10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark one)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended March 31, 2023

or

☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.

For the Transition Period from                      to                     .

Commission File Number 1-15202

W. R. BERKLEY CORPORATION

(Exact name of registrant as specified in its charter)

Delaware			22-1867895
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)
475 Steamboat Road	Greenwich	Connecticut	06830
(Address of principal executive offices)			(Zip Code)

(203) 629-3000

(Registrant’s telephone number, including area code)

	None
Former name, former address and former fiscal year, if changed since last report.

Securities registered pursuant to Section 12(b) of the Act:

Title	Trading Symbol	Name
Common Stock, par value $.20 per share	WRB	New York Stock Exchange
5.700% Subordinated Debentures due 2058	WRB-PE	New York Stock Exchange
5.100% Subordinated Debentures due 2059	WRB-PF	New York Stock Exchange
4.250% Subordinated Debentures due 2060	WRB-PG	New York Stock Exchange
4.125% Subordinated Debentures due 2061	WRB-PH	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒     No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒     No ☐

1

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐    No ☒

Number of shares of common stock, $.20 par value, outstanding as of April 27, 2023: 260,774,686

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TABLE OF CONTENTS

Part I — FINANCIAL INFORMATION
	Item 1. Financial Statements
	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
	Item 3. Quantitative and Qualitative Disclosure About Market Risk
	Item 4. Controls and Procedures
PART II — OTHER INFORMATION
	Item 1. Legal Proceedings
	Item 1A. Risk Factors
	Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
	Item 6. Exhibits
SIGNATURES
EX-31.1
EX-31.2
EX-32.1
EX-101 INSTANCE DOCUMENT
EX-101 SCHEMA DOCUMENT
EX-101 CALCULATION LINKBASE DOCUMENT
EX-101 LABELS LINKBASE DOCUMENT
EX-101 PRESENTATION LINKBASE DOCUMENT
EX-101 DEFINITION LINKBASE DOCUMENT

3

Part I — FINANCIAL INFORMATION

Item 1.     Financial Statements

W. R. BERKLEY CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

(In thousands, except share data)

	March 31, 2023		December 31, 2022
	(Unaudited)		(Audited)
Assets
Investments:
Fixed maturity securities (amortized cost of $18,988,459 and $18,715,483; allowance for expected credit losses of $37,249 and $37,466 at March 31, 2023 and December 31, 2022, respectively)	$	18,091,113	$	17,587,349
Investment funds	1,601,567		1,608,548
Real estate	1,338,504		1,340,622
Equity securities	1,279,955		1,185,894
Arbitrage trading account	609,001		944,230
Loans receivable (net of allowance for expected credit losses of $1,609 and $1,791 at March 31, 2023 and December 31, 2022, respectively)	194,944		193,002
Total investments	23,115,084		22,859,645
Cash and cash equivalents	1,242,357		1,449,346
Premiums and fees receivable (net of allowance for expected credit losses of $32,353 and $30,660 at March 31, 2023 and December 31, 2022, respectively)	2,814,504		2,779,244
Due from reinsurers (net of allowance for expected credit losses of $8,703 and $8,064 at March 31, 2023 and December 31, 2022, respectively)	3,282,288		3,187,730
Deferred policy acquisition costs	786,502		763,486
Prepaid reinsurance premiums	701,295		696,468
Trading account receivables from brokers and clearing organizations	583,970		233,863
Property, furniture and equipment	421,102		423,232
Goodwill	185,509		185,509
Accrued investment income	181,342		166,784
Current and deferred federal and foreign income taxes	205,291		333,774
Other assets	776,820		736,022
Total assets	$	34,296,064	$	33,815,103
Liabilities and Equity
Liabilities:
Reserves for losses and loss expenses	$	17,431,635	$	17,011,223
Unearned premiums	5,385,886		5,297,654
Due to reinsurers	539,333		523,131
Other liabilities	1,137,055		1,377,740
Senior notes and other debt	1,827,981		1,828,823
Subordinated debentures	1,008,551		1,008,371
Total liabilities	27,330,441		27,046,942
Equity:
Preferred stock, par value $0.10 per share:
Authorized 5,000,000 shares; issued and outstanding - none	—		—
Common stock, par value $0.20 per share:
Authorized 1,250,000,000 shares; issued and outstanding, net of treasury shares, 262,536,530 and 264,546,100 shares, respectively	105,803		105,803
Additional paid-in capital	1,008,128		997,534
Retained earnings	10,296,539		10,161,005
Accumulated other comprehensive loss	(1,078,917)		(1,264,581)
Treasury stock, at cost, 266,478,098 and 264,468,528 shares, respectively	(3,387,538)		(3,251,429)
Total stockholders’ equity	6,944,015		6,748,332
Noncontrolling interests	21,608		19,829
Total equity	6,965,623		6,768,161
Total liabilities and equity	$	34,296,064	$	33,815,103

See accompanying notes to interim consolidated financial statements.

1

W. R. BERKLEY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

(In thousands, except per share data)

	For the Three Months Ended March 31,
	2023		2022
REVENUES:
Net premiums written	$	2,574,824	$	2,413,254
Change in net unearned premiums	(83,392)		(164,167)
Net premiums earned	2,491,432		2,249,087
Net investment income	223,398		173,512
Net investment gains:
Net realized and unrealized gains on investments	22,611		369,882
Change in allowance for expected credit losses on investments	399		(3,617)
Net investment gains	23,010		366,265
Revenues from non-insurance businesses	124,200		97,776
Insurance service fees	32,857		27,951
Other income	107		818
Total revenues	2,895,004		2,915,409
OPERATING COSTS AND EXPENSES:
Losses and loss expenses	1,538,755		1,339,252
Other operating costs and expenses	825,575		713,899
Expenses from non-insurance businesses	122,767		94,855
Interest expense	31,836		34,970
Total operating costs and expenses	2,518,933		2,182,976
Income before income taxes	376,071		732,433
Income tax expense	(80,342)		(139,403)
Net income before noncontrolling interests	295,729		593,030
Noncontrolling interests	(1,603)		(2,392)
Net income to common stockholders	$	294,126	$	590,638
NET INCOME PER SHARE:
Basic	$	1.07	$	2.13
Diluted	$	1.06	$	2.12

See accompanying notes to interim consolidated financial statements.

2

W. R. BERKLEY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

(In thousands)

	For the Three Months Ended March 31,
	2023		2022
Net income before noncontrolling interests	$	295,729	$	593,030
Other comprehensive income (loss):
Change in unrealized currency translation adjustments	4,866		56,272
Change in unrealized investment gains (losses), net of taxes	180,799		(423,545)
Other comprehensive income (loss)	185,665		(367,273)
Comprehensive income	481,394		225,757
Noncontrolling interests	(1,602)		(2,391)
Comprehensive income to common stockholders	$	479,792	$	223,366

See accompanying notes to interim consolidated financial statements.

3

W. R. BERKLEY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (UNAUDITED)

(In thousands, except per share data)

	For the Three Months Ended March 31,
	2023		2022
COMMON STOCK:
Beginning and end of period	$	105,803	$	105,803
ADDITIONAL PAID-IN CAPITAL:
Beginning of period	$	997,534	$	981,104
Restricted stock units issued	(1,200)		(530)
Restricted stock units expensed	11,794		11,438
End of period	$	1,008,128	$	992,012
RETAINED EARNINGS:
Beginning of period	$	10,161,005	$	9,015,135
Net income to common stockholders	294,126		590,638
Dividends ($0.60 and $0.09 per share, respectively)	(158,592)		(22,983)
End of period	$	10,296,539	$	9,582,790
ACCUMULATED OTHER COMPREHENSIVE LOSS:
Unrealized investment (loss) gain:
Beginning of period	$	(892,905)	$	90,900
Change in unrealized gains (losses) on securities without an allowance for expected credit losses	177,342		(423,839)
Change in unrealized gains on securities with an allowance for expected credit losses	3,456		293
End of period	(712,107)		(332,646)
Currency translation adjustments:
Beginning of period	(371,676)		(372,855)
Net change in period	4,866		56,272
End of period	(366,810)		(316,583)
Total accumulated other comprehensive loss	$	(1,078,917)	$	(649,229)
TREASURY STOCK:
Beginning of period	$	(3,251,429)	$	(3,167,076)
Stock exercised/vested	395		203
Stock repurchased	(135,152)		—
Other	(1,352)		—
End of period	$	(3,387,538)	$	(3,166,873)
NONCONTROLLING INTERESTS:
Beginning of period	$	19,829	$	14,719
Contributions	177		6,186
Net income	1,603		2,392
Other comprehensive loss, net of tax	(1)		(1)
End of period	$	21,608	$	23,296

See accompanying notes to interim consolidated financial statements.

4

W. R. BERKLEY CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

(In thousands)

	For the Three Months Ended March 31,
	2023		2022
CASH FROM OPERATING ACTIVITIES:
Net income to common stockholders	$	294,126	$	590,638
Adjustments to reconcile net income to net cash from operating activities:
Net investment gains	(23,010)		(366,265)
Depreciation and amortization	9,737		24,631
Noncontrolling interests	1,603		2,392
Investment funds	(2,180)		(52,012)
Stock incentive plans	11,793		11,438
Change in:
Arbitrage trading account	(14,879)		(7,215)
Premiums and fees receivable	(33,460)		(69,704)
Reinsurance accounts	(84,746)		(2,643)
Deferred policy acquisition costs	(23,727)		(39,220)
Income taxes	76,933		123,763
Reserves for losses and loss expenses	424,149		316,065
Unearned premiums	87,991		167,522
Other	(279,007)		(221,708)
Net cash from operating activities	445,323		477,682
CASH (USED IN) FROM INVESTING ACTIVITIES:
Proceeds from sale of fixed maturity securities	429,400		408,221
Proceeds from sale of equity securities	9,933		9,227
Distributions from (contributions to) investment funds	7,518		(13,423)
Proceeds from maturities and prepayments of fixed maturity securities	956,308		1,440,457
Purchase of fixed maturity securities	(1,686,107)		(2,200,214)
Purchase of equity securities	(59,529)		(100,356)
Real estate sold	7,472		28,141
Change in loans receivable	612		332
Net purchases of property, furniture and equipment	(11,532)		(9,114)
Change in balances due to security brokers	(13,598)		98,058
Cash received in connection with business disposition	—		906,789
Payment for business purchased net of cash acquired	—		(49,572)
Other	93		17
Net cash (used in) from investing activities	(359,430)		518,563
CASH USED IN FINANCING ACTIVITIES:
Repayment of senior notes and other debt	—		(426,503)
Net payments for stock options exercised	(806)		(327)
Net proceeds from issuance of debt	(868)		1,186
Cash dividends to common stockholders	(158,592)		(22,983)
Purchase of common treasury shares	(135,152)		—
Other, net	(308)		(2,703)
Net cash used in financing activities	(295,726)		(451,330)
Net impact on cash due to change in foreign exchange rates	2,844		1,083
Net change in cash and cash equivalents	(206,989)		545,998
Cash and cash equivalents at beginning of period	1,449,346		1,568,843
Cash and cash equivalents at end of period	$	1,242,357	$	2,114,841

See accompanying notes to interim consolidated financial statements.

5

W. R. Berkley Corporation and Subsidiaries

NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

(1) General

    The unaudited consolidated financial statements, which include the accounts of W. R. Berkley Corporation and its subsidiaries (the “Company”), have been prepared on the basis of U.S. generally accepted accounting principles (“GAAP”) for interim financial information. Accordingly, they do not include all the information and notes required by GAAP for annual financial statements. The unaudited consolidated financial statements reflect all adjustments, consisting only of normal recurring items, which are necessary to present fairly the Company’s financial position and results of operations on a basis consistent with the prior audited consolidated financial statements. Operating results for interim periods are not necessarily indicative of the results that may be expected for the year. All significant intercompany accounts and transactions have been eliminated. For the quarter ended March 31, 2022, the Company did not correct the proceeds from sale of fixed maturity securities and purchase of fixed maturity securities lines within the consolidated statements of cash flows for an incremental inter-company elimination as the effects were not material and had no impact on the total amount of investing activities.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the revenues and expenses reflected during the reporting period. For further information related to areas of judgment and estimates and other information necessary to understand the Company’s financial position and results of operations, refer to the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022.

The income tax provision has been computed based on the Company’s estimated annual effective tax rate. The effective income tax rate differs from the federal income tax rate of 21% primarily due to state and foreign income taxes, which was partially offset by tax-exempt investment income.

(2) Per Share Data

    The Company presents both basic and diluted net income per share (“EPS”) amounts. Basic EPS is calculated by dividing net income by the weighted average number of common shares outstanding during the period (including 11,416,856 and 11,592,699 common shares held in a grantor trust as of March 31, 2023 and 2022, respectively). The common shares held in the grantor trust are for delivery upon settlement of vested but mandatorily deferred restricted stock units ("RSUs"). Shares held by the grantor trust do not affect diluted shares outstanding since the shares deliverable under vested RSUs were already included in diluted shares outstanding. Diluted EPS is based upon the weighted average number of basic and common equivalent shares outstanding during the period and is calculated using the treasury stock method for stock incentive plans. Common equivalent shares are excluded from the computation in periods in which they have an anti-dilutive effect.

    The weighted average number of common shares used in the computation of basic and diluted earnings per share was as follows:

	For the Three Months Ended March 31,
(In thousands)	2023	2022
Basic	274,977	276,772
Diluted	277,339	279,157

(3) Recent Accounting Pronouncements and Accounting Policies

Recently adopted accounting pronouncements:

    All accounting and reporting standards that became effective in 2023 were either not applicable to the Company or their adoption did not have a material impact on the Company.

Accounting and reporting standards that are not yet effective:

    All recently issued but not yet effective accounting and reporting standards are either not applicable to the Company or are not expected to have a material impact on the Company.

6

(4) Consolidated Statements of Comprehensive Income

    The following table presents the components of the changes in accumulated other comprehensive income ("AOCI"):

(In thousands)	Unrealized Investment (Losses) Gains			Currency Translation Adjustments		Accumulated Other Comprehensive (Loss) Income
As of and for the three months ended March 31, 2023
Changes in AOCI
Beginning of period	$	(892,905)		$	(371,676)	$	(1,264,581)
Other comprehensive income before reclassifications	155,215			4,866		160,081
Amounts reclassified from AOCI	25,584			—		25,584
Other comprehensive income	180,799			4,866		185,665
Unrealized investment loss related to noncontrolling interest	(1)			—		(1)
End of period	$	(712,107)		$	(366,810)	$	(1,078,917)
Amounts reclassified from AOCI
Pre-tax	$	32,385	(1)	$	—	$	32,385
Tax effect	(6,801)		(2)	—		(6,801)
After-tax amounts reclassified	$	25,584		$	—	$	25,584
Other comprehensive income
Pre-tax	$	232,021		$	4,866	$	236,887
Tax effect	(51,222)			—		(51,222)
Other comprehensive income	$	180,799		$	4,866	$	185,665
As of and for the three months ended March 31, 2022
Changes in AOCI
Beginning of period	$	90,900		$	(372,855)	$	(281,955)
Other comprehensive (loss) income before reclassifications	(433,136)			56,272		(376,864)
Amounts reclassified from AOCI	9,591			—		9,591
Other comprehensive (loss) income	(423,545)			56,272		(367,273)
Unrealized investment loss related to noncontrolling interest	(1)			—		(1)
Ending balance	$	(332,646)		$	(316,583)	$	(649,229)
Amounts reclassified from AOCI
Pre-tax	$	12,141	(1)	$	—	$	12,141
Tax effect	(2,550)		(2)	—		(2,550)
After-tax amounts reclassified	$	9,591		$	—	$	9,591
Other comprehensive (loss) income
Pre-tax	$	(539,449)		$	56,272	$	(483,177)
Tax effect	115,904			—		115,904
Other comprehensive (loss) income	$	(423,545)		$	56,272	$	(367,273)

____________

(1) Net investment gains in the consolidated statements of income.

(2) Income tax expense in the consolidated statements of income.

(5) Statements of Cash Flows

    Interest payments were $41,150,000 and $52,899,000 for the three months ended March 31, 2023 and 2022, respectively. There were no income taxes paid for the three months ended March 31, 2023 and 2022, respectively.

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(6) Investments in Fixed Maturity Securities

    At March 31, 2023 and December 31, 2022, investments in fixed maturity securities were as follows:

(In thousands)	Amortized Cost		Allowance for Expected Credit Losses (1)		Gross Unrealized				Fair Value		Carrying Value
					Gains		Losses
March 31, 2023
Held to maturity:
State and municipal	$	48,474	$	(107)	$	3,902	$	—	$	52,269	$	48,367
Residential mortgage-backed	3,399		—		53		—		3,452		3,399
Total held to maturity	51,873		(107)		3,955		—		55,721		51,766
Available for sale:
U.S. government and government agency	1,100,204		—		3,728		(54,665)		1,049,267		1,049,267
State and municipal:
Special revenue	1,759,098		—		5,429		(90,044)		1,674,483		1,674,483
State general obligation	386,952		—		4,090		(16,577)		374,465		374,465
Pre-refunded	105,812		—		3,351		(248)		108,915		108,915
Corporate backed	204,773		—		491		(8,447)		196,817		196,817
Local general obligation	442,571		—		4,212		(12,104)		434,679		434,679
Total state and municipal	2,899,206		—		17,573		(127,420)		2,789,359		2,789,359
Mortgage-backed:
Residential	1,464,856		(23)		2,298		(153,147)		1,313,984		1,313,984
Commercial	595,818		—		1,220		(13,293)		583,745		583,745
Total mortgage-backed	2,060,674		(23)		3,518		(166,440)		1,897,729		1,897,729
Asset-backed	3,960,140		—		3,166		(117,853)		3,845,453		3,845,453
Corporate:
Industrial	3,563,744		(66)		9,599		(187,833)		3,385,444		3,385,444
Financial	2,737,880		(3,729)		7,421		(115,268)		2,626,304		2,626,304
Utilities	650,151		—		5,117		(27,941)		627,327		627,327
Other	495,850		—		122		(9,398)		486,574		486,574
Total corporate	7,447,625		(3,795)		22,259		(340,440)		7,125,649		7,125,649
Foreign government	1,468,737		(33,324)		6,312		(109,835)		1,331,890		1,331,890
Total available for sale	18,936,586		(37,142)		56,556		(916,653)		18,039,347		18,039,347
Total investments in fixed maturity securities	$	18,988,459	$	(37,249)	$	60,511	$	(916,653)	$	18,095,068	$	18,091,113

____________

(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.

8

(In thousands)	Amortized Cost		Allowance for Expected Credit Losses (1)		Gross Unrealized				Fair Value		Carrying Value
					Gains		Losses
December 31, 2022
Held to maturity:
State and municipal	$	47,802	$	(114)	$	4,239	$	—	$	51,927	$	47,688
Residential mortgage-backed	3,608		—		38		—		3,646		3,608
Total held to maturity	51,410		(114)		4,277		—		55,573		51,296
Available for sale:
U.S. government and government agency	960,479		—		937		(69,158)		892,258		892,258
State and municipal:
Special revenue	1,837,309		—		3,662		(119,474)		1,721,497		1,721,497
State general obligation	387,709		—		2,651		(21,335)		369,025		369,025
Pre-refunded	156,106		—		2,741		(7)		158,840		158,840
Corporate backed	210,228		—		334		(10,923)		199,639		199,639
Local general obligation	454,983		—		2,967		(16,853)		441,097		441,097
Total state and municipal	3,046,335		—		12,355		(168,592)		2,890,098		2,890,098
Mortgage-backed:
Residential	1,308,019		(18)		395		(171,595)		1,136,801		1,136,801
Commercial	547,757		—		215		(19,363)		528,609		528,609
Total mortgage-backed securities	1,855,776		(18)		610		(190,958)		1,665,410		1,665,428
Asset-backed	4,132,365		—		2,730		(152,322)		3,982,773		3,982,773
Corporate:
Industrial	3,491,645		(1,704)		4,439		(241,381)		3,252,999		3,252,999
Financial	2,585,247		(2,997)		5,505		(117,383)		2,470,372		2,470,372
Utilities	586,066		—		1,307		(36,325)		551,048		551,048
Other	441,230		—		—		(11,657)		429,573		429,573
Total corporate	7,104,188		(4,701)		11,251		(406,746)		6,703,992		6,703,992
Foreign government	1,564,930		(32,633)		4,283		(135,058)		1,401,522		1,401,522
Total available for sale	18,664,073		(37,352)		32,166		(1,122,834)		17,536,053		17,536,053
Total investments in fixed maturity securities	$	18,715,483	$	(37,466)	$	36,443	$	(1,122,834)	$	17,591,626	$	17,587,349

____________

(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.

