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Claim and Claim Adjustment Expense Reserves | 12 Months Ended
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Dec. 31, 2024
Liability for Future Policy Benefits and Unpaid Claims and Claims Adjustment Expense [Abstract] |
Claim and Claim Adjustment Expense Reserves | Claim and Claim Adjustment Expense Reserves Claim and claim adjustment expense reserves represent the estimated amounts necessary to resolve all outstanding claims, including incurred but not reported (IBNR) claims as of the reporting date. The Company's reserve projections are based primarily on detailed analysis of the facts in each case, the Company's experience with similar cases and various historical development patterns. Consideration is given to historical patterns such as claim reserving trends and settlement practices, loss payments, pending levels of unpaid claims and product mix, economic, medical and social inflation, and public attitudes. All of these factors can affect the estimation of claim and claim adjustment expense reserves. Establishing claim and claim adjustment expense reserves, including claim and claim adjustment expense reserves for catastrophic events that have occurred, is an estimation process. Many factors can ultimately affect the final settlement of a claim and, therefore, the necessary reserve. Changes in the law, results of litigation, medical costs, the cost of repair materials and labor rates can affect ultimate claim costs. In addition, time can be a critical part of reserving determinations since the longer the span between the incidence of a loss and the payment or settlement of the claim, the more variable the ultimate settlement amount can be. Accordingly, short-tail claims, such as property damage claims, tend to be more reasonably estimable than long-tail claims, such as workers' compensation, general liability and professional liability claims. Claim and claim adjustment expense reserves are also maintained for the Company's structured settlement obligations. In developing the claim and claim adjustment expense reserve estimates for structured settlement obligations, the Company's actuaries review mortality experience on an annual basis. Adjustments to prior year reserve estimates, if necessary, are reflected in the results of operations in the period that the need for such adjustments is determined. There can be no assurance that the Company's ultimate cost for insurance losses will not exceed current estimates. Liability for Unpaid Claim and Claim Adjustment Expenses The table below reconciles the net liability for unpaid claim and claim adjustment expenses to the amount presented on the Consolidated Balance Sheets.
As of December 31 |
(In millions) | 2024
Net liability for unpaid claim and claim adjustment expenses: |
Specialty | $ | 5,979 |
Commercial | 9,939 |
International | 2,416 |
Life & Group (1) | 541 |
Corporate & Other | 388 |
Total net claim and claim adjustment expenses | 19,263 |
Reinsurance receivables: (2) |
Specialty | 1,447 |
Commercial | 1,397 |
International | 504 |
Life & Group | 81 |
Corporate & Other (3) | 2,284 |
Total reinsurance receivables | 5,713 |
Total gross liability for unpaid claim and claim adjustment expenses | $ | 24,976 |
(1) The Life & Group segment amounts are related to unfunded structured settlements arising from short-duration contracts. (2) Reinsurance receivables presented are gross of the allowance for uncollectible reinsurance and do not include reinsurance receivables related to paid losses. (3) The Corporate & Other Reinsurance receivables are primarily related to A&EP claims covered under the A&EP Loss Portfolio Transfer (LPT). The following table presents a reconciliation between beginning and ending claim and claim adjustment expense reserves.
As of or for the years ended December 31 |  |  |  |  |
(In millions) | 2024 |  | 2023 |  | 2022
Reserves, beginning of year: |  |  |  |  |
Gross | $ | 23,304 |  |  | $ | 22,120 |  |  | $ | 21,269 |
Ceded | 5,141 |  |  | 5,191 |  |  | 4,969 |
Net reserves, beginning of year | 18,163 |  |  | 16,929 |  |  | 16,300 |
Net incurred claim and claim adjustment expenses: |  |  |  |  |
Provision for insured events of current year | 6,330 |  |  | 5,667 |  |  | 5,181 |
Increase (decrease) in provision for insured events of prior years | 42 |  |  | 48 |  |  | (32) |
Amortization of discount | 39 |  |  | 44 |  |  | 44 |
Total net incurred (1) | 6,411 |  |  | 5,759 |  |  | 5,193 |
Net payments attributable to: |  |  |  |  |
Current year events | (1,093) |  |  | (922) |  |  | (821) |
Prior year events | (4,096) |  |  | (3,679) |  |  | (3,481) |
Total net payments | (5,189) |  |  | (4,601) |  |  | (4,302) |
Foreign currency translation adjustment and other | (122) |  |  | 76 |  |  | (262) |
Net reserves, end of year | 19,263 |  |  | 18,163 |  |  | 16,929 |
Ceded reserves, end of year | 5,713 |  |  | 5,141 |  |  | 5,191 |
Gross reserves, end of year | $ | 24,976 |  |  | $ | 23,304 |  |  | $ | 22,120 |
(1) Total net incurred does not agree to Insurance claims and policyholders' benefits as reflected on the Consolidated Statements of Operations due to amounts related to retroactive reinsurance deferred gain accounting and uncollectible reinsurance, which are not reflected in the table above. Reserving Methodology In developing claim and claim adjustment expense reserve estimates, the Company's actuaries perform detailed reserve analyses that are staggered throughout the year. The data is organized at a reserve group level. Every reserve group is reviewed at least once during the year, but most are reviewed more frequently. The analyses generally review losses gross of ceded reinsurance and apply the ceded reinsurance terms to the gross estimates to establish estimates net of reinsurance. Factors considered include, but are not limited to, the historical pattern and volatility of the actuarial indications, the sensitivity of the actuarial indications to changes in paid and incurred loss patterns, the consistency of claims handling processes, the consistency of case reserving practices, changes in the Company's pricing and underwriting, pricing and underwriting trends in the insurance market and legal, judicial, geopolitical, social and economic trends. In addition to the detailed analyses, the Company reviews actual loss emergence for all products each quarter. In developing the loss reserve estimates for property and casualty contracts, the Company generally projects ultimate losses using several common actuarial methods as listed below. The Company reviews the indications from the various methods and applies judgment to select an actuarial point estimate. The carried reserve may differ from the actuarial point estimate as a result of the Company's consideration of the factors noted above as well as the potential volatility of the projections associated with the specific product being analyzed and other factors affecting claims costs that may not be quantifiable through traditional actuarial analysis. The indicated required reserve is the difference between the selected ultimate loss and the inception-to-date paid losses. The difference between the selected ultimate loss and the case incurred or reported loss is IBNR. IBNR includes a provision for development on known cases as well as a provision for late reported incurred claims. The most frequently utilized methods to project ultimate losses include the following: •Paid development: The paid development method estimates ultimate losses by reviewing paid loss patterns and applying them to accident years with further expected changes in paid loss. •Incurred development: The incurred development method is similar to the paid development method, but it uses case incurred losses instead of paid losses. •Loss ratio: The loss ratio method multiplies premiums by an expected loss ratio to produce ultimate loss estimates for each accident year. •Bornhuetter-Ferguson paid loss: The Bornhuetter-Ferguson paid loss method is a combination of the paid development approach and the loss ratio approach. This method normally determines expected loss ratios similar to the approach used to estimate the expected loss ratio for the loss ratio method. •Bornhuetter-Ferguson incurred loss: The Bornhuetter-Ferguson incurred loss method is similar to the Bornhuetter-Ferguson using premiums and paid loss method except that it uses case incurred losses. •Frequency times severity: The frequency times severity method multiplies a projected number of ultimate claims by an estimated ultimate average loss for each accident year to produce ultimate loss estimates. •Stochastic modeling: The stochastic modeling method produces a range of possible outcomes based on varying assumptions related to the particular product being modeled. For many exposures, especially those that can be considered long-tail, a particular accident or policy year may not have a sufficient volume of paid losses to produce a statistically reliable estimate of ultimate losses. In such a case, the Company's actuaries typically assign more weight to the incurred development method than to the paid development method. As claims continue to settle and the volume of paid loss increases, the actuaries may assign additional weight to the paid development method. For most of the Company's products, even the incurred losses for accident or policy years that are early in the claim settlement process will not be of sufficient volume to produce a reliable estimate of ultimate losses. In these cases, the Company may not assign much, if any weight to the paid and incurred development methods. The Company may use the loss ratio, Bornhuetter-Ferguson and/or frequency times severity methods. For short-tail exposures, the paid and incurred development methods can often be relied on sooner, primarily because the Company's history includes a sufficient number of years to cover the entire period over which paid and incurred losses are expected to change. However, the Company may also use the loss ratio, Bornhuetter-Ferguson and/or frequency times severity methods for short- tail exposures. For other more complex reserve groups where the above methods may not produce reliable indications, the Company uses additional methods tailored to the characteristics of the specific situation. The Company's reserving methodologies for mass tort and A&EP are similar as both are based on detailed reviews of large accounts with estimates of ultimate payments based on the facts in each case and the Company's view of applicable law and coverage litigation. Gross and Net Carried Reserves The following tables present the gross and net carried reserves.
