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Segment Reporting Disclosures
 6 Months Ended
Jun. 30, 2023
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract]  
Segment Reporting Disclosures Segment Reporting Disclosures
The chief operating decision maker reviews the Company's ongoing underwriting operations on a global basis in the following two segments: Insurance and Reinsurance. In determining how to allocate resources and assess the performance of the Company's underwriting results, management considers many factors, including the nature of the insurance product sold, the type of account written and the type of customer served. The Insurance segment includes all direct business and facultative placements written on a risk-bearing basis within the Company's underwriting operations. The Reinsurance segment includes all treaty reinsurance written on a risk-bearing basis within the Company's underwriting operations. All investing activities related to the Company's insurance operations are included in the Investing segment.

The Company's other insurance operations primarily consist of the results of the Company's insurance-linked securities operations and program services business. Other insurance operations also include results for lines of business discontinued prior to, or in conjunction with, acquisitions, including development on asbestos and environmental loss reserves and results attributable to the run-off of life and annuity reinsurance business, which are monitored separately from the Company's ongoing underwriting operations. For purposes of segment reporting, none of these other insurance operations are considered to be reportable segments.

The Company's chief operating decision maker reviews and assesses Markel Ventures' performance in the aggregate, as a single operating segment. The Markel Ventures segment primarily consists of controlling interests in a diverse portfolio of businesses that operate in various industries.

Segment profit for each of the Company's underwriting segments is measured by underwriting profit. The property and casualty insurance industry commonly defines underwriting profit as earned premiums net of losses and loss adjustment expenses and underwriting, acquisition and insurance expenses. Underwriting profit does not replace operating income or net income computed in accordance with U.S. GAAP as a measure of profitability. Underwriting profit or loss provides a basis for management to evaluate the Company's underwriting performance. Segment profit for the Company's underwriting segments may also include other revenues and expenses that are attributable to the Company's underwriting operations that are not captured in underwriting profit. Segment profit for the Investing segment is measured by income from the Company's investment portfolio, which is comprised of net investment income and net investment gains. Segment profit for the Investing segment also includes income from equity method investments, which is included within services and other revenues. Segment profit for the Markel Ventures segment is measured by operating income.

