Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 27, 2015 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | RENAISSANCERE HOLDINGS LTD. | |
Trading Symbol | RNR | |
Entity Central Index Key | 913,144 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 45,943,499 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Assets | ||
Fixed maturity investments trading, at fair value (Amortized cost $6,603,492 and $4,749,613 at June 30, 2015 and December 31, 2014, respectively) | $ 6,591,434 | $ 4,756,685 |
Fixed maturity investments available for sale, at fair value (Amortized cost $19,384 and $23,772 at June 30, 2015 and December 31, 2014, respectively) | 21,754 | 26,885 |
Short term investments, at fair value | 1,543,191 | 1,013,222 |
Equity investments trading, at fair value | 493,056 | 322,098 |
Other investments, at fair value | 504,693 | 504,147 |
Investments in other ventures, under equity method | 126,139 | 120,713 |
Total investments | 9,280,267 | 6,743,750 |
Cash and cash equivalents | 398,090 | 525,584 |
Premiums receivable | 1,068,819 | 440,007 |
Prepaid reinsurance premiums | 276,231 | 94,810 |
Reinsurance recoverable | 136,464 | 66,694 |
Accrued investment income | 37,480 | 26,509 |
Deferred acquisition costs | 173,408 | 110,059 |
Receivable for investments sold | 149,063 | 52,390 |
Other assets | 257,621 | 135,845 |
Goodwill and other intangible assets | 275,743 | 7,902 |
Total assets | 12,053,186 | 8,203,550 |
Liabilities | ||
Reserve for claims and claim expenses | 2,847,648 | 1,412,510 |
Unearned premiums | 1,155,596 | 512,386 |
Debt | 972,362 | 249,522 |
Reinsurance balances payable | 512,019 | 454,580 |
Payable for investments purchased | 511,251 | 203,021 |
Other liabilities | 228,554 | 374,108 |
Total liabilities | $ 6,227,430 | $ 3,206,127 |
Commitments and Contingencies | ||
Redeemable noncontrolling interest | $ 988,812 | $ 1,131,708 |
Shareholders’ Equity | ||
Preference shares: $1.00 par value – 16,000,000 shares issued and outstanding at June 30, 2015 (December 31, 2014 – 16,000,000) | 400,000 | 400,000 |
Common shares: $1.00 par value – 46,012,505 shares issued and outstanding at June 30, 2015 (December 31, 2014 – 38,441,972) | 46,013 | 38,442 |
Additional paid-in capital | 750,484 | 0 |
Accumulated other comprehensive income | 2,993 | 3,416 |
Retained earnings | 3,637,454 | 3,423,857 |
Total shareholders’ equity attributable to RenaissanceRe | 4,836,944 | 3,865,715 |
Total liabilities, noncontrolling interests and shareholders’ equity | $ 12,053,186 | $ 8,203,550 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Fixed maturity investments trading, amortized cost | $ 6,603,492 | $ 4,749,613 |
Fixed maturity investments available for sale, amortized cost | $ 19,384 | $ 23,772 |
Preference Shares, Par Value (In dollars per share) | $ 1 | $ 1 |
Preference Shares, Shares issued (In shares) | 16,000,000 | 16,000,000 |
Preference Shares, Shares outstanding (In shares) | 16,000,000 | 16,000,000 |
Common Shares, Par Value (In dollars per share) | $ 1 | $ 1 |
Common Shares, Shares issued (In shares) | 46,012,505 | 38,441,972 |
Common Shares, Shares outstanding (In shares) | 46,012,505 | 38,441,972 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Revenues | ||||
Gross premiums written | $ 661,997 | $ 511,540 | $ 1,305,575 | $ 1,216,800 |
Net premiums written | 508,677 | 346,407 | 912,712 | 796,754 |
Increase in unearned premiums | (128,849) | (85,991) | (236,124) | (249,804) |
Net premiums earned | 379,828 | 260,416 | 676,588 | 546,950 |
Net investment income | 38,604 | 34,541 | 78,311 | 73,489 |
Net foreign exchange (losses) gains | (1,740) | 2,392 | (4,870) | 1,331 |
Equity in earnings of other ventures | 6,160 | 7,232 | 11,455 | 11,431 |
Other income (loss) | 1,427 | (535) | 2,966 | (473) |
Net realized and unrealized (losses) gains on investments | (26,712) | 27,128 | 15,037 | 42,055 |
Total revenues | 397,567 | 331,174 | 779,487 | 674,783 |
Expenses | ||||
Net claims and claim expenses incurred | 169,344 | 81,388 | 246,197 | 140,303 |
Acquisition expenses | 61,666 | 33,477 | 105,067 | 67,177 |
Operational expenses | 54,673 | 45,841 | 100,294 | 88,465 |
Corporate expenses | 13,032 | 3,954 | 58,630 | 8,499 |
Interest expense | 9,698 | 4,292 | 14,949 | 8,585 |
Total expenses | 308,413 | 168,952 | 525,137 | 313,029 |
Income before taxes | 89,154 | 162,222 | 254,350 | 361,754 |
Income tax (expense) benefit | 1,842 | 204 | 49,746 | 38 |
Net income | 90,996 | 162,426 | 304,096 | 361,792 |
Net income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Net income attributable to RenaissanceRe | 78,829 | 126,348 | 252,267 | 282,946 |
Dividends on preference shares | (5,596) | (5,596) | (11,191) | (11,191) |
Net income available to RenaissanceRe common shareholders | $ 73,233 | $ 120,752 | $ 241,076 | $ 271,755 |
Net income available to RenaissanceRe common shareholders per common share – basic (in usd per share) | $ 1.60 | $ 3 | $ 5.61 | $ 6.62 |
Net income available to RenaissanceRe common shareholders per common share – diluted (in usd per share) | 1.59 | 2.95 | 5.56 | 6.52 |
Dividends per common share, in usd per share | $ 0.3 | $ 0.29 | $ 0.6 | $ 0.58 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Comprehensive income | ||||
Net income | $ 90,996 | $ 162,426 | $ 304,096 | $ 361,792 |
Change in net unrealized gains on investments | (349) | (45) | (423) | (213) |
Comprehensive income | 90,647 | 162,381 | 303,673 | 361,579 |
Net income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Comprehensive income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Comprehensive income attributable to RenaissanceRe | 78,480 | 126,303 | 251,844 | 282,733 |
Disclosure regarding net unrealized gains | ||||
Total net realized and unrealized holding (gains) losses on investments and net other-than-temporary impairments | (62) | (45) | (85) | (213) |
Net realized gains on fixed maturity investments available for sale | (287) | 0 | (338) | 0 |
Change in net unrealized gains on investments | $ (349) | $ (45) | $ (423) | $ (213) |
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 Income | Retained Earnings |
Beginning of period at Dec. 31, 2013 | $ 400,000 | $ 43,646 | $ 0 | $ 4,131 | $ 3,456,607 | |
Issuance of shares | 0 | 0 | ||||
Repurchase of shares | (3,363) | 2,139 | (313,312) | |||
Change in noncontrolling interests | 43 | |||||
Exercise of options and issuance of restricted stock awards | 240 | (2,182) | ||||
Change in net unrealized gains on investments | $ 213 | (213) | ||||
Net income | 361,792 | 361,792 | ||||
Net income attributable to noncontrolling interests | (78,846) | (78,846) | ||||
Dividends on common shares | (23,550) | |||||
Dividends on preference shares | (11,191) | (11,191) | ||||
End of period at Jun. 30, 2014 | 400,000 | 40,523 | 0 | 3,918 | 3,391,500 | |
Total shareholders’ equity | 3,835,941 | |||||
Beginning of period at Dec. 31, 2014 | 3,865,715 | 400,000 | 38,442 | 0 | 3,416 | 3,423,857 |
Issuance of shares | 7,435 | 754,384 | ||||
Repurchase of shares | (83) | (8,343) | 0 | |||
Change in noncontrolling interests | (261) | |||||
Exercise of options and issuance of restricted stock awards | 219 | 4,704 | ||||
Change in net unrealized gains on investments | 423 | (423) | ||||
Net income | 304,096 | 304,096 | ||||
Net income attributable to noncontrolling interests | (51,829) | (51,829) | ||||
Dividends on common shares | (27,479) | |||||
Dividends on preference shares | (11,191) | (11,191) | ||||
End of period at Jun. 30, 2015 | 4,836,944 | $ 400,000 | $ 46,013 | $ 750,484 | $ 2,993 | $ 3,637,454 |
Total shareholders’ equity | $ 4,836,944 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Cash flows provided by operating activities | ||
Net income | $ 304,096 | $ 361,792 |
Adjustments to reconcile net income to net cash (used in) provided by operating activities | ||
Amortization, accretion and depreciation | 12,395 | 15,419 |
Equity in undistributed earnings of other ventures | (6,822) | (7,960) |
Net realized and unrealized gains on investments | (15,037) | (42,055) |
Net unrealized gains included in net investment income | (3,238) | (8,879) |
Net unrealized losses (gains) included in other income (loss) | 348 | (2,220) |
Change in: | ||
Premiums receivable | (396,091) | (363,029) |
Prepaid reinsurance premiums | (173,970) | (201,831) |
Reinsurance recoverable | (66,042) | 15,910 |
Deferred acquisition costs | (63,269) | (59,081) |
Reserve for claims and claim expenses | 37,293 | (11,112) |
Unearned premiums | 410,534 | 451,635 |
Reinsurance balances payable | 52,969 | 265,163 |
Other | (122,536) | (240,366) |
Net cash (used in) provided by operating activities | (29,370) | 173,386 |
Cash flows (used in) provided by investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 4,761,975 | 4,020,174 |
Purchases of fixed maturity investments trading | (4,596,118) | (3,970,317) |
Proceeds from sales and maturities of fixed maturity investments available for sale | 5,000 | 5,114 |
Net purchases of equity investments trading | (166,485) | (11,146) |
Net sales of short term investments | 360,162 | 89,549 |
Net (purchases) sales of other investments | (1,250) | 68,684 |
Net (purchases) sales of investments in other ventures | (45) | 1,030 |
Net sales of other assets | 4,500 | 6,000 |
Net purchase of Platinum | (678,152) | 0 |
Net cash (used in) provided by investing activities | (310,413) | 209,088 |
Cash flows provided by (used in) financing activities | ||
Dividends paid – RenaissanceRe common shares | (27,479) | (23,550) |
Dividends paid – preference shares | (11,191) | (11,191) |
RenaissanceRe common share repurchases | (736) | (314,536) |
Issuance of debt, net of expenses | 445,589 | 0 |
Net third party redeemable noncontrolling interest share transactions | (187,064) | (144,096) |
Net cash provided by (used in) financing activities | 219,119 | (493,373) |
Effect of exchange rate changes on foreign currency cash | (6,830) | (2,676) |
Net decrease in cash and cash equivalents | (127,494) | (113,575) |
Cash and cash equivalents, beginning of period | 525,584 | 408,032 |
Cash and cash equivalents, end of period | $ 398,090 | $ 294,457 |
Organization
Organization | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | ORGANIZATION This report on Form 10-Q should be read in conjunction with the Company’s Annual Report on Form 10-K (“Form 10-K”) for the fiscal year ended December 31, 2014 . RenaissanceRe was formed under the laws of Bermuda on June 7, 1993. Together with its wholly owned and majority-owned subsidiaries and DaVinciRe (as defined below), which are collectively referred to herein as the “Company”, RenaissanceRe provides reinsurance and insurance coverages and related services to a broad range of customers. • On March 2, 2015, RenaissanceRe completed its acquisition of Platinum. As a result of the acquisition, Platinum and its subsidiaries became wholly owned subsidiaries of RenaissanceRe, including Platinum Bermuda and Renaissance Reinsurance U.S. Inc., formerly known as Platinum Underwriters Reinsurance, Inc. ("Renaissance Reinsurance U.S."). The Company accounted for the acquisition of Platinum under the acquisition method of accounting in accordance with Financial Accounting Standards Board Accounting Standards Codification Topic Business Combinations and the Company's consolidated results of operations include those of Platinum from March 2, 2015. • Renaissance Reinsurance, the Company’s principal reinsurance subsidiary, provides property catastrophe and specialty reinsurance coverages to insurers and reinsurers on a worldwide basis. • RenaissanceRe Specialty Risks Ltd. (“RenaissanceRe Specialty Risks”) is a Bermuda-domiciled excess and surplus lines insurance company that is listed on the National Association of Insurance Commissioners’ International Insurance Department’s Quarterly List of Alien Insurers as an eligible surplus lines insurer. 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 launched in June 2013 which operates subject to U.S. federal income tax, and Syndicate 1458. • Renaissance Reinsurance U.S. is a reinsurance company domiciled in the State of Maryland that provides property and casualty reinsurance coverages to insurers and reinsurers, primarily in the Americas. • RenaissanceRe 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 and RenaissanceRe Syndicate Management Ltd. (“RSML”), a wholly owned subsidiary of RenaissanceRe, is the managing agent for Syndicate 1458. • The Company also manages property catastrophe and specialty reinsurance business written on behalf of joint ventures, which principally 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 financial statements. 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, acts as exclusive underwriting manager for these joint ventures in return for fee-based income and profit participation. • Effective January 1, 2013, the Company formed and launched a managed joint venture, Upsilon Reinsurance Fund Opportunities Ltd., formerly known as Upsilon Reinsurance II Ltd. (“Upsilon RFO”), a Bermuda domiciled special purpose insurer (“SPI”), 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. • Effective November 13, 2014, the Company incorporated RenaissanceRe Upsilon Fund Ltd. (“Upsilon Fund”), an exempted Bermuda limited segregated accounts company. Upsilon Fund was formed 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 Upsilon Fund is not consolidated by the Company. • 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’s parent, RenaissanceRe Fund Holdings Ltd. (“Fund Holdings”), the results of Medici and Fund Holdings are consolidated in the Company’s financial statements. Redeemable noncontrolling interest - Medici represents the interests of external parties with respect to the net income and shareholders’ equity of Medici. |
Significant Accounting Policies
Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2015 | |
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, 2014 , except as noted below. BASIS OF PRESENTATION These consolidated financial statements have been prepared on the basis of accounting principles generally accepted in the United States (“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 and the Company’s deferred tax valuation allowance. RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS NOT YET ADOPTED Revenue from Contracts with Customers In May 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”). ASU 2014-09 provides comprehensive guidance on the recognition of revenue from customers arising from the transfer of goods and services. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 also provides guidance on accounting for certain contract costs and will also require new disclosures. ASU 2014-09 was to be effective for public business entities in annual and interim periods beginning after December 15, 2016, however in July 2015, the FASB decided to defer by one year the effective dates of ASU 2014-09, and as a result, ASU 2014-09 will be effective for public business entities in annual and interim period beginning after December 15, 2017. 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. Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period In June 2014, the FASB issued ASU No. 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (“ASU 2014-12”). The objective of ASU 2014-12 is to resolve the diverse accounting treatment of share-based payment awards in situations where an employee would be eligible to vest in the award regardless of whether the employee is rendering service on the date the performance target is achieved. For example, if an employee is eligible to retire or otherwise terminate employment before the end of the period in which a performance target could be achieved and still be eligible to vest in the award, ASU 2014-12 will resolve if and when the performance target is achieved. ASU 2014-12 is effective for all entities in annual and interim periods beginning after December 15, 2015. Entities may apply the amendments in ASU 2014-12 either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. 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. Amendments to the Consolidation Analysis In February 2015, the FASB issued ASU No. 2015-02, Amendments to the Consolidation Analysis (“ASU 2015-02”). ASU 2015-02 will affect reporting entities that are required to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under ASU 2015-02. ASU 2015-02 set forth amendments: modifying the evaluation of whether limited partnerships and similar legal entities are VIEs; eliminating the presumption that a general partner should consolidate a limited partnership; affecting the consolidation analysis of reporting entities that are involved with VIEs, particularly those that have fee arrangement and related party relationships; and providing a scope exception from consolidation guidance for reporting entities with interests in certain investment funds. ASU 2015-02 is effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. 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. Simplifying the Presentation of Debt Issuance Costs In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs (“ASU 2015-03”). The objective of ASU 2015-03 is to simplify the presentation of debt issuance costs by requiring debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in ASU 2015-03. ASU 2015-03 is effective for public business entities in annual and interim periods beginning after December 15, 2015. Early adoption is permitted. ASU 2015-03 provides for retroactive application, and upon transition, applicable disclosures for a change in an accounting principle would be provided, including the transition method, a description of the prior period information that has been retroactively adjusted, and the effect of the change on the applicable financial statement line items. 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. Disclosures about Short-Duration Contracts In May 2015, the FASB issued ASU No. 2015-09, Disclosures about Short-Duration Contracts (“ASU 2015-09”). ASU 2015-09 requires insurance entities to disclose for annual reporting periods additional information about the liability for unpaid claims and claim adjustment expenses, including: (1) incurred and paid claims development information by accident year, on a net basis, for the number of years for which claims incurred typically remain outstanding, not exceeding 10 years; (2) a reconciliation of incurred and paid claims development information to the aggregate carry amount of the liability for claims and claim adjustment expenses, with separate disclosure of reinsurance recoverable on unpaid claims for each period presented in the statement of financial position; (3) for each accident year presented of incurred claims development information, the total of incurred but not reported liabilities plus expected development on reported claims including in the liability for unpaid claims and claim adjustment expenses, accompanied by a description of the reserving methodologies; (4) for each accident year presented of incurred claims development information, quantitative information about claim frequency accompanied by a qualitative description of methodologies used for determining claim frequency information; and (5) for all claims, the average annual percentage payout of incurred claims by age for the same number of accident years presented in (3) and (4) above. ASU 2015-09 also requires insurance entities to disclose information about significant changes in methodologies and assumptions used to calculate the liability for unpaid claims and claim adjustment expenses, including the reasons for the change and the effects on the financial statements. In addition, ASU 2015-09 requires insurance entities to disclose for annual and interim reporting periods a rollforward of the liability for unpaid claims and claim adjustment expenses. ASU 2015-09 is effective for public business entities in annual periods beginning after December 31, 2015, and interim periods within annual periods beginning after December 31, 2016. Early adoption in permitted. ASU 2015-09 should be applied retrospectively by providing comparative disclosures for each period presented, except for those requirements that apply only to the current period. As this guidance is disclosure-related only, the adoption of this guidance is not expected to have a material impact on the Company’s consolidated statements of operations and financial position. Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) In May 2015, the FASB issued ASU No. 2015-07, Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) (“ASU 2015-07”). ASU 2015-07 removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the net asset value per share practical expedient. ASU 2015-07 also removes the requirement to make certain disclosures for all investments that are eligible to be measured at fair value using the net asset value per share practical expedient. Rather, those disclosures are limited to investments for which the entity has elected to measure the fair value using that practical expedient. ASU 2015-07 is effective for public business entities for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. A reporting entity should apply the amendments retrospectively to all periods presented. The retrospective approach requires that an investment for which fair value is measured using the net asset value per share practical expedient be removed from the fair value hierarchy in all periods presented in an entity’s financial statements. Earlier application is permitted. As this guidance is disclosure-related only, the adoption of this guidance is not expected to have a material impact on the Company’s statements of operations and financial position. |
Acquisition of Platinum
Acquisition of Platinum | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Acquisition of Platinum | ACQUISITION OF PLATINUM Overview On March 2, 2015, RenaissanceRe acquired 100% of the outstanding common shares of Platinum for $76 per Platinum common share, or aggregate consideration of $1.93 billion . In connection with an intercompany restructuring, effective July 1, 2015, Platinum was merged with RenaissanceRe, with RenaissanceRe continuing as the surviving company. Prior to the closing of the acquisition of Platinum, Platinum was a publicly traded company listed on the New York Stock Exchange and headquartered in Bermuda. Platinum, through its wholly owned subsidiaries, provided property and casualty reinsurance coverage through reinsurance brokers to insurers and select reinsurers on a worldwide basis. The acquisition of Platinum is expected to benefit the combined companies’ clients through an expanded product offering and enhanced broker relationships and it is also expected to accelerate the growth of the Company’s U.S. specialty and casualty reinsurance platform. The aggregate consideration for the transaction consisted of the issuance of 7.435 million RenaissanceRe common shares valued at $761.8 million (based on the share price as of March 2, 2015) and $1.16 billion of cash. The cash consideration was partially funded through a pre-closing dividend from Platinum of $10.00 per share, or $253.2 million (the “Special Dividend”), RenaissanceRe available funds of $604.4 million and a short term bridge loan of $300.0 million . On March 24, 2015, RenaissanceRe Finance Inc. (“RenaissanceRe Finance”), a wholly owned subsidiary of RenaissanceRe, issued $300.0 million of its 3.700% Senior Notes due 2025 (together with cash on hand) to replace the short term bridge loan used to fund part of the cash consideration. Refer to “Note 7 . Debt and Credit Facilities” for additional information related to the 3.700% Senior Notes due 2025 . In connection with the acquisition of Platinum, RenaissanceRe incurred transaction-related expenses of $48.2 million in the six months ended June 30, 2015 , which includes $12.5 million related to transaction costs, including due diligence, legal, accounting and investment banking fees and expenses, $3.7 million of costs related to the integration of Platinum within the RenaissanceRe organization, and $32.0 million of compensation-related costs associated with terminating employees of Platinum. In the fourth quarter of 2014, RenaissanceRe also incurred $6.7 million of transaction-related expenses. These expenses have all been reported as a component of corporate expenses. Purchase Price The Company's total purchase price for Platinum at March 2, 2015 was calculated as follows: Special Dividend Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum 25,320,312 Special Dividend per outstanding common share of Platinum and Platinum equity award $ 10.00 Special Dividend paid to common shareholders of Platinum and holders of Platinum equity awards $ 253,203 RenaissanceRe common shares Common shares issued by RenaissanceRe 7,434,561 Common share price of RenaissanceRe as of March 2, 2015 $ 102.47 Market value of RenaissanceRe common shares issued by RenaissanceRe to common shareholders of Platinum and holders of Platinum equity awards 761,819 Platinum common shares Fair value of Platinum common shares owned by RenaissanceRe and canceled in connection with the acquisition of Platinum 12,950 Cash consideration Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum 25,320,312 Platinum common shares owned by RenaissanceRe and canceled in connection with the acquisition of Platinum (169,220 ) Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum excluding those owned by RenaissanceRe and canceled in connection with the acquisition of Platinum 25,151,092 Agreed cash price paid to common shareholders of Platinum and holders of Platinum equity awards $ 35.96 Cash consideration paid by RenaissanceRe to common shareholders of Platinum and holders of Platinum equity awards 904,433 Total purchase price 1,932,405 Less: Special Dividend paid by Platinum (253,203 ) Net purchase price $ 1,679,202 Fair Value of Net Assets Acquired and Liabilities Assumed The purchase price was allocated to the acquired assets and liabilities of Platinum based on estimated fair values on March 2, 2015 , the date the transaction closed, as detailed below. The Company recognized goodwill of $191.7 million primarily attributable to Platinum’s assembled workforce and synergies expected to result upon integration of Platinum into the Company’s operations. There were no other adjustments to carried goodwill during the period ended June 30, 2015 reflected on the Company’s consolidated balance sheet at June 30, 2015 . The Company recognized identifiable finite lived intangible assets of $75.2 million , which will be amortized over a weighted average period of 8 years , identifiable indefinite lived intangible assets of $8.4 million , and certain other adjustments to the fair values of the assets acquired, liabilities assumed and shareholders’ equity of Platinum at March 2, 2015 as summarized in the table below: Shareholders’ equity of Platinum prior to Special Dividend $ 1,737,278 Cash and cash equivalents (Special Dividend on Platinum common shares and Platinum equity awards) (253,203 ) Adjusted shareholders’ equity of Platinum at March 2, 2015 1,484,075 Adjustments for fair value, by applicable balance sheet caption: Deferred acquisition costs (44,486 ) Debt (28,899 ) Reserve for claims and claim expenses (21,725 ) Other assets - deferred debt issuance costs (1,046 ) Total adjustments for fair value by applicable balance sheet caption before tax impact (96,156 ) Other assets - net deferred tax asset related to fair value adjustments 29,069 Total adjustments for fair value by applicable balance sheet caption (67,087 ) Adjustments for fair value of the identifiable intangible assets: Identifiable indefinite lived intangible assets (insurance licenses) 8,400 Identifiable finite lived intangible assets (non-contractual relationships, renewal rights, value of business acquired, trade name, internally developed and used computer software and covenants not to compete) 75,200 Identifiable intangible assets before tax impact 83,600 Other liabilities - deferred tax liability on identifiable intangible assets (13,115 ) Total adjustments for fair value of the identifiable intangible assets 70,485 Total adjustments for fair value by applicable balance sheet caption and identifiable intangible assets 3,398 Shareholders’ equity of Platinum at fair value 1,487,473 Total net purchase price paid by RenaissanceRe 1,679,202 Excess purchase price over the fair value of net assets acquired assigned to goodwill $ 191,729 An explanation of the significant fair value adjustments is as follows: • Deferred acquisition costs - to eliminate Platinum’s deferred acquisition costs; • Debt - to reflect Platinum’s existing senior notes at fair value using indicative market pricing obtained from third-party service providers; • Reserve for claims and claim expenses - to reflect an increase in net claims and claim expenses due to the addition of a market based risk margin which represents the cost of capital required by a market participant to assume the net claims and claim expenses of Platinum, partially offset by a deduction which represents the discount due to the present value calculation of the unpaid claims and claim expenses based on the expected payout of the net unpaid claims and claim expenses; • Other assets - to eliminate deferred debt issuance costs related to Platinum’s existing senior notes and to reflect net deferred tax assets related to fair value adjustments; • Identifiable indefinite lived and finite lived intangible assets - to establish the fair value of identifiable intangible assets related to the acquisition of Platinum described in detail below; and • Other liabilities - to reflect the deferred tax liability on identifiable intangible assets. Identifiable intangible assets at March 2, 2015 and at June 30, 2015 , consisted of the following, and are included in goodwill and other intangible assets on the Company’s consolidated balance sheet: Amount Economic Useful Life Key non-contractual relationships $ 30,400 10 years Value of business acquired 20,200 2 years Renewal rights 15,800 15 years Insurance licenses 8,400 Indefinite Internally developed and used computer software 3,500 2 years Other non-contractual relationships 2,300 3 years Non-compete agreements 1,900 2.5 years Trade name 1,100 6 months Identifiable intangible assets, before amortization, at March 2, 2015 83,600 Amortization (from March 2, 2015 through June 30, 2015) (7,385 ) Net identifiable intangible assets at June 30, 2015 related to the acquisition of Platinum $ 76,215 An explanation of the identifiable intangible assets is as follows: • Key non-contractual relationships - these relationships included Platinum’s top four brokers (Aon plc, Marsh & McLennan Companies, Inc., Willis Group Holdings plc. and Jardine Lloyd Thompson Group plc.) and consideration was given to the expectation of the renewal of these relationships and the associated expenses; • Value of business acquired (“VOBA”) - the expected future losses and expenses associated with the policies that were in-force as of the closing date of the transaction were estimated and compared to the future premium remaining expected to be earned. The difference between the risk-adjusted future loss and expenses, discounted to present value and the unearned premium reserve, was estimated to be the VOBA; • Renewal rights - the value of policy renewal rights taking into consideration written premium on assumed retention ratios and the insurance cash flows and the associated equity cash flows from these renewal policies over the expected life of the renewals; • Insurance licenses - the value of insurance licenses acquired providing the ability to write reinsurance in all 50 states of the U.S. and the District of Columbia; • Internally developed and used computer software - represents the value of internally developed and used computer software to be utilized by the Company; • Other non-contractual relationships - these relationships consisted of Platinum’s brokers with the exception of those previously listed above as key non-contractual relationships and consideration was given to the expectation of the renewal of these relationships and the associated expenses; • Non-compete agreements - represent non-compete agreements with key employees of Platinum; and • Trade name - represents the value of the Platinum brand acquired. As part of the allocation of the purchase price, included in the adjustment to other assets in the table above is a deferred tax asset of $29.1 million related to certain other adjustments to the fair values of the assets acquired, liabilities assumed and shareholders’ equity, summarized in the table above, which was partially offset by a deferred tax liability of $13.1 million related to the estimated fair value of the intangible assets recorded. Other net deferred tax assets recorded primarily relate to differences between financial reporting and tax bases of the acquired assets and liabilities as of the acquisition date, March 2, 2015 . The Company estimates that none of the goodwill that was recorded will be deductible for income tax purposes. Financial Results The following table summarizes the results of Platinum since March 2, 2015 that have been included in the Company's consolidated statements of operations and comprehensive income. Three months ended June 30, 2015 Six months ended June 30, 2015 Total revenues $ 106,691 $ 146,830 Net loss attributable to RenaissanceRe common shareholders (1) $ 5,004 $ (14,435 ) (1) Includes $5.8 million and $34.2 million of transaction, integration and compensation-related costs associated with the acquisition of Platinum for the three and six months ended June 30, 2015 , respectively. Taxation During the six months ended June 30, 2015 , the income tax benefit recorded by the Company was primarily the result of a reduction in the Company’s U.S. deferred tax asset valuation allowance of $47.4 million . A valuation allowance was previously provided against the Company’s U.S. deferred tax assets as in the opinion of management, it was then more likely than not that a portion of the deferred tax asset would not be realized. However, with the acquisition of Platinum and the expected profits in its U.S.-based operations, the Company believes that it is more likely than not that the U.S. deferred tax asset will be realized and has reduced its valuation allowance against such asset. A valuation allowance continues to be provided against deferred tax assets in Ireland, the U.K., and Singapore. These deferred tax assets relate primarily to net operating loss carryforwards and deferred underwriting results. Supplemental Pro Forma Information Platinum’s results have been included in the Company's consolidated financial statements from March 2, 2015 to June 30, 2015 . The following table presents unaudited pro forma consolidated financial information for the three and six months ended June 30, 2015 and 2014 and assumes the acquisition of Platinum occurred on January 1, 2014. The unaudited pro forma consolidated financial information is provided for informational purposes only and is not necessarily, and should not be assumed to be, an indication of the results that would have been achieved had the transaction been completed as of January 1, 2014 or that may be achieved in the future. The unaudited pro forma consolidated financial information does not give consideration to the impact of possible revenue enhancements, expense efficiencies, synergies or asset dispositions that may result from the acquisition of Platinum. In addition, unaudited pro forma consolidated financial information does not include the effects of costs associated with any restructuring or integration activities resulting from the acquisition of Platinum, as they are nonrecurring. Three months ended Six months ended June 30, 2015 June 30, 2014 June 30, June 30, 2014 Total revenues $ 397,567 $ 488,999 $ 858,120 $ 1,003,016 Net income available to RenaissanceRe common shareholders 73,233 174,678 256,039 373,772 Among other adjustments, and in addition to the fair value adjustments and recognition of goodwill and identifiable intangible assets noted above, other material nonrecurring pro forma adjustments directly attributable to the acquisition of Platinum principally included certain adjustments to recognize transaction related costs, align accounting policies, amortize fair value adjustments, amortize identifiable indefinite lived intangible assets and recognize related tax impacts. |
Investments
Investments | 6 Months Ended |
Jun. 30, 2015 | |
Investments [Abstract] | |