December 31, 2024 | Specialty |  | Commercial |  | International |  | Life & Group |  | Corporate & Other |  | Total
(In millions) |  |  |  |  |
Gross Case Reserves | $ | 2,023 |  |  | $ | 3,690 |  |  | $ | 876 |  |  | $ | 572 |  |  | $ | 1,241 |  |  | $ | 8,402 |
Gross IBNR Reserves | 5,403 |  |  | 7,646 |  |  | 2,044 |  |  | 50 |  |  | 1,431 |  |  | 16,574 |
Total Gross Carried Claim and Claim Adjustment Expense Reserves | $ | 7,426 |  |  | $ | 11,336 |  |  | $ | 2,920 |  |  | $ | 622 |  |  | $ | 2,672 |  |  | $ | 24,976 |
Net Case Reserves | $ | 1,697 |  |  | $ | 3,135 |  |  | $ | 741 |  |  | $ | 514 |  |  | $ | 120 |  |  | $ | 6,207 |
Net IBNR Reserves | 4,282 |  |  | 6,804 |  |  | 1,675 |  |  | 27 |  |  | 268 |  |  | 13,056 |
Total Net Carried Claim and Claim Adjustment Expense Reserves | $ | 5,979 |  |  | $ | 9,939 |  |  | $ | 2,416 |  |  | $ | 541 |  |  | $ | 388 |  |  | $ | 19,263 |
December 31, 2023 | Specialty |  | Commercial |  | International |  | Life & Group |  | Corporate & Other |  | Total
(In millions) |  |  |  |  |
Gross Case Reserves | $ | 1,604 |  |  | $ | 3,291 |  |  | $ | 864 |  |  | $ | 626 |  |  | $ | 1,353 |  |  | $ | 7,738 |
Gross IBNR Reserves | 5,527 |  |  | 6,812 |  |  | 1,845 |  |  | 49 |  |  | 1,333 |  |  | 15,566 |
Total Gross Carried Claim and Claim Adjustment Expense Reserves | $ | 7,131 |  |  | $ | 10,103 |  |  | $ | 2,709 |  |  | $ | 675 |  |  | $ | 2,686 |  |  | $ | 23,304 |
Net Case Reserves | $ | 1,392 |  |  | $ | 2,878 |  |  | $ | 708 |  |  | $ | 556 |  |  | $ | 129 |  |  | $ | 5,663 |
Net IBNR Reserves | 4,524 |  |  | 6,143 |  |  | 1,568 |  |  | 26 |  |  | 239 |  |  | 12,500 |
Total Net Carried Claim and Claim Adjustment Expense Reserves | $ | 5,916 |  |  | $ | 9,021 |  |  | $ | 2,276 |  |  | $ | 582 |  |  | $ | 368 |  |  | $ | 18,163 |
Net Prior Year Development Changes in estimates of claim and claim adjustment expense reserves, net of reinsurance, for prior years are defined as net prior year loss reserve development (development). These changes can be favorable or unfavorable. The following table presents development recorded for the Specialty, Commercial, International and Corporate & Other segments.
Years ended December 31 |  |  |  |  |
(In millions) | 2024 |  | 2023 |  | 2022
Pretax (favorable) unfavorable development: |  |  |  |  |
Specialty | $ | (9) |  |  | $ | (14) |  |  | $ | (40) |
Commercial | (16) |  |  | (22) |  |  | (43) |
International | (6) |  |  | 13 |  |  | (13) |
Corporate & Other | 79 |  |  | 71 |  | 64 |
Total pretax (favorable) unfavorable development | $ | 48 |  |  | $ | 48 |  |  | $ | (32) |
Unfavorable development of $79 million, $71 million, and $64 million was recorded within the Corporate & Other segment for the years ended December 31, 2024, 2023, and 2022 largely associated with legacy mass tort abuse claims. The 2022 unfavorable development also included the Diocese of Rochester proposed settlement. Segment Development Tables For the Specialty, Commercial and International segments, the following tables present further detail and commentary on the development reflected in the financial statements for each of the periods presented. Also presented are loss reserve development tables that illustrate the change over time of reserves established for claim and allocated claim adjustment expenses arising from short-duration insurance contracts for certain lines of business within each of these segments. Not all lines of business or segments are presented based on their context to the Company's overall loss reserves, calendar year reserve development, or calendar year net earned premiums. Insurance contracts are considered to be short-duration contracts when the contracts are not expected to remain in force for an extended period of time. The Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses tables, reading across, show the cumulative net incurred claim and allocated claim adjustment expenses relating to each accident year at the end of the stated calendar year. Changes in the cumulative amount across time are the result of the Company's expanded awareness of additional facts and circumstances that pertain to the unsettled claims. The Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses tables, reading across, show the cumulative amount paid for claims for each accident year as of the end of the stated calendar year. The Net Strengthening or (Releases) of Prior Accident Year Reserves tables, reading across, show the net increase or decrease in the cumulative net incurred accident year claim and allocated claim adjustment expenses during each stated calendar year and indicates whether the reserves for that accident year were strengthened or released. The information in the tables is reported on a net basis after reinsurance and does not include the effects of discounting. The information contained in calendar years 2023 and prior is unaudited. Information contained in the tables pertaining to the Company's International segment has been presented at the year-end 2024 foreign currency exchange rates for all periods presented to remove the effects of foreign currency exchange rate changes between calendar years. The Company has presented development information for the Hardy business, the Company's Lloyd's syndicate, prospectively from the date of acquisition and is presented as a separate table within the Company's International segment. To the extent the Company enters into a commutation, the transaction is reported on a prospective basis. To the extent that the Company enters into a disposition, the effects of the disposition are reported on a retrospective basis by removing the balances associated with the disposed of business. The amounts reported for the cumulative number of reported claims include direct and assumed open and closed claims by accident year at the claimant level. The number excludes claim counts for claims within a policy deductible where the insured is responsible for payment of losses in the deductible layer. Claim count data for certain assumed reinsurance contracts is unavailable. IBNR includes reserves for incurred but not reported losses and expected development on case reserves. The Company does not establish case reserves for allocated loss adjusted expenses (ALAE), therefore ALAE reserves are also included in the estimate of IBNR. Specialty The following table presents further detail of the development recorded for the Specialty segment.
Years ended December 31 |  |  |  |  |
(In millions) | 2024 |  | 2023 |  | 2022
Pretax (favorable) unfavorable development: |  |  |  |  |
Medical Professional Liability | $ | (8) |  |  | $ | 5 |  |  | $ | 18 |
Other Professional Liability and Management Liability | 49 |  |  | 37 |  |  | 50 |
Surety | (68) |  |  | (43) |  |  | (83) |
Warranty | 20 |  |  | (11) |  |  | (21) |
Other | (2) |  |  | (2) |  |  | (4) |
Total pretax (favorable) unfavorable development | $ | (9) |  |  | $ | (14) |  |  | $ | (40) |
2024 Unfavorable development in other professional liability and management liability was primarily due to higher than expected claim severity and frequency in the Company's professional errors and omissions (E&O) and cyber businesses. Favorable development in surety was primarily due to lower than expected frequency and lack of systemic activity in multiple accident years. Unfavorable development in warranty was primarily due to higher than expected frequency and severity in a recent accident year. 2023 Unfavorable development in other professional liability and management liability was primarily due to higher than expected claim severity and frequency in the Company’s professional E&O businesses in multiple accident years. Favorable development in surety was primarily due to lower than expected frequency and lack of systemic activity in multiple accident years. Favorable development in warranty was due to lower than expected loss emergence in a recent accident year. 2022 Unfavorable development in medical professional liability was due to higher than expected large loss activity in multiple accident years. Unfavorable development in other professional liability and management liability was due to higher than expected claim severity and frequency in the Company’s cyber and professional E&O businesses in multiple accident years. Favorable development in surety was primarily due to lower than expected frequency and lack of systemic activity in recent accident years. Favorable development in warranty was due to lower than expected loss emergence in a recent accident year. Specialty - Line of Business Composition The table below provides the line of business composition of the net liability for unpaid claim and claim adjustment expenses for the Specialty segment.
