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Segment Information (Tables) | 12 Months Ended
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Dec. 31, 2023
Segment Reporting [Abstract] |
Analysis of underwriting income (loss) by segment and reconciliation to net income (loss) available to common shareholders | The following tables summarize the Company’s underwriting income or loss by segment, together with a reconciliation of underwriting income or loss to net income available to Arch common shareholders, summary information regarding net premiums written and earned by major line of business and net premiums written by location:
| Year Ended December 31, 2023
| Insurance |  | Reinsurance |  | Mortgage |  | Sub-Total |  | Other |  | Total
Gross premiums written (1) | $ | 7,911 |  |  | $ | 9,113 |  |  | $ | 1,387 |  |  | $ | 18,403 |  |  | $ | — |  |  | $ | 18,403 |
Premiums ceded (1) | (2,049) |  |  | (2,559) |  |  | (335) |  |  | (4,935) |  |  | — |  |  | (4,935) |
Net premiums written | 5,862 |  |  | 6,554 |  |  | 1,052 |  |  | 13,468 |  |  | — |  |  | 13,468 |
Change in unearned premiums | (416) |  |  | (718) |  |  | 106 |  |  | (1,028) |  |  | — |  |  | (1,028) |
Net premiums earned | 5,446 |  |  | 5,836 |  |  | 1,158 |  |  | 12,440 |  |  | — |  |  | 12,440 |
Other underwriting income | — |  |  | 17 |  |  | 14 |  |  | 31 |  |  | — |  |  | 31 |
Losses and loss adjustment expenses | (3,122) |  |  | (3,227) |  |  | 103 |  |  | (6,246) |  |  | — |  |  | (6,246) |
Acquisition expenses | (1,055) |  |  | (1,240) |  |  | (17) |  |  | (2,312) |  |  | — |  |  | (2,312) |
Other operating expenses | (819) |  |  | (288) |  |  | (194) |  |  | (1,301) |  |  | — |  |  | (1,301) |
Underwriting income | $ | 450 |  |  | $ | 1,098 |  |  | $ | 1,064 |  |  | 2,612 |  |  | — |  |  | 2,612 |
Net investment income |  |  |  |  |  |  | 1,023 |  |  | — |  |  | 1,023 |
Net realized gains (losses) |  |  |  |  |  |  | (165) |  |  | — |  |  | (165) |
Equity in net income (loss) of investments accounted for using the equity method |  |  |  |  |  |  | 278 |  |  | — |  |  | 278 |
Other income (loss) |  |  |  |  |  |  | 27 |  |  | — |  |  | 27 |
Corporate expenses |  |  |  |  |  |  | (96) |  |  | — |  |  | (96) |
Transaction costs and other |  |  |  |  |  |  | (6) |  |  | — |  |  | (6) |
Amortization of intangible assets |  |  |  |  |  |  | (95) |  |  | — |  |  | (95) |
Interest expense |  |  |  |  |  |  | (133) |  |  | — |  |  | (133) |
Net foreign exchange gains (losses) |  |  |  |  |  |  | (60) |  |  | — |  |  | (60) |
Income (loss) before income taxes and income (loss) from operating affiliates |  |  |  |  |  |  | 3,385 |  |  | — |  |  | 3,385 |
Income tax (expense) benefit |  |  |  |  |  |  | 873 |  |  | — |  |  | 873 |
Income (loss) from operating affiliates |  |  |  |  |  |  | 184 |  |  | — |  |  | 184 |
Net income (loss) |  |  |  |  |  |  | 4,442 |  |  | — |  |  | 4,442 |
Amounts attributable to redeemable noncontrolling interests |  |  |  |  |  |  | 1 |  |  | — |  |  | 1 |
