | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 4.40% | 3.30% | |
Weighted average life | 3 years | 3 years 2 months 12 days | |
Short term investments | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Weighted average effective yield | 0.50% | 1.60% | |
Private equity investments | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Liquidation period for fund assets | 7 years | ||
Private equity investments | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Liquidation period for fund assets | 10 years | ||
Private equity investments | Fair Value Measured at Net Asset Value Per Share | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Miscellaneous other investments | $ 167,657,000 | ||
Senior secured bank loan funds | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Miscellaneous other investments | $ 22,600,000 | ||
Senior secured bank loan funds | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Liquidation period for fund assets | 4 years | ||
Senior secured bank loan funds | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Liquidation period for fund assets | 5 years | ||
Senior secured bank loan funds | Fair Value Measured at Net Asset Value Per Share | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Miscellaneous other investments | $ 22,579,000 | ||
Hedge funds | Fair Value Measured at Net Asset Value Per Share | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Miscellaneous other investments | $ 9,327,000 |
Fair Value Measurements (Quanti
Fair Value Measurements (Quantitative Information Used as Level 3 Inputs) (Details) $ in Thousands | Mar. 31, 2020USD ($)$ / shares | Dec. 31, 2019USD ($) |
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other investments | $ 1,058,714 | $ 1,087,377 |
Other liabilities | (25,219) | (28,213) |
Total other assets and (liabilities) | 26,442 | 32,944 |
Fair Value, Measurements, Recurring | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other investments | 1,058,714 | 1,087,377 |
Total other assets and (liabilities) | 3,078 | 21,668 |
Total assets and (liabilities) measured at fair value on a recurring basis using Level 3 inputs | 17,731,279 | 17,283,908 |
Fair Value, Measurements, Recurring | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other investments | 72,620 | 74,634 |
Total other assets and (liabilities) | 1,223 | 4,731 |
Total assets and (liabilities) measured at fair value on a recurring basis using Level 3 inputs | 73,843 | 79,365 |
Fair Value, Measurements, Recurring | Private equity investments | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other investments | 240,277 | 271,047 |
Fair Value, Measurements, Recurring | Private equity investments | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other investments | 72,620 | 74,634 |
Fair Value, Measurements, Recurring | Private equity investments | External valuation model | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other investments | 1,822 | |
Fair Value, Measurements, Recurring | Private equity investments | Internal valuation model | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other investments | 70,798 | |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Total other assets and (liabilities) | 1,223 | 4,731 |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Total other assets and (liabilities) | 1,223 | $ 4,731 |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts | Internal valuation model | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other liabilities | (1,200) | |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group one | Internal valuation model | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other liabilities | (1,232) | |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group two | Internal valuation model | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Other liabilities | (8,556) | |
Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group three | Internal valuation model | Fair Value (Level 3) | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Total other assets and (liabilities) | $ 11,011 | |
Manager pricing | Fair Value, Measurements, Recurring | Private equity investments | External valuation model | Fair Value (Level 3) | Low | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 151.69 | |
Manager pricing | Fair Value, Measurements, Recurring | Private equity investments | External valuation model | Fair Value (Level 3) | High | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 158.90 | |
Manager pricing | Fair Value, Measurements, Recurring | Private equity investments | External valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 151.69 | |
Discount rate | Fair Value, Measurements, Recurring | Private equity investments | Internal valuation model | Fair Value (Level 3) | Low | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 0.080 | |
Discount rate | Fair Value, Measurements, Recurring | Private equity investments | Internal valuation model | Fair Value (Level 3) | High | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 0.100 | |
Discount rate | Fair Value, Measurements, Recurring | Private equity investments | Internal valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 0.080 | |
Discount rate | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group two | Internal valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | 0.004 | |
Liquidity discount | Fair Value, Measurements, Recurring | Private equity investments | Internal valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 0.150 | |
Liquidity discount | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group one | Internal valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | 0.013 | |
Bond price | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group one | Internal valuation model | Fair Value (Level 3) | Low | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 90.99 | |
Bond price | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group one | Internal valuation model | Fair Value (Level 3) | High | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 98.19 | |
Bond price | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group one | Internal valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | $ / shares | 94.46 | |
Net undiscounted cash flows | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group two | Internal valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | 11,371,000 | |
Expected loss ratio | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group two | Internal valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | 0.305 | |
Expected loss ratio | Fair Value, Measurements, Recurring | Assumed and ceded (re)insurance contracts, group three | Internal valuation model | Fair Value (Level 3) | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Significant observable and unobservable inputs (in dollars per share) | 0 |
Fair Value Measurements (Asse_2
Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Level 3 Inputs) (Details) - Fair Value (Level 3) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | Jun. 30, 2015 | Dec. 31, 2019 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of the period | $ 79,365 | $ 46,186 | $ 46,186 | |
Total realized and unrealized losses | ||||
Total foreign exchange losses | (21) | (1) | ||
Purchases | 20,351 | 9,365 | ||
Sales | (8,799) | |||
Settlements | 20 | |||
Amounts acquired | 19,970 | |||
Balance at end of the period | 73,843 | 75,522 | 79,365 | |
Other income (loss) | ||||
Total realized and unrealized losses | ||||
Included in other (loss) income | (2,897) | 1,093 | ||
Net realized and unrealized (losses) gains on investments | ||||
Total realized and unrealized losses | ||||
Included in other (loss) income | (14,156) | (1,111) | ||
Other investments | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of the period | 74,634 | 54,545 | 54,545 | |
Total realized and unrealized losses | ||||
Total foreign exchange losses | (21) | (1) | ||
Purchases | 20,962 | 10,262 | ||
Sales | (8,799) | |||
Settlements | 0 | |||
Amounts acquired | 0 | |||
Balance at end of the period | 72,620 | 63,695 | 74,634 | |
Other investments | Other income (loss) | ||||
Total realized and unrealized losses | ||||
Included in other (loss) income | 0 | 0 | ||
Other investments | Net realized and unrealized (losses) gains on investments | ||||
Total realized and unrealized losses | ||||
Included in other (loss) income | $ (1,111) | (14,156) | ||
Other assets and (liabilities) | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of the period | 4,731 | (8,359) | (8,359) | |
Total realized and unrealized losses | ||||
Total foreign exchange losses | 0 | 0 | ||
Purchases | (611) | (897) | ||
Sales | 0 | |||
Settlements | 20 | |||
Amounts acquired | 19,970 | |||
Balance at end of the period | 1,223 | 11,827 | 4,731 | |
Other assets and (liabilities) | Other income (loss) | ||||
Total realized and unrealized losses | ||||