As of December 31 |
(In millions) | 2024
Net liability for unpaid claim and claim adjustment expenses: |
Medical Professional Liability | $ | 1,425 |
Other Professional Liability and Management Liability | 3,967 |
Surety | 493 |
Warranty | 46 |
Other | 48 |
Total net liability for unpaid claim and claim adjustment expenses | $ | 5,979 |
Specialty - Medical Professional Liability Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year |  | As of December 31, 2024
(In millions, except reported claims data) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | IBNR |  | Cumulative Number of Claims
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 433 |  |  | $ | 499 |  |  | $ | 510 |  |  | $ | 494 |  |  | $ | 488 |  |  | $ | 510 |  |  | $ | 501 |  |  | $ | 498 |  |  | $ | 494 |  |  | $ | 494 |  |  | $ | 11 |  |  | 18,228 |
2016 |  |  | 427 |  |  | 487 |  |  | 485 |  |  | 499 |  |  | 508 |  |  | 510 |  |  | 508 |  |  | 514 |  |  | 513 |  |  | 16 |  |  | 16,195 |
2017 |  |  |  |  | 412 |  |  | 449 |  |  | 458 |  |  | 460 |  |  | 455 |  |  | 460 |  |  | 456 |  |  | 463 |  |  | 18 |  |  | 15,384 |
2018 |  |  |  |  |  |  | 404 |  |  | 429 |  |  | 431 |  |  | 448 |  |  | 470 |  |  | 495 |  |  | 499 |  |  | 28 |  |  | 15,331 |
2019 |  |  |  |  |  |  |  |  | 430 |  |  | 445 |  |  | 458 |  |  | 471 |  |  | 469 |  |  | 481 |  |  | 43 |  |  | 14,515 |
2020 |  |  |  |  |  |  |  |  |  |  | 477 |  |  | 476 |  |  | 455 |  |  | 447 |  |  | 419 |  |  | 100 |  |  | 11,289 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 377 |  |  | 376 |  |  | 374 |  |  | 349 |  |  | 117 |  |  | 9,935 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 329 |  |  | 329 |  |  | 333 |  |  | 143 |  |  | 9,965 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 340 |  |  | 350 |  |  | 162 |  |  | 10,424 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 343 |  |  | 278 |  |  | 8,561 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 4,244 |  |  | $ | 916 |  |  |
Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year
(In millions) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 22 |  |  | $ | 101 |  |  | $ | 230 |  |  | $ | 313 |  |  | $ | 384 |  |  | $ | 420 |  |  | $ | 444 |  |  | $ | 458 |  |  | $ | 463 |  |  | $ | 471 |
2016 |  |  | 18 |  |  | 121 |  |  | 246 |  |  | 339 |  |  | 401 |  |  | 436 |  |  | 460 |  |  | 483 |  |  | 489 |
2017 |  |  |  |  | 19 |  |  | 107 |  |  | 235 |  |  | 308 |  |  | 355 |  |  | 388 |  |  | 417 |  |  | 427 |
2018 |  |  |  |  |  |  | 21 |  |  | 115 |  |  | 211 |  |  | 290 |  |  | 349 |  |  | 418 |  |  | 453 |
2019 |  |  |  |  |  |  |  |  | 17 |  |  | 91 |  |  | 183 |  |  | 280 |  |  | 349 |  |  | 395 |
2020 |  |  |  |  |  |  |  |  |  |  | 11 |  |  | 61 |  |  | 139 |  |  | 201 |  |  | 258 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 11 |  |  | 49 |  |  | 118 |  |  | 170 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 10 |  |  | 57 |  |  | 122 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 14 |  |  | 86 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 13 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 2,884 |
Net liability for unpaid claim and allocated claim adjustment expenses for the accident years presented |  | $ | 1,360 |
Net liability for unpaid claim and claim adjustment expenses for accident years prior to 2015 |  | 33 |
Liability for unallocated claim adjustment expenses for accident years presented |  | 32 |
Total net liability for unpaid claim and claim adjustment expenses |  | $ | 1,425 |
Net strengthening (releases) of prior accident year reserves is presented in the following table.
For the years ended December 31 |  |  | Calendar Year |  |
(In millions) |  |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | Total
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 |  |  | $ | 66 |  |  | $ | 11 |  |  | $ | (16) |  |  | $ | (6) |  |  | $ | 22 |  |  | $ | (9) |  |  | $ | (3) |  |  | $ | (4) |  |  | $ | — |  |  | $ | 61 |
2016 |  |  |  |  | 60 |  |  | (2) |  |  | 14 |  |  | 9 |  |  | 2 |  |  | (2) |  |  | 6 |  |  | (1) |  |  | 86 |
2017 |  |  |  |  |  |  | 37 |  |  | 9 |  |  | 2 |  |  | (5) |  |  | 5 |  |  | (4) |  |  | 7 |  |  | 51 |
2018 |  |  |  |  |  |  |  |  | 25 |  |  | 2 |  |  | 17 |  |  | 22 |  |  | 25 |  |  | 4 |  |  | 95 |
2019 |  |  |  |  |  |  |  |  |  |  | 15 |  |  | 13 |  |  | 13 |  |  | (2) |  |  | 12 |  |  | 51 |
2020 |  |  |  |  |  |  |  |  |  |  |  |  | (1) |  |  | (21) |  |  | (8) |  |  | (28) |  |  | (58) |
2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (1) |  |  | (2) |  |  | (25) |  |  | (28) |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | — |  |  | 4 |  |  | 4 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 10 |  |  | 10 |
Total net development for the accident years presented above |  | 13 |  |  | 11 |  |  | (17) |  |  |
Total net development for accident years prior to 2015 |  | — |  |  | (6) |  |  | 9 |  |  |
Total unallocated claim adjustment expense development |  | 5 |  |  | — |  |  | — |  |  |
Total |  | $ | 18 |  |  | $ | 5 |  |  | $ | (8) |  |  |
(1) Data presented for these calendar years is required supplemental information, which is unaudited. Specialty - Other Professional Liability and Management Liability Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year |  | As of December 31, 2024
(In millions, except reported claims data) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | IBNR |  | Cumulative Number of Claims
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 888 |  |  | $ | 892 |  |  | $ | 877 |  |  | $ | 832 |  |  | $ | 807 |  |  | $ | 813 |  |  | $ | 836 |  |  | $ | 855 |  |  | $ | 858 |  |  | $ | 865 |  |  | $ | 21 |  |  | 17,457 |
2016 |  |  | 901 |  |  | 900 |  |  | 900 |  |  | 904 |  |  | 907 |  |  | 891 |  |  | 888 |  |  | 906 |  |  | 912 |  |  | 37 |  |  | 17,989 |
2017 |  |  |  |  | 847 |  |  | 845 |  |  | 813 |  |  | 791 |  |  | 775 |  |  | 758 |  |  | 746 |  |  | 752 |  |  | 51 |  |  | 18,215 |
2018 |  |  |  |  |  |  | 850 |  |  | 864 |  |  | 869 |  |  | 906 |  |  | 923 |  |  | 941 |  |  | 987 |  |  | 57 |  |  | 20,071 |
2019 |  |  |  |  |  |  |  |  | 837 |  |  | 845 |  |  | 856 |  |  | 876 |  |  | 939 |  |  | 970 |  |  | 96 |  |  | 19,548 |
2020 |  |  |  |  |  |  |  |  |  |  | 930 |  |  | 944 |  |  | 951 |  |  | 945 |  |  | 945 |  |  | 168 |  |  | 19,509 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 1,037 |  |  | 1,038 |  |  | 1,009 |  |  | 965 |  |  | 311 |  |  | 18,377 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 1,120 |  |  | 1,112 |  |  | 1,084 |  |  | 465 |  |  | 18,376 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 1,149 |  |  | 1,166 |  |  | 564 |  |  | 19,587 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 1,150 |  |  | 918 |  |  | 17,921 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 9,796 |  |  | $ | 2,688 |  |  |
Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year
(In millions) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 60 |  |  | $ | 234 |  |  | $ | 404 |  |  | $ | 542 |  |  | $ | 612 |  |  | $ | 677 |  |  | $ | 725 |  |  | $ | 794 |  |  | $ | 808 |  |  | $ | 813 |
2016 |  |  | 64 |  |  | 248 |  |  | 466 |  |  | 625 |  |  | 701 |  |  | 736 |  |  | 784 |  |  | 826 |  |  | 856 |
2017 |  |  |  |  | 57 |  |  | 222 |  |  | 394 |  |  | 498 |  |  | 557 |  |  | 596 |  |  | 630 |  |  | 672 |
2018 |  |  |  |  |  |  | 54 |  |  | 282 |  |  | 473 |  |  | 599 |  |  | 706 |  |  | 779 |  |  | 847 |
2019 |  |  |  |  |  |  |  |  | 64 |  |  | 263 |  |  | 422 |  |  | 567 |  |  | 699 |  |  | 801 |
2020 |  |  |  |  |  |  |  |  |  |  | 67 |  |  | 248 |  |  | 400 |  |  | 523 |  |  | 660 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 58 |  |  | 217 |  |  | 356 |  |  | 502 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 64 |  |  | 225 |  |  | 453 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 64 |  |  | 302 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 77 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 5,983 |
Net liability for unpaid claim and allocated claim adjustment expenses for the accident years presented |  | $ | 3,813 |
Net liability for unpaid claim and claim adjustment expenses for accident years prior to 2015 |  | 98 |
Liability for unallocated claim adjustment expenses for accident years presented |  | 56 |
Total net liability for unpaid claim and claim adjustment expenses |  | $ | 3,967 |
Net strengthening (releases) of prior accident year reserves is presented in the following table.