For management reporting purposes, the Company allocates assets to its underwriting operations and to its Investing and Markel Ventures segments and certain of its other operations, including its insurance-linked securities and program services operations. Underwriting assets include assets attributed to the Company's Insurance and Reinsurance segments, discontinued underwriting lines of business, as well as assets that are not specifically allocated to the Company's other operations. Generally, the Company manages its underwriting assets in the aggregate and therefore does not allocate assets to individual underwriting segments.
a) The following tables summarize the Company's segment disclosures.
Quarter Ended June 30, 2023
(dollars in thousands)InsuranceReinsuranceInvestingMarkel Ventures
Other (1)
Consolidated
Gross premium volume$2,455,403 $281,100 $— $— $1,051,682 $3,788,185 
Net written premiums1,946,528 261,496 — — (331)2,207,693 
Earned premiums1,763,186 268,288 — — (331)2,031,143 
Losses and loss adjustment expenses:
Current accident year(1,079,450)(176,317)— — — (1,255,767)
Prior accident years61,562 7,974 — — (1,645)67,891 
Underwriting, acquisition and insurance expenses:
Amortization of policy acquisition costs(367,145)(71,574)— — — (438,719)
Other underwriting expenses(243,502)(13,187)— — (2,479)(259,168)
Underwriting profit (loss)134,651 15,184 — — (4,455)145,380 
Net investment income— — 168,927 766 — 169,693 
Net investment gains— — 484,527 — — 484,527 
Products revenues— — — 784,882 — 784,882 
Services and other revenues— — (6,378)600,931 77,738 672,291 
Products expenses— — — (651,469)— (651,469)
Services and other expenses— — — (565,060)(25,757)(590,817)
Amortization of intangible assets (2)
— — — (19,859)(24,564)(44,423)
Segment profit$134,651 $15,184 $647,076 $150,191 $22,962 $970,064 
Interest expense(47,221)
Net foreign exchange losses(14,976)
Income before income taxes$907,867 
(1)    Other represents the total profit (loss) attributable to the Company's operations that are not included in a reportable segment, as well as amortization of intangible assets attributable to underwriting segments, which is not allocated between the Insurance and Reinsurance segments.
(2)    Segment profit for the Markel Ventures segment includes amortization of intangible assets attributable to Markel Ventures. Amortization of intangible assets attributable to the Company's underwriting segments, included in Other, was $9.3 million for the quarter ended June 30, 2023.
Quarter Ended June 30, 2022
(dollars in thousands)InsuranceReinsuranceInvestingMarkel Ventures
Other (1)
Consolidated
Gross premium volume$2,237,158 $289,056 $— $— $753,835 $3,280,049 
Net written premiums1,828,162 273,838 — — (2,205)2,099,795 
Earned premiums1,570,001 264,154 — — (1,051)1,833,104 
Losses and loss adjustment expenses:
Current accident year(919,283)(165,932)— — — (1,085,215)
Prior accident years43,693 (13,577)— — (3,711)26,405 
Underwriting, acquisition and insurance expenses:
Amortization of policy acquisition costs(323,826)(69,125)— — (32)(392,983)
Other underwriting expenses(204,171)(11,681)— — (634)(216,486)
Underwriting profit (loss)166,414 3,839 — — (5,428)164,825 
Net investment income— — 96,695 100 — 96,795 
Net investment losses— — (1,554,643)— — (1,554,643)
Products revenues— — — 776,959 — 776,959 
Services and other revenues— — (3,137)584,339 58,790 639,992 
Products expenses— — — (697,718)— (697,718)
Services and other expenses— — — (536,057)(21,424)(557,481)
Amortization of intangible assets (2)
— — — (20,577)(24,946)(45,523)
Segment profit (loss)$166,414 $3,839 $(1,461,085)$107,046 $6,992 $(1,176,794)
Interest expense(50,050)
Net foreign exchange gains105,067 
Loss before income taxes$(1,121,777)
(1)     Other represents the total profit (loss) attributable to the Company's operations that are not included in a reportable segment, as well as amortization of intangible assets attributable to underwriting segments, which is not allocated between the Insurance and Reinsurance segments.
(2)     Segment profit for the Markel Ventures segment includes amortization of intangible assets attributable to Markel Ventures. Amortization of intangible assets attributable to the Company's underwriting segments, included in Other, was $9.6 million for the quarter ended June 30, 2022.
Six Months Ended June 30, 2023
(dollars in thousands)InsuranceReinsuranceInvestingMarkel Ventures
Other (1)
Consolidated
Gross premium volume$4,553,341 $833,161 $— $— $1,837,695 $7,224,197 
Net written premiums3,648,669 777,587 — — (785)4,425,471 
Earned premiums3,474,110 525,522 — — (785)3,998,847 