Investments | INVESTMENTS Fixed Maturity Investments Trading The following table summarizes the fair value of fixed maturity investments trading: June 30, December 31, U.S. treasuries $ 2,020,746 $ 1,671,471 Agencies 144,947 96,208 Municipal 806,724 — Non-U.S. government (Sovereign debt) 370,613 280,651 Non-U.S. government-backed corporate 172,381 146,467 Corporate 1,865,369 1,610,442 Agency mortgage-backed 474,966 312,333 Non-agency mortgage-backed 253,044 241,590 Commercial mortgage-backed 419,218 373,117 Asset-backed 63,426 24,406 Total fixed maturity investments trading $ 6,591,434 $ 4,756,685 Fixed Maturity Investments Available For Sale The following table summarizes the amortized cost, fair value and related unrealized gains and losses and non-credit other-than-temporary impairments of fixed maturity investments available for sale: Included in Accumulated Other Comprehensive Income June 30, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Non-Credit Other-Than- Temporary Impairments (1) Agency mortgage-backed $ 903 $ 10 $ (9 ) $ 904 $ — Non-agency mortgage-backed 8,498 1,790 (3 ) 10,285 613 Commercial mortgage-backed 7,182 495 — 7,677 — Asset-backed 2,801 87 — 2,888 — Total fixed maturity investments available for sale $ 19,384 $ 2,382 $ (12 ) $ 21,754 $ 613 Included in Accumulated Other Comprehensive Income December 31, 2014 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Non-Credit Other-Than- Temporary Impairments (1) Agency mortgage-backed $ 3,928 $ 359 $ — $ 4,287 $ — Non-agency mortgage-backed 9,478 1,985 (3 ) 11,460 656 Commercial mortgage-backed 7,291 643 — 7,934 — Asset-backed 3,075 129 — 3,204 — Total fixed maturity investments available for sale $ 23,772 $ 3,116 $ (3 ) $ 26,885 $ 656 (1) Represents the non-credit component of other-than-temporary impairments recognized in accumulated other comprehensive income adjusted for subsequent sales of securities. It does not include the change in fair value subsequent to the impairment measurement date. Contractual maturities of fixed maturity investments 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. Trading Available for Sale Total Fixed Maturity Investments June 30, 2015 Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Due in less than one year $ 220,880 $ 219,382 $ — $ — $ 220,880 $ 219,382 Due after one through five years 3,862,284 3,859,616 — — 3,862,284 3,859,616 Due after five through ten years 983,765 970,723 — — 983,765 970,723 Due after ten years 337,497 331,059 — — 337,497 331,059 Mortgage-backed 1,135,710 1,147,228 16,583 18,866 1,152,293 1,166,094 Asset-backed 63,356 63,426 2,801 2,888 66,157 66,314 Total $ 6,603,492 $ 6,591,434 $ 19,384 $ 21,754 $ 6,622,876 $ 6,613,188 Equity Investments Trading The following table summarizes the fair value of equity investments trading: June 30, December 31, Financials $ 228,777 $ 222,190 Communications and technology 84,522 31,376 Industrial, utilities and energy 71,168 28,859 Consumer 50,764 19,522 Healthcare 48,572 16,582 Basic materials 9,253 3,569 Total $ 493,056 $ 322,098 Pledged Investments At June 30, 2015 , $2,463.2 million 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 standby letter of credit facility and bilateral letter of credit facility ( December 31, 2014 - $2,379.4 million ). Of this amount, $665.8 million is on deposit with, or in trust accounts for the benefit of, U.S. state regulatory authorities ( December 31, 2014 - $691.9 million ). Reverse Repurchase Agreements At June 30, 2015 , the Company held $78.2 million ( December 31, 2014 - $49.3 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 include 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 and Net Realized and Unrealized Gains on Investments The components of net investment income are as follows: Three months ended Six months ended June 30, June 30, June 30, June 30, Fixed maturity investments $ 33,791 $ 26,372 $ 59,730 $ 50,232 Short term investments 297 286 494 476 Equity investments 1,913 779 4,517 1,575 Other investments Hedge funds and private equity investments 5,425 8,340 15,838 20,657 Other 674 1,483 4,182 6,011 Cash and cash equivalents 127 93 275 184 42,227 37,353 85,036 79,135 Investment expenses (3,623 ) (2,812 ) (6,725 ) (5,646 ) Net investment income $ 38,604 $ 34,541 $ 78,311 $ 73,489 Net realized and unrealized gains on investments are as follows: Three months ended Six months ended June 30, June 30, June 30, June 30, Gross realized gains $ 8,672 $ 12,166 $ 30,204 $ 25,633 Gross realized losses (21,552 ) (2,587 ) (26,423 ) (8,151 ) Net realized (losses) gains on fixed maturity investments (12,880 ) 9,579 3,781 17,482 Net unrealized (losses) gains on fixed maturity investments trading (48,104 ) 29,918 (22,132 ) 57,800 Net realized and unrealized gains (losses) on investments-related derivatives 19,816 (6,884 ) 15,608 (17,783 ) Net realized gains on equity investments trading 8,832 5,134 16,313 5,055 Net unrealized gains (losses) on equity investments trading 5,624 (10,619 ) 1,467 (20,499 ) Net realized and unrealized (losses) gains on investments $ (26,712 ) $ 27,128 $ 15,037 $ 42,055 The following tables provide an analysis of the components of other comprehensive income and reclassifications out of accumulated other comprehensive income. Three months ended June 30, 2015 Investments in other ventures Fixed maturity investments available for sale Total Beginning balance $ 412 $ 2,930 $ 3,342 Other comprehensive income (loss) before reclassifications 211 (273 ) (62 ) Amounts reclassified from accumulated other comprehensive income by statement of operations line item: Realized gains reclassified from accumulated other comprehensive income to net realized and unrealized gains on investments — (287 ) (287 ) Net current-period other comprehensive income (loss) 211 (560 ) (349 ) Ending balance $ 623 $ 2,370 $ 2,993 Six months ended June 30, 2015 Investments in other ventures Fixed maturity investments available for sale Total Beginning balance $ 303 $ 3,113 $ 3,416 Other comprehensive income (loss) before reclassifications 320 (405 ) (85 ) Amounts reclassified from accumulated other comprehensive income by statement of operations line item: Realized gains reclassified from accumulated other comprehensive income to net realized and unrealized gains on investments — (338 ) (338 ) Net current-period other comprehensive income (loss) 320 (743 ) (423 ) Ending balance $ 623 $ 2,370 $ 2,993 Three months ended June 30, 2014 Investments in other ventures Fixed maturity investments available for sale Total Beginning balance $ 160 $ 3,803 $ 3,963 Other comprehensive income (loss) before reclassifications 51 (96 ) (45 ) Ending balance $ 211 $ 3,707 $ 3,918 Six months ended June 30, 2014 Investments in other ventures Fixed maturity investments available for sale Total Beginning balance $ 163 $ 3,968 $ 4,131 Other comprehensive gain (loss) before reclassifications 48 (261 ) (213 ) Ending balance $ 211 $ 3,707 $ 3,918 The following tables provide an analysis of the length of time the Company’s fixed maturity investments available for sale in an unrealized loss have been in a continual unrealized loss position. Less than 12 Months 12 Months or Greater Total At June 30, 2015 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Agency mortgage-backed $ 569 $ (9 ) $ — $ — $ 569 $ (9 ) Non-agency mortgage-backed — — 65 (3 ) 65 (3 ) Total $ 569 $ (9 ) $ 65 $ (3 ) $ 634 $ (12 ) Less than 12 Months 12 Months or Greater Total December 31, 2014 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Non-agency mortgage-backed $ — $ — $ 69 $ (3 ) $ 69 $ (3 ) Total $ — $ — $ 69 $ (3 ) $ 69 $ (3 ) At June 30, 2015 , the Company held three fixed maturity investments available for sale securities that were in an unrealized loss position ( December 31, 2014 - two ), including two fixed maturity investments available for sale securities that were in an unrealized loss position for twelve months or greater ( December 31, 2014 - two ). The Company does not intend to sell these securities and it is not more likely than not that the Company will be required to sell these securities before the anticipated recovery of the remaining amortized cost basis. The Company performed reviews of its fixed maturity investments available for sale for the six months ended June 30, 2015 and 2014 , respectively, in order to determine whether declines in the fair value below the amortized cost basis were considered other-than-temporary in accordance with the applicable guidance, as discussed below. Other-Than-Temporary Impairment Process The Company’s process for assessing whether declines in the fair value of its fixed maturity investments available for sale represent impairments that are other-than-temporary includes reviewing each fixed maturity investment available for sale that is impaired and determining: (i) if the Company has the intent to sell the debt security or (ii) if it is more likely than not that the Company will be required to sell the debt security before its anticipated recovery; and (iii) whether a credit loss exists, that is, where the Company expects that the present value of the cash flows expected to be collected from the security is less than the amortized cost basis of the security. For the six months ended June 30, 2015 , the Company recognized $ Nil of other-than-temporary impairments which were recognized in earnings and $ Nil related to other factors which were recognized in other comprehensive income ( 2014 – $Nil and $Nil , respectively). The following table provides a rollforward of the amount of other-than-temporary impairments related to credit losses recognized in earnings for which a portion of an other-than-temporary impairment was recognized in accumulated other comprehensive income: Three months ended Six months ended June 30, June 30, June 30, June 30, Beginning balance $ 485 $ 545 $ 498 $ 561 Reductions: Securities sold during the period (19 ) (16 ) (32 ) (32 ) Ending balance $ 466 $ 529 $ 466 $ 529 |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2015 | |
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, with the exception of changes in unrealized gains and losses on its fixed maturity investments available for sale, which are recognized as a component of accumulated other comprehensive income in shareholders’ equity. 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 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 June 30, 2015 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 $ 2,020,746 $ 2,020,746 $ — $ — Agencies 144,947 — 144,947 — Municipal 806,724 — 806,724 — Non-U.S. government (Sovereign debt) 370,613 — 370,613 — Non-U.S. government-backed corporate 172,381 — 172,381 — Corporate 1,865,369 — 1,857,709 7,660 Agency mortgage-backed 475,870 — 475,870 — Non-agency mortgage-backed 263,329 — 263,329 — Commercial mortgage-backed 426,895 — 426,895 — Asset-backed 66,314 — 66,314 — Total fixed maturity investments 6,613,188 2,020,746 4,584,782 7,660 Short term investments 1,543,191 — 1,543,191 — Equity investments trading 493,056 493,056 — — Other investments Private equity partnerships 250,796 — — 250,796 Catastrophe bonds 228,998 — 228,998 — Senior secured bank loan fund 22,561 — — 22,561 Hedge funds 2,338 — — 2,338 Total other investments 504,693 — 228,998 275,695 Other assets and (liabilities) Assumed and ceded (re)insurance contracts 75,701 — — 75,701 Derivatives (1) (4,082 ) (23 ) (4,045 ) (14 ) Other (4,583 ) — (4,583 ) — Total other assets and (liabilities) 67,036 (23 ) (8,628 ) 75,687 $ 9,221,164 $ 2,513,779 $ 6,348,343 $ 359,042 (1) 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, 2014 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 $ 1,671,471 $ 1,671,471 $ — $ — Agencies 96,208 — 96,208 — Non-U.S. government (Sovereign debt) 280,651 — 280,651 — Non-U.S. government-backed corporate 146,467 — 146,467 — Corporate 1,610,442 — 1,594,782 15,660 Agency mortgage-backed 316,620 — 316,620 — Non-agency mortgage-backed 253,050 — 253,050 — Commercial mortgage-backed 381,051 — 381,051 — Asset-backed 27,610 — 27,610 — Total fixed maturity investments 4,783,570 1,671,471 3,096,439 15,660 Short term investments 1,013,222 — 1,013,222 — Equity investments trading 322,098 322,098 — — Other investments Private equity partnerships 281,932 — — 281,932 Catastrophe bonds 200,329 — 200,329 — Senior secured bank loan funds 19,316 — — 19,316 Hedge funds 2,570 — — 2,570 Total other investments 504,147 — 200,329 303,818 Other assets and (liabilities) Assumed and ceded (re)insurance contracts (8,744 ) — — (8,744 ) Derivatives (1) 6,345 (569 ) 7,104 (190 ) Other (11,509 ) — (11,509 ) — Total other assets and (liabilities) (13,908 ) (569 ) (4,405 ) (8,934 ) $ 6,609,129 $ 1,993,000 $ 4,305,585 $ 310,544 (1) 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 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 June 30, 2015 , the Company’s U.S. treasuries fixed maturity investments were primarily priced by pricing services and had a weighted average effective yield of 1.0% and a weighted average credit quality of AA ( December 31, 2014 - 1.0% 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 June 30, 2015 , the Company’s agency fixed maturity investments had a weighted average effective yield of 1.7% and a weighted average credit quality of AA ( December 31, 2014 - 1.2% 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. Municipal Level 2 - In connection with the acquisition of Platinum, the Company acquired a portfolio of municipal fixed maturity investments. At June 30, 2015 , the Company’s municipal fixed maturity investments had a weighted average effective yield of 2.4% and a weighted average credit quality of AA. The Company’s municipal fixed maturity investments are primarily priced by pricing services. When evaluating these securities, the pricing services gather information regarding the security from third party sources such as trustees, paying agents or issuers. 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 over widely accepted market benchmarks. Non-U.S. government (Sovereign debt) Level 2 - Non-U.S. government fixed maturity investments held by the Company at June 30, 2015 had a weighted average effective yield of 1.2% and a weighted average credit quality of AA ( December 31, 2014 - 1.1% 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 - Non-U.S. government-backed corporate fixed maturity investments had a weighted average effective yield of 1.1% and a weighted average credit quality of AA at June 30, 2015 ( December 31, 2014 - 1.1% and AAA, respectively). Non-U.S. government-backed 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 June 30, 2015 , the Company’s corporate fixed maturity investments principally consist of U.S. and international corporations and had a weighted average effective yield of 3.2% and a weighted average credit quality of BBB ( December 31, 2014 - 3.2% 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 June 30, 2015 , the Company’s agency mortgage-backed fixed maturity investments included agency residential mortgage-backed securities with a weighted average effective yield of 2.2% , a weighted average credit quality of AA and a weighted average life of 6.0 years ( December 31, 2014 - 2.3% , AA and 5.6 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 residential mortgage-backed and non-agency Alt-A fixed maturity investments. The Company has no fixed maturity investments classified as sub-prime held in its fixed maturity investments portfolio. At June 30, 2015 , the Company’s non-agency prime residential mortgage-backed fixed maturity investments had a weighted average effective yield of 3.4% , a weighted average credit quality of non-investment grade, and a weighted average life of 4.1 years ( December 31, 2014 - 3.4% , non-investment grade and 4.1 years, respectively). The Company’s non-agency Alt-A fixed maturity investments held at June 30, 2015 had a weighted average effective yield of 4.1% , a weighted average credit quality of BBB and a weighted average life of 5.1 years ( December 31, 2014 - 4.3% , BBB and 5.0 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 - The Company’s commercial mortgage-backed fixed maturity investments held at June 30, 2015 had a weighted average effective yield of 2.4% , a weighted average credit quality of AA, and a weighted average life of 3.0 years ( December 31, 2014 - 2.1% , AAA and 3.5 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 June 30, 2015 , the Company’s asset-backed fixed maturity investments had a weighted average effective yield of 1.4% , a weighted average credit quality of AAA and a weighted average life of 2.4 years ( December 31, 2014 - 1.5% , AAA and 2.5 years, respectively). The underlying collateral for the Company’s asset-backed fixed maturity investments primarily consists of 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 - 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 foreign currency forward contracts which are considered Level 1, 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, including credit spreads, credit ratings of the underlying referenced security, the risk free rate and the contract term. Other Level 2 - The liabilities measured at fair value and included in Level 2 at June 30, 2015 of $4.6 million were principally comprised of cash settled restricted stock units (“CSRSU”) that form part of the Company’s compensation program. The fair value of the Company’s CSRSUs is determined using observable exchange traded prices for the Company’s common shares. Level 3 Assets and Liabilities Measured at Fair Value Below is a summary of quantitative information regarding the significant observable and unobservable inputs (Level 3) used in determining the fair value of assets and liabilities measured at fair value on a recurring basis: At June 30, 2015 Fair Value (Level 3) Valuation Technique Unobservable (U) and Observable (O) Inputs Low High Weighted Average or Actual Fixed maturity investments Corporate $ 7,660 Discounted cash flow (“DCF”) Credit spread (U) n/a n/a 3.6 % Liquidity discount (U) n/a n/a 1.0 % Risk-free rate (O) n/a n/a 0.3 % Dividend rate (O) n/a n/a 6.5 % Total fixed maturity investments 7,660 Other investments Private equity partnerships 250,796 Net asset valuation Estimated performance (U) (30.2 )% 14.0 % 3.1 % Senior secured bank loan fund 22,561 Net asset valuation Estimated performance (U) n/a n/a 1.2 % Hedge funds 2,338 Net asset valuation Estimated performance (U) 0.0 % 0.0 % 0.0 % Total other investments 275,695 Other assets and (liabilities) Assumed and ceded (re)insurance contracts 82,905 Internal valuation model Estimated performance (U) n/a n/a 3.0 % Assumed and ceded (re)insurance contracts (1,308 ) Internal valuation model Bond price (U) $ 96.23 $ 99.78 $ 97.48 Liquidity premium (U) n/a n/a 1.3 % Assumed and ceded (re)insurance contracts (5,896 ) Internal valuation model Net undiscounted cash flows (U) n/a n/a $ (9,233 ) Expected loss ratio (U) n/a n/a 28.0 % Net acquisition expense ratio (O) n/a n/a 14.0 % Contract period (O) 194 1,100 824 Discount rate (U) n/a n/a 1.0 % Total assumed and ceded (re)insurance contracts 75,701 Weather contract (14 ) Internal valuation model See below n/a n/a See below Total other assets and (liabilities) 75,687 $ 359,042 Fixed Maturity Investments Corporate Level 3 - Included in the Company’s corporate fixed maturity investments is an investment in the preferred equity of an insurance holding company with a fair value of $7.7 million at June 30, 2015 . The Company measures the fair value of this investment using a DCF model and seeks to incorporate all relevant information reasonably available. The Company considers the contractual agreement which stipulates the methodology for calculating a dividend rate to be paid upon liquidation, conversion or redemption. At June 30, 2015 , the dividend rate was 6.5% . In addition, the Company has estimated a liquidity discount of 1.0% , a risk-free rate of 0.3% and a credit spread of 3.6% . To ensure the estimate for fair value determined using the DCF model is reasonable, the Company reviews private market comparables of similar investments, if available, and in particular, credit ratings of other private market comparables for similar investments to determine the appropriateness of its estimate of fair value using a DCF model. The fair value of the Company’s investment in this corporate fixed maturity investment determined by a DCF model is positively correlated to the dividend rate, and inversely correlated to the credit spread, liquidity discount and the risk-free rate. Other investments Private equity partnerships Level 3 - Included in the Company’s $250.8 million of investments in private equity partnerships at June 30, 2015 were 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 fair value of private equity partnership investments is based on current estimated net asset values established in accordance with the governing documents of such investments and is obtained from the investment manager or general partner of the respective entity. The type of underlying investments held by the investee which form the basis of the net asset valuation include assets such as private business ventures, for which the Company does not have access to financial information. As a result, the Company is unable to corroborate the fair value measurement of the underlying investments of the private equity partnership and therefore requires significant management judgment to determine the fair value of the private equity partnership. 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 prior 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 relevant information reasonably 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. The range of such current estimated periodic returns for the three months ended June 30, 2015 was negative 30.2% to positive 14.0% with a weighted average of positive 3.1% . The fair value of the Company’s investment in private equity partnerships is positively correlated to the estimated periodic rate of return. The Company also considers factors such as recent financial information, the value of capital transactions with the partnership and management’s judgment regarding whether any adjustments should be made to the net asset value. For each respective private equity partnership, the Company obtains and reviews the valuation methodology used by the investment manager or general partner and the latest audited annual financial statements to attempt to ensure that the investment partnership is following fair value principles consistent with GAAP in determining the net asset value of each limited partner’s interest. Senior secured bank loan fund Level 3 - At June 30, 2015 the Company had $22.6 million invested in a closed end fund which invests primarily in loans. The Company has no right to redeem its investment in this fund. The Company’s investment in this fund is valued using the estimated monthly net asset valuation received from the investment manager. The lock up provisions in this fund result in a lack of current observable market transactions between the fund participants and the fund, and therefore the Company considers the fair value of its investment in this fund to be determined using Level 3 inputs. The Company obtains and reviews the latest audited annual financial statements to attempt to ensure that the fund is following fair value principles consistent with GAAP in determining the net asset value. The fair value of the Company’s investment in the senior secured bank loan fund is positively correlated to the estimated monthly net asset valuations received from the investment manager. Hedge funds Level 3 - At June 30, 2015 the Company had $2.3 million of hedge fund investments that are invested in so called “side pockets” or illiquid investments. In these instances, the Company generally does not have the right to redeem its interest, and as such, the Company classifies this portion of its investment as Level 3. The fair value of these illiquid investments is determined by adjusting the previous periods’ reported net asset value (generally one month in arrears) for an estimated periodic rate of return obtained from the respective investment manager. For each hedge fund investment, the Company obtains and reviews the valuation methodology used by the investment manager and the latest audited annual financial statements to attempt to ensure that the hedge fund investment is following fair value principles consistent with GAAP in determining the net asset value. Other assets and liabilities Assumed and ceded (re)insurance contracts Level 3 - At June 30, 2015 the Company had an $82.9 million asset related to a reinsurance deposit asset accounted for at fair value with the fair value obtained through the use of an internal 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 estimated periodic return of the reinsurance deposit asset, which is currently estimated to be 3.0% . The fair value of this reinsurance deposit asset is positively correlated to the estimated periodic rate of return. Level 3 - At June 30, 2015 the Company had a $1.3 million 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 June 30, 2015 the Company had a $5.9 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 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. Weather Contract Level 3 - At June 30, 2015 the Company had a $14 thousand liability related to a weather contract entered into with an insurance company, with the fair value determined through the use of an internal valuation model. Inputs to the internal valuation model are based on proprietary data as observable market inputs are not available. The most significant unobservable input is the potential payment that would become due to a counterparty following the occurrence of a triggering event as reported by an external agency. Generally, an increase (decrease) in the potential payment would result in an increase (decrease) to the f |
Reinsurance
Reinsurance | 6 Months Ended |
Jun. 30, 2015 | |
Supplemental Schedule of Reinsurance Premiums for Insurance Companies [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 recoveries of additional premiums, for reinstatement premiums and for lost no-claims bonuses, which are incurred when losses are ceded to other reinsurance contracts. The Company remains liable to the extent that any reinsurance company 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 Six months ended June 30, 2015 June 30, 2014 June 30, 2015 June 30, 2014 Premiums written Direct $ 34,340 $ 19,707 $ 65,153 $ 33,562 Assumed 627,657 491,833 1,240,422 1,183,238 Ceded (153,320 ) (165,133 ) (392,863 ) (420,046 ) Net premiums written $ 508,677 $ 346,407 $ 912,712 $ 796,754 Premiums earned Direct $ 21,606 $ 14,949 $ 44,507 $ 29,178 Assumed 468,372 350,389 850,975 735,987 Ceded (110,150 ) (104,922 ) (218,894 ) (218,215 ) Net premiums earned $ 379,828 $ 260,416 $ 676,588 $ 546,950 Claims and claim expenses Gross claims and claim expenses incurred $ 222,819 $ 97,064 $ 311,814 $ 165,214 Claims and claim expenses recovered (53,475 ) (15,676 ) (65,617 ) (24,911 ) Net claims and claim expenses incurred $ 169,344 $ 81,388 $ 246,197 $ 140,303 |
Debt and Credit Facilities
Debt and Credit Facilities | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Debt and Credit Facilities | DEBT AND CREDIT FACILITIES Debt Obligations A summary of the Company’s debt obligations on its consolidated balance sheets is set forth below: June 30, 2015 December 31, 2014 Fair Value Carrying Value Fair Value Carrying Value 3.700% Senior Notes due 2025 $ 290,025 $ 299,415 $ — $ — 5.75% Senior Notes due 2020 275,000 249,578 279,000 249,522 Series B 7.50% Senior Notes due 2017 274,063 274,618 — — 4.750% Senior Notes due 2025 (DaVinciRe) 145,688 148,751 — — $ 984,776 $ 972,362 $ 279,000 $ 249,522 3.700% Senior Notes due 2025 of RenaissanceRe Finance On March 24, 2015 , RenaissanceRe Finance issued $300.0 million of its 3.700% Senior Notes due April 1, 2025 , with interest on the notes payable on April 1 and October 1 of each year. The notes are guaranteed by RenaissanceRe and may be redeemed by RenaissanceRe Finance prior to maturity, subject to the payment of a “make-whole” premium if the notes are redeemed prior to January 1, 2025. The notes contain various covenants, including limitations on mergers and consolidations, and restrictions as to the disposition of, and the placing of liens on, stock of designated subsidiaries. The net proceeds from the offering of the notes (together with cash on hand) were applied by RenaissanceRe to repay in full a $300.0 million bridge loan that Barclays Bank PLC provided to RenaissanceRe on February 25, 2015 in order to finance a portion of the cash consideration paid by RenaissanceRe in connection with the acquisition of Platinum. Refer to “Note 3 . Acquisition of Platinum” for additional information related to the cash consideration paid by RenaissanceRe in connection with the acquisition of Platinum. 5.75% Senior Notes due 2020 of RenRe North America Holdings Inc. (“RRNAH”) On March 17, 2010, RRNAH issued $250.0 million of its 5.75% Senior Notes due March 15, 2020 , with interest on the notes payable on March 15 and September 15 of each year. RenaissanceRe Finance became a co-obligor of the notes as of July 3, 2015. The notes, which are senior obligations, are guaranteed by RenaissanceRe and may be redeemed by RRNAH prior to maturity, subject to the payment of a “make-whole” premium. The notes contain various covenants, including limitations on mergers and consolidations, and restrictions as to the disposition of, and the placing of liens on, stock of designated subsidiaries. Series B 7.50% Notes due 2017 of Platinum Underwriters Finance, Inc. On November 2, 2005, Platinum Underwriters Finance, Inc. (“Platinum Finance”) issued $250.0 million in aggregate principal amount of its Series B 7.50% Notes due June 1, 2017 (the “Platinum Finance Notes”). Interest on the Platinum Finance Notes is payable on June 1 and December 1 of each year. The Platinum Finance Notes, which are senior obligations, are guaranteed by RenaissanceRe, and may be redeemed by Platinum Finance prior to maturity, subject to the payment of a “make-whole” premium. The Platinum Finance Notes contain various covenants, including limitations on mergers and consolidations, and restrictions as to the disposition of, and the placing of liens on, the stock of designated subsidiaries. DaVinciRe Senior Notes On May 4, 2015 , DaVinciRe issued $150.0 million of its 4.750% Senior Notes due May 1, 2025 , with interest on the notes payable on May 1 and November 1, commencing with November 1, 2015 (the “DaVinciRe Senior Notes”). The DaVinciRe Senior Notes, which are senior obligations, may be redeemed prior to maturity, subject to the payment of a “make-whole” premium if the notes are redeemed before February 1, 2025. The DaVinciRe Senior Notes contain various covenants including restrictions as to the disposition of, and the placing of liens on, the stock of designated subsidiaries, limitations on mergers, amalgamations and consolidations, limitations on third party investor redemptions, a leverage covenant and a covenant to maintain certain ratings. The net proceeds from this offering were used to repay, in full, $100.0 million outstanding under the loan agreement, dated as of March 30, 2011, between DaVinciRe and RenaissanceRe, and the remainder of the net proceeds may be used to repurchase DaVinciRe shares or for general corporate purposes. Credit Facilities A summary of the Company’s credit facilities is set forth below: At June 30, 2015 Issued or Drawn RenaissanceRe Revolving Credit Facility $ — Uncommitted Standby Letter of Credit Facility with Wells Fargo 160,342 Uncommitted Standby Letter of Credit Facility with NAB — Bilateral Letter of Credit Facility with Citibank Europe 143,778 Funds at Lloyd’s Letter of Credit Facilities with Citibank Europe Renaissance Reinsurance 300,000 RenaissanceRe Specialty Risks 9,129 Total credit facilities in U.S. dollars $ 613,249 Funds at Lloyd’s Letter of Credit Facilities Renaissance Reinsurance Master Reimbursement Agreement £ 70,000 Total credit facilities in pound sterling £ 70,000 RenaissanceRe Revolving Credit Facility On May 15, 2015, RenaissanceRe entered into an amended and restated credit agreement with various banks and financial institutions (the “Revolving Credit Agreement”), which amended and restated the credit agreement, dated as of May 17, 2012, as amended. The Revolving Credit Agreement provides for a revolving commitment to RenaissanceRe of $250.0 million . RenaissanceRe has the right, subject to satisfying certain conditions, to increase the size of the facility to $350.0 million . Amounts borrowed under the Revolving Credit Agreement bear interest at a rate selected by RenaissanceRe equal to the Base Rate or LIBOR (each as defined in the Revolving Credit Agreement) plus a margin, as more fully set forth in the Revolving Credit Agreement. At June 30, 2015 , RenaissanceRe had $Nil outstanding under the Revolving Credit Agreement. The Revolving Credit Agreement contains representations, warranties and covenants customary for bank loan facilities of this type, including limits on the ability of RenaissanceRe and its subsidiaries to merge, consolidate, sell a substantial amount of assets, incur liens and declare or pay dividends under certain circumstances. The Revolving Credit Agreement also contains certain financial covenants which generally provide that the ratio of consolidated debt to capital shall not exceed 0.35 : 1 and that the consolidated net worth of RenaissanceRe shall equal or exceed approximately $2.9 billion . The net worth requirement is recalculated effective as of the end of each fiscal year. In case of certain events of default, in certain circumstances the lenders’ obligations to make loans may be terminated and the outstanding obligations of RenaissanceRe under the Revolving Credit Agreement may be accelerated. The scheduled commitment maturity date of the Revolving Credit Agreement is May 15, 2020. RRNAH, RenaissanceRe Finance, and Platinum Finance guarantee RenaissanceRe’s obligations under the Revolving Credit Agreement. Subject to certain exceptions, additional subsidiaries of RenaissanceRe are required to become guarantors if such subsidiaries issue or incur certain types of indebtedness. Uncommitted Standby Letter of Credit Facility with Wells Fargo Bank, National Association Renaissance Reinsurance, RenaissanceRe Specialty Risks, DaVinci, Platinum Bermuda and Renaissance Reinsurance U.S. (collectively, the “Applicants”) and RenaissanceRe are parties to a Standby Letter of Credit Agreement, as amended (the “Standby Letter of Credit Agreement”) with Wells Fargo Bank National Association (“Wells Fargo”) which provides for a secured, uncommitted facility under which letters of credit may be issued from time to time for the respective accounts of the Applicants. RenaissanceRe has unconditionally guaranteed the payment obligations of the Applicants, other than DaVinci. The Standby Letter of Credit Agreement contains representations, warranties and covenants that are customary for facilities of this type. At all times during which it is a party to the Standby Letter of Credit Agreement, each Applicant is required to pledge to Wells Fargo eligible collateral having a value (determined as provided in such agreement) that equals or exceeds the aggregate face amount of the outstanding letters of credit issued for its account plus all of such Applicant’s payment and reimbursement obligations in respect of such letters of credit. In the case of an event of default, Wells Fargo may exercise certain remedies, including conversion of collateral of a defaulting Applicant into cash. On May 15, 2015, all amounts outstanding under the Third Amended and Restated Credit Agreement, dated as of April 9, 2014, among Platinum, the subsidiaries of Platinum party thereto, the lenders party thereto, and Wells Fargo, as administrative agent were repaid and satisfied in full, the facility was terminated and all letters of credit that were issued and outstanding under the facility were transferred over to, and are now governed by the terms and conditions of, the Standby Letter of Credit Agreement. At June 30, 2015 , the Applicants had $160.3 million of letters of credit outstanding under the Standby Letter of Credit Agreement. National Australia Bank Limited Standby Letter of Credit Agreement Effective as of May 19, 2015, Renaissance Reinsurance, RenaissanceRe Specialty Risks, DaVinci and Platinum Bermuda (collectively, the “NAB Facility Applicants”) and RenaissanceRe entered into a Standby Letter of Credit Agreement (the “NAB Standby Letter of Credit Agreement”) with National Australia Bank Limited (“NAB”). The NAB Standby Letter of Credit Agreement provides for a secured, uncommitted facility under which letters of credit may be issued from time to time for the respective accounts of the NAB Facility Applicants in multiple currencies. RenaissanceRe has unconditionally guaranteed the payment obligations of the NAB Facility Applicants, other than DaVinci. The NAB Standby Letter of Credit Agreement contains representations, warranties and covenants that are customary for facilities of this type. At all times during which it is a party to the NAB Standby Letter of Credit Agreement, each NAB Facility Applicant is required to pledge to NAB eligible collateral having a value (determined as provided in such agreement) that equals or exceeds the aggregate stated amount of the letters of credit issued thereunder for its account, plus all of its reimbursement and payment obligations under the NAB Standby Letter of Credit Agreement. In the case of an event of default under the NAB Standby Letter of Credit Agreement, NAB may exercise certain remedies, including conversion of collateral of a defaulting NAB Facility Applicant into cash. Concurrently with the effectiveness of the NAB Standby Letter of Credit Agreement, all amounts outstanding under the Facility Agreement, dated as of July 31, 2012, among Platinum Bermuda, Platinum, the lenders party thereto and NAB, as agent for the finance parties were repaid and satisfied in full, the facility was terminated and all letters of credit that were issued and outstanding under the facility were transferred over to, and are now governed by the terms and conditions of, the NAB Standby Letter of Credit Agreement. At June 30, 2015 , the NAB Facility Applicants had $Nil outstanding under the NAB Standby Letter of Credit Agreement. Bilateral Letter of Credit Facility with Citibank Europe Pursuant to the facility letter, dated September 17, 2010, as amended, among Citibank Europe plc (“CEP”) and certain subsidiaries and affiliates of RenaissanceRe (the “Facility Letter”), CEP has established a letter of credit facility (the “Bilateral Facility”) under which CEP provides a commitment to issue letters of credit for the account of one or more of the Bilateral Facility Participants (as defined below) and their respective subsidiaries in multiple currencies. The “Bilateral Facility Participants” include Renaissance Reinsurance, DaVinci, RenaissanceRe Specialty Risks, Renaissance Reinsurance of Europe, RenaissanceRe Specialty U.S., Platinum Bermuda and Renaissance Reinsurance U.S. The aggregate commitment amount is $300.0 million , subject to (i) a sublimit of $50.0 million for letters of credit issued for the account of RenaissanceRe Specialty U.S. and (ii) a combined sublimit of $25.0 million for letters of credit issued for the accounts of Platinum Bermuda and Renaissance Reinsurance U.S. Effective March 31, 2015, the principal agreements evidencing the bilateral letter of credit facility that had previously been in place among CEP, Platinum Bermuda and Renaissance Reinsurance U.S. (the “Platinum/CEP Bilateral Facility”) were terminated. In addition, effective March 31, 2015, certain letters of credit issued on behalf of Platinum Bermuda and Renaissance Reinsurance U.S. under the Platinum/CEP Bilateral Facility are deemed to be letters of credit issued under, and governed by the terms of, the Bilateral Facility. The Bilateral Facility is scheduled to expire on December 31, 2015. At all times during which it is a party to the Bilateral Facility, each Bilateral Facility Participant is obligated to pledge to CEP securities with a value (determined as provided in such facility) that equals or exceeds the aggregate face amount of its then-outstanding letters of credit. In the case of an event of default under the Bilateral Facility with respect to a Bilateral Facility Participant, CEP may exercise certain remedies, including terminating its commitment to such Bilateral Facility Participant and taking certain actions with respect to the collateral pledged by such Bilateral Facility Participant (including the sale thereof). In the Facility Letter, each Bilateral Facility Participant makes representations and warranties that are customary for facilities of this type and agrees that it will comply with certain informational and other undertakings, including those regarding the delivery of quarterly and annual financial statements. At June 30, 2015 , $143.8 million aggregate face amount of letters of credit was outstanding and, subject to the sublimits described above, $156.2 million remained unused and available to the Bilateral Facility Participants under the Bilateral Facility. Funds at Lloyd’s Letter of Credit Facilities Effective November 24, 2014, Renaissance Reinsurance and CEP entered into a Second Amended and Restated Pledge Agreement (the “Renaissance Reinsurance Pledge Agreement”) in respect of its letter of credit facility with CEP which is evidenced by the Master Agreement, dated as of April 29, 2009 (the “Renaissance Reinsurance Master Agreement”), and which provides for the issuance and renewal of letters of credit that are used to support business written by Syndicate 1458. During the term of the Renaissance Reinsurance Master Agreement, Renaissance Reinsurance has agreed to pledge to CEP certain qualifying securities with a value (determined as provided in the Renaissance Reinsurance Pledge Agreement) that equals or exceeds the aggregate face amount of the then-outstanding letters of credit issued under the Renaissance Reinsurance Master Agreement. At June 30, 2015 , letters of credit issued by CEP under the Renaissance Reinsurance Master Reimbursement Agreement were outstanding in the face amount of $300.0 million and £70.0 million , respectively. Effective November 24, 2014, RenaissanceRe Specialty Risks and CEP entered into the Master Agreement (the “Specialty Risks Master Agreement” and, together with the Renaissance Reinsurance Master Agreement, the “Master Agreements”), which provides for the issuance and renewal by CEP for the account of RenaissanceRe Specialty Risks of letters of credit that are used to support business written by Syndicate 1458, and a related Pledge Agreement (the “Specialty Risks Pledge Agreement” and, together with the Renaissance Reinsurance Pledge Agreement, the “Pledge Agreements”). During the term of the Specialty Risks Master Agreement, RenaissanceRe Specialty Risks has agreed to pledge to CEP certain qualifying securities with a value (determined as provided in the Specialty Risks Pledge Agreement) equal to the aggregate face amount of the then-outstanding letters of credit issued under the Specialty Risks Master Agreement. At June 30, 2015 , letters of credit issued by CEP under the Specialty Risks Master Agreement were outstanding in the face amount of $9.1 million . Each of the Master Agreements and the Pledge Agreements contains representations, warranties and covenants that are customary for facilities of this type. Top Layer Re Renaissance Reinsurance is party to a collateralized letter of credit and reimbursement agreement in the amount of $37.5 million that supports the Company’s Top Layer Re joint venture. Renaissance Reinsurance is obligated to make a mandatory capital contribution of up to $50.0 million in the event that a loss reduces Top Layer Re’s capital below a specified level. |