Net income (loss) available to Arch |  |  |  |  |  |  | 4,443 |  |  | — |  |  | 4,443 |
Preferred dividends |  |  |  |  |  |  | (40) |  |  | — |  |  | (40) |
Net income (loss) available to Arch common shareholders |  |  |  |  |  |  | $ | 4,403 |  |  | $ | — |  |  | $ | 4,403 |
Underwriting Ratios |  |  |  |  |  |  |  |  |  |  |
Loss ratio | 57.3 | % |  | 55.3 | % |  | -8.9 | % |  | 50.2 | % |  | — | % |  | 50.2 | %
Acquisition expense ratio | 19.4 | % |  | 21.2 | % |  | 1.4 | % |  | 18.6 | % |  | — | % |  | 18.6 | %
Other operating expense ratio | 15.0 | % |  | 4.9 | % |  | 16.8 | % |  | 10.5 | % |  | — | % |  | 10.5 | %
Combined ratio | 91.7 | % |  | 81.4 | % |  | 9.3 | % |  | 79.3 | % |  | — | % |  | 79.3 | %
Goodwill and intangible assets | $ | 224 |  |  | $ | 130 |  |  | $ | 377 |  |  | $ | 731 |  |  | $ | — |  |  | $ | 731 |
Total investable assets |  |  |  |  |  |  | $ | 34,589 |  |  | $ | — |  |  | $ | 34,589 |
Total assets |  |  |  |  |  |  | 58,906 |  |  | — |  |  | 58,906 |
Total liabilities |  |  |  |  |  |  | 40,551 |  |  | — |  |  | 40,551 |
(1) Certain assumed and ceded amounts related to intersegment transactions are included in individual segment results. Accordingly, the sum of such transactions for each segment does not agree to the total due to eliminations.
| Year Ended December 31, 2022
| Insurance |  | Reinsurance |  | Mortgage |  | Sub-Total |  | Other |  | Total
Gross premiums written (1) | $ | 6,931 |  |  | $ | 6,948 |  |  | $ | 1,455 |  |  | $ | 15,327 |  |  | $ | — |  |  | $ | 15,327 |
Premiums ceded (1) | (1,910) |  |  | (2,024) |  |  | (322) |  |  | (4,249) |  |  | — |  |  | (4,249) |
Net premiums written | 5,021 |  |  | 4,924 |  |  | 1,133 |  |  | 11,078 |  |  | — |  |  | 11,078 |
Change in unearned premiums | (461) |  |  | (965) |  |  | 27 |  |  | (1,399) |  |  | — |  |  | (1,399) |
Net premiums earned | 4,560 |  |  | 3,959 |  |  | 1,160 |  |  | 9,679 |  |  | — |  |  | 9,679 |
Other underwriting income | — |  |  | 5 |  |  | 8 |  |  | 13 |  |  | — |  |  | 13 |
Losses and loss adjustment expenses | (2,784) |  |  | (2,568) |  |  | 324 |  |  | (5,028) |  |  | — |  |  | (5,028) |
Acquisition expenses, net | (887) |  |  | (813) |  |  | (40) |  |  | (1,740) |  |  | — |  |  | (1,740) |
Other operating expenses | (665) |  |  | (268) |  |  | (195) |  |  | (1,128) |  |  | — |  |  | (1,128) |
Underwriting income (loss) | $ | 224 |  |  | $ | 315 |  |  | $ | 1,257 |  |  | 1,796 |  |  | — |  |  | 1,796 |
Net investment income |  |  |  |  |  |  | 496 |  |  | — |  |  | 496 |
Net realized gains (losses) |  |  |  |  |  |  | (663) |  |  | — |  |  | (663) |
Equity in net income (loss) of investments accounted for using the equity method |  |  |  |  |  |  | 115 |  |  | — |  |  | 115 |
Other income (loss) |  |  |  |  |  |  | (27) |  |  | — |  |  | (27) |
Corporate expenses |  |  |  |  |  |  | (95) |  |  | — |  |  | (95) |
Transaction costs and other |  |  |  |  |  |  | — |  |  | — |  |  | — |
