Industry Segments

6 Months Ended

Jun. 30, 2013

Segment Reporting [Abstract]

Industry Segments

Business Segments

The Company’s financial results are presented for the following reportable business segments:

• Insurance-Domestic - commercial insurance business, including excess and surplus lines and admitted lines, throughout the United States;

• Insurance-International - insurance business primarily in the United Kingdom, Continental Europe, South America, Canada, Scandinavia, and Australia; and

• Reinsurance-Global - reinsurance business on a facultative and treaty basis, primarily in the United States, United Kingdom, Europe, Australia, and the Asia-Pacific Region.

During the first quarter of 2013, the Company changed the aggregation of its business segments. All domestic insurance operating companies, previously included in the Specialty, Regional and Alternative Markets segments, were aggregated into the Insurance-Domestic segment; all reinsurance operating companies were aggregated into the Reinsurance-Global segment; and all international insurance companies were aggregated into the Insurance-International segment. The segment disclosures for prior periods have been revised to be consistent with the new reportable business segment presentation. The segment disclosures for the years ended December 31, 2012, 2011 and 2010, and as of December 31, 2012 and 2011, have also been included herein, revised for the new reportable business segment presentation.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies. Income tax expense and benefits are calculated based upon the Company’s overall effective tax rate.

Summary financial information about the Company's business segments is presented in the following tables.

	Revenues
(In thousands)	Earned Premiums		Investment Income			Other		Total		Pre-Tax Income (Loss)			Net Income (Loss)
Three months ended June 30, 2013:
Insurance-Domestic	$	925,997	$	107,562		$	27,652	$	1,061,211	$	152,334		$	106,478
Insurance-International	180,192		13,171			—		193,363		12,583			9,092
Reinsurance-Global	176,326		23,036			—		199,362		24,752			17,681
Corporate and eliminations (1)	—		(32		)	84,000		83,968		(64,021		)	(38,782		)
Net investment gains	—		—			33,058		33,058		33,058			21,488
Total	$	1,282,515	$	143,737		$	144,710	$	1,570,962	$	158,706		$	115,957
Three months ended June 30, 2012:
Insurance-Domestic	$	846,734	$	120,656		$	27,036	$	994,426	$	144,640		$	103,435
Insurance-International	154,501		11,194			—		165,695		13,782			9,833
Reinsurance-Global	146,122		28,451			—		174,573		27,454			20,055
Corporate and eliminations (1)	—		949			55,818		56,767		(61,723		)	(40,335		)
Net investment gains	—		—			24,286		24,286		24,286			15,850
Total	$	1,147,357	$	161,250		$	107,140	$	1,415,747	$	148,439		$	108,838
Six months ended June 30, 2013:
Insurance-Domestic	$	1,810,375	$	205,359		$	54,388	$	2,070,122	$	293,684		$	205,886
Insurance-International	351,311		25,232			—		376,543		34,965			24,569
Reinsurance-Global	352,948		45,535			—		398,483		62,693			44,075
Corporate and eliminations (1)	—		3,540			176,016		179,556		(125,440		)	(76,426		)
Net investment gains	—		—			53,027		53,027		53,027			34,468
Total	$	2,514,634	$	279,666		$	283,431	$	3,077,731	$	318,929		$	232,572
Six months ended June 30, 2012:
Insurance-Domestic	$	1,656,803	$	232,742		$	50,913	$	1,940,458	$	292,375		$	209,315
Insurance-International	298,386		21,525			—		319,911		29,481			20,945
Reinsurance-Global	291,819		57,138			—		348,957		59,092			43,141
Corporate and eliminations (1)	—		7,464			105,885		113,349		(116,983		)	(76,177		)
Net investment gains	—		—			71,777		71,777		71,777			46,932
Total	$	2,247,008	$	318,869		$	228,575	$	2,794,452	$	335,742		$	244,156

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(1) Corporate and eliminations represent corporate revenues and expenses that are not allocated to business segments.

Identifiable assets by segment are as follows:

(In thousands)	June 30, 2013		December 31, 2012
Insurance-Domestic	$	14,849,126	$	14,661,476
Insurance-International	1,449,188		1,541,365
Reinsurance-Global	2,965,565		3,337,937
Corporate and eliminations	947,663		615,118
Total	$	20,211,542	$	20,155,896

Net premiums earned by major line of business are as follows:

	For the Three Months Ended				For the Six Months Ended
	June 30,				June 30,
(In thousands)	2013		2012		2013		2012
Insurance-Domestic
Other liability	$	307,444	$	257,781	$	603,032	$	531,345
Workers’ compensation	241,191		224,562		470,202		414,106
Short-tail lines (1)	192,938		189,390		371,687		363,292
Commercial automobile	119,900		112,532		236,022		222,899
Products liability	64,524		62,469		129,432		125,161
Total	925,997		846,734		1,810,375		1,656,803
Insurance-International
Other liability	15,070		17,745		30,288		33,279
Workers’ compensation	21,746		19,898		44,635		38,516
Short-tail lines (1)	84,301		63,831		156,424		116,309
Commercial automobile	32,392		29,606		67,031		60,274
Products liability	26,683		23,421		52,933		50,008
Total	180,192		154,501		351,311		298,386
Reinsurance-Global
Casualty	122,117		103,274		243,444		208,363
Property	54,209		42,848		109,504		83,456
Total	176,326		146,122		352,948		291,819
Total	$	1,282,515	$	1,147,357	$	2,514,634	$	2,247,008

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(1) Short-tail lines includes commercial multi-peril (non-liability), inland and ocean marine, accident and health, fidelity and surety, boiler and machinery and other lines.