Noncontrolling Interests
Noncontrolling Interests | 6 Months Ended |
Jun. 30, 2015 | |
Business Combination, Acquisition of Less than 100 Percent, Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | NONCONTROLLING INTERESTS A summary of the Company’s noncontrolling interests on its consolidated balance sheets is set forth below: June 30, December 31, 2014 Redeemable noncontrolling interest - DaVinciRe $ 879,266 $ 1,037,306 Redeemable noncontrolling interest - Medici 109,546 94,402 Redeemable noncontrolling interest $ 988,812 $ 1,131,708 A summary of the Company’s noncontrolling interests on its consolidated statements of operations set forth below: Three months ended Six months ended June 30, June 30, June 30, June 30, Redeemable noncontrolling interest - DaVinciRe $ 12,345 $ 35,706 $ 50,671 $ 76,886 Redeemable noncontrolling interest - Medici (178 ) 372 1,158 1,960 Net income attributable to noncontrolling interests $ 12,167 $ 36,078 $ 51,829 $ 78,846 Redeemable Noncontrolling Interest – DaVinciRe In October 2001, the Company formed DaVinciRe and DaVinci with other equity investors. 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 noncontrolling interests. The Company’s noncontrolling economic ownership in DaVinciRe was 26.3% at June 30, 2015 ( December 31, 2014 - 23.4% ). DaVinciRe shareholders are party to a shareholders agreement (the “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. Payment will be made by April 1, following delivery of the audited financial statements for the year in which the repurchase was effective. The repurchase price is subject to a true-up for development on outstanding loss reserves after settlement of all claims relating to the applicable years. 2014 During January 2014, DaVinciRe redeemed a portion of its outstanding shares from all existing DaVinciRe shareholders, including RenaissanceRe, while a new DaVinciRe shareholder purchased shares in DaVinciRe. The net redemption as a result of this transaction was $300.0 million . In connection with the redemption, DaVinciRe retained a $30.0 million holdback. The Company’s noncontrolling economic ownership in DaVinciRe subsequent to this transaction was 26.5% , effective January 1, 2014. Effective July 1, 2014 , RenaissanceRe sold a portion of its shares of DaVinciRe to an existing third party shareholder for $38.9 million . The Company's ownership in DaVinciRe was 26.5% at June 30, 2014 and subsequent to the above transaction, its ownership interest in DaVinciRe decreased to 23.4% effective July 1, 2014 . 2015 During January 2015, DaVinciRe redeemed a portion of its outstanding shares from certain existing DaVinciRe shareholders, including the Company. The net redemption as a result of these transactions was $225.0 million . In connection with the redemption, DaVinciRe retained a $22.5 million holdback. The Company’s noncontrolling economic ownership in DaVinciRe subsequent to these transactions was 26.3% , effective January 1, 2015. 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 Six months ended June 30, June 30, June 30, June 30, Beginning balance $ 867,734 $ 895,391 $ 1,037,306 $ 1,063,368 Redemption of shares from redeemable noncontrolling interest (813 ) (866 ) (208,711 ) (219,745 ) Sale of shares to redeemable noncontrolling interests — — — 9,722 Net income attributable to redeemable noncontrolling interest 12,345 35,706 50,671 76,886 Ending balance $ 879,266 $ 930,231 $ 879,266 $ 930,231 Redeemable Noncontrolling Interest - RenaissanceRe Medici Fund Ltd. (“Medici”) 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 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. As the participating, non-voting common shares of Medici have redemption features which are outside the control of the issuer, the portion related to the redeemable noncontrolling interest in Medici is recorded in the mezzanine section of the consolidated balance sheets of the Company. 2014 During 2014, third-party investors subscribed for and redeemed an aggregate of $57.3 million and $3.1 million , respectively, of the participating, non-voting common shares of Medici. As a result of these net subscriptions, the Company’s economic ownership in Medici was 53.2% , effective December 31, 2014. 2015 During the six months ended June 30, 2015 , third-party investors subscribed for and redeemed an aggregate of $31.1 million and $17.1 million , respectively, of the participating, non-voting common shares of Medici. As a result of these net subscriptions, the Company’s economic ownership in Medici was 46.5% , effective June 30, 2015 . The Company expects its ownership in Medici to fluctuate over time. The activity in redeemable noncontrolling interest – Medici is detailed in the table below: Three months ended Six months ended June 30, June 30, June 30, June 30, Beginning balance $ 100,697 $ 91,590 $ 94,402 $ 36,492 Redemption of shares from redeemable noncontrolling interest (2,423 ) — (17,107 ) (1,875 ) Sale of shares to redeemable noncontrolling interests 11,450 1,699 31,093 57,084 Net income attributable to redeemable noncontrolling interest (178 ) 372 1,158 1,960 Ending balance $ 109,546 $ 93,661 $ 109,546 $ 93,661 |
Variable Interest Entities
Variable Interest Entities | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities | VARIABLE INTEREST ENTITIES Upsilon Fund Effective November 13, 2014, the Company incorporated Upsilon Fund, an exempted Bermuda limited segregated accounts company. Upsilon Fund was formed 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 considered a VIE as the voting rights of the equity investors are not proportionate with the respective obligation to absorb expected losses or the right to receive expected residual returns. The Company does not have the obligation to absorb the losses, nor the right to receive the benefits, in accordance with the accounting guidance, that could be significant to Upsilon Fund. However, the Company does have the power over the activities that most significantly impact the economic performance of Upsilon Fund. Since the Company does not meet both criteria noted above, the Company is not the primary beneficiary of Upsilon Fund, and accordingly, does not consolidate Upsilon Fund. The Company has not provided any financial or other support to Upsilon Fund that was not contractually required to be provided. Upsilon RFO Effective January 1, 2013, the Company formed and launched Upsilon RFO, a managed joint venture, and a Bermuda domiciled SPI, 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 . Both Upsilon RFO and the insurance participation are managed by RUM in return for an expense override and profit commission. 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: (i) has the power over the activities that most significantly impact the economic performance of Upsilon RFO and (ii) has the obligation to absorb losses and the right to receive benefits, in accordance with the accounting guidance, that could be significant to Upsilon RFO. As a result, the Company consolidates Upsilon RFO and all significant inter-company transactions have been eliminated. The Company has not provided financial or other support to Upsilon RFO that was not contractually required to be provided. 2014 In conjunction with risks incepting during the first quarter of 2014, $172.4 million of Upsilon RFO non-voting preference shares were sold to unaffiliated third-party investors. Additionally, $109.7 million of the non-voting preference shares were acquired by the Company, representing a 38.9% participation in the risks assumed by Upsilon RFO incepting during the first quarter of 2014. In addition, another third party investor supplied $15.0 million of capital through an insurance contract with the Company related to Upsilon RFO’s reinsurance portfolio. Inclusive of the insurance contract, the Company had a 33.6% participation in the original risks assumed by Upsilon RFO in conjunction with risks incepting during the first quarter of 2014. In conjunction with risks incepting during the second quarter of 2014, $43.1 million of Upsilon RFO non-voting preference shares were sold to unaffiliated third-party investors. Additionally, $13.5 million of the non-voting preference shares were acquired by the Company, representing a 23.9% participation in the risks assumed by Upsilon RFO incepting during the second quarter of 2014. In addition, another third party investor supplied $5.0 million of capital through an insurance contract with the Company related to Upsilon RFO’s reinsurance portfolio. Inclusive of the insurance contract, the Company had a 15.0% participation in the original risks assumed by Upsilon RFO in conjunction with risks incepting during the second quarter of 2014. 2015 During the first six months of 2015 , Upsilon RFO returned capital to all of the investors who participated in risks incepting during 2014, including the Company. The total amount of capital agreed to be returned was $419.4 million , including $131.4 million related to the Company, with $418.5 million of this having been repaid to date, including $131.1 million related to the Company. In conjunction with risks incepting during the first six months of 2015 , $155.4 million of Upsilon RFO non-voting preference shares were sold to unaffiliated third-party investors through their investment in Upsilon Fund. Additionally, $42.2 million of the non-voting preference shares were acquired by the Company, representing a 20.5% participation in the risks assumed by Upsilon RFO incepting during the first six months of 2015 . At June 30, 2015 , the Company’s consolidated balance sheet included total assets and total liabilities of Upsilon RFO of $261.9 million and $261.9 million , respectively ( December 31, 2014 - $621.3 million and $621.3 million , respectively, including $135.7 million of capital raised from third party investors and received by Upsilon RFO prior to December 31, 2014 for risks incepted during the first quarter of 2015). Mona Lisa Re Ltd. (“Mona Lisa Re”) On March 14, 2013, Mona Lisa Re was licensed as a Bermuda domiciled SPI to provide reinsurance capacity to subsidiaries of RenaissanceRe, namely Renaissance Reinsurance and DaVinci, through reinsurance agreements which will be collateralized and funded by Mona Lisa Re through the issuance of one or more series of principal-at-risk variable rate notes to third-party investors. Upon issuance of a series of notes by Mona Lisa Re, all of the proceeds from the issuance are expected to be 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. Therefore, the Company evaluated its relationship with Mona Lisa Re and concluded it does not have a variable interest in Mona Lisa Re. As a result, the financial position and results of operations of Mona Lisa Re are not consolidated by the Company. At June 30, 2015 , the total assets and total liabilities of Mona Lisa Re were $179.0 million and $179.0 million , respectively ( December 31, 2014 - $184.0 million and $184.0 million , 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 . Renaissance Reinsurance and DaVinci have together entered into ceded reinsurance contracts with Mona Lisa Re with gross premiums ceded of $0.6 million and $0.5 million , respectively, during the six months ended June 30, 2015 ( 2014 - $2.0 million and $1.9 million , respectively). In addition, Renaissance Reinsurance and DaVinci recognized ceded premiums earned related to the ceded reinsurance contracts with Mona Lisa Re of $3.6 million and $2.5 million , respectively, during the six months ended June 30, 2015 ( 2014 - $5.0 million and $3.6 million , respectively). |
Shareholders' Equity
Shareholders' Equity | 6 Months Ended |
Jun. 30, 2015 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | SHAREHOLDERS’ EQUITY Dividends The Board of Directors of RenaissanceRe declared a dividend of $0.30 per common share to common shareholders of record on March 13, 2015 and June 15, 2015, respectively, and RenaissanceRe paid a dividend of $0.30 per common share to common shareholders on March 31, 2015 and June 30, 2015, respectively. During the six months ended June 30, 2015 , the Company declared and paid $11.2 million in preference share dividends ( 2014 - $11.2 million ) and $27.5 million in common share dividends ( 2014 - $23.6 million ). 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. Unless terminated earlier by resolution of RenaissanceRe’s Board of Directors, the program will expire when the Company has repurchased the full value of the 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 six months ended June 30, 2015 , the Company repurchased an aggregate of 83 thousand shares in open market transactions at an aggregate cost of $8.4 million , and at an average share price of $101.99 . At June 30, 2015 , $491.9 million remained available for repurchase under the Board authorized share repurchase program. See “Note 16 . Subsequent Events” and “Part II, Item 2 - Unregistered Sales of Equity Securities and use of Proceeds” for additional information related to share repurchases. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2015 | |
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 Six months ended (thousands of shares) June 30, June 30, June 30, June 30, Numerator: Net income available to RenaissanceRe common shareholders $ 73,233 $ 120,752 $ 241,076 $ 271,755 Amount allocated to participating common shareholders (1) (819 ) (1,557 ) (2,781 ) (3,577 ) Net income allocated to RenaissanceRe common shareholders $ 72,414 $ 119,195 $ 238,295 $ 268,178 Denominator: Denominator for basic income per RenaissanceRe common share - weighted average common shares 45,303 39,736 42,467 40,487 Per common share equivalents of employee stock options and restricted shares 354 659 372 662 Denominator for diluted income per RenaissanceRe common share - adjusted weighted average common shares and assumed conversions 45,657 40,395 42,839 41,149 Net income available to RenaissanceRe common shareholders per common share – basic $ 1.60 $ 3.00 $ 5.61 $ 6.62 Net income available to RenaissanceRe common shareholders per common share – diluted $ 1.59 $ 2.95 $ 5.56 $ 6.52 (1) Represents earnings attributable to holders of unvested restricted shares issued under the Company’s 2001 Stock Incentive Plan and Non-Employee Director Stock Incentive Plan. |
Segment Reporting
Segment Reporting | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Segment Reporting | SEGMENT REPORTING The Company has the following reportable segments: (1) Catastrophe Reinsurance, which includes catastrophe reinsurance and certain property catastrophe joint ventures managed by the Company’s ventures unit; (2) Specialty Reinsurance, which includes specialty reinsurance and certain specialty joint ventures managed by the Company’s ventures unit; and (3) Lloyd’s, which includes reinsurance and insurance business written through Syndicate 1458. RenaissanceRe CCL, an indirect wholly owned subsidiary of RenaissanceRe, is the sole corporate member of Syndicate 1458. The underwriting results of Platinum are included in the Company’s Catastrophe Reinsurance and Specialty Reinsurance segments from March 2, 2015. The financial results of the Company’s strategic investments, former Insurance segment and current noncontrolling interests are included in the Other category of the Company’s segment results. Also included in the Other category of the Company’s segment results are the Company’s investments in other ventures, investments unit, corporate expenses, capital servicing costs and certain acquisition related expenses. 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 is as follows: Three months ended June 30, 2015 Catastrophe Reinsurance Specialty Reinsurance Lloyd’s Other Total Gross premiums written $ 385,366 $ 160,013 $ 116,618 $ — $ 661,997 Net premiums written $ 270,490 $ 139,867 $ 98,320 $ — $ 508,677 Net premiums earned $ 162,705 $ 155,584 $ 61,539 $ — $ 379,828 Net claims and claim expenses incurred 55,376 86,062 27,683 223 169,344 Acquisition expenses 19,314 28,251 14,210 (109 ) 61,666 Operational expenses 22,090 18,747 13,719 117 54,673 Underwriting income (loss) $ 65,925 $ 22,524 $ 5,927 $ (231 ) 94,145 Net investment income 38,604 38,604 Net foreign exchange losses (1,740 ) (1,740 ) Equity in earnings of other ventures 6,160 6,160 Other income 1,427 1,427 Net realized and unrealized losses on investments (26,712 ) (26,712 ) Corporate expenses (13,032 ) (13,032 ) Interest expense (9,698 ) (9,698 ) Income before taxes and noncontrolling interests 89,154 Income tax expense 1,842 1,842 Net income attributable to noncontrolling interests (12,167 ) (12,167 ) Dividends on preference shares (5,596 ) (5,596 ) Net income available to RenaissanceRe common shareholders $ 73,233 Net claims and claim expenses incurred – current accident year $ 67,334 $ 104,315 $ 30,771 $ — $ 202,420 Net claims and claim expenses incurred – prior accident years (11,958 ) (18,253 ) (3,088 ) 223 (33,076 ) Net claims and claim expenses incurred – total $ 55,376 $ 86,062 $ 27,683 $ 223 $ 169,344 Net claims and claim expense ratio – current accident year 41.4 % 67.0 % 50.0 % — % 53.3 % Net claims and claim expense ratio – prior accident years (7.4 )% (11.7 )% (5.0 )% — % (8.7 )% Net claims and claim expense ratio – calendar year 34.0 % 55.3 % 45.0 % — % 44.6 % Underwriting expense ratio 25.5 % 30.2 % 45.4 % — % 30.6 % Combined ratio 59.5 % 85.5 % 90.4 % — % 75.2 % Six months ended June 30, 2015 Catastrophe Reinsurance Specialty Reinsurance Lloyd’s Other Total Gross premiums written (1) $ 774,613 $ 284,304 $ 246,748 $ (90 ) $ 1,305,575 Net premiums written $ 493,130 $ 243,782 $ 175,889 $ (89 ) $ 912,712 Net premiums earned $ 306,472 $ 250,460 $ 119,745 $ (89 ) $ 676,588 Net claims and claim expenses incurred 62,970 125,650 57,526 51 246,197 Acquisition expenses 26,968 48,940 28,903 256 105,067 Operational expenses 42,453 32,037 25,659 145 100,294 Underwriting income (loss) $ 174,081 $ 43,833 $ 7,657 $ (541 ) 225,030 Net investment income 78,311 78,311 Net foreign exchange losses (4,870 ) (4,870 ) Equity in earnings of other ventures 11,455 11,455 Other income 2,966 2,966 Net realized and unrealized gains on investments 15,037 15,037 Corporate expenses (58,630 ) (58,630 ) Interest expense (14,949 ) (14,949 ) Income before taxes and noncontrolling interests 254,350 Income tax benefit 49,746 49,746 Net income attributable to noncontrolling interests (51,829 ) (51,829 ) Dividends on preference shares (11,191 ) (11,191 ) Net income available to RenaissanceRe common shareholders $ 241,076 Net claims and claim expenses incurred – current accident year $ 91,458 $ 153,579 $ 56,381 $ — $ 301,418 Net claims and claim expenses incurred – prior accident years (28,488 ) (27,929 ) 1,145 51 (55,221 ) Net claims and claim expenses incurred – total $ 62,970 $ 125,650 $ 57,526 $ 51 $ 246,197 Net claims and claim expense ratio – current accident year 29.8 % 61.3 % 47.1 % — % 44.5 % Net claims and claim expense ratio – prior accident years (9.3 )% (11.1 )% 0.9 % (57.3 )% (8.1 )% Net claims and claim expense ratio – calendar year 20.5 % 50.2 % 48.0 % (57.3 )% 36.4 % Underwriting expense ratio 22.7 % 32.3 % 45.6 % (450.6 )% 30.3 % Combined ratio 43.2 % 82.5 % 93.6 % (507.9 )% 66.7 % (1) Included in gross premiums written in the Other category is the elimination of inter-segment gross premiums written of $0.1 million for the six months ended June 30, 2015 . Three months ended June 30, 2014 Catastrophe Reinsurance Specialty Reinsurance Lloyd’s Other Total Gross premiums written $ 388,083 $ 51,554 $ 71,903 $ — $ 511,540 Net premiums written $ 233,698 $ 46,254 $ 66,452 $ 3 $ 346,407 Net premiums earned $ 159,152 $ 53,588 $ 47,672 $ 4 $ 260,416 Net claims and claim expenses incurred 36,730 20,075 25,111 (528 ) 81,388 Acquisition expenses 17,806 11,699 10,122 (6,150 ) 33,477 Operational expenses 22,200 10,514 13,058 69 45,841 Underwriting income (loss) $ 82,416 $ 11,300 $ (619 ) $ 6,613 99,710 Net investment income 34,541 34,541 Net foreign exchange gains 2,392 2,392 Equity in earnings of other ventures 7,232 7,232 Other loss (535 ) (535 ) Net realized and unrealized gains on investments 27,128 27,128 Corporate expenses (3,954 ) (3,954 ) Interest expense (4,292 ) (4,292 ) Income before taxes and noncontrolling interests 162,222 Income tax benefit 204 204 Net income attributable to noncontrolling interests (36,078 ) (36,078 ) Dividends on preference shares (5,596 ) (5,596 ) Net income available to RenaissanceRe common shareholders $ 120,752 Net claims and claim expenses incurred – current accident year $ 38,473 $ 25,443 $ 34,555 $ — $ 98,471 Net claims and claim expenses incurred – prior accident years (1,743 ) (5,368 ) (9,444 ) (528 ) (17,083 ) Net claims and claim expenses incurred – total $ 36,730 $ 20,075 $ 25,111 $ (528 ) $ 81,388 Net claims and claim expense ratio – current accident year 24.2 % 47.5 % 72.5 % — % 37.8 % Net claims and claim expense ratio – prior accident years (1.1 )% (10.0 )% (19.8 )% (13,200.0 )% (6.5 )% Net claims and claim expense ratio – calendar year 23.1 % 37.5 % 52.7 % (13,200.0 )% 31.3 % Underwriting expense ratio 25.1 % 41.4 % 48.6 % (152,025.0 )% 30.4 % Combined ratio 48.2 % 78.9 % 101.3 % (165,225.0 )% 61.7 % Six months ended June 30, 2014 Catastrophe Reinsurance Specialty Reinsurance Lloyd’s Other Total Gross premiums written $ 855,794 $ 205,844 $ 155,162 $ — $ 1,216,800 Net premiums written $ 493,187 $ 171,743 $ 131,821 $ 3 $ 796,754 Net premiums earned $ 323,736 $ 123,218 $ 99,969 $ 27 $ 546,950 Net claims and claim expenses incurred 43,185 46,156 51,392 (430 ) 140,303 Acquisition expenses 24,932 28,246 20,689 (6,690 ) 67,177 Operational expenses 42,619 20,620 25,091 135 88,465 Underwriting income $ 213,000 $ 28,196 $ 2,797 $ 7,012 251,005 Net investment income 73,489 73,489 Net foreign exchange gains 1,331 1,331 Equity in earnings of other ventures 11,431 11,431 Other loss (473 ) (473 ) Net realized and unrealized gains on investments 42,055 42,055 Corporate expenses (8,499 ) (8,499 ) Interest expense (8,585 ) (8,585 ) Income before taxes and noncontrolling interests 361,754 Income tax benefit 38 38 Net income attributable to noncontrolling interests (78,846 ) (78,846 ) Dividends on preference shares (11,191 ) (11,191 ) Net income available to RenaissanceRe common shareholders $ 271,755 Net claims and claim expenses incurred – current accident year $ 51,002 $ 67,365 $ 55,712 $ — $ 174,079 Net claims and claim expenses incurred – prior accident years (7,817 ) (21,209 ) (4,320 ) (430 ) (33,776 ) Net claims and claim expenses incurred – total $ 43,185 $ 46,156 $ 51,392 $ (430 ) $ 140,303 Net claims and claim expense ratio – current accident year 15.8 % 54.7 % 55.7 % — % 31.8 % Net claims and claim expense ratio – prior accident years (2.5 )% (17.2 )% (4.3 )% (1,592.6 )% (6.1 )% Net claims and claim expense ratio – calendar year 13.3 % 37.5 % 51.4 % (1,592.6 )% 25.7 % Underwriting expense ratio 20.9 % 39.6 % 45.8 % (24,277.8 )% 28.4 % Combined ratio 34.2 % 77.1 % 97.2 % (25,870.4 )% 54.1 % |
Derivative Instruments
Derivative Instruments | 6 Months Ended |
Jun. 30, 2015 | |
Summary of Derivative Instruments [Abstract] | |
Derivative Instruments | DERIVATIVE INSTRUMENTS The Company enters 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 speculation. The Company accounts for its derivatives in accordance with FASB ASC Topic Derivatives and Hedging , which requires all derivatives to be recorded at fair value on the Company’s balance sheet as either assets or liabilities, depending on the rights or obligations of the derivatives, with changes in fair value reflected in current earnings. The Company does not currently apply hedge accounting in respect of any positions reflected in its consolidated financial statements. The Company’s derivative instruments are 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 one 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. The tables below show the gross and net amounts of recognized derivative assets and liabilities, including the location on the consolidated balance sheets and fair value of the Company’s principal derivative instruments: Derivative Assets At June 30, 2015 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 Interest rate futures $ 849 743 $ 106 Other assets $ — $ 106 Foreign currency forward contracts (1) 1,153 133 1,020 Other assets — 1,020 Foreign currency forward contracts (2) 803 157 646 Other assets — 646 Credit default swaps 274 135 139 Other assets 60 79 Total $ 3,079 $ 1,168 $ 1,911 $ 60 $ 1,851 Derivative Liabilities At June 30, 2015 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 Interest rate futures $ 872 743 $ 129 Other liabilities $ 129 $ — Foreign currency forward contracts (1) 6,589 1,017 5,572 Other liabilities — 5,572 Foreign currency forward contracts (2) 320 157 163 Other liabilities — 163 Credit default swaps 250 135 115 Other liabilities — 115 Weather contract 14 — 14 Other liabilities 14 — Total $ 8,045 $ 2,052 $ 5,993 $ 143 $ 5,850 (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. Derivative Assets At December 31, 2014 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 Interest rate futures $ 468 468 $ — Other assets $ — $ — Foreign currency forward contracts (1) 5,740 1,737 4,003 Other assets — 4,003 Foreign currency forward contracts (2) 3,959 648 3,311 Other assets — 3,311 Credit default swaps 468 88 380 Other assets 310 70 Total $ 10,635 $ 2,941 $ 7,694 $ 310 $ 7,384 Derivative Liabilities At December 31, 2014 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 Interest rate futures $ 1,037 468 $ 569 Other liabilities $ 569 $ — Foreign currency forward contracts (1) 1,319 967 352 Other liabilities — 352 Foreign currency forward contracts (2) 724 649 75 Other liabilities — 75 Credit default swaps 251 88 163 Other liabilities — 163 Weather contract 190 — 190 Other liabilities 190 — Total $ 3,521 $ 2,172 $ 1,349 $ 759 $ 590 (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. Refer to “Note 4 . 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 June 30, 2015 2014 Interest rate futures Net realized and unrealized (losses) gains on investments $ 19,784 $ (7,362 ) Foreign currency forward contracts (1) Net foreign exchange (losses) gains (10,210 ) (1,990 ) Foreign currency forward contracts (2) Net foreign exchange (losses) gains (3,417 ) 58 Credit default swaps Net realized and unrealized (losses) gains on investments 22 299 Weather contract Net realized and unrealized (losses) gains on investments 10 179 Call rights Other income (loss) — 2,220 Total $ 6,189 $ (6,596 ) Location of gain (loss) recognized on derivatives Amount of gain (loss) recognized on derivatives Six months ended June 30, 2015 2014 Interest rate futures Net realized and unrealized (losses) gains on investments $ 15,376 $ (19,636 ) Foreign currency forward contracts (1) Net foreign exchange (losses) gains (6,599 ) 2,109 Foreign currency forward contracts (2) Net foreign exchange (losses) gains 5,793 (1,341 ) Credit default swaps Net realized and unrealized (losses) gains on investments 62 458 Weather contract Net realized and unrealized (losses) gains on investments 170 1,395 Call rights Other income (loss) — 2,220 Total $ 14,802 $ (14,795 ) (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. 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 June 30, 2015 . Interest Rate Futures The Company uses interest rate futures within its portfolio of fixed maturity investments to manage its exposure to interest rate risk, which can include increasing or decreasing its exposure to this risk. At June 30, 2015 , the Company had $1,355.9 million of notional long positions and $1,414.0 million of notional short positions of primarily Eurodollar, U.S. treasury and non-U.S. dollar futures contracts ( December 31, 2014 - $587.0 million and $617.4 million , respectively). The fair value of these derivatives is determined using exchange traded prices. Foreign Currency Derivatives The Company’s functional currency is the U.S. dollar. 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 currently in the Company’s consolidated statements of operations. Underwriting Operations Related Foreign Currency Contracts The Company’s foreign currency policy with regard to its underwriting operations is generally to hold foreign currency assets, including cash, investments and receivables that approximate the foreign currency liabilities, including claims and claim expense reserves and reinsurance balances payable. When necessary, the Company may use foreign currency forward and option contracts 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 June 30, 2015 , the Company had outstanding underwriting related foreign currency contracts of $162.4 million in notional long positions and $126.2 million in notional short positions, denominated in U.S. dollars ( December 31, 2014 - $144.8 million and $121.6 million , 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 June 30, 2015 , the Company had outstanding investment portfolio related foreign currency contracts of $32.2 million in notional long positions and $127.3 million in notional short positions, denominated in U.S. dollars ( December 31, 2014 - $35.8 million and $150.1 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 purchases 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. The fair value of the credit derivatives is determined using industry valuation models, broker bid indications or internal pricing valuation techniques. The fair value of these credit derivatives 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 June 30, 2015 , the Company had outstanding credit derivatives of $Nil in notional long positions and $32.7 million in notional short positions, denominated in U.S. dollars ( December 31, 2014 - $4.6 million and $19.4 million , respectively). Weather Contract The Company, from time to time, transacts in certain derivative-based risk management products that address weather-related risks. The fair value of these contracts is determined through the use of an internal valuation model with the inputs to the internal valuation model based on proprietary data as observable market inputs are not available. The most significant unobservable input is the potential payment that would become due to a counterparty following the occurrence of a triggering event as reported by an external agency. Generally, the Company’s portfolio of such derivatives is relatively small and such derivatives are frequently seasonal in nature. At June 30, 2015 , the Company had an outstanding weather contract with an insurance company of $2.1 million in a notional short position ( December 31, 2014 - $2.2 million ). Call Rights At June 30, 2014, the Company had an agreement with a counterparty that gave the counterparty the right to purchase shares the Company has in certain of its equity method investees at a price above the Company’s then carrying value for those investments. The agreement was considered a derivative for accounting purposes and the Company’s estimated fair value of the agreement was $2.2 million at June 30, 2014. The fair value was based on an internal valuation model which incorporated the estimated intrinsic value of the agreement, the time value of money, and the likelihood of the agreement being exercised and ultimately settled. |
Commitments, Contingencies and
Commitments, Contingencies and Other Items | 6 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, Contingencies and Other Items | COMMITMENTS, CONTINGENCIES AND OTHER ITEMS There are no material changes from the commitments and contingencies previously disclosed in the Company’s Form 10-K for the year ended December 31, 2014 , other than those discussed below and in “Note 7 . Debt and Credit Facilities.” Contingent Gain During the second quarter of 2015, a decision was reached by the U.S. Court of Appeals for the District of Columbia Circuit in a case between the IRS and a Bermuda-based reinsurance company (the “Plaintiff”) in favor of the Plaintiff. In deciding the case, the U.S. Court of Appeals concluded that federal excise tax does not apply to foreign to foreign retrocessions. The IRS, however, may take further action related to this decision. As a result of this decision by the U.S. Court of Appeals, it is possible the Company may recognize a gain in a future period, currently estimated to be $8.5 million , related to its foreign to foreign retrocessional federal excise tax contributions. The realization and recognition of the gain would be subject to the ultimate outcome of any future appeals in the case by the IRS, as well as the application of the current or future court decisions to the Company’s specific facts and circumstances. 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. This category of business litigation may involve allegations of underwriting or claims-handling errors or misconduct, 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 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 accordingly. Currently, 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. |
Condensed Consolidating Financi
Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries | 6 Months Ended |
Jun. 30, 2015 | |
