Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries

3 Months Ended

Mar. 31, 2019

Condensed Consolidating Financial Information Provided In Connection With Outstanding Debt Of Subsidiaries [Abstract]

Condensed Consolidating Financial Information Provided in Connection with Outstanding Debt of Subsidiaries

CONDENSED CONSOLIDATING FINANCIAL INFORMATION PROVIDED IN CONNECTION WITH OUTSTANDING DEBT OF SUBSIDIARIES

The following tables present condensed consolidating balance sheets at March 31, 2019 and December 31, 2018, condensed consolidating statements of operations and condensed consolidating statements of comprehensive income for the three months ended March 31, 2019 and 2018, and condensed consolidating statements of cash flows for the three months ended March 31, 2019 and 2018. Each of RenRe North America Holdings Inc. and RenaissanceRe Finance, Inc. is a 100% owned subsidiary of RenaissanceRe. For additional information related to the terms of the Company’s outstanding debt securities, see “Note 8. Debt and Credit Facilities in the Notes to the Consolidated Financial Statements” in the Company’s Form 10-K for the year ended December 31, 2018 and “Note 8. Debt and Credit Facilities in the Notes to the Consolidated Financial Statements” included herein.



Condensed Consolidating Balance Sheet at March 31, 2019	RenaissanceRe Holdings Ltd. (Parent Guarantor)			RenRe North America Holdings Inc. (Subsidiary Issuer)		RenaissanceRe Finance, Inc. (Subsidiary Issuer)		Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1)			Consolidating Adjustments (2)			RenaissanceRe Consolidated
Assets
Total investments	$	126,816		$	110,166	$	18,385	$	14,597,481		$	—		$	14,852,848
Cash and cash equivalents	3,070			3,687		5,848		1,008,670			—			1,021,275
Investments in subsidiaries	5,039,057			59,310		1,249,218		—			(6,347,585		)	—
Due from subsidiaries and affiliates	54,939			101,578		3,765		—			(160,282		)	—
Premiums receivable	—			—		—		2,753,098			—			2,753,098
Prepaid reinsurance premiums	—			—		—		1,086,027			—			1,086,027
Reinsurance recoverable	—			—		—		2,908,343			—			2,908,343
Accrued investment income	(88		)	231		96		64,376			—			64,615
Deferred acquisition costs	—			—		—		841,528			—			841,528
Receivable for investments sold	926			1		—		410,245			—			411,172
Other assets	766,088			15,528		313,424		(1,793,255		)	1,051,758			353,543
Goodwill and other intangible assets	119,410			—		—		147,741			—			267,151
Total assets	$	6,110,218		$	290,501	$	1,590,736	$	22,024,254		$	(5,456,109	)	$	24,559,600
Liabilities, Noncontrolling Interests and Shareholders’ Equity
Liabilities
Reserve for claims and claim expenses	$	—		$	—	$	—	$	8,391,484		$	—		$	8,391,484
Unearned premiums	—			—		—		3,188,678			—			3,188,678
Debt	500,000			—		843,382		148,117			(300,000		)	1,191,499
Amounts due to subsidiaries and affiliates	25,037			31		112,637		—			(137,705		)	—
Reinsurance balances payable	—			—		—		3,009,492			—			3,009,492
Payable for investments purchased	—			—		—		679,596			—			679,596
Other liabilities	31,148			288		9,283		395,346			(647		)	435,418
Total liabilities	556,185			319		965,302		15,812,713			(438,352		)	16,896,167
Redeemable noncontrolling interests	—			—		—		2,109,400			—			2,109,400
Shareholders’ Equity
Total shareholders’ equity	5,554,033			290,182		625,434		4,102,141			(5,017,757		)	5,554,033
Total liabilities, noncontrolling interests and shareholders’ equity	$	6,110,218		$	290,501	$	1,590,736	$	22,024,254		$	(5,456,109	)	$	24,559,600


(1)	Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations.


(2)	Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments.



