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Segment Reporting
 9 Months Ended
Sep. 30, 2022
Segment Reporting [Abstract]  
Segment Reporting
13.
 
SEGMENT REPORTING
The Reinsurance
 
operation
 
writes worldwide
 
property
 
and casualty
 
reinsurance
 
and specialty
 
lines of
 
business,
on both
 
a treaty
 
and facultative
 
basis,
 
through
 
reinsurance
 
brokers,
 
as well
 
as directly
 
with ceding
 
companies.
 
Business is
 
written in
 
the U.S.,
 
Bermuda, and
 
Ireland offices,
 
as well as,
 
through branches
 
in Canada,
 
Singapore,
the United
 
Kingdom
 
and Switzerland.
 
The Insurance
 
operation
 
writes property
 
and casualty
 
insurance
 
directly
and
 
through
 
brokers,
 
surplus
 
lines
 
brokers
 
and
 
general
 
agents
 
within
 
the
 
U.S.,
 
Bermuda,
 
Canada,
 
Europe,
Singapore
 
and South
 
America through
 
its offices
 
in the
 
U.S.,
 
Canada, Chile,
 
Singapore,
 
United Kingdom,
 
Ireland
and a branch in the Netherlands.
 
These segments are
 
managed independently,
 
but conform
 
with corporate
 
guidelines with respect
 
to pricing, risk
management,
 
control
 
of
 
aggregate
 
catastrophe
 
exposures,
 
capital,
 
investments
 
and
 
support
 
operations.
 
Management
 
generally
 
monitors
 
and
 
evaluates
 
the
 
financial
 
performance
 
of
 
these
 
operating
 
segments
 
based
upon their underwriting results.
 
Underwriting
 
results
 
include
 
earned
 
premium
 
less
 
losses
 
and
 
loss
 
adjustment
 
expenses
 
(“LAE”)
 
incurred,
commission and brokerage
 
expenses and other
 
underwriting expenses.
 
The Company measures
 
its underwriting
results using
 
ratios, in
 
particular loss,
 
commission and
 
brokerage
 
and other
 
underwriting expense
 
ratios, which,
respectively,
 
divide incurred
 
losses, commissions
 
and brokerage
 
and other
 
underwriting expenses
 
by premiums
earned.
 
The
 
Company
 
does
 
not
 
maintain
 
separate
 
balance
 
sheet
 
data
 
for
 
its
 
operating
 
segments.
 
Accordingly,
 
the
Company does not
 
review and evaluate
 
the financial results
 
of its operating
 
segments based upon
 
balance sheet
data.
The following tables present the underwriting
 
results for the operating segments
 
for the periods indicated:
Three Months Ended September 30, 2022
Nine Months Ended September 30, 2022
(Dollars in millions)
Reinsurance
Insurance
Total
Reinsurance
Insurance
Total
Gross written premiums
$
2,551
$
1,129
$
3,680
$
6,938
$
3,376
$
10,313
Net written premiums
2,460
862
3,323
6,664
2,492
9,156
Premiums earned
$
2,245
$
822
$
3,067
$
6,451
$
2,324
$
8,775
Incurred losses and LAE
1,992
631
2,623
4,699
1,591
6,289
Commission and brokerage
537
104
641
1,582
295
1,877
Other underwriting expenses
54
115
169
156
344
500
Underwriting gain (loss)
$
(338)
$
(29)
$
(367)
$
14
$
95
$
109
Net investment income
151
620
Net gains (losses) on investments
(129)
(519)
Corporate expenses
(16)
(45)
Interest, fee and bond issue cost amortization expense
(25)
(74)
Other income (expense)
(16)
(71)
Income (loss) before taxes
$
(401)
$
20
(Some amounts may not reconcile due to rounding.)
Three Months Ended September 30, 2021
Nine Months Ended September 30, 2021
(Dollars in millions)
Reinsurance
Insurance
Total
Reinsurance
Insurance
Total
Gross written premiums
$
2,488
$
1,009
$
3,498
$
6,696
$
2,924
$
9,619
Net written premiums
2,293
733
3,026
6,266
2,123
8,389
Premiums earned
$
1,976
$
680
$
2,656
$
5,675
$
1,928
$
7,603
Incurred losses and LAE
1,766
508
2,274
4,206
1,366
5,572
Commission and brokerage
471
93
564
1,353
258
1,611
Other underwriting expenses
45
96
141
144
280
424
Underwriting gain (loss)
$
(306)
$
(17)
$
(323)
$
(29)
$
24
$
(5)
Net investment income
293
960
Net gains (losses) on investments
(4)
139
Corporate expenses
(18)
(46)
Interest, fee and bond issue cost amortization expense
(16)
(47)
Other income (expense)
(20)
44
Income (loss) before taxes
$
(88)
$
1,046
(Some amounts may not reconcile due to rounding.)
The
 
Company
 
produces
 
business
 
in
 
the
 
U.S.,
 
Bermuda
 
and
 
internationally.
 
The
 
net
 
income
 
deriving
 
from
 
and
assets
 
residing
 
in the
 
individual
 
foreign
 
countries
 
in which
 
the Company
 
writes
 
business
 
are
 
not identifiable
 
in
the Company’s
 
financial records.
 
Based on gross written
 
premium, the table below
 
presents the largest
 
country,
other than the U.S., in which the Company writes business,
 
for the periods indicated:
Three Months Ended
Nine Months Ended
September 30,
September 30,
(Dollars in thousands)
2022
2021
2022
2021
United Kingdom gross written premium
$
312
$
282
$
936
$
897