XML 36 R15.htm IDEA: XBRL DOCUMENT v3.25.0.1
Allowance for Expected Credit Losses
 12 Months Ended
Dec. 31, 2024
Credit Loss [Abstract]  
Allowance for expected credit losses
Premiums Receivable
The following table provides a roll forward of the allowance for expected credit losses of the Company’s premium receivables:
Year Ended December 31, 2024Premium Receivables, Net of AllowanceAllowance for Expected Credit Losses
Balance at beginning of period$4,644 $34 
Provision on business acquired (1)16 
Change for provision of expected credit losses (2)(5)
Balance at end of period$5,634 $45 
Year Ended December 31, 2023
Balance at beginning of period$3,625 $35 
Change for provision of expected credit losses (2)(1)
Balance at end of period$4,644 $34 
(1) Reflects provision for current expected credit losses on premiums receivable related to the MCE Acquisition. See note 2.
(2) Amounts deemed uncollectible are written-off in operating expenses. For the 2024 and 2023 periods, amounts written off totaled $3 million and $3 million, respectively.
Reinsurance Recoverables
The Company monitors the financial condition of its reinsurers and attempts to place coverages only with substantial, financially sound carriers. Although the Company has not experienced any material credit losses to date, an inability of its reinsurers or retrocessionaires to meet their obligations to it over the relevant exposure periods for any reason could have a material adverse effect on its financial condition and results of operations.
The following table provides a roll forward of the allowance for expected credit losses of the Company’s reinsurance recoverables:
Year Ended December 31, 2024Reinsurance Recoverables, Net of AllowanceAllowance for Expected Credit Losses
Balance at beginning of period$7,064 $21 
Change for provision of expected credit losses(4)
Balance at end of period$8,260 $17 
Year Ended December 31, 2023
Balance at beginning of period$6,564 $22 
Change for provision of expected credit losses(1)
Balance at end of period7,064 $21 
The following table summarizes the Company’s reinsurance recoverables on paid and unpaid losses (not including ceded unearned premiums) at December 31, 2024 and 2023:
December 31,
20242023
Reinsurance recoverable on unpaid and paid losses and loss adjustment expenses$8,260$7,064
% due from carriers with A.M. Best rating of “A-” or better63.8 %66.8 %
% due from all other rated carriers— %0.1 %
% due from all other carriers with no A.M. Best rating (1)36.2 %33.1 %
Largest balance due from any one carrier as % of total shareholders’ equity7.8 %7.2 %
(1)    At December 31, 2024 and 2023 period, over 95% of such amount were collateralized through reinsurance trusts, funds withheld arrangements, letters of credit or other, respectively.
Contractholder Receivables
The following table provides a roll forward of the allowance for expected credit losses of the Company’s contractholder receivables:
Year Ended December 31, 2024Contractholder Receivables, Net of AllowanceAllowance for Expected Credit Losses
Balance at beginning of period$1,814 $3 
Change for provision of expected credit losses2 
Balance at end of period$2,161 $5 
Year Ended December 31, 2023
Balance at beginning of period$1,731 $3 
Change for provision of expected credit losses— 
Balance at end of period1,814 $3