The following table presents the rollforward of the allowance for expected credit losses for held to maturity securities for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	114	$	387
Provision for expected credit losses	(7)		(9)
Allowance for expected credit losses, end of period	$	107	$	378

9

The following table presents the rollforward of the allowance for expected credit losses for available for sale securities for the three months ended March 31, 2023 and 2022:

	2023								2022
(In thousands)	Foreign Government		Corporate		Mortgage-backed		Total		Foreign Government		Corporate		Total
Allowance for expected credit losses, beginning of period	$	32,633	$	4,701	$	18	$	37,352	$	22,222	$	16	$	22,238
Expected credit losses on securities for which credit losses were not previously recorded	—		186		—		186		484		—		484
Expected credit losses (gains) on securities for which credit losses were previously recorded	691		(1,087)		5		(391)		3,447		(16)		3,431
Reduction due to disposals	—		(5)		—		(5)		—		—		—
Allowance for expected credit losses, end of period	$	33,324	$	3,795	$	23	$	37,142	$	26,153	$	—	$	26,153

During the three months ended March 31, 2023, the Company decreased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model due to a decrease in unrealized losses primarily associated with corporate securities offset by foreign government securities. During the three months ended March 31, 2022, the Company increased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model, primarily due to foreign government securities.

The amortized cost and fair value of fixed maturity securities at March 31, 2023, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations.  

(In thousands)	Amortized Cost (1)		Fair Value
Due in one year or less	$	1,568,436	$	1,528,990
Due after one year through five years	8,864,666		8,503,127
Due after five years through ten years	4,287,881		4,084,883
Due after ten years	2,203,296		2,076,887
Mortgage-backed securities	2,064,073		1,901,181
Total	$	18,988,352	$	18,095,068

________________

(1) Amortized cost is reduced by the allowance for expected credit losses of $107 thousand related to held to maturity securities.    

At March 31, 2023 and December 31, 2022, there were no investments that exceeded 10% of common stockholders' equity, other than investments in United States government and government agency securities.

10

(7) Investments in Equity Securities

    At March 31, 2023 and December 31, 2022, investments in equity securities were as follows:

(In thousands)	Cost		Gross Unrealized				Fair Value		Carrying Value
			Gains		Losses
March 31, 2023
Common stocks	$	883,234	$	227,947	$	(53,582)	$	1,057,599	$	1,057,599
Preferred stocks	282,750		1,526		(61,920)		222,356		222,356
Total	$	1,165,984	$	229,473	$	(115,502)	$	1,279,955	$	1,279,955
December 31, 2022
Common stocks	$	855,987	$	192,165	$	(65,401)	$	982,751	$	982,751
Preferred stocks	259,341		1,053		(57,251)		203,143		203,143
Total	$	1,115,328	$	193,218	$	(122,652)	$	1,185,894	$	1,185,894

(8) Arbitrage Trading Account

    At March 31, 2023 and December 31, 2022, the fair and carrying values of the arbitrage trading account were $609 million and $944 million, respectively. The primary focus of the trading account is merger arbitrage. Merger arbitrage is the business of investing in the securities of publicly held companies which are the targets in announced tender offers and mergers. Arbitrage investing differs from other types of investing in its focus on transactions and events believed likely to bring about a change in value over a relatively short time period (usually four months or less).

    The Company uses put options and call options in order to mitigate the impact of potential changes in market conditions on the merger arbitrage trading account. These options are reported at fair value. As of March 31, 2023, the fair value of long option contracts outstanding was $5 thousand (notional amount of $2 million). Other than with respect to the use of these trading account securities, the Company does not make use of derivatives.

(9) Net Investment Income

    Net investment income consisted of the following: 

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Investment income (loss) earned on:
Fixed maturity securities, including cash and cash equivalents and loans receivable	$	195,642	$	101,284
Arbitrage trading account	18,256		9,187
Equity securities	13,746		10,856
Investment funds	2,180		52,012
Real estate	(3,711)		2,146
Gross investment income	226,113		175,485
Investment expense	(2,715)		(1,973)
Net investment income	$	223,398	$	173,512

11

(10) Investment Funds

    The Company evaluates whether it is an investor in a variable interest entity ("VIE"). Such entities do not have sufficient equity at risk to finance their activities without additional subordinated financial support, or the equity investors, as a group, do not have the characteristics of a controlling financial interest (primary beneficiary). The Company determines whether it is the primary beneficiary of an entity subject to consolidation based on a qualitative assessment of the VIE's capital structure, contractual terms, nature of the VIE's operations and purpose, and the Company's relative exposure to the related risks of the VIE on the date it becomes initially involved in the VIE and on an ongoing basis. The Company is not the primary beneficiary in any of its investment funds, and accordingly, carries its interests in investment funds under the equity method of accounting.    

    The Company’s maximum exposure to loss with respect to these investments is limited to the carrying amount reported on the Company’s consolidated balance sheet and its unfunded commitments, which were $408 million as of March 31, 2023.

    Investment funds consisted of the following:

	Carrying Value as of				Income (Loss) from Investment Funds
	March 31,		December 31,		For the Three Months Ended March 31,
(In thousands)	2023		2022		2023		2022
Financial services	$	444,645	$	465,683	$	(13,047)	$	25,932
Transportation	336,808		336,753		11,788		11,179
Real Estate	216,871		204,644		956		16,364
Infrastructure	119,042		115,428		3,355		841
Energy	117,461		116,432		3,439		(892)
Other funds	366,740		369,608		(4,311)		(1,412)
Total	$	1,601,567	$	1,608,548	$	2,180	$	52,012

    The Company's share of the earnings or losses from investment funds is generally reported on a one-quarter lag in order to facilitate the timely completion of the Company's consolidated financial statements.

Financial services investment funds include the minority investment in Lifson Re, a Bermuda reinsurance company. Effective January 1, 2021, Lifson Re participated on a fully collateralized basis in a majority of the Company’s reinsurance placements for a 22.5% share of placed amounts. The percentage increased from 22.5% to 30.0% effective July 1, 2022. This pertains to all traditional reinsurance/retrocessional placements for both property and casualty business where there is more than one open market reinsurer participating. For the three months ended March 31, 2023 and 2022, the Company ceded approximately $107 million and $89 million, respectively, of written premiums to Lifson Re.

Other funds include deferred compensation trust assets of $34 million and $30 million as of March 31, 2023 and December 31, 2022, respectively. These assets support other liabilities reflected in the balance sheet of an equal amount for employees who have elected to defer a portion of their compensation. The change in the net asset value of the trust is recorded in other funds within net investment income with an offsetting equal amount within corporate expenses.

(11) Real Estate

    Investment in real estate represents directly owned property held for investment, as follows:

	Carrying Value
	March 31,		December 31,
(In thousands)	2023		2022
Properties in operation	$	1,111,713	$	1,114,167
Properties under development	226,791		226,455
Total	$	1,338,504	$	1,340,622

    As of March 31, 2023, properties in operation included a long-term ground lease in Washington, D.C., an office complex in New York City and the completed portion of a mixed-use project in Washington D.C. Properties in operation are net of accumulated depreciation and amortization of $30,180,000 and $33,206,000 as of March 31, 2023 and December 31, 2022, respectively. Related depreciation expense was $2,281,000 and $4,788,000 for the three months ended March 31, 2023

12

and 2022, respectively. Future minimum rental income expected on operating leases relating to properties in operation is $24,345,984 in 2023, $34,786,393 in 2024, $32,070,092 in 2025, $29,483,276 in 2026, $28,567,112 in 2027, $28,906,220 in 2028 and $482,081,845 thereafter.

During the first quarter of 2022, the Company sold a real estate investment in London (proceeds from the real estate and related entity is presented on the business disposition line within the consolidated statements of cash flows).

    A mixed-use project in Washington, D.C. had been under development in 2023 and 2022, with the completed portion reported in properties in operation as of March 31, 2023.

(12) Loans Receivable

At March 31, 2023 and December 31, 2022, loans receivable were as follows:

(In thousands)	March 31, 2023		December 31, 2022
Amortized cost (net of allowance for expected credit losses):
Real estate loans	$	175,745	$	173,616
Commercial loans	19,199		19,386
Total	$	194,944	$	193,002
Fair value:
Real estate loans	$	168,256	$	168,595
Commercial loans	19,199		19,386
Total	$	187,455	$	187,981

The real estate loans are secured by commercial and residential real estate primarily located in London and New York. These loans generally earn interest at fixed or stepped interest rates and have maturities through 2026. The commercial loans are with small business owners who have secured the related financing with the assets of the business. Commercial loans primarily earn interest on a fixed basis and have varying maturities generally not exceeding 10 years.

Loans receivable in non-accrual status were none as of both March 31, 2023 and December 31, 2022, respectively.

The following table presents the rollforward of the allowance for expected credit losses for loans receivable for the three months ended March 31, 2023 and 2022:

	2023						2022
(In thousands)	Real Estate Loans		Commercial Loans		Total		Real Estate Loans		Commercial Loans		Total
Allowance for expected credit losses, beginning of period	$	1,100	$	691	$	1,791	$	1,362	$	356	$	1,718
Change in expected credit losses	(61)		(121)		(182)		(67)		(222)		(289)
Allowance for expected credit losses, end of period	$	1,039	$	570	$	1,609	$	1,295	$	134	$	1,429

During the three months ended March 31, 2023, the Company decreased the allowance primarily due to a decrease in the weighted average life of the loans receivable portfolio. During the three months ended March 31, 2022, the Company reduced the allowance primarily due to the decrease in the duration of the loan portfolio.

The Company monitors the performance of its loans receivable and assesses the ability of the borrower to pay principal and interest based upon loan structure, underlying property values, cash flow and related financial and operating performance of the property and market conditions.

    In evaluating the real estate loans, the Company considers their credit quality indicators, including loan to value ratios, which compare the outstanding loan amount to the estimated value of the property, the borrower’s financial condition and performance with respect to loan terms, the position in the capital structure, the overall leverage in the capital structure and other market conditions.

13

(13) Net Investment Gains

     Net investment gains (losses) were as follows:

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Net investment gains (losses):
Fixed maturity securities:
Gains	$	943	$	1,705
Losses	(18,130)		(2,984)
Equity securities (1):
Net realized gains on investment sales	1,060		905
Change in unrealized gains	43,404		93,213
Investment funds	10		(2,162)
Real estate (2)	10,739		286,192
Loans receivable	—		(32)
Other	(15,415)		(6,955)
Net realized and unrealized gains on investments in earnings before allowance for expected credit losses	22,611		369,882
Change in allowance for expected credit losses on investments:
Fixed maturity securities	217		(3,906)
Loans receivable	182		289
Change in allowance for expected credit losses on investments	399		(3,617)
Net investment gains	23,010		366,265
Income tax expense	(4,850)		(78,442)
After-tax net investment gains	$	18,160	$	287,823

Change in unrealized investment gains (losses) on available for sale securities:
Fixed maturity securities without allowance for expected credit losses	$	227,116	$	(540,263)
Fixed maturity securities with allowance for expected credit losses	3,456		293
Investment funds	1,936		469
Other	(487)		52
Total change in unrealized investment gains (losses)	232,021		(539,449)
Income tax (expense) benefit	(51,222)		115,904
Noncontrolling interests	(1)		(1)
After-tax change in unrealized investment gains (losses) of available for sale securities	$	180,798	$	(423,546)

______________________

(1) The net realized gains or losses on investment sales represent the total gains or losses from the purchase dates of the equity securities. The change in unrealized (losses) gains consists of two components: (i) the reversal of the gain or loss recognized in previous periods on equity securities sold and (ii) the change in unrealized gain or loss resulting from mark-to-market adjustments on equity securities still held.

(2) During March 2022, the Company realized a gain on the sale of a real estate investment in London, U.K. of $251 million, net of transaction expenses and the foreign currency impact, including the reversal of the currency translation adjustment.

14

(14) Fixed Maturity Securities in an Unrealized Loss Position

    The following tables summarize all fixed maturity securities in an unrealized loss position at March 31, 2023 and December 31, 2022 by the length of time those securities have been continuously in an unrealized loss position:

	Less Than 12 Months				12 Months or Greater				Total
(In thousands)	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
March 31, 2023
U.S. government and government agency	$	213,369	$	4,312	$	527,765	$	50,353	$	741,134	$	54,665
State and municipal	1,070,807		30,908		1,008,985		96,512		2,079,792		127,420
Mortgage-backed	765,967		17,720		866,618		148,720		1,632,585		166,440
Asset-backed	916,431		13,102		2,490,520		104,751		3,406,951		117,853
Corporate	2,694,062		75,595		3,175,233		264,845		5,869,295		340,440
Foreign government	239,947		26,248		786,359		83,587		1,026,306		109,835
Fixed maturity securities	$	5,900,583	$	167,885	$	8,855,480	$	748,768	$	14,756,063	$	916,653
December 31, 2022
U.S. government and government agency	$	285,391	$	10,219	$	453,520	$	58,939	$	738,911	$	69,158
State and municipal	1,720,443		89,272		598,797		79,320		2,319,240		168,592
Mortgage-backed	1,099,549		75,430		473,318		115,528		1,572,867		190,958
Asset-backed	1,569,647		48,390		2,176,638		103,932		3,746,285		152,322
Corporate	3,690,856		150,115		2,349,281		256,631		6,040,137		406,746
Foreign government	477,672		29,815		711,786		105,243		1,189,458		135,058
Fixed maturity securities	$	8,843,558	$	403,241	$	6,763,340	$	719,593	$	15,606,898	$	1,122,834

    Substantially all of the securities in an unrealized loss position are rated investment grade, except for the securities in the foreign government classification. A significant amount of the unrealized loss on foreign government securities is the result of changes in currency exchange rates. 

    A summary of the Company’s non-investment grade fixed maturity securities that were in an unrealized loss position at March 31, 2023 is presented in the table below:

($ in thousands)	Number of Securities	Aggregate Fair Value		Gross Unrealized Loss
Foreign government	33	$	105,347	$	64,516
Corporate	16	45,507		3,789
State and municipal	1	12,066		2,936
Mortgage-backed	14	4,202		199
Asset-backed	1	8		8
Total	65	$	167,130	$	71,448

    For fixed maturity securities that management does not intend to sell or to be required to sell, the portion of the decline in value that is considered to be due to credit factors is recognized in earnings, and the portion of the decline in value that is considered to be due to non-credit factors is recognized in other comprehensive income (loss).

     The Company has evaluated its fixed maturity securities in an unrealized loss position and believes the unrealized losses are due primarily to temporary market and sector-related factors rather than to issuer-specific factors. None of these securities are delinquent or in default under financial covenants. Based on its assessment of these issuers, the Company expects them to continue to meet their contractual payment obligations as they become due.

15

(15) Fair Value Measurements

    The Company’s fixed maturity available for sale securities, equity securities and its arbitrage trading account securities are carried at fair value. Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.” The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels, as follows:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date.

Level 2 - Quoted prices for similar assets or valuations based on inputs that are observable.

Level 3 - Estimates of fair value based on internal pricing methodologies using unobservable inputs. Unobservable inputs are only used to measure fair value to the extent that observable inputs are not available.

    Substantially all of the Company’s fixed maturity securities were priced by independent pricing services. The prices provided by the independent pricing services are estimated based on observable market data in active markets utilizing pricing models and processes, which may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, sector groupings, matrix pricing and reference data. The pricing services may prioritize inputs differently on any given day for any security based on market conditions, and not all inputs are available for each security evaluation on any given day. The pricing services used by the Company have indicated that they will only produce an estimate of fair value if objectively verifiable information is available. The determination of whether markets are active or inactive is based upon the volume and level of activity for a particular asset class. The Company reviews the prices provided by pricing services for reasonableness and periodically performs independent price tests of a sample of securities to ensure proper valuation.

    If prices from independent pricing services are not available for fixed maturity securities, the Company estimates the fair value. For Level 2 securities, the Company utilizes pricing models and processes which may include benchmark yields, sector groupings, matrix pricing, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, bids, offers and reference data. Where broker quotes are used, the Company generally requests two or more quotes and sets a price within the range of quotes received based on its assessment of the credibility of the quote and its own evaluation of the security. The Company generally does not adjust quotes received from brokers. For securities traded only in private negotiations, the Company determines fair value based primarily on the cost of such securities, which is adjusted to reflect prices of recent placements of securities of the same issuer, financial projections, credit quality and business developments of the issuer and other relevant information.

    For Level 3 securities, the Company generally uses a discounted cash flow model to estimate the fair value of fixed maturity securities. The cash flow models are based upon assumptions as to prevailing credit spreads, interest rate and interest rate volatility, time to maturity and subordination levels. Projected cash flows are discounted at rates that are adjusted to reflect illiquidity, where appropriate.

16

    The following tables present the assets and liabilities measured at fair value on a recurring basis as of March 31, 2023 and December 31, 2022 by level:

(In thousands)	Total		Level 1		Level 2		Level 3
March 31, 2023
Assets:
Fixed maturity securities available for sale:
U.S. government and government agency	$	1,049,267	$	—	$	1,049,267	$	—
State and municipal	2,789,359		—		2,789,359		—
Mortgage-backed	1,897,729		—		1,897,729		—
Asset-backed	3,845,453		—		3,845,453		—
Corporate	7,125,649		—		7,125,649		—
Foreign government	1,331,890		—		1,331,890		—
Total fixed maturity securities available for sale	18,039,347		—		18,039,347		—
Equity securities:
Common stocks	1,057,599		1,054,268		1,162		2,169
Preferred stocks	222,356		—		211,057		11,299
Total equity securities	1,279,955		1,054,268		212,219		13,468
Arbitrage trading account	609,001		574,096		31,251		3,654
Total	$	19,928,303	$	1,628,364	$	18,282,817	$	17,122
December 31, 2022
Assets:
Fixed maturity securities available for sale:
U.S. government and government agency	$	892,258	$	—	$	892,258	$	—
State and municipal	2,890,098		—		2,890,098		—
Mortgage-backed	1,665,410		—		1,665,410		—
Asset-backed	3,982,773		—		3,982,773		—
Corporate	6,703,992		—		6,703,992		—
Foreign government	1,401,522		—		1,401,522		—
Total fixed maturity securities available for sale	17,536,053		—		17,536,053		—
Equity securities:
Common stocks	982,751		978,991		1,161		2,599
Preferred stocks	203,143		—		191,844		11,299
Total equity securities	1,185,894		978,991		193,005		13,898
Arbitrage trading account	944,230		822,192		118,448		3,590
Total	$	19,666,177	$	1,801,183	$	17,847,506	$	17,488

17

    The following tables summarize changes in Level 3 assets and liabilities for the three months ended March 31, 2023 and for the year ended December 31, 2022:

Gains (Losses) Included In:
(In thousands)	Beginning Balance		Earnings (Losses)		Other Comprehensive Income (Losses)		Impairments		Purchases		Sales		Paydowns / Maturities		Transfers In / (Out)		Ending Balance
Three Months Ended March 31, 2023
Assets:
Equity securities:
Common stocks	$	2,599	$	(430)	$	—	$	—	$	—	$	—	$	—	$	—	$	2,169
Preferred stocks	11,299		—		—		—		—		—		—		—		11,299
Total	13,898		(430)		—		—		—		—		—		—		13,468
Arbitrage trading account	3,590		64		—		—		—		—		—		—		3,654
Total	$	17,488	$	(366)	$	—	$	—	$	—	$	—	$	—	$	—	$	17,122
Year Ended December 31, 2022
Assets:
Equity securities:
Common stocks	$	9,294	$	(6,695)	$	—	$	—	$	—	$	—	$	—	$	—	$	2,599
Preferred stocks	11,296		3		—		—		925		(925)		—		—		11,299
Total	20,590		(6,692)		—		—		925		(925)		—		—		13,898
Arbitrage trading account	—		(179)		—		—		4,685		(917)		—		1		3,590
Total	$	20,590	$	(6,871)	$	—	$	—	$	5,610	$	(1,842)	$	—	$	1	$	17,488

    For the three months ended March 31, 2023 and for the year ended December 31, 2022, there were no securities transferred into or out of Level 3.

18

(16) Reserves for Loss and Loss Expenses

    The Company's reserves for losses and loss expenses are comprised of case reserves and incurred but not reported liabilities ("IBNR"). When a claim is reported, a case reserve is established for the estimated ultimate payment based upon known information about the claim. As more information about the claim becomes available over time, case reserves are adjusted up or down as appropriate. Reserves are also established on an aggregate basis to provide for IBNR liabilities and expected loss reserve development on reported claims.