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 present condensed consolidating balance sheets at June 30, 2015 and December 31, 2014 , condensed consolidating statements of operations and condensed consolidating statements of comprehensive income for the three and six months ended June 30, 2015 and 2014 , and condensed consolidating statements of cash flow for the six months ended June 30, 2015 and 2014 . Each of RRNAH, Platinum Finance and RenaissanceRe Finance is a 100% owned subsidiary of RenaissanceRe. In connection with an intercompany restructuring, subsequent to June 30, 2015 and effective July 1, 2015, Platinum was merged with RenaissanceRe, with RenaissanceRe continuing as the surviving company and RenaissanceRe assumed all of the obligations of Platinum with respect to, and is the sole guarantor of, the Platinum Finance Notes. Refer to “Note 7 . Debt and Credit Facilities” for information related to the Company’s debt obligations. Condensed Consolidating Balance Sheet at June 30, 2015 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Assets Total investments $ 182,375 $ — $ 88,177 $ 282,027 $ — $ 8,727,688 $ — $ 9,280,267 Cash and cash equivalents 2,535 9,181 2,146 1,089 224 382,915 — 398,090 Investments in subsidiaries 4,550,601 648,991 258,980 611,580 828,023 — (6,898,175 ) — Due from subsidiaries and affiliates 79,807 27,612 15 — — — (107,434 ) — Premiums receivable — — — — — 1,068,819 — 1,068,819 Prepaid reinsurance premiums — — — — — 276,231 — 276,231 Reinsurance recoverable — — — — — 136,464 — 136,464 Accrued investment income 462 — 173 307 — 36,538 — 37,480 Deferred acquisition costs — — — — — 195,291 (21,883 ) 173,408 Receivable for investments sold 56 — 21 151 — 148,835 — 149,063 Other assets 20,921 — 32,250 3,125 121,323 198,964 (118,962 ) 257,621 Goodwill and other intangible assets 267,945 — — — — 7,798 — 275,743 Total assets $ 5,104,702 $ 685,784 $ 381,762 $ 898,279 $ 949,570 $ 11,179,543 $ (7,146,454 ) $ 12,053,186 Liabilities, Noncontrolling Interests and Shareholders’ Equity Liabilities Reserve for claims and claim expenses $ — $ — $ — $ — $ — $ 2,828,161 $ 19,487 $ 2,847,648 Unearned premiums — — — — — 1,155,596 — 1,155,596 Debt 117,000 — 249,568 250,000 299,415 148,761 (92,382 ) 972,362 Amounts due to subsidiaries and affiliates 60,202 1,872 218 23 407 — (62,722 ) — Reinsurance balances payable — — — — — 512,019 — 512,019 Payable for investments purchased 2,979 — 38 233 — 508,001 — 511,251 Other liabilities 87,577 336 2,380 — 3,357 202,854 (67,950 ) 228,554 Total liabilities 267,758 2,208 252,204 250,256 303,179 5,355,392 (203,567 ) 6,227,430 Redeemable noncontrolling interest — — — — — 988,812 — 988,812 Shareholders’ Equity Total shareholders’ equity 4,836,944 683,576 129,558 648,023 646,391 4,835,339 (6,942,887 ) 4,836,944 Total liabilities, noncontrolling interests and shareholders’ equity $ 5,104,702 $ 685,784 $ 381,762 $ 898,279 $ 949,570 $ 11,179,543 $ (7,146,454 ) $ 12,053,186 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Balance Sheet at December 31, 2014 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Assets Total investments $ 137,006 $ 88,150 $ 6,518,594 $ — $ 6,743,750 Cash and cash equivalents 5,986 1,033 518,565 — 525,584 Investments in subsidiaries 3,509,974 71,796 — (3,581,770 ) — Due from subsidiaries and affiliates 126,548 23 — (126,571 ) — Premiums receivable — — 440,007 — 440,007 Prepaid reinsurance premiums — — 94,810 — 94,810 Reinsurance recoverable — — 66,694 — 66,694 Accrued investment income — 121 26,388 — 26,509 Deferred acquisition costs — — 110,059 — 110,059 Receivable for investments sold 10 — 52,380 — 52,390 Other assets 112,400 1,242 123,661 (101,458 ) 135,845 Goodwill and other intangible assets — — 7,902 — 7,902 Total assets $ 3,891,924 $ 162,365 $ 7,959,060 $ (3,809,799 ) $ 8,203,550 Liabilities, Redeemable Noncontrolling Interest and Shareholders’ Equity Liabilities Reserve for claims and claim expenses $ — $ — $ 1,412,510 $ — $ 1,412,510 Unearned premiums — — 512,386 — 512,386 Debt — 249,522 — — 249,522 Amounts due to subsidiaries and affiliates 6,000 233 — (6,233 ) — Reinsurance balances payable — — 454,580 — 454,580 Payable for investments purchased — — 203,021 — 203,021 Other liabilities 20,209 4,013 351,344 (1,458 ) 374,108 Total liabilities 26,209 253,768 2,933,841 (7,691 ) 3,206,127 Redeemable noncontrolling interest — — 1,131,708 — 1,131,708 Shareholders’ Equity Total shareholders’ equity 3,865,715 (91,403 ) 3,893,511 (3,802,108 ) 3,865,715 Total liabilities, redeemable noncontrolling interest and shareholders’ equity $ 3,891,924 $ 162,365 $ 7,959,060 $ (3,809,799 ) $ 8,203,550 (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 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Revenues Net premiums earned $ — $ — $ — $ — $ — $ 379,828 $ — $ 379,828 Net investment income 98 — 300 1,221 468 37,342 (825 ) 38,604 Net foreign exchange gains (losses) 12 — — — — (1,752 ) — (1,740 ) Equity in earnings of other ventures — — — — — 6,160 — 6,160 Other income 15,692 497 — — — 431 (15,193 ) 1,427 Net realized and unrealized (losses) gains on investments (535 ) — 609 (1,389 ) — (25,397 ) — (26,712 ) Total revenues 15,267 497 909 (168 ) 468 396,612 (16,018 ) 397,567 Expenses Net claims and claim expenses incurred — — — — — 171,023 (1,679 ) 169,344 Acquisition expenses — — — — — 73,537 (11,871 ) 61,666 Operational expenses (1,300 ) 932 1,588 — — 51,334 2,119 54,673 Corporate expenses 6,373 980 153 109 77 5,449 (109 ) 13,032 Interest expense 468 — 3,616 4,687 2,790 880 (2,743 ) 9,698 Total expenses 5,541 1,912 5,357 4,796 2,867 302,223 (14,283 ) 308,413 Income (loss) before equity in net income (loss) of subsidiaries and taxes 9,726 (1,415 ) (4,448 ) (4,964 ) (2,399 ) 94,389 (1,735 ) 89,154 Equity in net income (loss) of subsidiaries 72,555 (805 ) 127 565 (2,443 ) (11,916 ) (58,083 ) — Income (loss) before taxes 82,281 (2,220 ) (4,321 ) (4,399 ) (4,842 ) 82,473 (59,818 ) 89,154 Income tax (expense) benefit (3,452 ) — 1,743 1,956 888 707 — 1,842 Net income (loss) 78,829 (2,220 ) (2,578 ) (2,443 ) (3,954 ) 83,180 (59,818 ) 90,996 Net income attributable to noncontrolling interests — — — — — (12,167 ) — (12,167 ) Net income (loss) attributable to RenaissanceRe 78,829 (2,220 ) (2,578 ) (2,443 ) (3,954 ) 71,013 (59,818 ) 78,829 Dividends on preference shares (5,596 ) — — — — — — (5,596 ) Net income (loss) attributable to RenaissanceRe common shareholders $ 73,233 $ (2,220 ) $ (2,578 ) $ (2,443 ) $ (3,954 ) $ 71,013 $ (59,818 ) $ 73,233 (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 (Loss) for the three months ended June 30, 2015 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Comprehensive income (loss) Net income (loss) $ 78,829 $ (2,220 ) $ (2,578 ) $ (2,443 ) $ (3,954 ) $ 83,180 $ (59,818 ) $ 90,996 Change in net unrealized gains on investments — — — — — (349 ) — (349 ) Comprehensive income (loss) 78,829 (2,220 ) (2,578 ) (2,443 ) (3,954 ) 82,831 (59,818 ) 90,647 Net income attributable to noncontrolling interests — — — — — (12,167 ) — (12,167 ) Comprehensive income attributable to noncontrolling interests — — — — — (12,167 ) — (12,167 ) Comprehensive income (loss) attributable to RenaissanceRe $ 78,829 $ (2,220 ) $ (2,578 ) $ (2,443 ) $ (3,954 ) $ 70,664 $ (59,818 ) $ 78,480 (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 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Revenues Net premiums earned $ — $ — $ — $ — $ — $ 676,588 $ — $ 676,588 Net investment income 2,722 — 631 1,181 504 75,072 (1,799 ) 78,311 Net foreign exchange gains (losses) 2 — — — — (4,872 ) — (4,870 ) Equity in earnings of other ventures — — — — — 11,455 — 11,455 Other income 21,881 663 — — — 1,639 (21,217 ) 2,966 Net realized and unrealized (losses) gains on investments (496 ) — 1,015 (1,388 ) — 15,906 — 15,037 Total revenues 24,109 663 1,646 (207 ) 504 775,788 (23,016 ) 779,487 Expenses Net claims and claim expenses incurred — — — — — 248,435 (2,238 ) 246,197 Acquisition expenses — — — — — 121,855 (16,788 ) 105,067 Operational expenses (2,478 ) 5,919 3,478 1 — 85,849 7,525 100,294 Corporate expenses 22,677 9,162 251 144 84 26,456 (144 ) 58,630 Interest expense 763 — 7,233 6,250 3,006 1,474 (3,777 ) 14,949 Total expenses 20,962 15,081 10,962 6,395 3,090 484,069 (15,422 ) 525,137 Income (loss) before equity in net income (loss) of subsidiaries and taxes 3,147 (14,418 ) (9,316 ) (6,602 ) (2,586 ) 291,719 (7,594 ) 254,350 Equity in net income (loss) of subsidiaries 256,235 (7,362 ) 17,526 (1,581 ) (5,656 ) — (259,162 ) — Income (loss) before taxes 259,382 (21,780 ) 8,210 (8,183 ) (8,242 ) 291,719 (266,756 ) 254,350 Income tax (expense) benefit (7,115 ) — 32,748 2,527 953 20,633 — 49,746 Net income (loss) 252,267 (21,780 ) 40,958 (5,656 ) (7,289 ) 312,352 (266,756 ) 304,096 Net income attributable to noncontrolling interests — — — — — (51,829 ) — (51,829 ) Net income (loss) attributable to RenaissanceRe 252,267 (21,780 ) 40,958 (5,656 ) (7,289 ) 260,523 (266,756 ) 252,267 Dividends on preference shares (11,191 ) — — — — — — (11,191 ) Net income (loss) attributable to RenaissanceRe common shareholders $ 241,076 $ (21,780 ) $ 40,958 $ (5,656 ) $ (7,289 ) $ 260,523 $ (266,756 ) $ 241,076 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Comprehensive Income (Loss) for the six months ended June 30, 2015 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Comprehensive income (loss) Net income (loss) $ 252,267 $ (21,780 ) $ 40,958 $ (5,656 ) $ (7,289 ) $ 312,352 $ (266,756 ) $ 304,096 Change in net unrealized gains on investments — — — — — (423 ) — (423 ) Comprehensive income (loss) 252,267 (21,780 ) 40,958 (5,656 ) (7,289 ) 311,929 (266,756 ) 303,673 Net income attributable to noncontrolling interests — — — — — (51,829 ) — (51,829 ) Comprehensive income attributable to noncontrolling interests — — — — — (51,829 ) — (51,829 ) Comprehensive income (loss) attributable to RenaissanceRe $ 252,267 $ (21,780 ) $ 40,958 $ (5,656 ) $ (7,289 ) $ 260,100 $ (266,756 ) $ 251,844 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Operations RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Revenues Net premiums earned $ — $ — $ 260,416 $ — $ 260,416 Net investment income 736 445 34,293 (933 ) 34,541 Net foreign exchange gains 6 — 2,386 — 2,392 Equity in earnings of other ventures — — 7,232 — 7,232 Other loss — — (535 ) — (535 ) Net realized and unrealized gains on investments 190 4,340 22,598 — 27,128 Total revenues 932 4,785 326,390 (933 ) 331,174 Expenses Net claims and claim expenses incurred — — 81,388 — 81,388 Acquisition expenses — — 33,477 — 33,477 Operational expenses (1,236 ) 1,684 45,483 (90 ) 45,841 Corporate expenses 3,468 59 427 — 3,954 Interest expense — 3,616 676 — 4,292 Total expenses 2,232 5,359 161,451 (90 ) 168,952 (Loss) income before equity in net income (loss) of subsidiaries and taxes (1,300 ) (574 ) 164,939 (843 ) 162,222 Equity in net income (loss) of subsidiaries 127,648 (38 ) — (127,610 ) — Income (loss) before taxes 126,348 (612 ) 164,939 (128,453 ) 162,222 Income tax (expense) benefit — (38 ) 242 — 204 Net income (loss) 126,348 (650 ) 165,181 (128,453 ) 162,426 Net income attributable to noncontrolling interests — — (36,078 ) — (36,078 ) Net income (loss) attributable to RenaissanceRe 126,348 (650 ) 129,103 (128,453 ) 126,348 Dividends on preference shares (5,596 ) — — — (5,596 ) Net income (loss) available (attributable) to RenaissanceRe common shareholders $ 120,752 $ (650 ) $ 129,103 $ (128,453 ) $ 120,752 (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 (Loss) for the three months ended June 30, 2014 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Comprehensive income (loss) Net income (loss) $ 126,348 $ (650 ) $ 165,181 $ (128,453 ) $ 162,426 Change in net unrealized gains on investments — — (45 ) — (45 ) Comprehensive income (loss) 126,348 (650 ) 165,136 (128,453 ) 162,381 Net income attributable to noncontrolling interests — — (36,078 ) — (36,078 ) Comprehensive income attributable to noncontrolling interests — — (36,078 ) — (36,078 ) Comprehensive income (loss) attributable to RenaissanceRe $ 126,348 $ (650 ) $ 129,058 $ (128,453 ) $ 126,303 (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 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Revenues Net premiums earned $ — $ — $ 546,950 $ — $ 546,950 Net investment income 1,361 919 73,079 (1,870 ) 73,489 Net foreign exchange gains 7 — 1,324 — 1,331 Equity in earnings of other ventures — — 11,431 — 11,431 Other loss — (8 ) (465 ) — (473 ) Net realized and unrealized gains on investments 84 4,717 37,254 — 42,055 Total revenues 1,452 5,628 669,573 (1,870 ) 674,783 Expenses Net claims and claim expenses incurred — — 140,303 — 140,303 Acquisition expenses — — 67,177 — 67,177 Operational expenses (2,116 ) 3,578 87,171 (168 ) 88,465 Corporate expenses 7,470 118 911 — 8,499 Interest expense — 7,233 1,352 — 8,585 Total expenses 5,354 10,929 296,914 (168 ) 313,029 (Loss) income before equity in net income of subsidiaries and taxes (3,902 ) (5,301 ) 372,659 (1,702 ) 361,754 Equity in net income of subsidiaries 286,848 815 — (287,663 ) — Income (loss) before taxes 282,946 (4,486 ) 372,659 (289,365 ) 361,754 Income tax benefit (expense) — 646 (608 ) — 38 Net income (loss) 282,946 (3,840 ) 372,051 (289,365 ) 361,792 Net income attributable to noncontrolling interests — — (78,846 ) — (78,846 ) Net income (loss) attributable to RenaissanceRe 282,946 (3,840 ) 293,205 (289,365 ) 282,946 Dividends on preference shares (11,191 ) — — — (11,191 ) Net income (loss) available (attributable) to RenaissanceRe common shareholders $ 271,755 $ (3,840 ) $ 293,205 $ (289,365 ) $ 271,755 (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 (Loss) for the six months ended June 30, 2014 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Comprehensive income (loss) Net income (loss) $ 282,946 $ (3,840 ) $ 372,051 $ (289,365 ) $ 361,792 Change in net unrealized gains on investments — — (213 ) — (213 ) Comprehensive income (loss) 282,946 (3,840 ) 371,838 (289,365 ) 361,579 Net income attributable to noncontrolling interests — — (78,846 ) — (78,846 ) Comprehensive income attributable to noncontrolling interests — — (78,846 ) — (78,846 ) Comprehensive income (loss) attributable to RenaissanceRe $ 282,946 $ (3,840 ) $ 292,992 $ (289,365 ) $ 282,733 (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 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other RenaissanceRe Consolidated Cash flows provided by (used in) operating activities Net cash provided by (used in) operating activities $ 66,113 $ (1,326 ) $ (5,393 ) $ (10,030 ) $ (119,583 ) $ 40,849 $ (29,370 ) Cash flows (used in) provided by investing activities Proceeds from sales and maturities of fixed maturity investments trading 14,718 — 7,016 45,087 — 4,695,154 4,761,975 Purchases of fixed maturity investments trading (56,559 ) — (38,668 ) — — (4,500,891 ) (4,596,118 ) Proceeds from sales and maturities of fixed maturity investments available for sale — — — — — 5,000 5,000 Net sales (purchases) of equity investments trading — — 33,687 (273,501 ) — 73,329 (166,485 ) Net (purchases) sales of short term investments (1,088 ) — (5,848 ) 238,048 — 129,050 360,162 Net purchases of other investments — — — — — (1,250 ) (1,250 ) Net purchases of investments in other ventures — — — — — (45 ) (45 ) Net sales of other assets — — — — — 4,500 4,500 Dividends and return of capital from subsidiaries 1,009,161 (30,000 ) — — — (979,161 ) — Contributions to subsidiaries (205,362 ) — 10,342 — (180,000 ) 375,020 — Due (from) to subsidiary (3,595 ) (21,913 ) (23 ) (52 ) 407 25,176 — Net purchase of Platinum (904,433 ) 62,420 — 1,537 — 162,324 (678,152 ) Net cash (used in) provided by investing activities (147,158 ) 10,507 6,506 11,119 (179,593 ) (11,794 ) (310,413 ) Cash flows provided by (used in) financing activities Dividends paid – RenaissanceRe common shares (27,479 ) — — — — — (27,479 ) Dividends paid – preference shares (11,191 ) — — — — — (11,191 ) RenaissanceRe common share repurchases (736 ) — — — — — (736 ) Net issuance (repayment) of debt 117,000 — — — 299,400 29,189 445,589 Net third party redeemable noncontrolling interest share transactions — — — — — (187,064 ) (187,064 ) Net cash provided by (used in) financing activities 77,594 — — — 299,400 (157,875 ) 219,119 Effect of exchange rate changes on foreign currency cash — — — — — (6,830 ) (6,830 ) Net (decrease) increase in cash and cash equivalents (3,451 ) 9,181 1,113 1,089 224 (135,650 ) (127,494 ) Cash and cash equivalents, beginning of period 5,986 — 1,033 — — 518,565 525,584 Cash and cash equivalents, end of period $ 2,535 $ 9,181 $ 2,146 $ 1,089 $ 224 $ 382,915 $ 398,090 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. Condensed Consolidating Statement of Cash Flows RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings 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 $ (14,828 ) $ (8,410 ) $ 196,624 $ 173,386 Cash flows provided by (used in) investing activities Proceeds from sales and maturities of fixed maturity investments trading 4,912 5,353 4,009,909 4,020,174 Purchases of fixed maturity investments trading (79,714 ) — (3,890,603 ) (3,970,317 ) Proceeds from sales and maturities of fixed maturity investments available for sale — — 5,114 5,114 Net purchases of equity investments trading — (370 ) (10,776 ) (11,146 ) Net sales (purchases) of short term investments 116,511 (68 ) (26,894 ) 89,549 Net sales of other investments — — 68,684 68,684 Net sales of investments in other ventures — — 1,030 1,030 Net sales of other assets — — 6,000 6,000 Dividends and return of capital from subsidiaries 359,891 5,406 (365,297 ) — Contributions to subsidiaries (47,220 ) (1,950 ) 49,170 — Due to (from) subsidiaries 4,123 (777 ) (3,346 ) — Net cash provided by (used in) investing activities 358,503 7,594 (157,009 ) 209,088 Cash flows used in financing activities Dividends paid – RenaissanceRe common shares (23,550 ) — — (23,550 ) Dividends paid – preference shares (11,191 ) — — (11,191 ) RenaissanceRe common share repurchases (314,536 ) — — (314,536 ) Net third party redeemable noncontrolling interest share transactions — — (144,096 ) (144,096 ) Net cash used in financing activities (349,277 ) — (144,096 ) (493,373 ) Effect of exchange rate changes on foreign currency cash — — (2,676 ) (2,676 ) Net decrease in cash and cash equivalents (5,602 ) (816 ) (107,157 ) (113,575 ) Cash and cash equivalents, beginning of period 8,796 4,027 395,209 408,032 Cash and cash equivalents, end of period $ 3,194 $ 3,211 $ 288,052 $ 294,457 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | SUBSEQUENT EVENTS Subsequent to June 30, 2015 and through the period ended July 27, 2015 , the Company repurchased 67 thousand common shares in open market transactions at an aggregate cost of $6.9 million and at an average share price of $102.70 . |
Significant Accounting Polici24
Significant Accounting Policies (Policy) | 6 Months Ended |
Jun. 30, 2015 | |
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 United States (“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 and the Company’s deferred tax valuation allowance. |
Recently Issued Accounting Pronouncements Not Yet Adopted | RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS NOT YET ADOPTED Revenue from Contracts with Customers In May 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”). ASU 2014-09 provides comprehensive guidance on the recognition of revenue from customers arising from the transfer of goods and services. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 also provides guidance on accounting for certain contract costs and will also require new disclosures. ASU 2014-09 was to be effective for public business entities in annual and interim periods beginning after December 15, 2016, however in July 2015, the FASB decided to defer by one year the effective dates of ASU 2014-09, and as a result, ASU 2014-09 will be effective for public business entities in annual and interim period beginning after December 15, 2017. 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. Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period In June 2014, the FASB issued ASU No. 2014-12, Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (“ASU 2014-12”). The objective of ASU 2014-12 is to resolve the diverse accounting treatment of share-based payment awards in situations where an employee would be eligible to vest in the award regardless of whether the employee is rendering service on the date the performance target is achieved. For example, if an employee is eligible to retire or otherwise terminate employment before the end of the period in which a performance target could be achieved and still be eligible to vest in the award, ASU 2014-12 will resolve if and when the performance target is achieved. ASU 2014-12 is effective for all entities in annual and interim periods beginning after December 15, 2015. Entities may apply the amendments in ASU 2014-12 either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. 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. Amendments to the Consolidation Analysis In February 2015, the FASB issued ASU No. 2015-02, Amendments to the Consolidation Analysis (“ASU 2015-02”). ASU 2015-02 will affect reporting entities that are required to evaluate whether they should consolidate certain legal entities. All legal entities are subject to reevaluation under ASU 2015-02. ASU 2015-02 set forth amendments: modifying the evaluation of whether limited partnerships and similar legal entities are VIEs; eliminating the presumption that a general partner should consolidate a limited partnership; affecting the consolidation analysis of reporting entities that are involved with VIEs, particularly those that have fee arrangement and related party relationships; and providing a scope exception from consolidation guidance for reporting entities with interests in certain investment funds. ASU 2015-02 is effective for public business entities for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. 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. Simplifying the Presentation of Debt Issuance Costs In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs (“ASU 2015-03”). The objective of ASU 2015-03 is to simplify the presentation of debt issuance costs by requiring debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in ASU 2015-03. ASU 2015-03 is effective for public business entities in annual and interim periods beginning after December 15, 2015. Early adoption is permitted. ASU 2015-03 provides for retroactive application, and upon transition, applicable disclosures for a change in an accounting principle would be provided, including the transition method, a description of the prior period information that has been retroactively adjusted, and the effect of the change on the applicable financial statement line items. 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. Disclosures about Short-Duration Contracts In May 2015, the FASB issued ASU No. 2015-09, Disclosures about Short-Duration Contracts (“ASU 2015-09”). ASU 2015-09 requires insurance entities to disclose for annual reporting periods additional information about the liability for unpaid claims and claim adjustment expenses, including: (1) incurred and paid claims development information by accident year, on a net basis, for the number of years for which claims incurred typically remain outstanding, not exceeding 10 years; (2) a reconciliation of incurred and paid claims development information to the aggregate carry amount of the liability for claims and claim adjustment expenses, with separate disclosure of reinsurance recoverable on unpaid claims for each period presented in the statement of financial position; (3) for each accident year presented of incurred claims development information, the total of incurred but not reported liabilities plus expected development on reported claims including in the liability for unpaid claims and claim adjustment expenses, accompanied by a description of the reserving methodologies; (4) for each accident year presented of incurred claims development information, quantitative information about claim frequency accompanied by a qualitative description of methodologies used for determining claim frequency information; and (5) for all claims, the average annual percentage payout of incurred claims by age for the same number of accident years presented in (3) and (4) above. ASU 2015-09 also requires insurance entities to disclose information about significant changes in methodologies and assumptions used to calculate the liability for unpaid claims and claim adjustment expenses, including the reasons for the change and the effects on the financial statements. In addition, ASU 2015-09 requires insurance entities to disclose for annual and interim reporting periods a rollforward of the liability for unpaid claims and claim adjustment expenses. ASU 2015-09 is effective for public business entities in annual periods beginning after December 31, 2015, and interim periods within annual periods beginning after December 31, 2016. Early adoption in permitted. ASU 2015-09 should be applied retrospectively by providing comparative disclosures for each period presented, except for those requirements that apply only to the current period. As this guidance is disclosure-related only, the adoption of this guidance is not expected to have a material impact on the Company’s consolidated statements of operations and financial position. Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) In May 2015, the FASB issued ASU No. 2015-07, Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) (“ASU 2015-07”). ASU 2015-07 removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the net asset value per share practical expedient. ASU 2015-07 also removes the requirement to make certain disclosures for all investments that are eligible to be measured at fair value using the net asset value per share practical expedient. Rather, those disclosures are limited to investments for which the entity has elected to measure the fair value using that practical expedient. ASU 2015-07 is effective for public business entities for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. A reporting entity should apply the amendments retrospectively to all periods presented. The retrospective approach requires that an investment for which fair value is measured using the net asset value per share practical expedient be removed from the fair value hierarchy in all periods presented in an entity’s financial statements. Earlier application is permitted. As this guidance is disclosure-related only, the adoption of this guidance is not expected to have a material impact on the Company’s statements of operations and financial position. |
Acquisition of Platinum (Tables
Acquisition of Platinum (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions | The Company's total purchase price for Platinum at March 2, 2015 was calculated as follows: Special Dividend Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum 25,320,312 Special Dividend per outstanding common share of Platinum and Platinum equity award $ 10.00 Special Dividend paid to common shareholders of Platinum and holders of Platinum equity awards $ 253,203 RenaissanceRe common shares Common shares issued by RenaissanceRe 7,434,561 Common share price of RenaissanceRe as of March 2, 2015 $ 102.47 Market value of RenaissanceRe common shares issued by RenaissanceRe to common shareholders of Platinum and holders of Platinum equity awards 761,819 Platinum common shares Fair value of Platinum common shares owned by RenaissanceRe and canceled in connection with the acquisition of Platinum 12,950 Cash consideration Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum 25,320,312 Platinum common shares owned by RenaissanceRe and canceled in connection with the acquisition of Platinum (169,220 ) Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum excluding those owned by RenaissanceRe and canceled in connection with the acquisition of Platinum 25,151,092 Agreed cash price paid to common shareholders of Platinum and holders of Platinum equity awards $ 35.96 Cash consideration paid by RenaissanceRe to common shareholders of Platinum and holders of Platinum equity awards 904,433 Total purchase price 1,932,405 Less: Special Dividend paid by Platinum (253,203 ) Net purchase price $ 1,679,202 The Company recognized identifiable finite lived intangible assets of $75.2 million , which will be amortized over a weighted average period of 8 years , identifiable indefinite lived intangible assets of $8.4 million , and certain other adjustments to the fair values of the assets acquired, liabilities assumed and shareholders’ equity of Platinum at March 2, 2015 as summarized in the table below: Shareholders’ equity of Platinum prior to Special Dividend $ 1,737,278 Cash and cash equivalents (Special Dividend on Platinum common shares and Platinum equity awards) (253,203 ) Adjusted shareholders’ equity of Platinum at March 2, 2015 1,484,075 Adjustments for fair value, by applicable balance sheet caption: Deferred acquisition costs (44,486 ) Debt (28,899 ) Reserve for claims and claim expenses (21,725 ) Other assets - deferred debt issuance costs (1,046 ) Total adjustments for fair value by applicable balance sheet caption before tax impact (96,156 ) Other assets - net deferred tax asset related to fair value adjustments 29,069 Total adjustments for fair value by applicable balance sheet caption (67,087 ) Adjustments for fair value of the identifiable intangible assets: Identifiable indefinite lived intangible assets (insurance licenses) 8,400 Identifiable finite lived intangible assets (non-contractual relationships, renewal rights, value of business acquired, trade name, internally developed and used computer software and covenants not to compete) 75,200 Identifiable intangible assets before tax impact 83,600 Other liabilities - deferred tax liability on identifiable intangible assets (13,115 ) Total adjustments for fair value of the identifiable intangible assets 70,485 Total adjustments for fair value by applicable balance sheet caption and identifiable intangible assets 3,398 Shareholders’ equity of Platinum at fair value 1,487,473 Total net purchase price paid by RenaissanceRe 1,679,202 Excess purchase price over the fair value of net assets acquired assigned to goodwill $ 191,729 The following table summarizes the results of Platinum since March 2, 2015 that have been included in the Company's consolidated statements of operations and comprehensive income. Three months ended June 30, 2015 Six months ended June 30, 2015 Total revenues $ 106,691 $ 146,830 Net loss attributable to RenaissanceRe common shareholders (1) $ 5,004 $ (14,435 ) (1) Includes $5.8 million and $34.2 million of transaction, integration and compensation-related costs associated with the acquisition of Platinum for the three and six months ended June 30, 2015 , respectively. |
Schedule of Identifiable Intangible Assets Acquired | Identifiable intangible assets at March 2, 2015 and at June 30, 2015 , consisted of the following, and are included in goodwill and other intangible assets on the Company’s consolidated balance sheet: Amount Economic Useful Life Key non-contractual relationships $ 30,400 10 years Value of business acquired 20,200 2 years Renewal rights 15,800 15 years Insurance licenses 8,400 Indefinite Internally developed and used computer software 3,500 2 years Other non-contractual relationships 2,300 3 years Non-compete agreements 1,900 2.5 years Trade name 1,100 6 months Identifiable intangible assets, before amortization, at March 2, 2015 83,600 Amortization (from March 2, 2015 through June 30, 2015) (7,385 ) Net identifiable intangible assets at June 30, 2015 related to the acquisition of Platinum $ 76,215 |
Schedule of Pro Forma Information | The following table presents unaudited pro forma consolidated financial information for the three and six months ended June 30, 2015 and 2014 and assumes the acquisition of Platinum occurred on January 1, 2014. The unaudited pro forma consolidated financial information is provided for informational purposes only and is not necessarily, and should not be assumed to be, an indication of the results that would have been achieved had the transaction been completed as of January 1, 2014 or that may be achieved in the future. The unaudited pro forma consolidated financial information does not give consideration to the impact of possible revenue enhancements, expense efficiencies, synergies or asset dispositions that may result from the acquisition of Platinum. In addition, unaudited pro forma consolidated financial information does not include the effects of costs associated with any restructuring or integration activities resulting from the acquisition of Platinum, as they are nonrecurring. Three months ended Six months ended June 30, 2015 June 30, 2014 June 30, June 30, 2014 Total revenues $ 397,567 $ 488,999 $ 858,120 $ 1,003,016 Net income available to RenaissanceRe common shareholders 73,233 174,678 256,039 373,772 |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Investments [Abstract] | |
Schedule of Fair Value of Fixed Maturity Investments Trading | The following table summarizes the fair value of fixed maturity investments trading: June 30, December 31, U.S. treasuries $ 2,020,746 $ 1,671,471 Agencies 144,947 96,208 Municipal 806,724 — Non-U.S. government (Sovereign debt) 370,613 280,651 Non-U.S. government-backed corporate 172,381 146,467 Corporate 1,865,369 1,610,442 Agency mortgage-backed 474,966 312,333 Non-agency mortgage-backed 253,044 241,590 Commercial mortgage-backed 419,218 373,117 Asset-backed 63,426 24,406 Total fixed maturity investments trading $ 6,591,434 $ 4,756,685 |
Schedule of Fair Value of Fixed Maturity Investments Available For Sale | The following table summarizes the amortized cost, fair value and related unrealized gains and losses and non-credit other-than-temporary impairments of fixed maturity investments available for sale: Included in Accumulated Other Comprehensive Income June 30, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Non-Credit Other-Than- Temporary Impairments (1) Agency mortgage-backed $ 903 $ 10 $ (9 ) $ 904 $ — Non-agency mortgage-backed 8,498 1,790 (3 ) 10,285 613 Commercial mortgage-backed 7,182 495 — 7,677 — Asset-backed 2,801 87 — 2,888 — Total fixed maturity investments available for sale $ 19,384 $ 2,382 $ (12 ) $ 21,754 $ 613 Included in Accumulated Other Comprehensive Income December 31, 2014 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Non-Credit Other-Than- Temporary Impairments (1) Agency mortgage-backed $ 3,928 $ 359 $ — $ 4,287 $ — Non-agency mortgage-backed 9,478 1,985 (3 ) 11,460 656 Commercial mortgage-backed 7,291 643 — 7,934 — Asset-backed 3,075 129 — 3,204 — Total fixed maturity investments available for sale $ 23,772 $ 3,116 $ (3 ) $ 26,885 $ 656 (1) Represents the non-credit component of other-than-temporary impairments recognized in accumulated other comprehensive income adjusted for subsequent sales of securities. It does not include the change in fair value subsequent to the impairment measurement date. |
Schedule of Contractual Maturities of Fixed Maturity Investments | Contractual maturities of fixed maturity investments 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. Trading Available for Sale Total Fixed Maturity Investments June 30, 2015 Amortized Cost Fair Value Amortized Cost Fair Value Amortized Cost Fair Value Due in less than one year $ 220,880 $ 219,382 $ — $ — $ 220,880 $ 219,382 Due after one through five years 3,862,284 3,859,616 — — 3,862,284 3,859,616 Due after five through ten years 983,765 970,723 — — 983,765 970,723 Due after ten years 337,497 331,059 — — 337,497 331,059 Mortgage-backed 1,135,710 1,147,228 16,583 18,866 1,152,293 1,166,094 Asset-backed 63,356 63,426 2,801 2,888 66,157 66,314 Total $ 6,603,492 $ 6,591,434 $ 19,384 $ 21,754 $ 6,622,876 $ 6,613,188 |
Schedule of Fair Value of Equity Investments Trading | The following table summarizes the fair value of equity investments trading: June 30, December 31, Financials $ 228,777 $ 222,190 Communications and technology 84,522 31,376 Industrial, utilities and energy 71,168 28,859 Consumer 50,764 19,522 Healthcare 48,572 16,582 Basic materials 9,253 3,569 Total $ 493,056 $ 322,098 |
Schedule of Net Investment Income | The components of net investment income are as follows: Three months ended Six months ended June 30, June 30, June 30, June 30, Fixed maturity investments $ 33,791 $ 26,372 $ 59,730 $ 50,232 Short term investments 297 286 494 476 Equity investments 1,913 779 4,517 1,575 Other investments Hedge funds and private equity investments 5,425 8,340 15,838 20,657 Other 674 1,483 4,182 6,011 Cash and cash equivalents 127 93 275 184 42,227 37,353 85,036 79,135 Investment expenses (3,623 ) (2,812 ) (6,725 ) (5,646 ) Net investment income $ 38,604 $ 34,541 $ 78,311 $ 73,489 |
Schedule of Net Realized and Unrealized Gains On Investments and Net Other-Than-Temporary Impairments | Net realized and unrealized gains on investments are as follows: Three months ended Six months ended June 30, June 30, June 30, June 30, Gross realized gains $ 8,672 $ 12,166 $ 30,204 $ 25,633 Gross realized losses (21,552 ) (2,587 ) (26,423 ) (8,151 ) Net realized (losses) gains on fixed maturity investments (12,880 ) 9,579 3,781 17,482 Net unrealized (losses) gains on fixed maturity investments trading (48,104 ) 29,918 (22,132 ) 57,800 Net realized and unrealized gains (losses) on investments-related derivatives 19,816 (6,884 ) 15,608 (17,783 ) Net realized gains on equity investments trading 8,832 5,134 16,313 5,055 Net unrealized gains (losses) on equity investments trading 5,624 (10,619 ) 1,467 (20,499 ) Net realized and unrealized (losses) gains on investments $ (26,712 ) $ 27,128 $ 15,037 $ 42,055 |
Schedule of Components of Other Comprehensive Income and Reclassification Out of Accumulated Other Comprehensive Income | The following tables provide an analysis of the components of other comprehensive income and reclassifications out of accumulated other comprehensive income. Three months ended June 30, 2015 Investments in other ventures Fixed maturity investments available for sale Total Beginning balance $ 412 $ 2,930 $ 3,342 Other comprehensive income (loss) before reclassifications 211 (273 ) (62 ) Amounts reclassified from accumulated other comprehensive income by statement of operations line item: Realized gains reclassified from accumulated other comprehensive income to net realized and unrealized gains on investments — (287 ) (287 ) Net current-period other comprehensive income (loss) 211 (560 ) (349 ) Ending balance $ 623 $ 2,370 $ 2,993 Six months ended June 30, 2015 Investments in other ventures Fixed maturity investments available for sale Total Beginning balance $ 303 $ 3,113 $ 3,416 Other comprehensive income (loss) before reclassifications 320 (405 ) (85 ) Amounts reclassified from accumulated other comprehensive income by statement of operations line item: Realized gains reclassified from accumulated other comprehensive income to net realized and unrealized gains on investments — (338 ) (338 ) Net current-period other comprehensive income (loss) 320 (743 ) (423 ) Ending balance $ 623 $ 2,370 $ 2,993 Three months ended June 30, 2014 Investments in other ventures Fixed maturity investments available for sale Total Beginning balance $ 160 $ 3,803 $ 3,963 Other comprehensive income (loss) before reclassifications 51 (96 ) (45 ) Ending balance $ 211 $ 3,707 $ 3,918 Six months ended June 30, 2014 Investments in other ventures Fixed maturity investments available for sale Total Beginning balance $ 163 $ 3,968 $ 4,131 Other comprehensive gain (loss) before reclassifications 48 (261 ) (213 ) Ending balance $ 211 $ 3,707 $ 3,918 |
Schedule of Fixed Maturity Investments Available For Sale In Continual Unrealized Loss Position | The following tables provide an analysis of the length of time the Company’s fixed maturity investments available for sale in an unrealized loss have been in a continual unrealized loss position. Less than 12 Months 12 Months or Greater Total At June 30, 2015 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Agency mortgage-backed $ 569 $ (9 ) $ — $ — $ 569 $ (9 ) Non-agency mortgage-backed — — 65 (3 ) 65 (3 ) Total $ 569 $ (9 ) $ 65 $ (3 ) $ 634 $ (12 ) Less than 12 Months 12 Months or Greater Total December 31, 2014 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Non-agency mortgage-backed $ — $ — $ 69 $ (3 ) $ 69 $ (3 ) Total $ — $ — $ 69 $ (3 ) $ 69 $ (3 ) |
Rollforward of the Amount of Other-Than-Temporary Impairments Related To Credit Losses Recognized in Earnings For Which A Portion Of An Other-Than-Temporary Impairment Was Recognized In Accumulated Other Comprehensive Income | The following table provides a rollforward of the amount of other-than-temporary impairments related to credit losses recognized in earnings for which a portion of an other-than-temporary impairment was recognized in accumulated other comprehensive income: Three months ended Six months ended June 30, June 30, June 30, June 30, Beginning balance $ 485 $ 545 $ 498 $ 561 Reductions: Securities sold during the period (19 ) (16 ) (32 ) (32 ) Ending balance $ 466 $ 529 $ 466 $ 529 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