Amortization of intangible assets |  |  |  |  |  |  | (106) |  |  | — |  |  | (106) |
Interest expense |  |  |  |  |  |  | (131) |  |  | — |  |  | (131) |
Net foreign exchange gains (losses) |  |  |  |  |  |  | 102 |  |  | — |  |  | 102 |
Income (loss) before income taxes and income (loss) from operating affiliates |  |  |  |  |  |  | 1,487 |  |  | — |  |  | 1,487 |
Income tax (expense) benefit |  |  |  |  |  |  | (80) |  |  | — |  |  | (80) |
Income (loss) from operating affiliates |  |  |  |  |  |  | 75 |  |  | — |  |  | 75 |
Net income (loss) |  |  |  |  |  |  | 1,482 |  |  | — |  |  | 1,482 |
Amounts attributable to redeemable noncontrolling interests |  |  |  |  |  |  | (6) |  |  | — |  |  | (6) |
Net income (loss) available to Arch |  |  |  |  |  |  | 1,476 |  |  | — |  |  | 1,476 |
Preferred dividends |  |  |  |  |  |  | (40) |  |  | — |  |  | (40) |
Net income (loss) available to Arch common shareholders |  |  |  |  |  |  | $ | 1,436 |  |  | $ | — |  |  | $ | 1,436 |
Underwriting Ratios |  |  |  |  |  |  |  |  |  |  |
Loss ratio | 61.0 | % |  | 64.9 | % |  | -28.0 | % |  | 51.9 | % |  | — | % |  | 51.9 | %
Acquisition expense ratio | 19.4 | % |  | 20.5 | % |  | 3.5 | % |  | 18.0 | % |  | — | % |  | 18.0 | %
Other operating expense ratio | 14.6 | % |  | 6.8 | % |  | 16.8 | % |  | 11.7 | % |  | — | % |  | 11.7 | %
Combined ratio | 95.0 | % |  | 92.2 | % |  | -7.7 | % |  | 81.6 | % |  | — | % |  | 81.6 | %
Goodwill and intangible assets | $ | 229 |  |  | $ | 145 |  |  | $ | 430 |  |  | $ | 804 |  |  | $ | — |  |  | $ | 804 |
Total investable assets |  |  |  |  |  |  | $ | 28,065 |  |  | $ | — |  |  | $ | 28,065 |
Total assets |  |  |  |  |  |  | 47,990 |  |  | — |  |  | 47,990 |
Total liabilities |  |  |  |  |  |  | 35,069 |  |  | — |  |  | 35,069 |
(1) Certain assumed and ceded amounts related to intersegment transactions are included in individual segment results. Accordingly, the sum of such transactions for each segment does not agree to the total due to eliminations.
| Year Ended December 31, 2021
| Insurance |  | Reinsurance |  | Mortgage |  | Sub-Total |  | Other |  | Total
Gross premiums written (1) | $ | 5,868 |  |  | $ | 5,094 |  |  | $ | 1,508 |  |  | $ | 12,463 |  |  | $ | 458 |  |  | $ | 12,752 |
Premiums ceded (1) | (1,719) |  |  | (1,840) |  |  | (247) |  |  | (3,799) |  |  | (105) |  |  | (3,735) |
Net premiums written | 4,149 |  |  | 3,254 |  |  | 1,261 |  |  | 8,664 |  |  | 353 |  |  | 9,017 |
Change in unearned premiums | (524) |  |  | (413) |  |  | 22 |  |  | (915) |  |  | (20) |  |  | (935) |
Net premiums earned | 3,625 |  |  | 2,841 |  |  | 1,283 |  |  | 7,749 |  |  | 333 |  |  | 8,082 |
Other underwriting income | — |  |  | 3 |  |  | 18 |  |  | 21 |  |  | — |  |  | 21 |
Losses and loss adjustment expenses | (2,345) |  |  | (1,925) |  |  | (57) |  |  | (4,327) |  |  | (258) |  |  | (4,585) |
Acquisition expenses, net | (606) |  |  | (537) |  |  | (97) |  |  | (1,240) |  |  | (63) |  |  | (1,303) |