Included in other (loss) income | (2,897) | $ 1,093 | ||
Other assets and (liabilities) | Net realized and unrealized (losses) gains on investments | ||||
Total realized and unrealized losses | ||||
Included in other (loss) income | $ 0 | $ 0 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary of the Balances Company Has Elected to Account For at Fair Value) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Fair Value Disclosures [Abstract] | ||
Other investments | $ 1,058,714 | $ 1,087,377 |
Other assets | 26,442 | 32,944 |
Other liabilities | $ 25,219 | $ 28,213 |
Fair Value Measurements (Compan
Fair Value Measurements (Company's Portfolio of Other Investments Measured Using Net Asset Valuations) (Details) $ in Thousands | Mar. 31, 2020USD ($) |
Senior secured bank loan funds | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | $ 22,600 |
Fair Value Measured at Net Asset Value Per Share | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | 199,563 |
Unfunded Commitments | 424,534 |
Fair Value Measured at Net Asset Value Per Share | Private equity investments | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | 167,657 |
Unfunded Commitments | 417,393 |
Fair Value Measured at Net Asset Value Per Share | Senior secured bank loan funds | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | 22,579 |
Unfunded Commitments | 7,141 |
Fair Value Measured at Net Asset Value Per Share | Hedge funds | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | 9,327 |
Unfunded Commitments | $ 0 |
Reinsurance (Effect of Reinsura
Reinsurance (Effect of Reinsurance and Retrocessional Activity on Premiums Written and Earned and on Net Claims and Claim Expenses) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Premiums written | ||
Direct | $ 147,692 | $ 110,968 |
Assumed | 1,878,029 | 1,453,327 |
Ceded | (755,913) | (635,264) |
Net premiums written | 1,269,808 | 929,031 |
Premiums earned | ||
Direct | 134,229 | 89,814 |
Assumed | 1,149,733 | 765,433 |
Ceded | (370,864) | (305,219) |
Net premiums earned | 913,098 | 550,028 |
Claims and claim expenses | ||
Gross claims and claim expenses incurred | 747,715 | 338,119 |
Claims and claim expenses recovered | (176,761) | (111,084) |
Net claims and claim expenses incurred | $ 570,954 | $ 227,035 |
Reinsurance (Narrative) (Detail
Reinsurance (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2020 | Dec. 31, 2019 | |
Ceded Credit Risk [Line Items] | ||
Reinsurance recoverable | $ 2,800 | $ 2,800 |
Allowance for reinsurance recoverable | ||
Ceded Credit Risk [Line Items] | ||
Valuation allowances and reserves balance | $ 7.3 | $ 7.3 |
Customer Concentration Risk, Customer One | Reinsurance recoverable | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 15.40% | 12.70% |
Customer Concentration Risk, Customer One | Allowance for reinsurance recoverable | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 18.10% | 18.10% |
Customer Concentration Risk, Customer Two | Reinsurance recoverable | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 8.20% | 7.20% |
Customer Concentration Risk, Customer Two | Allowance for reinsurance recoverable | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 7.90% | 7.90% |
Customer Concentration Risk, Customer Three | Reinsurance recoverable | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 7.30% | 7.00% |
Customer Concentration Risk, Customer Three | Allowance for reinsurance recoverable | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 7.20% | 7.20% |
Ceded Credit Risk, Secured | Reinsurer Concentration Risk | Reinsurance recoverable | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 52.10% | 57.50% |
Ceded Credit Risk, Unsecured | Reinsurer Concentration Risk | Reinsurance recoverable | Standard & Poor's, A- Rating | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 46.00% | 41.00% |
Ceded Credit Risk, Unsecured | Reinsurer Concentration Risk | Reinsurance recoverable | Standard & Poor's, BBB Rating | ||
Ceded Credit Risk [Line Items] | ||
Concentration risk, percentage | 1.90% | 1.50% |
Reserve for Claims and Claim _3
Reserve for Claims and Claim Expenses (Claims and Claim Expense Reserves by Segment) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
Liability for Claims and Claims Adjustment Expense [Line Items] | |||
Case Reserves | $ 2,740,572 | $ 2,850,272 | |
Additional Case Reserves | 1,813,259 | 1,760,943 | |
IBNR | 4,852,876 | 4,773,134 | |
Gross reserve for claims and claim expenses | 9,406,707 | 9,384,349 | $ 8,391,484 |
Other | |||
Liability for Claims and Claims Adjustment Expense [Line Items] | |||
Case Reserves | 330 | 440 | |
Additional Case Reserves | 0 | 0 | |
IBNR | 0 | 0 | |
Gross reserve for claims and claim expenses | 330 | 440 | |
Property | Operating Segments | |||
Liability for Claims and Claims Adjustment Expense [Line Items] | |||
Case Reserves | 1,095,840 | 1,253,406 | |
Additional Case Reserves | 1,707,754 | 1,631,223 | |
IBNR | 958,827 | 1,189,221 | |
Gross reserve for claims and claim expenses | 3,762,421 | 4,073,850 | |
Casualty and Specialty | Operating Segments | |||
Liability for Claims and Claims Adjustment Expense [Line Items] | |||
Case Reserves | 1,644,402 | 1,596,426 | |
Additional Case Reserves | 105,505 | 129,720 | |
IBNR | 3,894,049 | 3,583,913 | |
Gross reserve for claims and claim expenses | $ 5,643,956 | $ 5,310,059 |
Reserve for Claims and Claim _4
Reserve for Claims and Claim Expenses (Schedule of Liability for Unpaid Claims and Claims Adjustment Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | |||
Net reserves as of beginning of period | $ 6,593,052 | $ 3,704,050 | |
Net incurred related to: | |||
Current year | 557,054 | 231,341 | |
Prior years | 13,900 | (4,306) | |
Total net incurred | 570,954 | 227,035 | |
Net paid related to: | |||
Current year | 31,201 | 8,149 | |
Prior years | 436,286 | 300,120 | |
Total net paid | 467,487 | 308,269 | |
Amounts acquired | 0 | 1,858,775 | |
Foreign exchange | (55,395) | 1,550 | |
Net reserves as of end of period | 6,641,124 | 5,483,141 | |
Reinsurance recoverable | 2,765,583 | 2,908,343 | $ 2,791,297 |
Gross reserves as of end of period | $ 9,406,707 | $ 8,391,484 |
Reserve for Claims and Claim _5
Reserve for Claims and Claim Expenses (Prior Year Development of the Reserve for Net Claims and Claim Expenses) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | $ 13,900 | $ (4,306) |
Other | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | (107) | 19 |
Property | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | 14,008 | 1,877 |
Property | Actuarial methods | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | 54,100 | |
Property | Large and Small Catastrophe Events and Attritional Loss Movements | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | 1,877 | |
Property | Large catastrophe events | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | (32,091) | (12,292) |
Property | 2019 Large Loss Events | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | (19,681) | |
Property | 2018 Large Loss Events | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | (14,200) | |
Property | 2017 Large Loss Events | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | (6,237) | (10,918) |
Property | Other | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | 8,027 | (1,374) |
Property | Small catastrophe events and attritional loss movements | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | 46,099 | 14,169 |
Property | Other small catastrophe events and attritional loss movements | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | 46,099 | 14,169 |
Property | Operating Segments | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | 14,008 | 1,877 |
Casualty and Specialty | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | (1) | (6,202) |
Casualty and Specialty | Actuarial methods | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | (1) | (6,202) |
Casualty and Specialty | Operating Segments | ||
Liability for Catastrophe Claims [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | $ (1) | $ (6,202) |
Debt and Credit Facilities (Sum
Debt and Credit Facilities (Summary of Debt Obligations) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Fair Value | $ 1,201,347 | $ 1,468,618 |
Carrying Value | $ 1,134,695 | 1,384,105 |
3.600% Senior Notes due 2029 | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 3.60% | |
3.450% Senior Notes due 2027 | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 3.45% | |
3.700% Senior Notes due 2025 | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 3.70% | |
5.750% Senior Notes due 2020 | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.75% | |
4.750% Senior Notes due 2025 (DaVinciRe) | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 4.75% | |
Senior Notes | 3.600% Senior Notes due 2029 | RenaissanceRe Finance, Inc. | ||
Debt Instrument [Line Items] | ||
Fair Value | $ 421,260 | 424,920 |
