Reserves for Loss and Loss Expenses (Tables)

6 Months Ended

Jun. 30, 2022

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


	June 30,
(In thousands)	2022		2021
Net reserves at beginning of period	$	12,848,362	$	11,620,393


Net provision for losses and loss expenses:
Claims occurring during the current year (1)	2,748,725		2,308,309
Increase in estimates for claims occurring in prior years (2) (3)	9,765		1,530
Loss reserve discount accretion	16,579		15,399
Total	2,775,069		2,325,238
Net payments for claims:
Current year	318,129		279,703
Prior years	1,688,843		1,485,116
Total	2,006,972		1,764,819
Foreign currency translation	(94,526)		(16,153)
Net reserves at end of period	13,521,933		12,164,659
Ceded reserves at end of period	2,623,888		2,316,288
Gross reserves at end of period	$	16,145,821	$	14,480,947

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(1) Claims occurring during the current year are net of loss reserve discounts of $15 million and $10 million for the six months ended June 30, 2022 and 2021, 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 decreased by $22 million and $16 million for the six months ended June 30, 2022 and 2021, respectively.

(3) For certain retrospectively rated insurance policies and reinsurance agreements, reserve development is offset by additional or return premiums. Favorable development, net of additional and return premiums, was $3 million and $4 million for the six months ended June 30, 2022 and 2021, respectively.