Reserves For Losses And Loss Expenses (Tables)

12 Months Ended

Dec. 31, 2019

Insurance [Abstract]

Loss and loss expenses incurred, net of reinsurance, and cumulative paid claims and claim adjustment expenses, net of reinsurance

The following tables present undiscounted incurred and paid claims development as of December 31, 2019, net of reinsurance, as well as cumulative claim frequency and the total of incurred but not reported liabilities (IBNR). The information about incurred and paid claims development for the years ended December 31, 2010 to 2018 is presented as supplementary information. To enhance the comparability of the loss development data, the Company has removed the impact of foreign exchange rate movements by using the December 31, 2019 exchange rate for all periods. Beginning with accident year 2012, the Company's U.K. and European insurance business is included in the Insurance segment's tables for Other Liability, Professional Liability, Commercial Automobile and Short-Tail Lines. Prior to 2012, the actuarial analysis for its U.K. and European insurance business was performed on an underwriting year basis and accident year data is not available for those years.

Insurance

Other Liability

(In thousands)

Loss and Loss Expenses Incurred, Net of Reinsurance																					As of December 31, 2019
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		IBNR		Cumulative Number of Reported Claims
2010	$	612,467	$	616,023	$	589,921	$	588,602	$	575,528	$	572,785	$	571,637	$	569,440	$	564,873	$	561,579	$	19,742	22
2011	—		665,420		671,537		657,679		656,976		651,973		647,091		643,195		632,382		642,774		22,746		23
2012	—		—		691,803		700,539		701,144		707,326		711,287		721,460		715,996		714,020		32,727		23
2013	—		—		—		750,054		790,314		782,260		782,039		802,908		809,250		803,856		49,079		25
2014	—		—		—		—		847,034		848,641		846,644		851,044		863,899		870,017		83,500		26
2015	—		—		—		—		—		951,028		986,655		961,441		964,598		966,662		134,615		25
2016	—		—		—		—		—		—		1,018,009		1,010,984		1,019,893		1,031,150		245,835		25
2017	—		—		—		—		—		—		—		1,066,362		1,100,127		1,122,209		377,307		25
2018	—		—		—		—		—		—		—		—		1,104,631		1,131,202		606,500		23
2019	—		—		—		—		—		—		—		—		—		1,237,276		937,110		20
Total																			$	9,080,745

Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
2010	$	45,194	$	128,948	$	246,647	$	334,054	$	414,945	$	459,478	$	489,077	$	506,283	$	522,939	$	531,085
2011	—		48,830		141,192		265,071		377,769		469,004		522,369		554,152		573,236		591,990
2012	—		—		57,568		157,316		298,095		415,890		511,601		578,617		620,507		651,000
2013	—		—		—		63,293		188,240		330,928		471,648		587,102		647,891		693,306
2014	—		—		—		—		78,921		190,876		338,365		480,418		594,488		680,436
2015	—		—		—		—		—		82,712		210,773		382,185		538,071		676,037
2016	—		—		—		—		—		—		69,477		208,991		390,231		558,539
2017	—		—		—		—		—		—		—		80,037		255,849		453,389
2018	—		—		—		—		—		—		—		—		86,858		264,392
2019	—		—		—		—		—		—		—		—		—		88,260
Total																			$	5,188,434
	Reserves for loss and loss adjustment expenses before 2010, net of reinsurance																		106,200
	Reserves for loss and loss adjustment expenses, net of reinsurance																		$	3,998,511

Workers' Compensation

(In thousands)

Loss and Loss Expenses Incurred, Net of Reinsurance																					As of December 31, 2019
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		IBNR		Cumulative Number of Reported Claims
2010	$	352,138	$	355,305	$	411,527	$	420,604	$	426,622	$	429,952	$	429,762	$	427,698	$	424,374	$	424,195	$	13,552	45
2011	—		413,429		444,887		457,134		470,026		472,087		474,076		475,729		471,471		473,766		17,276		46
2012	—		—		501,681		501,810		503,956		503,863		509,167		512,707		508,169		506,730		24,736		48
2013	—		—		—		552,570		547,295		546,995		543,238		547,000		542,274		541,926		29,205		53
2014	—		—		—		—		639,436		637,307		627,767		617,242		615,435		604,029		44,633		57
2015	—		—		—		—		—		712,800		690,525		650,997		641,169		626,431		60,862		58
2016	—		—		—		—		—		—		702,716		696,339		684,700		660,508		71,710		57
2017	—		—		—		—		—		—		—		762,093		733,505		689,559		107,981		57
2018	—		—		—		—		—		—		—		—		778,964		724,463		153,587		55
2019	—		—		—		—		—		—		—		—		—		783,244		372,381		50
Total																			$	6,034,851

Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
2010	$	108,675	$	215,882	$	281,280	$	320,154	$	344,631	$	362,078	$	374,013	$	382,665	$	388,405	$	392,672
2011	—		106,899		236,207		309,509		355,909		385,759		408,304		420,945		428,811		436,905
2012	—		—		115,536		255,063		339,560		387,368		419,588		437,196		451,991		459,119
2013	—		—		—		117,900		277,538		363,028		414,160		447,894		466,580		479,104
2014	—		—		—		—		148,405		319,743		412,611		471,235		503,915		521,141
2015	—		—		—		—		—		139,320		323,744		421,734		477,541		512,933
2016	—		—		—		—		—		—		142,998		338,835		446,072		504,850
2017	—		—		—		—		—		—		—		153,456		362,299		468,817
2018	—		—		—		—		—		—		—		—		171,006		397,464
2019	—		—		—		—		—		—		—		—		—		184,715
Total																			$	4,357,720
			Reserves for loss and loss adjustment expenses before 2010, net of reinsurance																193,837
			Reserves for loss and loss adjustment expenses, net of reinsurance																$	1,870,968

Professional Liability

(In thousands)

Loss and Loss Expenses Incurred, Net of Reinsurance																					As of December 31, 2019
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		IBNR		Cumulative Number of Reported Claims
2010	$	147,632	$	165,689	$	179,344	$	177,951	$	176,653	$	172,493	$	174,796	$	177,757	$	182,717	$	182,860	$	62	4
2011	—		179,818		165,291		187,074		189,988		176,936		173,309		176,606		175,689		176,230		2,187		4
2012	—		—		238,978		242,541		265,690		251,230		239,458		245,945		244,730		245,338		7,091		5
2013	—		—		—		269,993		248,080		243,887		249,797		271,469		280,018		285,262		14,062		6
2014	—		—		—		—		253,992		247,373		260,498		244,454		239,982		258,781		26,194		6
2015	—		—		—		—		—		260,216		258,780		275,608		276,842		292,401		37,634		7
2016	—		—		—		—		—		—		311,099		325,241		361,996		402,929		56,934		8
2017	—		—		—		—		—		—		—		333,758		332,864		339,021		112,457		9
2018	—		—		—		—		—		—		—		—		335,728		322,952		168,475		9
2019	—		—		—		—		—		—		—		—		—		337,228		259,157		9
Total																			$	2,843,002

Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
2010	$	14,806	$	58,851	$	108,438	$	129,619	$	144,336	$	160,466	$	164,894	$	171,206	$	178,756	$	179,865
2011	—		18,726		62,305		102,898		134,253		150,487		158,678		166,949		168,526		170,205
2012	—		—		21,697		86,734		128,245		159,285		190,584		214,821		223,988		232,160
2013	—		—		—		23,939		63,951		119,567		177,525		207,020		249,005		258,394
2014	—		—		—		—		19,446		83,694		138,678		176,134		199,337		216,228
2015	—		—		—		—		—		20,415		85,470		139,835		187,664		216,575
2016	—		—		—		—		—		—		28,631		102,661		201,854		255,841
2017	—		—		—		—		—		—		—		36,579		96,456		163,003
2018	—		—		—		—		—		—		—		—		28,231		99,789
2019	—		—		—		—		—		—		—		—		—		31,790
Total																			$	1,823,850
	Reserves for loss and loss adjustment expenses before 2010, net of reinsurance																		15,104
	Reserves for loss and loss adjustment expenses, net of reinsurance																		$	1,034,256

Commercial Automobile

(In thousands)