Carrying Value | 391,703 | 391,475 |
Senior Notes | 3.450% Senior Notes due 2027 | RenaissanceRe Finance, Inc. | ||
Debt Instrument [Line Items] | ||
Fair Value | 317,685 | 314,070 |
Carrying Value | 296,415 | 296,292 |
Senior Notes | 3.700% Senior Notes due 2025 | RenaissanceRe Finance, Inc. | ||
Debt Instrument [Line Items] | ||
Fair Value | 316,560 | 318,567 |
Carrying Value | 298,150 | 298,057 |
Senior Notes | 5.750% Senior Notes due 2020 | RenaissanceRe Finance, Inc. | ||
Debt Instrument [Line Items] | ||
Fair Value | 0 | 251,030 |
Carrying Value | 0 | 249,931 |
Senior Notes | 4.750% Senior Notes due 2025 (DaVinciRe) | DaVinciRe Holdings Ltd. | ||
Debt Instrument [Line Items] | ||
Fair Value | 145,842 | 160,031 |
Carrying Value | $ 148,427 | $ 148,350 |
Debt and Credit Facilities (Nar
Debt and Credit Facilities (Narrative) (Details) - 5.750% Senior Notes due 2020 - USD ($) $ in Millions | Mar. 15, 2020 | Mar. 31, 2020 | Mar. 17, 2010 |
Debt Instrument [Line Items] | |||
Stated interest rate | 5.75% | ||
RenRe North America Holdings Inc | |||
Debt Instrument [Line Items] | |||
Stated interest rate | 5.75% | ||
Repayment of principal amount | $ 250 |
Debt and Credit Facilities (Sch
Debt and Credit Facilities (Schedule of Credit Facilities) (Details) $ in Thousands | Mar. 31, 2020USD ($) |
Line of Credit Facility [Line Items] | |
Credit facilities outstanding | $ 988,173 |
RenaissanceRe Revolving Credit Facility | Line of Credit | |
Line of Credit Facility [Line Items] | |
Credit facilities outstanding | 0 |
Letter of Credit | Bank Of Montreal, Citibank Europe Plc and ING Bank N.V. | Line of Credit | |
Line of Credit Facility [Line Items] | |
Credit facilities outstanding | 290,000 |
Letter of Credit | Secured Bilateral Facility | Line of Credit | |
Line of Credit Facility [Line Items] | |
Credit facilities outstanding | 324,147 |
Letter of Credit | Unsecured Bilateral Facility | Line of Credit | |
Line of Credit Facility [Line Items] | |
Credit facilities outstanding | 373,951 |
TMR | Letter of Credit | Line of Credit | |
Line of Credit Facility [Line Items] | |
Credit facilities outstanding | $ 75 |
Noncontrolling Interests (Detai
Noncontrolling Interests (Details) - USD ($) $ in Thousands | Jan. 01, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 |
Redeemable Noncontrolling Interest [Line Items] | |||||
Redeemable noncontrolling interests | $ 3,231,846 | $ 3,071,308 | |||
Net income attributable to redeemable noncontrolling interests | $ 98,091 | $ 70,222 | |||
DaVinci Reinsurance Ltd. | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Parent company ownership in redeemable noncontrolling interest | 21.40% | 21.40% | 21.90% | ||
Aggregate sale of shares | $ 10,000 | ||||
RenaissanceRe Medici Fund Ltd. | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Parent company ownership in redeemable noncontrolling interest | 11.20% | 17.10% | |||
DaVinciRe Holdings Ltd. | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Redeemable noncontrolling interests | $ 1,533,085 | $ 1,097,245 | $ 1,034,946 | $ 1,435,581 | |
Net income attributable to redeemable noncontrolling interests | 84,906 | 62,533 | |||
Sale of shares to redeemable noncontrolling interest | 9,991 | 0 | |||
Redemption of shares from redeemable noncontrolling interest | $ (2,607) | 234 | |||
DaVinciRe Holdings Ltd. | Maximum | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Share repurchase requests, limit | 25.00% | ||||
RenaissanceRe Medici Fund Ltd. | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Redeemable noncontrolling interests | $ 677,283 | 406,958 | 416,765 | 632,112 | |
Net income attributable to redeemable noncontrolling interests | (4,678) | 2,481 | |||
Sale of shares to redeemable noncontrolling interest | $ 54,613 | 3,596 | |||
Redemption provision, notice period | 30 days | ||||
Redemption of shares from redeemable noncontrolling interest | $ 4,764 | 15,884 | |||
Vermeer Reinsurance Ltd. | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Redeemable noncontrolling interests | 1,021,478 | 605,197 | 599,989 | $ 1,003,615 | |
Net income attributable to redeemable noncontrolling interests | $ 17,863 | $ 5,208 | |||
Participating, Non-voting Common Shares | Vermeer Reinsurance Ltd. | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Sale of shares to redeemable noncontrolling interest | 600,000 | ||||
Voting, Non-participating Shares | Vermeer Reinsurance Ltd. | |||||
Redeemable Noncontrolling Interest [Line Items] | |||||
Sale of shares to redeemable noncontrolling interest | $ 1 |
Noncontrolling Interests (Sched
Noncontrolling Interests (Schedule of Redeemable Noncontrolling Interest) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Activity in redeemable noncontrolling interest | ||
Beginning balance | $ 3,071,308 | |
Net (loss) income attributable to redeemable noncontrolling interest | 98,091 | $ 70,222 |
Ending balance | 3,231,846 | |
DaVinciRe Holdings Ltd. | ||
Activity in redeemable noncontrolling interest | ||
Beginning balance | 1,435,581 | 1,034,946 |
Redemption of shares from redeemable noncontrolling interest, net of adjustments | 2,607 | (234) |
Sale of shares to redeemable noncontrolling interests | 9,991 | 0 |
Net (loss) income attributable to redeemable noncontrolling interest | 84,906 | 62,533 |
Ending balance | 1,533,085 | 1,097,245 |
RenaissanceRe Medici Fund Ltd. | ||
Activity in redeemable noncontrolling interest | ||
Beginning balance | 632,112 | 416,765 |
Redemption of shares from redeemable noncontrolling interest, net of adjustments | (4,764) | (15,884) |
Sale of shares to redeemable noncontrolling interests | 54,613 | 3,596 |
Net (loss) income attributable to redeemable noncontrolling interest | (4,678) | 2,481 |
Ending balance | 677,283 | 406,958 |
Vermeer Reinsurance Ltd. | ||
Activity in redeemable noncontrolling interest | ||
Beginning balance | 1,003,615 | 599,989 |
Net (loss) income attributable to redeemable noncontrolling interest | 17,863 | 5,208 |
Ending balance | $ 1,021,478 | $ 605,197 |
Variable Interest Entities (Det
Variable Interest Entities (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | Jan. 10, 2020 | Dec. 31, 2018 | |
Variable Interest Entity [Line Items] | |||||
Assets | $ 27,465,519,000 | $ 26,330,094,000 | |||
Liabilities | 18,550,147,000 | 17,287,419,000 | |||
Redeemable noncontrolling interests | 3,231,846,000 | 3,071,308,000 | |||
Ceded premiums written | 755,913,000 | $ 635,264,000 | |||
Ceded premiums earned | 370,864,000 | 305,219,000 | |||
Reinsurance recoverable | 2,765,583,000 | 2,908,343,000 | 2,791,297,000 | ||
Investments in other ventures, under equity method | 90,396,000 | 106,549,000 | |||
Vermeer Reinsurance Ltd. | |||||
Variable Interest Entity [Line Items] | |||||
Redeemable noncontrolling interests | 1,021,478,000 | 605,197,000 | 1,003,615,000 | $ 599,989,000 | |
Variable Interest Entity, Primary Beneficiary | Upsilon RFO Re Ltd. | |||||
Variable Interest Entity [Line Items] | |||||
Assets | 3,400,000,000 | 3,100,000,000 | |||
Liabilities | 3,400,000,000 | 3,100,000,000 | |||
Variable Interest Entity, Primary Beneficiary | Upsilon RFO Re Ltd. | Third party investor | |||||
Variable Interest Entity [Line Items] | |||||
Payments of capital distribution | 81,800,000 | 279,200,000 | |||
Variable Interest Entity, Primary Beneficiary | Upsilon RFO Re Ltd. | Third party investor | Non-Voting Preference Shares | |||||
Variable Interest Entity [Line Items] | |||||
Contributions to subsidiaries | 620,900,000 | 618,700,000 | |||
Variable Interest Entity, Primary Beneficiary | Upsilon RFO Re Ltd. | RenaissanceRe Holdings Ltd. | |||||
Variable Interest Entity [Line Items] | |||||
Payments of capital distribution | $ 29,900,000 | $ 31,000,000 | |||
Variable interest entity, ownership percentage | 14.20% | 16.50% | |||
Variable Interest Entity, Primary Beneficiary | Upsilon RFO Re Ltd. | RenaissanceRe Holdings Ltd. | Non-Voting Preference Shares | |||||
Variable Interest Entity [Line Items] | |||||
Contributions to subsidiaries | $ 75,400,000 | $ 100,000,000 | |||
Variable Interest Entity, Primary Beneficiary | Vermeer Reinsurance Ltd. | |||||
Variable Interest Entity [Line Items] | |||||
Assets | 1,000,000,000 | 1,000,000,000 | |||
Liabilities | 27,300,000 | 23,200,000 | |||
Redeemable noncontrolling interests | 1,000,000,000 | 1,000,000,000 | |||
Variable Interest Entity, Not Primary Beneficiary | Renaissance Reinsurance Ltd. | Fibonacci Reinsurance Ltd. | |||||
Variable Interest Entity [Line Items] | |||||
Ceded premiums written | 0 | 6,000 | |||
Ceded premiums earned | 0 | 6,000 | |||
Ceded net claims and claim expenses | 1,100,000 | 7,500,000 | |||
Reinsurance recoverable | 6,400,000 | 7,500,000 | |||
Variable Interest Entity, Not Primary Beneficiary | Mona Lisa Re | |||||
Variable Interest Entity [Line Items] | |||||
Assets | 424,700,000 | 6,000 | |||
Liabilities | 424,700,000 | 6,000 | |||
Face amount | $ 400,000,000 | ||||
