XML 29 R16.htm IDEA: XBRL DOCUMENT v3.24.2
Loss And Loss Adjustment Expense Reserves
 6 Months Ended
Jun. 30, 2024
Insurance Loss Reserves [Abstract]  
Loss And Loss Adjustment Expense Reserves Loss and Loss Adjustment Expense Reserves
The following table presents the activity in loss and loss adjustment expense reserves:
 Six Months Ended June 30,
 20242023
 (Amounts in thousands)
Gross reserves, beginning of period$2,785,702 $2,584,910 
Reinsurance recoverables on unpaid losses, beginning of period
(32,148)(25,322)
Net reserves, beginning of period2,753,554 2,559,588 
Incurred losses and loss adjustment expenses related to:
Current year1,832,701 1,847,123 
Prior years7,978 (19,784)
Total incurred losses and loss adjustment expenses1,840,679 1,827,339 
Loss and loss adjustment expense payments related to:
Current year801,750 874,245 
Prior years846,290 820,341 
Total payments1,648,040 1,694,586 
Net reserves, end of period2,946,193 2,692,341 
Reinsurance recoverables on unpaid losses, end of period30,210 27,666 
Gross reserves, end of period$2,976,403 $2,720,007 

The increase in the provision for insured events of prior years during the six months ended June 30, 2024 of $8.0 million was primarily attributable to higher than estimated losses and loss adjustment expenses in the commercial automobile and commercial property lines of insurance business and catastrophe losses, partially offset by favorable development in the private passenger automobile line of insurance business. The decrease in the provision for insured events of prior years during the six months ended June 30, 2023 of $19.8 million was primarily attributable to lower than estimated losses and loss adjustment expenses in the private passenger automobile and homeowners lines of insurance business, partially offset by unfavorable development in the commercial property line of insurance business.

For the six months ended June 30, 2024 and 2023, the Company incurred catastrophe losses net of reinsurance of approximately $197 million and $190 million, respectively. The majority of 2024 catastrophe losses resulted from tornadoes, hailstorms and convective storms in Texas and Oklahoma and winter storms and rainstorms in California. The majority of 2023 catastrophe losses resulted from winter storms and rainstorms in California, Texas and Oklahoma. The Company experienced unfavorable development of approximately $9 million and favorable development of approximately $1 million on prior years' catastrophe losses for the six months ended June 30, 2024 and 2023, respectively.