Loss and Loss Expenses Incurred, Net of Reinsurance																					As of December 31, 2019
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		IBNR		Cumulative Number of Reported Claims
2010	$	310,591	$	320,098	$	330,224	$	328,901	$	332,748	$	331,615	$	330,586	$	330,297	$	329,976	$	329,768	$	144	37
2011	—		312,224		320,920		328,320		331,732		341,394		341,200		342,094		343,566		343,433		964		37
2012	—		—		314,309		326,831		342,588		355,609		364,084		364,328		366,541		365,806		807		37
2013	—		—		—		327,514		349,136		368,894		376,860		367,264		366,822		365,953		1,592		39
2014	—		—		—		—		363,913		385,251		418,161		416,123		413,589		413,424		4,385		42
2015	—		—		—		—		—		389,660		417,053		423,180		431,376		432,415		7,808		46
2016	—		—		—		—		—		—		431,261		430,911		442,210		443,268		18,162		45
2017	—		—		—		—		—		—		—		430,768		428,708		430,499		31,607		41
2018	—		—		—		—		—		—		—		—		442,788		462,756		67,700		40
2019	—		—		—		—		—		—		—		—		—		483,206		162,432		37
Total																			$	4,070,528

Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
2010	$	136,029	$	208,790	$	263,639	$	295,355	$	313,262	$	324,997	$	326,804	$	327,240	$	327,863	$	328,006
2011	—		135,350		211,756		262,685		296,370		321,814		333,987		338,325		340,360		340,799
2012	—		—		136,844		215,214		273,446		312,342		344,326		355,631		360,681		361,755
2013	—		—		—		142,929		218,596		267,253		322,441		343,556		353,424		362,152
2014	—		—		—		—		155,572		237,665		328,125		365,376		394,063		402,013
2015	—		—		—		—		—		160,024		265,083		324,976		370,037		397,666
2016	—		—		—		—		—		—		184,516		279,381		341,423		390,359
2017	—		—		—		—		—		—		—		180,755		267,587		327,135
2018	—		—		—		—		—		—		—		—		180,162		281,651
2019	—		—		—		—		—		—		—		—		—		185,344
Total																			$	3,376,880
			Reserves for loss and loss adjustment expenses before 2010, net of reinsurance																4,313
			Reserves for loss and loss adjustment expenses, net of reinsurance																$	697,961

Short-tail lines

(In thousands)

Loss and Loss Expenses Incurred, Net of Reinsurance																					As of December 31, 2019
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		IBNR		Cumulative Number of Reported Claims
2010	$	385,319	$	370,080	$	358,254	$	355,602	$	345,937	$	346,380	$	346,493	$	346,074	$	345,777	$	345,546	$	233	19
2011	—		478,520		471,678		463,253		460,030		457,182		450,325		449,529		451,410		451,064		649		21
2012	—		—		529,564		537,716		538,141		533,491		507,509		506,464		508,354		507,416		2,229		28
2013	—		—		—		576,784		586,382		577,353		553,680		552,192		548,673		546,766		3,405		30
2014	—		—		—		—		707,121		712,320		664,718		663,342		664,169		664,416		4,366		34
2015	—		—		—		—		—		743,454		731,950		728,186		726,748		718,506		10,676		37
2016	—		—		—		—		—		—		773,945		777,270		764,278		758,881		12,383		40
2017	—		—		—		—		—		—		—		753,512		753,803		748,451		18,189		46
2018	—		—		—		—		—		—		—		—		760,474		750,780		33,738		52
2019	—		—		—		—		—		—		—		—		—		726,820		168,528		42
Total																			$	6,218,646

Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
2010	$	245,037	$	325,163	$	337,688	$	346,622	$	340,066	$	342,773	$	343,899	$	344,887	$	344,908	$	344,989
2011	—		303,016		417,730		436,718		440,937		445,234		446,944		447,538		450,352		450,439
2012	—		—		281,830		454,731		504,954		515,520		498,207		499,355		503,614		504,342
2013	—		—		—		314,122		488,140		536,630		531,474		538,304		539,553		540,158
2014	—		—		—		—		372,670		599,119		613,530		632,796		648,072		655,332
2015	—		—		—		—		—		395,440		612,369		668,012		690,037		699,770
2016	—		—		—		—		—		—		417,424		671,219		712,815		728,122
2017	—		—		—		—		—		—		—		445,560		690,029		718,949
2018	—		—		—		—		—		—		—		—		415,206		662,185
2019	—		—		—		—		—		—		—		—		—		405,213
Total																			$	5,709,499
	Reserves for loss and loss adjustment expenses before 2010, net of reinsurance																		1,019
	Reserves for loss and loss adjustment expenses, net of reinsurance																		$	510,166

