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Reserves for Claims
 12 Months Ended
Dec. 31, 2024
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:
 (in thousands)20242023
Balance, beginning of period$37,147 $37,192 
Provision related to:
Current year9,053 7,547 
Prior years(4,523)(2,785)
Total provision charged to operations4,530 4,762 
Claims paid, net of recoveries, related to:
Current year(719)(428)
Prior years(3,898)(4,379)
Total claims paid, net of recoveries(4,617)(4,807)
Balance, end of year$37,060 $37,147 

The Company continually refines its reserve estimates as current loss experience develops and more 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 decrease in the provision for claims in 2024, compared to 2023, was primarily due to lower levels of favorable loss development in the current year period. 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 $332 thousand and $597 thousand during 2024 and 2023, respectively.

The provision for claims as a percentage of net premiums written was 2.2% and 2.8% in 2024 and 2023, respectively.

A large claim is defined as a claim with incurred losses exceeding $500 thousand. 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 reserve for claims, broken down into its components of known title claims and IBNR, follows:
 (in thousands, except percentages)2024%2023%
Known title claims$2,650 7.2 $2,855 7.7 
IBNR34,410 92.8 34,292 92.3 
Total reserve for claims$37,060 100.0 $37,147 100.0 

In management’s opinion, the reserve for claims is adequate to cover claims losses which might result from pending and future claims.