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Loss and loss adjustment expense reserves
 6 Months Ended
Jun. 30, 2014
Loss and Loss Adjustment Expense Reserves [Abstract]  
Loss and loss adjustment expense reserves
Loss and loss adjustment expense reserves
As of June 30, 2014 and December 31, 2013, loss and loss adjustment expense reserves in the condensed consolidated balance sheets was comprised of the following:
 
June 30,
2014
 
December 31,
2013
 
($ in thousands)
Case loss and loss adjustment expense reserves
$
42,488

 
$
34,307

Incurred but not reported loss and loss adjustment expense reserves
142,139

 
100,024

 
$
184,627

 
$
134,331






The following table represents the activity in the reserve for losses and loss adjustment expenses for the six months ended June 30, 2014 and 2013:
 
June 30,
2014
 
June 30,
2013
 
($ in thousands)
Gross reserves for loss and loss adjustment expenses, beginning of period
$
134,331

 
$
67,271

Less: loss and loss adjustment expenses recoverable, beginning of period
(9,277
)
 
—

Net reserves for loss and loss adjustment expenses, beginning of period
125,054

 
67,271

Increase (decrease) in net loss and loss adjustment expenses incurred in respect of losses occurring in:
 
 
 
     Current year
88,059

 
67,154

     Prior years'
2,609

 
(2,824
)
Total incurred loss and loss adjustment expenses
90,668

 
64,330

Net loss and loss adjustment expenses paid in respect of losses occurring in:
 
 
 
     Current year
(22,141
)
 
(6,044
)
     Prior years'
(19,228
)
 
(16,647
)
Total net paid losses
(41,369
)
 
(22,691
)
Net reserve for loss and loss adjustment expenses, end of period
174,353

 
108,910

Plus: loss and loss adjustment expenses recoverable, end of period
10,274

 
4,190

Gross reserve for loss and loss adjustment expenses, end of period
$
184,627

 
$
113,100



The $2.6 million increase in prior years' reserves for the six months ended June 30, 2014 reflects $1.1 million of net adverse loss development, primarily related to one crop contract, and additional reserves for loss and loss adjustment expenses of $1.5 million resulting from premium increases on certain other contracts. The changes in loss and loss adjustment expense reserves related to premium estimate changes were accompanied by similar changes in the premium earned for those contracts, resulting in minimal impact to net underwriting income in both periods. The $2.8 million decrease in prior years' reserves recorded in the six months ended June 30, 2013 related primarily to one crop contract, which was accompanied by an equal decrease in the premium for that contract, resulting in a zero impact to underwriting income.