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 June 30, 2015 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 $ 2,020,746 $ 2,020,746 $ — $ — Agencies 144,947 — 144,947 — Municipal 806,724 — 806,724 — Non-U.S. government (Sovereign debt) 370,613 — 370,613 — Non-U.S. government-backed corporate 172,381 — 172,381 — Corporate 1,865,369 — 1,857,709 7,660 Agency mortgage-backed 475,870 — 475,870 — Non-agency mortgage-backed 263,329 — 263,329 — Commercial mortgage-backed 426,895 — 426,895 — Asset-backed 66,314 — 66,314 — Total fixed maturity investments 6,613,188 2,020,746 4,584,782 7,660 Short term investments 1,543,191 — 1,543,191 — Equity investments trading 493,056 493,056 — — Other investments Private equity partnerships 250,796 — — 250,796 Catastrophe bonds 228,998 — 228,998 — Senior secured bank loan fund 22,561 — — 22,561 Hedge funds 2,338 — — 2,338 Total other investments 504,693 — 228,998 275,695 Other assets and (liabilities) Assumed and ceded (re)insurance contracts 75,701 — — 75,701 Derivatives (1) (4,082 ) (23 ) (4,045 ) (14 ) Other (4,583 ) — (4,583 ) — Total other assets and (liabilities) 67,036 (23 ) (8,628 ) 75,687 $ 9,221,164 $ 2,513,779 $ 6,348,343 $ 359,042 (1) 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, 2014 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 $ 1,671,471 $ 1,671,471 $ — $ — Agencies 96,208 — 96,208 — Non-U.S. government (Sovereign debt) 280,651 — 280,651 — Non-U.S. government-backed corporate 146,467 — 146,467 — Corporate 1,610,442 — 1,594,782 15,660 Agency mortgage-backed 316,620 — 316,620 — Non-agency mortgage-backed 253,050 — 253,050 — Commercial mortgage-backed 381,051 — 381,051 — Asset-backed 27,610 — 27,610 — Total fixed maturity investments 4,783,570 1,671,471 3,096,439 15,660 Short term investments 1,013,222 — 1,013,222 — Equity investments trading 322,098 322,098 — — Other investments Private equity partnerships 281,932 — — 281,932 Catastrophe bonds 200,329 — 200,329 — Senior secured bank loan funds 19,316 — — 19,316 Hedge funds 2,570 — — 2,570 Total other investments 504,147 — 200,329 303,818 Other assets and (liabilities) Assumed and ceded (re)insurance contracts (8,744 ) — — (8,744 ) Derivatives (1) 6,345 (569 ) 7,104 (190 ) Other (11,509 ) — (11,509 ) — Total other assets and (liabilities) (13,908 ) (569 ) (4,405 ) (8,934 ) $ 6,609,129 $ 1,993,000 $ 4,305,585 $ 310,544 (1) 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 observable and unobservable inputs (Level 3) used in determining the fair value of assets and liabilities measured at fair value on a recurring basis: At June 30, 2015 Fair Value (Level 3) Valuation Technique Unobservable (U) and Observable (O) Inputs Low High Weighted Average or Actual Fixed maturity investments Corporate $ 7,660 Discounted cash flow (“DCF”) Credit spread (U) n/a n/a 3.6 % Liquidity discount (U) n/a n/a 1.0 % Risk-free rate (O) n/a n/a 0.3 % Dividend rate (O) n/a n/a 6.5 % Total fixed maturity investments 7,660 Other investments Private equity partnerships 250,796 Net asset valuation Estimated performance (U) (30.2 )% 14.0 % 3.1 % Senior secured bank loan fund 22,561 Net asset valuation Estimated performance (U) n/a n/a 1.2 % Hedge funds 2,338 Net asset valuation Estimated performance (U) 0.0 % 0.0 % 0.0 % Total other investments 275,695 Other assets and (liabilities) Assumed and ceded (re)insurance contracts 82,905 Internal valuation model Estimated performance (U) n/a n/a 3.0 % Assumed and ceded (re)insurance contracts (1,308 ) Internal valuation model Bond price (U) $ 96.23 $ 99.78 $ 97.48 Liquidity premium (U) n/a n/a 1.3 % Assumed and ceded (re)insurance contracts (5,896 ) Internal valuation model Net undiscounted cash flows (U) n/a n/a $ (9,233 ) Expected loss ratio (U) n/a n/a 28.0 % Net acquisition expense ratio (O) n/a n/a 14.0 % Contract period (O) 194 1,100 824 Discount rate (U) n/a n/a 1.0 % Total assumed and ceded (re)insurance contracts 75,701 Weather contract (14 ) Internal valuation model See below n/a n/a See below Total other assets and (liabilities) 75,687 $ 359,042 |
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. Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Fixed maturity investments trading Other investments Other assets and (liabilities) Total Balance - April 1, 2015 $ 15,474 $ 293,126 $ 72,969 $ 381,569 Total unrealized (losses) gains Included in net investment income (314 ) (106 ) 16 (404 ) Included in other income (loss) — — (348 ) (348 ) Total realized gains Included in other income (loss) — — 1,512 1,512 Total foreign exchange gains (losses) — 654 (6 ) 648 Purchases — 5,137 1,544 6,681 Settlements (7,500 ) (23,116 ) — (30,616 ) Balance - June 30, 2015 $ 7,660 $ 275,695 $ 75,687 $ 359,042 Change in unrealized gains for the period included in earnings for assets held at the end of the period included in net investment income $ (132 ) $ (106 ) $ 16 $ (404 ) Change in unrealized gains for the period included in earnings for assets held at the end of the period included in other income (loss) $ — $ — $ (348 ) $ (348 ) Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Fixed maturity investments trading Other investments Other assets and (liabilities) Total Balance - January 1, 2015 $ 15,660 $ 303,818 $ (8,934 ) $ 310,544 Total unrealized (losses) gains Included in net investment income (500 ) 4,908 176 4,584 Included in other income (loss) — — (348 ) (348 ) Total realized gains Included in other income (loss) — — 2,828 2,828 Total foreign exchange losses — (1,844 ) — (1,844 ) Purchases — 10,875 81,965 92,840 Settlements (7,500 ) (42,062 ) — (49,562 ) Balance - June 30, 2015 $ 7,660 $ 275,695 $ 75,687 $ 359,042 Change in unrealized gains for the period included in earnings for assets held at the end of the period included in net investment income $ (318 ) $ 4,908 $ 176 $ 4,584 Change in unrealized gains for the period included in earnings for assets held at the end of the period included in other income (loss) $ — $ — $ (348 ) $ (348 ) Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Fixed maturity investments trading Other investments Other assets and (liabilities) Total Balance - April 1, 2014 $ 37,138 $ 342,778 $ (1,307 ) $ 378,609 Total unrealized gains Included in net investment income 9,038 1,579 179 10,796 Included in other income (loss) — — 2,220 2,220 Total foreign exchange losses — (205 ) (21 ) (226 ) Purchases — 10,391 — 10,391 Settlements — (20,394 ) — (20,394 ) Balance - June 30, 2014 $ 46,176 $ 334,149 $ 1,071 $ 381,396 Change in unrealized gains for the period included in earnings for assets held at the end of the period included in net investment income $ 9,038 $ 1,579 $ — $ 10,617 Change in unrealized gains for the period included in earnings for assets held at the end of the period included in other income (loss) $ — $ — $ 2,220 $ 2,220 Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Fixed maturity investments trading Other investments Other assets and (liabilities) Total Balance - January 1, 2014 $ 27,580 $ 344,248 $ (2,490 ) $ 369,338 Total unrealized gains Included in net investment income 18,596 9,455 1,395 29,446 Included in other income (loss) — — 2,220 2,220 Total foreign exchange losses — (199 ) (54 ) (253 ) Purchases — 25,392 — 25,392 Settlements — (44,747 ) — (44,747 ) Balance - June 30, 2014 $ 46,176 $ 334,149 $ 1,071 $ 381,396 Change in unrealized gains for the period included in earnings for assets held at the end of the period included in net investment income $ 18,596 $ 9,455 $ 1,395 $ 29,446 Change in unrealized gains for the period included in earnings for assets held at the end of the period included in other income (loss) $ — $ — $ 2,220 $ 2,220 |
Schedule Of The Balances The Company Has Elected To Account For At Fair Value | Below is a summary of the balances the Company has elected to account for at fair value: June 30, December 31, Other investments $ 504,693 $ 504,147 Other assets $ 88,086 $ 5,664 Other liabilities $ 12,385 $ 14,408 |
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: At June 30, 2015 Fair Value Unfunded Redemption Frequency Redemption Redemption Private equity partnerships $ 250,796 $ 182,880 See below See below See below Senior secured bank loan fund 22,561 3,182 See below See below See below Hedge funds 2,338 — See below See below See below Total other investments measured using net asset valuations $ 275,695 $ 186,062 |
Reinsurance (Tables)
Reinsurance (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Supplemental Schedule of Reinsurance Premiums for Insurance Companies [Abstract] | |
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 Six months ended June 30, 2015 June 30, 2014 June 30, 2015 June 30, 2014 Premiums written Direct $ 34,340 $ 19,707 $ 65,153 $ 33,562 Assumed 627,657 491,833 1,240,422 1,183,238 Ceded (153,320 ) (165,133 ) (392,863 ) (420,046 ) Net premiums written $ 508,677 $ 346,407 $ 912,712 $ 796,754 Premiums earned Direct $ 21,606 $ 14,949 $ 44,507 $ 29,178 Assumed 468,372 350,389 850,975 735,987 Ceded (110,150 ) (104,922 ) (218,894 ) (218,215 ) Net premiums earned $ 379,828 $ 260,416 $ 676,588 $ 546,950 Claims and claim expenses Gross claims and claim expenses incurred $ 222,819 $ 97,064 $ 311,814 $ 165,214 Claims and claim expenses recovered (53,475 ) (15,676 ) (65,617 ) (24,911 ) Net claims and claim expenses incurred $ 169,344 $ 81,388 $ 246,197 $ 140,303 |
Debt and Credit Facilities (Tab
Debt and Credit Facilities (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Schedule Debt Obligations | A summary of the Company’s debt obligations on its consolidated balance sheets is set forth below: June 30, 2015 December 31, 2014 Fair Value Carrying Value Fair Value Carrying Value 3.700% Senior Notes due 2025 $ 290,025 $ 299,415 $ — $ — 5.75% Senior Notes due 2020 275,000 249,578 279,000 249,522 Series B 7.50% Senior Notes due 2017 274,063 274,618 — — 4.750% Senior Notes due 2025 (DaVinciRe) 145,688 148,751 — — $ 984,776 $ 972,362 $ 279,000 $ 249,522 |
Schedule of Credit Facilities | A summary of the Company’s credit facilities is set forth below: At June 30, 2015 Issued or Drawn RenaissanceRe Revolving Credit Facility $ — Uncommitted Standby Letter of Credit Facility with Wells Fargo 160,342 Uncommitted Standby Letter of Credit Facility with NAB — Bilateral Letter of Credit Facility with Citibank Europe 143,778 Funds at Lloyd’s Letter of Credit Facilities with Citibank Europe Renaissance Reinsurance 300,000 RenaissanceRe Specialty Risks 9,129 Total credit facilities in U.S. dollars $ 613,249 Funds at Lloyd’s Letter of Credit Facilities Renaissance Reinsurance Master Reimbursement Agreement £ 70,000 Total credit facilities in pound sterling £ 70,000 |
Noncontrolling Interests (Table
Noncontrolling Interests (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Noncontrolling Interest [Line Items] | |
Schedule of Activity in Noncontrolling Interest | A summary of the Company’s noncontrolling interests on its consolidated balance sheets is set forth below: June 30, December 31, 2014 Redeemable noncontrolling interest - DaVinciRe $ 879,266 $ 1,037,306 Redeemable noncontrolling interest - Medici 109,546 94,402 Redeemable noncontrolling interest $ 988,812 $ 1,131,708 A summary of the Company’s noncontrolling interests on its consolidated statements of operations set forth below: Three months ended Six months ended June 30, June 30, June 30, June 30, Redeemable noncontrolling interest - DaVinciRe $ 12,345 $ 35,706 $ 50,671 $ 76,886 Redeemable noncontrolling interest - Medici (178 ) 372 1,158 1,960 Net income attributable to noncontrolling interests $ 12,167 $ 36,078 $ 51,829 $ 78,846 |
Schedule Of Redeemable Noncontrolling Interest | The activity in redeemable noncontrolling interest – DaVinciRe is detailed in the table below: Three months ended Six months ended June 30, June 30, June 30, June 30, Beginning balance $ 867,734 $ 895,391 $ 1,037,306 $ 1,063,368 Redemption of shares from redeemable noncontrolling interest (813 ) (866 ) (208,711 ) (219,745 ) Sale of shares to redeemable noncontrolling interests — — — 9,722 Net income attributable to redeemable noncontrolling interest 12,345 35,706 50,671 76,886 Ending balance $ 879,266 $ 930,231 $ 879,266 $ 930,231 |
Medici | |
Noncontrolling Interest [Line Items] | |
Schedule Of Noncontrolling Interest | The activity in redeemable noncontrolling interest – Medici is detailed in the table below: Three months ended Six months ended June 30, June 30, June 30, June 30, Beginning balance $ 100,697 $ 91,590 $ 94,402 $ 36,492 Redemption of shares from redeemable noncontrolling interest (2,423 ) — (17,107 ) (1,875 ) Sale of shares to redeemable noncontrolling interests 11,450 1,699 31,093 57,084 Net income attributable to redeemable noncontrolling interest (178 ) 372 1,158 1,960 Ending balance $ 109,546 $ 93,661 $ 109,546 $ 93,661 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
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 Six months ended (thousands of shares) June 30, June 30, June 30, June 30, Numerator: Net income available to RenaissanceRe common shareholders $ 73,233 $ 120,752 $ 241,076 $ 271,755 Amount allocated to participating common shareholders (1) (819 ) (1,557 ) (2,781 ) (3,577 ) Net income allocated to RenaissanceRe common shareholders $ 72,414 $ 119,195 $ 238,295 $ 268,178 Denominator: Denominator for basic income per RenaissanceRe common share - weighted average common shares 45,303 39,736 42,467 40,487 Per common share equivalents of employee stock options and restricted shares 354 659 372 662 Denominator for diluted income per RenaissanceRe common share - adjusted weighted average common shares and assumed conversions 45,657 40,395 42,839 41,149 Net income available to RenaissanceRe common shareholders per common share – basic $ 1.60 $ 3.00 $ 5.61 $ 6.62 Net income available to RenaissanceRe common shareholders per common share – diluted $ 1.59 $ 2.95 $ 5.56 $ 6.52 (1) Represents earnings attributable to holders of unvested restricted shares issued under the Company’s 2001 Stock Incentive Plan and Non-Employee Director Stock Incentive Plan. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Schedule Of Significant Components Of The Company's Revenues And Expenses | A summary of the significant components of the Company’s revenues and expenses is as follows: Three months ended June 30, 2015 Catastrophe Reinsurance Specialty Reinsurance Lloyd’s Other Total Gross premiums written $ 385,366 $ 160,013 $ 116,618 $ — $ 661,997 Net premiums written $ 270,490 $ 139,867 $ 98,320 $ — $ 508,677 Net premiums earned $ 162,705 $ 155,584 $ 61,539 $ — $ 379,828 Net claims and claim expenses incurred 55,376 86,062 27,683 223 169,344 Acquisition expenses 19,314 28,251 14,210 (109 ) 61,666 Operational expenses 22,090 18,747 13,719 117 54,673 Underwriting income (loss) $ 65,925 $ 22,524 $ 5,927 $ (231 ) 94,145 Net investment income 38,604 38,604 Net foreign exchange losses (1,740 ) (1,740 ) Equity in earnings of other ventures 6,160 6,160 Other income 1,427 1,427 Net realized and unrealized losses on investments (26,712 ) (26,712 ) Corporate expenses (13,032 ) (13,032 ) Interest expense (9,698 ) (9,698 ) Income before taxes and noncontrolling interests 89,154 Income tax expense 1,842 1,842 Net income attributable to noncontrolling interests (12,167 ) (12,167 ) Dividends on preference shares (5,596 ) (5,596 ) Net income available to RenaissanceRe common shareholders $ 73,233 Net claims and claim expenses incurred – current accident year $ 67,334 $ 104,315 $ 30,771 $ — $ 202,420 Net claims and claim expenses incurred – prior accident years (11,958 ) (18,253 ) (3,088 ) 223 (33,076 ) Net claims and claim expenses incurred – total $ 55,376 $ 86,062 $ 27,683 $ 223 $ 169,344 Net claims and claim expense ratio – current accident year 41.4 % 67.0 % 50.0 % — % 53.3 % Net claims and claim expense ratio – prior accident years (7.4 )% (11.7 )% (5.0 )% — % (8.7 )% Net claims and claim expense ratio – calendar year 34.0 % 55.3 % 45.0 % — % 44.6 % Underwriting expense ratio 25.5 % 30.2 % 45.4 % — % 30.6 % Combined ratio 59.5 % 85.5 % 90.4 % — % 75.2 % Six months ended June 30, 2015 Catastrophe Reinsurance Specialty Reinsurance Lloyd’s Other Total Gross premiums written (1) $ 774,613 $ 284,304 $ 246,748 $ (90 ) $ 1,305,575 Net premiums written $ 493,130 $ 243,782 $ 175,889 $ (89 ) $ 912,712 Net premiums earned $ 306,472 $ 250,460 $ 119,745 $ (89 ) $ 676,588 Net claims and claim expenses incurred 62,970 125,650 57,526 51 246,197 Acquisition expenses 26,968 48,940 28,903 256 105,067 Operational expenses 42,453 32,037 25,659 145 100,294 Underwriting income (loss) $ 174,081 $ 43,833 $ 7,657 $ (541 ) 225,030 Net investment income 78,311 78,311 Net foreign exchange losses (4,870 ) (4,870 ) Equity in earnings of other ventures 11,455 11,455 Other income 2,966 2,966 Net realized and unrealized gains on investments 15,037 15,037 Corporate expenses (58,630 ) (58,630 ) Interest expense (14,949 ) (14,949 ) Income before taxes and noncontrolling interests 254,350 Income tax benefit 49,746 49,746 Net income attributable to noncontrolling interests (51,829 ) (51,829 ) Dividends on preference shares (11,191 ) (11,191 ) Net income available to RenaissanceRe common shareholders $ 241,076 Net claims and claim expenses incurred – current accident year $ 91,458 $ 153,579 $ 56,381 $ — $ 301,418 Net claims and claim expenses incurred – prior accident years (28,488 ) (27,929 ) 1,145 51 (55,221 ) Net claims and claim expenses incurred – total $ 62,970 $ 125,650 $ 57,526 $ 51 $ 246,197 Net claims and claim expense ratio – current accident year 29.8 % 61.3 % 47.1 % — % 44.5 % Net claims and claim expense ratio – prior accident years (9.3 )% (11.1 )% 0.9 % (57.3 )% (8.1 )% Net claims and claim expense ratio – calendar year 20.5 % 50.2 % 48.0 % (57.3 )% 36.4 % Underwriting expense ratio 22.7 % 32.3 % 45.6 % (450.6 )% 30.3 % Combined ratio 43.2 % 82.5 % 93.6 % (507.9 )% 66.7 % (1) Included in gross premiums written in the Other category is the elimination of inter-segment gross premiums written of $0.1 million for the six months ended June 30, 2015 . Three months ended June 30, 2014 Catastrophe Reinsurance Specialty Reinsurance Lloyd’s Other Total Gross premiums written $ 388,083 $ 51,554 $ 71,903 $ — $ 511,540 Net premiums written $ 233,698 $ 46,254 $ 66,452 $ 3 $ 346,407 Net premiums earned $ 159,152 $ 53,588 $ 47,672 $ 4 $ 260,416 Net claims and claim expenses incurred 36,730 20,075 25,111 (528 ) 81,388 Acquisition expenses 17,806 11,699 10,122 (6,150 ) 33,477 Operational expenses 22,200 10,514 13,058 69 45,841 Underwriting income (loss) $ 82,416 $ 11,300 $ (619 ) $ 6,613 99,710 Net investment income 34,541 34,541 Net foreign exchange gains 2,392 2,392 Equity in earnings of other ventures 7,232 7,232 Other loss (535 ) (535 ) Net realized and unrealized gains on investments 27,128 27,128 Corporate expenses (3,954 ) (3,954 ) Interest expense (4,292 ) (4,292 ) Income before taxes and noncontrolling interests 162,222 Income tax benefit 204 204 Net income attributable to noncontrolling interests (36,078 ) (36,078 ) Dividends on preference shares (5,596 ) (5,596 ) Net income available to RenaissanceRe common shareholders $ 120,752 Net claims and claim expenses incurred – current accident year $ 38,473 $ 25,443 $ 34,555 $ — $ 98,471 Net claims and claim expenses incurred – prior accident years (1,743 ) (5,368 ) (9,444 ) (528 ) (17,083 ) Net claims and claim expenses incurred – total $ 36,730 $ 20,075 $ 25,111 $ (528 ) $ 81,388 Net claims and claim expense ratio – current accident year 24.2 % 47.5 % 72.5 % — % 37.8 % Net claims and claim expense ratio – prior accident years (1.1 )% (10.0 )% (19.8 )% (13,200.0 )% (6.5 )% Net claims and claim expense ratio – calendar year 23.1 % 37.5 % 52.7 % (13,200.0 )% 31.3 % Underwriting expense ratio 25.1 % 41.4 % 48.6 % (152,025.0 )% 30.4 % Combined ratio 48.2 % 78.9 % 101.3 % (165,225.0 )% 61.7 % Six months ended June 30, 2014 Catastrophe Reinsurance Specialty Reinsurance Lloyd’s Other Total Gross premiums written $ 855,794 $ 205,844 $ 155,162 $ — $ 1,216,800 Net premiums written $ 493,187 $ 171,743 $ 131,821 $ 3 $ 796,754 Net premiums earned $ 323,736 $ 123,218 $ 99,969 $ 27 $ 546,950 Net claims and claim expenses incurred 43,185 46,156 51,392 (430 ) 140,303 Acquisition expenses 24,932 28,246 20,689 (6,690 ) 67,177 Operational expenses 42,619 20,620 25,091 135 88,465 Underwriting income $ 213,000 $ 28,196 $ 2,797 $ 7,012 251,005 Net investment income 73,489 73,489 Net foreign exchange gains 1,331 1,331 Equity in earnings of other ventures 11,431 11,431 Other loss (473 ) (473 ) Net realized and unrealized gains on investments 42,055 42,055 Corporate expenses (8,499 ) (8,499 ) Interest expense (8,585 ) (8,585 ) Income before taxes and noncontrolling interests 361,754 Income tax benefit 38 38 Net income attributable to noncontrolling interests (78,846 ) (78,846 ) Dividends on preference shares (11,191 ) (11,191 ) Net income available to RenaissanceRe common shareholders $ 271,755 Net claims and claim expenses incurred – current accident year $ 51,002 $ 67,365 $ 55,712 $ — $ 174,079 Net claims and claim expenses incurred – prior accident years (7,817 ) (21,209 ) (4,320 ) (430 ) (33,776 ) Net claims and claim expenses incurred – total $ 43,185 $ 46,156 $ 51,392 $ (430 ) $ 140,303 Net claims and claim expense ratio – current accident year 15.8 % 54.7 % 55.7 % — % 31.8 % Net claims and claim expense ratio – prior accident years (2.5 )% (17.2 )% (4.3 )% (1,592.6 )% (6.1 )% Net claims and claim expense ratio – calendar year 13.3 % 37.5 % 51.4 % (1,592.6 )% 25.7 % Underwriting expense ratio 20.9 % 39.6 % 45.8 % (24,277.8 )% 28.4 % Combined ratio 34.2 % 77.1 % 97.2 % (25,870.4 )% 54.1 % |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
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, including the location on the consolidated balance sheets and fair value of the Company’s principal derivative instruments: Derivative Assets At June 30, 2015 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 Interest rate futures $ 849 743 $ 106 Other assets $ — $ 106 Foreign currency forward contracts (1) 1,153 133 1,020 Other assets — 1,020 Foreign currency forward contracts (2) 803 157 646 Other assets — 646 Credit default swaps 274 135 139 Other assets 60 79 Total $ 3,079 $ 1,168 $ 1,911 $ 60 $ 1,851 Derivative Liabilities At June 30, 2015 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 Interest rate futures $ 872 743 $ 129 Other liabilities $ 129 $ — Foreign currency forward contracts (1) 6,589 1,017 5,572 Other liabilities — 5,572 Foreign currency forward contracts (2) 320 157 163 Other liabilities — 163 Credit default swaps 250 135 115 Other liabilities — 115 Weather contract 14 — 14 Other liabilities 14 — Total $ 8,045 $ 2,052 $ 5,993 $ 143 $ 5,850 (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. Derivative Assets At December 31, 2014 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 Interest rate futures $ 468 468 $ — Other assets $ — $ — Foreign currency forward contracts (1) 5,740 1,737 4,003 Other assets — 4,003 Foreign currency forward contracts (2) 3,959 648 3,311 Other assets — 3,311 Credit default swaps 468 88 380 Other assets 310 70 Total $ 10,635 $ 2,941 $ 7,694 $ 310 $ 7,384 Derivative Liabilities At December 31, 2014 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 Interest rate futures $ 1,037 468 $ 569 Other liabilities $ 569 $ — Foreign currency forward contracts (1) 1,319 967 352 Other liabilities — 352 Foreign currency forward contracts (2) 724 649 75 Other liabilities — 75 Credit default swaps 251 88 163 Other liabilities — 163 Weather contract 190 — 190 Other liabilities 190 — Total $ 3,521 $ 2,172 $ 1,349 $ 759 $ 590 (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. |
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 June 30, 2015 2014 Interest rate futures Net realized and unrealized (losses) gains on investments $ 19,784 $ (7,362 ) Foreign currency forward contracts (1) Net foreign exchange (losses) gains (10,210 ) (1,990 ) Foreign currency forward contracts (2) Net foreign exchange (losses) gains (3,417 ) 58 Credit default swaps Net realized and unrealized (losses) gains on investments 22 299 Weather contract Net realized and unrealized (losses) gains on investments 10 179 Call rights Other income (loss) — 2,220 Total $ 6,189 $ (6,596 ) Location of gain (loss) recognized on derivatives Amount of gain (loss) recognized on derivatives Six months ended June 30, 2015 2014 Interest rate futures Net realized and unrealized (losses) gains on investments $ 15,376 $ (19,636 ) Foreign currency forward contracts (1) Net foreign exchange (losses) gains (6,599 ) 2,109 Foreign currency forward contracts (2) Net foreign exchange (losses) gains 5,793 (1,341 ) Credit default swaps Net realized and unrealized (losses) gains on investments 62 458 Weather contract Net realized and unrealized (losses) gains on investments 170 1,395 Call rights Other income (loss) — 2,220 Total $ 14,802 $ (14,795 ) (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. |
Condensed Consolidating Finan34
Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries [Abstract] | |
Condensed Consolidating Balance Sheets | Condensed Consolidating Balance Sheet at June 30, 2015 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Assets Total investments $ 182,375 $ — $ 88,177 $ 282,027 $ — $ 8,727,688 $ — $ 9,280,267 Cash and cash equivalents 2,535 9,181 2,146 1,089 224 382,915 — 398,090 Investments in subsidiaries 4,550,601 648,991 258,980 611,580 828,023 — (6,898,175 ) — Due from subsidiaries and affiliates 79,807 27,612 15 — — — (107,434 ) — Premiums receivable — — — — — 1,068,819 — 1,068,819 Prepaid reinsurance premiums — — — — — 276,231 — 276,231 Reinsurance recoverable — — — — — 136,464 — 136,464 Accrued investment income 462 — 173 307 — 36,538 — 37,480 Deferred acquisition costs — — — — — 195,291 (21,883 ) 173,408 Receivable for investments sold 56 — 21 151 — 148,835 — 149,063 Other assets 20,921 — 32,250 3,125 121,323 198,964 (118,962 ) 257,621 Goodwill and other intangible assets 267,945 — — — — 7,798 — 275,743 Total assets $ 5,104,702 $ 685,784 $ 381,762 $ 898,279 $ 949,570 $ 11,179,543 $ (7,146,454 ) $ 12,053,186 Liabilities, Noncontrolling Interests and Shareholders’ Equity Liabilities Reserve for claims and claim expenses $ — $ — $ — $ — $ — $ 2,828,161 $ 19,487 $ 2,847,648 Unearned premiums — — — — — 1,155,596 — 1,155,596 Debt 117,000 — 249,568 250,000 299,415 148,761 (92,382 ) 972,362 Amounts due to subsidiaries and affiliates 60,202 1,872 218 23 407 — (62,722 ) — Reinsurance balances payable — — — — — 512,019 — 512,019 Payable for investments purchased 2,979 — 38 233 — 508,001 — 511,251 Other liabilities 87,577 336 2,380 — 3,357 202,854 (67,950 ) 228,554 Total liabilities 267,758 2,208 252,204 250,256 303,179 5,355,392 (203,567 ) 6,227,430 Redeemable noncontrolling interest — — — — — 988,812 — 988,812 Shareholders’ Equity Total shareholders’ equity 4,836,944 683,576 129,558 648,023 646,391 4,835,339 (6,942,887 ) 4,836,944 Total liabilities, noncontrolling interests and shareholders’ equity $ 5,104,702 $ 685,784 $ 381,762 $ 898,279 $ 949,570 $ 11,179,543 $ (7,146,454 ) $ 12,053,186 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Balance Sheet at December 31, 2014 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Assets Total investments $ 137,006 $ 88,150 $ 6,518,594 $ — $ 6,743,750 Cash and cash equivalents 5,986 1,033 518,565 — 525,584 Investments in subsidiaries 3,509,974 71,796 — (3,581,770 ) — Due from subsidiaries and affiliates 126,548 23 — (126,571 ) — Premiums receivable — — 440,007 — 440,007 Prepaid reinsurance premiums — — 94,810 — 94,810 Reinsurance recoverable — — 66,694 — 66,694 Accrued investment income — 121 26,388 — 26,509 Deferred acquisition costs — — 110,059 — 110,059 Receivable for investments sold 10 — 52,380 — 52,390 Other assets 112,400 1,242 123,661 (101,458 ) 135,845 Goodwill and other intangible assets — — 7,902 — 7,902 Total assets $ 3,891,924 $ 162,365 $ 7,959,060 $ (3,809,799 ) $ 8,203,550 Liabilities, Redeemable Noncontrolling Interest and Shareholders’ Equity Liabilities Reserve for claims and claim expenses $ — $ — $ 1,412,510 $ — $ 1,412,510 Unearned premiums — — 512,386 — 512,386 Debt — 249,522 — — 249,522 Amounts due to subsidiaries and affiliates 6,000 233 — (6,233 ) — Reinsurance balances payable — — 454,580 — 454,580 Payable for investments purchased — — 203,021 — 203,021 Other liabilities 20,209 4,013 351,344 (1,458 ) 374,108 Total liabilities 26,209 253,768 2,933,841 (7,691 ) 3,206,127 Redeemable noncontrolling interest — — 1,131,708 — 1,131,708 Shareholders’ Equity Total shareholders’ equity 3,865,715 (91,403 ) 3,893,511 (3,802,108 ) 3,865,715 Total liabilities, redeemable noncontrolling interest and shareholders’ equity $ 3,891,924 $ 162,365 $ 7,959,060 $ (3,809,799 ) $ 8,203,550 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. |
Condensed Consolidating Statements of Operations | Condensed Consolidating Statement of Operations for RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Revenues Net premiums earned $ — $ — $ — $ — $ — $ 676,588 $ — $ 676,588 Net investment income 2,722 — 631 1,181 504 75,072 (1,799 ) 78,311 Net foreign exchange gains (losses) 2 — — — — (4,872 ) — (4,870 ) Equity in earnings of other ventures — — — — — 11,455 — 11,455 Other income 21,881 663 — — — 1,639 (21,217 ) 2,966 Net realized and unrealized (losses) gains on investments (496 ) — 1,015 (1,388 ) — 15,906 — 15,037 Total revenues 24,109 663 1,646 (207 ) 504 775,788 (23,016 ) 779,487 Expenses Net claims and claim expenses incurred — — — — — 248,435 (2,238 ) 246,197 Acquisition expenses — — — — — 121,855 (16,788 ) 105,067 Operational expenses (2,478 ) 5,919 3,478 1 — 85,849 7,525 100,294 Corporate expenses 22,677 9,162 251 144 84 26,456 (144 ) 58,630 Interest expense 763 — 7,233 6,250 3,006 1,474 (3,777 ) 14,949 Total expenses 20,962 15,081 10,962 6,395 3,090 484,069 (15,422 ) 525,137 Income (loss) before equity in net income (loss) of subsidiaries and taxes 3,147 (14,418 ) (9,316 ) (6,602 ) (2,586 ) 291,719 (7,594 ) 254,350 Equity in net income (loss) of subsidiaries 256,235 (7,362 ) 17,526 (1,581 ) (5,656 ) — (259,162 ) — Income (loss) before taxes 259,382 (21,780 ) 8,210 (8,183 ) (8,242 ) 291,719 (266,756 ) 254,350 Income tax (expense) benefit (7,115 ) — 32,748 2,527 953 20,633 — 49,746 Net income (loss) 252,267 (21,780 ) 40,958 (5,656 ) (7,289 ) 312,352 (266,756 ) 304,096 Net income attributable to noncontrolling interests — — — — — (51,829 ) — (51,829 ) Net income (loss) attributable to RenaissanceRe 252,267 (21,780 ) 40,958 (5,656 ) (7,289 ) 260,523 (266,756 ) 252,267 Dividends on preference shares (11,191 ) — — — — — — (11,191 ) Net income (loss) attributable to RenaissanceRe common shareholders $ 241,076 $ (21,780 ) $ 40,958 $ (5,656 ) $ (7,289 ) $ 260,523 $ (266,756 ) $ 241,076 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Operations for RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Revenues Net premiums earned $ — $ — $ — $ — $ — $ 379,828 $ — $ 379,828 Net investment income 98 — 300 1,221 468 37,342 (825 ) 38,604 Net foreign exchange gains (losses) 12 — — — — (1,752 ) — (1,740 ) Equity in earnings of other ventures — — — — — 6,160 — 6,160 Other income 15,692 497 — — — 431 (15,193 ) 1,427 Net realized and unrealized (losses) gains on investments (535 ) — 609 (1,389 ) — (25,397 ) — (26,712 ) Total revenues 15,267 497 909 (168 ) 468 396,612 (16,018 ) 397,567 Expenses Net claims and claim expenses incurred — — — — — 171,023 (1,679 ) 169,344 Acquisition expenses — — — — — 73,537 (11,871 ) 61,666 Operational expenses (1,300 ) 932 1,588 — — 51,334 2,119 54,673 Corporate expenses 6,373 980 153 109 77 5,449 (109 ) 13,032 Interest expense 468 — 3,616 4,687 2,790 880 (2,743 ) 9,698 Total expenses 5,541 1,912 5,357 4,796 2,867 302,223 (14,283 ) 308,413 Income (loss) before equity in net income (loss) of subsidiaries and taxes 9,726 (1,415 ) (4,448 ) (4,964 ) (2,399 ) 94,389 (1,735 ) 89,154 Equity in net income (loss) of subsidiaries 72,555 (805 ) 127 565 (2,443 ) (11,916 ) (58,083 ) — Income (loss) before taxes 82,281 (2,220 ) (4,321 ) (4,399 ) (4,842 ) 82,473 (59,818 ) 89,154 Income tax (expense) benefit (3,452 ) — 1,743 1,956 888 707 — 1,842 Net income (loss) 78,829 (2,220 ) (2,578 ) (2,443 ) (3,954 ) 83,180 (59,818 ) 90,996 Net income attributable to noncontrolling interests — — — — — (12,167 ) — (12,167 ) Net income (loss) attributable to RenaissanceRe 78,829 (2,220 ) (2,578 ) (2,443 ) (3,954 ) 71,013 (59,818 ) 78,829 Dividends on preference shares (5,596 ) — — — — — — (5,596 ) Net income (loss) attributable to RenaissanceRe common shareholders $ 73,233 $ (2,220 ) $ (2,578 ) $ (2,443 ) $ (3,954 ) $ 71,013 $ (59,818 ) $ 73,233 (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 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Revenues Net premiums earned $ — $ — $ 546,950 $ — $ 546,950 Net investment income 1,361 919 73,079 (1,870 ) 73,489 Net foreign exchange gains 7 — 1,324 — 1,331 Equity in earnings of other ventures — — 11,431 — 11,431 Other loss — (8 ) (465 ) — (473 ) Net realized and unrealized gains on investments 84 4,717 37,254 — 42,055 Total revenues 1,452 5,628 669,573 (1,870 ) 674,783 Expenses Net claims and claim expenses incurred — — 140,303 — 140,303 Acquisition expenses — — 67,177 — 67,177 Operational expenses (2,116 ) 3,578 87,171 (168 ) 88,465 Corporate expenses 7,470 118 911 — 8,499 Interest expense — 7,233 1,352 — 8,585 Total expenses 5,354 10,929 296,914 (168 ) 313,029 (Loss) income before equity in net income of subsidiaries and taxes (3,902 ) (5,301 ) 372,659 (1,702 ) 361,754 Equity in net income of subsidiaries 286,848 815 — (287,663 ) — Income (loss) before taxes 282,946 (4,486 ) 372,659 (289,365 ) 361,754 Income tax benefit (expense) — 646 (608 ) — 38 Net income (loss) 282,946 (3,840 ) 372,051 (289,365 ) 361,792 Net income attributable to noncontrolling interests — — (78,846 ) — (78,846 ) Net income (loss) attributable to RenaissanceRe 282,946 (3,840 ) 293,205 (289,365 ) 282,946 Dividends on preference shares (11,191 ) — — — (11,191 ) Net income (loss) available (attributable) to RenaissanceRe common shareholders $ 271,755 $ (3,840 ) $ 293,205 $ (289,365 ) $ 271,755 (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 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Revenues Net premiums earned $ — $ — $ 260,416 $ — $ 260,416 Net investment income 736 445 34,293 (933 ) 34,541 Net foreign exchange gains 6 — 2,386 — 2,392 Equity in earnings of other ventures — — 7,232 — 7,232 Other loss — — (535 ) — (535 ) Net realized and unrealized gains on investments 190 4,340 22,598 — 27,128 Total revenues 932 4,785 326,390 (933 ) 331,174 Expenses Net claims and claim expenses incurred — — 81,388 — 81,388 Acquisition expenses — — 33,477 — 33,477 Operational expenses (1,236 ) 1,684 45,483 (90 ) 45,841 Corporate expenses 3,468 59 427 — 3,954 Interest expense — 3,616 676 — 4,292 Total expenses 2,232 5,359 161,451 (90 ) 168,952 (Loss) income before equity in net income (loss) of subsidiaries and taxes (1,300 ) (574 ) 164,939 (843 ) 162,222 Equity in net income (loss) of subsidiaries 127,648 (38 ) — (127,610 ) — Income (loss) before taxes 126,348 (612 ) 164,939 (128,453 ) 162,222 Income tax (expense) benefit — (38 ) 242 — 204 Net income (loss) 126,348 (650 ) 165,181 (128,453 ) 162,426 Net income attributable to noncontrolling interests — — (36,078 ) — (36,078 ) Net income (loss) attributable to RenaissanceRe 126,348 (650 ) 129,103 (128,453 ) 126,348 Dividends on preference shares (5,596 ) — — — (5,596 ) Net income (loss) available (attributable) to RenaissanceRe common shareholders $ 120,752 $ (650 ) $ 129,103 $ (128,453 ) $ 120,752 (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 (Loss) | Condensed Consolidating Statement of Comprehensive Income (Loss) for the six months ended June 30, 2014 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Comprehensive income (loss) Net income (loss) $ 282,946 $ (3,840 ) $ 372,051 $ (289,365 ) $ 361,792 Change in net unrealized gains on investments — — (213 ) — (213 ) Comprehensive income (loss) 282,946 (3,840 ) 371,838 (289,365 ) 361,579 Net income attributable to noncontrolling interests — — (78,846 ) — (78,846 ) Comprehensive income attributable to noncontrolling interests — — (78,846 ) — (78,846 ) Comprehensive income (loss) attributable to RenaissanceRe $ 282,946 $ (3,840 ) $ 292,992 $ (289,365 ) $ 282,733 (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 (Loss) for the six months ended June 30, 2015 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Comprehensive income (loss) Net income (loss) $ 252,267 $ (21,780 ) $ 40,958 $ (5,656 ) $ (7,289 ) $ 312,352 $ (266,756 ) $ 304,096 Change in net unrealized gains on investments — — — — — (423 ) — (423 ) Comprehensive income (loss) 252,267 (21,780 ) 40,958 (5,656 ) (7,289 ) 311,929 (266,756 ) 303,673 Net income attributable to noncontrolling interests — — — — — (51,829 ) — (51,829 ) Comprehensive income attributable to noncontrolling interests — — — — — (51,829 ) — (51,829 ) Comprehensive income (loss) attributable to RenaissanceRe $ 252,267 $ (21,780 ) $ 40,958 $ (5,656 ) $ (7,289 ) $ 260,100 $ (266,756 ) $ 251,844 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments. Condensed Consolidating Statement of Comprehensive Income (Loss) for the three months ended June 30, 2014 RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings Inc. (Subsidiary Issuer) Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1) Consolidating Adjustments (2) RenaissanceRe Consolidated Comprehensive income (loss) Net income (loss) $ 126,348 $ (650 ) $ 165,181 $ (128,453 ) $ 162,426 Change in net unrealized gains on investments — — (45 ) — (45 ) Comprehensive income (loss) 126,348 (650 ) 165,136 (128,453 ) 162,381 Net income attributable to noncontrolling interests — — (36,078 ) — (36,078 ) Comprehensive income attributable to noncontrolling interests — — (36,078 ) — (36,078 ) Comprehensive income (loss) attributable to RenaissanceRe $ 126,348 $ (650 ) $ 129,058 $ (128,453 ) $ 126,303 (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 (Loss) for the three months ended June 30, 2015 RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other Consolidating RenaissanceRe Comprehensive income (loss) Net income (loss) $ 78,829 $ (2,220 ) $ (2,578 ) $ (2,443 ) $ (3,954 ) $ 83,180 $ (59,818 ) $ 90,996 Change in net unrealized gains on investments — — — — — (349 ) — (349 ) Comprehensive income (loss) 78,829 (2,220 ) (2,578 ) (2,443 ) (3,954 ) 82,831 (59,818 ) 90,647 Net income attributable to noncontrolling interests — — — — — (12,167 ) — (12,167 ) Comprehensive income attributable to noncontrolling interests — — — — — (12,167 ) — (12,167 ) Comprehensive income (loss) attributable to RenaissanceRe $ 78,829 $ (2,220 ) $ (2,578 ) $ (2,443 ) $ (3,954 ) $ 70,664 $ (59,818 ) $ 78,480 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. (2) Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments. |
