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Transactions With Related Parties
 9 Months Ended
Sep. 30, 2024
Related Party Transactions [Abstract]  
Transactions with related parties
Premia Reinsurance Ltd. is a multi-line Bermuda reinsurance company (and its affiliates together with Premia Holdings Ltd., “Premia”). The Company has entered into certain reinsurance transactions with Premia. For the nine months ended September 30, 2024, the Company recorded an immaterial amount of net premiums written and earned, compared to $80 million for the nine months ended September 30, 2023. At September 30, 2024, the Company recorded a funds held asset from Premia of $137 million, compared to $158 million at December 31, 2023.
Somers Group Holdings Ltd. and its wholly owned subsidiaries (collectively, “Somers”) are wholly owned by Greysbridge. The Company has entered into certain reinsurance transactions with Somers. For the nine months ended September 30, 2024, the Company’s net premiums written was reduced by $581 million, compared to $457 million for the nine months ended September 30, 2023. In addition, Somers paid certain acquisition costs and administrative fees to the Company. At September 30, 2024, the Company recorded a reinsurance recoverable on unpaid and paid losses from Somers of $1.6 billion and a reinsurance balance payable to Somers of $546 million, compared to $1.3 billion and $475 million, respectively, at December 31, 2023.
Under the terms of the Greysbridge equity financing, beginning January 1, 2024, the Company has a call right (but not the obligation) and Warburg Pincus LLC (“Warburg”) and Kelso & Company (“Kelso”) each have a put right (but not the obligation) to buy/sell one third of their initial shares annually at the current year end tangible book value per share of Greysbridge. During the 2024 third quarter, Warburg and Kelso both delivered a put option notice to sell one third of their initial shares. The transaction is expected to occur in the first half of the 2025 calendar year, subject to any required regulatory approvals. In association with the put/call notice at September 30, 2024, the Company’s balance sheet reflected $261 million in both other assets and other liabilities.
During the third quarter, the Company completed the acquisition of Watford Insurance Company from Somers for a total consideration paid of $35 million.