For the years ended December 31 |  |  | Calendar Year |  |
(In millions) |  |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | Total
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 |  |  | $ | 4 |  |  | $ | (15) |  |  | $ | (45) |  |  | $ | (25) |  |  | $ | 6 |  |  | $ | 23 |  |  | $ | 19 |  |  | $ | 3 |  |  | $ | 7 |  |  | $ | (23) |
2016 |  |  |  |  | (1) |  |  | — |  |  | 4 |  |  | 3 |  |  | (16) |  |  | (3) |  |  | 18 |  |  | 6 |  |  | 11 |
2017 |  |  |  |  |  |  | (2) |  |  | (32) |  |  | (22) |  |  | (16) |  |  | (17) |  |  | (12) |  |  | 6 |  |  | (95) |
2018 |  |  |  |  |  |  |  |  | 14 |  |  | 5 |  |  | 37 |  |  | 17 |  |  | 18 |  |  | 46 |  |  | 137 |
2019 |  |  |  |  |  |  |  |  |  |  | 8 |  |  | 11 |  |  | 20 |  |  | 63 |  |  | 31 |  |  | 133 |
2020 |  |  |  |  |  |  |  |  |  |  |  |  | 14 |  |  | 7 |  |  | (6) |  |  | — |  |  | 15 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 1 |  |  | (29) |  |  | (44) |  |  | (72) |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (8) |  |  | (28) |  |  | (36) |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 17 |  |  | 17 |
Total net development for the accident years presented above |  | 44 |  |  | 47 |  |  | 41 |  |  |
Total net development for accident years prior to 2015 |  | 6 |  |  | (10) |  |  | 3 |  |  |
Total unallocated claim adjustment expense development |  | — |  |  | — |  |  | 5 |  |  |
Total |  | $ | 50 |  |  | $ | 37 |  |  | $ | 49 |  |  |
(1) Data presented for these calendar years is required supplemental information, which is unaudited. Specialty - Surety Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year |  | As of December 31, 2024
(In millions, except reported claims data) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | IBNR |  | Cumulative Number of Claims
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 131 |  |  | $ | 131 |  |  | $ | 104 |  |  | $ | 79 |  |  | $ | 63 |  |  | $ | 58 |  |  | $ | 53 |  |  | $ | 45 |  |  | $ | 45 |  |  | $ | 45 |  |  | $ | 2 |  |  | 5,103 |
2016 |  |  | 124 |  |  | 124 |  |  | 109 |  |  | 84 |  |  | 67 |  |  | 64 |  |  | 58 |  |  | 43 |  |  | 43 |  |  | 3 |  |  | 5,577 |
2017 |  |  |  |  | 120 |  |  | 115 |  |  | 103 |  |  | 84 |  |  | 71 |  |  | 66 |  |  | 67 |  |  | 67 |  |  | 3 |  |  | 5,909 |
2018 |  |  |  |  |  |  | 114 |  |  | 108 |  |  | 91 |  |  | 62 |  |  | 56 |  |  | 51 |  |  | 49 |  |  | 6 |  |  | 6,297 |
2019 |  |  |  |  |  |  |  |  | 119 |  |  | 112 |  |  | 98 |  |  | 87 |  |  | 82 |  |  | 82 |  |  | 8 |  |  | 6,229 |
2020 |  |  |  |  |  |  |  |  |  |  | 128 |  |  | 119 |  |  | 81 |  |  | 67 |  |  | 57 |  |  | 3 |  |  | 4,827 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 137 |  |  | 129 |  |  | 110 |  |  | 91 |  |  | 45 |  |  | 4,884 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 155 |  |  | 158 |  |  | 132 |  |  | 74 |  |  | 4,893 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 175 |  |  | 169 |  |  | 138 |  |  | 4,378 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 171 |  |  | 145 |  |  | 2,940 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 906 |  |  | $ | 427 |  |  |
Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year
(In millions) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 7 |  |  | $ | 26 |  |  | $ | 38 |  |  | $ | 40 |  |  | $ | 42 |  |  | $ | 44 |  |  | $ | 42 |  |  | $ | 42 |  |  | $ | 43 |  |  | $ | 43 |
2016 |  |  | 5 |  |  | 37 |  |  | 45 |  |  | 45 |  |  | 43 |  |  | 43 |  |  | 41 |  |  | 40 |  |  | 40 |
2017 |  |  |  |  | 23 |  |  | 37 |  |  | 41 |  |  | 46 |  |  | 49 |  |  | 62 |  |  | 62 |  |  | 63 |
2018 |  |  |  |  |  |  | 5 |  |  | 25 |  |  | 34 |  |  | 39 |  |  | 40 |  |  | 41 |  |  | 41 |
2019 |  |  |  |  |  |  |  |  | 12 |  |  | 34 |  |  | 44 |  |  | 59 |  |  | 70 |  |  | 74 |
2020 |  |  |  |  |  |  |  |  |  |  | 4 |  |  | 20 |  |  | 28 |  |  | 33 |  |  | 44 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 5 |  |  | 20 |  |  | 35 |  |  | 42 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 12 |  |  | 35 |  |  | 52 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 8 |  |  | 27 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 20 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 446 |
Net liability for unpaid claim and allocated claim adjustment expenses for the accident years presented |  | $ | 460 |
Net liability for unpaid claim and claim adjustment expenses for accident years prior to 2015 |  | 14 |
Liability for unallocated claim adjustment expenses for accident years presented |  | 19 |
Total net liability for unpaid claim and claim adjustment expenses |  | $ | 493 |
Net strengthening (releases) of prior accident year reserves is presented in the following table.
For the years ended December 31 |  |  | Calendar Year |  |
(In millions) |  |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | Total
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 |  |  | $ | — |  |  | $ | (27) |  |  | $ | (25) |  |  | $ | (16) |  |  | $ | (5) |  |  | $ | (5) |  |  | $ | (8) |  |  | $ | — |  |  | $ | — |  |  | $ | (86) |
2016 |  |  |  |  | — |  |  | (15) |  |  | (25) |  |  | (17) |  |  | (3) |  |  | (6) |  |  | (15) |  |  | — |  |  | (81) |
2017 |  |  |  |  |  |  | (5) |  |  | (12) |  |  | (19) |  |  | (13) |  |  | (5) |  |  | 1 |  |  | — |  |  | (53) |
2018 |  |  |  |  |  |  |  |  | (6) |  |  | (17) |  |  | (29) |  |  | (6) |  |  | (5) |  |  | (2) |  |  | (65) |
2019 |  |  |  |  |  |  |  |  |  |  | (7) |  |  | (14) |  |  | (11) |  |  | (5) |  |  | — |  |  | (37) |
2020 |  |  |  |  |  |  |  |  |  |  |  |  | (9) |  |  | (38) |  |  | (14) |  |  | (10) |  |  | (71) |
2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (8) |  |  | (19) |  |  | (19) |  |  | (46) |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 3 |  |  | (26) |  |  | (23) |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (6) |  |  | (6) |
Total net development for the accident years presented above |  | (82) |  |  | (54) |  |  | (63) |  |  |
Total net development for accident years prior to 2015 |  | (1) |  |  | 11 |  |  | (5) |  |  |
Total unallocated claim adjustment expense development |  | — |  |  | — |  |  | — |  |  |
Total |  | $ | (83) |  |  | $ | (43) |  |  | $ | (68) |  |  |
(1) Data presented for these calendar years is required supplemental information, which is unaudited. Commercial The following table presents further detail of the development recorded for the Commercial segment.
Years ended December 31 |  |  |  |  |
(In millions) | 2024 |  | 2023 |  | 2022
Pretax (favorable) unfavorable development: |  |  |  |  |
Commercial Auto | $ | 107 |  |  | $ | 33 |  |  | $ | 49 |
General Liability | 75 |  |  | 149 |  |  | 67 |
Workers' Compensation | (202) |  |  | (203) |  |  | (152) |
Property and Other | 4 |  |  | (1) |  |  | (7) |
Total pretax (favorable) unfavorable development | $ | (16) |  |  | $ | (22) |  |  | $ | (43) |
2024 Unfavorable development in commercial auto was due to higher than expected claim severity in recent accident years. Unfavorable development in general liability was due to higher than expected claim severity in multiple accident years going back to 2015. Favorable development in workers’ compensation was due to favorable medical trends driving lower than expected severity in multiple accident years. 2023 Unfavorable development in commercial auto was due to higher than expected claim severity in the Company’s construction business in a recent accident year. Unfavorable development in general liability was due to higher than expected claim severity in the Company’s construction and middle market businesses across multiple accident years. Favorable development in workers’ compensation was due to favorable medical trends driving lower than expected severity in multiple accident years. 2022 Unfavorable development in commercial auto and general liability was due to higher than expected claim severity across multiple accident years. Favorable development in workers’ compensation was due to favorable medical trends driving lower than expected severity in multiple accident years. Commercial - Line of Business Composition The table below provides the line of business composition of the net liability for unpaid claim and claim adjustment expenses for the Commercial segment.