Condensed Consolidating Statements Of Cash Flows | Condensed Consolidating Statement of Cash Flows RenaissanceRe Platinum Underwriters Holdings, Ltd. (Subsidiary Guarantor) RenRe North Platinum Underwriters Finance, Inc. (Subsidiary Issuer) RenaissanceRe Finance, Inc. (Subsidiary Issuer) Other RenaissanceRe Consolidated Cash flows provided by (used in) operating activities Net cash provided by (used in) operating activities $ 66,113 $ (1,326 ) $ (5,393 ) $ (10,030 ) $ (119,583 ) $ 40,849 $ (29,370 ) Cash flows (used in) provided by investing activities Proceeds from sales and maturities of fixed maturity investments trading 14,718 — 7,016 45,087 — 4,695,154 4,761,975 Purchases of fixed maturity investments trading (56,559 ) — (38,668 ) — — (4,500,891 ) (4,596,118 ) Proceeds from sales and maturities of fixed maturity investments available for sale — — — — — 5,000 5,000 Net sales (purchases) of equity investments trading — — 33,687 (273,501 ) — 73,329 (166,485 ) Net (purchases) sales of short term investments (1,088 ) — (5,848 ) 238,048 — 129,050 360,162 Net purchases of other investments — — — — — (1,250 ) (1,250 ) Net purchases of investments in other ventures — — — — — (45 ) (45 ) Net sales of other assets — — — — — 4,500 4,500 Dividends and return of capital from subsidiaries 1,009,161 (30,000 ) — — — (979,161 ) — Contributions to subsidiaries (205,362 ) — 10,342 — (180,000 ) 375,020 — Due (from) to subsidiary (3,595 ) (21,913 ) (23 ) (52 ) 407 25,176 — Net purchase of Platinum (904,433 ) 62,420 — 1,537 — 162,324 (678,152 ) Net cash (used in) provided by investing activities (147,158 ) 10,507 6,506 11,119 (179,593 ) (11,794 ) (310,413 ) Cash flows provided by (used in) financing activities Dividends paid – RenaissanceRe common shares (27,479 ) — — — — — (27,479 ) Dividends paid – preference shares (11,191 ) — — — — — (11,191 ) RenaissanceRe common share repurchases (736 ) — — — — — (736 ) Net issuance (repayment) of debt 117,000 — — — 299,400 29,189 445,589 Net third party redeemable noncontrolling interest share transactions — — — — — (187,064 ) (187,064 ) Net cash provided by (used in) financing activities 77,594 — — — 299,400 (157,875 ) 219,119 Effect of exchange rate changes on foreign currency cash — — — — — (6,830 ) (6,830 ) Net (decrease) increase in cash and cash equivalents (3,451 ) 9,181 1,113 1,089 224 (135,650 ) (127,494 ) Cash and cash equivalents, beginning of period 5,986 — 1,033 — — 518,565 525,584 Cash and cash equivalents, end of period $ 2,535 $ 9,181 $ 2,146 $ 1,089 $ 224 $ 382,915 $ 398,090 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. Condensed Consolidating Statement of Cash Flows RenaissanceRe Holdings Ltd. (Parent Guarantor) RenRe North America Holdings 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 $ (14,828 ) $ (8,410 ) $ 196,624 $ 173,386 Cash flows provided by (used in) investing activities Proceeds from sales and maturities of fixed maturity investments trading 4,912 5,353 4,009,909 4,020,174 Purchases of fixed maturity investments trading (79,714 ) — (3,890,603 ) (3,970,317 ) Proceeds from sales and maturities of fixed maturity investments available for sale — — 5,114 5,114 Net purchases of equity investments trading — (370 ) (10,776 ) (11,146 ) Net sales (purchases) of short term investments 116,511 (68 ) (26,894 ) 89,549 Net sales of other investments — — 68,684 68,684 Net sales of investments in other ventures — — 1,030 1,030 Net sales of other assets — — 6,000 6,000 Dividends and return of capital from subsidiaries 359,891 5,406 (365,297 ) — Contributions to subsidiaries (47,220 ) (1,950 ) 49,170 — Due to (from) subsidiaries 4,123 (777 ) (3,346 ) — Net cash provided by (used in) investing activities 358,503 7,594 (157,009 ) 209,088 Cash flows used in financing activities Dividends paid – RenaissanceRe common shares (23,550 ) — — (23,550 ) Dividends paid – preference shares (11,191 ) — — (11,191 ) RenaissanceRe common share repurchases (314,536 ) — — (314,536 ) Net third party redeemable noncontrolling interest share transactions — — (144,096 ) (144,096 ) Net cash used in financing activities (349,277 ) — (144,096 ) (493,373 ) Effect of exchange rate changes on foreign currency cash — — (2,676 ) (2,676 ) Net decrease in cash and cash equivalents (5,602 ) (816 ) (107,157 ) (113,575 ) Cash and cash equivalents, beginning of period 8,796 4,027 395,209 408,032 Cash and cash equivalents, end of period $ 3,194 $ 3,211 $ 288,052 $ 294,457 (1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations. |
Organization (Details)
Organization (Details) | Nov. 13, 2014 |
RenaissanceRe Upsilon Fund Ltd | Variable Interest Entity, Not Primary Beneficiary | |
Variable Interest Entity [Line Items] | |
Percent of segregated funds owned by third party investors | 100.00% |
Acquisition of Platinum Narrati
Acquisition of Platinum Narrative (Details) - USD ($) | Jun. 30, 2015 | Mar. 31, 2015 | Mar. 24, 2015 | Mar. 02, 2015 | Jun. 30, 2015 | Mar. 01, 2015 | Dec. 31, 2014 | Jun. 30, 2015 |
Bridge Loan | ||||||||
Business Acquisition [Line Items] | ||||||||
Short-term debt | $ 300,000,000 | |||||||
Common Shares | ||||||||
Business Acquisition [Line Items] | ||||||||
Dividends per common share, in usd per share | $ 0.3 | $ 0.3 | ||||||
Platinum | ||||||||
Business Acquisition [Line Items] | ||||||||
Dividends per common share, in usd per share | $ 10 | |||||||
Dividends paid, value | 253,203,000 | $ 253,203,000 | ||||||
Funds available to fund acquisition | $ 604,400,000 | |||||||
RenaissanceRe Finance, Inc. | 3.700% Senior Notes Due April 1, 2025 | ||||||||
Business Acquisition [Line Items] | ||||||||
Debt issued | $ 300,000,000 | |||||||
Senior notes interest rate | 3.70% | |||||||
Debt instrument maturity date | April 1, 2025 | |||||||
Platinum | ||||||||
Business Acquisition [Line Items] | ||||||||
Percent acquired | 100.00% | |||||||
Share price, in usd per share | $ 76 | |||||||
Aggregate consideration transferred | $ 1,932,405,000 | |||||||
Cash consideration paid by RenaissanceRe to common shareholders of Platinum and holders of Platinum equity awards | 1,160,000,000 | |||||||
Transaction-related costs | $ 6,700,000 | $ 48,200,000 | ||||||
Acquisition-related costs | 12,500,000 | |||||||
Integration-related costs | 3,700,000 | |||||||
Compensation-related costs | 32,000,000 | |||||||
Goodwill | 191,729,000 | |||||||
Finite lived intangible assets acquired | $ 75,200,000 | |||||||
Weighted average useful life | 8 years | |||||||
Indefinite lived intangible assets acquired | $ 8,400,000 | |||||||
Adjustment to deferred tax asset | 29,069,000 | |||||||
Total adjustments for fair value of the identifiable intangible assets | $ (13,115,000) | |||||||
Reduction in deferred tax asset valuation allowance | 47,400,000 | |||||||
Platinum | Common Shares | ||||||||
Business Acquisition [Line Items] | ||||||||
Share price, in usd per share | $ 35.96 | |||||||
Shares issued | 7,434,561 | |||||||
Shares issued, value | $ 761,819,000 | |||||||
Cash consideration paid by RenaissanceRe to common shareholders of Platinum and holders of Platinum equity awards | $ 904,433,000 | |||||||
Platinum | Platinum | ||||||||
Business Acquisition [Line Items] | ||||||||
Transaction-related costs | $ 5,800,000 | $ 34,200,000 |
Acquisition of Platinum Purchas
Acquisition of Platinum Purchase Price (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 30, 2015 | Mar. 31, 2015 | Mar. 02, 2015 | Mar. 01, 2015 |
Common Shares | ||||
Business Acquisition [Line Items] | ||||
Dividends per common share, in usd per share | $ 0.3 | $ 0.3 | ||
Share price, in usd per share | $ 102.47 | |||
Platinum | ||||
Business Acquisition [Line Items] | ||||
Agreed cash price paid to common shareholders of Platinum and Platinum Awards, in usd per share | $ 76 | |||
Cash consideration paid by RenaissanceRe to common shareholders of Platinum and holders of Platinum equity awards | $ 1,160,000 | |||
Aggregate consideration transferred | 1,932,405 | |||
Total net purchase price paid by RenaissanceRe | $ 1,679,202 | |||
Platinum | Common Shares | ||||
Business Acquisition [Line Items] | ||||
Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum | 25,320,312 | |||
Shares issued | 7,434,561 | |||
Shares issued, value | $ 761,819 | |||
Fair value of Platinum common shares owned by RenaissanceRe and canceled in connection with the acquisition of Platinum | $ 12,950 | |||
Platinum common shares owned by RenaissanceRe and canceled in connection with the acquisition of Platinum | (169,220) | |||
Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum excluding those owned by RenaissanceRe and canceled in connection with the acquisition of Platinum | 25,151,092 | |||
Agreed cash price paid to common shareholders of Platinum and Platinum Awards, in usd per share | $ 35.96 | |||
Cash consideration paid by RenaissanceRe to common shareholders of Platinum and holders of Platinum equity awards | $ 904,433 | |||
Platinum | ||||
Business Acquisition [Line Items] | ||||
Number of Platinum common shares and Platinum equity awards canceled in the acquisition of Platinum | 25,320,312 | |||
Dividends per common share, in usd per share | $ 10 | |||
Dividends paid, value | $ 253,203 | $ 253,203 |
Acquisition of Platinum Fair Va
Acquisition of Platinum Fair Value of Net Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Mar. 02, 2015 | Mar. 01, 2015 | Jun. 30, 2015 | Dec. 31, 2014 |
Business Acquisition [Line Items] | ||||
Shareholders’ equity of Platinum prior to Special Dividend | $ 4,836,944 | $ 3,865,715 | ||
Platinum | ||||
Adjustments for Fair Value, By Applicable Balance Sheet Caption [Abstract] | ||||
Deferred acquisition costs | $ (44,486) | |||
Debt | (28,899) | |||
Reserve for claims and claim expenses | (21,725) | |||
Other assets - deferred debt issuance costs | (1,046) | |||
Total adjustments for fair value by applicable balance sheet caption before tax impact | (96,156) | |||
Other assets - net deferred tax asset related to fair value adjustments | 29,069 | |||
Total adjustments for fair value by applicable balance sheet caption | (67,087) | |||
Adjustments for Fair Value of the Identifiable Intangible Assets [Abstract] | ||||
Identifiable indefinite lived intangible assets (insurance licenses) | 8,400 | |||
Identifiable finite lived intangible assets (non-contractual relationships, renewal rights, value of business acquired, trade name, internally developed and used computer software and covenants not to compete) | 75,200 | |||
Identifiable intangible assets before tax impact | $ 83,600 | |||
Total adjustments for fair value of the identifiable intangible assets | (13,115) | |||
Total adjustments for fair value of the identifiable intangible assets | 70,485 | |||
Total adjustments for fair value by applicable balance sheet caption and identifiable intangible assets | 3,398 | |||
Shareholders’ equity of Platinum at fair value | 1,487,473 | |||
Total net purchase price paid by RenaissanceRe | 1,679,202 | |||
Excess purchase price over the fair value of net assets acquired assigned to goodwill | 191,729 | |||
Platinum | ||||
Business Acquisition [Line Items] | ||||
Shareholders’ equity of Platinum prior to Special Dividend | 1,737,278 | |||
Cash and cash equivalents (Special Dividend on Platinum common shares and Platinum equity awards) | (253,203) | $ (253,203) | ||
Adjusted shareholders’ equity of Platinum at March 2, 2015 | $ 1,484,075 |
Acquisition of Platinum Intangi
Acquisition of Platinum Intangible Assets (Details) - Platinum - USD ($) $ in Thousands | Mar. 02, 2015 | Jun. 30, 2015 |
Business Acquisition [Line Items] | ||
Finite lived intangible assets acquired | $ 75,200 | |
Indefinite lived intangible assets acquired | 8,400 | |
Identifiable intangible assets, before amortization, at March 2, 2015 | 83,600 | |
Amortization (from March 2, 2015 through June 30, 2015) | $ (7,385) | |
Net identifiable intangible assets at June 30, 2015 related to the acquisition of Platinum | $ 76,215 | |
Insurance licenses | ||
Business Acquisition [Line Items] | ||
Indefinite lived intangible assets acquired | 8,400 | |
Key non-contractual relationships | ||
Business Acquisition [Line Items] | ||
Finite lived intangible assets acquired | $ 30,400 | |
Useful life | 10 years | |
Value of business acquired | ||
Business Acquisition [Line Items] | ||
Finite lived intangible assets acquired | $ 20,200 | |
Useful life | 2 years | |
Renewal rights | ||
Business Acquisition [Line Items] | ||
Finite lived intangible assets acquired | $ 15,800 | |
Useful life | 15 years | |
Internally developed and used computer software | ||
Business Acquisition [Line Items] | ||
Finite lived intangible assets acquired | $ 3,500 | |
Useful life | 2 years | |
Other non-contractual relationships | ||
Business Acquisition [Line Items] | ||
Finite lived intangible assets acquired | $ 2,300 | |
Useful life | 3 years | |
Non-compete agreements | ||
Business Acquisition [Line Items] | ||
Finite lived intangible assets acquired | $ 1,900 | |
Useful life | 2 years 6 months | |
Trade name | ||
Business Acquisition [Line Items] | ||
Finite lived intangible assets acquired | $ 1,100 | |
Useful life | 6 months |
Acquisition of Platinum Financi
Acquisition of Platinum Financial Results (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Business Acquisition [Line Items] | |||||
Revenues | $ 397,567 | $ 331,174 | $ 779,487 | $ 674,783 | |
Net income available to RenaissanceRe common shareholders | 73,233 | $ 120,752 | 241,076 | $ 271,755 | |
Platinum | |||||
Business Acquisition [Line Items] | |||||
Transaction-related costs | $ 6,700 | 48,200 | |||
Revenues | 106,691 | 146,830 | |||
Net income available to RenaissanceRe common shareholders | 5,004 | (14,435) | |||
Platinum | Platinum | |||||
Business Acquisition [Line Items] | |||||
Transaction-related costs | $ 5,800 | $ 34,200 |
Acquisition of Platinum Supplem
Acquisition of Platinum Supplemental ProForma Information (Details) - Platinum - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Business Acquisition [Line Items] | ||||
Total revenues | $ 397,567 | $ 488,999 | $ 858,120 | $ 1,003,016 |
Net income available to RenaissanceRe common shareholders | $ 73,233 | $ 174,678 | $ 256,039 | $ 373,772 |
Investments (Schedule of Fair V
Investments (Schedule of Fair Value of Fixed Maturity Investments Trading) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | $ 6,591,434 | $ 4,756,685 |
U.S. treasuries | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 2,020,746 | 1,671,471 |
Agencies | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 144,947 | 96,208 |
Municipal | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 806,724 | 0 |
Non-U.S. government (Sovereign Debt) | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 370,613 | 280,651 |
Non-U.S. government-backed corporate | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 172,381 | 146,467 |
Corporate | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 1,865,369 | 1,610,442 |
Agency mortgage-backed | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 474,966 | 312,333 |
Non-agency mortgage-backed | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 253,044 | 241,590 |
Commercial mortgage-backed | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | 419,218 | 373,117 |
Asset-backed | ||
Investment [Line Items] | ||
Fixed maturity investments trading, at fair value | $ 63,426 | $ 24,406 |
Investments (Schedule of Fair43
Investments (Schedule of Fair Value of Fixed Maturity Investments Available for Sale) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Investment [Line Items] | ||
Available for Sale, Amortized Cost | $ 19,384 | $ 23,772 |
Available for Sale, Fair Value | 21,754 | 26,885 |
Fixed maturity investments | ||
Investment [Line Items] | ||
Available for Sale, Amortized Cost | 19,384 | 23,772 |
Gross Unrealized Gains | 2,382 | 3,116 |
Gross Unrealized Losses | (12) | (3) |
Available for Sale, Fair Value | 21,754 | 26,885 |
Non-Credit Other-Than-Temporary Impairments | 613 | 656 |
Agency mortgage-backed | ||
Investment [Line Items] | ||
Available for Sale, Amortized Cost | 903 | 3,928 |
Gross Unrealized Gains | 10 | 359 |
Gross Unrealized Losses | (9) | 0 |
Available for Sale, Fair Value | 904 | 4,287 |
Non-Credit Other-Than-Temporary Impairments | 0 | 0 |
Non-agency mortgage-backed | ||
Investment [Line Items] | ||
Available for Sale, Amortized Cost | 8,498 | 9,478 |
Gross Unrealized Gains | 1,790 | 1,985 |
Gross Unrealized Losses | (3) | (3) |
Available for Sale, Fair Value | 10,285 | 11,460 |
Non-Credit Other-Than-Temporary Impairments | 613 | 656 |
Commercial mortgage-backed | ||
Investment [Line Items] | ||
Available for Sale, Amortized Cost | 7,182 | 7,291 |
Gross Unrealized Gains | 495 | 643 |
Gross Unrealized Losses | 0 | 0 |
Available for Sale, Fair Value | 7,677 | 7,934 |
Non-Credit Other-Than-Temporary Impairments | 0 | 0 |
Asset-backed | ||
Investment [Line Items] | ||
Available for Sale, Amortized Cost | 2,801 | 3,075 |
Gross Unrealized Gains | 87 | 129 |
Gross Unrealized Losses | 0 | 0 |
Available for Sale, Fair Value | 2,888 | 3,204 |
Non-Credit Other-Than-Temporary Impairments | $ 0 | $ 0 |
Investments (Schedule of Contra
Investments (Schedule of Contractual Maturities of Fixed Maturity Investments) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Trading Securities [Abstract] | ||
Trading Debt Securities, Amortized Cost, Due in less than one year | $ 220,880 | |
Trading Debt Securities, Amortized Cost, Due after one through five years | 3,862,284 | |
Trading Debt Securities, Amortized Cost, Due after five through ten years | 983,765 | |
Trading Debt Securities, Amortized Cost, Due after ten years | 337,497 | |
Trading Debt Securities, Amortized Cost | 6,603,492 | |
Trading Debt Securities, Fair Value, Due in less than one year | 219,382 | |
Trading Debt Securities, Fair Value, Due after one through five years | 3,859,616 | |
Trading Debt Securities, Fair Value, Due after five through ten years | 970,723 | |
Trading Debt Securities, Fair Value, Due after ten years | 331,059 | |
Trading Debt Securities, Fair Value | 6,591,434 | |
Available-for-sale Securities [Abstract] | ||
Available for Sale, Amortized Cost, Due in less than one year | 0 | |
Available for Sale, Amortized Cost, Due after one through five years | 0 | |
Available for Sale, Amortized Cost, Due after five through ten years | 0 | |
Available for Sale, Amortized Cost, Due after ten years | 0 | |
Available for Sale, Amortized Cost | 19,384 | $ 23,772 |
Available for Sale, Fair Value, Due in less than one year | 0 | |
Available for Sale, Fair Value, Due after one through five years | 0 | |
Available for Sale, Fair Value, Due after five through ten years | 0 | |
Available for Sale, Fair Value, Due after ten years | 0 | |
Available for Sale, Fair Value | 21,754 | $ 26,885 |
Fixed Maturity Investments [Abstract] | ||
Debt Securities, Amortized Cost, Due in less than one year | 220,880 | |
Debt Securities, Amortized Cost, Due after one through five years | 3,862,284 | |
Debt Securities, Amortized Cost, Due after five through ten years | 983,765 | |
Debt Securities, Amortized Cost, Due after ten years | 337,497 | |
Debt Securities, Amortized Cost | 6,622,876 | |
Debt Securities, Fair Value, Due in less than one year | 219,382 | |
Debt Securities, Fair Value, Due after one through give years | 3,859,616 | |
Debt Securities, Fair Value, Due after five through ten years | 970,723 | |
Debt Securities, Fair Value, Due after ten years | 331,059 | |
Debt Securities, Fair Value | 6,613,188 | |
Mortgage-backed | ||
Trading Securities [Abstract] | ||
Trading Debt Securities, Amortized Cost | 1,135,710 | |
Trading Debt Securities, Fair Value | 1,147,228 | |
Available-for-sale Securities [Abstract] | ||
Available for Sale, Amortized Cost | 16,583 | |
Available for Sale, Fair Value | 18,866 | |
Fixed Maturity Investments [Abstract] | ||
Debt Securities, Amortized Cost | 1,152,293 | |
Debt Securities, Fair Value | 1,166,094 | |
Asset-backed | ||
Trading Securities [Abstract] | ||
Trading Debt Securities, Amortized Cost | 63,356 | |
Trading Debt Securities, Fair Value | 63,426 | |
Available-for-sale Securities [Abstract] | ||
Available for Sale, Amortized Cost | 2,801 | |
Available for Sale, Fair Value | 2,888 | |
Fixed Maturity Investments [Abstract] | ||
Debt Securities, Amortized Cost | 66,157 | |
Debt Securities, Fair Value | $ 66,314 |
Investments (Schedule of Fair45
Investments (Schedule of Fair Value of Equity Investments Trading) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Equity investments trading | $ 493,056 | $ 322,098 |
Financials | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Equity investments trading | 228,777 | 222,190 |
Communications and technology | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Equity investments trading | 84,522 | 31,376 |
Industrial, utilities and energy | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Equity investments trading | 71,168 | 28,859 |
Consumer | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Equity investments trading | 50,764 | 19,522 |
Healthcare | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Equity investments trading | 48,572 | 16,582 |
Basic materials | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Equity investments trading | $ 9,253 | $ 3,569 |
Investments (Pledged Investment
Investments (Pledged Investments) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Investments [Abstract] | ||
Cash and investments at fair value on deposit with, or in trust accounts for the benefit of various counterparties | $ 2,463.2 | $ 2,379.4 |
Cash and investments at fair value on deposit with, or in trust accounts for the benefit of U.S. state regulatory authorities | $ 665.8 | $ 691.9 |
Investments (Reverse Purchase A
Investments (Reverse Purchase Agreements) (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Investments, Debt and Equity Securities [Abstract] | ||
Value of reverse repurchase agreements | $ 78.2 | $ 49.3 |
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 | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||||
Investment income before investment expenses | $ 42,227 | $ 37,353 | $ 85,036 | $ 79,135 |
Investment expenses | (3,623) | (2,812) | (6,725) | (5,646) |
Net investment income | 38,604 | 34,541 | 78,311 | 73,489 |
Fixed maturity investments | ||||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||||
Investment income before investment expenses | 33,791 | 26,372 | 59,730 | 50,232 |
Short term investments | ||||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||||
Investment income before investment expenses | 297 | 286 | 494 | 476 |
Equity investments | ||||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||||
Investment income before investment expenses | 1,913 | 779 | 4,517 | 1,575 |
Other investments, Hedge funds and private equity investments | ||||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||||
Investment income before investment expenses | 5,425 | 8,340 | 15,838 | 20,657 |
Other investments, Other | ||||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||||
Investment income before investment expenses | 674 | 1,483 | 4,182 | 6,011 |
Cash and cash equivalents | ||||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | ||||
Investment income before investment expenses | $ 127 | $ 93 | $ 275 | $ 184 |
Investments (Schedule of Net Re
Investments (Schedule of Net Realized and Unrealized Gains on Investments and Net Other-Than-Temporary Impairments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Gain (Loss) on Investments [Line Items] | ||||
Net realized and unrealized (losses) gains on investments | $ (26,712) | $ 27,128 | $ 15,037 | $ 42,055 |
Fixed maturity investments | ||||
Gain (Loss) on Investments [Line Items] | ||||
Gross realized gains | 8,672 | 12,166 | 30,204 | 25,633 |
Gross realized losses | (21,552) | (2,587) | (26,423) | (8,151) |
Net realized (losses) gains on fixed maturity investments | (12,880) | 9,579 | 3,781 | 17,482 |
Net unrealized gains (losses) on investments trading | (48,104) | 29,918 | (22,132) | 57,800 |
Derivatives | ||||
Gain (Loss) on Investments [Line Items] | ||||
Net realized and unrealized gains (losses) on investments-related derivatives | 19,816 | (6,884) | 15,608 | (17,783) |
Equity investments | ||||
Gain (Loss) on Investments [Line Items] | ||||
Net unrealized gains (losses) on investments trading | 5,624 | (10,619) | 1,467 | (20,499) |
Net realized gains on equity investments trading | $ 8,832 | $ 5,134 | $ 16,313 | $ 5,055 |
Investments (Schedule of Compon
Investments (Schedule of Components of Other Comprehensive Income and Reclassification Out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Accumulated Other Comprehensive Income (Loss) Rollforward | ||||
Beginning balance | $ 3,342 | $ 3,963 | $ 3,416 | $ 4,131 |
Other comprehensive income (loss) before reclassifications | (62) | (45) | (85) | (213) |
Realized gains reclassified from accumulated other comprehensive income to net realized and unrealized gains on investments | (287) | (338) | ||
Net current-period other comprehensive income (loss) | (349) | (45) | (423) | (213) |
Ending balance | 2,993 | 3,918 | 2,993 | 3,918 |
Investments in other ventures | ||||
Accumulated Other Comprehensive Income (Loss) Rollforward | ||||
Beginning balance | 412 | 160 | 303 | 163 |
Other comprehensive income (loss) before reclassifications | 211 | 51 | 320 | 48 |
Realized gains reclassified from accumulated other comprehensive income to net realized and unrealized gains on investments | 0 | 0 | ||
Net current-period other comprehensive income (loss) | 211 | 320 | ||
Ending balance | 623 | 211 | 623 | 211 |
Fixed maturity investments available for sale | ||||
Accumulated Other Comprehensive Income (Loss) Rollforward | ||||
Beginning balance | 2,930 | 3,803 | 3,113 | 3,968 |
Other comprehensive income (loss) before reclassifications | (273) | (96) | (405) | (261) |
Realized gains reclassified from accumulated other comprehensive income to net realized and unrealized gains on investments | (287) | (338) | ||
Net current-period other comprehensive income (loss) | (560) | (743) | ||
Ending balance | $ 2,370 | $ 3,707 | $ 2,370 | $ 3,707 |
Investments (Schedule of Fixed
Investments (Schedule of Fixed Maturity Investments Available For Sale In Continual Unrealized Loss Position) (Details) $ in Thousands | Jun. 30, 2015USD ($)securities | Dec. 31, 2014USD ($)securities |
Schedule of Available-for-sale Securities [Line Items] | ||
Fixed maturity investments available for sale in a unrealized loss position | securities | 3 | 2 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | securities | 2 | 2 |
Fixed maturity investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | $ 569 | $ 0 |
Less than 12 Months, Unrealized Losses | (9) | 0 |
12 Months or Greater, Fair Value | 65 | 69 |
12 Months or Greater, Unrealized Losses | (3) | (3) |
Total, Fair Value | 634 | 69 |
Total, Unrealized Losses | (12) | (3) |
Agency mortgage-backed | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 569 | |
Less than 12 Months, Unrealized Losses | (9) | |
12 Months or Greater, Fair Value | 0 | |
12 Months or Greater, Unrealized Losses | 0 | |
Total, Fair Value | 569 | |
Total, Unrealized Losses | (9) | |
Non-agency mortgage-backed | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 Months, Fair Value | 0 | 0 |
Less than 12 Months, Unrealized Losses | 0 | 0 |
12 Months or Greater, Fair Value | 65 | 69 |
12 Months or Greater, Unrealized Losses | (3) | (3) |
Total, Fair Value | 65 | 69 |
Total, Unrealized Losses | $ (3) | $ (3) |
Investments (Rollforward of The
Investments (Rollforward of The Amount of Other-Than-Temporary Impairments Related to Credit Losses Recognized in Earnings for Which a Portion of an Other-Than-Temporary Impairment was Recognized in Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Investments [Abstract] | ||||
Net other-than-temporary impairments | $ 0 | $ 0 | ||
Portion of other-than-temporary impairments recognized in other comprehensive income | 0 | 0 | ||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward] | ||||
Beginning balance | $ 485 | $ 545 | 498 | 561 |
Reductions: | ||||
Securities sold during the period | (19) | (16) | (32) | (32) |
Ending balance | $ 466 | $ 529 | $ 466 | $ 529 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | $ 6,613,188 | $ 4,783,570 |
Short term investments | 1,543,191 | 1,013,222 |
Equity investments trading | 493,056 | 322,098 |
Other investments | 504,693 | 504,147 |
Other assets and (liabilities) | 67,036 | (13,908) |
Total assets and liabilities measured on recurring basis | 9,221,164 | 6,609,129 |
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 | 2,020,746 | 1,671,471 |
Short term investments | 0 | 0 |
Equity investments trading | 493,056 | 322,098 |
Other investments | 0 | 0 |
Other assets and (liabilities) | (23) | (569) |
Total assets and liabilities measured on recurring basis | 2,513,779 | 1,993,000 |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 4,584,782 | 3,096,439 |
Short term investments | 1,543,191 | 1,013,222 |
Equity investments trading | 0 | 0 |
Other investments | 228,998 | 200,329 |
Other assets and (liabilities) | (8,628) | (4,405) |
Total assets and liabilities measured on recurring basis | 6,348,343 | 4,305,585 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 7,660 | 15,660 |
Short term investments | 0 | 0 |
Equity investments trading | 0 | 0 |
Other investments | 275,695 | 303,818 |
Other assets and (liabilities) | 75,687 | (8,934) |
Total assets and liabilities measured on recurring basis | 359,042 | 310,544 |
U.S. treasuries | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 2,020,746 | 1,671,471 |
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 | 2,020,746 | 1,671,471 |
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 |
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 |
Agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 144,947 | 96,208 |
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 |
Agencies | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 144,947 | 96,208 |
Agencies | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 806,724 | |
Municipal | 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 | |
Municipal | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 806,724 | |
Municipal | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | |
Non-U.S. government (Sovereign Debt) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 370,613 | 280,651 |
Non-U.S. government (Sovereign Debt) | 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 |
Non-U.S. government (Sovereign Debt) | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 370,613 | 280,651 |
Non-U.S. government (Sovereign Debt) | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 0 | 0 |
Non-U.S. government-backed corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 172,381 | 146,467 |
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 |
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 | 172,381 | 146,467 |
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 |
Corporate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 1,865,369 | 1,610,442 |
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 |
Corporate | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 1,857,709 | 1,594,782 |
Corporate | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 7,660 | 15,660 |
Agency mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 475,870 | 316,620 |
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 |
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 | 475,870 | 316,620 |
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 |
Non-agency mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 263,329 | 253,050 |
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 |
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 | 263,329 | 253,050 |
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 |
Commercial mortgage-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 426,895 | 381,051 |
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 |
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 | 426,895 | 381,051 |
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 |
Asset-backed | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 66,314 | 27,610 |
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 |
Asset-backed | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturity investments | 66,314 | 27,610 |
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 |
Private equity partnerships | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 250,796 | 281,932 |
Private equity partnerships | 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 |
Private equity partnerships | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Private equity partnerships | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 250,796 | 281,932 |
Catastrophe bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 228,998 | 200,329 |
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 |
Catastrophe bonds | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 228,998 | 200,329 |
Catastrophe bonds | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 0 | 0 |
Senior secured bank loan funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 22,561 | 19,316 |
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 |
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 |
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 | 22,561 | 19,316 |
Hedge funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 2,338 | 2,570 |
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 |
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 |
Hedge funds | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other investments | 2,338 | 2,570 |
Assumed and ceded (re)insurance contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets and (liabilities) | 75,701 | (8,744) |
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 and (liabilities) | 0 | 0 |
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 and (liabilities) | 0 | 0 |
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 and (liabilities) | 75,701 | (8,744) |
Derivatives | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets and (liabilities) | (4,082) | 6,345 |
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 assets and (liabilities) | (23) | (569) |
Derivatives | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets and (liabilities) | (4,045) | 7,104 |
Derivatives | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets and (liabilities) | (14) | (190) |
Other | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets and (liabilities) | (4,583) | (11,509) |
Other | 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 and (liabilities) | 0 | 0 |
Other | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets and (liabilities) | (4,583) | (11,509) |
Other | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other assets and (liabilities) | $ 0 | $ 0 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Other assets and (liabilities) | $ 67,036 | $ 67,036 | $ (13,908) | ||
Debt | 972,362 | 972,362 | 249,522 | ||
Debt, fair value | 984,776 | 984,776 | 279,000 | ||
Net unrealized gains (losses) recognized in earnings | 3,238 | $ 8,879 | |||
Other Investments | Net investment income | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Net unrealized gains (losses) recognized in earnings | (1,600) | $ 3,900 | 3,200 | $ 8,900 | |
Other assets and liabilities | Other income (loss) | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Net unrealized gains (losses) recognized in earnings | (300) | (300) | |||
Quoted Prices In Active Markets For Identical Assets (Level 1) | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Other assets and (liabilities) | (23) | (23) | (569) | ||
Significant Other Observable Inputs (Level 2) | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Other assets and (liabilities) | (8,628) | (8,628) | (4,405) | ||
Significant Unobservable Inputs (Level 3) | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Other assets and (liabilities) | 75,687 | 75,687 | $ (8,934) | ||
Assets, fair value | 359,042 | 359,042 | |||
Significant Unobservable Inputs (Level 3) | Corporate | Discounted Cash Flow Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Assets, fair value | 7,660 | $ 7,660 | |||
Significant Unobservable Inputs (Level 3) | Corporate | Weighted Average or Actual | Discounted Cash Flow Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Dividend rate | 6.50% | ||||
Liquidity discount | 1.00% | ||||
Risk-free rate | 0.30% | ||||
Credit spread | 3.60% | ||||
Significant Unobservable Inputs (Level 3) | Private equity partnerships | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Assets, fair value | $ 250,796 | $ 250,796 | |||
Significant Unobservable Inputs (Level 3) | Private equity partnerships | Weighted Average or Actual | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Estimated performance | 3.10% | ||||
Significant Unobservable Inputs (Level 3) | Private equity partnerships | Minimum | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Estimated performance | (30.20%) | ||||
Significant Unobservable Inputs (Level 3) | Private equity partnerships | Maximum | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Estimated performance | 14.00% | ||||
Significant Unobservable Inputs (Level 3) | Senior secured bank loan funds | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Assets, fair value | $ 22,561 | 22,561 | |||
Significant Unobservable Inputs (Level 3) | Senior secured bank loan funds | Weighted Average or Actual | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Estimated performance | 1.20% | ||||
Significant Unobservable Inputs (Level 3) | Hedge funds | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Assets, fair value | $ 2,338 | 2,338 | |||
Significant Unobservable Inputs (Level 3) | Hedge funds | Weighted Average or Actual | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Estimated performance | 0.00% | ||||
Significant Unobservable Inputs (Level 3) | Hedge funds | Minimum | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Estimated performance | 0.00% | ||||
Significant Unobservable Inputs (Level 3) | Hedge funds | Maximum | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Estimated performance | 0.00% | ||||
Significant Unobservable Inputs (Level 3) | Reinsurance deposit asset | Internal Valuation Model Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Assets, fair value | $ 82,905 | $ 82,905 | |||
Significant Unobservable Inputs (Level 3) | Reinsurance deposit asset | Weighted Average or Actual | Internal Valuation Model Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Estimated performance | 3.00% | ||||
Significant Unobservable Inputs (Level 3) | Assumed reinsurance contract | Internal Valuation Model Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Liabilities, fair value | (1,308) | $ (1,308) | |||
Significant Unobservable Inputs (Level 3) | Assumed and ceded (re)insurance contract | Internal Valuation Model Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Liabilities, fair value | (5,896) | (5,896) | |||
Significant Unobservable Inputs (Level 3) | Weather contract | Internal Valuation Model Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Liabilities, fair value | $ (14) | $ (14) | |||
U.S. treasuries | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 1.00% | 1.00% | 1.00% | ||
Agencies | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 1.70% | 1.70% | 1.20% | ||
Municipal | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 2.40% | 2.40% | |||
Non-U.S. government (Sovereign Debt) | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 1.20% | 1.20% | 1.10% | ||
Non-U.S. government-backed corporate | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 1.10% | 1.10% | 1.10% | ||
Corporate | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 3.20% | 3.20% | 3.20% | ||
Agency mortgage-backed | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 2.20% | 2.20% | 2.30% | ||
Weighted average life | 6 years | 5 years 7 months 6 days | |||
Non-agency prime residential mortgage-backed | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 3.40% | 3.40% | 3.40% | ||
Weighted average life | 4 years 1 month 6 days | 4 years 1 month 6 days | |||
AltA non-agency mortgage-backed | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 4.10% | 4.10% | 4.30% | ||
Weighted average life | 5 years 1 month 6 days | 5 years | |||
Commercial mortgage-backed | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 2.40% | 2.40% | 2.10% | ||