Condensed Consolidating Balance Sheet at December 31, 2018	RenaissanceRe Holdings Ltd. (Parent Guarantor)		RenRe North America Holdings Inc. (Subsidiary Issuer)		RenaissanceRe Finance, Inc. (Subsidiary Issuer)		Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1)			Consolidating Adjustments (2)			RenaissanceRe Consolidated
Assets
Total investments	$	313,360	$	77,842	$	28,885	$	11,465,660		$	—		$	11,885,747
Cash and cash equivalents	3,534		3,350		9,604		1,091,434			—			1,107,922
Investments in subsidiaries	4,414,475		58,458		1,215,663		—			(5,688,596		)	—
Due from subsidiaries and affiliates	57,039		101,579		—		—			(158,618		)	—
Premiums receivable	—		—		—		1,537,188			—			1,537,188
Prepaid reinsurance premiums	—		—		—		616,185			—			616,185
Reinsurance recoverable	—		—		—		2,372,221			—			2,372,221
Accrued investment income	1,046		310		127		49,828			—			51,311
Deferred acquisition costs	—		—		—		476,661			—			476,661
Receivable for investments sold	203		23,885		—		232,328			—			256,416
Other assets	458,842		22,571		313,636		(1,403,636		)	743,714			135,127
Goodwill and other intangible assets	120,476		—		—		116,942			—			237,418
Total assets	$	5,368,975	$	287,995	$	1,567,915	$	16,554,811		$	(5,103,500	)	$	18,676,196
Liabilities, Redeemable Noncontrolling Interest and Shareholders’ Equity
Liabilities
Reserve for claims and claim expenses	$	—	$	—	$	—	$	6,076,271		$	—		$	6,076,271
Unearned premiums	—		—		—		1,716,021			—			1,716,021
Debt	300,000		—		843,086		148,041			(300,000		)	991,127
Amounts due to subsidiaries and affiliates	6,453		217		102,243		—			(108,913		)	—
Reinsurance balances payable	—		—		—		1,902,056			—			1,902,056
Payable for investments purchased	—		24		—		380,308			—			380,332
Other liabilities	17,442		5,362		13,918		482,422			(5,535		)	513,609
Total liabilities	323,895		5,603		959,247		10,705,119			(414,448		)	11,579,416
Redeemable noncontrolling interests	—		—		—		2,051,700			—			2,051,700
Shareholders’ Equity
Total shareholders’ equity	5,045,080		282,392		608,668		3,797,992			(4,689,052		)	5,045,080
Total liabilities, redeemable noncontrolling interest and shareholders’ equity	$	5,368,975	$	287,995	$	1,567,915	$	16,554,811		$	(5,103,500	)	$	18,676,196


(1)	Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations.


(2)	Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments.



Condensed Consolidating Statement of Operations for the three months ended March 31, 2019	RenaissanceRe Holdings Ltd. (Parent Guarantor)			RenRe North America Holdings Inc. (Subsidiary Issuer)			RenaissanceRe Finance, Inc. (Subsidiary Issuer)			Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1)			Consolidating Adjustments (2)			RenaissanceRe Consolidated
Revenues
Net premiums earned	$	—		$	—		$	—		$	550,028		$	—		$	550,028
Net investment income	8,277			595			2,060			79,332			(8,802		)	81,462
Net foreign exchange losses	(1		)	—			—			(2,845		)	—			(2,846		)
Equity in earnings of other ventures	—			—			965			3,696			—			4,661
Other income	—			—			—			3,171			—			3,171
Net realized and unrealized gains on investments	1,002			8,159			109			161,375			—			170,645
Total revenues	9,278			8,754			3,134			794,757			(8,802		)	807,121
Expenses
Net claims and claim expenses incurred	—			—			—			227,035			—			227,035
Acquisition expenses	—			—			—			123,951			—			123,951
Operational expenses	469			11			12,333			42,609			(10,489		)	44,933
Corporate expenses	38,828			—			—			(1,922		)	1,883			38,789
Interest expense	1,883			—			9,252			619			—			11,754
Total expenses	41,180			11			21,585			392,292			(8,606		)	446,462
(Loss) income before equity in net income of subsidiaries and taxes	(31,902		)	8,743			(18,451		)	402,465			(196		)	360,659
Equity in net income of subsidiaries	314,887			828			33,532			—			(349,247		)	—
Income before taxes	282,985			9,571			15,081			402,465			(349,443		)	360,659
Income tax (expense) benefit	(79		)	(1,805		)	1,662			(7,309		)	—			(7,531		)
Net income	282,906			7,766			16,743			395,156			(349,443		)	353,128
Net income attributable to redeemable noncontrolling interests	—			—			—			(70,222		)	—			(70,222		)
Net income attributable to RenaissanceRe	282,906			7,766			16,743			324,934			(349,443		)	282,906
Dividends on preference shares	(9,189		)	—			—			—			—			(9,189		)
Net income available to RenaissanceRe common shareholders	$	273,717		$	7,766		$	16,743		$	324,934		$	(349,443	)	$	273,717


(1)	Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations.


(2)	Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments.



Condensed Consolidating Statement of Comprehensive Income for the three months ended March 31, 2019	RenaissanceRe Holdings Ltd. (Parent Guarantor)		RenRe North America Holdings Inc. (Subsidiary Issuer)		RenaissanceRe Finance, Inc. (Subsidiary Issuer)		Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1)			Consolidating Adjustments (2)			RenaissanceRe Consolidated
Comprehensive income
Net income	$	282,906	$	7,766	$	16,743	$	395,156		$	(349,443	)	$	353,128
Change in net unrealized losses on investments	—		—		—		(37		)	—			(37		)
Comprehensive income	282,906		7,766		16,743		395,119			(349,443		)	353,091
Net income attributable to redeemable noncontrolling interests	—		—		—		(70,222		)	—			(70,222		)
Comprehensive income attributable to noncontrolling interests	—		—		—		(70,222		)	—			(70,222		)
Comprehensive income attributable to RenaissanceRe	$	282,906	$	7,766	$	16,743	$	324,897		$	(349,443	)	$	282,869


(1)	Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations.