As of December 31 |
(In millions) | 2024
Net Claim and claim adjustment expenses: |
Commercial Auto | $ | 1,247 |
General Liability | 4,356 |
Workers' Compensation | 3,543 |
Property and Other | 793 |
Total net liability for claim and claim adjustment expenses | $ | 9,939 |
Commercial - Commercial Auto Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year |  | As of December 31, 2024
(In millions, except reported claims data) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | IBNR |  | Cumulative Number of Claims
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 201 |  |  | $ | 199 |  |  | $ | 190 |  |  | $ | 190 |  |  | $ | 183 |  |  | $ | 181 |  |  | $ | 183 |  |  | $ | 182 |  |  | $ | 184 |  |  | $ | 184 |  |  | $ | 2 |  |  | 30,430 |
2016 |  |  | 198 |  |  | 186 |  |  | 186 |  |  | 186 |  |  | 190 |  |  | 195 |  |  | 200 |  |  | 197 |  |  | 195 |  |  | 1 |  |  | 30,457 |
2017 |  |  |  |  | 199 |  |  | 198 |  |  | 200 |  |  | 221 |  |  | 232 |  |  | 239 |  |  | 241 |  |  | 241 |  |  | 4 |  |  | 30,947 |
2018 |  |  |  |  |  |  | 229 |  |  | 227 |  |  | 227 |  |  | 245 |  |  | 254 |  |  | 255 |  |  | 260 |  |  | 2 |  |  | 34,333 |
2019 |  |  |  |  |  |  |  |  | 257 |  |  | 266 |  |  | 289 |  |  | 323 |  |  | 325 |  |  | 327 |  |  | 7 |  |  | 37,280 |
2020 |  |  |  |  |  |  |  |  |  |  | 310 |  |  | 303 |  |  | 304 |  |  | 298 |  |  | 303 |  |  | 14 |  |  | 29,182 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 397 |  |  | 388 |  |  | 390 |  |  | 393 |  |  | 51 |  |  | 33,028 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 437 |  |  | 465 |  |  | 496 |  |  | 90 |  |  | 37,230 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 554 |  |  | 620 |  |  | 202 |  |  | 42,345 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 726 |  |  | 447 |  |  | 40,718 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 3,745 |  |  | $ | 820 |  |  |
Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year
(In millions) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 52 |  |  | $ | 96 |  |  | $ | 130 |  |  | $ | 153 |  |  | $ | 172 |  |  | $ | 175 |  |  | $ | 178 |  |  | $ | 179 |  |  | $ | 180 |  |  | $ | 182 |
2016 |  |  | 52 |  |  | 93 |  |  | 126 |  |  | 154 |  |  | 175 |  |  | 185 |  |  | 190 |  |  | 192 |  |  | 193 |
2017 |  |  |  |  | 58 |  |  | 107 |  |  | 150 |  |  | 178 |  |  | 203 |  |  | 225 |  |  | 232 |  |  | 235 |
2018 |  |  |  |  |  |  | 66 |  |  | 128 |  |  | 175 |  |  | 212 |  |  | 238 |  |  | 249 |  |  | 256 |
2019 |  |  |  |  |  |  |  |  | 77 |  |  | 147 |  |  | 203 |  |  | 257 |  |  | 295 |  |  | 312 |
2020 |  |  |  |  |  |  |  |  |  |  | 71 |  |  | 134 |  |  | 197 |  |  | 246 |  |  | 276 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 83 |  |  | 168 |  |  | 240 |  |  | 305 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 112 |  |  | 236 |  |  | 334 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 127 |  |  | 270 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 153 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 2,516 |
Net liability for unpaid claim and allocated claim adjustment expenses for the accident years presented |  | $ | 1,229 |
Net liability for unpaid claim and claim adjustment expenses for accident years prior to 2015 |  | 1 |
Liability for unallocated claim adjustment expenses for accident years presented |  | 17 |
Total net liability for unpaid claim and claim adjustment expenses |  | $ | 1,247 |
Net strengthening (releases) of prior accident year reserves is presented in the following table.
For the years ended December 31 |  |  | Calendar Year |  |
(In millions) |  |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | Total
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 |  |  | $ | (2) |  |  | $ | (9) |  |  | $ | — |  |  | $ | (7) |  |  | $ | (2) |  |  | $ | 2 |  |  | $ | (1) |  |  | $ | 2 |  |  | $ | — |  |  | $ | (17) |
2016 |  |  |  |  | (12) |  |  | — |  |  | — |  |  | 4 |  |  | 5 |  |  | 5 |  |  | (3) |  |  | (2) |  |  | (3) |
2017 |  |  |  |  |  |  | (1) |  |  | 2 |  |  | 21 |  |  | 11 |  |  | 7 |  |  | 2 |  |  | — |  |  | 42 |
2018 |  |  |  |  |  |  |  |  | (2) |  |  | — |  |  | 18 |  |  | 9 |  |  | 1 |  |  | 5 |  |  | 31 |
2019 |  |  |  |  |  |  |  |  |  |  | 9 |  |  | 23 |  |  | 34 |  |  | 2 |  |  | 2 |  |  | 70 |
2020 |  |  |  |  |  |  |  |  |  |  |  |  | (7) |  |  | 1 |  |  | (6) |  |  | 5 |  |  | (7) |
2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (9) |  |  | 2 |  |  | 3 |  |  | (4) |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 28 |  |  | 31 |  |  | 59 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 66 |  |  | 66 |
Total net development for the accident years presented above |  | 46 |  |  | 28 |  |  | 110 |  |  |
Total net development for accident years prior to 2015 |  | 3 |  |  | 2 |  |  | (3) |  |  |
Total unallocated claim adjustment expense development |  | — |  |  | 3 |  |  | — |  |  |
Total |  | $ | 49 |  |  | $ | 33 |  |  | $ | 107 |  |  |
(1) Data presented for these calendar years is required supplemental information, which is unaudited. Commercial - General Liability Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year |  | As of December 31, 2024
(In millions, except reported claims data) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | IBNR |  | Cumulative Number of Claims
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 581 |  |  | $ | 576 |  |  | $ | 574 |  |  | $ | 589 |  |  | $ | 600 |  |  | $ | 602 |  |  | $ | 617 |  |  | $ | 625 |  |  | $ | 639 |  |  | $ | 656 |  |  | $ | 39 |  |  | 24,309 |
2016 |  |  | 623 |  |  | 659 |  |  | 667 |  |  | 671 |  |  | 673 |  |  | 683 |  |  | 684 |  |  | 704 |  |  | 712 |  |  | 27 |  |  | 24,901 |
2017 |  |  |  |  | 632 |  |  | 632 |  |  | 632 |  |  | 634 |  |  | 630 |  |  | 652 |  |  | 690 |  |  | 713 |  |  | 16 |  |  | 22,544 |
2018 |  |  |  |  |  |  | 653 |  |  | 644 |  |  | 646 |  |  | 639 |  |  | 650 |  |  | 679 |  |  | 665 |  |  | 83 |  |  | 20,553 |
2019 |  |  |  |  |  |  |  |  | 680 |  |  | 682 |  |  | 682 |  |  | 691 |  |  | 720 |  |  | 727 |  |  | 129 |  |  | 19,907 |
2020 |  |  |  |  |  |  |  |  |  |  | 723 |  |  | 722 |  |  | 726 |  |  | 736 |  |  | 702 |  |  | 237 |  |  | 14,964 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 782 |  |  | 784 |  |  | 793 |  |  | 814 |  |  | 299 |  |  | 15,952 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 929 |  |  | 928 |  |  | 930 |  |  | 515 |  |  | 17,527 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 1,071 |  |  | 1,106 |  |  | 726 |  |  | 17,037 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 1,271 |  |  | 1,144 |  |  | 14,632 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 8,296 |  |  | $ | 3,215 |  |  |
Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year
(In millions) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 19 |  |  | $ | 110 |  |  | $ | 230 |  |  | $ | 357 |  |  | $ | 446 |  |  | $ | 501 |  |  | $ | 530 |  |  | $ | 561 |  |  | $ | 573 |  |  | $ | 581 |
2016 |  |  | 32 |  |  | 163 |  |  | 279 |  |  | 407 |  |  | 481 |  |  | 524 |  |  | 582 |  |  | 620 |  |  | 652 |
2017 |  |  |  |  | 23 |  |  | 118 |  |  | 250 |  |  | 399 |  |  | 471 |  |  | 553 |  |  | 606 |  |  | 657 |
2018 |  |  |  |  |  |  | 33 |  |  | 107 |  |  | 228 |  |  | 307 |  |  | 428 |  |  | 491 |  |  | 546 |
2019 |  |  |  |  |  |  |  |  | 25 |  |  | 98 |  |  | 181 |  |  | 322 |  |  | 455 |  |  | 532 |
2020 |  |  |  |  |  |  |  |  |  |  | 23 |  |  | 99 |  |  | 192 |  |  | 280 |  |  | 367 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 26 |  |  | 140 |  |  | 262 |  |  | 391 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 29 |  |  | 123 |  |  | 260 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 33 |  |  | 153 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 34 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 4,173 |
Net liability for unpaid claim and allocated claim adjustment expenses for the accident years presented |  | $ | 4,123 |
Net liability for unpaid claim and claim adjustment expenses for accident years prior to 2015 |  | 171 |
Liability for unallocated claim adjustment expenses for accident years presented |  | 62 |
Total net liability for unpaid claim and claim adjustment expenses |  | $ | 4,356 |
Net strengthening (releases) of prior accident year reserves is presented in the following table.
