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Segment Reporting | 6 Months Ended
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Jun. 30, 2024
Segment Reporting [Abstract] |
Segment Reporting Disclosure | 2. SEGMENT INFORMATION The Company reports its results of operations in three segments: Legacy Financial Guarantee Insurance, Specialty Property and Casualty Insurance and Insurance Distribution, separate from Corporate and Other, which is consistent with the manner in which the Company's chief operating decision maker ("CODM") reviews the business to assess performance and allocate resources. See Note 1. Business and Basis of Presentation for a description of each of the Company's business segments. The following tables summarize the components of the Company’s total revenues and expenses, pretax income (loss) and total assets by reportable business segment. Information provided below for “Corporate and Other” primarily relates to the operations of AFG, which will include investment income on its investment portfolio and costs to maintain the operations of AFG, including public company reporting, capital management and business development costs for the acquisition and development of new business initiatives.
|  | Three Months Ended June 30, 2024 |  | Three Months Ended June 30, 2023
|  | Legacy Financial Guarantee Insurance |  | Specialty Property & Casualty Insurance |  | Insurance Distribution |  | Corporate & Other |  |  |  | Consoli-dated (2) |  | Legacy Financial Guarantee Insurance |  | Specialty Property & Casualty Insurance |  | Insurance Distribution |  | Corporate & Other |  |  |  | Consoli-dated (2)
Revenues: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net premiums earned |  | $ | 6 |  |  | $ | 27 |  |  |  |  |  |  |  |  | $ | 33 |  |  | $ | 8 |  |  | $ | 8 |  |  |  |  |  |  |  |  | $ | 15 |
Commission income |  |  |  |  |  | $ | 13 |  |  |  |  |  |  | 13 |  |  |  |  |  |  | $ | 10 |  |  |  |  |  |  | 10 |
Program fees |  |  |  | 3 |  |  |  |  |  |  |  |  | 3 |  |  |  |  | 2 |  |  |  |  |  |  |  |  | 2 |
Net investment income |  | 32 |  |  | 1 |  |  | — |  |  | $ | 2 |  |  |  |  | 36 |  |  | 32 |  |  | 1 |  |  | — |  |  | $ | 2 |  |  |  |  | 35 |
Net investment gains (losses), including impairments |  | (1) |  |  | — |  |  |  |  | 5 |  |  |  |  | 4 |  |  | (3) |  |  | — |  |  |  |  | — |  |  |  |  | (3) |
Net gains (losses) on derivative contracts |  | 1 |  |  |  |  |  |  | — |  |  |  |  | — |  |  | 1 |  |  |  |  |  |  | — |  |  |  |  | — |
Other (1) |  | 16 |  |  | — |  |  | — |  |  | — |  |  |  |  | 15 |  |  | 2 |  |  | — |  |  | — |  |  | — |  |  |  |  | 3 |
Total revenues (2) |  | 53 |  |  | 32 |  |  | 13 |  |  | 6 |  |  |  |  | 105 |  |  | 39 |  |  | 11 |  |  | 10 |  |  | 2 |  |  |  |  | 62 |
Expenses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Losses and loss adjustment expenses (benefit) |  | (5) |  |  | 23 |  |  |  |  |  |  |  |  | 18 |  |  | 2 |  |  | 6 |  |  |  |  |  |  |  |  | 7 |
Amortization of deferred acquisition costs, net |  | — |  |  | 5 |  |  |  |  |  |  |  |  | 5 |  |  | — |  |  | 1 |  |  |  |  |  |  |  |  | 1 |
Commission expenses |  |  |  |  |  | 8 |  |  |  |  |  |  | 8 |  |  |  |  |  |  | 6 |  |  |  |  |  |  | 6 |
General and administrative expenses (3) |  | 22 |  |  | 5 |  |  | 3 |  |  | 17 |  |  |  |  | 47 |  |  | 23 |  |  | 4 |  |  | 2 |  |  | 6 |  |  |  |  | 36 |
Depreciation expense (3) |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  | 1 |  |  | — |  |  | — |  |  | — |  |  | — |  |  |  |  | — |
Intangible amortization |  | 7 |  |  |  |  | 1 |  |  |  |  |  |  | 8 |  |  | 6 |  |  |  |  | 1 |  |  |  |  |  |  | 7 |
Interest expense |  | 16 |  |  |  |  |  |  |  |  |  |  | 16 |  |  | 16 |  |  |  |  |  |  |  |  |  |  | 16 |
Total expenses (2) |  | 40 |  |  | 33 |  |  | 12 |  |  | 17 |  |  |  |  | 103 |  |  | 47 |  |  | 11 |  |  | 9 |  |  | 6 |  |  |  |  | 73 |
Pretax income (loss) |  | $ | 13 |  |  | $ | (1) |  |  | $ | 1 |  |  | $ | (11) |  |  |  |  | $ | 2 |  |  | $ | (8) |  |  | $ | — |  |  | $ | 1 |  |  | $ | (4) |  |  |  |  | $ | (11) |