Variable Interest Entity, Not Primary Beneficiary | Mona Lisa Re | Other investments | |||||
Variable Interest Entity [Line Items] | |||||
Investment in participating notes | 2,900,000 | ||||
Variable Interest Entity, Not Primary Beneficiary | Mona Lisa Re | DaVinci Reinsurance Ltd. | |||||
Variable Interest Entity [Line Items] | |||||
Ceded premiums written | 7,300,000 | 0 | |||
Ceded premiums earned | 1,800,000 | 0 | |||
Variable Interest Entity, Not Primary Beneficiary | Mona Lisa Re | Renaissance Reinsurance Ltd. | |||||
Variable Interest Entity [Line Items] | |||||
Ceded premiums written | 29,200,000 | 0 | |||
Ceded premiums earned | 7,300,000 | $ 0 | |||
Variable Interest Entity, Not Primary Beneficiary | Fibonacci Reinsurance Ltd. | Other investments | |||||
Variable Interest Entity [Line Items] | |||||
Investment in participating notes | 400,000 | 400,000 | |||
Variable Interest Entity, Not Primary Beneficiary | Langhorne Holdings LLC | |||||
Variable Interest Entity [Line Items] | |||||
Investments in other ventures, under equity method | 1,800,000 | 1,700,000 | |||
Variable Interest Entity, Not Primary Beneficiary | Langhorne Partners | |||||
Variable Interest Entity [Line Items] | |||||
Investments in other ventures, under equity method | $ 100,000 | $ 100,000 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) - USD ($) | Mar. 31, 2020 | Mar. 13, 2020 | Mar. 22, 2019 | Feb. 29, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Mar. 26, 2020 | Dec. 31, 2019 | Nov. 10, 2017 |
Class of Stock [Line Items] | |||||||||
Dividends per common share (in dollars per share) | $ 0.35 | $ 0.34 | |||||||
Dividends paid per common share (in dollars per share) | $ 0.35 | ||||||||
Dividends declared and paid, preference shares | $ 9,056,000 | $ 9,189,000 | |||||||
Dividends declared and paid, common shares | $ 15,400,000 | $ 14,500,000 | |||||||
Preference shares, shares outstanding (In shares) | 11,010,000 | 11,010,000 | 16,010,000 | ||||||
Common Shares | |||||||||
Class of Stock [Line Items] | |||||||||
Dividends per common share (in dollars per share) | $ 0.35 | ||||||||
Share repurchase program, authorized amount | $ 500,000,000 | ||||||||
Share repurchase program, shares repurchased (in shares) | 406,000 | ||||||||
Repurchase of shares | $ (62,600,000) | ||||||||
Share repurchase program, price per share (in dollars per share) | $ 154.36 | ||||||||
Share repurchase program, remaining authorized aggregate amount | $ 437,400,000 | $ 437,400,000 | |||||||
Series C Preference Shares | |||||||||
Class of Stock [Line Items] | |||||||||
Dividend rate, percentage | 6.08% | ||||||||
Liquidation preference per annum (in dollars per share) | $ 1.52 | $ 1.52 | |||||||
Liquidation preference quarterly (in dollars per share) | $ 0.38 | $ 0.38 | |||||||
Preference shares redeemed (in shares) | 5,000,000 | ||||||||
Preference shares redemption value | $ 125,000,000 | ||||||||
Preference shares, shares outstanding (In shares) | 0 | 0 | |||||||
Series E Preference Shares | |||||||||
Class of Stock [Line Items] | |||||||||
Dividend rate, percentage | 5.375% | ||||||||
Liquidation preference per annum (in dollars per share) | $ 1.34375 | $ 1.34375 | |||||||
Liquidation preference quarterly (in dollars per share) | 0.3359375 | $ 0.3359375 | |||||||
Series F Preference Shares | |||||||||
Class of Stock [Line Items] | |||||||||
Dividend rate, percentage | 5.75% | ||||||||
Liquidation preference per annum (in dollars per share) | 1,437.50 | $ 1,437.50 | |||||||
Liquidation preference quarterly (in dollars per share) | 359.375 | 359.375 | |||||||
Depositary Shares | |||||||||
Class of Stock [Line Items] | |||||||||
Liquidation preference per annum (in dollars per share) | 1.4375 | 1.4375 | |||||||
Liquidation preference quarterly (in dollars per share) | $ 0.359375 | $ 0.359375 | |||||||
TMR | |||||||||
Class of Stock [Line Items] | |||||||||
Common shares issued by RenaissanceRe to Tokio (in shares) | 1,739,071 |
Earnings Per Share (Computation
Earnings Per Share (Computation of Basic and Diluted Earnings Per Common Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Numerator: | ||
Net (loss) income (attributable) available to RenaissanceRe common shareholders | $ (81,974) | $ 273,717 |
Amount allocated to participating common shareholders | (146) | (3,121) |
Net (loss) income allocated to RenaissanceRe common shareholders | $ (82,120) | $ 270,596 |
Denominator: | ||
Denominator for basic (loss) income per RenaissanceRe common share - weighted average common shares | 43,441 | 42,065 |
Per common share equivalents of employee stock options and non-vested shares | 0 | 26 |
Denominator for diluted (loss) income per RenaissanceRe common share - adjusted weighted average common shares and assumed conversions | 43,441 | 42,091 |
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share – basic | $ (1.89) | $ 6.43 |
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share – diluted | $ (1.89) | $ 6.43 |
Segment Reporting (Schedule of
Segment Reporting (Schedule of Significant Components of the Company's Revenues and Expenses) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Segment Reporting Information [Line Items] | ||
Gross premiums written | $ 2,025,721 | $ 1,564,295 |
Net premiums written | 1,269,808 | 929,031 |
Net premiums earned | 913,098 | 550,028 |
Net claims and claim expenses incurred | 570,954 | 227,035 |
Acquisition expenses | 210,604 | 123,951 |
Operational expenses | 67,461 | 44,933 |
Underwriting income (loss) | 64,079 | 154,109 |
Net investment income | 99,473 | 82,094 |
Net foreign exchange losses | (5,728) | (2,846) |
Equity in earnings of other ventures | 4,564 | 4,661 |
Other loss | (4,436) | 3,171 |
Net realized and unrealized (losses) gains on investments | (110,707) | 170,013 |
Corporate expenses | (15,991) | (38,789) |
Interest expense | (14,927) | (11,754) |
Income before taxes | 16,327 | 360,659 |
Income tax benefit (expense) | 8,846 | (7,531) |
Net income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Dividends on preference shares | (9,056) | (9,189) |
Net (loss) income (attributable) available to RenaissanceRe common shareholders | (81,974) | 273,717 |
Net claims and claim expenses incurred – current accident year | 557,054 | 231,341 |
Net claims and claim expenses incurred – prior accident years | 13,900 | (4,306) |
Total net incurred | $ 570,954 | $ 227,035 |
Net claims and claim expense ratio – current accident year | 61.00% | 42.10% |
Net claims and claim expense ratio – prior accident years | 1.50% | (0.80%) |
Net claims and claim expense ratio – calendar year | 62.50% | 41.30% |
Underwriting expense ratio | 30.50% | 30.70% |
Combined ratio | 93.00% | 72.00% |
Other | ||
Segment Reporting Information [Line Items] | ||
Gross premiums written | $ 0 | $ 0 |
Net premiums written | 0 | 0 |
Net premiums earned | 0 | 0 |
Net claims and claim expenses incurred | (107) | 19 |
Acquisition expenses | 0 | 0 |
Operational expenses | 0 | 0 |
Underwriting income (loss) | 107 | (19) |
Net investment income | 99,473 | 82,094 |
Net foreign exchange losses | (5,728) | (2,846) |
Equity in earnings of other ventures | 4,564 | 4,661 |
Other loss | (4,436) | 3,171 |
Net realized and unrealized (losses) gains on investments | (110,707) | 170,013 |
Corporate expenses | (15,991) | (38,789) |
Interest expense | (14,927) | (11,754) |
Income tax benefit (expense) | 8,846 | (7,531) |
Net income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Dividends on preference shares | (9,056) | (9,189) |
Net claims and claim expenses incurred – current accident year | 0 | 0 |
Net claims and claim expenses incurred – prior accident years | (107) | 19 |
Total net incurred | (107) | 19 |
Property | ||
Segment Reporting Information [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | 14,008 | 1,877 |
Property | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Gross premiums written | 1,220,526 | 1,032,384 |
Net premiums written | 674,581 | 564,230 |
Net premiums earned | 421,335 | 290,745 |
Net claims and claim expenses incurred | 144,852 | 56,083 |
Acquisition expenses | 85,351 | 53,739 |
Operational expenses | 44,007 | 28,544 |
Underwriting income (loss) | 147,125 | 152,379 |
Net claims and claim expenses incurred – current accident year | 130,844 | 54,206 |
Net claims and claim expenses incurred – prior accident years | 14,008 | 1,877 |
Total net incurred | $ 144,852 | $ 56,083 |
Net claims and claim expense ratio – current accident year | 31.10% | 18.60% |
Net claims and claim expense ratio – prior accident years | 3.30% | 0.70% |
Net claims and claim expense ratio – calendar year | 34.40% | 19.30% |
Underwriting expense ratio | 30.70% | 28.30% |
Combined ratio | 65.10% | 47.60% |
Casualty and Specialty | ||
Segment Reporting Information [Line Items] | ||
Net claims and claim expenses incurred – prior accident years | $ (1) | $ (6,202) |
Casualty and Specialty | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Gross premiums written | 805,195 | 531,911 |
