Unpaid losses and loss adjustment expenses (Tables)

12 Months Ended

Dec. 31, 2012

Schedule of liability for unpaid claims and claims adjustment expense

A reconciliation of the changes in liabilities for unpaid losses and loss adjustment expenses of our property/casualty insurance subsidiaries for each of the three years ending December 31, 2012 is as follows (in millions).

	2012			2011			2010
Unpaid losses and loss adjustment expenses:
Gross liabilities at beginning of year	$	63,819		$	60,075		$	59,416
Ceded losses and deferred charges at beginning of year		(7,092	)		(6,545	)		(6,879	)
Net balance at beginning of year		56,727			53,530			52,537
Incurred losses recorded during the year:
Current accident year		22,239			23,031			20,357
Prior accident years		(2,126	)		(2,202	)		(2,270	)
Total incurred losses		20,113			20,829			18,087
Payments during the year with respect to:
Current accident year		(9,667	)		(9,269	)		(7,666	)
Prior accident years		(10,628	)		(8,854	)		(9,191	)
Total payments		(20,295	)		(18,123	)		(16,857	)
Unpaid losses and loss adjustment expenses:
Net balance at end of year		56,545			56,236			53,767
Ceded losses and deferred charges at end of year		6,944			7,092			6,545
Foreign currency translation adjustment		186			(100	)		(312	)
Business acquisitions		485			591			75
Gross liabilities at end of year	$	64,160		$	63,819		$	60,075