Reinsurance & Monoline Excess

Casualty

(In thousands)

Loss and Loss Expenses Incurred, Net of Reinsurance																					As of December 31, 2019
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		IBNR
2010	$	290,438	$	298,265	$	288,146	$	276,049	$	265,455	$	256,271	$	252,900	$	250,596	$	249,599	$	249,472	$	14,322
2011	—		290,770		309,836		304,352		299,244		307,969		304,780		296,280		292,762		299,130		16,563
2012	—		—		331,991		335,867		330,882		325,224		333,982		336,492		334,588		331,270		17,481
2013	—		—		—		319,491		270,382		275,539		285,032		293,686		299,224		303,568		25,073
2014	—		—		—		—		320,579		320,226		319,573		331,339		325,497		324,941		34,043
2015	—		—		—		—		—		259,922		232,272		230,856		252,959		293,718		43,622
2016	—		—		—		—		—		—		241,533		253,501		246,019		268,508		51,973
2017	—		—		—		—		—		—		—		232,010		221,769		239,788		85,671
2018	—		—		—		—		—		—		—		—		222,100		211,227		109,087
2019	—		—		—		—		—		—		—		—		—		237,412		196,623
Total																			$	2,759,034

Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
2010	$	17,814	$	45,338	$	76,845	$	105,912	$	128,476	$	150,665	$	166,361	$	181,857	$	191,532	$	198,822
2011	—		17,812		52,231		97,476		133,808		169,219		192,724		208,347		220,566		232,452
2012	—		—		22,329		62,037		111,538		152,590		187,196		219,637		241,318		257,010
2013	—		—		—		28,910		63,718		110,306		144,405		178,174		205,716		226,083
2014	—		—		—		—		21,280		68,992		115,873		155,207		198,196		227,684
2015	—		—		—		—		—		17,866		48,445		91,198		141,348		178,657
2016	—		—		—		—		—		—		19,895		61,787		100,262		140,411
2017	—		—		—		—		—		—		—		16,473		40,138		69,465
2018	—		—		—		—		—		—		—		—		11,092		41,018
2019	—		—		—		—		—		—		—		—		—		14,574
Total																			$	1,586,176
	Reserves for loss and loss adjustment expenses before 2010, net of reinsurance																		383,199
			Reserves for loss and loss adjustment expenses, net of reinsurance																$	1,556,057

Monoline Excess

(In thousands)

Loss and Loss Expenses Incurred, Net of Reinsurance																					As of December 31, 2019
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		IBNR
2010	$	135,639	$	123,497	$	120,272	$	118,712	$	102,424	$	104,732	$	100,065	$	94,986	$	95,374	$	99,944	$	15,731
2011	—		88,650		93,993		98,051		89,031		85,299		83,850		78,246		74,109		72,091		14,075
2012	—		—		72,366		73,230		73,670		73,653		72,441		67,878		69,361		67,205		11,249
2013	—		—		—		63,995		50,355		46,025		42,419		38,551		35,120		31,752		12,626
2014	—		—		—		—		63,561		57,558		49,478		45,758		41,671		42,541		15,347
2015	—		—		—		—		—		69,977		57,897		50,099		45,115		39,682		19,040
2016	—		—		—		—		—		—		72,657		70,281		71,404		64,957		23,676
2017	—		—		—		—		—		—		—		76,701		80,508		70,749		29,999
2018	—		—		—		—		—		—		—		—		77,820		72,505		36,930
2019	—		—		—		—		—		—		—		—		—		78,929		48,526
Total																			$	640,355

Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
2010	$	2,867	$	4,003	$	5,571	$	8,701	$	11,260	$	11,699	$	14,261	$	18,821	$	22,355	$	28,431
2011	—		2,593		4,848		6,395		14,042		15,684		18,638		20,164		21,463		23,686
2012	—		—		1,127		6,097		10,815		11,167		13,234		15,738		17,982		20,004
2013	—		—		—		647		1,897		2,158		3,008		3,396		4,418		5,349
2014	—		—		—		—		377		1,729		3,354		4,175		5,808		7,595
2015	—		—		—		—		—		2,069		2,481		3,272		4,099		4,416
2016	—		—		—		—		—		—		2,498		4,783		5,573		5,928
2017	—		—		—		—		—		—		—		6,282		12,810		15,356
2018	—		—		—		—		—		—		—		—		6,141		8,230
2019	—		—		—		—		—		—		—		—		—		6,241
Total																			$	125,236
	Reserves for loss and loss adjustment expenses before 2010, net of reinsurance																		765,323
	Reserves for loss and loss adjustment expenses, net of reinsurance																		$	1,280,442

Property

(In thousands)

Loss and Loss Expenses Incurred, Net of Reinsurance																					As of December 31, 2019
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019		IBNR
2010	$	58,367	$	55,399	$	52,306	$	51,186	$	51,230	$	50,694	$	50,571	$	50,398	$	50,630	$	50,362	$	208
2011	—		95,201		87,837		84,914		86,326		84,791		84,522		84,246		84,651		84,432		490
2012	—		—		103,833		94,661		86,330		85,334		83,814		83,822		84,746		84,555		1,032
2013	—		—		—		141,563		112,684		114,123		111,945		112,579		111,895		109,699		643
2014	—		—		—		—		113,126		96,636		97,279		100,011		99,250		98,912		1,685
2015	—		—		—		—		—		127,259		117,563		131,755		130,391		129,492		2,478
2016	—		—		—		—		—		—		168,129		174,570		181,757		181,002		4,891
2017	—		—		—		—		—		—		—		206,672		200,510		199,497		11,224
2018	—		—		—		—		—		—		—		—		108,342		112,152		19,159
2019	—		—		—		—		—		—		—		—		—		103,240		52,334
Total																			$	1,153,343

Cumulative Paid Claims and Claim Adjustment Expenses, Net of Reinsurance
For the Year Ended December 31,
	Unaudited
Accident Year	2010		2011		2012		2013		2014		2015		2016		2017		2018		2019
2010	$	23,424	$	37,483	$	42,153	$	43,634	$	44,550	$	46,141	$	48,745	$	49,001	$	49,749	$	49,690
2011	—		31,402		58,702		73,142		75,778		78,357		81,560		82,094		83,169		83,250
2012	—		—		15,663		51,641		64,098		70,524		77,412		78,971		81,673		82,541
2013	—		—		—		36,578		74,573		92,619		101,539		104,326		106,045		107,606
2014	—		—		—		—		38,803		66,869		82,172		88,317		91,452		93,160
2015	—		—		—		—		—		53,477		89,153		109,090		118,603		122,621
2016	—		—		—		—		—		—		78,936		133,576		157,491		168,605
2017	—		—		—		—		—		—		—		72,132		141,389		171,745
2018	—		—		—		—		—		—		—		—		34,004		65,193
2019	—		—		—		—		—		—		—		—		—		23,051
Total																			$	967,462
	Reserves for loss and loss adjustment expenses before 2010, net of reinsurance																		798
	Reserves for loss and loss adjustment expenses, net of reinsurance																		$	186,679

Reconciliation of net incurred and paid claims development to reserves for loss and loss adjustment expenses

The reconciliation of the net incurred and paid claims development tables to the reserves for losses and loss expenses in the consolidated balance sheet is as follows:

(In thousands)		December 31, 2019
Undiscounted reserves for loss and loss expenses, net of reinsurance:
	Other liability	$	3,998,511
	Workers' compensation	1,870,968
	Professional liability	1,034,256
	Commercial automobile	697,961
	Short-tail lines	510,166
	Other	92,495
	Insurance	8,204,357
	Casualty	1,556,057
	Monoline excess	1,280,442
	Property	186,679
	Reinsurance & Monoline Excess	3,023,178
Total undiscounted reserves for loss and loss expenses, net of reinsurance		$	11,227,535