Net premiums written | 595,227 | 364,801 |
Net premiums earned | 491,763 | 259,283 |
Net claims and claim expenses incurred | 426,209 | 170,933 |
Acquisition expenses | 125,253 | 70,212 |
Operational expenses | 23,454 | 16,389 |
Underwriting income (loss) | (83,153) | 1,749 |
Net claims and claim expenses incurred – current accident year | 426,210 | 177,135 |
Net claims and claim expenses incurred – prior accident years | (1) | (6,202) |
Total net incurred | $ 426,209 | $ 170,933 |
Net claims and claim expense ratio – current accident year | 86.70% | 68.30% |
Net claims and claim expense ratio – prior accident years | 0.00% | (2.40%) |
Net claims and claim expense ratio – calendar year | 86.70% | 65.90% |
Underwriting expense ratio | 30.20% | 33.40% |
Combined ratio | 116.90% | 99.30% |
Derivative Instruments (Consoli
Derivative Instruments (Consolidated Balance Sheets and Fair Value of the Principal Derivative Instruments) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Derivative Assets | ||
Gross Amounts of Recognized Assets | $ 28,792 | $ 28,154 |
Gross Amounts Offset in the Balance Sheet | 2,066 | 3,829 |
Net Amounts of Assets Presented in the Balance Sheet | 26,726 | 24,325 |
Collateral | 0 | 3,601 |
Net Amount | 26,726 | 20,724 |
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 30,820 | 8,160 |
Gross Amounts Offset in the Balance Sheet | 5,949 | 772 |
Net Amounts of Liabilities Presented in the Balance Sheet | 24,871 | 7,388 |
Collateral Pledged | 21,469 | 1,473 |
Net Amount | 3,402 | 5,915 |
Not Designated as Hedging Instrument | Other assets | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 24,638 | 28,090 |
Gross Amounts Offset in the Balance Sheet | 2,066 | 3,162 |
Net Amounts of Assets Presented in the Balance Sheet | 22,572 | 24,928 |
Collateral | 0 | 3,601 |
Net Amount | 22,572 | 21,327 |
Not Designated as Hedging Instrument | Other assets | Interest rate futures | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 139 | 234 |
Gross Amounts Offset in the Balance Sheet | (789) | 122 |
Net Amounts of Assets Presented in the Balance Sheet | 928 | 112 |
Collateral | 0 | 0 |
Net Amount | 928 | 112 |
Not Designated as Hedging Instrument | Other assets | Interest rate swaps | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 114 | |
Gross Amounts Offset in the Balance Sheet | 0 | |
Net Amounts of Liabilities Presented in the Balance Sheet | 114 | |
Collateral Pledged | 114 | |
Net Amount | 0 | |
Not Designated as Hedging Instrument | Other assets | Foreign currency forward contracts, underwriting and non-investment operations | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 17,824 | 22,702 |
Gross Amounts Offset in the Balance Sheet | 2,416 | 2,418 |
Net Amounts of Assets Presented in the Balance Sheet | 15,408 | 20,284 |
Collateral | 0 | 0 |
Net Amount | 15,408 | 20,284 |
Not Designated as Hedging Instrument | Other assets | Foreign currency forward contracts, investment operations | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 6,645 | 1,082 |
Gross Amounts Offset in the Balance Sheet | 439 | 622 |
Net Amounts of Assets Presented in the Balance Sheet | 6,206 | 460 |
Collateral | 0 | 0 |
Net Amount | 6,206 | 460 |
Not Designated as Hedging Instrument | Other assets | Credit default swaps | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 30 | 37 |
Gross Amounts Offset in the Balance Sheet | 0 | 0 |
Net Amounts of Assets Presented in the Balance Sheet | 30 | 37 |
Collateral | 0 | 0 |
Net Amount | 30 | 37 |
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 332 | |
Gross Amounts Offset in the Balance Sheet | 0 | |
Net Amounts of Liabilities Presented in the Balance Sheet | 332 | |
Collateral Pledged | 332 | |
Net Amount | 0 | |
Not Designated as Hedging Instrument | Other assets | Total return swaps | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 3,744 | |
Gross Amounts Offset in the Balance Sheet | 0 | |
Net Amounts of Assets Presented in the Balance Sheet | 3,744 | |
Collateral | 3,601 | |
Net Amount | 143 | |
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 17,767 | |
Gross Amounts Offset in the Balance Sheet | 0 | |
Net Amounts of Liabilities Presented in the Balance Sheet | 17,767 | |
Collateral Pledged | 17,767 | |
Net Amount | 0 | |
Not Designated as Hedging Instrument | Other assets | Equity futures | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 291 | |
Gross Amounts Offset in the Balance Sheet | 0 | |
Net Amounts of Assets Presented in the Balance Sheet | 291 | |
Collateral | 0 | |
Net Amount | 291 | |
Not Designated as Hedging Instrument | Other liabilities | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 30,820 | 6,342 |
Gross Amounts Offset in the Balance Sheet | 4,460 | 772 |
Net Amounts of Liabilities Presented in the Balance Sheet | 26,360 | 5,570 |
Collateral Pledged | 21,469 | 1,473 |
Net Amount | 4,891 | 4,097 |
Not Designated as Hedging Instrument | Other liabilities | Interest rate futures | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 1,654 | 1,545 |
Gross Amounts Offset in the Balance Sheet | (789) | 122 |
Net Amounts of Liabilities Presented in the Balance Sheet | 2,443 | 1,423 |
Collateral Pledged | 2,443 | 1,423 |
Net Amount | 0 | 0 |
Not Designated as Hedging Instrument | Other liabilities | Interest rate swaps | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 50 | |
Gross Amounts Offset in the Balance Sheet | 0 | |
Net Amounts of Liabilities Presented in the Balance Sheet | 50 | |
Collateral Pledged | 50 | |
Net Amount | 0 | |
Not Designated as Hedging Instrument | Other liabilities | Foreign currency forward contracts, underwriting and non-investment operations | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 9,700 | 3,808 |
Gross Amounts Offset in the Balance Sheet | 4,810 | 28 |
Net Amounts of Liabilities Presented in the Balance Sheet | 4,890 | 3,780 |
Collateral Pledged | 0 | 0 |
Net Amount | 4,890 | 3,780 |
Not Designated as Hedging Instrument | Other liabilities | Foreign currency forward contracts, investment operations | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 440 | 939 |
Gross Amounts Offset in the Balance Sheet | 439 | 622 |
Net Amounts of Liabilities Presented in the Balance Sheet | 1 | 317 |
Collateral Pledged | 0 | 0 |
Net Amount | 1 | 317 |
Not Designated as Hedging Instrument | Other liabilities | Equity futures | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 813 | |
Gross Amounts Offset in the Balance Sheet | 0 | |
Net Amounts of Liabilities Presented in the Balance Sheet | 813 | |
Collateral Pledged | 813 | |
Net Amount | 0 | |
Designated as Hedging Instrument | Other assets | Foreign currency forward contracts, investment operations | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 4,154 | 64 |
Gross Amounts Offset in the Balance Sheet | 0 | 667 |
Net Amounts of Assets Presented in the Balance Sheet | 4,154 | (603) |
Collateral | 0 | 0 |
Net Amount | 4,154 | (603) |
Designated as Hedging Instrument | Other liabilities | Foreign currency forward contracts, investment operations | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 0 | 1,818 |
Gross Amounts Offset in the Balance Sheet | 1,489 | 0 |
Net Amounts of Liabilities Presented in the Balance Sheet | (1,489) | 1,818 |
Collateral Pledged | 0 | 0 |
Net Amount | $ (1,489) | $ 1,818 |
Derivative Instruments (Gain (L
Derivative Instruments (Gain (Loss) Recognized in the Consolidated Statements of Operations Related to its Derivative Instruments) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | $ 50,095 | $ 19,383 |
Not Designated as Hedging Instrument | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | 39,251 | 19,383 |
Not Designated as Hedging Instrument | Net realized and unrealized (losses) gains on investments | Interest rate futures | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | 88,006 | 6,056 |
Not Designated as Hedging Instrument | Net realized and unrealized (losses) gains on investments | Interest rate swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | 2,107 | 349 |
Not Designated as Hedging Instrument | Net realized and unrealized (losses) gains on investments | Credit default swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | (4,897) | 4,410 |
Not Designated as Hedging Instrument | Net realized and unrealized (losses) gains on investments | Total return swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | (21,137) | 534 |
Not Designated as Hedging Instrument | Net realized and unrealized (losses) gains on investments | Equity futures | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | (30,898) | 2,447 |
Not Designated as Hedging Instrument | Net foreign exchange losses | Foreign currency forward contracts, underwriting and non-investment operations | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | (330) | 4,442 |