    Loss reserves included in the Company’s financial statements represent management’s best estimates based upon an actuarially derived point estimate and other considerations. The Company uses a variety of actuarial techniques and methods to derive an actuarial point estimate for each operating unit. These methods include paid loss development, incurred loss development, paid and incurred Bornhuetter-Ferguson methods and frequency and severity methods. In circumstances where one actuarial method is considered more credible than the others, that method is used to set the point estimate. The actuarial point estimate may also be based on a judgmental weighting of estimates produced from each of the methods considered. Industry loss experience is used to supplement the Company’s own data in selecting “tail factors” in areas where the Company’s own data is limited. The actuarial data is analyzed by line of business, coverage and accident or policy year, as appropriate, for each operating unit.

    The establishment of the actuarially derived loss reserve point estimate also includes consideration of qualitative factors that may affect the ultimate losses. These qualitative considerations include, among others, the impact of re-underwriting initiatives, changes in the mix of business, changes in distribution sources and changes in policy terms and conditions.

    The key assumptions used to arrive at the best estimate of loss reserves are the expected loss ratios, rate of loss cost inflation, and reported and paid loss emergence patterns. Expected loss ratios represent management’s expectation of losses at the time the business is priced and written, before any actual claims experience has emerged. This expectation is a significant determinant of the estimate of loss reserves for recently written business where there is little paid or incurred loss data to consider. Expected loss ratios are generally derived from historical loss ratios adjusted for the impact of rate changes, loss cost trends and known changes in the type of risks underwritten. Expected loss ratios are estimated for each key line of business within each operating unit. Expected loss cost inflation is particularly important for the long-tail lines, such as excess casualty, and claims with a high medical component, such as workers’ compensation. Reported and paid loss emergence patterns are used to project current reported or paid loss amounts to their ultimate settlement value. Loss development factors are based on the historical emergence patterns of paid and incurred losses, and are derived from the Company’s own experience and industry data. The paid loss emergence pattern is also significant to excess and assumed workers’ compensation reserves because those reserves are discounted to their estimated present value based upon such estimated payout patterns.

    Loss frequency and severity are measures of loss activity that are considered in determining the key assumptions described in our discussion of loss and loss expense reserves, including expected loss ratios, rate of loss cost inflation and reported and paid loss emergence patterns. Loss frequency is a measure of the number of claims per unit of insured exposure, and loss severity is a measure of the average size of claims. Factors affecting loss frequency include the effectiveness of loss controls and safety programs and changes in economic activity or weather patterns. Factors affecting loss severity include changes in policy limits, retentions, rate of inflation and judicial interpretations.

    Another factor affecting estimates of loss frequency and severity is the loss reporting lag, which is the period of time between the occurrence of a loss and the date the loss is reported to the Company. The length of the loss reporting lag affects our ability to accurately predict loss frequency (loss frequencies are more predictable for lines with short reporting lags) as well as the amount of reserves needed for incurred but not reported losses (less IBNR is required for lines with short reporting lags). As a result, loss reserves for lines with short reporting lags are likely to have less variation from initial loss estimates. For lines with short reporting lags, which include commercial automobile, primary workers’ compensation, other liability (claims-made) and property business, the key assumption is the loss emergence pattern used to project ultimate loss estimates from known losses paid or reported to date. For lines of business with long reporting lags, which include other liability (occurrence), products liability, excess workers’ compensation and liability reinsurance, the key assumption is the expected loss ratio since there is often little paid or incurred loss data to consider. Historically, the Company has experienced less variation from its initial loss estimates for lines of businesses with short reporting lags than for lines of business with long reporting lags.

    The key assumptions used in calculating the most recent estimate of the loss reserves are reviewed each quarter and adjusted, to the extent necessary, to reflect the latest reported loss data, current trends and other factors observed.

19

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

	March 31,
(In thousands)	2023		2022
Net reserves at beginning of period	$	14,248,879	$	12,848,362
Net provision for losses and loss expenses:
Claims occurring during the current year (1)	1,502,817		1,327,695
Increase in estimates for claims occurring in prior years (2) (3)	28,205		3,761
Loss reserve discount accretion	7,733		7,796
Total	1,538,755		1,339,252
Net payments for claims:
Current year	110,274		84,598
Prior years	1,106,481		933,656
Total	1,216,755		1,018,254
Foreign currency translation	1,154		9,983
Net reserves at end of period	14,572,033		13,179,343
Ceded reserves at end of period	2,859,602		2,543,546
Gross reserves at end of period	$	17,431,635	$	15,722,889

_______________________________________

(1) Claims occurring during the current year are net of loss reserve discounts of $11 million and $7 million for the three months ended March 31, 2023 and 2022, 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 and decreased by $4 million for the three months ended March 31, 2023 and 2022, respectively.

(3) For certain retrospectively rated insurance policies and reinsurance agreements, reserve development is offset by additional or return premiums. Adverse development, net of additional and return premiums, was $24 million for the three months ended March 31, 2023, and favorable development was $1 million for the three months ended March 31, 2022, respectively.

The COVID-19 global pandemic has impacted, and may further impact, the Company’s results through its effect on claim frequency and severity. Loss cost trends have been impacted and may be further impacted by COVID-19-related claims in certain lines of business. Losses incurred from COVID-19-related claims have been offset, to a certain extent, by lower claim frequency in certain lines of our businesses; however, as the economy and legal systems have reopened, the benefit of lower claim frequency has partially abated. The ultimate net impact of COVID-19 on the Company remains uncertain. New variants of the COVID-19 virus continue to create risks with respect to loss costs and the potential for renewed impact of the other effects of COVID-19 associated with economic conditions, inflation, and social distancing and work from home rules.

Most of the COVID-19-related claims reported to the Company to date involve certain short-tailed lines of business, including contingency and event cancellation, business interruption, and film production delay. The Company has also received COVID-19-related claims for longer-tailed casualty lines of business such as workers’ compensation and other liability; however, the estimated incurred loss impact for these reported claims are not material at this time. Given the continuing uncertainty regarding the pandemic's pervasiveness, the future impact that the pandemic may have on claim frequency and severity remains uncertain at this time.

The Company has estimated the potential COVID-19 impact to its contingency and event cancellation, workers’ compensation, and other lines of business under a number of possible scenarios; however, due to COVID-19’s continued evolving impact, there remains uncertainty around the Company’s COVID-19 reserves. In addition, should the pandemic continue or worsen as a result of new COVID-19 variants or otherwise, governments in the jurisdictions where we operate may impose restrictions, including lockdowns, as well as renew their efforts to expand policy coverage terms beyond the policy’s intended coverage. Accordingly, losses arising from these actions, and the other factors described above, could exceed the Company’s reserves established for those related policies.

As of March 31, 2023, the Company had recognized losses for COVID-19-related claims activity, net of reinsurance, of approximately $344 million, of which $291 million relates to the Insurance segment and $53 million relates to the Reinsurance & Monoline Excess segment. Such $344 million of COVID-19-related losses included $339 million of reported losses and $5 million of IBNR. For the three months ended March 31, 2023, the Company recognized current accident year losses for COVID-19-related claims activity, net of reinsurance, of approximately $43 thousand, all of which relates to the Insurance segment.

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During the three months ended March 31, 2023, adverse prior year development (net of additional and return premiums) of $24 million included $17 million for the Insurance segment and $7 million for the Reinsurance & Monoline Excess segment.

This overall adverse development for both segments was primarily attributed to property catastrophe losses related to 2022 events which were still being adjusted and settled during the first quarter of 2023. In particular, losses related to U.S. winter storms which occurred during the month of December were a significant driver of the development, as information gathering and evaluation of many of these losses were still ongoing into the new year.

In addition to the property prior year adverse development discussed above, during the first quarter of 2023, the Insurance segment experienced adverse prior year development on casualty lines for the 2016 through 2019 accident years, which was offset by favorable prior year development on casualty lines for the 2022 accident year. The adverse development on the 2016 through 2019 accident years was concentrated in the other liability line of business, and to a lesser degree, professional liability, including medical professional. The development, which particularly impacted business attaching excess of primary policy limits, was driven by a larger than expected number of large losses reported. The Company believes social inflation is contributing to an increase in the frequency of large losses for these accident years. Social inflation can include higher settlement demands from plaintiffs, use of tactics such as litigation funding by the plaintiffs’ bar, negative public sentiment towards large businesses and corporations, and erosion of tort reforms, among others.

The favorable prior year development on casualty lines for the 2022 accident year in the Insurance segment was concentrated in the other liability, professional liability, and workers’ compensation lines of business. Due to uncertainty regarding incurred loss frequency and severity in light of ongoing social inflation and the emergence from the COVID-19 pandemic, the Company set its initial loss ratios for the 2022 accident year prudently, and largely maintained these estimates through the end of 2022. The reported loss experience to date for these lines of business for the 2022 accident year has been significantly better than was expected, and the Company has begun to react to this favorable emergence in the first quarter of 2023 for these lines.

During the three months ended March 31, 2022, favorable prior year development (net of additional and return premiums) of $1 million included $6 million of favorable development for the Insurance segment, largely offset by $5 million of adverse development for the Reinsurance & Monoline Excess segment.

The overall favorable development for the Insurance segment was primarily attributable to favorable development on the 2021 accident year, largely offset by adverse development on the 2015 through 2019 accident years. The favorable development on the 2021 accident year was concentrated in the commercial auto liability, other liability and accident and health (employer stop loss) lines of business. The Company continued to experience lower reported claim frequency in commercial auto and other liability in 2021 relative to historical averages, and lower reported incurred losses relative to our expectations. These trends began in 2020, and were likely caused by the impacts of the COVID-19 pandemic, including, for example, lockdowns, reduced driving/traffic, significant work from home, court closures, and similar reduced activities and travel. While reported claim frequency in these lines increased in 2021 relative to 2020, it remained below the historical levels pre- the start of the COVID-19 pandemic. Due to the ongoing uncertainty regarding the ultimate impacts of the COVID-19 pandemic on accident year 2021 incurred losses, the Company remains cautious in factoring in these trends in setting its initial loss ratio picks for this year. As accident year 2021 has begun to mature, we have recognized some of the favorable reported experience in our ultimate loss picks made as of March 31, 2022. The adverse development on the 2015 through 2019 accident years is concentrated in the other liability line of business, and to a lesser degree professional liability and commercial auto liability. The development is driven by a larger than expected number of large losses reported. The large losses particularly impacted the excess and surplus lines casualty classes of business.

The overall adverse development for the Reinsurance & Monoline Excess segment was driven mainly by adverse development in the non-proportional reinsurance assumed liability and professional liability lines of business, largely offset by favorable development in excess workers' compensation. Both the adverse and favorable development was spread across many prior accident years. The adverse development was associated primarily with our U.S. assumed reinsurance business, and related to accounts insuring construction projects and professional liability exposures. The favorable excess workers' compensation development was driven by continued lower claim frequency and reported losses relative to our expectations and to favorable claim settlements.

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(17) Fair Value of Financial Instruments

    The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments:

	March 31, 2023				December 31, 2022
(In thousands)	Carrying Value		Fair Value		Carrying Value		Fair Value
Assets:
Fixed maturity securities	$	18,091,113	$	18,095,068	$	17,587,349	$	17,591,626
Equity securities	1,279,955		1,279,955		1,185,894		1,185,894
Arbitrage trading account	609,001		609,001		944,230		944,230
Loans receivable	194,944		187,455		193,002		187,981
Cash and cash equivalents	1,242,357		1,242,357		1,449,346		1,449,346
Trading account receivables from brokers and clearing organizations	583,970		583,970		233,863		233,863
Due from broker	17,207		17,207		3,609		3,609
Liabilities:
Senior notes and other debt	1,827,981		1,501,671		1,828,823		1,439,188
Subordinated debentures	1,008,551		836,796		1,008,371		805,600

    The estimated fair values of the Company’s fixed maturity securities, equity securities and arbitrage trading account securities are based on various valuation techniques that rely on fair value measurements as described in Note 15. The fair value of loans receivable are estimated by using current institutional purchaser yield requirements for loans with similar credit characteristics, which is considered a Level 2 input. The fair value of the senior notes and other debt and the subordinated debentures is based on spreads for similar securities, which is considered a Level 2 input.

(18) Premiums and Reinsurance Related Information

The following is a summary of insurance and reinsurance financial information:

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Written premiums:
Direct	$	2,738,754	$	2,542,336
Assumed	310,563		317,500
Ceded	(474,493)		(446,582)
Total net premiums written	$	2,574,824	$	2,413,254
Earned premiums:
Direct	$	2,667,063	$	2,404,597
Assumed	295,230		292,373
Ceded	(470,861)		(447,883)
Total net premiums earned	$	2,491,432	$	2,249,087
Ceded losses and loss expenses incurred	$	315,476	$	243,294
Ceded commissions earned	$	118,418	$	117,445

    The following table presents the rollforward of the allowance for expected credit losses for premiums and fees receivable for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	30,660	$	25,218
Change in expected credit losses	1,693		3,018
Allowance for expected credit losses, end of period	$	32,353	$	28,236

22

The Company reinsures a portion of its insurance exposures in order to reduce its net liability on individual risks and catastrophe losses. The Company also cedes premiums to state assigned risk plans and captive insurance companies. Estimated amounts due from reinsurers are reported net of an allowance for expected credit losses.

The following table presents the rollforward of the allowance for expected credit losses associated with due from reinsurers for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	8,064	$	7,713
Change in expected credit losses	639		(58)
Allowance for expected credit losses, end of period	$	8,703	$	7,655

(19) Restricted Stock Units

    Pursuant to its stock incentive plan, the Company may issue restricted stock units ("RSUs") to employees of the Company and its subsidiaries. The RSUs generally vest three to five years from the award date and are subject to other vesting and forfeiture provisions contained in the award agreement. RSUs are expensed pro-ratably over the vesting period. RSU expenses were $12 million and $11 million for the three months ended March 31, 2023 and 2022, respectively. A summary of RSUs issued in the three months ended March 31, 2023 and 2022 follows:

($ in thousands)	Units	Fair Value
2023	—	$	—
2022	1,660	$	150

(20) Litigation and Contingent Liabilities

    In the ordinary course of business, the Company is subject to disputes, litigation and arbitration arising from its insurance and reinsurance businesses. These matters are generally related to insurance and reinsurance claims and are considered in the establishment of loss and loss expense reserves. In addition, the Company may also become involved in legal actions which seek extra-contractual damages, punitive damages or penalties, including claims alleging bad faith in handling of insurance claims. The Company expects its ultimate liability with respect to such matters will not be material to its financial condition. However, adverse outcomes on such matters are possible, from time to time, and could be material to the Company’s results of operations in any particular financial reporting period.

(21) Leases

    Lessees are required to recognize a right-of-use asset and a lease liability for leases with terms of more than 12 months on the balance sheet. All leases disclosed within this footnote are classified as operating leases. Recognized right-of-use asset and lease liability are reported within other assets and other liabilities, respectively, in the consolidated balance sheet. Lease expense is reported in other operating costs and expenses in the consolidated statement of income and accounted for on a straight-line basis over the lease term.

    To determine the discount rate used to calculate present value of future minimum lease payments, the Company uses its incremental borrowing rate during the lease commencement period in line with the respective lease duration. In certain cases, the Company has the option to renew the lease. Lease renewal future payments are included in the present value of the future minimum lease payments when the Company determines it is reasonably certain to renew.

The main leases entered into by the Company are for office space used by the Company’s operating units across the world. Additionally, the Company, to a lesser extent, has equipment leases mainly for office equipment. Further information relating to operating lease expense and other operating lease information are as follows:

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	For the Three Months Ended March 31,
(In thousands)	2023		2022
Leases:
Lease cost	$	10,188	$	10,198
Cash paid for amounts included in the measurement of lease liabilities reported in operating cash flows	$	10,563	$	10,993
Right-of-use assets obtained in exchange for new lease liabilities	$	5,313	$	17,269

	As of March 31,
($ in thousands)	2023			2022
Right-of-use assets	$	164,547		$	180,424
Lease liabilities	$	199,225		$	217,086
Weighted-average remaining lease term	7.1 years			7.3 years
Weighted-average discount rate	4.49		%	4.58		%

Contractual maturities of the Company’s future minimum lease payments are as follows:

(In thousands)	March 31, 2023
Contractual Maturities:
2023	$	36,209
2024	42,330
2025	34,121
2026	27,166
2027	17,585
Thereafter	72,767
Total undiscounted future minimum lease payments	230,178
Less: Discount impact	30,953
Total lease liability	$	199,225

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(22) Business Segments

    The Company’s reportable segments include the following two business segments, plus a corporate segment:

•Insurance - predominantly commercial insurance business, including excess and surplus lines, admitted lines and specialty personal lines throughout the United States, as well as insurance business in Asia, Australia, Canada, Continental Europe, Mexico, Scandinavia, South America and the United Kingdom

•Reinsurance & Monoline Excess - reinsurance business on a facultative and treaty basis, primarily in the United States, the United Kingdom, Continental Europe, Australia, the Asia-Pacific Region and South Africa, as well as operations that solely retain risk on an excess basis.

    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 reporting segments is presented in the following tables. Income (loss) before income taxes by segment includes allocated investment income. Identifiable assets by segment are those assets used in or allocated to the operation of each segment.

	Revenues
(In thousands)	Earned Premiums (1)		Investment Income		Other		Total (2)		Pre-Tax Income (Loss)		Net Income (Loss) to Common Stockholders
Three months ended March 31, 2023
Insurance	$	2,181,876	$	166,086	$	9,577	$	2,357,539	$	352,199	$	273,904
Reinsurance & Monoline Excess	309,556		52,055		—		361,611		101,712		82,561
Corporate, other and eliminations (3)	—		5,257		147,587		152,844		(100,850)		(80,499)
Net investment gains	—		—		23,010		23,010		23,010		18,160
Total	$	2,491,432	$	223,398	$	180,174	$	2,895,004	$	376,071	$	294,126
Three months ended March 31, 2022
Insurance	$	1,962,835	$	137,654	$	8,676	$	2,109,165	$	382,412	$	315,552
Reinsurance & Monoline Excess	286,252		27,423		—		313,675		57,628		47,080
Corporate, other and eliminations (3)	—		8,435		117,869		126,304		(73,872)		(59,817)
Net investment gains	—		—		366,265		366,265		366,265		287,823
Total	$	2,249,087	$	173,512	$	492,810	$	2,915,409	$	732,433	$	590,638

_________________

(1) Certain amounts included in earned premiums of each segment are related to inter-segment transactions.

(2) Revenues for Insurance from foreign operations for the three months ended March 31, 2023 and 2022 were $274 million and $235 million, respectively. Revenues for Reinsurance & Monoline Excess from foreign operations for the three months ended March 31, 2023 and 2022 were $106 million and $96 million, respectively.

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

Identifiable Assets

(In thousands)	March 31, 2023		December 31, 2022
Insurance	$	27,062,484	$	27,012,479
Reinsurance & Monoline Excess	5,191,920		5,195,752
Corporate, other and eliminations	2,041,660		1,606,872
Consolidated	$	34,296,064	$	33,815,103

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

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Insurance:
Other liability	$	857,149	$	749,391
Short-tail lines (1)	430,503		375,212
Commercial automobile	311,422		282,234
Workers' compensation	305,561		285,423
Professional liability	277,241		270,575
Total Insurance	2,181,876		1,962,835
Reinsurance & Monoline Excess:
Casualty reinsurance	193,730		184,122
Monoline excess (2)	58,644		51,896
Property reinsurance	57,182		50,234
Total Reinsurance & Monoline Excess	309,556		286,252
Total	$	2,491,432	$	2,249,087

______________

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

(2) Monoline excess includes operations that solely retain risk on an excess basis.