Other operating expenses | (559) |  |  | (214) |  |  | (193) |  |  | (966) |  |  | (33) |  |  | (999) |
Underwriting income (loss) | $ | 115 |  |  | $ | 168 |  |  | $ | 954 |  |  | 1,237 |  |  | (21) |  |  | 1,216 |
Net investment income |  |  |  |  |  |  | 347 |  |  | 42 |  |  | 389 |
Net realized gains (losses) |  |  |  |  |  |  | 299 |  |  | 81 |  |  | 380 |
Equity in net income (loss) of investments accounted for using the equity method |  |  |  |  |  |  | 366 |  |  | — |  |  | 366 |
Other income (loss) |  |  |  |  |  |  | 10 |  |  | — |  |  | 10 |
Corporate expenses |  |  |  |  |  |  | (76) |  |  | — |  |  | (76) |
Transaction costs and other |  |  |  |  |  |  | (1) |  |  | (1) |  |  | (2) |
Amortization of intangible assets |  |  |  |  |  |  | (81) |  |  | (1) |  |  | (82) |
Interest expense |  |  |  |  |  |  | (131) |  |  | (8) |  |  | (139) |
Net foreign exchange gains (losses) |  |  |  |  |  |  | 42 |  |  | (1) |  |  | 41 |
Income (loss) before income taxes and income (loss) from operating affiliates |  |  |  |  |  |  | 2,012 |  |  | 91 |  |  | 2,103 |
Income tax (expense) benefit |  |  |  |  |  |  | (128) |  |  | — |  |  | (128) |
Income (loss) from operating affiliates |  |  |  |  |  |  | 264 |  |  | — |  |  | 264 |
Net income |  |  |  |  |  |  | 2,148 |  |  | 91 |  |  | 2,239 |
Amounts attributable to redeemable noncontrolling interests |  |  |  |  |  |  | (2) |  |  | (2) |  |  | (4) |
Amounts attributable to nonredeemable noncontrolling interests |  |  |  |  |  |  | — |  |  | (78) |  |  | (78) |
Net income (loss) available to Arch |  |  |  |  |  |  | 2,148 |  |  | 9 |  |  | 2,157 |
Preferred dividends |  |  |  |  |  |  | (48) |  |  | — |  |  | (48) |
Loss on redemption of preferred shares |  |  |  |  |  |  | (15) |  |  | — |  |  | (15) |
Net income (loss) available to Arch common shareholders |  |  |  |  |  |  | $ | 2,085 |  |  | $ | 9 |  |  | $ | 2,094 |
Underwriting Ratios |  |  |  |  |  |  |  |  |  |  |
Loss ratio | 64.6 | % |  | 67.8 | % |  | 4.4 | % |  | 55.8 | % |  | 78.0 | % |  | 56.7 | %
Acquisition expense ratio | 16.7 | % |  | 18.9 | % |  | 7.6 | % |  | 16.0 | % |  | 18.9 | % |  | 16.1 | %
Other operating expense ratio | 15.4 | % |  | 7.5 | % |  | 15.1 | % |  | 12.5 | % |  | 9.9 | % |  | 12.4 | %
Combined ratio | 96.7 | % |  | 94.2 | % |  | 27.1 | % |  | 84.3 | % |  | 106.8 | % |  | 85.2 | %
Goodwill and intangible assets | $ | 256 |  |  | $ | 184 |  |  | $ | 505 |  |  | $ | 945 |  |  | $ | — |  |  | $ | 945 |
Total investable assets |  |  |  |  |  |  | $ | 27,442 |  |  | $ | — |  |  | $ | 27,442 |
Total assets |  |  |  |  |  |  | 45,101 |  |  | — |  |  | 45,101 |
Total liabilities |  |  |  |  |  |  | 31,546 |  |  | — |  |  | 31,546 |
(1) Certain assumed and ceded amounts related to intersegment transactions are included in individual segment results. Accordingly, the sum of such transactions for each segment does not agree to the total due to eliminations.
