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Reserves for Claims | 12 Months Ended
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Dec. 31, 2016
Liability for Future Policy Benefits and Unpaid Claims and Claims Adjustment Expense [Abstract] |
Reserves for Claims | Reserve for Claims Changes in the reserve for claims for the years ended December 31 are summarized as follows based on the year in which the policies were written:
| 2016 |  | 2015 |  | 2014
Balance, beginning of period | $ | 37,788,000 |  |  | $ | 36,677,000 |  |  | $ | 35,360,000 |
Provision (benefit) related to: |  |  |  |  |
Current year | 6,673,036 |  |  | 7,295,013 |  |  | 6,860,335 |
Prior years | (6,430,083 | ) |  | (2,816,519 | ) |  | (1,630,619 | )
Total provision charged to operations | 242,953 |  |  | 4,478,494 |  |  | 5,229,716 |
Claims paid, net of recoveries, related to: |  |  |  |  |
Current year | (102,501 | ) |  | (97,116 | ) |  | (102,947 | )
Prior years | (2,623,452 | ) |  | (3,270,378 | ) |  | (3,809,769 | )
Total claims paid, net of recoveries | (2,725,953 | ) |  | (3,367,494 | ) |  | (3,912,716 | )
Balance, end of year | $ | 35,305,000 |  |  | $ | 37,788,000 |  |  | $ | 36,677,000 |
The Company continually refines its reserve estimates as current loss experience develops and credible data emerges. Movements in the reserve related to prior periods were primarily the result of changes to estimates to better reflect the latest reported loss data. The 2016 calendar year change in the provision relating to prior years resulted mostly from changes to certain actuarial inputs and favorable development in 2016 versus the prior year related primarily to policy years 2009 through 2015. Due to variances between actual and expected loss payments, loss development is subject to significant variability. The Company does not recognize claim recoveries until an actual payment has been received by the Company. The Company realized claim recoveries of approximately $1,040,000, $467,000 and $790,000 during 2016, 2015 and 2014, respectively. The provision for claims as a percentage of net premiums written was 0.2%, 4.0% and 4.8% in 2016, 2015 and 2014, respectively. A large claim is defined as a claim with incurred losses exceeding $250,000. Due to the small volume of large claims, the long-tail nature of title insurance claims and the inherent uncertainty in loss emergence patterns, large claim activity can vary significantly between policy years. The estimated development of large claims by policy year is therefore subject to significant changes as experience develops. A summary of the Company’s loss reserve, broken down into its components of known title claims and IBNR, follows:
| 2016 |  | % |  | 2015 |  | %
Known title claims | $ | 4,405,343 |  |  | 12.5 |  | $ | 5,066,469 |  |  | 13.4
IBNR | 30,899,657 |  |  | 87.5 |  | 32,721,531 |  |  | 86.6
Total loss reserve | $ | 35,305,000 |  |  | 100.0 |  | $ | 37,788,000 |  |  | 100.0
In management’s opinion, the reserve is adequate to cover claim losses which might result from pending and future claims.

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- Definition The entire disclosure for liabilities related to future policy benefits and unpaid claims and claim adjustments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 40 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=6482852&loc=d3e14931-158439 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 40 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=65670824&loc=d3e14754-158437 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 210 -Section S99 -Paragraph 1 -Subparagraph (SX 210.7-03.13(a)(1),(b)) -URI http://asc.fasb.org/extlink&oid=6879938&loc=d3e572229-122910 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 40 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=65670824&loc=d3e14764-158437 + Details
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