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SAFE HARBOR STATEMENT

    This is a “Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein, including statements related to our outlook for the industry and for our performance for the year 2023 and beyond, are based upon the Company’s historical performance and on current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by us or any other person that the future plans, estimates or expectations contemplated by us will be achieved. They are subject to various risks and uncertainties, including but not limited to: the cyclical nature of the property casualty industry; the impact of significant competition, including new entrants to the industry; the long-tail and potentially volatile nature of the insurance and reinsurance business; product demand and pricing; claims development and the process of estimating reserves; investment risks, including those of our portfolio of fixed maturity securities and investments in equity securities, including investments in financial institutions, municipal bonds, mortgage-backed securities, loans receivable, investment funds, including real estate, merger arbitrage, energy related and private equity investments; the effects of emerging claim and coverage issues; the uncertain nature of damage theories and loss amounts, including claims for cybersecurity-related risks; natural and man-made catastrophic losses, including as a result of terrorist activities; the ongoing COVID-19 pandemic; the impact of climate change, which may alter the frequency and increase the severity of catastrophe events; general economic and market activities, including inflation, changing interest rates, and volatility in the credit and capital markets; the impact of the conditions in the financial markets and the global economy, and the potential effect of legislative, regulatory, accounting or other initiatives taken in response, on our results and financial condition; foreign currency and political risks (including those associated with the United Kingdom's withdrawal from the European Union, or "Brexit") relating to our international operations; our ability to attract and retain key personnel and qualified employees; continued availability of capital and financing; the success of our new ventures or acquisitions and the availability of other opportunities; the availability of reinsurance; our retention under the Terrorism Risk Insurance Program Reauthorization Act of 2019; the ability or willingness of our reinsurers to pay reinsurance recoverables owed to us; other legislative and regulatory developments, including those related to business practices in the insurance industry; credit risk related to our policyholders, independent agents and brokers; changes in the ratings assigned to us or our insurance company subsidiaries by rating agencies; the availability of dividends from our insurance company subsidiaries; potential difficulties with technology and/or cyber security issues; the effectiveness of our controls to ensure compliance with guidelines, policies and legal and regulatory standards; and other risks detailed from time to time in the Company’s filings with the Securities and Exchange Commission.

    These risks and uncertainties could cause our actual results for the year 2023 and beyond to differ materially from those expressed in any forward-looking statement we make. Any projections of growth in our revenues would not necessarily result in commensurate levels of earnings. Our future financial performance is dependent upon factors discussed in our Annual Report on Form 10-K, elsewhere in this Form 10-Q and our other SEC filings. Forward-looking statements speak only as of the date on which they are made. Except to the extent required by applicable laws, the Company does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.

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Item 2.     Management’s Discussion and Analysis of Financial Condition and Results of Operations

Overview

    W. R. Berkley Corporation is an insurance holding company that is among the largest commercial lines writers in the United States and operates worldwide in two segments of the property and casualty business: Insurance and Reinsurance & Monoline Excess. Our decentralized structure provides us with the flexibility to respond quickly and efficiently to local or specific market conditions and to pursue specialty business niches. It also allows us to be closer to our customers in order to better understand their individual needs and risk characteristics. While providing our business units with certain operating autonomy, our structure allows us to capitalize on the benefits of economies of scale through centralized capital, investment, reinsurance, enterprise risk management, and actuarial, financial and corporate legal staff support. The Company’s primary sources of revenues and earnings are its insurance operations and its investments.

    An important part of our strategy is to form new operating units to capitalize on various business opportunities. Over the years, the Company has formed numerous operating units that are focused on important parts of the economy in the U.S., including healthcare, cyber security, energy and agriculture, and on growing international markets, including the Asia-Pacific region, South America and Mexico.

    The profitability of the Company’s insurance business is affected primarily by the adequacy of premium rates. The ultimate adequacy of premium rates is not known with certainty at the time an insurance policy is issued because premiums are determined before claims are reported. The ultimate adequacy of premium rates is affected mainly by the severity and frequency of claims, which are influenced by many factors, including natural and other disasters, regulatory measures and court decisions that define and change the extent of coverage and the effects of economic inflation on the amount of compensation for injuries or losses. General insurance prices are also influenced by available insurance capacity, i.e., the level of capital employed in the industry, and the industry’s willingness to deploy that capital.

    The Company’s profitability is also affected by its investment income and investment gains. The Company’s invested assets are invested principally in fixed maturity securities. The return on fixed maturity securities is affected primarily by general interest rates, as well as the credit quality and duration of the securities.

    The Company also invests in equity securities, merger arbitrage securities, investment funds, private equity, loans and real estate related assets. The Company's investments in investment funds and its other alternative investments have experienced, and the Company expects to continue to experience, greater fluctuations in investment income. The Company's share of the earnings or losses from investment funds is generally reported on a one-quarter lag in order to facilitate the timely completion of the Company's consolidated financial statements.

On March 7, 2022, the Company sold a real estate investment consisting of an office building located in London for £718 million. The Company realized a pretax gain of $317 million in the first quarter of 2022, before transaction expenses and the impact of foreign currency, including the reversal of the currency translation adjustment. The gain was $251 million after such adjustments.

The COVID-19 pandemic, including the related impact on the U.S. and global economies, continued to affect our results of operations. At the same time, COVID-19 has led to reduced loss frequency in certain lines of business (which partially returned to pre-pandemic levels as many economies and legal systems have reopened). The ultimate impact of COVID-19 on the economy and the Company’s results of operations, financial position and liquidity is not within the Company’s control and remains unclear due to, among other factors, its ongoing impact and uncertainty in connection with its claims, reserves and reinsurance recoverables.

Critical Accounting Estimates

    The following presents a discussion of accounting policies and estimates relating to reserves for losses and loss expenses, assumed premiums and allowance for expected credit losses on investments. Management believes these policies and estimates are the most critical to its operations and require the most difficult, subjective and complex judgments.

    Reserves for Losses and Loss Expenses. To recognize liabilities for unpaid losses, either known or unknown, insurers establish reserves, which is a balance sheet account representing estimates of future amounts needed to pay claims and related expenses with respect to insured events which have occurred. Estimates and assumptions relating to reserves for losses and loss expenses are based on complex and subjective judgments, often including the interplay of specific uncertainties with related accounting and actuarial measurements. Such estimates are also susceptible to change as significant periods of time may

28

elapse between the occurrence of an insured loss, the report of the loss to the insurer, the ultimate determination of the cost of the loss and the insurer’s payment of that loss.

    In general, when a claim is reported, claims personnel establish a “case reserve” for the estimated amount of the ultimate payment based upon known information about the claim at that time. The estimate represents an informed judgment based on general reserving practices and reflects the experience and knowledge of the claims personnel regarding the nature and value of the specific type of claim. Reserves are also established on an aggregate basis to provide for losses incurred but not reported (“IBNR”) to the insurer, potential inadequacy of case reserves and the estimated expenses of settling claims, including legal and other fees and general expenses of administrating the claims adjustment process. Reserves are established based upon the then current legal interpretation of coverage provided.

    In examining reserve adequacy, several factors are considered in estimating the ultimate economic value of losses. These factors include, among other things, historical data, legal developments, changes in social attitudes and economic conditions, including the effects of inflation. The actuarial process relies on the basic assumption that past experience, adjusted judgmentally for the effects of current developments and anticipated trends, is an appropriate basis for predicting future outcomes. Reserve amounts are based on management’s informed estimates and judgments using currently available data. As additional experience and other data become available and are reviewed, these estimates and judgments may be revised. This may result in reserve increases or decreases that would be reflected in our results in periods in which such estimates and assumptions are changed.

    Reserves do not represent an exact calculation of liability. Rather, reserves represent an estimate of what management expects the ultimate settlement and claim administration will cost. While the methods for establishing reserves are well tested over time, some of the major assumptions about anticipated loss emergence patterns are subject to uncertainty. These estimates, which generally involve actuarial projections, are based on management’s assessment of facts and circumstances then known, as well as estimates of trends in claims severity and frequency, judicial theories of liability and other factors, including the actions of third parties which are beyond the Company’s control. These variables are affected by external and internal events, such as inflation and economic volatility, judicial and litigation trends, reinsurance coverage, legislative changes and claim handling and reserving practices, which make it more difficult to accurately predict claim costs. The inherent uncertainties of estimating reserves are greater for certain types of liabilities where long periods of time elapse before a definitive determination of liability is made. Because setting reserves is inherently uncertain, the Company cannot provide assurance that its current reserves will prove adequate in light of subsequent events.

    Loss reserves included in the Company’s financial statements represent management’s best estimates based upon an actuarially derived point estimate and other considerations. The Company uses a variety of actuarial techniques and methods to derive an actuarial point estimate for each operating unit. These methods include paid loss development, incurred loss development, paid and incurred Bornhuetter-Ferguson methods and frequency and severity methods. In circumstances where one actuarial method is considered more credible than the others, that method is used to set the point estimate. For example, the paid loss and incurred loss development methods rely on historical paid and incurred loss data. For new lines of business, where there is insufficient history of paid and incurred claims data, or in circumstances where there have been significant changes in claim practices, the paid and incurred loss development methods would be less credible than other actuarial methods. The actuarial point estimate may also be based on a judgmental weighting of estimates produced from each of the methods considered. Industry loss experience is used to supplement the Company’s own data in selecting “tail factors” and in areas where the Company’s own data is limited. The actuarial data is analyzed by line of business, coverage and accident or policy year, as appropriate, for each operating unit.

    The establishment of the actuarially derived loss reserve point estimate also includes consideration of qualitative factors that may affect the ultimate losses. These qualitative considerations include, among others, the impact of re-underwriting initiatives, changes in the mix of business, changes in distribution sources and changes in policy terms and conditions. Examples of changes in terms and conditions that can have a significant impact on reserve levels are the use of aggregate policy limits, the expansion of coverage exclusions, whether or not defense costs are within policy limits, and changes in deductibles and attachment points.

    The key assumptions used to arrive at the best estimate of loss reserves are the expected loss ratios, rate of loss cost inflation, and reported and paid loss emergence patterns. Expected loss ratios represent management’s expectation of losses at the time the business is written, before any actual claims experience has emerged. This expectation is a significant determinant of the estimate of loss reserves for recently written business where there is little paid or incurred loss data to consider. Expected loss ratios are generally derived from historical loss ratios adjusted for the impact of rate changes, loss cost trends and known changes in the type of risks underwritten. Expected loss ratios are estimated for each key line of business within each operating unit. Expected loss cost inflation is particularly important for the long-tail lines, such as excess casualty, and claims with a high medical component, such as workers’ compensation. Reported and paid loss emergence patterns are used to project current

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reported or paid loss amounts to their ultimate settlement value. Loss development factors are based on the historical emergence patterns of paid and incurred losses, and are derived from the Company’s own experience and industry data. The paid loss emergence pattern is also significant to excess and assumed workers’ compensation reserves because those reserves are discounted to their estimated present value based upon such estimated payout patterns. Management believes the estimates and assumptions it makes in the reserving process provide the best estimate of the ultimate cost of settling claims and related expenses with respect to insured events which have occurred; however, different assumptions and variables could lead to significantly different reserve estimates.

    Loss frequency and severity are measures of loss activity that are considered in determining the key assumptions described in our discussion of loss and loss expense reserves, including expected loss ratios, rate of loss cost inflation and reported and paid loss emergence patterns. Loss frequency is a measure of the number of claims per unit of insured exposure, and loss severity is a measure of the average size of claims. Factors affecting loss frequency include the effectiveness of loss controls and safety programs and changes in economic activity or weather patterns. Factors affecting loss severity include changes in policy limits, retentions, rate of inflation and judicial interpretations.

    Another factor affecting estimates of loss frequency and severity is the loss reporting lag, which is the period of time between the occurrence of a loss and the date the loss is reported to the Company. The length of the loss reporting lag affects our ability to accurately predict loss frequency (loss frequencies are more predictable for lines with short reporting lags) as well as the amount of reserves needed for incurred but not reported losses (less IBNR is required for lines with short reporting lags). As a result, loss reserves for lines with short reporting lags are likely to have less variation from initial loss estimates. For lines with short reporting lags, which include commercial automobile, primary workers’ compensation, other liability (claims-made) and property business, the key assumption is the loss emergence pattern used to project ultimate loss estimates from known losses paid or reported to date. For lines of business with long reporting lags, which include other liability (occurrence), products liability, excess workers’ compensation and liability reinsurance, the key assumption is the expected loss ratio since there is often little paid or incurred loss data to consider. Historically, the Company has experienced less variation from its initial loss estimates for lines of businesses with short reporting lags than for lines of business with long reporting lags.

    The key assumptions used in calculating the most recent estimate of the loss reserves are reviewed each quarter and adjusted, to the extent necessary, to reflect the latest reported loss data, current trends and other factors observed. If the actual level of loss frequency and severity are higher or lower than expected, the ultimate losses will be different than management’s estimate. The following table reflects the impact of changes (which could be favorable or unfavorable) in frequency and severity, relative to our assumptions, on our loss estimate for claims occurring in 2022:

(In thousands)	Frequency (+/-)
Severity (+/-)	1%		5%		10%
1%	$	116,072	$	349,370	$	640,993
5%	349,370		591,908		895,081
10%	640,993		895,081		1,212,690

    Our net reserves for losses and loss expenses of approximately $14.6 billion as of March 31, 2023 relate to multiple accident years. Therefore, the impact of changes in frequency or severity for more than one accident year could be higher or lower than the amounts reflected above. The impact of such changes would likely be manifested gradually over the course of many years, as the magnitude of the changes became evident.

    Approximately $3.0 billion, or 21%, of the Company’s net loss reserves as of March 31, 2023 relate to the Reinsurance & Monoline Excess segment. There is a higher degree of uncertainty and greater variability regarding estimates of excess workers' compensation and assumed reinsurance loss reserves. In the case of excess workers’ compensation, our policies generally attach at $1 million or higher. The claims which reach our layer therefore tend to involve the most serious injuries and many remain open for the lifetime of the claimant, which extends the claim settlement tail. These claims also occur less frequently but tend to be larger than primary claims, which increases claim variability. In the case of assumed reinsurance our loss reserve estimates are based, in part, upon information received from ceding companies. If information received from ceding companies is not timely or correct, the Company’s estimate of ultimate losses may not be accurate. Furthermore, due to delayed reporting of claim information by ceding companies, the claim settlement tail for assumed reinsurance is also extended. Management considers the impact of delayed reporting and the extended tail in its selection of loss development factors for these lines of business.

    Information received from ceding companies is used to set initial expected loss ratios, to establish case reserves and to estimate reserves for incurred but not reported losses on assumed reinsurance business. This information, which is generally provided through reinsurance intermediaries, is gathered through the underwriting process and from periodic claim reports and other correspondence with ceding companies. The Company performs underwriting and claim audits of selected ceding

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companies to determine the accuracy and completeness of information provided to the Company. The information received from the ceding companies is supplemented by the Company’s own loss development experience with similar lines of business as well as industry loss trends and loss development benchmarks.

    Following is a summary of the Company’s reserves for losses and loss expenses by business segment:

(In thousands)	March 31, 2023		December 31, 2022
Insurance	$	11,524,946	$	11,233,924
Reinsurance & Monoline Excess	3,047,087		3,014,955
Net reserves for losses and loss expenses	14,572,033		14,248,879
Ceded reserves for losses and loss expenses	2,859,602		2,762,344
Gross reserves for losses and loss expenses	$	17,431,635	$	17,011,223

    Following is a summary of the Company’s net reserves for losses and loss expenses by major line of business:

(In thousands)	Reported Case Reserves		Incurred But Not Reported		Total
March 31, 2023
Other liability	$	1,819,236	$	4,009,866	$	5,829,102
Workers’ compensation (1)	1,022,327		878,769		1,901,096
Professional liability	495,427		1,326,097		1,821,524
Commercial automobile	624,234		561,947		1,186,181
Short-tail lines (2)	391,540		395,503		787,043
Total Insurance	4,352,764		7,172,182		11,524,946
Reinsurance & Monoline Excess (1) (3)	1,531,257		1,515,830		3,047,087
Total	$	5,884,021	$	8,688,012	$	14,572,033
December 31, 2022
Other liability	$	1,808,700	$	3,826,444	$	5,635,144
Workers’ compensation (1)	1,023,961		899,215		1,923,176
Professional liability	501,572		1,243,604		1,745,176
Commercial automobile	629,149		528,398		1,157,547
Short-tail lines (2)	403,974		368,907		772,881
Total Insurance	4,367,356		6,866,568		11,233,924
Reinsurance & Monoline Excess (1) (3)	1,551,687		1,463,268		3,014,955
Total	$	5,919,043	$	8,329,836	$	14,248,879

___________

(1) Reserves for workers’ compensation and Reinsurance & Monoline Excess are net of an aggregate net discount of $411 million and $416 million as of March 31, 2023 and December 31, 2022, respectively.

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

(3) Reinsurance & Monoline Excess includes property and casualty reinsurance, as well as operations that solely retain risk on an excess basis.

    The Company evaluates reserves for losses and loss adjustment expenses on a quarterly basis. Changes in estimates of prior year losses are reported when such changes are made. The changes in prior year loss reserve estimates are generally the result of ongoing analysis of recent loss development trends. Original estimates are increased or decreased as additional information becomes known regarding individual claims and aggregate claim trends.

    Certain of the Company's insurance and reinsurance contracts are retrospectively rated, whereby the Company collects more or less premiums based on the level of loss activity. For those contracts, changes in loss and loss adjustment expenses for prior years may be fully or partially offset by additional or return premiums.

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    Net prior year development (i.e., the sum of prior year reserve changes and prior year earned premiums changes) for the three months ended March 31, 2023 and 2022 are as follows:

(In thousands)	2023		2022
Increase in prior year loss reserves	$	(28,205)	$	(3,761)
Increase in prior year earned premiums	4,313		4,407
Net (unfavorable) favorable prior year development	$	(23,892)	$	646

The COVID-19 global pandemic has impacted, and may further impact, the Company’s results through its effect on claim frequency and severity. Loss cost trends have been impacted and may be further impacted by COVID-19-related claims in certain lines of business. Losses incurred from COVID-19-related claims have been offset, to a certain extent, by lower claim frequency in certain lines of our businesses; however, as the economy and legal systems have reopened, the benefit of lower claim frequency has partially abated. The ultimate net impact of COVID-19 on the Company remains uncertain. New variants of the COVID-19 virus continue to create risks with respect to loss costs and the potential for renewed impact of the other effects of COVID-19 associated with economic conditions, inflation, and social distancing and work from home rules.

Most of the COVID-19-related claims reported to the Company to date involve certain short-tailed lines of business, including contingency and event cancellation, business interruption, and film production delay. The Company has also received COVID-19-related claims for longer-tailed casualty lines of business such as workers’ compensation and other liability; however, the estimated incurred loss impact for these reported claims are not material at this time. Given the continuing uncertainty regarding the pandemic's pervasiveness, the future impact that the pandemic may have on claim frequency and severity remains uncertain at this time.

The Company has estimated the potential COVID-19 impact to its contingency and event cancellation, workers’ compensation, and other lines of business under a number of possible scenarios; however, due to COVID-19’s continued evolving impact, there remains uncertainty around the Company’s COVID-19 reserves. In addition, should the pandemic continue or worsen as a result of new COVID-19 variants or otherwise, governments in the jurisdictions where we operate may impose restrictions, including lockdowns, as well as renew their efforts to expand policy coverage terms beyond the policy’s intended coverage. Accordingly, losses arising from these actions, and the other factors described above, could exceed the Company’s reserves established for those related policies.

As of March 31, 2023, the Company had recognized losses for COVID-19-related claims activity, net of reinsurance, of approximately $344 million, of which $291 million relates to the Insurance segment and $53 million relates to the Reinsurance & Monoline Excess segment. Such $344 million of COVID-19-related losses included $339 million of reported losses and $5 million of IBNR. For the three months ended March 31, 2023, the Company recognized current accident year losses for COVID-19-related claims activity, net of reinsurance, of approximately $43 thousand, all of which relates to the Insurance segment.

During the three months ended March 31, 2023, adverse prior year development (net of additional and return premiums) of $24 million included $17 million for the Insurance segment and $7 million for the Reinsurance & Monoline Excess segment.

This overall adverse development for both segments was primarily attributed to property catastrophe losses related to 2022 events which were still being adjusted and settled during the first quarter of 2023. In particular, losses related to U.S. winter storms which occurred during the month of December were a significant driver of the development, as information gathering and evaluation of many of these losses were still ongoing into the new year.

In addition to the property prior year adverse development discussed above, during the first quarter of 2023, the Insurance segment experienced adverse prior year development on casualty lines for the 2016 through 2019 accident years, which was offset by favorable prior year development on casualty lines for the 2022 accident year. The adverse development on the 2016 through 2019 accident years was concentrated in the other liability line of business, and to a lesser degree, professional liability, including medical professional. The development, which particularly impacted business attaching excess of primary policy limits, was driven by a larger than expected number of large losses reported. The Company believes social inflation is contributing to an increase in the frequency of large losses for these accident years. Social inflation can include higher settlement demands from plaintiffs, use of tactics such as litigation funding by the plaintiffs’ bar, negative public sentiment towards large businesses and corporations, and erosion of tort reforms, among others.