Summary of information regarding net premiums written and earned by major line of business and net premiums written by location | The following tables provide summary information regarding net premiums earned by major line of business and net premiums written by underwriting location:
INSURANCE SEGMENT | Year Ended December 31,
2023 |  | 2022 |  | 2021
Net premiums earned (1) |  |  |  |  |
Professional lines | $ | 1,419 |  |  | $ | 1,314 |  |  | $ | 943 |
Property, energy, marine and aviation | 1,064 |  | 772 |  | 668
Programs | 658 |  | 590 |  | 507
Construction and national accounts | 561 |  | 432 |  | 417
Travel, accident and health | 557 |  | 492 |  | 256
Excess and surplus casualty | 486 |  | 393 |  | 318
Warranty and lenders solutions | 185 |  | 128 |  | 153
Other | 516 |  | 439 |  | 363
Total | $ | 5,446 |  |  | $ | 4,560 |  |  | $ | 3,625 |
Net premiums written by underwriting location (1) |  |  |  |  |
United States | $ | 3,780 |  |  | $ | 3,342 |  |  | $ | 2,812 |
Europe | 1,774 |  | 1,405 |  | 1,126
Other | 308 |  |  | 274 |  |  | 211 |
Total | $ | 5,862 |  |  | $ | 5,021 |  |  | $ | 4,149 |
REINSURANCE SEGMENT | Year Ended December 31,
2023 |  | 2022 |  | 2021
Net premiums earned (1) |  |  |  |  |
Other specialty | $ | 2,097 |  |  | $ | 1,378 |  |  | $ | 819 |
Property excluding property catastrophe | 1,645 |  | 1,090 |  | 838
Casualty | 1,005 |  | 855 |  | 667
Property catastrophe | 742 |  | 367 |  | 280
Marine and aviation | 229 |  | 159 |  | 153
Other | 118 |  | 110 |  | 84
Total | $ | 5,836 |  |  | $ | 3,959 |  |  | $ | 2,841 |
Net premiums written by underwriting location (1) |  |  |  |  |
United States | $ | 1,756 |  |  | $ | 1,247 |  |  | $ | 829 |
Bermuda | 3,288 |  | 2,561 |  | 1,555 |
Europe and other | 1,510 |  | 1,116 |  | 870 |
Total | $ | 6,554 |  |  | $ | 4,924 |  |  | $ | 3,254 |
MORTGAGE SEGMENT | Year Ended December 31,
2023 |  | 2022 |  | 2021
Net premiums earned |  |  |  |  |
U.S. primary mortgage insurance | $ | 759 |  |  | $ | 804 |  |  | $ | 953 |
U.S. credit risk transfer (CRT) and other | 220 |  | 196 |  | 181
International mortgage insurance/reinsurance | 179 |  | 160 |  | 149
Total | $ | 1,158 |  |  | $ | 1,160 |  |  | $ | 1,283 |
Net premiums written by underwriting location |  |  |  |  |
United States | $ | 743 |  |  | $ | 781 |  |  | $ | 913 |
Other | 309 |  |  | 352 |  |  | 348 |
Total | $ | 1,052 |  |  | $ | 1,133 |  |  | $ | 1,261 |
(1) Segment results include intersegment transactions.
OTHER SEGMENT | Year Ended December 31,
2023 |  | 2022 |  | 2021
Net premiums earned (1) |  |  |  |  |
Casualty | $ | — |  |  | $ | — |  |  | $ | 138 |
Other specialty | — |  |  | — |  |  | 118 |
Property catastrophe | — |  |  | — |  |  | 15 |
Property excluding property catastrophe | — |  |  | — |  |  | 7 |
Marine and aviation | — |  |  | — |  |  | — |
Other | — |  |  | — |  |  | 55 |
Total | $ | — |  |  | $ | — |  |  | $ | 333 |
Net premiums written by underwriting location (1) |  |  |  |  |
United States | $ | — |  |  | $ | — |  |  | $ | 63 |
Europe | — |  |  | — |  |  | 91 |
Bermuda | — |  |  | — |  |  | 199 |
Total | $ | — |  |  | $ | — |  |  | $ | 353 |

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