Not Designated as Hedging Instrument | Net foreign exchange losses | Foreign currency forward contracts, investment operations | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of gain (loss) recognized on derivatives | 6,400 | 1,145 |
Designated as Hedging Instrument | Foreign currency forward contracts, investment operations | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Accumulated other comprehensive loss | $ 10,844 | $ 0 |
Derivative Instruments (Narrati
Derivative Instruments (Narrative) (Details) - Not Designated as Hedging Instrument - USD ($) | Mar. 31, 2020 | Dec. 31, 2019 |
Interest rate futures | Long | ||
Derivative [Line Items] | ||
Notional amount | $ 2,200,000,000 | $ 2,500,000,000 |
Interest rate futures | Short | ||
Derivative [Line Items] | ||
Notional amount | 935,700,000 | 1,000,000,000 |
Interest rate swaps | US Dollars | Paying a Fixed Rate | ||
Derivative [Line Items] | ||
Notional amount | 2,000,000 | 27,900,000 |
Interest rate swaps | US Dollars | Receiving a Fixed Rate | ||
Derivative [Line Items] | ||
Notional amount | 25,500,000 | 25,500,000 |
Foreign currency forward contracts, underwriting and non-investment operations | Long | ||
Derivative [Line Items] | ||
Notional amount | 502,400,000 | 722,600,000 |
Foreign currency forward contracts, underwriting and non-investment operations | Short | ||
Derivative [Line Items] | ||
Notional amount | 651,500,000 | 1,200,000,000 |
Foreign currency forward contracts, investment operations | Long | ||
Derivative [Line Items] | ||
Notional amount | 384,800,000 | 195,600,000 |
Foreign currency forward contracts, investment operations | Short | ||
Derivative [Line Items] | ||
Notional amount | 255,500,000 | 61,000,000 |
Credit default swaps | Long | ||
Derivative [Line Items] | ||
Notional amount | 500,000 | 500,000 |
Credit default swaps | Short | ||
Derivative [Line Items] | ||
Notional amount | 117,100,000 | 143,400,000 |
Total return swaps | Long | ||
Derivative [Line Items] | ||
Notional amount | 173,500,000 | 173,500,000 |
Total return swaps | Short | ||
Derivative [Line Items] | ||
Notional amount | 0 | 0 |
Equity futures | Long | ||
Derivative [Line Items] | ||
Notional amount | 50,400,000 | 122,000,000 |
Equity futures | Short | ||
Derivative [Line Items] | ||
Notional amount | $ 0 | $ 0 |
Derivative Instruments (Derivat
Derivative Instruments (Derivative Instruments Designated as Hedges of a Net Investment in a Foreign Operation) (Details) - Foreign Exchange Forward - Designated as Hedging Instrument - Net Investment Hedging - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Weighted average of U.S. dollar equivalent of foreign denominated net assets | $ 76,804 | $ 0 |
Accumulated other comprehensive loss | $ 10,844 | $ 0 |
Assets and Liabilities Held F_3
Assets and Liabilities Held For Sale (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
Transfer of Financial Assets Accounted for as Sales [Line Items] | |||
Total investments | $ 17,818,597 | $ 17,368,789 | |
Other assets | 312,523 | 346,216 | |
Total assets | 27,465,519 | 26,330,094 | |
Reserve for claims and claim expenses | 9,406,707 | 9,384,349 | $ 8,391,484 |
Other liabilities | 351,320 | 932,024 | |
Total liabilities | 18,550,147 | 17,287,419 | |
Disposal Group, Held-for-sale, Not Discontinued Operations | RenaissanceRe (UK) Limited | |||
Transfer of Financial Assets Accounted for as Sales [Line Items] | |||
Total investments | 440,418 | 458,731 | |
Other assets | 24,165 | 40,284 | |
Total assets | 464,583 | 499,015 | |
Reserve for claims and claim expenses | 175,506 | 199,436 | |
Other liabilities | 2,863 | 925 | |
Total liabilities | $ 178,369 | $ 200,361 |
Condensed Consolidating Finan_3
Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries (Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 |
Assets | |||
Total investments | $ 17,818,597 | $ 17,368,789 | |
Cash and cash equivalents | 896,216 | 1,379,068 | |
Investments in subsidiaries | 0 | 0 | |
Due from subsidiaries and affiliates | 0 | 0 | |
Premiums receivable | 3,105,441 | 2,599,896 | |
Prepaid reinsurance premiums | 1,151,926 | 767,781 | |
Reinsurance recoverable | 2,765,583 | 2,791,297 | $ 2,908,343 |
Accrued investment income | 73,496 | 72,461 | |
Deferred acquisition costs | 739,875 | 663,991 | |
Receivable for investments sold | 341,786 | 78,369 | |
Other assets | 312,523 | 346,216 | |
Goodwill and other intangible assets | 260,076 | 262,226 | |
Total assets | 27,465,519 | 26,330,094 | |
Liabilities | |||
Reserve for claims and claim expenses | 9,406,707 | 9,384,349 | 8,391,484 |
Unearned premiums | 3,245,914 | 2,530,975 | |
Debt | 1,134,695 | 1,384,105 | |
Amounts due to subsidiaries and affiliates | 0 | 0 | |
Reinsurance balances payable | 3,775,375 | 2,830,691 | |
Payable for investments purchased | 636,136 | 225,275 | |
Other liabilities | 351,320 | 932,024 | |
Total liabilities | 18,550,147 | 17,287,419 | |
Redeemable noncontrolling interests | 3,231,846 | 3,071,308 | |
Shareholders’ Equity | |||
Total shareholders’ equity | 5,683,526 | 5,971,367 | $ 5,554,033 |
Total liabilities, noncontrolling interests and shareholders’ equity | 27,465,519 | 26,330,094 | |
Reportable Legal Entities | RenaissanceRe Finance Inc. (Subsidiary Issuer) | |||
Assets | |||
Total investments | 24,564 | 288,137 | |
Cash and cash equivalents | 16,089 | 8,731 | |
Investments in subsidiaries | 1,392,419 | 1,426,838 | |
Due from subsidiaries and affiliates | 0 | 0 | |
Premiums receivable | 0 | 0 | |
Prepaid reinsurance premiums | 0 | 0 | |
Reinsurance recoverable | 0 | 0 | |
Accrued investment income | 43 | 1,171 | |
Deferred acquisition costs | 0 | 0 | |
Receivable for investments sold | 0 | 0 | |
Other assets | 9,937 | 12,211 | |
Goodwill and other intangible assets | 0 | 0 | |
Total assets | 1,443,052 | 1,737,088 | |
Liabilities | |||
Reserve for claims and claim expenses | 0 | 0 | |
Unearned premiums | 0 | 0 | |
Debt | 721,867 | 970,255 | |
Amounts due to subsidiaries and affiliates | 117,770 | 102,493 | |
Reinsurance balances payable | 0 | 0 | |
Payable for investments purchased | 0 | 0 | |
Other liabilities | 11,366 | 14,162 | |
Total liabilities | 851,003 | 1,086,910 | |
Redeemable noncontrolling interests | 0 | 0 | |
Shareholders’ Equity | |||
Total shareholders’ equity | 592,049 | 650,178 | |
Total liabilities, noncontrolling interests and shareholders’ equity | 1,443,052 | 1,737,088 | |
Reportable Legal Entities | RenaissanceRe Holdings Ltd. (Parent Guarantor) | |||
Assets | |||
Total investments | 275,173 | 190,451 | |
Cash and cash equivalents | 3,066 | 26,460 | |
Investments in subsidiaries | 5,017,427 | 5,204,260 | |
Due from subsidiaries and affiliates | 11,712 | 10,725 | |
Premiums receivable | 0 | 0 | |
Prepaid reinsurance premiums | 0 | 0 | |
Reinsurance recoverable | 0 | 0 | |
Accrued investment income | 0 | 0 | |
Deferred acquisition costs | 0 | 0 | |
Receivable for investments sold | 2,186 | 173 | |
Other assets | 784,513 | 847,406 | |
Goodwill and other intangible assets | 115,186 | 116,212 | |
Total assets | 6,209,263 | 6,395,687 | |
Liabilities | |||
Reserve for claims and claim expenses | 0 | 0 | |
Unearned premiums | 0 | 0 | |
Debt | 483,203 | 391,475 | |
Amounts due to subsidiaries and affiliates | 21,756 | 6,708 | |
Reinsurance balances payable | 0 | 0 | |
Payable for investments purchased | 1,100 | 0 | |
Other liabilities | 19,678 | 26,137 | |
Total liabilities | 525,737 | 424,320 | |
Redeemable noncontrolling interests | 0 | 0 | |
Shareholders’ Equity | |||
Total shareholders’ equity | 5,683,526 | 5,971,367 | |
Total liabilities, noncontrolling interests and shareholders’ equity | 6,209,263 | 6,395,687 | |
Reportable Legal Entities | Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-Guarantor Subsidiaries) | |||
Assets | |||
Total investments | 17,518,860 | 16,890,201 | |
Cash and cash equivalents | 877,061 | 1,343,877 | |
Investments in subsidiaries | 641,103 | 48,247 | |
Due from subsidiaries and affiliates | (11,712) | 101,579 | |
Premiums receivable | 3,105,441 | 2,599,896 | |
Prepaid reinsurance premiums | 1,151,926 | 767,781 | |
Reinsurance recoverable | 2,765,583 | 2,791,297 | |
Accrued investment income | 73,453 | 71,290 | |
Deferred acquisition costs | 739,875 | 663,991 | |
Receivable for investments sold | 339,600 | 78,196 | |
Other assets | 300,107 | 312,556 | |
Goodwill and other intangible assets | 144,890 | 146,014 | |
Total assets | 27,646,187 | 25,814,925 | |
Liabilities | |||
Reserve for claims and claim expenses | 9,406,707 | 9,384,349 | |
Unearned premiums | 3,245,914 | 2,530,975 | |
Debt | 711,040 | 148,349 | |
Amounts due to subsidiaries and affiliates | (139,526) | 51 | |
Reinsurance balances payable | 3,775,375 | 2,830,691 | |
Payable for investments purchased | 635,036 | 225,275 | |
Other liabilities | 1,534,530 | 899,960 | |
Total liabilities | 19,169,076 | 16,019,650 | |
Redeemable noncontrolling interests | 3,231,846 | 3,071,308 | |
Shareholders’ Equity | |||
Total shareholders’ equity | 5,245,265 | 6,723,967 | |