The favorable prior year development on casualty lines for the 2022 accident year in the Insurance segment was concentrated in the other liability, professional liability, and workers’ compensation lines of business. Due to uncertainty regarding incurred loss frequency and severity in light of ongoing social inflation and the emergence from the COVID-19 pandemic, the Company set its initial loss ratios for the 2022 accident year prudently, and largely maintained these estimates through the end of 2022. The reported loss experience to date for these lines of business for the 2022 accident year has been

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significantly better than was expected, and the Company has begun to react to this favorable emergence in the first quarter of 2023 for these lines.

During the three months ended March 31, 2022, favorable prior year development (net of additional and return premiums) of $1 million included $6 million of favorable development for the Insurance segment, largely offset by $5 million of adverse development for the Reinsurance & Monoline Excess segment.

The overall favorable development for the Insurance segment was primarily attributable to favorable development on the 2021 accident year, largely offset by adverse development on the 2015 through 2019 accident years. The favorable development on the 2021 accident year was concentrated in the commercial auto liability, other liability and accident and health (employer stop loss) lines of business. The Company continued to experience lower reported claim frequency in commercial auto and other liability in 2021 relative to historical averages, and lower reported incurred losses relative to our expectations. These trends began in 2020, and were likely caused by the impacts of the COVID-19 pandemic, including, for example, lockdowns, reduced driving/traffic, significant work from home, court closures, and similar reduced activities and travel. While reported claim frequency in these lines increased in 2021 relative to 2020, it remained below the historical levels pre- the start of the COVID-19 pandemic. Due to the ongoing uncertainty regarding the ultimate impacts of the COVID-19 pandemic on accident year 2021 incurred losses, the Company remains cautious in factoring in these trends in setting its initial loss ratio picks for this year. As accident year 2021 has begun to mature, we have recognized some of the favorable reported experience in our ultimate loss picks made as of March 31, 2022. The adverse development on the 2015 through 2019 accident years is concentrated in the other liability line of business, and to a lesser degree professional liability and commercial auto liability. The development is driven by a larger than expected number of large losses reported. The large losses particularly impacted the excess and surplus lines casualty classes of business.

The overall adverse development for the Reinsurance & Monoline Excess segment was driven mainly by adverse development in the non-proportional reinsurance assumed liability and professional liability lines of business, largely offset by favorable development in excess workers' compensation. Both the adverse and favorable development was spread across many prior accident years. The adverse development was associated primarily with our U.S. assumed reinsurance business, and related to accounts insuring construction projects and professional liability exposures. The favorable excess workers' compensation development was driven by continued lower claim frequency and reported losses relative to our expectations and to favorable claim settlements.

Reserve Discount. The Company discounts its liabilities for certain workers’ compensation reserves. The amount of workers’ compensation reserves that were discounted was $1,448 million and $1,464 million at March 31, 2023 and December 31, 2022, respectively. The aggregate net discount for those reserves, after reflecting the effects of ceded reinsurance, was $411 million and $416 million at March 31, 2023 and December 31, 2022, respectively. At March 31, 2023, discount rates by year ranged from 0.7% to 6.5%, with a weighted average discount rate of 3.4%.

    Substantially all of the workers’ compensation discount (97% of total discounted reserves at March 31, 2023) relates to excess workers’ compensation reserves. In order to properly match loss expenses with income earned on investment securities supporting the liabilities, reserves for excess workers’ compensation business are discounted using risk-free discount rates determined by reference to the U.S. Treasury yield curve. These rates are determined annually based on the weighted average rate for the period. Once established, no adjustments are made to the discount rate for that period, and any increases or decreases in loss reserves in subsequent years are discounted at the same rate, without regard to when any such adjustments are recognized. The expected loss and loss expense payout patterns subject to discounting are derived from the Company’s loss payout experience.

    The Company also discounts reserves for certain other long-duration workers’ compensation reserves (representing approximately 3% of total discounted reserves at March 31, 2023), including reserves for quota share reinsurance and reserves related to losses regarding occupational lung disease. These reserves are discounted at statutory rates permitted by the Department of Insurance of the State of Delaware.

    Assumed Reinsurance Premiums. The Company estimates the amount of assumed reinsurance premiums that it will receive under treaty reinsurance agreements at the inception of the contracts. These premium estimates are revised as the actual amount of assumed premiums is reported to the Company by the ceding companies. As estimates of assumed premiums are made or revised, the related amount of earned premiums, commissions and incurred losses associated with those premiums are recorded. Estimated assumed premiums receivable were approximately $61 million at March 31, 2023 and $60 million at December 31, 2022. The assumed premium estimates are based upon terms set forth in reinsurance agreements, information received from ceding companies during the underwriting and negotiation of agreements, reports received from ceding companies and discussions and correspondence with reinsurance intermediaries. The Company also considers its own view of market conditions, economic trends and experience with similar lines of business. These premium estimates represent management’s best estimate of the ultimate amount of premiums to be received under its assumed reinsurance agreements.

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    Allowance for Expected Credit Losses on Investments.

    Fixed Maturity Securities – For fixed maturity securities in an unrealized loss position where the Company intends to sell, or it is more likely than not that it will be required to sell the security before recovery in value, the amortized cost basis is written down to fair value through net investment gains (losses). For fixed maturity securities in an unrealized loss position where the Company does not intend to sell, or it is more likely than not that it will not be required to sell the security before recovery in value, the Company evaluates whether the decline in fair value has resulted from credit losses or all other factors (non-credit factors). In making this assessment, the Company considers the extent to which fair value is less than amortized cost, changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, an allowance for expected credit losses is recorded for the credit loss through net investment gains (losses), limited by the amount that the fair value is less than the amortized cost basis. The allowance is adjusted for any change in expected credit losses and subsequent recoveries through net investment gains (losses). The impairment related to non-credit factors is recognized in other comprehensive income (loss).

    The Company’s credit assessment of allowance for expected credit losses uses a third party model for available for sale and held to maturity securities, as well as loans receivable. The allowance for expected credit losses is generally based on the performance of the underlying collateral under various economic and default scenarios that involve subjective judgments and estimates by management. Modeling these securities involves various factors, such as projected default rates, the nature and realizable value of the collateral, if any, the ability of the issuer to make scheduled payments, historical performance and other relevant economic and performance factors. A discounted cash flow analysis is used to ascertain the amount of the allowance for expected credit losses, if any. In general, the model reverts to the rating-level long-term average marginal default rates based on 10 years of historical data, beyond the forecast period. For other inputs, the model in most cases reverts to the baseline long-term assumptions linearly over 5 years beyond the forecast period. The long-term assumptions are based on the historical averages.

    The Company classifies its fixed maturity securities by credit rating, primarily based on ratings assigned by credit rating agencies. For purposes of classifying securities with different ratings, the Company uses the average of the credit ratings assigned, unless in limited situations the Company’s own analysis indicates an internal rating is more appropriate. Securities that are not rated by a rating agency are evaluated and classified by the Company on a case-by-case basis.

    A summary of the Company’s non-investment grade fixed maturity securities that were in an unrealized loss position at March 31, 2023 is presented in the table below:

($ in thousands)	Number of Securities	Aggregate Fair Value		Gross Unrealized Loss
Foreign government	33	$	105,347	$	64,516
Corporate	16	45,507		3,789
State and municipal	1	12,066		2,936
Mortgage-backed	14	4,202		199
Asset-backed	1	8		8
Total	65	$	167,130	$	71,448

    As of March 31, 2023, the Company has recorded an allowance for expected credit losses on fixed maturity securities of $37 million. The Company has evaluated the remaining fixed maturity securities in an unrealized loss position and believes the unrealized losses are due primarily to temporary market and sector-related factors rather than to issuer-specific factors. None of these securities are delinquent or in default under financial covenants. Based on its assessment of these issuers, the Company expects them to continue to meet their contractual payment obligations as they become due.

Loans Receivable – For loans receivable, the Company estimates an allowance for expected credit losses based on relevant information about past events, including historical loss experience, current conditions and forecasts that affect the expected collectability of the amortized cost of the financial asset. The allowance for expected credit losses is presented as a reduction to amortized cost of the financial asset in the consolidated balance sheet and changes to the estimate for expected credit losses are recognized through net investment gains (losses). Loans receivable are reported net of an allowance for expected credit losses of $2 million as of both March 31, 2023 and December 31, 2022, respectively.

    Fair Value Measurements. The Company’s fixed maturity available for sale securities, equity securities, and its arbitrage trading account securities are carried at fair value. Fair value is defined as “the price that would be received to sell an

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asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.” The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for similar assets in active markets. Level 3 inputs are unobservable inputs for the asset or liability. Unobservable inputs may only be used to measure fair value to the extent that observable inputs are not available. The fair value of the vast majority of the Company’s portfolio is based on observable data (other than quoted prices) and, accordingly, is classified as Level 2.

    In classifying particular financial securities in the fair value hierarchy, the Company uses its judgment to determine whether the market for a security is active and whether significant pricing inputs are observable. The Company determines the existence of an active market by assessing whether transactions occur with sufficient frequency and volume to provide reliable pricing information. The Company determines whether inputs are observable based on the use of such information by pricing services and external investment managers, the uninterrupted availability of such inputs, the need to make significant adjustments to such inputs and the volatility of such inputs over time. If the market for a security is determined to be inactive or if significant inputs used to price a security are determined to be unobservable, the security is categorized in Level 3 of the fair value hierarchy.

    Because many fixed maturity securities do not trade on a daily basis, the Company utilizes pricing models and processes which may include benchmark curves, benchmarking of like securities, sector groupings and matrix pricing. Market inputs used to evaluate securities include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data. Quoted prices are often unavailable for recently issued securities that are infrequently traded or securities that are only traded in private transactions. For publicly traded securities for which quoted prices are unavailable, the Company determines fair value based on independent broker quotations and other observable market data. For securities traded only in private negotiations, the Company determines fair value based primarily on the cost of such securities, which is adjusted to reflect prices of recent placements of securities of the same issuer, financial data, projections and business developments of the issuer and other relevant information.

    The following is a summary of pricing sources for the Company's fixed maturity securities available for sale as of March 31, 2023:

($ in thousands)	Carrying Value		Percent of Total
Pricing source:
Independent pricing services	$	17,555,166	97.3	%
Syndicate manager	67,780		0.4
Directly by the Company based on:
Observable data	416,401		2.3
Total	$	18,039,347	100.0	%

    Independent pricing services – Substantially all of the Company’s fixed maturity securities available for sale were priced by independent pricing services (generally one U.S. pricing service plus additional pricing services with respect to a limited number of foreign securities held by the Company). The prices provided by the independent pricing services are generally based on observable market data in active markets (e.g., broker quotes and prices observed for comparable securities). The determination of whether markets are active or inactive is based upon the volume and level of activity for a particular asset class. The Company reviews the prices provided by pricing services for reasonableness based upon current trading levels for similar securities. If the prices appear unusual to the Company, they are re-examined and the value is either confirmed or revised. In addition, the Company periodically performs independent price tests of a sample of securities to ensure proper valuation and to verify our understanding of how securities are priced. As of March 31, 2023, the Company did not make any adjustments to the prices provided by the pricing services. Based upon the Company’s review of the methodologies used by the independent pricing services, these securities were classified as Level 2.

    Syndicate manager – The Company has a 15% participation in a Lloyd’s syndicate, and the Company’s share of the securities owned by the syndicate is priced by the syndicate’s manager. The majority of the securities are liquid, short duration fixed maturity securities. The Company reviews the syndicate manager’s pricing methodology and audited financial statements and holds discussions with the syndicate manager as necessary to confirm its understanding and agreement with security prices. Based upon the Company’s review of the methodologies used by the syndicate manager, these securities were classified as Level 2.

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    Observable data – If independent pricing is not available, the Company prices the securities directly. Prices are based on observable market data where available, including current trading levels for similar securities and non-binding quotations from brokers. The Company generally requests two or more quotes. If more than one quote is received, the Company sets a price within the range of quotes received based on its assessment of the credibility of the quote and its own evaluation of the security. The Company generally does not adjust quotes obtained from brokers. Since these securities were priced based on observable data, they were classified as Level 2.

    Cash flow model – If the above methodologies are not available, the Company prices securities using a discounted cash flow model based upon assumptions as to prevailing credit spreads, interest rates and interest rate volatility, time to maturity and subordination levels. Discount rates are adjusted to reflect illiquidity where appropriate. These securities were classified as Level 3.

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Results of Operations for the Three Months Ended March 31, 2023 and 2022

Business Segment Results

Following is a summary of gross and net premiums written, net premiums earned, loss ratios (losses and loss expenses incurred expressed as a percentage of net premiums earned), expense ratios (underwriting expenses expressed as a percentage of net premiums earned) and GAAP combined ratios (sum of loss ratio and expense ratio) for each of our business segments for the three months ended March 31, 2023 and 2022. The GAAP combined ratio represents a measure of underwriting profitability, excluding investment income. A GAAP combined ratio in excess of 100 indicates an underwriting loss; a number below 100 indicates an underwriting profit.

($ in thousands)	2023			2022
Insurance:
Gross premiums written	$	2,652,234		$	2,484,799
Net premiums written	2,210,834			2,073,291
Net premiums earned	2,181,876			1,962,835
Loss ratio	62.8		%	59.5		%
Expense ratio	28.7		%	28.1		%
GAAP combined ratio	91.5		%	87.6		%
Reinsurance & Monoline Excess:
Gross premiums written	$	397,083		$	375,038
Net premiums written	363,990			339,963
Net premiums earned	309,556			286,252
Loss ratio	54.5		%	59.9		%
Expense ratio	29.5		%	29.5		%
GAAP combined ratio	84.0		%	89.4		%
Consolidated:
Gross premiums written	$	3,049,317		$	2,859,837
Net premiums written	2,574,824			2,413,254
Net premiums earned	2,491,432			2,249,087
Loss ratio	61.8		%	59.5		%
Expense ratio	28.8		%	28.3		%
GAAP combined ratio	90.6		%	87.8		%

    Net Income to Common Stockholders. The following table presents the Company’s net income to common stockholders and net income per diluted share for the three months ended March 31, 2023 and 2022:

(In thousands, except per share data)	2023		2022
Net income to common stockholders	$	294,126	$	590,638
Weighted average diluted shares	277,339		279,157
Net income per diluted share	$	1.06	$	2.12

    The Company reported net income to common stockholders of $294 million in 2023 compared to $591 million in 2022. The $297 million decrease in net income was primarily due to an after-tax reduction in net investment gains of $270 million due to the sale of a real estate investment in 2022 and the reduced gain from change in market value on equity securities, an after-tax reduction in underwriting income of $31 million primarily due to increased storm and property losses, an increase of $17 million in tax expense due to a change in the effective tax rate, an after-tax increase in foreign currency losses of $11 million mainly due to the weakening of the U.S. dollar against U.K. sterling and Euro in 2023, an after-tax increase in corporate expenses of $10 million due to increased performance-based compensation costs and an after-tax decrease in profits from non-insurance businesses of $1 million, partially offset by an after-tax increase in net investment income of $39 million primarily due to rising interest rates and a larger investment portfolio related to fixed maturity securities, an after-tax reduction in interest expense of $2 million due to debt repayments in 2022 and an after-tax increase in insurance service income of $2 million. The number of weighted average diluted shares decreased by 1.8 million for 2023 compared to 2022, mainly reflecting shares repurchased in the the first quarter of 2023.

    Premiums. Gross premiums written were $3,049 million in 2023, an increase of 7% from $2,860 million in 2022. The increase was due to a $167 million increase in the Insurance segment and a $22 million increase in the Reinsurance & Monoline

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Excess segment. Approximately 79% of premiums expiring in 2023 were renewed, and 82% of premiums expiring in 2022 were renewed.

    Average renewal premium rates for insurance and facultative reinsurance increased 7.2% in 2023 when adjusted for changes in exposures, and increased 8.3% excluding workers' compensation.

    A summary of gross premiums written in 2023 compared with 2022 by line of business within each business segment follows:

•Insurance - gross premiums increased 7% to $2,652 million in 2023 from $2,485 million in 2022. Gross premiums increased $94 million (10%) for other liability, $80 million (14%) for short-tail lines, $21 million (7%) for commercial auto and $8 million (3%) for workers' compensation, partially offset by a reduction of $36 million (9%) for professional liability.

•Reinsurance & Monoline Excess - gross premiums increased 6% to $397 million in 2023 from $375 million in 2022. Gross premiums increased $12 million (12%) for monoline excess, $6 million (9%) for property reinsurance and $4 million (2%) for casualty reinsurance.

    Net premiums written were $2,575 million in 2023, an increase of 7% from $2,413 million in 2022. Ceded reinsurance premiums as a percentage of gross written premiums were 16% in both 2023 and 2022.

    Premiums earned increased 11% to $2,491 million in 2023 from $2,249 million in 2022. Insurance premiums (including the impact of rate changes) are generally earned evenly over the policy term, and accordingly, recent rate increases will be earned over the upcoming quarters. Premiums earned in 2023 are related to business written during both 2023 and 2022. Audit premiums were $91 million in 2023 compared with $70 million in 2022 due to an increase in exposures.

    Net Investment Income. Following is a summary of net investment income for the three months ended March 31, 2023 and 2022:

	Amount				Average Annualized Yield
($ in thousands)	2023		2022		2023		2022
Fixed maturity securities, including cash and cash equivalents and loans receivable	$	195,642	$	101,284	3.8	%	2.2	%
Arbitrage trading account	18,256		9,187		9.4		3.1
Equity securities	13,746		10,856		4.8		4.7
Investment funds	2,180		52,012		0.5		13.7
Real estate	(3,711)		2,146		(1.1)		0.5
Gross investment income	226,113		175,485		3.5		3.0
Investment expenses	(2,715)		(1,973)		—		—
Total	$	223,398	$	173,512	3.5	%	2.9	%

    Net investment income increased 29% to $223 million in 2023 from $174 million in 2022 due primarily to a $94 million increase in income from fixed maturity securities mainly driven by rising interest rates and a larger investment portfolio, a $9 million increase from the arbitrage trading account and a $3 million increase from equity securities, partially offset by a $50 million decrease in income from investment funds primarily due to financial service and consumer goods funds, a $6 million decrease in real estate and a $1 million increase in investment expenses. The Company maintained the shortened duration of its fixed maturity security portfolio, thereby reducing the potential impact of mark-to-market on the portfolio and positioning the Company to react quickly to changes in the current interest rate environment. Average invested assets, at cost (including cash and cash equivalents), were $25.7 billion in 2023 up 8.3% from $23.7 billion in 2022.

    Insurance Service Fees. The Company earns fees from an insurance distribution business, a third-party administrator and as a servicing carrier of workers' compensation assigned risk plans for certain states. Insurance service fees increased to $33 million in 2023 from $28 million in 2022, mainly due to organic growth within the business.

    Net Realized and Unrealized Gains on Investments. The Company buys and sells securities and other investment assets on a regular basis in order to maximize its total return on investments. Decisions to sell securities and other investment assets are based on management’s view of the underlying fundamentals of specific investments as well as management’s expectations regarding interest rates, credit spreads, currency values and general economic conditions. Net realized and unrealized gains on investments were $23 million in 2023 compared with $370 million in 2022. The gains of $23 million in 2023 reflected an

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increase in unrealized gains on equity securities of $43 million partially offset by net realized losses on investments of $20 million. The gains of $370 million in 2022 reflected net realized gains on investments of $277 million (primarily a $251 million net gain from the sale of a real estate investment in London after transaction expenses and the foreign currency impact, including the reversal of the currency translation adjustment), and an increase in unrealized gains on equity securities of $93 million.

Change in Allowance for Expected Credit Losses on Investments. Based on credit factors, the allowance for expected credit losses is increased or decreased depending on the percentage of unrealized loss relative to amortized cost by security, changes in rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. For the three months ended March 31, 2023, the pre-tax change in allowance for expected credit losses on investments decreased by $399 thousand ($315 thousand after-tax), which is reflected in net investment gains, primarily due to change in estimate. For the three months ended March 31, 2022, the pre-tax change in allowance for expected credit losses on investments increased by $4 million ($3 million after-tax), which is reflected in net investment gains, primarily due to change in estimate.

Revenues from Non-Insurance Businesses. Revenues from non-insurance businesses were derived from businesses engaged in the distribution of promotional merchandise, world-wide textile solutions and aviation-related businesses that provide services to aviation markets, including (i) the distribution, manufacturing, repair and overhaul of aircraft parts and components, (ii) the sale of new and used aircraft, and (iii) avionics, fuel, maintenance, storage and charter services. Revenues from non-insurance businesses were $124 million in 2023 and $98 million in 2022. The increase mainly relates to aviation-related business and the commercial and residential textile business, which we acquired in 2022, partially offset by the decrease of promotional merchandise and existing textile business.