Losses and loss adjustment expenses:
Current accident year(2,156,996)(343,102)— — — (2,500,098)
Prior accident years124,190 16,678 — — (1,660)139,208 
Underwriting, acquisition and insurance expenses:
Amortization of policy acquisition costs(727,499)(133,352)— — — (860,851)
Other underwriting expenses(482,650)(26,328)— — (3,763)(512,741)
Underwriting profit (loss)231,155 39,418 — — (6,208)264,365 
Net investment income— — 327,521 1,507 — 329,028 
Net investment gains— — 857,090 — — 857,090 
Products revenues— — — 1,362,808 — 1,362,808 
Services and other revenues— — (8,758)1,126,944 119,966 1,238,152 
Products expenses— — — (1,167,225)— (1,167,225)
Services and other expenses— — — (1,061,806)(9,630)(1,071,436)
Amortization of intangible assets (2)
— — — (39,410)(49,412)(88,822)
Segment profit$231,155 $39,418 $1,175,853 $222,818 $54,716 $1,723,960 
Interest expense(96,659)
Net foreign exchange losses(47,904)
Income before income taxes$1,579,397 
(1)    Other represents the total profit (loss) attributable to the Company's operations that are not included in a reportable segment, as well as amortization of intangible assets attributable to underwriting segments, which is not allocated between the Insurance and Reinsurance segments.
(2)    Segment profit for the Markel Ventures segment includes amortization of intangible assets attributable to Markel Ventures. Amortization of intangible assets attributable to the Company's underwriting segments, included in Other, was $18.8 million for the six months ended June 30, 2023.
Six Months Ended June 30, 2022
(dollars in thousands)InsuranceReinsuranceInvestingMarkel Ventures
Other (1)
Consolidated
Gross premium volume$4,180,464 $865,372 $— $— $1,632,500 $6,678,336 
Net written premiums3,439,182 829,058 — — (3,711)4,264,529 
Earned premiums3,047,149 548,121 — — (2,396)3,592,874 
Losses and loss adjustment expenses:
Current accident year(1,805,520)(348,390)— — — (2,153,910)
Prior accident years142,333 (15,660)— — (3,945)122,728 
Underwriting, acquisition and insurance expenses:
Amortization of policy acquisition costs(634,232)(140,879)— — (32)(775,143)
Other underwriting expenses(395,822)(26,070)— — (2,799)(424,691)
Underwriting profit (loss)353,908 17,122 — — (9,172)361,858 
Net investment income— — 188,992 107 — 189,099 
Net investment losses— — (1,913,042)— — (1,913,042)
Products revenues— — — 1,258,580 — 1,258,580 
Services and other revenues— — (22,707)1,053,103 240,536 1,270,932 
Products expenses— — — (1,145,537)— (1,145,537)
Services and other expenses— — — (967,960)(179,412)(1,147,372)
Amortization of intangible assets (2)
— — — (41,510)(50,062)(91,572)
Segment profit (loss)$353,908 $17,122 $(1,746,757)$156,783 $1,890 $(1,217,054)
Interest expense(99,742)
Net foreign exchange gains128,071 
Loss before income taxes$(1,188,725)
(1)     Other represents the total profit (loss) attributable to the Company's operations that are not included in a reportable segment, as well as amortization of intangible assets attributable to underwriting segments, which is not allocated between the Insurance and Reinsurance segments.
(2)     Segment profit for the Markel Ventures segment includes amortization of intangible assets attributable to Markel Ventures. Amortization of intangible assets attributable to the Company's underwriting segments, included in Other, was $19.4 million for the six months ended June 30, 2022.

b) The following amounts attributable to the Markel Ventures segment are also reviewed, or included in measures reviewed, by the Company's chief operating decision maker.

Quarter Ended June 30, Six Months Ended June 30,
(dollars in thousands)2023202220232022
Depreciation expense$27,419 $26,531 $54,782 $51,566 
Interest expense (1)
$12,899 $11,025 $25,822 $22,203 
Income tax expense$30,583 $22,419 $43,769 $31,079 
Capital expenditures$38,045 $50,667 $69,543 $96,680 
(1)    Interest expense for the quarter and six months ended June 30, 2023 included intercompany interest expense of $6.6 million and $13.3 million, respectively. Interest expense for the quarter and six months ended June 30, 2022 included intercompany interest expense of $7.0 million and $14.1 million. Intercompany interest expense was eliminated in consolidation.
c) The following table reconciles segment assets to the Company's consolidated balance sheets.

(dollars in thousands)June 30, 2023December 31, 2022
Segment assets:
Investing$28,332,303 $26,982,280 
Underwriting9,865,674 8,853,559 
Markel Ventures5,416,860 5,315,677 
Total segment assets43,614,837 41,151,516 
Other operations8,569,296 8,639,743 
Total assets$52,184,133 $49,791,259