(In thousands)		December 31, 2019
Due from reinsurers on unpaid claims:
	Other liability	$	518,759
	Workers' compensation	300,966
	Professional liability	509,828
	Commercial automobile	24,486
	Short-tail lines	243,333
	Other	46,197
	Insurance	1,643,569
	Casualty	113,332
	Monoline excess	38,384
	Property	89,966
	Reinsurance & Monoline Excess	241,682
Total due from reinsurers on unpaid claims		$	1,885,251

(In thousands)		December 31, 2019
Loss reserve discount:
	Other liability	$	—
	Workers' compensation	(10,976		)
	Professional liability	—
	Commercial automobile	—
	Short-tail lines	—
	Other	—
	Insurance	(10,976		)
	Casualty	(107,929		)
	Monoline excess	(410,632		)
	Property	—
	Reinsurance & Monoline Excess	(518,561		)
Total loss reserve discount		$	(529,537	)
Total gross reserves for loss and loss expenses		$	12,583,249

Supplementary information regarding average historical claims duration

The following is supplementary information regarding average historical claims duration as of December 31, 2019:

Insurance
Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance
Years	1		2		3		4		5		6		7		8		9		10
Other liability	7.8	%	14.4	%	18.4	%	16.6	%	14.0	%	8.6	%	5.4	%	3.4	%	2.9	%	1.5	%
Workers' compensation	23.1	%	28.7	%	15.8	%	9.3	%	6.0	%	3.7	%	2.7	%	1.7	%	1.5	%	1.0	%
Professional liability	8.7	%	21.6	%	21.3	%	15.2	%	9.9	%	8.9	%	3.5	%	2.6	%	3.8	%	0.6	%
Commercial automobile	39.3	%	21.6	%	15.5	%	10.8	%	6.8	%	3.0	%	1.4	%	0.3	%	0.2	%	—	%
Short-tail lines	58.8	%	30.9	%	5.7	%	1.8	%	0.1	%	0.5	%	0.4	%	0.4	%	—	%	—	%
Reinsurance & Monoline Excess
Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance
Years	1		2		3		4		5		6		7		8		9		10
Casualty	6.8	%	12.3	%	14.2	%	13.1	%	11.4	%	8.9	%	6.2	%	5.0	%	3.9	%	2.9	%
Monoline excess	4.5	%	3.9	%	2.8	%	3.1	%	2.3	%	3.1	%	2.7	%	3.1	%	3.3	%	6.1	%
Property	34.9	%	31.8	%	14.6	%	5.9	%	3.6	%	2.4	%	2.6	%	0.9	%	0.8	%	—	%

Reconciliation of beginning and ending reserve balance

The table below provides a reconciliation of the beginning and ending reserve balances:

(In thousands)	2019			2018			2017
Net reserves at beginning of year	$	10,248,883		$	10,056,914		$	9,590,265
Net provision for losses and loss expenses:
Claims occurring during the current year (1)	4,057,989			3,926,489			3,963,543
Increase (decrease) in estimates for claims occurring in prior years (2)	34,079			6,831			(5,165		)
Loss reserve discount accretion	39,048			41,382			43,970
Total	4,131,116			3,974,702			4,002,348
Net payments for claims:
Current year	985,599			964,808			1,027,405
Prior year	2,673,803			2,700,077			2,562,550
Total	3,659,402			3,664,885			3,589,955
Foreign currency translation	(22,599		)	(117,848		)	54,256
Net reserves at end of year	10,697,998			10,248,883			10,056,914
Ceded reserve at end of year	1,885,251			1,717,565			1,613,494
Gross reserves at end of year	$	12,583,249		$	11,966,448		$	11,670,408
Net change in premiums and losses occurring in prior years:
(Increase) decrease in estimates for claims occurring in prior years (2)	$	(34,079	)	$	(6,831	)	$	5,165
Retrospective premium adjustments for claims occurring in prior years (3)	53,511			45,638			32,162
Net favorable premium and reserve development on prior years	$	19,432		$	38,807		$	37,327

_______________________________________

(1) Claims occurring during the current year are net of loss reserve discounts of $20 million, $24 million and $22 million in 2019, 2018, and 2017, respectively.

(2)

The change in estimates for claims occurring in prior years is net of loss reserve discount. On an undiscounted basis, the estimates for claims occurring in prior years increased by $19 million in 2019, and decreased $4 million and $32 million in 2018 and 2017, respectively.