Weighted average life | 3 years | 3 years 6 months | |||
Asset-backed | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Weighted average effective yield | 1.40% | 1.40% | 1.50% | ||
Weighted average life | 2 years 4 months 24 days | 2 years 6 months | |||
Restricted stock units (RSUs) | Significant Other Observable Inputs (Level 2) | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Other assets and (liabilities) | $ (4,600) | $ (4,600) | |||
Private equity partnerships | Minimum | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Liquidation period for fund assets | 7 years | ||||
Private equity partnerships | Maximum | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Liquidation period for fund assets | 10 years | ||||
Private equity partnerships | Significant Unobservable Inputs (Level 3) | Net Asset Valuation Technique | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Assets, fair value | 250,800 | $ 250,800 | |||
Senior secured bank loan funds | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Investment in closed end fund | 22,600 | $ 22,600 | |||
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 | ||||
Hedge funds | |||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||
Hedge fund side pocket investments | $ 2,300 | $ 2,300 |
Fair Value Measurements (Quanti
Fair Value Measurements (Quantitative Information Used As Level 3 Inputs) (Details) - Jun. 30, 2015 - Significant Unobservable Inputs (Level 3) $ in Thousands | USD ($)d | USD ($)d$ / bond |
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | $ 359,042 | $ 359,042 |
Corporate | Discounted Cash Flow Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | 7,660 | $ 7,660 |
Corporate | Discounted Cash Flow Valuation Technique | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Credit spread | 3.60% | |
Liquidity discount | 1.00% | |
Risk-free rate | 0.30% | |
Dividend rate | 6.50% | |
Fixed maturity investments | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | 7,660 | $ 7,660 |
Private equity partnerships | Net Asset Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | $ 250,796 | 250,796 |
Private equity partnerships | Net Asset Valuation Technique | Low | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Estimated performance | (30.20%) | |
Private equity partnerships | Net Asset Valuation Technique | Maximum | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Estimated performance | 14.00% | |
Private equity partnerships | Net Asset Valuation Technique | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Estimated performance | 3.10% | |
Senior secured bank loan funds | Net Asset Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | $ 22,561 | 22,561 |
Senior secured bank loan funds | Net Asset Valuation Technique | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Estimated performance | 1.20% | |
Hedge funds | Net Asset Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | $ 2,338 | 2,338 |
Hedge funds | Net Asset Valuation Technique | Low | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Estimated performance | 0.00% | |
Hedge funds | Net Asset Valuation Technique | Maximum | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Estimated performance | 0.00% | |
Hedge funds | Net Asset Valuation Technique | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Estimated performance | 0.00% | |
Other Investments | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | $ 275,695 | 275,695 |
Reinsurance deposit asset | Internal Valuation Model Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | 82,905 | $ 82,905 |
Reinsurance deposit asset | Internal Valuation Model Valuation Technique | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Estimated performance | 3.00% | |
Assumed reinsurance contract | Internal Valuation Model Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Liabilities, fair value | (1,308) | $ (1,308) |
Assumed reinsurance contract | Internal Valuation Model Valuation Technique | Low | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Bond price | $ / bond | 96.23 | |
Assumed reinsurance contract | Internal Valuation Model Valuation Technique | Maximum | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Bond price | $ / bond | 99.78 | |
Assumed reinsurance contract | Internal Valuation Model Valuation Technique | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Bond price | $ / bond | 97.48 | |
Liquidity premium | 1.30% | |
Assumed and ceded (re)insurance contract | Internal Valuation Model Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Liabilities, fair value | $ (5,896) | $ (5,896) |
Assumed and ceded (re)insurance contract | Internal Valuation Model Valuation Technique | Low | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Contract period | d | 194 | 194 |
Assumed and ceded (re)insurance contract | Internal Valuation Model Valuation Technique | Maximum | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Contract period | d | 1,100 | 1,100 |
Assumed and ceded (re)insurance contract | Internal Valuation Model Valuation Technique | Weighted Average or Actual | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Net undiscounted cash flows | $ (9,233) | |
Expected loss ratio | 28.00% | |
Net acquisition expense ratio | 14.00% | |
Contract period | d | 824 | 824 |
Discount rate | 1.00% | |
Assumed and ceded (re)insurance contracts | Internal Valuation Model Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Assets, fair value | $ 75,701 | $ 75,701 |
Weather contract | Internal Valuation Model Valuation Technique | ||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | ||
Liabilities, fair value | $ (14) | $ (14) |
Fair Value Measurements (Asse56
Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Level 3 Inputs) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of the period | $ 381,569 | $ 378,609 | $ 310,544 | $ 369,338 |
Total unrealized (losses) gains | ||||
Included in net investment income | (404) | 10,796 | 4,584 | 29,446 |
Included in other income (loss) | (348) | 2,220 | 348 | 2,220 |
Total realized gains (losses) | ||||
Included in other income (loss) | 1,512 | 2,828 | ||
Total foreign exchange gains (losses) | 648 | (226) | (1,844) | (253) |
Purchases | 6,681 | 10,391 | 92,840 | 25,392 |
Settlements | (30,616) | (20,394) | (49,562) | (44,747) |
Balance at end of the period | 359,042 | 381,396 | 359,042 | 381,396 |
Net investment income | ||||
Total realized gains (losses) | ||||
Change in unrealized gains for the period included in earnings for assets held at the end of the period | (404) | 10,617 | 4,584 | 29,446 |
Other income (loss) | ||||
Total realized gains (losses) | ||||
Change in unrealized gains for the period included in earnings for assets held at the end of the period | (348) | 2,220 | (348) | 2,220 |
Fixed maturity investments | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of the period | 15,474 | 37,138 | 15,660 | 27,580 |
Total unrealized (losses) gains | ||||
Included in net investment income | (314) | 9,038 | (500) | 18,596 |
Included in other income (loss) | 0 | 0 | 0 | 0 |
Total realized gains (losses) | ||||
Included in other income (loss) | 0 | 0 | ||
Total foreign exchange gains (losses) | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Settlements | (7,500) | 0 | (7,500) | 0 |
Balance at end of the period | 7,660 | 46,176 | 7,660 | 46,176 |
Fixed maturity investments | Net investment income | ||||
Total realized gains (losses) | ||||
Change in unrealized gains for the period included in earnings for assets held at the end of the period | (132) | 9,038 | (318) | 18,596 |
Fixed maturity investments | Other income (loss) | ||||
Total realized gains (losses) | ||||
Change in unrealized gains for the period included in earnings for assets held at the end of the period | 0 | 0 | 0 | 0 |
Other Investments | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of the period | 293,126 | 342,778 | 303,818 | 344,248 |
Total unrealized (losses) gains | ||||
Included in net investment income | (106) | 1,579 | 4,908 | 9,455 |
Included in other income (loss) | 0 | 0 | 0 | 0 |
Total realized gains (losses) | ||||
Included in other income (loss) | 0 | 0 | ||
Total foreign exchange gains (losses) | 654 | (205) | (1,844) | (199) |
Purchases | 5,137 | 10,391 | 10,875 | 25,392 |
Settlements | (23,116) | (20,394) | (42,062) | (44,747) |
Balance at end of the period | 275,695 | 334,149 | 275,695 | 334,149 |
Other Investments | Net investment income | ||||
Total realized gains (losses) | ||||
Change in unrealized gains for the period included in earnings for assets held at the end of the period | (106) | 1,579 | 4,908 | 9,455 |
Other Investments | Other income (loss) | ||||
Total realized gains (losses) | ||||
Change in unrealized gains for the period included in earnings for assets held at the end of the period | 0 | 0 | 0 | 0 |
Other assets and liabilities | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of the period | 72,969 | (1,307) | (8,934) | (2,490) |
Total unrealized (losses) gains | ||||
Included in net investment income | 16 | 179 | 176 | 1,395 |
Included in other income (loss) | (348) | 2,220 | 348 | 2,220 |
Total realized gains (losses) | ||||
Included in other income (loss) | 1,512 | 2,828 | ||
Total foreign exchange gains (losses) | (6) | (21) | 0 | (54) |
Purchases | 1,544 | 0 | 81,965 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Balance at end of the period | 75,687 | 1,071 | 75,687 | 1,071 |
Other assets and liabilities | Net investment income | ||||
Total realized gains (losses) | ||||
Change in unrealized gains for the period included in earnings for assets held at the end of the period | 16 | 0 | 176 | 1,395 |
Other assets and liabilities | Other income (loss) | ||||
Total realized gains (losses) | ||||
Change in unrealized gains for the period included in earnings for assets held at the end of the period | $ (348) | $ 2,220 | $ (348) | $ 2,220 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary Of The Balances Company Has Elected To Account For At Fair Value) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Fair Value Disclosures [Abstract] | ||
Other investments | $ 504,693 | $ 504,147 |
Other assets | 88,086 | 5,664 |
Other liabilities | $ 12,385 | $ 14,408 |
Fair Value Measurements (Compan
Fair Value Measurements (Company's Portfolio of Other Investments Measured Using Net Asset Valuations) (Details) $ in Thousands | Jun. 30, 2015USD ($) |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | $ 275,695 |
Unfunded Commitments | 186,062 |
Private equity partnerships | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | 250,796 |
Unfunded Commitments | 182,880 |
Senior secured bank loan funds | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | 22,561 |
Unfunded Commitments | 3,182 |
Hedge funds | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | |
Fair Value | 2,338 |
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 | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Premiums written | ||||
Direct | $ 34,340 | $ 19,707 | $ 65,153 | $ 33,562 |
Assumed | 627,657 | 491,833 | 1,240,422 | 1,183,238 |
Ceded | (153,320) | (165,133) | (392,863) | (420,046) |
Net premiums written | 508,677 | 346,407 | 912,712 | 796,754 |
Premiums earned | ||||
Direct | 21,606 | 14,949 | 44,507 | 29,178 |
Assumed | 468,372 | 350,389 | 850,975 | 735,987 |
Ceded | (110,150) | (104,922) | (218,894) | (218,215) |
Net premiums earned | 379,828 | 260,416 | 676,588 | 546,950 |
Claims and claim expenses | ||||
Gross claims and claim expenses incurred | 222,819 | 97,064 | 311,814 | 165,214 |
Claims and claim expenses recovered | (53,475) | (15,676) | (65,617) | (24,911) |
Net claims and claim expenses incurred | $ 169,344 | $ 81,388 | $ 246,197 | $ 140,303 |
Debt and Credit Facilities (Sum
Debt and Credit Facilities (Summary of Debt Obligations) (Details) - USD ($) $ in Thousands | May. 04, 2015 | Mar. 24, 2015 | Mar. 17, 2010 | Nov. 02, 2005 | Jun. 30, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||||||
Debt, fair value | $ 984,776 | $ 279,000 | ||||
Debt | 972,362 | 249,522 | ||||
RenaissanceRe Finance, Inc. | 3.700% Senior Notes Due April 1, 2025 | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument maturity date | April 1, 2025 | |||||
Debt, fair value | 290,025 | 0 | ||||
Debt | 299,415 | 0 | ||||
RenRe North America Holdings Inc. | 5.75% Senior Notes Due March 15, 2020 | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument maturity date | March 15, 2020 | |||||
Debt, fair value | 275,000 | 279,000 | ||||
Debt | 249,578 | 249,522 | ||||
Platinum Underwriters Finance, Inc. | Series B 7.50% Notes Due June 1, 2017 | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument maturity date | June 1, 2017 | |||||
Debt, fair value | 274,063 | 0 | ||||
Debt | 274,618 | 0 | ||||
DaVinciRe Holdings Ltd. | 4.750% Senior Notes Due May 1, 2025 | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument maturity date | May 1, 2025 | |||||
Debt, fair value | 145,688 | 0 | ||||
Debt | $ 148,751 | $ 0 |
Debt and Credit Facilities (Nar
Debt and Credit Facilities (Narrative) (Details) £ in Thousands | May. 04, 2015USD ($) | Mar. 24, 2015USD ($) | Mar. 17, 2010USD ($) | Nov. 02, 2005USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2015GBP (£) | May. 15, 2015USD ($) | Mar. 31, 2015USD ($) | Mar. 02, 2015USD ($) |
Debt Instrument [Line Items] | |||||||||
Margin facility amount outstanding | $ 613,249,000 | £ 70,000 | |||||||
Bridge Loan | |||||||||
Debt Instrument [Line Items] | |||||||||
Short-term debt | $ 300,000,000 | ||||||||
Revolving Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | $ 0 | ||||||||
Revolving Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Letter of credit aggregate commitment | $ 250,000,000 | ||||||||
Line of credit faciltiy, maximum borrowing capacity | $ 350,000,000 | ||||||||
Debt to capital ratio | 0.35 | 0.35 | |||||||
Minimum net worth requirements | $ 2,900,000,000 | ||||||||
Standby Letter of Credit Facility | National Australia Bank Limited | |||||||||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | 0 | ||||||||
RenaissanceRe Finance, Inc. | 3.700% Senior Notes Due April 1, 2025 | |||||||||
Debt Instrument [Line Items] | |||||||||
Senior notes interest rate | 3.70% | ||||||||
Debt Instrument, face amount | $ 300,000,000 | ||||||||
Debt instrument maturity date | April 1, 2025 | ||||||||
RenRe North America Holdings Inc. | 5.75% Senior Notes Due March 15, 2020 | |||||||||
Debt Instrument [Line Items] | |||||||||
Senior notes interest rate | 5.75% | ||||||||
Debt Instrument, face amount | $ 250,000,000 | ||||||||
Debt instrument maturity date | March 15, 2020 | ||||||||
Platinum Underwriters Finance, Inc. | Series B 7.50% Notes Due June 1, 2017 | |||||||||
Debt Instrument [Line Items] | |||||||||
Senior notes interest rate | 7.50% | ||||||||
Debt Instrument, face amount | $ 250,000,000 | ||||||||
Debt instrument maturity date | June 1, 2017 | ||||||||
Bilateral Facility Participants | Bilateral Facility | Letter of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit faciltiy, maximum borrowing capacity | $ 300,000,000 | ||||||||
Bilateral Facility Participants | Bilateral Facility | Letter of Credit | Citibank Europe PLC | |||||||||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | 143,778,000 | ||||||||
Loan agreement, remaining borrowing capacity | 156,200,000 | ||||||||
DaVinciRe Holdings Ltd. | |||||||||
Debt Instrument [Line Items] | |||||||||
Loan agreement with related party | $ 100,000,000 | ||||||||
DaVinciRe Holdings Ltd. | 4.750% Senior Notes Due May 1, 2025 | |||||||||
Debt Instrument [Line Items] | |||||||||
Senior notes interest rate | 4.75% | ||||||||
Debt Instrument, face amount | $ 150,000,000 | ||||||||
Debt instrument maturity date | May 1, 2025 | ||||||||
Syndicate 1458 | Letter of Credit | Citibank Europe PLC | |||||||||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | 300,000,000 | ||||||||
Margin facility amount outstanding | £ | £ 70,000 | ||||||||
RenaissanceRe Specialty Risks Ltd. | Letter of Credit | Citibank Europe PLC | |||||||||
Debt Instrument [Line Items] | |||||||||
Letters of credit outstanding | 9,129,000 | ||||||||
RenaissanceRe Specialty Risks Ltd. | Bilateral Facility | Letter of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit faciltiy, maximum borrowing capacity | 50,000,000 | ||||||||
Platinum Underwriters Bermuda, Ltd. and Renaissance Reinsurance U.S. Inc. | Bilateral Facility | Letter of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit faciltiy, maximum borrowing capacity | $ 25,000,000 | ||||||||
Top Layer Reinsurance Ltd. | Letter of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Collateralized letter of credit and reimbursement agreement | 37,500,000 | ||||||||
Top Layer Reinsurance Ltd. | Letter of Credit | Capital Support Agreement | |||||||||
Debt Instrument [Line Items] | |||||||||
Mandatory capital contribution in the event of capital and surplus reduction below a specified level | $ 50,000,000 |
Debt and Credit Facilities (Cre
Debt and Credit Facilities (Credit Facilities) (Details) - Jun. 30, 2015 £ in Thousands, $ in Thousands | USD ($) | GBP (£) |
Debt Instrument [Line Items] | ||
Long-term line of credit | $ 613,249 | £ 70,000 |
Syndicate 1458 | Letter of Credit | Citibank Europe PLC | ||
Debt Instrument [Line Items] | ||
Letters of credit outstanding | 300,000 | |
Long-term line of credit | £ | £ 70,000 | |
RenaissanceRe Specialty Risks Ltd. | Letter of Credit | Citibank Europe PLC | ||
Debt Instrument [Line Items] | ||
Letters of credit outstanding | 9,129 | |
Standby Letter of Credit Facility | Wells Fargo | ||
Debt Instrument [Line Items] | ||
Letters of credit outstanding | 160,342 | |
Standby Letter of Credit Facility | National Australia Bank Limited | ||
Debt Instrument [Line Items] | ||
Letters of credit outstanding | 0 | |
Bilateral Facility | Bilateral Facility Participants | Letter of Credit | Citibank Europe PLC | ||
Debt Instrument [Line Items] | ||
Letters of credit outstanding | 143,778 | |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Letters of credit outstanding | $ 0 |
Noncontrolling Interests (Narra
Noncontrolling Interests (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
Jan. 31, 2015 | Jan. 31, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | Jan. 01, 2015 | Jul. 01, 2014 | Jan. 01, 2014 | |
DaVinciRe Holdings Ltd. | ||||||||||
Redeemable Noncontrolling Interest [Line Items] | ||||||||||
Parent company ownership in redeemable noncontrolling interest | 26.30% | 26.50% | 26.30% | 26.50% | 23.40% | 26.30% | 23.40% | 26.50% | ||
Redemption of shares from redeemable noncontrolling interest | $ 813 | $ 866 | $ 208,711 | $ 219,745 | ||||||
DaVinciRe Holdings Ltd. | Redeemable Noncontrolling Interest | ||||||||||
Redeemable Noncontrolling Interest [Line Items] | ||||||||||
Redeemable noncontrolling interest, net redemptions | $ 225,000 | $ 300,000 | ||||||||
Redeemable noncontrolling interest, reserve holdback | $ 22,500 | $ 30,000 | ||||||||
Proceeds from sale of partial interest in consolidated subsidiary | $ 38,900 | |||||||||
DaVinciRe Holdings Ltd. | Redeemable Noncontrolling Interest | Maximum | ||||||||||
Redeemable Noncontrolling Interest [Line Items] | ||||||||||
Share repurchase requests, limit | 25.00% | 25.00% | ||||||||
Medici | ||||||||||
Redeemable Noncontrolling Interest [Line Items] | ||||||||||
Parent company ownership in redeemable noncontrolling interest | 46.50% | 46.50% | 53.20% | |||||||
Redemption provision, notice period | 30 days | |||||||||
Subscription from redeemable noncontrolling interest | $ 11,450 | 1,699 | $ 31,093 | 57,084 | $ 57,300 | |||||
Redemption of shares from redeemable noncontrolling interest | $ 2,423 | $ 0 | $ 17,107 | $ 1,875 | $ 3,100 |
Noncontrolling Interests (Sched
Noncontrolling Interests (Schedule Of Redeemable Noncontrolling Interest) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Mar. 31, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Activity in redeemable noncontrolling interest | ||||||
Beginning balance | $ 1,131,708 | |||||
Net income attributable to redeemable noncontrolling interest | $ 12,167 | $ 36,078 | 51,829 | $ 78,846 | ||
Ending balance | 988,812 | 988,812 | $ 1,131,708 | |||
DaVinciRe Holdings Ltd. | ||||||
Activity in redeemable noncontrolling interest | ||||||
Beginning balance | 867,734 | 895,391 | $ 1,063,368 | 1,037,306 | 1,063,368 | 1,063,368 |
Redemption of shares from redeemable noncontrolling interest | (813) | (866) | (208,711) | (219,745) | ||
Sale of shares to redeemable noncontrolling interests | 0 | 0 | 0 | 9,722 | ||
Net income attributable to redeemable noncontrolling interest | 12,345 | 35,706 | 50,671 | 76,886 | ||
Ending balance | 879,266 | 930,231 | 895,391 | 879,266 | 930,231 | 1,037,306 |
Medici | ||||||
Activity in redeemable noncontrolling interest | ||||||
Beginning balance | 100,697 | 91,590 | 36,492 | 94,402 | 36,492 | 36,492 |
Redemption of shares from redeemable noncontrolling interest | (2,423) | 0 | (17,107) | (1,875) | (3,100) | |
Net income attributable to redeemable noncontrolling interest | (178) | 372 | 1,158 | 1,960 | ||
Ending balance | $ 109,546 | $ 93,661 | $ 91,590 | $ 109,546 | $ 93,661 | $ 94,402 |
Variable Interest Entities (Det
Variable Interest Entities (Details) - USD ($) $ in Thousands | Nov. 13, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Mar. 31, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 |
Variable Interest Entity [Line Items] | |||||||
Assets | $ 12,053,186 | $ 12,053,186 | $ 8,203,550 | ||||
Liabilities | 6,227,430 | 6,227,430 | 3,206,127 | ||||
Other liabilities | 228,554 | 228,554 | 374,108 | ||||
Gross premiums written | 661,997 | $ 511,540 | 1,305,575 | $ 1,216,800 | |||
Ceded premiums earned | 110,150 | $ 104,922 | $ 218,894 | 218,215 | |||
RenaissanceRe Upsilon Fund Ltd | Variable Interest Entity, Not Primary Beneficiary | |||||||
Variable Interest Entity [Line Items] | |||||||
Percent of segregated funds owned by third party investors | 100.00% | ||||||
Upsilon RFO | Variable Interest Entity, Primary Beneficiary | |||||||
Variable Interest Entity [Line Items] | |||||||
Variable interest entity, ownership percentage | 23.90% | 38.90% | 20.50% | ||||
Increase (decrease) in funds held under insurance agreements | $ 5,000 | $ 15,000 | |||||
Risk participation percentage | 15.00% | 33.60% | |||||
Total amount of capital agreed to be returned | 419,400 | ||||||
Return of capital to date | $ 418,500 | ||||||
Assets | 261,900 | 261,900 | 621,300 | ||||
Liabilities | 261,900 | 261,900 | 621,300 | ||||
Other liabilities | 135,700 | ||||||
Upsilon RFO | Variable Interest Entity, Primary Beneficiary | RenaissanceRe Holdings Ltd. | |||||||
Variable Interest Entity [Line Items] | |||||||
Total amount of capital agreed to be returned | 131,400 | ||||||
Return of capital to date | 131,100 | ||||||
Upsilon RFO | Variable Interest Entity, Primary Beneficiary | Non-Voting Preference Shares | |||||||
Variable Interest Entity [Line Items] | |||||||
Issuance of equity to third party investors | $ 43,100 | $ 172,400 | 155,400 | ||||
Contributions to subsidiaries | $ 13,500 | $ 109,700 | 42,200 | ||||
Mona Lisa Re Ltd | Renaissance Reinsurance Ltd. | |||||||
Variable Interest Entity [Line Items] | |||||||
Gross premiums written | 600 | 2,000 | |||||
Ceded premiums earned | 3,600 | 5,000 | |||||
Mona Lisa Re Ltd | DaVinciRe Holdings Ltd. | |||||||
Variable Interest Entity [Line Items] | |||||||
Gross premiums written | 500 | 1,900 | |||||
Ceded premiums earned | 2,500 | $ 3,600 | |||||
Mona Lisa Re Ltd | Variable Interest Entity, Not Primary Beneficiary | |||||||
Variable Interest Entity [Line Items] | |||||||
Assets | 179,000 | 179,000 | 184,000 | ||||
Liabilities | $ 179,000 | $ 179,000 | $ 184,000 |
Shareholders' Equity (Details)
Shareholders' Equity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | Jun. 30, 2015 | Jun. 15, 2015 | Mar. 31, 2015 | Mar. 13, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 |
Class of Stock [Line Items] | ||||||||
Dividends declared per common share, in usd per share | $ 0.3 | $ 0.29 | $ 0.6 | $ 0.58 | ||||
Dividends declared and paid, Preference shares | $ 5,596 | $ 5,596 | $ 11,191 | $ 11,191 | ||||
Retained Earnings | ||||||||
Class of Stock [Line Items] | ||||||||
Dividends declared and paid, Preference shares | 11,191 | 11,191 | ||||||
Dividends declared and paid, Common shares | 27,479 | 23,550 | ||||||
Common shares repurchased during period, Aggregate amount | $ 0 | $ 313,312 | ||||||
Common Shares | ||||||||
Class of Stock [Line Items] | ||||||||
Dividends declared per common share, in usd per share | $ 0.3 | $ 0.30 | ||||||
Dividends per common share, in usd per share | $ 0.3 | $ 0.3 | ||||||
Common shares repurchased during period, Number of shares | 83 | |||||||
Common shares repurchased during period, Aggregate amount | $ 8,400 | |||||||
Common shares repurchased during period, Average cost per share | $ 101.99 | |||||||
Share repurchase program, Remaining authorized aggregate amount | $ 491,900 | $ 491,900 | $ 491,900 |
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 | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Numerator: | ||||
Net income available to RenaissanceRe common shareholders | $ 73,233 | $ 120,752 | $ 241,076 | $ 271,755 |
Amount allocated to participating common shareholders | (819) | (1,557) | (2,781) | (3,577) |
Net income allocated to RenaissanceRe common shareholders | $ 72,414 | $ 119,195 | $ 238,295 | $ 268,178 |
Denominator: | ||||
Denominator for basic income per RenaissanceRe common share - weighted average common shares | 45,303 | 39,736 | 42,467 | 40,487 |
Per common share equivalents of employee stock options and restricted shares | 354 | 659 | 372 | 662 |
Denominator for diluted income per RenaissanceRe common share - adjusted weighted average common shares and assumed conversions | 45,657 | 40,395 | 42,839 | 41,149 |
Net income available to RenaissanceRe common shareholders per common share – basic (in usd per share) | $ 1.60 | $ 3 | $ 5.61 | $ 6.62 |
Net income available to RenaissanceRe common shareholders per common share – diluted (in usd per share) | $ 1.59 | $ 2.95 | $ 5.56 | $ 6.52 |
Segment Reporting (Schedule Of
Segment Reporting (Schedule Of Significant Components Of The Company's Revenues And Expenses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Gross premiums written | $ 661,997 | $ 511,540 | $ 1,305,575 | $ 1,216,800 |
Net premiums written | 508,677 | 346,407 | 912,712 | 796,754 |
Net premiums earned | 379,828 | 260,416 | 676,588 | 546,950 |
Net claims and claim expenses incurred | 169,344 | 81,388 | 246,197 | 140,303 |
Acquisition expenses | 61,666 | 33,477 | 105,067 | 67,177 |
Operational expenses | 54,673 | 45,841 | 100,294 | 88,465 |
Underwriting income (loss) | 94,145 | 99,710 | 225,030 | 251,005 |
Net investment income | 38,604 | 34,541 | 78,311 | 73,489 |
Net foreign exchange (losses) gains | (1,740) | 2,392 | (4,870) | 1,331 |
Equity in earnings of other ventures | 6,160 | 7,232 | 11,455 | 11,431 |
Other income (loss) | 1,427 | (535) | 2,966 | (473) |
Net realized and unrealized (losses) gains on investments | (26,712) | 27,128 | 15,037 | 42,055 |
Corporate expenses | (13,032) | (3,954) | (58,630) | (8,499) |
Interest expense | (9,698) | (4,292) | (14,949) | (8,585) |
Income before taxes | 89,154 | 162,222 | 254,350 | 361,754 |
Income tax (expense) benefit | 1,842 | 204 | 49,746 | 38 |
Net income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Dividends on preference shares | (5,596) | (5,596) | (11,191) | (11,191) |
Net income available to RenaissanceRe common shareholders | 73,233 | 120,752 | 241,076 | 271,755 |
Net claims and claim expenses incurred – current accident year | 202,420 | 98,471 | 301,418 | 174,079 |
Net claims and claim expenses incurred – prior accident years | (33,076) | (17,083) | (55,221) | (33,776) |
Net claims and claim expenses incurred – total | $ 169,344 | $ 81,388 | $ 246,197 | $ 140,303 |
Net claims and claim expense ratio – current accident year | 53.30% | 37.80% | 44.50% | 31.80% |
Net claims and claim expense ratio – prior accident years | (8.70%) | (6.50%) | (8.10%) | (6.10%) |
Net claims and claim expense ratio – calendar year | 44.60% | 31.30% | 36.40% | 25.70% |
Underwriting expense ratio | 30.60% | 30.40% | 30.30% | 28.40% |
Combined ratio | 75.20% | 61.70% | 66.70% | 54.10% |
Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Gross premiums written | $ (100) | |||
Catastrophe Reinsurance | ||||
Segment Reporting Information [Line Items] | ||||
Gross premiums written | $ 385,366 | $ 388,083 | 774,613 | $ 855,794 |
Net premiums written | 270,490 | 233,698 | 493,130 | 493,187 |
Net premiums earned | 162,705 | 159,152 | 306,472 | 323,736 |
Net claims and claim expenses incurred | 55,376 | 36,730 | 62,970 | 43,185 |
Acquisition expenses | 19,314 | 17,806 | 26,968 | 24,932 |
Operational expenses | 22,090 | 22,200 | 42,453 | 42,619 |
Underwriting income (loss) | 65,925 | 82,416 | 174,081 | 213,000 |
Net claims and claim expenses incurred – current accident year | 67,334 | 38,473 | 91,458 | 51,002 |
Net claims and claim expenses incurred – prior accident years | (11,958) | (1,743) | (28,488) | (7,817) |
Net claims and claim expenses incurred – total | $ 55,376 | $ 36,730 | $ 62,970 | $ 43,185 |
Net claims and claim expense ratio – current accident year | 41.40% | 24.20% | 29.80% | 15.80% |
Net claims and claim expense ratio – prior accident years | (7.40%) | (1.10%) | (9.30%) | (2.50%) |
Net claims and claim expense ratio – calendar year | 34.00% | 23.10% | 20.50% | 13.30% |
Underwriting expense ratio | 25.50% | 25.10% | 22.70% | 20.90% |
Combined ratio | 59.50% | 48.20% | 43.20% | 34.20% |
Specialty Reinsurance | ||||
Segment Reporting Information [Line Items] | ||||
Gross premiums written | $ 160,013 | $ 51,554 | $ 284,304 | $ 205,844 |
Net premiums written | 139,867 | 46,254 | 243,782 | 171,743 |
Net premiums earned | 155,584 | 53,588 | 250,460 | 123,218 |
Net claims and claim expenses incurred | 86,062 | 20,075 | 125,650 | 46,156 |
Acquisition expenses | 28,251 | 11,699 | 48,940 | 28,246 |
Operational expenses | 18,747 | 10,514 | 32,037 | 20,620 |
Underwriting income (loss) | 22,524 | 11,300 | 43,833 | 28,196 |
Net claims and claim expenses incurred – current accident year | 104,315 | 25,443 | 153,579 | 67,365 |
Net claims and claim expenses incurred – prior accident years | (18,253) | (5,368) | (27,929) | (21,209) |
Net claims and claim expenses incurred – total | $ 86,062 | $ 20,075 | $ 125,650 | $ 46,156 |
Net claims and claim expense ratio – current accident year | 67.00% | 47.50% | 61.30% | 54.70% |
Net claims and claim expense ratio – prior accident years | (11.70%) | (10.00%) | (11.10%) | (17.20%) |
Net claims and claim expense ratio – calendar year | 55.30% | 37.50% | 50.20% | 37.50% |
Underwriting expense ratio | 30.20% | 41.40% | 32.30% | 39.60% |
Combined ratio | 85.50% | 78.90% | 82.50% | 77.10% |
Lloyd's | ||||
Segment Reporting Information [Line Items] | ||||
Gross premiums written | $ 116,618 | $ 71,903 | $ 246,748 | $ 155,162 |
Net premiums written | 98,320 | 66,452 | 175,889 | 131,821 |
Net premiums earned | 61,539 | 47,672 | 119,745 | 99,969 |
Net claims and claim expenses incurred | 27,683 | 25,111 | 57,526 | 51,392 |
Acquisition expenses | 14,210 | 10,122 | 28,903 | 20,689 |
Operational expenses | 13,719 | 13,058 | 25,659 | 25,091 |
Underwriting income (loss) | 5,927 | (619) | 7,657 | 2,797 |
Net claims and claim expenses incurred – current accident year | 30,771 | 34,555 | 56,381 | 55,712 |
Net claims and claim expenses incurred – prior accident years | (3,088) | (9,444) | 1,145 | (4,320) |
Net claims and claim expenses incurred – total | $ 27,683 | $ 25,111 | $ 57,526 | $ 51,392 |
Net claims and claim expense ratio – current accident year | 50.00% | 72.50% | 47.10% | 55.70% |
Net claims and claim expense ratio – prior accident years | (5.00%) | (19.80%) | 0.90% | (4.30%) |
Net claims and claim expense ratio – calendar year | 45.00% | 52.70% | 48.00% | 51.40% |
Underwriting expense ratio | 45.40% | 48.60% | 45.60% | 45.80% |
Combined ratio | 90.40% | 101.30% | 93.60% | 97.20% |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Gross premiums written | $ 0 | $ 0 | $ (90) | $ 0 |
Net premiums written | 0 | 3 | (89) | 3 |
Net premiums earned | 0 | 4 | (89) | 27 |
Net claims and claim expenses incurred | 223 | (528) | 51 | (430) |
Acquisition expenses | (109) | (6,150) | 256 | (6,690) |
Operational expenses | 117 | 69 | 145 | 135 |
Underwriting income (loss) | (231) | 6,613 | (541) | 7,012 |
Net investment income | 38,604 | 34,541 | 78,311 | 73,489 |
Net foreign exchange (losses) gains | (1,740) | 2,392 | (4,870) | 1,331 |
Equity in earnings of other ventures | 6,160 | 7,232 | 11,455 | 11,431 |
Other income (loss) | 1,427 | (535) | 2,966 | (473) |
Net realized and unrealized (losses) gains on investments | (26,712) | 27,128 | 15,037 | 42,055 |
Corporate expenses | (13,032) | (3,954) | (58,630) | (8,499) |
Interest expense | (9,698) | (4,292) | (14,949) | (8,585) |
Income tax (expense) benefit | 1,842 | 204 | 49,746 | 38 |
Net income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Dividends on preference shares | (5,596) | (5,596) | (11,191) | (11,191) |
Net claims and claim expenses incurred – current accident year | 0 | 0 | 0 | 0 |
Net claims and claim expenses incurred – prior accident years | 223 | (528) | 51 | (430) |
Net claims and claim expenses incurred – total | $ 223 | $ (528) | $ 51 | $ (430) |
Net claims and claim expense ratio – current accident year | 0.00% | 0.00% | 0.00% | 0.00% |
Net claims and claim expense ratio – prior accident years | 0.00% | (13200.00%) | (57.30%) | (1592.60%) |
Net claims and claim expense ratio – calendar year | 0.00% | (13200.00%) | (57.30%) | (1592.60%) |
Underwriting expense ratio | 0.00% | (152025.00%) | (450.60%) | (24277.80%) |
Combined ratio | 0.00% | (165225.00%) | (507.90%) | (25870.40%) |
Derivative Instruments (Narrati
Derivative Instruments (Narrative) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 |
Other Assets | |||
Derivative [Line Items] | |||
Derivative Asset | $ 1,911 | $ 7,694 | |
Interest Rate Contracts | Other Assets | |||
Derivative [Line Items] | |||
Derivative Asset | 106 | 0 | |
Interest Rate Contracts | Long | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 1,355,900 | 587,000 | |
Interest Rate Contracts | Short | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 1,414,000 | 617,400 | |
Foreign Currency Forward Contracts, Underwriting and Non-investment Operations | Other Assets | |||
Derivative [Line Items] | |||
Derivative Asset | 1,020 | 4,003 | |
Foreign Currency Forward Contracts, Underwriting and Non-investment Operations | Long | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 162,400 | 144,800 | |
Foreign Currency Forward Contracts, Underwriting and Non-investment Operations | Short | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 126,200 | 121,600 | |
Foreign Currency Forward Contracts, Investment Operations | Other Assets | |||
Derivative [Line Items] | |||
Derivative Asset | 646 | 3,311 | |
Foreign Currency Forward Contracts, Investment Operations | Long | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 32,200 | 35,800 | |
Foreign Currency Forward Contracts, Investment Operations | Short | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 127,300 | 150,100 | |
Credit Default Swaps | Other Assets | |||
Derivative [Line Items] | |||
Derivative Asset | 139 | 380 | |
Credit Default Swaps | Long | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 0 | 4,600 | |
Credit Default Swaps | Short | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 32,700 | 19,400 | |
Weather contract | Short | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | $ 2,100 | $ 2,200 | |
Call Rights | Other Assets | |||
Derivative [Line Items] | |||
Derivative Asset | $ 2,220 |
Derivative Instruments (Consoli
Derivative Instruments (Consolidated Balance Sheets And Fair Value Of The Principal Derivative Instruments) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Other Assets | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | $ 3,079 | $ 10,635 |
Gross Amounts Offset in the Balance Sheet | 1,168 | 2,941 |
Net Amounts of Assets Presented in the Balance Sheet | 1,911 | 7,694 |
Collateral | 60 | 310 |
Net Amount | 1,851 | 7,384 |
Other Assets | Interest Rate Contracts | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 849 | 468 |
Gross Amounts Offset in the Balance Sheet | 743 | 468 |
Net Amounts of Assets Presented in the Balance Sheet | 106 | 0 |
Collateral | 0 | 0 |
Net Amount | 106 | 0 |
Other Assets | Foreign Currency Forward Contracts, Underwriting and Non-investment Operations | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 1,153 | 5,740 |
Gross Amounts Offset in the Balance Sheet | 133 | 1,737 |
Net Amounts of Assets Presented in the Balance Sheet | 1,020 | 4,003 |
Collateral | 0 | 0 |
Net Amount | 1,020 | 4,003 |
Other Assets | Foreign Currency Forward Contracts, Investment Operations | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 803 | 3,959 |
Gross Amounts Offset in the Balance Sheet | 157 | 648 |
Net Amounts of Assets Presented in the Balance Sheet | 646 | 3,311 |
Collateral | 0 | 0 |
Net Amount | 646 | 3,311 |
Other Assets | Credit Default Swaps | ||
Derivative Assets | ||
Gross Amounts of Recognized Assets | 274 | 468 |
Gross Amounts Offset in the Balance Sheet | 135 | 88 |
Net Amounts of Assets Presented in the Balance Sheet | 139 | 380 |
Collateral | 60 | 310 |
Net Amount | 79 | 70 |
Other Liabilities | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 8,045 | 3,521 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 2,052 | 2,172 |
Net Amounts of Liabilities Presented in the Balance Sheet | 5,993 | 1,349 |
Collateral | 143 | 759 |
Net Amount | 5,850 | 590 |
Other Liabilities | Interest Rate Contracts | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 872 | 1,037 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 743 | 468 |
Net Amounts of Liabilities Presented in the Balance Sheet | 129 | 569 |
Collateral | 129 | 569 |
Net Amount | 0 | 0 |
Other Liabilities | Foreign Currency Forward Contracts, Underwriting and Non-investment Operations | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 6,589 | 1,319 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 1,017 | 967 |
Net Amounts of Liabilities Presented in the Balance Sheet | 5,572 | 352 |
Collateral | 0 | 0 |
Net Amount | 5,572 | 352 |
Other Liabilities | Foreign Currency Forward Contracts, Investment Operations | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 320 | 724 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 157 | 649 |
Net Amounts of Liabilities Presented in the Balance Sheet | 163 | 75 |
Collateral | 0 | 0 |
Net Amount | 163 | 75 |
Other Liabilities | Credit Default Swaps | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 250 | 251 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 135 | 88 |
Net Amounts of Liabilities Presented in the Balance Sheet | 115 | 163 |
Collateral | 0 | 0 |
Net Amount | 115 | 163 |
Other Liabilities | Weather contract | ||
Derivative Liabilities | ||
Gross Amounts of Recognized Liabilities | 14 | 190 |