For the years ended December 31 |  |  | Calendar Year |  |
(In millions) |  |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | Total
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 |  |  | $ | (5) |  |  | $ | (2) |  |  | $ | 15 |  |  | $ | 11 |  |  | $ | 2 |  |  | $ | 15 |  |  | $ | 8 |  |  | $ | 14 |  |  | $ | 17 |  |  | $ | 75 |
2016 |  |  |  |  | 36 |  |  | 8 |  |  | 4 |  |  | 2 |  |  | 10 |  |  | 1 |  |  | 20 |  |  | 8 |  |  | 89 |
2017 |  |  |  |  |  |  | — |  |  | — |  |  | 2 |  |  | (4) |  |  | 22 |  |  | 38 |  |  | 23 |  |  | 81 |
2018 |  |  |  |  |  |  |  |  | (9) |  |  | 2 |  |  | (7) |  |  | 11 |  |  | 29 |  |  | (14) |  |  | 12 |
2019 |  |  |  |  |  |  |  |  |  |  | 2 |  |  | — |  |  | 9 |  |  | 29 |  |  | 7 |  |  | 47 |
2020 |  |  |  |  |  |  |  |  |  |  |  |  | (1) |  |  | 4 |  |  | 10 |  |  | (34) |  |  | (21) |
2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 2 |  |  | 9 |  |  | 21 |  |  | 32 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (1) |  |  | 2 |  |  | 1 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 35 |  |  | 35 |
Total net development for the accident years presented above |  | 57 |  |  | 148 |  |  | 65 |  |  |
Total net development for accident years prior to 2015 |  | 10 |  |  | 1 |  |  | 10 |  |  |
Total unallocated claim adjustment expense development |  | — |  |  | — |  |  | — |  |  |
Total |  | $ | 67 |  |  | $ | 149 |  |  | $ | 75 |  |  |
(1) Data presented for these calendar years is required supplemental information, which is unaudited. Commercial - Workers' Compensation Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year |  | As of December 31, 2024
(In millions, except reported claims data) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | IBNR |  | Cumulative Number of Claims
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 422 |  |  | $ | 431 |  |  | $ | 406 |  |  | $ | 408 |  |  | $ | 394 |  |  | $ | 382 |  |  | $ | 372 |  |  | $ | 353 |  |  | $ | 334 |  |  | $ | 324 |  |  | $ | 45 |  |  | 31,916 |
2016 |  |  | 426 |  |  | 405 |  |  | 396 |  |  | 382 |  |  | 366 |  |  | 355 |  |  | 331 |  |  | 308 |  |  | 293 |  |  | 45 |  |  | 32,000 |
2017 |  |  |  |  | 440 |  |  | 432 |  |  | 421 |  |  | 400 |  |  | 402 |  |  | 399 |  |  | 398 |  |  | 383 |  |  | 65 |  |  | 33,156 |
2018 |  |  |  |  |  |  | 450 |  |  | 440 |  |  | 428 |  |  | 415 |  |  | 415 |  |  | 404 |  |  | 399 |  |  | 65 |  |  | 34,914 |
2019 |  |  |  |  |  |  |  |  | 452 |  |  | 449 |  |  | 437 |  |  | 436 |  |  | 419 |  |  | 416 |  |  | 67 |  |  | 34,377 |
2020 |  |  |  |  |  |  |  |  |  |  | 477 |  |  | 466 |  |  | 446 |  |  | 414 |  |  | 393 |  |  | 107 |  |  | 29,481 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 468 |  |  | 454 |  |  | 432 |  |  | 421 |  |  | 116 |  |  | 30,126 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 497 |  |  | 489 |  |  | 478 |  |  | 148 |  |  | 33,428 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 555 |  |  | 551 |  |  | 233 |  |  | 36,822 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 574 |  |  | 325 |  |  | 34,332 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 4,232 |  |  | $ | 1,216 |  |  |
Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year
(In millions) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 51 |  |  | $ | 131 |  |  | $ | 180 |  |  | $ | 212 |  |  | $ | 231 |  |  | $ | 243 |  |  | $ | 251 |  |  | $ | 256 |  |  | $ | 259 |  |  | $ | 261 |
2016 |  |  | 53 |  |  | 129 |  |  | 169 |  |  | 198 |  |  | 219 |  |  | 227 |  |  | 234 |  |  | 235 |  |  | 238 |
2017 |  |  |  |  | 63 |  |  | 151 |  |  | 207 |  |  | 243 |  |  | 265 |  |  | 279 |  |  | 287 |  |  | 293 |
2018 |  |  |  |  |  |  | 68 |  |  | 163 |  |  | 229 |  |  | 259 |  |  | 280 |  |  | 298 |  |  | 307 |
2019 |  |  |  |  |  |  |  |  | 71 |  |  | 169 |  |  | 223 |  |  | 262 |  |  | 291 |  |  | 310 |
2020 |  |  |  |  |  |  |  |  |  |  | 65 |  |  | 147 |  |  | 200 |  |  | 228 |  |  | 246 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 67 |  |  | 164 |  |  | 222 |  |  | 256 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 79 |  |  | 192 |  |  | 258 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 87 |  |  | 209 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 111 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 2,489 |
Net liability for unpaid claim and allocated claim adjustment expenses for the accident years presented |  | $ | 1,743 |
Net liability for unpaid claim and claim adjustment expenses for accident years prior to 2015 |  | 1,757 |
Other (2) |  | (22) |
Liability for unallocated claim adjustment expenses for accident years presented |  | 65 |
Total net liability for unpaid claim and claim adjustment expenses |  | $ | 3,543 |
Net strengthening (releases) of prior accident year reserves is presented in the following table.
For the years ended December 31 |  |  | Calendar Year |  |
(In millions) |  |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | Total
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 |  |  | $ | 9 |  |  | $ | (25) |  |  | $ | 2 |  |  | $ | (14) |  |  | $ | (12) |  |  | $ | (10) |  |  | $ | (19) |  |  | $ | (19) |  |  | $ | (10) |  |  | $ | (98) |
2016 |  |  |  |  | (21) |  |  | (9) |  |  | (14) |  |  | (16) |  |  | (11) |  |  | (24) |  |  | (23) |  |  | (15) |  |  | (133) |
2017 |  |  |  |  |  |  | (8) |  |  | (11) |  |  | (21) |  |  | 2 |  |  | (3) |  |  | (1) |  |  | (15) |  |  | (57) |
2018 |  |  |  |  |  |  |  |  | (10) |  |  | (12) |  |  | (13) |  |  | — |  |  | (11) |  |  | (5) |  |  | (51) |
2019 |  |  |  |  |  |  |  |  |  |  | (3) |  |  | (12) |  |  | (1) |  |  | (17) |  |  | (3) |  |  | (36) |
2020 |  |  |  |  |  |  |  |  |  |  |  |  | (11) |  |  | (20) |  |  | (32) |  |  | (21) |  |  | (84) |
2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (14) |  |  | (22) |  |  | (11) |  |  | (47) |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (8) |  |  | (11) |  |  | (19) |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (4) |  |  | (4) |
Total net development for the accident years presented above |  | (81) |  |  | (133) |  |  | (95) |  |  |
Adjustment for development on a discounted basis |  | (3) |  |  | (2) |  |  | (2) |  |  |
Total net development for accident years prior to 2015 |  | (78) |  |  | (74) |  |  | (105) |  |  |
Total unallocated claim adjustment expense development |  | 10 |  |  | 6 |  |  | — |  |  |
Total |  | $ | (152) |  |  | $ | (203) |  |  | $ | (202) |  |  |
(1) Data presented for these calendar years is required supplemental information, which is unaudited. (2) Other includes the effect of discounting lifetime claim reserves. International The following table presents further detail of the development recorded for the International segment.
Years ended December 31 |  |  |  |  |
(In millions) | 2024 |  | 2023 |  | 2022
Pretax (favorable) unfavorable development: |  |  |  |  |
Commercial | $ | (12) |  |  | $ | (18) |  |  | $ | (10) |
Specialty | 6 |  |  | 35 |  |  | (4) |
Other | — |  |  | (4) |  |  | 1 |
Total pretax (favorable) unfavorable development | $ | (6) |  |  | $ | 13 |  |  | $ | (13) |
2024 Favorable development in commercial was due to lower than expected loss emergence across multiple accident years in the Company's marine and property businesses. 2023 Favorable development in commercial was due to lower than expected loss emergence across multiple accident years. Unfavorable development in specialty was due to higher than expected large loss emergence in the Company’s medical treatment and professional liability businesses in multiple accident years. 2022 Favorable development in commercial was due to lower than expected loss emergence across multiple accident years. International - Line of Business Composition The table below provides the composition of the net liability for unpaid claim and claim adjustment expenses for the International segment.
