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Reinsurance
 6 Months Ended
Jun. 30, 2023
Reinsurance Disclosures [Abstract]  
Reinsurance Reinsurance
We evaluate and monitor the financial condition of our reinsurers under voluntary reinsurance arrangements to minimize our exposure to significant losses from reinsurer insolvencies. The following tables provide (i) a disaggregation of our reinsurance recoverable balance by financial strength rating, and (ii) an aging analysis of our past due reinsurance recoverable balances as of June 30, 2023, and December 31, 2022:

June 30, 2023
($ in thousands)CurrentPast DueTotal Reinsurance Recoverables
Financial strength rating of rated reinsurers
A++$80,117 $888 $81,005 
A+347,802 5,367 353,169 
A117,592 5,316 122,908 
A-3,599 89 3,688 
Total rated reinsurers$549,110 $11,660 $560,770 
Non-rated reinsurers
Federal and state pools$80,629 $— $80,629 
Other than federal and state pools6,717 475 7,192 
Total non-rated reinsurers$87,346 $475 $87,821 
Total reinsurance recoverable, gross$636,456 $12,135 $648,591 
Less: allowance for credit losses(1,800)
Total reinsurance recoverable, net$646,791 

December 31, 2022
($ in thousands)CurrentPast DueTotal Reinsurance Recoverables
Financial strength rating of rated reinsurers
A++$46,282 $1 $46,283 
A+425,395 3,191 428,586 
A106,102 1,315 107,417 
A-7,148 89 7,237 
Total rated reinsurers$584,927 $4,596 $589,523 
Non-rated reinsurers
Federal and state pools$180,794 $— $180,794 
Other than federal and state pools13,678 415 14,093 
Total non-rated reinsurers$194,472 $415 $194,887 
Total reinsurance recoverable, gross$779,399 $5,011 $784,410 
Less: allowance for credit losses(1,600)
Total reinsurance recoverable, net$782,810 

The $100.2 million decrease in "Federal and state pools" as of June 30, 2023, compared to December 31, 2022, was primarily
due to a decrease in the NFIP reserves recorded as of December 31, 2022, for flood losses in Florida and surrounding states as a result of Hurricane Ian, which are 100% ceded to the NFIP.

The following table provides a roll forward of the allowance for credit losses on our reinsurance recoverable balance for the periods indicated:

($ in thousands)Quarter ended June 30,Six Months ended June 30,
2023202220232022
Balance at beginning of period$2,300 1,600 $1,600 1,600 
Current period change for expected credit losses(500)— 200 — 
Write-offs charged against the allowance for credit losses— — — — 
Recoveries— — — — 
Allowance for credit losses, end of period$1,800 1,600 $1,800 1,600 

For a discussion of the methodology used to evaluate our estimate of expected credit losses on our reinsurance recoverable balance, refer to Note 2. "Summary of Significant Accounting Policies" in Item 8. "Financial Statements and Supplementary Data." of our 2022 Annual Report.

The following table lists direct, assumed, and ceded reinsurance amounts for premiums written, premiums earned, and loss and loss expense incurred for the indicated periods. For more information about reinsurance, refer to Note 9. “Reinsurance” in Item 8. “Financial Statements and Supplementary Data.” of our 2022 Annual Report.

Quarter ended June 30,Six Months ended June 30,
($ in thousands)2023202220232022
Premiums written:    
Direct$1,232,496 1,050,506 $2,365,256 2,051,555 
Assumed5,577 8,552 10,971 13,866 
Ceded(153,166)(128,317)(291,552)(244,882)
Net$1,084,907 930,741 $2,084,675 1,820,539 
Premiums earned:    
Direct$1,073,498 955,651 $2,105,726 1,887,027 
Assumed5,968 7,481 12,258 13,009 
Ceded(137,316)(128,693)(273,498)(253,314)
Net$942,150 834,439 $1,844,486 1,646,722 
Loss and loss expenses incurred:    
Direct$698,994 559,913 $1,312,223 1,088,501 
Assumed5,678 5,125 10,933 9,403 
Ceded(58,542)(40,170)(109,588)(78,800)
Net$646,130 524,868 $1,213,568 1,019,104