Total liabilities, noncontrolling interests and shareholders’ equity | 27,646,187 | 25,814,925 | |
Consolidating Adjustments | |||
Assets | |||
Total investments | 0 | 0 | |
Cash and cash equivalents | 0 | 0 | |
Investments in subsidiaries | (7,050,949) | (6,679,345) | |
Due from subsidiaries and affiliates | 0 | (112,304) | |
Premiums receivable | 0 | 0 | |
Prepaid reinsurance premiums | 0 | 0 | |
Reinsurance recoverable | 0 | 0 | |
Accrued investment income | 0 | 0 | |
Deferred acquisition costs | 0 | 0 | |
Receivable for investments sold | 0 | 0 | |
Other assets | (782,034) | (825,957) | |
Goodwill and other intangible assets | 0 | 0 | |
Total assets | (7,832,983) | (7,617,606) | |
Liabilities | |||
Reserve for claims and claim expenses | 0 | 0 | |
Unearned premiums | 0 | 0 | |
Debt | (781,415) | (125,974) | |
Amounts due to subsidiaries and affiliates | 0 | (109,252) | |
Reinsurance balances payable | 0 | 0 | |
Payable for investments purchased | 0 | 0 | |
Other liabilities | (1,214,254) | (8,235) | |
Total liabilities | (1,995,669) | (243,461) | |
Redeemable noncontrolling interests | 0 | 0 | |
Shareholders’ Equity | |||
Total shareholders’ equity | (5,837,314) | (7,374,145) | |
Total liabilities, noncontrolling interests and shareholders’ equity | $ (7,832,983) | $ (7,617,606) |
Condensed Consolidating Finan_4
Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries (Condensed Consolidating Statement of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Revenues | ||
Net premiums earned | $ 913,098 | $ 550,028 |
Net investment income | 99,473 | 82,094 |
Net foreign exchange losses | (5,728) | (2,846) |
Equity in earnings of other ventures | 4,564 | 4,661 |
Other (loss) income | (4,436) | 3,171 |
Net realized and unrealized (losses) gains on investments | (110,707) | 170,013 |
Total revenues | 896,264 | 807,121 |
Expenses | ||
Net claims and claim expenses incurred | 570,954 | 227,035 |
Acquisition expenses | 210,604 | 123,951 |
Operational expenses | 67,461 | 44,933 |
Corporate expenses | 15,991 | 38,789 |
Interest expense | 14,927 | 11,754 |
Total expenses | 879,937 | 446,462 |
(Loss) income before equity in net (loss) income of subsidiaries and taxes | 16,327 | 360,659 |
Equity in net (loss) income of subsidiaries | 0 | 0 |
Income before taxes | 16,327 | 360,659 |
Income tax (expense) benefit | 8,846 | (7,531) |
Net (loss) income | 25,173 | 353,128 |
Net income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Net (loss) income attributable to RenaissanceRe | (72,918) | 282,906 |
Dividends on preference shares | (9,056) | (9,189) |
Net (loss) income (attributable) available to RenaissanceRe common shareholders | (81,974) | 273,717 |
Reportable Legal Entities | RenaissanceRe Finance Inc. (Subsidiary Issuer) | ||
Revenues | ||
Net premiums earned | 0 | 0 |
Net investment income | 883 | 2,060 |
Net foreign exchange losses | 0 | 0 |
Equity in earnings of other ventures | 389 | 965 |
Other (loss) income | 0 | 0 |
Net realized and unrealized (losses) gains on investments | 116 | 109 |
Total revenues | 1,388 | 3,134 |
Expenses | ||
Net claims and claim expenses incurred | 0 | 0 |
Acquisition expenses | 0 | 0 |
Operational expenses | 17,318 | 12,333 |
Corporate expenses | 0 | 0 |
Interest expense | 9,969 | 9,252 |
Total expenses | 27,287 | 21,585 |
(Loss) income before equity in net (loss) income of subsidiaries and taxes | (25,899) | (18,451) |
Equity in net (loss) income of subsidiaries | (33,669) | 33,532 |
Income before taxes | (59,568) | 15,081 |
Income tax (expense) benefit | 2,186 | 1,662 |
Net (loss) income | (57,382) | 16,743 |
Net income attributable to redeemable noncontrolling interests | 0 | 0 |
Net (loss) income attributable to RenaissanceRe | (57,382) | 16,743 |
Dividends on preference shares | 0 | 0 |
Net (loss) income (attributable) available to RenaissanceRe common shareholders | (57,382) | 16,743 |
Reportable Legal Entities | RenaissanceRe Holdings Ltd. (Parent Guarantor) | ||
Revenues | ||
Net premiums earned | 0 | 0 |
Net investment income | 10,488 | 8,277 |
Net foreign exchange losses | (7,330) | (1) |
Equity in earnings of other ventures | 0 | 0 |
Other (loss) income | 372 | 0 |
Net realized and unrealized (losses) gains on investments | (21,118) | 1,002 |
Total revenues | (17,588) | 9,278 |
Expenses | ||
Net claims and claim expenses incurred | 0 | 0 |
Acquisition expenses | 0 | 0 |
Operational expenses | 2,732 | 469 |
Corporate expenses | 8,679 | 38,828 |
Interest expense | 3,828 | 1,883 |
Total expenses | 15,239 | 41,180 |
(Loss) income before equity in net (loss) income of subsidiaries and taxes | (32,827) | (31,902) |
Equity in net (loss) income of subsidiaries | (39,673) | 314,887 |
Income before taxes | (72,500) | 282,985 |
Income tax (expense) benefit | (418) | (79) |
Net (loss) income | (72,918) | 282,906 |
Net income attributable to redeemable noncontrolling interests | 0 | 0 |
Net (loss) income attributable to RenaissanceRe | (72,918) | 282,906 |
Dividends on preference shares | (9,056) | (9,189) |
Net (loss) income (attributable) available to RenaissanceRe common shareholders | (81,974) | 273,717 |
Reportable Legal Entities | Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-Guarantor Subsidiaries) | ||
Revenues | ||
Net premiums earned | 913,098 | 550,028 |
Net investment income | 98,542 | 80,559 |
Net foreign exchange losses | 1,602 | (2,845) |
Equity in earnings of other ventures | 4,175 | 3,696 |
Other (loss) income | 11,073 | 3,171 |
Net realized and unrealized (losses) gains on investments | (89,705) | 168,902 |
Total revenues | 938,785 | 803,511 |
Expenses | ||
Net claims and claim expenses incurred | 570,954 | 227,035 |
Acquisition expenses | 210,604 | 123,951 |
Operational expenses | 62,919 | 42,620 |
Corporate expenses | 7,312 | (1,922) |
Interest expense | 11,517 | 619 |
Total expenses | 863,306 | 392,303 |
(Loss) income before equity in net (loss) income of subsidiaries and taxes | 75,479 | 411,208 |
Equity in net (loss) income of subsidiaries | 16,639 | 828 |
Income before taxes | 92,118 | 412,036 |
Income tax (expense) benefit | 7,078 | (9,114) |
Net (loss) income | 99,196 | 402,922 |
Net income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Net (loss) income attributable to RenaissanceRe | 1,105 | 332,700 |
Dividends on preference shares | 0 | 0 |
Net (loss) income (attributable) available to RenaissanceRe common shareholders | 1,105 | 332,700 |
Consolidating Adjustments | ||
Revenues | ||
Net premiums earned | 0 | 0 |
Net investment income | (10,440) | (8,802) |
Net foreign exchange losses | 0 | 0 |
Equity in earnings of other ventures | 0 | 0 |
Other (loss) income | (15,881) | 0 |
Net realized and unrealized (losses) gains on investments | 0 | 0 |
Total revenues | (26,321) | (8,802) |
Expenses | ||
Net claims and claim expenses incurred | 0 | 0 |
Acquisition expenses | 0 | 0 |
Operational expenses | (15,508) | (10,489) |
Corporate expenses | 0 | 1,883 |
Interest expense | (10,387) | 0 |
Total expenses | (25,895) | (8,606) |
(Loss) income before equity in net (loss) income of subsidiaries and taxes | (426) | (196) |
Equity in net (loss) income of subsidiaries | 56,703 | (349,247) |
Income before taxes | 56,277 | (349,443) |
Income tax (expense) benefit | 0 | 0 |
Net (loss) income | 56,277 | (349,443) |
Net income attributable to redeemable noncontrolling interests | 0 | 0 |
Net (loss) income attributable to RenaissanceRe | 56,277 | (349,443) |
Dividends on preference shares | 0 | 0 |
Net (loss) income (attributable) available to RenaissanceRe common shareholders | $ 56,277 | $ (349,443) |
Condensed Consolidating Finan_5
Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries (Condensed Consolidating Statement of Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Comprehensive income (loss) | ||
Net (loss) Income | $ 25,173 | $ 353,128 |
Change in net unrealized losses on investments, net of tax | (657) | (37) |
Foreign currency translation adjustments, net of tax | 932 | 0 |
Comprehensive income | 25,448 | 353,091 |
Net (income) loss attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Comprehensive income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Comprehensive (loss) income attributable to RenaissanceRe | (72,643) | 282,869 |
Reportable Legal Entities | RenaissanceRe Finance Inc. (Subsidiary Issuer) | ||
Comprehensive income (loss) | ||
Net (loss) Income | (57,382) | 16,743 |
Change in net unrealized losses on investments, net of tax | 745 | 0 |
Foreign currency translation adjustments, net of tax | 0 | |
Comprehensive income | (56,637) | 16,743 |
Net (income) loss attributable to redeemable noncontrolling interests | 0 | 0 |
Comprehensive income attributable to redeemable noncontrolling interests | 0 | 0 |
Comprehensive (loss) income attributable to RenaissanceRe | (56,637) | 16,743 |
Reportable Legal Entities | RenaissanceRe Holdings Ltd. (Parent Guarantor) | ||
Comprehensive income (loss) | ||