As of December 31 |
(In millions) | 2024
Net Claim and claim adjustment expenses: |
International excluding Hardy | $ | 1,754 |
Hardy | 662 |
Total net liability for claim and claim adjustment expenses | $ | 2,416 |
International, Excluding Hardy Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year |  | As of December 31, 2024
(In millions, except reported claims data) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | IBNR |  | Cumulative Number of Claims
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 275 |  |  | $ | 289 |  |  | $ | 288 |  |  | $ | 272 |  |  | $ | 267 |  |  | $ | 270 |  |  | $ | 272 |  |  | $ | 271 |  |  | $ | 267 |  |  | $ | 266 |  |  | $ | 10 |  |  | 22,957 |
2016 |  |  | 269 |  |  | 287 |  |  | 273 |  |  | 271 |  |  | 262 |  |  | 275 |  |  | 277 |  |  | 293 |  |  | 289 |  |  | 24 |  |  | 15,731 |
2017 |  |  |  |  | 285 |  |  | 346 |  |  | 367 |  |  | 360 |  |  | 356 |  |  | 344 |  |  | 377 |  |  | 385 |  |  | 44 |  |  | 16,571 |
2018 |  |  |  |  |  |  | 347 |  |  | 364 |  |  | 369 |  |  | 368 |  |  | 380 |  |  | 390 |  |  | 397 |  |  | 38 |  |  | 21,371 |
2019 |  |  |  |  |  |  |  |  | 324 |  |  | 337 |  |  | 333 |  |  | 340 |  |  | 343 |  |  | 347 |  |  | 57 |  |  | 19,122 |
2020 |  |  |  |  |  |  |  |  |  |  | 360 |  |  | 352 |  |  | 343 |  |  | 328 |  |  | 328 |  |  | 81 |  |  | 15,920 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 386 |  |  | 375 |  |  | 355 |  |  | 347 |  |  | 121 |  |  | 15,665 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 406 |  |  | 416 |  |  | 409 |  |  | 178 |  |  | 13,324 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 454 |  |  | 452 |  |  | 266 |  |  | 11,289 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 481 |  |  | 351 |  |  | 8,017 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 3,701 |  |  | $ | 1,170 |  |  |
Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year
(In millions) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 53 |  |  | $ | 125 |  |  | $ | 154 |  |  | $ | 173 |  |  | $ | 195 |  |  | $ | 209 |  |  | $ | 219 |  |  | $ | 226 |  |  | $ | 234 |  |  | $ | 240 |
2016 |  |  | 62 |  |  | 124 |  |  | 149 |  |  | 171 |  |  | 182 |  |  | 203 |  |  | 214 |  |  | 224 |  |  | 238 |
2017 |  |  |  |  | 61 |  |  | 139 |  |  | 177 |  |  | 205 |  |  | 226 |  |  | 252 |  |  | 308 |  |  | 316 |
2018 |  |  |  |  |  |  | 83 |  |  | 156 |  |  | 200 |  |  | 228 |  |  | 252 |  |  | 292 |  |  | 324 |
2019 |  |  |  |  |  |  |  |  | 69 |  |  | 155 |  |  | 190 |  |  | 213 |  |  | 235 |  |  | 246 |
2020 |  |  |  |  |  |  |  |  |  |  | 56 |  |  | 121 |  |  | 154 |  |  | 169 |  |  | 190 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 53 |  |  | 118 |  |  | 146 |  |  | 165 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 44 |  |  | 131 |  |  | 164 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 43 |  |  | 119 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 56 |
Total |  | $ | 2,058 |
Net liability for unpaid claim and allocated claim adjustment expenses for the accident years presented |  | $ | 1,643 |
Net liability for unpaid claim and claim adjustment expenses for accident years prior to 2015 |  | 70 |
Liability for unallocated claim adjustment expenses for accident years presented |  | 41 |
Total net liability for unpaid claim and claim adjustment expenses |  | $ | 1,754 |
Net strengthening (releases) of prior accident year reserves is presented in the following table.
For the years ended December 31 |  | Calendar Year |  |
(In millions) |  |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | Total (2)
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 |  |  | $ | 14 |  |  | $ | (1) |  |  | $ | (16) |  |  | $ | (5) |  |  | $ | 3 |  |  | $ | 2 |  |  | $ | (1) |  |  | $ | (4) |  |  | $ | (1) |  |  | $ | (9) |
2016 |  |  |  |  | 18 |  |  | (14) |  |  | (2) |  |  | (9) |  |  | 13 |  |  | 2 |  |  | 16 |  |  | (4) |  |  | 20 |
2017 |  |  |  |  |  |  | 61 |  |  | 21 |  |  | (7) |  |  | (4) |  |  | (12) |  |  | 33 |  |  | 8 |  |  | 100 |
2018 |  |  |  |  |  |  |  |  | 17 |  |  | 5 |  |  | (1) |  |  | 12 |  |  | 10 |  |  | 7 |  |  | 50 |
2019 |  |  |  |  |  |  |  |  |  |  | 13 |  |  | (4) |  |  | 7 |  |  | 3 |  |  | 4 |  |  | 23 |
2020 |  |  |  |  |  |  |  |  |  |  |  |  | (8) |  |  | (9) |  |  | (15) |  |  | — |  |  | (32) |
2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (11) |  |  | (20) |  |  | (8) |  |  | (39) |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 10 |  |  | (7) |  |  | 3 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (2) |  |  | (2) |
(1) Data presented for these calendar years is required supplemental information, which is unaudited. (2) The amounts included in the loss reserve development tables above are presented at the year-end 2024 foreign currency exchange rates for all periods presented to remove the effects of foreign currency exchange rate fluctuations between calendar years. The amounts included within the table on page 105 presenting the detail of the development recorded within the International segment include the impact of fluctuations in foreign currency exchange rates. International - Hardy Cumulative Net Incurred Claim and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year | As of December 31, 2024
(In millions, except reported claims data) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | IBNR |  | Cumulative Number of Claims
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 185 |  |  | $ | 174 |  |  | $ | 172 |  |  | $ | 172 |  |  | $ | 171 |  |  | $ | 173 |  |  | $ | 173 |  |  | $ | 175 |  |  | $ | 174 |  |  | $ | 176 |  |  | $ | 1 |  |  | 9,754 |
2016 |  |  | 223 |  |  | 240 |  |  | 230 |  |  | 219 |  |  | 220 |  |  | 214 |  |  | 215 |  |  | 219 |  |  | 220 |  |  | 6 |  |  | 10,940 |
2017 |  |  |  |  | 240 |  |  | 249 |  |  | 240 |  |  | 241 |  |  | 249 |  |  | 248 |  |  | 237 |  |  | 248 |  |  | 1 |  |  | 13,373 |
2018 |  |  |  |  |  |  | 264 |  |  | 293 |  |  | 297 |  |  | 302 |  |  | 301 |  |  | 319 |  |  | 319 |  |  | 23 |  |  | 15,513 |
2019 |  |  |  |  |  |  |  |  | 216 |  |  | 219 |  |  | 214 |  |  | 221 |  |  | 217 |  |  | 219 |  |  | 14 |  |  | 11,868 |
2020 |  |  |  |  |  |  |  |  |  |  | 206 |  |  | 198 |  |  | 192 |  |  | 189 |  |  | 188 |  |  | 40 |  |  | 7,250 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 174 |  |  | 164 |  |  | 151 |  |  | 142 |  |  | 43 |  |  | 4,098 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 187 |  |  | 184 |  |  | 189 |  |  | 58 |  |  | 2,785 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 197 |  |  | 188 |  |  | 104 |  |  | 2,558 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 221 |  |  | 165 |  |  | 1,495 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Total |  | $ | 2,110 |  |  | $ | 455 |  |  |
Cumulative Net Paid Claims and Allocated Claim Adjustment Expenses are presented in the following table.
As of December 31 | Calendar Year
(In millions) | 2015(1) |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 | $ | 29 |  |  | $ | 95 |  |  | $ | 126 |  |  | $ | 141 |  |  | $ | 151 |  |  | $ | 159 |  |  | $ | 161 |  |  | $ | 170 |  |  | $ | 169 |  |  | $ | 160 |
2016 |  |  | 62 |  |  | 142 |  |  | 168 |  |  | 177 |  |  | 189 |  |  | 201 |  |  | 201 |  |  | 205 |  |  | 205 |
2017 |  |  |  |  | 52 |  |  | 149 |  |  | 181 |  |  | 203 |  |  | 211 |  |  | 222 |  |  | 227 |  |  | 234 |
2018 |  |  |  |  |  |  | 54 |  |  | 167 |  |  | 196 |  |  | 228 |  |  | 245 |  |  | 266 |  |  | 279 |
2019 |  |  |  |  |  |  |  |  | 43 |  |  | 101 |  |  | 138 |  |  | 155 |  |  | 165 |  |  | 187 |
2020 |  |  |  |  |  |  |  |  |  |  | 27 |  |  | 76 |  |  | 102 |  |  | 117 |  |  | 130 |
2021 |  |  |  |  |  |  |  |  |  |  |  |  | 13 |  |  | 43 |  |  | 66 |  |  | 84 |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 23 |  |  | 57 |  |  | 103 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 17 |  |  | 54 |
2024 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 16 |
Total | $ | 1,452 |
Net liability for unpaid claim and allocated claim adjustment expenses for the accident years presented | $ | 658 |
Net liability for unpaid claim and claim adjustment expenses for accident years prior to 2015 | (5) |
Liability for unallocated claim adjustment expenses for accident years presented | 9 |
Total net liability for unpaid claim and claim adjustment expenses | $ | 662 |
Net strengthening (releases) of prior accident year reserves is presented in the following table.