(2)	Includes Parent Guarantor, Subsidiary Guarantor and Subsidiary Issuer consolidating adjustments.



Condensed Consolidating Statement of Operations for the three months ended March 31, 2018	RenaissanceRe Holdings Ltd. (Parent Guarantor)			RenRe North America Holdings Inc. (Subsidiary Issuer)			RenaissanceRe Finance, Inc. (Subsidiary Issuer)			Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1)			Consolidating Adjustments (2)			RenaissanceRe Consolidated
Revenues
Net premiums earned	$	—		$	—		$	—		$	440,282		$	—		$	440,282
Net investment income	6,035			513			1,234			56,305			(7,611		)	56,476
Net foreign exchange (losses) gains	(3		)	—			—			3,760			—			3,757
Equity in earnings (losses) of other ventures	—			—			1,211			(354		)	—			857
Other loss	—			—			—			(1,242		)	—			(1,242		)
Net realized and unrealized (losses) on investments	(661		)	(1,286		)	(259		)	(79,938		)	—			(82,144		)
Total revenues	5,371			(773		)	2,186			418,813			(7,611		)	417,986
Expenses
Net claims and claim expenses incurred	—			—			—			171,703			—			171,703
Acquisition expenses	—			—			—			97,711			—			97,711
Operational expenses	1,313			10			11,070			37,933			(9,054		)	41,272
Corporate expenses	3,684			—			—			3,049			—			6,733
Interest expense	1,108			—			9,252			2,515			(1,108		)	11,767
Total expenses	6,105			10			20,322			312,911			(10,162		)	329,186
(Loss) income before equity in net income (loss) of subsidiaries and taxes	(734		)	(783		)	(18,136		)	105,902			2,551			88,800
Equity in net income (loss) of subsidiaries	62,426			834			(3,813		)	—			(59,447		)	—
Income (loss) before taxes	61,692			51			(21,949		)	105,902			(56,896		)	88,800
Income tax benefit	616			221			1,815			755			—			3,407
Net income (loss)	62,308			272			(20,134		)	106,657			(56,896		)	92,207
Net income attributable to redeemable noncontrolling interests	—			—			—			(29,899		)	—			(29,899		)
Net income (loss) attributable to RenaissanceRe	62,308			272			(20,134		)	76,758			(56,896		)	62,308
Dividends on preference shares	(5,595		)	—			—			—			—			(5,595		)
Net income (loss) available (attributable) to RenaissanceRe common shareholders	$	56,713		$	272		$	(20,134	)	$	76,758		$	(56,896	)	$	56,713


(1)	Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations.


(2)	Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments.



Condensed Consolidating Statement of Comprehensive income (Loss) for the three months ended March 31, 2018	RenaissanceRe Holdings Ltd. (Parent Guarantor)		RenRe North America Holdings Inc. (Subsidiary Issuer)		RenaissanceRe Finance, Inc. (Subsidiary Issuer)			Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1)			Consolidating Adjustments (2)			RenaissanceRe Consolidated
Comprehensive income (loss)
Net income (loss)	$	62,308	$	272	$	(20,134	)	$	106,657		$	(56,896	)	$	92,207
Change in net unrealized gains on investments	—		—		—			(30		)	—			(30		)
Comprehensive income	62,308		272		(20,134		)	106,627			(56,896		)	92,177
Net income attributable to redeemable noncontrolling interests	—		—		—			(29,899		)	—			(29,899		)
Comprehensive income attributable to noncontrolling interests	—		—		—			(29,899		)	—			(29,899		)
Comprehensive income (loss) attributable to RenaissanceRe	$	62,308	$	272	$	(20,134	)	$	76,728		$	(56,896	)	$	62,278


(1)	Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations.


(2)	Includes Parent Guarantor and Subsidiary Issuer consolidating adjustments.



Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2019	RenaissanceRe Holdings Ltd. (Parent Guarantor)			RenRe North America Holdings Inc. (Subsidiary Issuer)			RenaissanceRe Finance, Inc. (Subsidiary Issuer)			Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1)			RenaissanceRe Consolidated
Cash flows (used in) provided by operating activities
Net cash (used in) provided by operating activities	$	(317,296	)	$	2,198		$	(21,202	)	$	713,449		$	377,149
Cash flows provided by (used in) investing activities
Proceeds from sales and maturities of fixed maturity investments trading	277,030			15,655			29,861			4,278,262			4,600,808
Purchases of fixed maturity investments trading	(35,909		)	(9,899		)	(14,098		)	(3,459,371		)	(3,519,277		)
Net purchases of equity investments trading	—			(2,046		)	—			(2,555		)	(4,601		)
Net purchases of short term investments	(54,622		)	(5,386		)	(4,946		)	(1,309,678		)	(1,374,632		)
Net purchases of other investments	—			—			—			(51,811		)	(51,811		)
Net purchases of investments in other ventures	—			—			—			(1,573		)	(1,573		)
Return of investment from investments in other ventures	—			—			—			11,250			11,250
Dividends and return of capital from subsidiaries	487,264			—			—			(487,264		)	—
Contributions to subsidiaries	(528,416		)	—			—			528,416			—
Due (from) to subsidiary	2,100			(185		)	6,629			(8,544		)	—
Net purchase of the TMR Group Entities	—			—			—			(276,206		)	(276,206		)
Net cash provided by (used in) investing activities	147,447			(1,861		)	17,446			(779,074		)	(616,042		)
Cash flows provided by (used in) financing activities
Dividends paid – RenaissanceRe common shares	(14,469		)	—			—			—			(14,469		)
Dividends paid – preference shares	(9,189		)	—			—			—			(9,189		)
Drawdown of RenaissanceRe Revolving Credit Facility	200,000			—			—			—			200,000
Net third party redeemable noncontrolling interest share transactions	—			—			—			(16,847		)	(16,847		)
Taxes paid on withholding shares	(6,957		)	—			—			—			(6,957		)
Net cash provided by (used in) financing activities	169,385			—			—			(16,847		)	152,538
Effect of exchange rate changes on foreign currency cash	—			—			—			(292		)	(292		)
Net (decrease) increase in cash and cash equivalents	(464		)	337			(3,756		)	(82,764		)	(86,647		)
Cash and cash equivalents, beginning of period	3,534			3,350			9,604			1,091,434			1,107,922
Cash and cash equivalents, end of period	$	3,070		$	3,687		$	5,848		$	1,008,670		$	1,021,275


(1)	Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations.



Condensed Consolidating Statement of Cash Flows for the three months ended March 31, 2018	RenaissanceRe Holdings Ltd. (Parent Guarantor)			RenRe North America Holdings Inc. (Subsidiary Issuer)			RenaissanceRe Finance, Inc. (Subsidiary Issuer)			Other RenaissanceRe Holdings Ltd. Subsidiaries and Eliminations (Non-guarantor Subsidiaries) (1)			RenaissanceRe Consolidated
Cash flows (used in) provided by operating activities
Net cash (used in) provided by operating activities	$	(6,875	)	$	659		$	(23,449	)	$	(7,684	)	$	(37,349	)
Cash flows provided by (used in) investing activities
Proceeds from sales and maturities of fixed maturity investments trading	119,542			42,793			27,672			2,128,852			2,318,859
Purchases of fixed maturity investments trading	(20,216		)	(22,956		)	(12,698		)	(2,256,591		)	(2,312,461		)
Net (purchases) sales of equity investments trading	—			(21		)	—			158			137
Net sales (purchases) of short term investments	54,728			(4,024		)	(5,925		)	(639,420		)	(594,641		)
Net purchases of other investments	—			—			—			(98,639		)	(98,639		)
Net purchases of investments in other ventures	—			—			—			(17,974		)	(17,974		)
Dividends and return of capital from subsidiaries	177,250			—			—			(177,250		)	—
Contributions to subsidiaries	(150,205		)	(16,500		)	—			166,705			—
Due (from) to subsidiaries	(154,877		)	7			14,106			140,764			—
Net cash provided by (used in) investing activities	26,222			(701		)	23,155			(753,395		)	(704,719		)
Cash flows (used in) provided by financing activities
Dividends paid – RenaissanceRe common shares	(13,224		)	—			—			—			(13,224		)
Dividends paid – preference shares	(5,595		)	—			—			—			(5,595		)
Net third party redeemable noncontrolling interest share transactions	—			—			—			52,759			52,759
Taxes paid on withholding shares	(7,034		)	—			—			—			(7,034		)
Net cash (used in) provided by financing activities	(25,853		)	—			—			52,759			26,906
Effect of exchange rate changes on foreign currency cash	—			—			—			1,543			1,543
Net decrease in cash and cash equivalents	(6,506		)	(42		)	(294		)	(706,777		)	(713,619		)
Cash and cash equivalents, beginning of period	14,656			139			1,469			1,345,328			1,361,592
Cash and cash equivalents, end of period	$	8,150		$	97		$	1,175		$	638,551		$	647,973

(1) Includes all other subsidiaries of RenaissanceRe Holdings Ltd. and eliminations.