Net (loss) Income | (72,918) | 282,906 |
Change in net unrealized losses on investments, net of tax | (657) | 0 |
Foreign currency translation adjustments, net of tax | 932 | |
Comprehensive income | (72,643) | 282,906 |
Net (income) loss attributable to redeemable noncontrolling interests | 0 | 0 |
Comprehensive income attributable to redeemable noncontrolling interests | 0 | 0 |
Comprehensive (loss) income attributable to RenaissanceRe | (72,643) | 282,906 |
Reportable Legal Entities | Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-Guarantor Subsidiaries) | ||
Comprehensive income (loss) | ||
Net (loss) Income | 99,196 | 402,922 |
Change in net unrealized losses on investments, net of tax | (14,562) | (37) |
Foreign currency translation adjustments, net of tax | ||
Comprehensive income | 84,634 | 402,885 |
Net (income) loss attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Comprehensive income attributable to redeemable noncontrolling interests | (98,091) | (70,222) |
Comprehensive (loss) income attributable to RenaissanceRe | (13,457) | 332,663 |
Consolidating Adjustments | ||
Comprehensive income (loss) | ||
Net (loss) Income | 56,277 | (349,443) |
Change in net unrealized losses on investments, net of tax | 13,817 | 0 |
Foreign currency translation adjustments, net of tax | 0 | |
Comprehensive income | 70,094 | (349,443) |
Net (income) loss attributable to redeemable noncontrolling interests | 0 | 0 |
Comprehensive income attributable to redeemable noncontrolling interests | 0 | 0 |
Comprehensive (loss) income attributable to RenaissanceRe | $ 70,094 | $ (349,443) |
Condensed Consolidating Finan_6
Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries (Condensed Consolidating Statement of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash flows (used in) provided by operating activities | ||
Net cash provided by (used in) operating activities | $ 475,466 | $ 377,149 |
Cash flows used in investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 3,661,294 | 4,600,808 |
Purchases of fixed maturity investments trading | (3,370,394) | (3,519,277) |
Net purchases of equity investments trading | (44,514) | (4,601) |
Net purchases of short term investments | (704,226) | (1,374,632) |
Net purchases of other investments | (79,711) | (51,811) |
Net purchases of investments in other ventures | (1,888) | (1,573) |
Return of investment from investment in other ventures | 9,157 | 11,250 |
Dividends and return of capital from subsidiaries | 0 | 0 |
Contributions to subsidiaries | 0 | 0 |
Due to (from) subsidiary | 0 | 0 |
Net purchase of TMR | 0 | (276,206) |
Net cash used in investing activities | (530,282) | (616,042) |
Cash flows (used in) provided by financing activities | ||
Dividends paid – RenaissanceRe common shares | (15,359) | (14,469) |
Dividends paid – preference shares | (9,056) | (9,189) |
RenaissanceRe common share repurchases | (62,621) | 0 |
Redemption of 6.08% Series C preference shares | (125,000) | 0 |
Repayment of debt | (250,000) | 0 |
Drawdown of RenaissanceRe Revolving Credit Facility | 0 | 200,000 |
Net third party redeemable noncontrolling interest share transactions | 42,599 | (16,847) |
Taxes paid on withholding shares | (10,180) | (6,957) |
Net cash (used in) provided by financing activities | (429,617) | 152,538 |
Effect of exchange rate changes on foreign currency cash | 1,581 | (292) |
Net decrease in cash and cash equivalents | (482,852) | (86,647) |
Cash and cash equivalents, beginning of period | 1,379,068 | 1,107,922 |
Cash and cash equivalents, end of period | 896,216 | 1,021,275 |
Reportable Legal Entities | RenaissanceRe Finance Inc. (Subsidiary Issuer) | ||
Cash flows (used in) provided by operating activities | ||
Net cash provided by (used in) operating activities | (21,068) | (21,202) |
Cash flows used in investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 2,493 | 29,861 |
Purchases of fixed maturity investments trading | (17,602) | (14,098) |
Net purchases of equity investments trading | 0 | 0 |
Net purchases of short term investments | 278,258 | (4,946) |
Net purchases of other investments | 0 | 0 |
Net purchases of investments in other ventures | 0 | 0 |
Return of investment from investment in other ventures | 0 | 0 |
Dividends and return of capital from subsidiaries | 0 | 0 |
Contributions to subsidiaries | 0 | 0 |
Due to (from) subsidiary | 15,277 | 6,629 |
Net purchase of TMR | 0 | |
Net cash used in investing activities | 278,426 | 17,446 |
Cash flows (used in) provided by financing activities | ||
Dividends paid – RenaissanceRe common shares | 0 | 0 |
Dividends paid – preference shares | 0 | 0 |
RenaissanceRe common share repurchases | 0 | |
Redemption of 6.08% Series C preference shares | 0 | |
Repayment of debt | (250,000) | |
Drawdown of RenaissanceRe Revolving Credit Facility | 0 | |
Net third party redeemable noncontrolling interest share transactions | 0 | 0 |
Taxes paid on withholding shares | 0 | 0 |
Net cash (used in) provided by financing activities | (250,000) | 0 |
Effect of exchange rate changes on foreign currency cash | 0 | 0 |
Net decrease in cash and cash equivalents | 7,358 | (3,756) |
Cash and cash equivalents, beginning of period | 8,731 | 9,604 |
Cash and cash equivalents, end of period | 16,089 | 5,848 |
Reportable Legal Entities | RenaissanceRe Holdings Ltd. (Parent Guarantor) | ||
Cash flows (used in) provided by operating activities | ||
Net cash provided by (used in) operating activities | 6,839 | (317,296) |
Cash flows used in investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 0 | 277,030 |
Purchases of fixed maturity investments trading | 0 | (35,909) |
Net purchases of equity investments trading | 0 | 0 |
Net purchases of short term investments | (85,628) | (54,622) |
Net purchases of other investments | 0 | 0 |
Net purchases of investments in other ventures | 0 | 0 |
Return of investment from investment in other ventures | 0 | 0 |
Dividends and return of capital from subsidiaries | 216,243 | 487,264 |
Contributions to subsidiaries | (64,952) | (528,416) |
Due to (from) subsidiary | 126,320 | 2,100 |
Net purchase of TMR | 0 | |
Net cash used in investing activities | 191,983 | 147,447 |
Cash flows (used in) provided by financing activities | ||
Dividends paid – RenaissanceRe common shares | (15,359) | (14,469) |
Dividends paid – preference shares | (9,056) | (9,189) |
RenaissanceRe common share repurchases | (62,621) | |
Redemption of 6.08% Series C preference shares | (125,000) | |
Repayment of debt | 0 | |
Drawdown of RenaissanceRe Revolving Credit Facility | 200,000 | |
Net third party redeemable noncontrolling interest share transactions | 0 | 0 |
Taxes paid on withholding shares | (10,180) | (6,957) |
Net cash (used in) provided by financing activities | (222,216) | 169,385 |
Effect of exchange rate changes on foreign currency cash | 0 | 0 |
Net decrease in cash and cash equivalents | (23,394) | (464) |
Cash and cash equivalents, beginning of period | 26,460 | 3,534 |
Cash and cash equivalents, end of period | 3,066 | 3,070 |
Reportable Legal Entities | Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-Guarantor Subsidiaries) | ||
Cash flows (used in) provided by operating activities | ||
Net cash provided by (used in) operating activities | 489,695 | 715,647 |
Cash flows used in investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 3,658,801 | 4,293,917 |
Purchases of fixed maturity investments trading | (3,352,792) | (3,469,270) |
Net purchases of equity investments trading | (44,514) | (4,601) |
Net purchases of short term investments | (896,856) | (1,315,064) |
Net purchases of other investments | (79,711) | (51,811) |
Net purchases of investments in other ventures | (1,888) | (1,573) |
Return of investment from investment in other ventures | 9,157 | 11,250 |
Dividends and return of capital from subsidiaries | (216,243) | (487,264) |
Contributions to subsidiaries | 64,952 | 528,416 |
Due to (from) subsidiary | (141,597) | (8,729) |
Net purchase of TMR | (276,206) | |
Net cash used in investing activities | (1,000,691) | (780,935) |
Cash flows (used in) provided by financing activities | ||
Dividends paid – RenaissanceRe common shares | 0 | 0 |
Dividends paid – preference shares | 0 | 0 |
RenaissanceRe common share repurchases | 0 | |
Redemption of 6.08% Series C preference shares | 0 | |
Repayment of debt | 0 | |
Drawdown of RenaissanceRe Revolving Credit Facility | 0 | |
Net third party redeemable noncontrolling interest share transactions | 42,599 | (16,847) |
Taxes paid on withholding shares | 0 | 0 |
Net cash (used in) provided by financing activities | 42,599 | (16,847) |
Effect of exchange rate changes on foreign currency cash | 1,581 | (292) |
Net decrease in cash and cash equivalents | (466,816) | (82,427) |
Cash and cash equivalents, beginning of period | 1,343,877 | 1,094,784 |
Cash and cash equivalents, end of period | $ 877,061 | $ 1,012,357 |