For the years ended December 31 |  | Calendar Year |  |
(In millions) |  |  | 2016(1) |  | 2017(1) |  | 2018(1) |  | 2019(1) |  | 2020(1) |  | 2021(1) |  | 2022(1) |  | 2023(1) |  | 2024 |  | Total(2)
Accident Year |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
2015 |  |  | $ | (11) |  |  | $ | (2) |  |  | $ | — |  |  | $ | (1) |  |  | $ | 2 |  |  | $ | — |  |  | $ | 2 |  |  | $ | (1) |  |  | $ | 2 |  |  | $ | (9) |
2016 |  |  |  |  | 17 |  |  | (10) |  |  | (11) |  |  | 1 |  |  | (6) |  |  | 1 |  |  | 4 |  |  | 1 |  |  | (3) |
2017 |  |  |  |  |  |  | 9 |  |  | (9) |  |  | 1 |  |  | 8 |  |  | (1) |  |  | (11) |  |  | 11 |  |  | 8 |
2018 |  |  |  |  |  |  |  |  | 29 |  |  | 4 |  |  | 5 |  |  | (1) |  |  | 18 |  |  | — |  |  | 55 |
2019 |  |  |  |  |  |  |  |  |  |  | 3 |  |  | (5) |  |  | 7 |  |  | (4) |  |  | 2 |  |  | 3 |
2020 |  |  |  |  |  |  |  |  |  |  |  |  | (8) |  |  | (6) |  |  | (3) |  |  | (1) |  |  | (18) |
2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (10) |  |  | (13) |  |  | (9) |  |  | (32) |
2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (3) |  |  | 5 |  |  | 2 |
2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (9) |  |  | (9) |
(1) Data presented for these calendar years is required supplemental information, which is unaudited. (2) The amounts included in the loss reserve development tables above are presented at the year-end 2024 foreign currency exchange rates for all periods presented to remove the effects of foreign currency exchange rate fluctuations between calendar years. The amounts included within the table on page 105 presenting the detail of the development recorded within the International segment include the impact of fluctuations in foreign currency exchange rates. The table below presents information about average historical claims duration as of December 31, 2024 and is presented as required supplementary information, which is unaudited.
Average Annual Percentage Payout of Ultimate Net Incurred Claim and Allocated Claim Adjustment Expenses in Year:
| 1 |  | 2 |  | 3 |  | 4 |  | 5 |  | 6 |  | 7 |  | 8 |  | 9 |  | 10
Specialty |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Medical Professional Liability | 3.6 | % |  | 16.3 | % |  | 21.8 | % |  | 16.6 | % |  | 12.7 | % |  | 8.9 | % |  | 5.7 | % |  | 3.2 | % |  | 1.1 | % |  | 1.6 | %
Other Professional Liability and Management Liability | 6.5 | % |  | 19.6 | % |  | 19.2 | % |  | 14.7 | % |  | 10.5 | % |  | 6.9 | % |  | 5.6 | % |  | 6.1 | % |  | 2.5 | % |  | 0.6 | %
Surety (1) | 17.3 | % |  | 41.0 | % |  | 16.4 | % |  | 8.1 | % |  | 3.9 | % |  | 6.2 | % |  | (2.3) | % |  | (0.3) | % |  | 1.1 | % |  | — | %
Commercial |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial Auto | 23.7 | % |  | 22.3 | % |  | 18.4 | % |  | 14.6 | % |  | 10.5 | % |  | 5.1 | % |  | 2.4 | % |  | 0.9 | % |  | 0.5 | % |  | 1.1 | %
General Liability | 3.4 | % |  | 12.5 | % |  | 15.7 | % |  | 16.8 | % |  | 13.8 | % |  | 9.2 | % |  | 7.1 | % |  | 5.7 | % |  | 3.2 | % |  | 1.2 | %
Workers' Compensation | 16.8 | % |  | 23.4 | % |  | 14.2 | % |  | 8.8 | % |  | 5.9 | % |  | 3.8 | % |  | 2.3 | % |  | 1.2 | % |  | 1.0 | % |  | 0.6 | %
International |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
International - Excluding Hardy | 16.2 | % |  | 21.0 | % |  | 9.6 | % |  | 6.5 | % |  | 6.1 | % |  | 6.5 | % |  | 7.5 | % |  | 2.7 | % |  | 3.9 | % |  | 2.3 | %
International - Hardy | 15.4 | % |  | 28.9 | % |  | 15.3 | % |  | 8.6 | % |  | 5.2 | % |  | 6.2 | % |  | 1.8 | % |  | 3.3 | % |  | (0.3) | % |  | (5.1) | %
(1) Due to the nature of the Surety business, average annual percentage payout of ultimate net incurred claim and allocated claim adjustment expenses has been calculated using only the payouts of mature accident years presented in the loss reserve development tables. A&EP Reserves In 2010, Continental Casualty Company (CCC) together with several of the Company’s insurance subsidiaries completed a transaction with National Indemnity Company (NICO), a subsidiary of Berkshire Hathaway Inc., under which substantially all of the Company’s legacy A&EP liabilities were ceded to NICO through a LPT. At the effective date of the transaction, the Company ceded approximately $1.6 billion of net A&EP claim and allocated claim adjustment expense reserves to NICO under a retroactive reinsurance agreement with an aggregate limit of $4 billion. The $1.6 billion of claim and allocated claim adjustment expense reserves ceded to NICO was net of $1.2 billion of ceded claim and allocated claim adjustment expense reserves under existing third-party reinsurance contracts. The NICO LPT aggregate reinsurance limit also covers credit risk on the existing third-party reinsurance related to these liabilities. The Company paid NICO a reinsurance premium of $2 billion and transferred to NICO billed third-party reinsurance receivables related to A&EP claims with a net book value of $215 million, resulting in total consideration of $2.2 billion. In years subsequent to the effective date of the LPT, the Company recognized adverse prior year development on its A&EP reserves resulting in additional amounts ceded under the LPT. As a result, the cumulative amounts ceded under the LPT have exceeded the $2.2 billion consideration paid, resulting in the NICO LPT moving into a gain position, requiring retroactive reinsurance accounting. Under retroactive reinsurance accounting, this gain is deferred and only recognized in earnings in proportion to actual paid recoveries under the LPT. Over the life of the contract, there is no economic impact as long as any additional losses incurred are within the limit of the LPT. In a period in which the Company recognizes a change in the estimate of A&EP reserves that increases or decreases the amounts ceded under the LPT, the proportion of actual paid recoveries to total ceded losses is affected and the change in the deferred gain is recognized in earnings as if the revised estimate of ceded losses was available at the effective date of the LPT. The effect of the deferred retroactive reinsurance benefit is recorded in Insurance claims and policyholders' benefits in the Consolidated Statements of Operations. The following table presents the impact of the Loss Portfolio Transfer on the Consolidated Statements of Operations.
Years ended December 31 |  |  |  |  |
(In millions) | 2024 |  | 2023 |  | 2022
Additional amounts ceded under LPT: |  |  |  |  |
Net A&EP adverse development before consideration of LPT | $ | 103 |  |  | $ | 86 |  |  | $ | 92 |
Provision for uncollectible third-party reinsurance on A&EP | — |  |  | — |  |  | (5) |
Total additional amounts ceded under LPT | 103 |  |  | 86 |  |  | 87 |
Retroactive reinsurance benefit recognized | (95) |  |  | (94) |  |  | (91) |
Pretax impact of deferred retroactive reinsurance | $ | 8 |  |  | $ | (8) |  |  | $ | (4) |
Net unfavorable prior year development of $103 million, $86 million and $92 million was recognized before consideration of cessions to the LPT for the years ended December 31, 2024, 2023 and 2022. The unfavorable development in 2024, 2023 and 2022 was primarily driven by higher than anticipated defense and indemnity costs on known direct asbestos and environmental accounts. Additionally, in 2022, the Company released $5 million of its provision for uncollectible third-party reinsurance. The Company did not release any of its provision for uncollectible third-party reinsurance in 2024 or 2023. As of December 31, 2024 and 2023, the cumulative amounts ceded under the LPT were $3.7 billion and $3.6 billion. The unrecognized deferred retroactive reinsurance benefit was $425 million and $417 million as of December 31, 2024 and 2023 and is included within Other liabilities on the Consolidated Balance Sheets. NICO established a collateral trust account as security for its obligations to the Company. The fair value of the collateral trust account was $2.3 billion as of December 31, 2024. In addition, Berkshire Hathaway Inc. guaranteed the payment obligations of NICO up to the aggregate reinsurance limit as well as certain of NICO’s performance obligations under the trust agreement. NICO is responsible for claims handling and billing and collection from third-party reinsurers related to the majority of the Company’s A&EP claims. Excess Workers' Compensation LPT On February 5, 2021, CCC completed a transaction with Cavello Bay Reinsurance Limited (Cavello), a subsidiary of Enstar Group Limited, under which certain legacy excess workers' compensation (EWC) liabilities were ceded to Cavello. Under the terms of the transaction, based on reserves in place as of January 1, 2020, the Company ceded approximately $690 million of net EWC claim and allocated claim adjustment expense reserves to Cavello under an LPT with an aggregate limit of $1 billion. The Company paid Cavello a reinsurance premium of $697 million, less claims paid between January 1, 2020 and the closing date of the agreement of $64 million. After transaction costs, the Company recognized an after-tax loss of approximately $12 million in the Corporate & Other segment in the first quarter of 2021 related to the EWC LPT. As of December 31, 2024, the cumulative amount ceded under the EWC LPT was $690 million. Cavello established a collateral trust as security for its obligations to the Company. The fair value of the collateral trust was $298 million as of December 31, 2024.

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