    Losses and Loss Expenses. Losses and loss expenses increased to $1,539 million in 2023 from $1,339 million in 2022. The consolidated loss ratio was 61.8% in 2023 and 59.5% in 2022. Catastrophe losses, net of reinsurance recoveries, were $48 million (including current accident year losses of approximately $43 thousand related to COVID-19) in 2023 and $29 million (including losses of approximately $1 million related to COVID-19) in 2022. Adverse prior year reserve development (net of premium offsets) was $24 million in 2023 and favorable prior year reserve development was $1 million in 2022. The loss ratio excluding catastrophe losses and prior year reserve development increased 0.6 points to 58.9% in 2023 from 58.3% in 2022.

    A summary of loss ratios in 2023 compared with 2022 by business segment follows:

•Insurance - The loss ratio was 62.8% in 2023 and 59.5% in 2022. Catastrophe losses were $45 million in 2023 compared with $11 million in 2022. Adverse prior year reserve development was $17 million in 2023, principally from property catastrophe losses, and favorable prior year reserve development was $6 million in 2022. The loss ratio excluding catastrophe losses and prior year reserve development increased 0.6 points to 59.9% in 2023 from 59.3% in 2022.

•Reinsurance & Monoline Excess - The loss ratio was 54.5% in 2023 and 59.9% in 2022. Catastrophe losses were $3 million in 2023 compared with $18 million in 2022. Adverse prior year reserve development was $7 million in 2023 and $5 million in 2022. The loss ratio excluding catastrophe losses and prior year reserve development decreased 0.2 points to 51.5% in 2023 from 51.7% in 2022.

Other Operating Costs and Expenses. Following is a summary of other operating costs and expenses for the three months ended March 31, 2023 and 2022:

($ in thousands)	2023		2022
Policy acquisition and insurance operating expenses	$	718,276	$	635,453
Insurance service expenses	25,180		22,466
Net foreign currency losses (gains)	9,495		(4,168)
Other costs and expenses	72,624		60,148
Total	$	825,575	$	713,899

    Policy acquisition and insurance operating expenses are comprised of commissions paid to agents and brokers, premium taxes and other assessments and internal underwriting costs. Policy acquisition and insurance operating expenses increased 13% and net premiums earned increased 11% from 2022. The expense ratio (underwriting expenses expressed as a percentage of net premiums earned) increased by 0.5 points to 28.8% in 2023 from 28.3% in 2022 mainly due to lower ceding commissions, increased compensation costs and new start-up operating unit expenses.

    Service expenses, which represent the costs associated with the fee-based businesses, were $25 million in 2023 and $22 million in 2022.

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    Net foreign currency gains result from transactions denominated in a currency other than a company's operating functional currency. Net foreign currency losses was $9 million in 2023 compared to gains of $4 million in 2022, primarily related to the strengthening of the U.K. sterling and Euro against the U.S. dollar in 2023.

    Other costs and expenses represent general and administrative expenses of the parent company and other expenses not allocated to business segments, including the cost of certain long-term incentive plans and new business ventures. Other costs and expenses increased to $73 million in 2023 from $60 million in 2022, primarily due to the increase in compensation related costs in 2023.

    Expenses from Non-Insurance Businesses. Expenses from non-insurance businesses represent costs associated with businesses engaged in the distribution of promotional merchandise, world-wide textile solutions and aviation-related businesses that include (i) cost of goods sold related to aircraft and products sold and services provided, and (ii) general and administrative expenses. Expenses from non-insurance businesses were $123 million in 2023 compared to $95 million in 2022. The increase mainly relates to the aviation-related business and the residential and commercial textile business, which we acquired in 2022, partially offset by the decrease of promotional merchandise and existing textile business.

Interest Expense. Interest expense was $32 million in 2023 and $35 million in 2022. In the first quarter of 2022, the Company repaid at maturity its $77 million aggregate principal amount of 8.7% senior notes in January and its $350 million aggregate principal amount of 4.625% senior notes in March.

Income Taxes. The effective income tax rate was 21.4% and 19.0% for the three months ended March 31, 2023 and 2022, respectively. The higher effective income tax rate for the three months ended March 31, 2023, as compared to the earlier period, was primarily due to a net reduction to the Company’s valuation allowance against foreign tax credits and foreign net operating losses.

    The Company has not provided U.S. deferred income taxes on the undistributed earnings of approximately $173 million of its non-U.S. subsidiaries since these earnings are intended to be permanently reinvested in the non-U.S. subsidiaries. In the future, if such earnings were distributed, the Company projects that the incremental tax, if any, will be immaterial.

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Investments

    As part of its investment strategy, the Company establishes a level of cash and highly liquid short-term and intermediate-term securities that, combined with expected cash flow, it believes is adequate to meet its payment obligations. In addition to fixed maturity securities, the Company invests in equity securities, merger arbitrage securities, investment funds, private equity, loans and real estate related assets. The Company's investments in investment funds and its other alternative investments have experienced, and the Company expects to continue to experience, greater fluctuations in investment income.

    The Company also attempts to maintain an appropriate relationship between the average duration of the investment portfolio and the approximate duration of its liabilities (i.e., policy claims and debt obligations). The average duration of the fixed maturity portfolio, including cash and cash equivalents, were 2.4 years at both March 31, 2023 and December 31, 2022. The Company’s fixed maturity investment portfolio and investment-related assets as of March 31, 2023 were as follows:

($ in thousands)	Carrying Value		Percent of Total
Fixed maturity securities:
U.S. government and government agencies	$	1,049,267	4.2	%
State and municipal:
Special revenue	1,674,483		6.7
Local general obligation	434,679		1.7
State general obligation	422,832		1.7
Corporate backed	196,817		0.8
Pre-refunded (1)	108,915		0.4
Total state and municipal	2,837,726		11.3
Mortgage-backed:
Agency	1,081,356		4.4
Commercial	583,745		2.3
Residential-Prime	232,602		0.9
Residential-Alt A	3,425		—
Total mortgage-backed	1,901,128		7.6
Asset-backed	3,845,453		15.4
Corporate:
Industrial	3,385,444		13.6
Financial	2,626,304		10.5
Utilities	627,327		2.5
Other	486,574		1.9
Total corporate	7,125,649		28.5
Foreign government and foreign government agencies	1,331,890		5.4
Total fixed maturity securities	18,091,113		72.4
Equity securities:
Common stocks	1,057,599		4.2
Preferred stocks	222,356		0.9
Total equity securities	1,279,955		5.1
Cash and cash equivalents (2)	1,843,534		7.4
Investment funds	1,601,567		6.5
Real estate	1,338,504		5.4
Arbitrage trading account	609,001		2.4
Loans receivable	194,944		0.8
Total investments	$	24,958,618	100.0	%

____________________

(1) Pre-refunded securities are securities for which an escrow account has been established to fund the remaining payments of principal and interest through maturity. Such escrow accounts are funded almost exclusively with U.S. Treasury and U.S. government agency securities.

(2) Cash and cash equivalents includes trading accounts receivable from brokers and clearing organizations, trading account securities sold but not yet purchased and unsettled purchases.

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Fixed Maturity Securities. The Company’s investment policy with respect to fixed maturity securities is generally to purchase instruments with the expectation of holding them to their maturity. However, management of the available for sale portfolio is considered necessary to maintain an approximate matching of assets and liabilities as well as to adjust the portfolio as a result of changes in financial market conditions and tax considerations.

The Company’s philosophy related to holding or selling fixed maturity securities is based on its objective of maximizing total return. The key factors that management considers in its investment decisions as to whether to hold or sell fixed maturity securities are its view of the underlying fundamentals of specific securities as well as its expectations regarding interest rates, credit spreads and currency values. In a period in which management expects interest rates to rise, the Company may sell longer duration securities in order to mitigate the impact of an interest rate rise on the fair value of the portfolio. Similarly, in a period in which management expects credit spreads to widen, the Company may sell lower quality securities, and in a period in which management expects certain foreign currencies to decline in value, the Company may sell securities denominated in those foreign currencies. The sale of fixed maturity securities in order to achieve the objective of maximizing total return may result in realized gains or losses; however, there is no reason to expect these gains or losses to continue in future periods.

Equity Securities. Equity securities primarily represent investments in common and preferred stocks in companies with potential growth opportunities in different sectors, mainly in the financial institutions and energy sectors.

Investment Funds. At March 31, 2023, the carrying value of investment funds was $1,602 million, including investments in financial services funds of $445 million, other funds of $367 million (which includes a deferred compensation trust asset of $34 million), transportation funds of $337 million, real estate funds of $217 million, infrastructure funds of $119 million and energy funds of $117 million. Investment funds are generally reported on a one-quarter lag.

Real Estate. Real estate is directly owned property held for investment. At March 31, 2023, real estate properties in operation included a long-term ground lease in Washington D.C., an office complex in New York City and the completed portion of a mixed-use project in Washington D.C. In addition, part of the previously mentioned mixed-use project in Washington D.C. is under development. The Company expects to fund further development costs for the project with a combination of its own funds and external financing. During the first quarter of 2022, the Company sold an office building in London.

Arbitrage Trading Account. The arbitrage trading account is comprised of direct investments in arbitrage securities. Merger arbitrage is the business of investing in the securities of publicly held companies that are the targets in announced tender offers and mergers.

Loans Receivable. Loans receivable, which are carried at amortized cost (net of allowance for expected credit losses), had an amortized cost of $195 million and an aggregate fair value of $187 million at March 31, 2023. The amortized cost of loans receivable is net of an allowance for expected credit losses of $2 million as of March 31, 2023. Loans receivable include real estate loans of $176 million that are secured by commercial and residential real estate located primarily in London and

New York. Real estate loans generally earn interest at fixed or stepped interest rates and have maturities through 2026. Loans receivable include commercial loans of $19 million that are secured by business assets and have fixed interest rates with varying maturities not exceeding 10 years.

Market Risk. The fair value of the Company’s investments is subject to risks of fluctuations in credit quality and interest rates. The Company uses various models and stress test scenarios to monitor and manage interest rate risk. The Company attempts to manage its interest rate risk by maintaining an appropriate relationship between the effective duration of the investment portfolio and the approximate duration of its liabilities (i.e., policy claims and debt obligations). The effective duration for the fixed maturity portfolio (including cash and cash equivalents) was 2.4 years at both March 31, 2023 and December 31, 2022.

In addition, the fair value of the Company’s international investments is subject to currency risk. The Company attempts to manage its currency risk by matching its foreign currency assets and liabilities where considered appropriate.

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Liquidity and Capital Resources

    Cash Flow. Cash flow provided from operating activities decreased to $445 million in the three months ended March 31, 2023 from $478 million in the three months ended March 31, 2022, primarily due to increased loss and loss expense payments partially offset by an increase in premium receipts.

    The Company's insurance subsidiaries' principal sources of cash are premiums, investment income, service fees and proceeds from sales and maturities of portfolio investments. The principal uses of cash are payments for claims, taxes, operating expenses and dividends. The Company expects its insurance subsidiaries to fund the payment of losses with cash received from premiums, investment income and fees. The Company generally targets an average duration for its investment portfolio that is within 1.5 years of the average duration of its liabilities so that portions of its investment portfolio mature throughout the claim cycle and are available for the payment of claims if necessary. In the event operating cash flow and proceeds from maturities and prepayments of fixed income securities are not sufficient to fund claim payments and other cash requirements, the remainder of the Company's cash and investments is available to pay claims and other obligations as they become due. The Company's investment portfolio is highly liquid, with approximately 79% invested in cash, cash equivalents and marketable fixed maturity securities as of March 31, 2023. If the sale of fixed maturity securities were to become necessary, a realized gain or loss equal to the difference between the cost and sales price of securities sold would be recognized.

    Debt. At March 31, 2023, the Company had senior notes, subordinated debentures and other debt outstanding with a carrying value of $2,837 million and a face amount of $2,865 million. In the first quarter of 2022, the Company repaid at maturity its $77 million aggregate principal amount of 8.7% senior notes in January and its $350 million aggregate principal amount of 4.625% senior notes in March. The maturities of the outstanding debt are $5 million in 2024, $5 million in 2025, $250 million in 2037, $350 million in 2044, $470 million in 2050, $400 million in 2052, $185 million in 2058, $300 million in 2059, $250 million in 2060, and $650 million in 2061.

On April 1, 2022, the Company entered into a senior unsecured revolving credit facility that provides for revolving, unsecured borrowings up to an aggregate of $300 million with a $50 million sublimit for letters of credit. The Company may increase the amount available under the facility to a maximum of $500 million subject to obtaining lender commitments for the increase and other customary conditions. Borrowings under the facility may be used for working capital and other general corporate purposes. All borrowings under the facility must be repaid by April 1, 2027, except that letters of credit outstanding on that date may remain outstanding until April 1, 2028 (or such later date approved by all lenders). Our ability to utilize the facility is conditioned on the satisfaction of representations, warranties and covenants that are customary for facilities of this type. As of March 31, 2023, there were no borrowings outstanding under the facility.

    Equity. At March 31, 2023, total common stockholders’ equity was $6.9 billion, common shares outstanding were 262,536,530 and stockholders’ equity per outstanding share was $26.45. During the three months ended March 31, 2023, the Company repurchased 2,038,391 shares of its common stock for $135.2 million. In the first quarter of 2023, the board of directors of the Company declared a regular quarterly cash dividend of $0.10 per share and a special cash dividend of $0.50 per share. The number of common shares outstanding excludes shares held in a grantor trust established by the Company for delivery upon settlement of vested but mandatorily deferred RSUs.

    Total Capital. Total capitalization (equity, debt and subordinated debentures) was $9.8 billion at March 31, 2023. The percentage of the Company’s capital attributable to senior notes, subordinated debentures and other debt was 29% at March 31, 2023 and 30% at December 31, 2022.

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Item 3.     Quantitative and Qualitative Disclosure About Market Risk

    Reference is made to the information under “Investments - Market Risk” under the caption “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in this Form 10-Q.

Item 4.     Controls and Procedures

    Disclosure Controls and Procedures. The Company’s management, including its Chief Executive Officer and Chief Financial Officer, has conducted an evaluation of the effectiveness of the Company’s disclosure controls and procedures pursuant to Securities Exchange Act Rule 13a-14 as of the end of the period covered by this quarterly report. Based on that evaluation, the Chief Executive Officer and Chief Financial Officer concluded that the Company has in place effective controls and procedures designed to ensure that information required to be disclosed by the Company in the reports it files or submits under the Securities Exchange Act of 1934, as amended, and the rules thereunder, is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms.

    Changes in Internal Control over Financial Reporting. During the quarter ended March 31, 2023, there were no changes in the Company’s internal control over financial reporting that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

PART II — OTHER INFORMATION

Item 1. Legal Proceedings

    Please see Note 20 to the notes to the interim consolidated financial statements.

Item 1A. Risk Factors

There have been no material changes from the risk factors previously disclosed in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2022.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds    

    Set forth below is a summary of the shares repurchased by the Company during the three months ended March 31, 2023, and the number of shares remaining authorized for purchase by the Company:

	Total number of shares purchased	Average price paid per share		Total number of shares purchased as part of publicly announced plans or programs	Maximum number of shares that may yet be purchased under the plans or programs
January 2023	729,600	$	69.09	729,600	12,900,006
February 2023	644,965	$	67.06	644,965	12,255,041
March 2023	663,826	$	62.50	663,826	11,591,215

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Item 6. Exhibits

Number
(10.1)	Form of 2023 Performance Unit Award Agreement under the W. R. Berkley Corporation 2019 Long-Term Incentive Plan.
(31.1)	Certification of the Chief Executive Officer pursuant to Rule 13a-14(a)/ 15d-14(a).
(31.2)	Certification of the Chief Financial Officer pursuant to Rule 13a-14(a)/ 15d-14(a).
(32.1)	Certification of the Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

		W. R. BERKLEY CORPORATION
Date:	May 4, 2023	/s/ W. Robert Berkley, Jr.
		W. Robert Berkley, Jr.
		President and Chief Executive Officer
Date:	May 4, 2023	/s/ Richard M. Baio
		Richard M. Baio
		Executive Vice President - Chief Financial Officer

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EX-10.1

2023 Performance Unit Award Agreement

Under the W. R. Berkley Corporation 2019 Long-Term Incentive Plan

This 2023 Performance Unit Award Agreement (this “Agreement”), effective January 1, 2023, represents an Award of Performance Units by W. R. Berkley Corporation (the “Company”), to the Participant named below, pursuant to the provisions of the W. R. Berkley Corporation 2019 Long-Term Incentive Plan (as may be amended from time to time, the “Plan”). The value of the Performance Units will be determined based on the increase in the Company’s Book Value Per Share during the Performance Period, as determined below.

Important jurisdiction-specific modifications to this Agreement are contained in Exhibit A hereto and are binding and incorporated herein. If there is any inconsistency between this Agreement and Exhibit A, Exhibit A shall govern.

The Plan, together with this Agreement and Exhibit A, provide a complete description of the terms and conditions governing the Award and the Performance Units, and constitute the entire agreement by and between the parties hereto with respect to the subject matter hereof, superseding all prior agreements, correspondence and understandings and all prior and contemporaneous oral agreements and understandings, among the parties with regard to that subject matter. If there is any inconsistency between the terms of this Agreement and/or of Exhibit A, on the one hand, and the terms of the Plan, on the other hand, the Plan’s terms shall completely supersede and replace the conflicting terms of this Agreement and of Exhibit A. All capitalized terms in this Agreement shall have the meanings ascribed to them in the Plan, unless specifically set forth otherwise herein.

The parties hereto agree as follows:

1. General Grant Information. The individual named below has been selected to be a Participant in the Plan and receive a grant of Performance Units, as specified below:

(a) Participant:

(b) Number of Performance Units Granted:

(c) Initial Value of Performance Units: $0.00

(d) Date of Grant: January 1, 2023

(e) Performance Measure: Increase in Book Value Per Share, as set forth in Section 3 below.

2. Performance Period. The Performance Period commences on January 1, 2023, and ends on December 31, 2027; provided, however, that, in the event that the Participant dies or experiences a Qualifying Termination, the Performance Period for such Participant shall be deemed to end on December 31 of the fiscal year immediately prior to the fiscal year in which such death or Qualifying Termination occurred.

3. Value of a Performance Unit. Each Performance Unit shall have a value determined by multiplying the Increase in Book Value Per Share by four and one hundred twenty-eight thousandths (4.128), subject to a maximum value of one hundred dollars ($100.00) per Performance Unit.

4. Eligibility for Payment of Performance Units. The Participant shall only be eligible for payment of the value of Performance Units granted under this Agreement if (a) the Participant’s employment with the Company, or the applicable Subsidiary or Affiliate, continues through the end of the Performance Period; (b) the Participant has complied with the Obligations

as set forth in Section 5(d) at all times up to and including the Settlement Date; and (c) the Participant has not committed Misconduct at any time up to and including the Settlement Date.

5. Payout on Performance Units. (a) Except as set forth in Sections 5(b) or 8 below, the aggregate positive value, if any, of the Performance Units, based on the value of the Performance Units on the last day of the Performance Period as determined in accordance with this Agreement and subject to the maximum value set forth in Section 3 hereof, shall be paid to the Participant in cash following the last day of the Performance Period but in no event later than March 31, 2028 (also referred to as the Settlement Date).

(b) In the event of the death or Qualifying Termination of the Participant, payment of the value, if any, of the Performance Units in accordance with the terms of this Agreement shall extinguish the Company’s obligation hereunder, and the Participant shall not be entitled to any further payment or appreciation in the value of the Performance Units. In the event such payment is made due to the Participant’s death, such payment shall be made either (1) to the Participant’s designated beneficiary(ies) in the Company’s “Workday” human resources system (or any successor designation system approved by the Company), or (2) to the Participant’s estate if no beneficiary(ies) has been so designated by the Participant. Any payment upon death or any Qualifying Termination shall be made within ninety (90) calendar days following such death or Qualifying Termination; provided, however, that if such ninety (90) day period spans two separate taxable years, such payment shall be made in the later taxable year; provided further, however, that any payment hereunder (calculated as of the end of the fiscal year immediately prior to the fiscal year in which such Qualifying Termination occurred) upon a Qualifying Termination shall be delayed until the earlier of (x) March 31, 2028 and (y) such time as the Participant has also undergone a “separation from service” as defined in Treas. Reg. 1.409A-1(h), at which time such payment shall be made to the Participant according to the schedule set forth in this Section 5(b) as if the Participant had undergone such Qualifying Termination (under the same circumstances), solely for the purpose of the date of payment, on the date of such “separation from service.” Notwithstanding anything herein to the contrary, to the extent the Participant is a “specified employee” as defined in Treas. Reg. 1.409A-1(i), any payment to be made upon the Participant’s “separation from service” shall be delayed until and made upon the earlier of (i) the six (6) month anniversary of the Participant’s “separation from service” and (ii) the Participant’s death.