Derivative Liability, Collateral, Right to Reclaim Cash, Offset | 0 | 0 |
Net Amounts of Liabilities Presented in the Balance Sheet | 14 | 190 |
Collateral | 14 | 190 |
Net Amount | $ 0 | $ 0 |
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 | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivatives | $ 6,189 | $ (6,596) | $ 14,802 | $ (14,795) |
Net realized and unrealized (losses) gains on investments | Interest Rate Contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivatives | 19,784 | (7,362) | 15,376 | (19,636) |
Net realized and unrealized (losses) gains on investments | Credit Default Swaps | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivatives | 22 | 299 | 62 | 458 |
Net realized and unrealized (losses) gains on investments | Weather contract | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivatives | 10 | 179 | 170 | 1,395 |
Other income (loss) | Call Rights | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivatives | 0 | 2,220 | 0 | 2,220 |
Net foreign exchange (losses) gains | Foreign Currency Forward Contracts, Underwriting and Non-investment Operations | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivatives | (10,210) | (1,990) | (6,599) | 2,109 |
Net foreign exchange (losses) gains | Foreign Currency Forward Contracts, Investment Operations | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivatives | $ (3,417) | $ 58 | $ 5,793 | $ (1,341) |
Commitments, Contingencies an72
Commitments, Contingencies and Other Items (Details) $ in Millions | Jun. 30, 2015USD ($) |
Reduction in Taxes | |
Gain Contingencies [Line Items] | |
Gain contingency, estimated amount | $ 8.5 |
Condensed Consolidating Finan73
Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries (Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
Assets | ||||
Total investments | $ 9,280,267 | $ 6,743,750 | ||
Cash and cash equivalents | 398,090 | 525,584 | $ 294,457 | $ 408,032 |
Investments in subsidiaries | 0 | 0 | ||
Due from subsidiaries and affiliates | 0 | 0 | ||
Premiums receivable | 1,068,819 | 440,007 | ||
Prepaid reinsurance premiums | 276,231 | 94,810 | ||
Reinsurance recoverable | 136,464 | 66,694 | ||
Accrued investment income | 37,480 | 26,509 | ||
Deferred acquisition costs | 173,408 | 110,059 | ||
Receivable for investments sold | 149,063 | 52,390 | ||
Other assets | 257,621 | 135,845 | ||
Goodwill and other intangible assets | 275,743 | 7,902 | ||
Total assets | 12,053,186 | 8,203,550 | ||
Liabilities | ||||
Reserve for claims and claim expenses | 2,847,648 | 1,412,510 | ||
Unearned premiums | 1,155,596 | 512,386 | ||
Debt | 972,362 | 249,522 | ||
Amounts due to subsidiaries and affiliates | 0 | 0 | ||
Reinsurance balances payable | 512,019 | 454,580 | ||
Payable for investments purchased | 511,251 | 203,021 | ||
Other liabilities | 228,554 | 374,108 | ||
Total liabilities | 6,227,430 | 3,206,127 | ||
Redeemable noncontrolling interests | 988,812 | 1,131,708 | ||
Shareholders' Equity | ||||
Total shareholders’ equity | 4,836,944 | 3,865,715 | ||
Total liabilities, noncontrolling interests and shareholders’ equity | 12,053,186 | 8,203,550 | ||
RenaissanceRe Holdings Ltd. (Parent Guarantor) | ||||
Assets | ||||
Total investments | 182,375 | 137,006 | ||
Cash and cash equivalents | 2,535 | 5,986 | 3,194 | 8,796 |
Investments in subsidiaries | 4,550,601 | 3,509,974 | ||
Due from subsidiaries and affiliates | 79,807 | 126,548 | ||
Premiums receivable | 0 | 0 | ||
Prepaid reinsurance premiums | 0 | 0 | ||
Reinsurance recoverable | 0 | 0 | ||
Accrued investment income | 462 | 0 | ||
Deferred acquisition costs | 0 | 0 | ||
Receivable for investments sold | 56 | 10 | ||
Other assets | 20,921 | 112,400 | ||
Goodwill and other intangible assets | 267,945 | 0 | ||
Total assets | 5,104,702 | 3,891,924 | ||
Liabilities | ||||
Reserve for claims and claim expenses | 0 | 0 | ||
Unearned premiums | 0 | 0 | ||
Debt | 117,000 | 0 | ||
Amounts due to subsidiaries and affiliates | 60,202 | 6,000 | ||
Reinsurance balances payable | 0 | 0 | ||
Payable for investments purchased | 2,979 | 0 | ||
Other liabilities | 87,577 | 20,209 | ||
Total liabilities | 267,758 | 26,209 | ||
Redeemable noncontrolling interests | 0 | 0 | ||
Shareholders' Equity | ||||
Total shareholders’ equity | 4,836,944 | 3,865,715 | ||
Total liabilities, noncontrolling interests and shareholders’ equity | 5,104,702 | 3,891,924 | ||
Platinum Underwriters Holdings, Ltd. | ||||
Assets | ||||
Total investments | 0 | |||
Cash and cash equivalents | 9,181 | 0 | ||
Investments in subsidiaries | 648,991 | |||
Due from subsidiaries and affiliates | 27,612 | |||
Premiums receivable | 0 | |||
Prepaid reinsurance premiums | 0 | |||
Reinsurance recoverable | 0 | |||
Accrued investment income | 0 | |||
Deferred acquisition costs | 0 | |||
Receivable for investments sold | 0 | |||
Other assets | 0 | |||
Goodwill and other intangible assets | 0 | |||
Total assets | 685,784 | |||
Liabilities | ||||
Reserve for claims and claim expenses | 0 | |||
Unearned premiums | 0 | |||
Debt | 0 | |||
Amounts due to subsidiaries and affiliates | 1,872 | |||
Reinsurance balances payable | 0 | |||
Payable for investments purchased | 0 | |||
Other liabilities | 336 | |||
Total liabilities | 2,208 | |||
Redeemable noncontrolling interests | 0 | |||
Shareholders' Equity | ||||
Total shareholders’ equity | 683,576 | |||
Total liabilities, noncontrolling interests and shareholders’ equity | 685,784 | |||
RenRe North America Holdings Inc. | ||||
Assets | ||||
Total investments | 88,177 | 88,150 | ||
Cash and cash equivalents | 2,146 | 1,033 | 3,211 | 4,027 |
Investments in subsidiaries | 258,980 | 71,796 | ||
Due from subsidiaries and affiliates | 15 | 23 | ||
Premiums receivable | 0 | 0 | ||
Prepaid reinsurance premiums | 0 | 0 | ||
Reinsurance recoverable | 0 | 0 | ||
Accrued investment income | 173 | 121 | ||
Deferred acquisition costs | 0 | 0 | ||
Receivable for investments sold | 21 | 0 | ||
Other assets | 32,250 | 1,242 | ||
Goodwill and other intangible assets | 0 | 0 | ||
Total assets | 381,762 | 162,365 | ||
Liabilities | ||||
Reserve for claims and claim expenses | 0 | 0 | ||
Unearned premiums | 0 | 0 | ||
Debt | 249,568 | 249,522 | ||
Amounts due to subsidiaries and affiliates | 218 | 233 | ||
Reinsurance balances payable | 0 | 0 | ||
Payable for investments purchased | 38 | 0 | ||
Other liabilities | 2,380 | 4,013 | ||
Total liabilities | 252,204 | 253,768 | ||
Redeemable noncontrolling interests | 0 | 0 | ||
Shareholders' Equity | ||||
Total shareholders’ equity | 129,558 | (91,403) | ||
Total liabilities, noncontrolling interests and shareholders’ equity | 381,762 | 162,365 | ||
Platinum Underwriters Finance, Inc. | ||||
Assets | ||||
Total investments | 282,027 | |||
Cash and cash equivalents | 1,089 | 0 | ||
Investments in subsidiaries | 611,580 | |||
Due from subsidiaries and affiliates | 0 | |||
Premiums receivable | 0 | |||
Prepaid reinsurance premiums | 0 | |||
Reinsurance recoverable | 0 | |||
Accrued investment income | 307 | |||
Deferred acquisition costs | 0 | |||
Receivable for investments sold | 151 | |||
Other assets | 3,125 | |||
Goodwill and other intangible assets | 0 | |||
Total assets | 898,279 | |||
Liabilities | ||||
Reserve for claims and claim expenses | 0 | |||
Unearned premiums | 0 | |||
Debt | 250,000 | |||
Amounts due to subsidiaries and affiliates | 23 | |||
Reinsurance balances payable | 0 | |||
Payable for investments purchased | 233 | |||
Other liabilities | 0 | |||
Total liabilities | 250,256 | |||
Redeemable noncontrolling interests | 0 | |||
Shareholders' Equity | ||||
Total shareholders’ equity | 648,023 | |||
Total liabilities, noncontrolling interests and shareholders’ equity | 898,279 | |||
RenaissanceRe Finance, Inc. | ||||
Assets | ||||
Total investments | 0 | |||
Cash and cash equivalents | 224 | 0 | ||
Investments in subsidiaries | 828,023 | |||
Due from subsidiaries and affiliates | 0 | |||
Premiums receivable | 0 | |||
Prepaid reinsurance premiums | 0 | |||
Reinsurance recoverable | 0 | |||
Accrued investment income | 0 | |||
Deferred acquisition costs | 0 | |||
Receivable for investments sold | 0 | |||
Other assets | 121,323 | |||
Goodwill and other intangible assets | 0 | |||
Total assets | 949,570 | |||
Liabilities | ||||
Reserve for claims and claim expenses | 0 | |||
Unearned premiums | 0 | |||
Debt | 299,415 | |||
Amounts due to subsidiaries and affiliates | 407 | |||
Reinsurance balances payable | 0 | |||
Payable for investments purchased | 0 | |||
Other liabilities | 3,357 | |||
Total liabilities | 303,179 | |||
Redeemable noncontrolling interests | 0 | |||
Shareholders' Equity | ||||
Total shareholders’ equity | 646,391 | |||
Total liabilities, noncontrolling interests and shareholders’ equity | 949,570 | |||
Other RenaissanceRe Holdings Ltd. Subsidiaries And Eliminations (Non-Guarantor Subsidiaries) | ||||
Assets | ||||
Total investments | 8,727,688 | 6,518,594 | ||
Cash and cash equivalents | 382,915 | 518,565 | $ 288,052 | $ 395,209 |
Investments in subsidiaries | 0 | 0 | ||
Due from subsidiaries and affiliates | 0 | 0 | ||
Premiums receivable | 1,068,819 | 440,007 | ||
Prepaid reinsurance premiums | 276,231 | 94,810 | ||
Reinsurance recoverable | 136,464 | 66,694 | ||
Accrued investment income | 36,538 | 26,388 | ||
Deferred acquisition costs | 195,291 | 110,059 | ||
Receivable for investments sold | 148,835 | 52,380 | ||
Other assets | 198,964 | 123,661 | ||
Goodwill and other intangible assets | 7,798 | 7,902 | ||
Total assets | 11,179,543 | 7,959,060 | ||
Liabilities | ||||
Reserve for claims and claim expenses | 2,828,161 | 1,412,510 | ||
Unearned premiums | 1,155,596 | 512,386 | ||
Debt | 148,761 | 0 | ||
Amounts due to subsidiaries and affiliates | 0 | 0 | ||
Reinsurance balances payable | 512,019 | 454,580 | ||
Payable for investments purchased | 508,001 | 203,021 | ||
Other liabilities | 202,854 | 351,344 | ||
Total liabilities | 5,355,392 | 2,933,841 | ||
Redeemable noncontrolling interests | 988,812 | 1,131,708 | ||
Shareholders' Equity | ||||
Total shareholders’ equity | 4,835,339 | 3,893,511 | ||
Total liabilities, noncontrolling interests and shareholders’ equity | 11,179,543 | 7,959,060 | ||
Consolidating Adjustments | ||||
Assets | ||||
Total investments | 0 | 0 | ||
Cash and cash equivalents | 0 | 0 | ||
Investments in subsidiaries | (6,898,175) | (3,581,770) | ||
Due from subsidiaries and affiliates | (107,434) | (126,571) | ||
Premiums receivable | 0 | 0 | ||
Prepaid reinsurance premiums | 0 | 0 | ||
Reinsurance recoverable | 0 | 0 | ||
Accrued investment income | 0 | 0 | ||
Deferred acquisition costs | (21,883) | 0 | ||
Receivable for investments sold | 0 | 0 | ||
Other assets | (118,962) | (101,458) | ||
Goodwill and other intangible assets | 0 | 0 | ||
Total assets | (7,146,454) | (3,809,799) | ||
Liabilities | ||||
Reserve for claims and claim expenses | 19,487 | 0 | ||
Unearned premiums | 0 | 0 | ||
Debt | (92,382) | 0 | ||
Amounts due to subsidiaries and affiliates | (62,722) | (6,233) | ||
Reinsurance balances payable | 0 | 0 | ||
Payable for investments purchased | 0 | 0 | ||
Other liabilities | (67,950) | (1,458) | ||
Total liabilities | (203,567) | (7,691) | ||
Redeemable noncontrolling interests | 0 | 0 | ||
Shareholders' Equity | ||||
Total shareholders’ equity | (6,942,887) | (3,802,108) | ||
Total liabilities, noncontrolling interests and shareholders’ equity | $ (7,146,454) | $ (3,809,799) |
Condensed Consolidating Finan74
Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries (Condensed Consolidating Statement Of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Revenues | ||||
Net premiums earned | $ 379,828 | $ 260,416 | $ 676,588 | $ 546,950 |
Net investment income | 38,604 | 34,541 | 78,311 | 73,489 |
Net foreign exchange (losses) gains | (1,740) | 2,392 | (4,870) | 1,331 |
Equity in earnings of other ventures | 6,160 | 7,232 | 11,455 | 11,431 |
Other income (loss) | 1,427 | (535) | 2,966 | (473) |
Net realized and unrealized gains (losses) on investments | (26,712) | 27,128 | 15,037 | 42,055 |
Total revenues | 397,567 | 331,174 | 779,487 | 674,783 |
Expenses | ||||
Net claims and claim expenses incurred | 169,344 | 81,388 | 246,197 | 140,303 |
Acquisition expenses | 61,666 | 33,477 | 105,067 | 67,177 |
Operational expenses | 54,673 | 45,841 | 100,294 | 88,465 |
Corporate expenses | 13,032 | 3,954 | 58,630 | 8,499 |
Interest expense | 9,698 | 4,292 | 14,949 | 8,585 |
Total expenses | 308,413 | 168,952 | 525,137 | 313,029 |
(Loss) income before equity in net income (loss) of subsidiaries and taxes | 89,154 | 162,222 | 254,350 | 361,754 |
Equity in net income (loss) of subsidiaries | 0 | 0 | 0 | 0 |
Income before taxes | 89,154 | 162,222 | 254,350 | 361,754 |
Income tax (expense) benefit | 1,842 | 204 | 49,746 | 38 |
Net income | 90,996 | 162,426 | 304,096 | 361,792 |
Net income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Net income attributable to RenaissanceRe | 78,829 | 126,348 | 252,267 | 282,946 |
Dividends on preference shares | (5,596) | (5,596) | (11,191) | (11,191) |
Net income available to RenaissanceRe common shareholders | 73,233 | 120,752 | 241,076 | 271,755 |
RenaissanceRe Holdings Ltd. (Parent Guarantor) | ||||
Revenues | ||||
Net premiums earned | 0 | 0 | 0 | 0 |
Net investment income | 98 | 736 | 2,722 | 1,361 |
Net foreign exchange (losses) gains | 12 | 6 | 2 | 7 |
Equity in earnings of other ventures | 0 | 0 | 0 | 0 |
Other income (loss) | 15,692 | 0 | 21,881 | 0 |
Net realized and unrealized gains (losses) on investments | (535) | 190 | (496) | 84 |
Total revenues | 15,267 | 932 | 24,109 | 1,452 |
Expenses | ||||
Net claims and claim expenses incurred | 0 | 0 | 0 | 0 |
Acquisition expenses | 0 | 0 | 0 | 0 |
Operational expenses | (1,300) | (1,236) | (2,478) | (2,116) |
Corporate expenses | 6,373 | 3,468 | 22,677 | 7,470 |
Interest expense | 468 | 0 | 763 | 0 |
Total expenses | 5,541 | 2,232 | 20,962 | 5,354 |
(Loss) income before equity in net income (loss) of subsidiaries and taxes | 9,726 | (1,300) | 3,147 | (3,902) |
Equity in net income (loss) of subsidiaries | 72,555 | 127,648 | 256,235 | 286,848 |
Income before taxes | 82,281 | 126,348 | 259,382 | 282,946 |
Income tax (expense) benefit | (3,452) | 0 | (7,115) | 0 |
Net income | 78,829 | 126,348 | 252,267 | 282,946 |
Net income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net income attributable to RenaissanceRe | 78,829 | 126,348 | 252,267 | 282,946 |
Dividends on preference shares | (5,596) | (5,596) | (11,191) | (11,191) |
Net income available to RenaissanceRe common shareholders | 73,233 | 120,752 | 241,076 | 271,755 |
Platinum Underwriters Holdings, Ltd. | ||||
Revenues | ||||
Net premiums earned | 0 | 0 | ||
Net investment income | 0 | 0 | ||
Net foreign exchange (losses) gains | 0 | 0 | ||
Equity in earnings of other ventures | 0 | 0 | ||
Other income (loss) | 497 | 663 | ||
Net realized and unrealized gains (losses) on investments | 0 | 0 | ||
Total revenues | 497 | 663 | ||
Expenses | ||||
Net claims and claim expenses incurred | 0 | 0 | ||
Acquisition expenses | 0 | 0 | ||
Operational expenses | 932 | 5,919 | ||
Corporate expenses | 980 | 9,162 | ||
Interest expense | 0 | 0 | ||
Total expenses | 1,912 | 15,081 | ||
(Loss) income before equity in net income (loss) of subsidiaries and taxes | (1,415) | (14,418) | ||
Equity in net income (loss) of subsidiaries | (805) | (7,362) | ||
Income before taxes | (2,220) | (21,780) | ||
Income tax (expense) benefit | 0 | 0 | ||
Net income | (2,220) | (21,780) | ||
Net income attributable to noncontrolling interests | 0 | 0 | ||
Net income attributable to RenaissanceRe | (2,220) | (21,780) | ||
Dividends on preference shares | 0 | 0 | ||
Net income available to RenaissanceRe common shareholders | (2,220) | (21,780) | ||
RenRe North America Holdings Inc. | ||||
Revenues | ||||
Net premiums earned | 0 | 0 | 0 | 0 |
Net investment income | 300 | 445 | 631 | 919 |
Net foreign exchange (losses) gains | 0 | 0 | 0 | 0 |
Equity in earnings of other ventures | 0 | 0 | 0 | 0 |
Other income (loss) | 0 | 0 | 0 | (8) |
Net realized and unrealized gains (losses) on investments | 609 | 4,340 | 1,015 | 4,717 |
Total revenues | 909 | 4,785 | 1,646 | 5,628 |
Expenses | ||||
Net claims and claim expenses incurred | 0 | 0 | 0 | 0 |
Acquisition expenses | 0 | 0 | 0 | 0 |
Operational expenses | 1,588 | 1,684 | 3,478 | 3,578 |
Corporate expenses | 153 | 59 | 251 | 118 |
Interest expense | 3,616 | 3,616 | 7,233 | 7,233 |
Total expenses | 5,357 | 5,359 | 10,962 | 10,929 |
(Loss) income before equity in net income (loss) of subsidiaries and taxes | (4,448) | (574) | (9,316) | (5,301) |
Equity in net income (loss) of subsidiaries | 127 | (38) | 17,526 | 815 |
Income before taxes | (4,321) | (612) | 8,210 | (4,486) |
Income tax (expense) benefit | 1,743 | (38) | 32,748 | 646 |
Net income | (2,578) | (650) | 40,958 | (3,840) |
Net income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net income attributable to RenaissanceRe | (2,578) | (650) | 40,958 | (3,840) |
Dividends on preference shares | 0 | 0 | 0 | 0 |
Net income available to RenaissanceRe common shareholders | (2,578) | (650) | 40,958 | (3,840) |
Platinum Underwriters Finance, Inc. | ||||
Revenues | ||||
Net premiums earned | 0 | 0 | ||
Net investment income | 1,221 | 1,181 | ||
Net foreign exchange (losses) gains | 0 | 0 | ||
Equity in earnings of other ventures | 0 | 0 | ||
Other income (loss) | 0 | 0 | ||
Net realized and unrealized gains (losses) on investments | (1,389) | (1,388) | ||
Total revenues | (168) | (207) | ||
Expenses | ||||
Net claims and claim expenses incurred | 0 | 0 | ||
Acquisition expenses | 0 | 0 | ||
Operational expenses | 0 | 1 | ||
Corporate expenses | 109 | 144 | ||
Interest expense | 4,687 | 6,250 | ||
Total expenses | 4,796 | 6,395 | ||
(Loss) income before equity in net income (loss) of subsidiaries and taxes | (4,964) | (6,602) | ||
Equity in net income (loss) of subsidiaries | 565 | (1,581) | ||
Income before taxes | (4,399) | (8,183) | ||
Income tax (expense) benefit | 1,956 | 2,527 | ||
Net income | (2,443) | (5,656) | ||
Net income attributable to noncontrolling interests | 0 | 0 | ||
Net income attributable to RenaissanceRe | (2,443) | (5,656) | ||
Dividends on preference shares | 0 | 0 | ||
Net income available to RenaissanceRe common shareholders | (2,443) | (5,656) | ||
RenaissanceRe Finance, Inc. | ||||
Revenues | ||||
Net premiums earned | 0 | 0 | ||
Net investment income | 468 | 504 | ||
Net foreign exchange (losses) gains | 0 | 0 | ||
Equity in earnings of other ventures | 0 | 0 | ||
Other income (loss) | 0 | 0 | ||
Net realized and unrealized gains (losses) on investments | 0 | 0 | ||
Total revenues | 468 | 504 | ||
Expenses | ||||
Net claims and claim expenses incurred | 0 | 0 | ||
Acquisition expenses | 0 | 0 | ||
Operational expenses | 0 | 0 | ||
Corporate expenses | 77 | 84 | ||
Interest expense | 2,790 | 3,006 | ||
Total expenses | 2,867 | 3,090 | ||
(Loss) income before equity in net income (loss) of subsidiaries and taxes | (2,399) | (2,586) | ||
Equity in net income (loss) of subsidiaries | (2,443) | (5,656) | ||
Income before taxes | (4,842) | (8,242) | ||
Income tax (expense) benefit | 888 | 953 | ||
Net income | (3,954) | (7,289) | ||
Net income attributable to noncontrolling interests | 0 | 0 | ||
Net income attributable to RenaissanceRe | (3,954) | (7,289) | ||
Dividends on preference shares | 0 | 0 | ||
Net income available to RenaissanceRe common shareholders | (3,954) | (7,289) | ||
Other RenaissanceRe Holdings Ltd. Subsidiaries And Eliminations (Non-Guarantor Subsidiaries) | ||||
Revenues | ||||
Net premiums earned | 379,828 | 260,416 | 676,588 | 546,950 |
Net investment income | 37,342 | 34,293 | 75,072 | 73,079 |
Net foreign exchange (losses) gains | (1,752) | 2,386 | (4,872) | 1,324 |
Equity in earnings of other ventures | 6,160 | 7,232 | 11,455 | 11,431 |
Other income (loss) | 431 | (535) | 1,639 | (465) |
Net realized and unrealized gains (losses) on investments | (25,397) | 22,598 | 15,906 | 37,254 |
Total revenues | 396,612 | 326,390 | 775,788 | 669,573 |
Expenses | ||||
Net claims and claim expenses incurred | 171,023 | 81,388 | 248,435 | 140,303 |
Acquisition expenses | 73,537 | 33,477 | 121,855 | 67,177 |
Operational expenses | 51,334 | 45,483 | 85,849 | 87,171 |
Corporate expenses | 5,449 | 427 | 26,456 | 911 |
Interest expense | 880 | 676 | 1,474 | 1,352 |
Total expenses | 302,223 | 161,451 | 484,069 | 296,914 |
(Loss) income before equity in net income (loss) of subsidiaries and taxes | 94,389 | 164,939 | 291,719 | 372,659 |
Equity in net income (loss) of subsidiaries | (11,916) | 0 | 0 | 0 |
Income before taxes | 82,473 | 164,939 | 291,719 | 372,659 |
Income tax (expense) benefit | 707 | 242 | 20,633 | (608) |
Net income | 83,180 | 165,181 | 312,352 | 372,051 |
Net income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Net income attributable to RenaissanceRe | 71,013 | 129,103 | 260,523 | 293,205 |
Dividends on preference shares | 0 | 0 | 0 | 0 |
Net income available to RenaissanceRe common shareholders | 71,013 | 129,103 | 260,523 | 293,205 |
Consolidating Adjustments | ||||
Revenues | ||||
Net premiums earned | 0 | 0 | 0 | 0 |
Net investment income | (825) | (933) | (1,799) | (1,870) |
Net foreign exchange (losses) gains | 0 | 0 | 0 | 0 |
Equity in earnings of other ventures | 0 | 0 | 0 | 0 |
Other income (loss) | (15,193) | 0 | (21,217) | 0 |
Net realized and unrealized gains (losses) on investments | 0 | 0 | 0 | 0 |
Total revenues | (16,018) | (933) | (23,016) | (1,870) |
Expenses | ||||
Net claims and claim expenses incurred | (1,679) | 0 | (2,238) | 0 |
Acquisition expenses | (11,871) | 0 | (16,788) | 0 |
Operational expenses | 2,119 | (90) | 7,525 | (168) |
Corporate expenses | (109) | 0 | (144) | 0 |
Interest expense | (2,743) | 0 | (3,777) | 0 |
Total expenses | (14,283) | (90) | (15,422) | (168) |
(Loss) income before equity in net income (loss) of subsidiaries and taxes | (1,735) | (843) | (7,594) | (1,702) |
Equity in net income (loss) of subsidiaries | (58,083) | (127,610) | (259,162) | (287,663) |
Income before taxes | (59,818) | (128,453) | (266,756) | (289,365) |
Income tax (expense) benefit | 0 | 0 | 0 | 0 |
Net income | (59,818) | (128,453) | (266,756) | (289,365) |
Net income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Net income attributable to RenaissanceRe | (59,818) | (128,453) | (266,756) | (289,365) |
Dividends on preference shares | 0 | 0 | 0 | 0 |
Net income available to RenaissanceRe common shareholders | $ (59,818) | $ (128,453) | $ (266,756) | $ (289,365) |
Condensed Consolidating Finan75
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 | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Condensed Financial Statements, Captions [Line Items] | ||||
Net income | $ 90,996 | $ 162,426 | $ 304,096 | $ 361,792 |
Change in net unrealized gains on investments | (349) | (45) | (423) | (213) |
Comprehensive income | 90,647 | 162,381 | 303,673 | 361,579 |
Net income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Comprehensive income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Comprehensive income attributable to RenaissanceRe | 78,480 | 126,303 | 251,844 | 282,733 |
RenaissanceRe Holdings Ltd. (Parent Guarantor) | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net income | 78,829 | 126,348 | 252,267 | 282,946 |
Change in net unrealized gains on investments | 0 | 0 | 0 | 0 |
Comprehensive income | 78,829 | 126,348 | 252,267 | 282,946 |
Net income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to RenaissanceRe | 78,829 | 126,348 | 252,267 | 282,946 |
Platinum Underwriters Holdings, Ltd. | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net income | (2,220) | (21,780) | ||
Change in net unrealized gains on investments | 0 | 0 | ||
Comprehensive income | (2,220) | (21,780) | ||
Net income attributable to noncontrolling interests | 0 | 0 | ||
Comprehensive income attributable to noncontrolling interests | 0 | 0 | ||
Comprehensive income attributable to RenaissanceRe | (2,220) | (21,780) | ||
RenRe North America Holdings Inc. | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net income | (2,578) | (650) | 40,958 | (3,840) |
Change in net unrealized gains on investments | 0 | 0 | 0 | 0 |
Comprehensive income | (2,578) | (650) | 40,958 | (3,840) |
Net income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to RenaissanceRe | (2,578) | (650) | 40,958 | (3,840) |
Platinum Underwriters Finance, Inc. | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net income | (2,443) | (5,656) | ||
Change in net unrealized gains on investments | 0 | 0 | ||
Comprehensive income | (2,443) | (5,656) | ||
Net income attributable to noncontrolling interests | 0 | 0 | ||
Comprehensive income attributable to noncontrolling interests | 0 | 0 | ||
Comprehensive income attributable to RenaissanceRe | (2,443) | (5,656) | ||
RenaissanceRe Finance, Inc. | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net income | (3,954) | (7,289) | ||
Change in net unrealized gains on investments | 0 | 0 | ||
Comprehensive income | (3,954) | (7,289) | ||
Net income attributable to noncontrolling interests | 0 | 0 | ||
Comprehensive income attributable to noncontrolling interests | 0 | 0 | ||
Comprehensive income attributable to RenaissanceRe | (3,954) | (7,289) | ||
Other RenaissanceRe Holdings Ltd. Subsidiaries And Eliminations (Non-Guarantor Subsidiaries) | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net income | 83,180 | 165,181 | 312,352 | 372,051 |
Change in net unrealized gains on investments | (349) | (45) | (423) | (213) |
Comprehensive income | 82,831 | 165,136 | 311,929 | 371,838 |
Net income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Comprehensive income attributable to noncontrolling interests | (12,167) | (36,078) | (51,829) | (78,846) |
Comprehensive income attributable to RenaissanceRe | 70,664 | 129,058 | 260,100 | 292,992 |
Consolidating Adjustments | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net income | (59,818) | (128,453) | (266,756) | (289,365) |
Change in net unrealized gains on investments | 0 | 0 | 0 | 0 |
Comprehensive income | (59,818) | (128,453) | (266,756) | (289,365) |
Net income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to noncontrolling interests | 0 | 0 | 0 | 0 |
Comprehensive income attributable to RenaissanceRe | $ (59,818) | $ (128,453) | $ (266,756) | $ (289,365) |
Condensed Consolidating Finan76
Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries (Condensed Consolidating Statement Of Cash Flows) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Cash flows (used in) provided by operating activities: | ||
Net cash (used in) provided by operating activities | $ (29,370) | $ 173,386 |
Cash flows (used in) provided by investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 4,761,975 | 4,020,174 |
Purchases of fixed maturity investments trading | (4,596,118) | (3,970,317) |
Proceeds from sales and maturities of fixed maturity investments available for sale | 5,000 | 5,114 |
Net purchases of equity investments trading | (166,485) | (11,146) |
Net sales (purchases) of short term investments | 360,162 | 89,549 |
Net (purchases) sales of other investments | (1,250) | 68,684 |
Net (purchases) sales of investments in other ventures | (45) | 1,030 |
Net (purchases) sales of other assets | 4,500 | 6,000 |
Dividends and return of capital from subsidiaries | 0 | 0 |
Contributions to subsidiaries | 0 | 0 |
Due (from) to subsidiary | 0 | 0 |
Net purchase of Platinum | 678,152 | 0 |
Net cash (used in) provided by investing activities | (310,413) | 209,088 |
Cash flows provided by (used in) financing activities | ||
Dividends paid – RenaissanceRe common shares | (27,479) | (23,550) |
Dividends paid – preference shares | (11,191) | (11,191) |
RenaissanceRe common share repurchases | (736) | (314,536) |
Net issuance (repayment) of debt | 445,589 | 0 |
Net third party redeemable noncontrolling interest share transactions | (187,064) | (144,096) |
Net cash provided by (used in) financing activities | 219,119 | (493,373) |
Effect of exchange rate changes on foreign currency cash | (6,830) | (2,676) |
Net decrease in cash and cash equivalents | (127,494) | (113,575) |
Cash and cash equivalents, beginning of period | 525,584 | 408,032 |
Cash and cash equivalents, end of period | 398,090 | 294,457 |
RenaissanceRe Holdings Ltd. (Parent Guarantor) | ||
Cash flows (used in) provided by operating activities: | ||
Net cash (used in) provided by operating activities | 66,113 | (14,828) |
Cash flows (used in) provided by investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 14,718 | 4,912 |
Purchases of fixed maturity investments trading | (56,559) | (79,714) |
Proceeds from sales and maturities of fixed maturity investments available for sale | 0 | 0 |
Net purchases of equity investments trading | 0 | 0 |
Net sales (purchases) of short term investments | (1,088) | 116,511 |
Net (purchases) sales of other investments | 0 | 0 |
Net (purchases) sales of investments in other ventures | 0 | 0 |
Net (purchases) sales of other assets | 0 | 0 |
Dividends and return of capital from subsidiaries | 1,009,161 | 359,891 |
Contributions to subsidiaries | 205,362 | 47,220 |
Due (from) to subsidiary | (3,595) | 4,123 |
Net purchase of Platinum | 904,433 | |
Net cash (used in) provided by investing activities | (147,158) | 358,503 |
Cash flows provided by (used in) financing activities | ||
Dividends paid – RenaissanceRe common shares | (27,479) | (23,550) |
Dividends paid – preference shares | (11,191) | (11,191) |
RenaissanceRe common share repurchases | (736) | (314,536) |
Net issuance (repayment) of debt | 117,000 | |
Net third party redeemable noncontrolling interest share transactions | 0 | 0 |
Net cash provided by (used in) financing activities | 77,594 | (349,277) |
Effect of exchange rate changes on foreign currency cash | 0 | 0 |
Net decrease in cash and cash equivalents | (3,451) | (5,602) |
Cash and cash equivalents, beginning of period | 5,986 | 8,796 |
Cash and cash equivalents, end of period | 2,535 | 3,194 |
Platinum Underwriters Holdings, Ltd. | ||
Cash flows (used in) provided by operating activities: | ||
Net cash (used in) provided by operating activities | (1,326) | |
Cash flows (used in) provided by investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 0 | |
Purchases of fixed maturity investments trading | 0 | |
Proceeds from sales and maturities of fixed maturity investments available for sale | 0 | |
Net purchases of equity investments trading | 0 | |
Net sales (purchases) of short term investments | 0 | |
Net (purchases) sales of other investments | 0 | |
Net (purchases) sales of investments in other ventures | 0 | |
Net (purchases) sales of other assets | 0 | |
Dividends and return of capital from subsidiaries | (30,000) | |
Contributions to subsidiaries | 0 | |
Due (from) to subsidiary | (21,913) | |
Net purchase of Platinum | (62,420) | |
Net cash (used in) provided by investing activities | 10,507 | |
Cash flows provided by (used in) financing activities | ||
Dividends paid – RenaissanceRe common shares | 0 | |
Dividends paid – preference shares | 0 | |
RenaissanceRe common share repurchases | 0 | |
Net issuance (repayment) of debt | 0 | |
Net third party redeemable noncontrolling interest share transactions | 0 | |
Net cash provided by (used in) financing activities | 0 | |
Effect of exchange rate changes on foreign currency cash | 0 | |
Net decrease in cash and cash equivalents | 9,181 | |
Cash and cash equivalents, beginning of period | 0 | |
Cash and cash equivalents, end of period | 9,181 | |
RenRe North America Holdings Inc. | ||
Cash flows (used in) provided by operating activities: | ||
Net cash (used in) provided by operating activities | (5,393) | (8,410) |
Cash flows (used in) provided by investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 7,016 | 5,353 |
Purchases of fixed maturity investments trading | (38,668) | 0 |
Proceeds from sales and maturities of fixed maturity investments available for sale | 0 | 0 |
Net purchases of equity investments trading | 33,687 | (370) |
Net sales (purchases) of short term investments | (5,848) | (68) |
Net (purchases) sales of other investments | 0 | 0 |
Net (purchases) sales of investments in other ventures | 0 | 0 |
Net (purchases) sales of other assets | 0 | 0 |
Dividends and return of capital from subsidiaries | 0 | 5,406 |
Contributions to subsidiaries | (10,342) | 1,950 |
Due (from) to subsidiary | (23) | (777) |
Net purchase of Platinum | 0 | |
Net cash (used in) provided by investing activities | 6,506 | 7,594 |
Cash flows provided by (used in) financing activities | ||
Dividends paid – RenaissanceRe common shares | 0 | 0 |
Dividends paid – preference shares | 0 | 0 |
RenaissanceRe common share repurchases | 0 | 0 |
Net issuance (repayment) of debt | 0 | |
Net third party redeemable noncontrolling interest share transactions | 0 | 0 |
Net cash provided by (used in) financing activities | 0 | 0 |
Effect of exchange rate changes on foreign currency cash | 0 | 0 |
Net decrease in cash and cash equivalents | 1,113 | (816) |
Cash and cash equivalents, beginning of period | 1,033 | 4,027 |
Cash and cash equivalents, end of period | 2,146 | 3,211 |
Platinum Underwriters Finance, Inc. | ||
Cash flows (used in) provided by operating activities: | ||
Net cash (used in) provided by operating activities | (10,030) | |
Cash flows (used in) provided by investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 45,087 | |
Purchases of fixed maturity investments trading | 0 | |
Proceeds from sales and maturities of fixed maturity investments available for sale | 0 | |
Net purchases of equity investments trading | (273,501) | |
Net sales (purchases) of short term investments | 238,048 | |
Net (purchases) sales of other investments | 0 | |
Net (purchases) sales of investments in other ventures | 0 | |
Net (purchases) sales of other assets | 0 | |
Dividends and return of capital from subsidiaries | 0 | |
Contributions to subsidiaries | 0 | |
Due (from) to subsidiary | (52) | |
Net purchase of Platinum | (1,537) | |
Net cash (used in) provided by investing activities | 11,119 | |
Cash flows provided by (used in) financing activities | ||
Dividends paid – RenaissanceRe common shares | 0 | |
Dividends paid – preference shares | 0 | |
RenaissanceRe common share repurchases | 0 | |
Net issuance (repayment) of debt | 0 | |
Net third party redeemable noncontrolling interest share transactions | 0 | |
Net cash provided by (used in) financing activities | 0 | |
Effect of exchange rate changes on foreign currency cash | 0 | |
Net decrease in cash and cash equivalents | 1,089 | |
Cash and cash equivalents, beginning of period | 0 | |
Cash and cash equivalents, end of period | 1,089 | |
RenaissanceRe Finance, Inc. | ||
Cash flows (used in) provided by operating activities: | ||
Net cash (used in) provided by operating activities | (119,583) | |
Cash flows (used in) provided by investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 0 | |
Purchases of fixed maturity investments trading | 0 | |
Proceeds from sales and maturities of fixed maturity investments available for sale | 0 | |
Net purchases of equity investments trading | 0 | |
Net sales (purchases) of short term investments | 0 | |
Net (purchases) sales of other investments | 0 | |
Net (purchases) sales of investments in other ventures | 0 | |
Net (purchases) sales of other assets | 0 | |
Dividends and return of capital from subsidiaries | 0 | |
Contributions to subsidiaries | 180,000 | |
Due (from) to subsidiary | 407 | |
Net purchase of Platinum | 0 | |
Net cash (used in) provided by investing activities | (179,593) | |
Cash flows provided by (used in) financing activities | ||
Dividends paid – RenaissanceRe common shares | 0 | |
Dividends paid – preference shares | 0 | |
RenaissanceRe common share repurchases | 0 | |
Net issuance (repayment) of debt | 299,400 | |
Net third party redeemable noncontrolling interest share transactions | 0 | |
Net cash provided by (used in) financing activities | 299,400 | |
Effect of exchange rate changes on foreign currency cash | 0 | |
Net decrease in cash and cash equivalents | 224 | |
Cash and cash equivalents, beginning of period | 0 | |
Cash and cash equivalents, end of period | 224 | |
Other RenaissanceRe Holdings Ltd. Subsidiaries And Eliminations (Non-Guarantor Subsidiaries) | ||
Cash flows (used in) provided by operating activities: | ||
Net cash (used in) provided by operating activities | 40,849 | 196,624 |
Cash flows (used in) provided by investing activities | ||
Proceeds from sales and maturities of fixed maturity investments trading | 4,695,154 | 4,009,909 |
Purchases of fixed maturity investments trading | (4,500,891) | (3,890,603) |
Proceeds from sales and maturities of fixed maturity investments available for sale | 5,000 | 5,114 |
Net purchases of equity investments trading | 73,329 | (10,776) |
Net sales (purchases) of short term investments | 129,050 | (26,894) |
Net (purchases) sales of other investments | (1,250) | 68,684 |
Net (purchases) sales of investments in other ventures | (45) | 1,030 |
Net (purchases) sales of other assets | 4,500 | 6,000 |
Dividends and return of capital from subsidiaries | (979,161) | (365,297) |
Contributions to subsidiaries | (375,020) | (49,170) |
Due (from) to subsidiary | 25,176 | (3,346) |
Net purchase of Platinum | (162,324) | |
Net cash (used in) provided by investing activities | (11,794) | (157,009) |
Cash flows provided by (used in) financing activities | ||
Dividends paid – RenaissanceRe common shares | 0 | 0 |
Dividends paid – preference shares | 0 | 0 |
RenaissanceRe common share repurchases | 0 | 0 |
Net issuance (repayment) of debt | 29,189 | |
Net third party redeemable noncontrolling interest share transactions | (187,064) | (144,096) |
Net cash provided by (used in) financing activities | (157,875) | (144,096) |
Effect of exchange rate changes on foreign currency cash | (6,830) | (2,676) |
Net decrease in cash and cash equivalents | (135,650) | (107,157) |
Cash and cash equivalents, beginning of period | 518,565 | 395,209 |
Cash and cash equivalents, end of period | $ 382,915 | $ 288,052 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, shares in Thousands | 1 Months Ended | 6 Months Ended | |
Jul. 27, 2015 | Jun. 30, 2015 | May. 04, 2015 | |
Common Shares | |||
Subsequent Event [Line Items] | |||
Common shares repurchased during period, Number of shares | 83 | ||
Common shares repurchased during period, Aggregate amount | $ 8,400,000 | ||
Common shares repurchased during period, Average cost per share | $ 101.99 | ||
Common Shares | Subsequent Event | |||
Subsequent Event [Line Items] | |||
Common shares repurchased during period, Number of shares | 67 | ||
Common shares repurchased during period, Aggregate amount | $ 6,900,000 | ||
Common shares repurchased during period, Average cost per share | $ 102.70 | ||
DaVinciRe Holdings Ltd. | |||
Subsequent Event [Line Items] | |||
Related party debt to be repaid | $ 100,000,000 | ||
DaVinciRe Holdings Ltd. | 4.750% Senior Notes Due May 1, 2025 | |||
Subsequent Event [Line Items] | |||
Debt Instrument, face amount | $ 150,000,000 | ||
Senior notes interest rate | 4.75% |