Total assets (2) |  | $ | 7,100 |  |  | $ | 713 |  |  | $ | 155 |  |  | $ | 216 |  |  |  |  | $ | 8,184 |  |  | $ | 7,376 |  |  | $ | 395 |  |  | $ | 137 |  |  | $ | 225 |  |  |  |  | $ | 8,132 |
|  | Six Months Ended June 30, 2024 |  | Six Months Ended June 30, 2023
|  | Legacy Financial Guarantee Insurance |  | Specialty Property & Casualty Insurance |  | Insurance Distribution |  | Corporate & Other |  |  |  | Consoli-dated (2) |  | Legacy Financial Guarantee Insurance |  | Specialty Property & Casualty Insurance |  | Insurance Distribution |  | Corporate & Other |  |  |  | Consoli-dated (2)
Revenues: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net premiums earned |  | $ | 13 |  |  | $ | 53 |  |  |  |  |  |  |  |  | $ | 66 |  |  | $ | 14 |  |  | $ | 15 |  |  |  |  |  |  |  |  | $ | 29 |
Commission income |  |  |  |  |  | $ | 31 |  |  |  |  |  |  | $ | 31 |  |  |  |  |  |  | $ | 25 |  |  |  |  |  |  | $ | 25 |
Program fees |  |  |  | $ | 6 |  |  |  |  |  |  |  |  | $ | 6 |  |  |  |  | $ | 4 |  |  |  |  |  |  |  |  | $ | 4 |
Net investment income (loss) |  | $ | 70 |  |  | $ | 3 |  |  | $ | — |  |  | $ | 4 |  |  |  |  | $ | 78 |  |  | $ | 63 |  |  | $ | 2 |  |  |  |  | $ | 4 |  |  |  |  | $ | 69 |
Net investment gains (losses), including impairments |  | $ | — |  |  | $ | — |  |  |  |  | $ | 5 |  |  |  |  | $ | 4 |  |  | $ | (8) |  |  | $ | — |  |  |  |  | $ | — |  |  |  |  | $ | (8) |
Net gains (losses) on derivative contracts |  | $ | 2 |  |  |  |  |  |  | $ | — |  |  |  |  | $ | 2 |  |  | $ | (3) |  |  |  |  |  |  | $ | — |  |  |  |  | $ | (3) |
Other (1) |  | $ | 21 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  |  |  | $ | 21 |  |  | $ | 4 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  |  |  | $ | 4 |
Total revenues (2) |  | $ | 107 |  |  | $ | 61 |  |  | $ | 31 |  |  | $ | 8 |  |  |  |  | $ | 207 |  |  | $ | 71 |  |  | $ | 20 |  |  | $ | 25 |  |  | $ | 4 |  |  |  |  | $ | 120 |
Expenses: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Losses and loss adjustment expenses |  | $ | (26) |  |  | $ | 42 |  |  |  |  |  |  |  |  | $ | 16 |  |  | $ | 15 |  |  | $ | 10 |  |  |  |  |  |  |  |  | $ | 25 |
Amortization of deferred acquisition costs, net |  | $ | — |  |  | $ | 10 |  |  |  |  |  |  |  |  | $ | 10 |  |  | $ | — |  |  | $ | 3 |  |  |  |  |  |  |  |  | $ | 3 |
Commission expenses |  |  |  |  |  | $ | 18 |  |  |  |  |  |  | $ | 18 |  |  |  |  |  |  | $ | 14 |  |  |  |  |  |  | $ | 14 |
General and administrative expenses (3) |  | $ | 44 |  |  | $ | 8 |  |  | $ | 6 |  |  | $ | 24 |  |  |  |  | $ | 82 |  |  | $ | 52 |  |  | $ | 8 |  |  | $ | 5 |  |  | $ | 7 |  |  |  |  | $ | 72 |
Depreciation expense (3) |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 1 |  |  |  |  | $ | 1 |  |  | $ | 1 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  |  |  | $ | 1 |
Intangible amortization |  | $ | 18 |  |  |  |  | $ | 2 |  |  |  |  |  |  | $ | 21 |  |  | $ | 11 |  |  |  |  | $ | 2 |  |  |  |  |  |  | $ | 13 |
Interest expense |  | $ | 32 |  |  |  |  |  |  |  |  |  |  | $ | 32 |  |  | $ | 32 |  |  |  |  |  |  |  |  |  |  | $ | 32 |
Total expenses (2) |  | $ | 69 |  |  | $ | 61 |  |  | $ | 26 |  |  | $ | 24 |  |  |  |  | $ | 180 |  |  | $ | 111 |  |  | $ | 21 |  |  | $ | 20 |  |  | $ | 8 |  |  |  |  | $ | 160 |
Pretax income (loss) |  | $ | 38 |  |  | $ | 1 |  |  | $ | 5 |  |  | $ | (16) |  |  |  |  | $ | 27 |  |  | $ | (40) |  |  | $ | (1) |  |  | $ | 4 |  |  | $ | (3) |  |  |  |  | $ | (40) |
(1)Other revenues include the following line item on the Consolidated Statements of Total Comprehensive Income: Income (loss) on variable interest entities and other income. (2)Inter-segment revenues and inter-segment pre-tax income (loss) amounts are insignificant and are not presented separately. (3)The Consolidated Statements of Comprehensive Income presents the sum of these items as General & Administrative Expenses.

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