(c) Once a payment is made pursuant to Section 5(a) or (b) above or Section 8 below, the Company shall have no further obligation to make any payment hereunder.

(d) If at any time up to or including the last day of the Relevant Period, the Participant breaches one or more of Participant’s Obligations, or agrees to enter into, or has entered into, an agreement (written, oral or otherwise) to breach one or more of Participant’s Obligations, or engages in Misconduct, then (a) the Participant shall immediately forfeit all of the Performance Units that have been awarded to the Participant under this Agreement but have not been paid to him/her, and the Participant shall have no further rights with respect to such Performance Units; and (b) the Participant shall repay to the Company, upon its demand, an amount equal to the total amount that has already been paid to the Participant in respect of Performance Units awarded under this Agreement. The determination whether the Participant has breached one or more of Participant’s Obligations or has engaged in Misconduct shall be made by the Committee in its sole and absolute discretion. The Committee has sole and absolute discretion to determine whether, notwithstanding its determination that the Participant has breached one or more of Participant’s Obligations or has engaged in Misconduct, recapture or forfeiture as provided herein shall not occur. The Committee’s exercise or nonexercise of such discretion with respect

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to any particular event or occurrence by or with respect to the Participant or any other recipient of Performance Units under the Plan shall not in any way reduce or eliminate the authority of the Committee to (i) determine that any event or occurrence by or with respect to the Participant constitutes breaching one or more of Participant’s Obligations or engaging in Misconduct, or (ii) determine the related date of breach of the Participant’s Obligations or of Misconduct. The Participant acknowledges that the terms set forth herein with respect to breaching one or more of Participant’s Obligations, in view of the nature of the business in which the Company is engaged, is reasonable in scope (as to both the temporal and geographical limits) and necessary in order to protect the legitimate business interests of the Company. The Participant acknowledges further that breaching one or more of Participant’s Obligations or engaging in Misconduct would result in irreparable injuries to the Company and would cause loss in an amount that cannot be readily quantified. The Participant further acknowledges that repayment to the Company pursuant to this provision does not, and is not intended to, constitute actual or liquidated damages.

(e) The Participant’s employment per Section 4(a) will not be considered to continue if his or her employment has been terminated (regardless of the reason for such termination, regardless whether the termination was at Participant’s or Participant’s employer’s prompting, and regardless whether the termination is found to be invalid or in breach of applicable employment law or of the terms of the Participant’s employment agreement, if any), and unless otherwise expressly provided in this Agreement or determined by the Committee, the Participant’s eligibility for payment of the Performance Units awarded hereunder, if any, will terminate as of such date and will not be extended by any notice period arising under law or contract. Further, the Participant’s period of employment would not include any contractual notice period (except for such period of time, as determined in the Committee’s sole and absolute discretion, that the Participant is actively providing substantial services as required by the Participant’s employer during any notice period) or any period of “garden leave” or similar period arising under applicable employment laws or the terms of Participant’s employment agreement, if any.

6. Nontransferability. The Performance Units granted hereunder may not be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, except as otherwise expressly provided for in this Agreement and/or the Plan.

7. Administration. This Agreement and the rights of the Participant hereunder are subject to all the terms and conditions of the Plan, as the same may be amended from time to time, as well as to such rules and regulations as the Committee may adopt for administration of the Plan. It is expressly understood that the Committee is authorized to administer, construe, and make all determinations necessary or appropriate to the administration of the Plan and this Agreement, all of which shall be final and binding upon the Participant, including without limitation any determination concerning a breach of an Obligation or an instance of Misconduct.

8. Change in Control. In the event of a Change in Control, unless otherwise specifically prohibited under applicable law or by the rules and regulations of any governmental agencies or national securities exchanges:

(a) With respect to each outstanding Performance Unit that is assumed or substituted in connection with a Change in Control, in the event that the Participant’s employment with the Company or, as applicable, its Subsidiary or Affiliate, is terminated (i) by the Company or such Subsidiary or Affiliate without Cause or (ii) by the Participant for Good Reason, in each case during the eighteen (18) month period following such Change in Control, the value of all Performance Units shall be determined and fixed as of the end of the fiscal year immediately preceding the fiscal year in which such termination occurs, and such value shall be paid to the

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Participant in accordance with, and subject to, the provisions of Sections 4 and 5 hereof. Following such termination, Performance Units shall not accrue any additional value for the fiscal year in which such termination occurs or for any subsequent fiscal years.

(b) With respect to each outstanding Performance Unit that is not assumed or substituted in connection with a Change in Control, immediately upon the occurrence of the Change in Control, which shall be deemed the end of the Performance Period, the value of all Performance Units shall be determined and fixed as of the end of the fiscal year immediately preceding the fiscal year in which such Change in Control occurs, and such value shall be paid to the Participant within ninety (90) calendar days following the date of such Change in Control; provided, however, that if such ninety (90) day period spans two separate taxable years, such payment shall be made in the later taxable year. Following such Change in Control, Performance Units shall not accrue any additional value for the fiscal year in which such Change in Control occurs or for any subsequent fiscal years.

(c) For purposes of this Section 8, a Performance Unit shall be considered assumed or substituted for if, following the Change in Control, the Performance Unit is assumed or substituted for with one of comparable value and remains subject to the same terms and conditions that were applicable to the Performance Units immediately prior to the Change in Control.

(d) For purposes of this Section 8, an event shall only constitute a Change in Control if the event constituting a Change in Control also constitutes “a change in the ownership or effective control of the Company, or in the ownership of a substantial portion of the assets of the Company” within the meaning of Section 409A(a)(2)(A)(v) of the Code and the regulations promulgated thereunder.

9. Miscellaneous.

(a) This Agreement shall not confer upon the Participant any right to continuation of employment by the Company or any of its Subsidiaries or Affiliates, nor shall this Agreement interfere in any way with the Company’s or any Subsidiary’s or Affiliate’s right to terminate the Participant’s employment at any time.

(b) The Committee may terminate, amend, or modify the Plan; provided, however, that no such termination, amendment, or modification of the Plan may in any material way adversely affect the Participant’s rights under this Agreement.

(c) The Company or, as applicable, the Subsidiary or Affiliate whose employment of the Participant gives rise the Participant’s participation in the Plan, shall have the authority to deduct or withhold from any payment hereunder or from any other source of the Participant’s compensation, or may require the Participant to remit to the Company or such Subsidiary or Affiliate, before payment hereunder, an amount sufficient to satisfy federal, state, and local taxes (including Participant’s FICA obligation) required by law to be withheld with respect to any taxable event arising out of this Agreement.

(d) This Agreement shall be subject to all applicable laws, rules, and regulations, and to such approvals by any governmental agencies or national securities exchanges as may be required.

(e) To the extent not preempted by federal law, this Agreement shall be governed by, interpreted and construed in accordance with, the laws of the State of Delaware, regardless of its conflicts of laws principles. The jurisdiction and venue for any dispute arising under, or any action brought to enforce or otherwise relating to, this Agreement will be exclusively in the courts of the State of Delaware, including the federal courts located in Delaware in the event federal jurisdiction exists. Participant hereby irrevocably consents to the exclusive personal

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jurisdiction and venue of the federal and state courts of the State of Delaware for the resolution of any disputes arising out of, or relating to, this Agreement and irrevocably waives any claim or argument that the courts of the State of Delaware are an inconvenient forum. In any action arising under or relating to this Agreement, the court shall not have the authority to, and shall not, conduct a de novo review of any determination made by the Committee or the Company but is instead authorized to determine solely whether the determination was the result of fraud or bad faith under Delaware law.

(f) All obligations of the Company under the Plan and this Agreement with respect to the Performance Units shall be binding on any successor to the Company, whether the existence of such successor is the result of a direct or indirect purchase, merger, consolidation, or otherwise, of all or substantially all of the business and/or assets of the Company.

(g) The invalidity or unenforceability of any provision or provisions of this Agreement shall not affect the validity or enforceability of any other provision or provisions of this Agreement, which shall remain in full force and effect.If any provision of this Agreement is held to be invalid, void or unenforceable in any jurisdiction, the court shall substitute a valid, enforceable provision that preserves, to the maximum lawful extent, the terms and intent of the invalid, void, or unenforceable provision, and shall modify the Agreement so that the scope of the provision is reduced only to the minimum extent necessary to cause the modified provision to be valid, legal and enforceable.Such substitution or modification shall not affect the remainder of the provisions or their enforceability, including in jurisdictions other than the one of the court making the substitution or modification, or as to other participants in the Plan or other agreements under the Plan.

(h) By accepting an Award or any other benefit under the Plan, the Participant and each person claiming under or through the Participant shall be conclusively deemed to have indicated their acceptance and ratification of, and consent to, any action taken under the Plan by the Company, the Board or the Committee.

(i) TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, THE PARTICIPANT, EVERY PERSON CLAIMING UNDER OR THROUGH THE PARTICIPANT, AND THE COMPANY HEREBY WAIVE AND RELEASE ANY CLAIM UNDER FEDERAL, STATE OR LOCAL LAW THEY HAVE OR MAY HAVE TO A JURY TRIAL WITH RESPECT TO ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER, OR IN CONNECTION WITH THE PLAN OR THIS AGREEMENT OR ANY ACTIONS TAKEN OR DETERMINATIONS MADE UNDER THE PLAN OR THIS AGREEMENT.

(j) Definitions. The following terms shall have the meanings ascribed to them when used in this Agreement:

(i) “Beginning Book Value Per Share” means $30.21.

(ii) “Book Value Per Share” as of the end of any fiscal year shall be equal to the quotient of X divided by Z, where X is equal to the sum of A, B, C, D and E minus the sum of F, G and H, and Z is equal to the sum of W plus Y: [((A+B+C+D+E)-(F+G+H)) ÷ (W+Y)]. For purposes of this calculation,

(A) shall be equal to the Company’s total common stockholders’ equity as of the end of such fiscal year, as determined in accordance with generally accepted accounting principles and reported in the Company’s audited financial statements,

(B) shall be equal to the cumulative after-tax expense of the Company from January 1, 2023 through the end of such fiscal year arising from all the Awards made under the Plan,

(C) shall be equal to the cumulative cash dividends on the Company’s common stock declared from January 1, 2023 through the end of such fiscal year,

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(D) shall be equal to the cumulative cost of the Company’s common stock repurchased by the Company from January 1, 2023 through the end of such fiscal year,

(E) shall represent imputed interest on the cost of the Company’s common stock repurchased by the Company and the amount of special dividends (any dividend other than the regular quarterly cash dividend) paid by the Company during the Performance Period. Such interest shall be imputed on such repurchases and special dividends from the first day of the quarter following such repurchases and special dividends to the end of the Performance Period. The imputed interest rate shall be equal to the average annual Increase in Book Value Per Share for the Performance Period, before consideration of this subsection E,

(F) shall be equal to the Company’s accumulated other comprehensive income as of the end of such fiscal year,

(G) shall be equal to the cumulative unrealized gains and losses, net of tax, on equity securities (other than securities of consolidated subsidiaries or securities accounted for on the equity method) reported in retained earnings at the end of such fiscal year as a result of Accounting Standards Update 2016-01,

(H) shall be equal to the cumulative allowance for credit losses, net of tax, on applicable assets reported in retained earnings at the end of such fiscal year as a result of Accounting Standards Update 2016-13,

(W) shall be equal to the number of shares of the Company’s common stock issued and outstanding, net of treasury shares, as of the end of such fiscal year, and

(Y) shall be the cumulative number of shares of the Company’s common stock repurchased by the Company from January 1, 2023 through the end of such fiscal year.

Book Value Per Share shall be calculated without taking into account any forward or reverse split of the Company’s common stock or any stock dividend declared on the Company’s common stock and there shall be no adjustment to the number of Performance Units awarded hereunder in either event. Notwithstanding anything herein to the contrary the formula to determine Book Value Per Share may be further modified to take into account any factor set forth in Section 7.2 of the Plan.

(iii) “Cause” means “Cause” as defined in any active employment agreement between the Participant and the Company or any Subsidiary or Affiliate, as applicable, or, in the absence of any such definition, means the occurrence of any one of the following events, in each case as determined in the Committee’s sole and absolute discretion: (A) fraud, personal dishonesty, embezzlement or acts of gross negligence or gross misconduct on the part of the Participant in the course of his or her employment or services, (B) the Participant’s engagement in conduct that is materially injurious to the Company, a Subsidiary or an Affiliate, (C) the Participant’s conviction by a court of competent jurisdiction of, or pleading “guilty” or “no contest” to, (x) a felony or (y) any other criminal charge (other than minor traffic violations) which could reasonably be expected to have a material adverse impact on the Company’s or a Subsidiary’s or an Affiliate’s reputation or business; (D) public or consistent drunkenness by the Participant or his or her illegal use of narcotics which is, or could reasonably be expected to become, materially injurious to the reputation or business of the Company, a Subsidiary or an Affiliate or which impairs, or could reasonably be expected to impair, the performance of the Participant’s duties to the Company, a Subsidiary or an Affiliate; (E) willful failure by the Participant to follow the lawful directions of a superior officer; or (F) the Participant’s continued and material failure to fulfill his or her employment obligations to the Company or any Subsidiary or Affiliate.

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(iv) “Client” means any insured, agent, broker, producer or other intermediary to or through whom the Company or any Subsidiaries or Affiliates provides insurance or reinsurance or related services.

(v) “Confidential Information” means an item of information or a compilation of information, in any form (tangible or intangible), related to the business of the Company or of a Subsidiary or Affiliate that the Company or such Subsidiary or Affiliate has not made known to the general public or authorized disclosure to the general public, and that is not generally known to the public through proper means, including but not limited to:

A.underwriting premiums or quotes, pricing models and formulas, income and receipts, claims records and levels, renewals, policy wording and terms, reinsurance quotas, and profit commission;

B.operating unit or other business projections and forecasts;

C.Client lists, brokers lists and price-sensitive information;

D.technical information, including computer programs, reports, interpretations, forecasts, corporate and business plans and accounts, business methods, financial details, projections and targets;

E.remuneration and confidential personnel details concerning other employees or contractors of the Company or any Subsidiary or Affiliate;

F.planned products, planned services, marketing surveys, research reports, market share and pricing statistics, budgets, and fee levels;

G.computer passwords, the contents of any databases, tables, internal templates, know–how, and training documents or materials;

H.commissions, commission charges, pricing policies and all information about research and development; and

I.the Company’s, and its Subsidiaries’ and Affiliates’, Clients’ or Prospective Clients’ names, addresses (including email addresses), telephone, facsimile or other contact numbers and contact names, the nature of such Clients’ or Prospective Clients’ business operations, such Clients’ or Prospective Clients’ requirements for services supplied by the Company or its Subsidiaries and Affiliates, and all confidential aspects of such Clients’ or Prospective Clients’ relationships with the Company and its Subsidiaries and Affiliates.

Participant acknowledges that in the course of performing services for the Company and/or its Subsidiaries and Affiliates, the Participant has had and will have access to Confidential Information.

(vi) “Covered Business Partner” means any person, concern or entity (including, without limitation, any Client) as to which Participant, or persons supervised by Participant, had business-related contact or received or learned Confidential Information during the most recent two years of Participant’s employment with the Company or its Subsidiaries or Affiliates or such shorter period of time as employed (the “Look Back Period”).

(vii) “Disability” means the inability of the Participant to continue to perform services for the Company or any Subsidiary or Affiliate, as applicable, on account of his or her total and permanent disability as determined by the Committee in its sole and absolute discretion.

(viii) “Ending Book Value Per Share” means the highest Book Value Per Share determined as of the end of each fiscal year in the Performance Period.

(ix) “Good Reason” means “Good Reason” as defined in any active employment agreement between the Participant and the Company or any Subsidiary or Affiliate, as applicable, or, in the absence of any such definition, means the occurrence of any one of the following

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events (unless the Participant agrees in writing that such event shall not constitute Good Reason), in each case as determined in the Committee’s sole and absolute discretion: (A) a material reduction in the Participant’s duties or responsibilities from those in effect immediately prior to a Change in Control; (B) a material reduction in the Participant’s base salary below the levels in effect immediately prior to a Change in Control; or (C) relocation of the Participant’s primary place of employment to a location more than fifty (50) miles from its location, and further from the Participant’s primary residence, immediately prior to a Change in Control; provided, however, that with respect to any Good Reason termination, the Participant gives the Company, or the Subsidiary or Affiliate by which the Participant is employed, not less than thirty (30) days’ written notice (within sixty (60) days of the occurrence of the event constituting Good Reason) of the Participant’s intention to terminate the Participant’s employment for Good Reason, and states in detail in such notice the particular act or acts, or failure or failures to act, that constitute(s) the grounds on which the proposed termination for Good Reason is based, and such termination shall be effective at the expiration of such thirty (30) day notice period only if during such period the Company has not fully cured such act or acts or failure or failures to act that otherwise would constitute Good Reason. Further, any provision in this definition to the contrary notwithstanding, in order to constitute a termination for Good Reason, such termination must occur within six (6) months of the initial existence of the applicable condition.

(x) “Increase in Book Value Per Share” means the amount, if any, by which the Ending Book Value Per Share exceeds Beginning Book Value Per Share for the Performance Period.

(xi) “Misconduct” means the Participant’s engagement, during the Participant’s employment with the Company or any Subsidiary or any Affiliate, in an act which would, in the sole and absolute discretion of the Committee, constitute fraud that could be punishable as a crime, or embezzlement against either the Company, any Subsidiary or any Affiliate.

(xii) “Obligations” means to not, either directly or indirectly, whether as an employee, consultant, independent contractor, partner, joint venturer or otherwise: (A) engage in or direct any business activities, except those which are ministerial or clerical in nature, which are competitive with any business activities conducted by the Company or any Subsidiary or Affiliate during all of or part of the Relevant Period in or directed into any geographical area (x) where the Participant had responsibilities on behalf of the Company, Subsidiary or Affiliate, or about which the Participant received Confidential Information and (y) in which the Company, Subsidiary or Affiliate has engaged in business during all of or part of the Relevant Period; (B) on behalf of any person or entity engaged in business activities competitive with the business activities of the Company or any Subsidiary or Affiliate, solicit or induce, or in any manner attempt to solicit or induce, any person employed by, or as an agent or producer of, the Company, Subsidiary or Affiliate to terminate such person's employment or agency or producer relationship, as the case may be, with the Company, Subsidiary or Affiliate; (C) divert, or attempt to divert, any Covered Business Partner from doing business with the Company or any Subsidiary or Affiliate, or attempt to induce any Covered Business Partner to cease being a customer of the Company, Subsidiary or Affiliate; (D) solicit a Covered Business Partner to do business with a competitor or prospective competitor of the Company or any Subsidiary or Affiliate; or (E) disclose, make use of, or attempt to make use of, property or Confidential Information of the Company or any Subsidiary or Affiliate, other than in the course of the performance of services to, or at the direction of, the Company, Subsidiary or Affiliate.

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(xiii) “Prospective Client” means any person, concern or entity (including, without limitation, any potential insured, agent, producer or other intermediary) with whom or which the Committee determines in its sole and absolute discretion that Participant knew or should have known that the Company or any of its Subsidiaries or Affiliates has been in negotiations during the Look Back Period to provide insurance or reinsurance or related services.

(xiv) “Qualifying Termination” means the termination of the Participant’s employment with the Company and all Subsidiaries and Affiliates prior to the end of the Performance Period as a result of: (i) Disability or Retirement; (ii) an action by the Company or a Subsidiary or Affiliate, as applicable, for any reason other than Cause; or, (iii) following a Change in Control, an action by the Participant for Good Reason.

(xv) “Relevant Period” means the period beginning on the date hereof through the second anniversary of the Settlement Date.

(xvi) “Retirement” means the Participant’s retirement from service with the Company and all Subsidiaries and Affiliates with either the written consent of the Executive Chairman of the Board of the Company or the written consent of the Committee.

(xvii) “Settlement Date” means the date on which the value of the Performance Units is actually paid to the Participant.

10. Counterparts and Signatures. This Agreement may be signed in counterparts, each of which shall be an original, and all of which shall be construed together as a single instrument. This Agreement may be signed with electronic or facsimile signatures, and the instrument or a counterpart of the instrument so signed shall be an original with the same validity and effect as one with a physical signature.

11. Protected Conduct. Nothing in this Agreement (a) prohibits the Participant from reporting an event that the Participant reasonably and in good faith believes is a violation of law to the relevant law-enforcement agency (such as the Securities and Exchange Commission or Department of Labor), (b) requires notice to or approval from the Company before doing so, or (c) prohibits the Participant from cooperating in an investigation conducted by such a government agency. Further Participant is hereby advised that under the Defend Trade Secrets Act of 2016 (DTSA), no individual will be held criminally or civilly liable under federal, state or local trade secret law for the disclosure of a trade secret that: (i) is made in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney; and made solely for the purpose of reporting or investigating a suspected violation of law; or, (ii) is made in a complaint or other document filed in a lawsuit or other proceeding if such filing is made under seal. Also, the DTSA further provides that an individual who files a lawsuit for retaliation by an employer for reporting a suspected violation of the law may disclose the trade secret to the attorney of the individual and use the trade secret information in the court proceeding, if the individual files any document containing the trade secret under seal, and does not disclose the trade secret, except pursuant to court order. To the extent that the Participant is covered by Section 7 of the National Labor Relations Act (NLRA) because the Participant is not in a supervisor or management role, nothing in this Agreement shall be construed to prohibit the Participant from using information the Participant acquires regarding the wages, benefits, or other terms and conditions of employment at the Company for any purpose protected under the NLRA.

[Signatures to appear on following page]

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IN WITNESS WHEREOF, the parties have caused this Agreement to be executed effective as of January 1, 2023.

    W. R. Berkley Corporation

    By:    __________________________

Name:
    Title:

        ______________________________

    Participant

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EXHIBIT A

JURISDICTION SPECIFIC MODIFICATIONS

As used in this Exhibit A, the term “Company” includes W. R. Berkley Corporation and all of its Subsidiaries and Affiliates.

I. States of the United States of America

A. All States. The Participant is advised to consult with an attorney prior to accepting the award under this Agreement. The Obligations set forth in this Agreement are consideration for the benefits granted to the Participant hereunder and are designed, among other things, to protect the Company’s trade secrets. Participant has been provided a minimum of 14 days to review this Agreement before accepting its terms and conditions. This Agreement does not apply to the extent that Participant is not compensated in an amount exceeding any applicable minimum wage threshold established by the state in which Participant primarily resides and works or as otherwise provided by law. The inclusion of state law references in this Exhibit A does not mean that this Agreement constitutes a non-competition agreement.

B.California. For so long as the Participant primarily resides and works in California and is subject to the laws of California: (i) no provision or requirement of this Agreement, including Section 9(e) will be applied, construed or interpreted in a manner contrary to the express public policy of the State of California; (ii) the Obligations in Section 9(j)(xii)(A) shall not apply; (iii) Sections 9(j)(xii)(C) and (D) shall be limited to situations where the Participant is aided in his or her conduct by the Participant’s use or disclosure of trade secrets (as defined by applicable law); and (iv) Section 9(i) shall not apply.

C. Colorado. If Participant primarily resides and works in Colorado at the time of termination of employment, and is subject to the laws of Colorado, (i) no provision or requirement of this Agreement, including Section 9(e), will be applied, construed or interpreted in a manner contrary to the express public policy of the State of Colorado; (ii) the Obligations in Section 9(j)(xii)(A) shall only apply post-employment if at the time of the award and at the time of the alleged breach or Participant’s separation from employment with the Company, Participant received annualized cash compensation from the Company equivalent to or greater than the threshold amount for Highly Compensated Workers as specified under Colorado law, namely, in 2022, $101,250, as from time to time adjusted under Colorado law; (iii) the Obligations in 9(j)(xii)(B)-(D) shall only apply if at the time the award was granted and at the time of the alleged breach of Participant’s separation from employment with the Company, Participant received annualized cash compensation equivalent to or greater than sixty percent of the threshold amount for Highly Compensated Workers as specified under Colorado law, namely, in 2022, $60,750, as from time to time adjusted under Colorado law; and (iv) the first and last sentences of Section 9(e) is amended to replace “Delaware” with “Colorado.”

D.District of Columbia. If (i) the Participant spends more than 50% of his or her work time with the Company working in the District of Columbia (the “District”); or (ii) Participant’s employment for the Company is based in the District and the Participant regularly spends a

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substantial amount of his or her work time for the Company in the District and not more than 50% of his or her work time for the Company in another jurisdiction; then (i) no provision or requirement of this Agreement will be applied, construed or interpreted in a manner contrary to the express public policy of the laws of the District of Columbia; (ii) the Obligations in Section 9(j)(xii)(A) shall only apply if the Participant is compensated by the Company more than $150,000 in 2022; this amount increases in proportion to the annual average increase, if any, in the Consumer Price Index for All Urban Consumers in the Washington Metropolitan Statistical Area published by the Bureau of Labor Statistics of the United States Department of Labor for the previous calendar year adjusted to the nearest whole dollar. This Agreement does not contain a non-compete agreement. The District of Columbia Ban on Non-Compete Agreements Amendment Act of 2020 limits the use of non-compete agreements. It allows employers to request non-compete agreements from “highly-compensated employees” under certain conditions. Based on the foregoing, the Company has determined that you are a highly-compensated employee. For more information about the Ban on Non-Compete Agreements Amendment Act of 2020, contact the District of Columbia Department of Employment Services.

E. Massachusetts.For so long as Massachusetts General Laws Part I Title XXI Chapter 149 Section 24 L applies to the obligations of Participant under this Agreement: (i) the Obligations in Sections 9(j)(xii)(A), (C) and (D) will only apply within any geographical area (x) where Participant had responsibilities on behalf of the Company or about which Participant received Confidential Information during the Look Back Period and (y) in which the Company is engaged in business; (ii) Section 9(j)(xii)(A) is further limited to situations where Participant is performing services that are the same as or similar in function or purpose to the services Participant performed for the Company (as appropriate) during the Look Back Period and are not enforceable if the Participant has been terminated without cause or laid off; (iii) the second and third sentences of Section 9(e) are amended to replace “Delaware” with “Massachusetts”; (iv) Section 5(d) is amended by inserting after the phrase “If at any time up to or including the last day of the Relevant Period” with the following: “and in no event longer than one year after the date the Participant terminates employment with the Company”; and (v) this Agreement is amended to add the following new Section 12:

SECTION 12. The Company and Participant agree that the grant of Performance Units to Participant is fair and reasonable consideration for the obligations of Participant in this Agreement. The Company and Participant agree that the grant of Performance Units is consideration for the Participant’s Obligations under Section 5(d) and Section 9(j)(xii)(A) (as applicable) of this Agreement (as such Obligations are modified by Exhibit A hereto) during the duration of such Obligations. For the avoidance of doubt, Participant has the right to consult with an attorney prior to accepting this award. Participant acknowledges that Participant has been given at least ten business days to accept this award.

F. North Dakota. For so long as the Participant resides in and is subject to the laws of North Dakota: (i) no provision or requirement of this Agreement shall be construed or interpreted in a manner contrary to the express public policy of the State of North Dakota; (ii) the Obligations in Section 9(j)(xii)(A) shall not apply; and (iii) Sections 9(j)(xii)(C) and (D) shall be limited to situations where the Participant is aided in his or her conduct by the Participant’s use or disclosure of trade secrets (as defined by applicable law).

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G. Oklahoma. For so long as the Participant resides in and is subject to the laws of Oklahoma: (i) the Obligations in Section 9(j)(xii)(A) shall not apply and (ii) “Covered Business Partner” of the Company means any individual, company, or business entity (including, without limitation, any Client) with which the Company has transacted business within the Look Back Period and with which the Participant, or persons supervised by the Participant, had material business-related contact or about which the Participant had access to Confidential Information during the Look Back Period.

H. Puerto Rico. For so long as Participant primarily resides and works in the Commonwealth of Puerto Rico (“Puerto Rico”) and is subject to the laws of Puerto Rico: (i) the Obligations in Section 9(j)(xii)(A) shall only apply up to one year following such termination of employment with the Company in any geographical area within Puerto Rico where Participant had responsibilities on behalf of the Company or where Participant received Confidential Information during the one-year period prior to the termination of employment with the Company; (ii) Section 9(j)(xii)(A) is further limited to situations where Participant is performing services that are the same as or similar in function or purpose to the services Participant performed for the Company or its subsidiary/subsidiaries (as appropriate), or that call for the application of the same or similar specialized knowledge or skills as those utilized by Participant in the services Participant provided to the Company or its subsidiary/subsidiaries (as appropriate), during the one-year period prior to the termination of Participant’s employment with the Company or any subsidiary thereof; (iii) Section 9(j)(vi) is amended to read as follows: “Covered Business Partner” shall mean any person, concern or entity (including, without limitation, any Client) with respect to whom Participant did business on behalf of the Company or any subsidiary thereof, or who were personally served by Participant or as to which Participant received or learned of Confidential Information, during the most recent two years of Participant’s employment with the Company or any subsidiary thereof, or such shorter period of time as employed (the “Look Back Period”); and (iv) this Agreement is amended to add the following new Section 12:

“SECTION 12. The Company and Participant agree that the grant of the Performance Units to Participant is fair and reasonable consideration for the Participant’s Obligations under Section 5(d) and Section 9(j)(xii) of this Agreement (as such Obligations are modified by Exhibit A hereto). Participant acknowledges that Participant has been advised that Participant has the right to consult with an attorney prior to accepting this award.”

I.Washington. With respect to Participant’s post-employment obligations to the Company, for so long as Participant primarily resides and works in Washington and is subject to the laws of Washington: (a) the Obligations in Section 9(j)(xii)(A) shall only apply if Participant’s annualized earnings from the Company exceed the statutory wage threshold, which in 2023 is $116,593.18 per year, or, if Participant is a consultant, $291,482.95 (as adjusted annually in accordance with Section 5 of Washington HP 1450); (b) the Obligations in Section 9(j)(xii)(A) shall not be enforced against Participant if Participant is terminated from employment without cause or if Participant is laid off unless the Company pays the Participant during the Relevant Period an amount equal to the Participant’s base salary at the time of termination less any compensation earned by Participant during the Relevant Period; and (c) Section 9(e) shall not apply. Participant further understands that for the limited purposes of the application of Section

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9(j)(xii)(A), “cause” to terminate Participant’s employment exists if Participant has (i) committed, admitted committing, or plead guilty to a felony or crime involving moral turpitude, fraud, theft, misappropriation, or dishonesty, (ii) violated a material term of this Agreement or Company policy, (iii) engaged in insubordination, or failed or refused to perform assigned duties of Participant’s position despite reasonable opportunity to perform, (iv) failed to exercise reasonable care and diligence in the exercise of Participant’s duties for the Company, or (iv) engaged in conduct or omissions that Participant knew, or should have known (with the exercise of reasonable care), would cause, or be likely to cause, harm to the Company or its reputation in the business community. Participant agrees that this grant of Performance Units is independent consideration for the Obligations.

II. Countries Other than the United States of America

A. Argentina. For an Argentinian resident, for so long as the Participant resides in Argentina and is subject to the laws of Argentina:

1.Section 9(e) shall be deleted in its entirety and replaced with the following:

“(e) This Agreement shall be construed and interpreted in accordance with the laws of Argentina. The Participant hereby irrevocably consents to the exclusive personal jurisdiction of the Argentine courts for the resolution of any disputes arising out of, or relating, to this Agreement.”

(ii) This Agreement shall not be effective unless the Participant physically signs an original Agreement.

B. Australia. For an Australian resident, for so long as the Participant resides in Australia and is subject to the laws of Australia:

a.Section 9(e) shall be deleted in its entirety and replaced with the following:

“(e) This Agreement shall be construed and interpreted in accordance with the laws of the State of New South Wales in Australia. The Participant hereby irrevocably consents to the personal jurisdiction of the federal and state courts of the State of New South Wales in Australia for the resolution of any disputes arising out of, or relating to, this Agreement.”

a.The provisions in “Addendum for Australia, Canada, Hong Kong and Singapore” set forth below shall be applicable.

C. Canada. For a Canadian resident, for so long as the Participant resides in Canada and is subject to the laws of Canada:

The provisions in “Addendum for Australia, Canada, Hong Kong and Singapore” set forth below shall be applicable.

D. Colombia. For a Colombian resident, for so long as the Participant resides in Colombia and is subject to the laws of Colombia:

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The Participant agrees that the Performance Units rights derived from this Agreement are not consideration for the services rendered by the Participant in Colombia. For this Agreement to be effective, the Participant must enter into a local agreement, governed by Colombian laws, with the Participant’s current employer in which the Participant agrees to the statement in the prior sentence.

E. Hong Kong. For a Hong Kong resident, for so long as the Participant resides in Hong Kong and is subject to the laws of Hong Kong:

a.Section 6 shall be deleted in its entirety and replaced with the following:

SECTION 6. Non-Transferability. (a) Subject to Section 6(b) below and except as specifically consented to by the Committee, the Participant may not sell, transfer, pledge, or otherwise encumber or dispose of the Performance Units other than by will, the laws of descent and distribution, or as otherwise provided for in the Plan.

(b) Notwithstanding any other provisions of this Agreement, if the Participant resides in, or received this offer in Hong Kong, the Participant shall have no rights or entitlement to sell, transfer or otherwise dispose of the Performance Units, except if such sale, transfer or disposal is permitted pursuant to the Plan and specifically consented to by the Committee.

a.The provisions in “Addendum for Australia, Canada, Hong Kong and Singapore” set forth below shall be applicable.

F. Norway. For a Norwegian resident, for so long as Participant resides in Norway and is subject to the laws of Norway:

a.In Section 5(d), the words “or Solicitation” shall be added, in each instance after the word “Obligation(s)”;

a.In Section 5(d), in the first sentence, solely with respect to Solicitation, the phrase “Relevant Period” shall be replaced with “the first anniversary of the Settlement Date”;

a.In Section 9(j)(xii), subsections (C) and (D) shall be deleted and subsection (E) shall be renumbered as subsection (C); and

a.In Section 9(j), the following new subsection (xvii) shall be added:

“(xvii) ”Solicitation”. For purposes of this Agreement, the Participant has engaged in "Solicitation" if the Participant from the date hereof through the first anniversary of the Settlement Date, directly or indirectly (i) diverts, or attempts to divert, any person, concern or entity from doing business with the Company or attempts to induce any such person, concern or entity to cease being a customer of the Company, (ii) solicits the business of the Company or (iii) influences customers, suppliers and/or other business associates/contract parties of the Company to limit or terminate their relationship with the Company . With respect to customers, the preceding sentence only applies to customers which the Participant has had contact with and/or responsibility for during the last 12 months prior to the time of the written statement as mentioned below.

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(v) In Section 5, a new subsection (f) shall be added:

(f) The Company may, upon the request from the Participant and in connection with termination, summary dismissal or other cessation of employment, decide whether and to what extent the Participant’s obligation to refrain from Solicitation shall be invoked. With respect to customers, the procedure in connection with such a decision shall comply with the mandatory provisions of Chapter 14A in the Norwegian Working Environment Act, including the specification of which customers are covered by the Participant’s obligation to refrain from Solicitation in a written statement.”

G. Singapore. For a Singaporean resident, for so long as the Participant resides in Singapore and is subject to the laws of the Republic of Singapore:

a.In first sentence of Section 5(d), the phrase “that, in the Committee’s sole and absolute discretion, reflects the seriousness of the breach of the Obligation(s) and/or Misconduct; the maximum amount that the Company may demand from the Participant is” shall be added after the words “an amount” ;

a. In Section 5(d), in the last sentence, all words following the phrase “pursuant to this provision” shall be deleted and replaced with “are reasonable.”

a. Section 9(e) shall be deleted in its entirety and replaced with the following:

“(e) This Agreement shall be construed and interpreted in accordance with the laws of the State of Delaware. The Participant hereby irrevocably consents to the personal jurisdiction of the courts of the Republic of Singapore for the resolution of any disputes arising out of, or relating to, this Agreement.”

a. The provisions in “Addendum for Australia, Canada, Hong Kong and Singapore” set forth below shall be applicable.

H. United Kingdom. For a United Kingdom resident, for so long as the Participant resides in the United Kingdom and is subject to the laws of England and Wales or if the Participant is employed under an employment contract which is governed by English law at the time of grant of the Performance Units: (i) in Section 4(b) the phrase “the Obligations set forth in Section 5(d)” shall be deleted and replaced with “the Obligations set forth in Exhibit A II. Countries other than the United States of America: United Kingdom” and (ii) the following terms and provisions shall amend and supersede the terms and provisions of Section 5(d), Section 9(e), Section 9(j)(iv), Section 9(j)(v), Section 9(j)(vi), Section 9(j)(xi), Section 9(j)(xii) and Section 9(j)(xiii) of this Agreement as follows:

1. TERMINATION OF EMPLOYMENT

With effect from the earlier of the date of termination of the Participant’s employment or the date that the Participant gives or receives notice of termination of the Participant’s employment for any reason, any unsettled Performance Units shall lapse and be forfeited (except as set out in Section 5(b) of this Agreement and subject to the forfeiture provisions in paragraph

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3 below) and the Participant shall have no further rights with respect to any such unsettled Performance Units.

2. PARTICIPANT OBLIGATIONS

2.1 The Participant covenants with the Company and the Group that the following acts constitute a breach of Participant’s Obligations unless authorized by the Company:

2.1.1. during the Relevant Period directly or indirectly being employed, engaged or retained by or otherwise concerned or interested in any Competing Business. For this purpose, the Participant is directly or indirectly employed, engaged or retained by or concerned or interested in a Competing Business if:

(a) the Participant carries it on as principal or agent; or

(b) the Participant is a partner, director, employee, secondee, consultant or agent in, of or to any person who carries on the Competing Business;

(c) the Participant has any direct or indirect financial interest (as shareholder, creditor or otherwise) in any person who carries on the Competing Business; and/or

(d) the Participant is a partner, director, employee, secondee, consultant or agent in, of or to any person who has a direct or indirect financial interest (as shareholder, creditor or otherwise) in any person who carries on the Competing Business,

disregarding any financial interest the Participant may have in securities which are listed or dealt in on a recognised investment exchange if the Participant is interested in securities which amount to less than 3% of the issued securities of that class and which, in all circumstances, carry less than 3% of the voting rights (if any) attaching to the issued securities of that class;

2.1.2 during the Relevant Period and whether directly or indirectly, either alone or with or on behalf of any person, firm, company or entity and whether on his or her own account or as principal, partner, shareholder, director, employee, consultant or in any other capacity whatsoever, having any business dealings with any Client or Prospective Client in relation to or for the benefit of a Competing Business;

2.1.3 during the Relevant Period and whether directly or indirectly, either alone or with or on behalf of any person, firm, company or entity and whether on his or her own account or as principal, partner, shareholder, director, employee, consultant or in any other capacity whatsoever, canvassing or soliciting business or custom from or seek to entice away any Client or Prospective Client from the Company or any Group Company in relation to or for the benefit of a Competing Business;

2.1.4 during the Relevant Period, directly or indirectly, soliciting or endeavouring to solicit the employment or engagement of any Key Employee (whether or not such person would thereby breach their contract of employment or engagement);

2.1.5 at any time after the Termination Date representing himself as being in any way connected with (other than as a former employee) or interested in the business of the Company or any Group Company or using any registered names, domain names or trading names the same

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as or that could reasonably be expected to be confused with any such names used by the Company or any Group Company.

2.1.6 before or after the Termination Date, and except in the proper performance of his or her duties of employment by the Company or any Group Company, directly or indirectly using for his or her own purposes or those of a third party or disclosing to any third party any Confidential Information. The Participant will use his or her best endeavours to prevent any unauthorised use or disclosure of Confidential Information. The obligations contained in this clause 2.1.6 will not apply to any disclosures required by law or to any information or documents which after the Termination Date are in the public domain other than by way of unauthorised disclosure.

2.2 The Participant gives the covenants above to the Company as trustee for itself (and any company forming part of the Group).

2.3 Each Obligation contained in this clause 2 is an entirely separate and independent Obligation, despite the fact that they may be contained in the same phrase, and if any part is found to be unenforceable the remainder will remain valid and enforceable.

2.4 While the Obligation in this clause 2 are considered by the parties to be fair and reasonable in the circumstances, it is agreed that if any such Obligation restriction should be held to be void or ineffective for any reason but would be treated as valid and effective if some part of parts for the Obligation were deleted, the Obligation in question will apply with such deletion as may be necessary to make it valid and effective.

2.5 If, during the Participant’s employment or any period during which these Obligations apply, any person, firm, company or entity offers the Participant any employment, engagement, arrangement or contract which might or would cause him or her to breach any of the Obligations, he or she will notify that person, firm, company or entity of the terms of these Obligations.

2.6 The length of time concerning any Relevant Period concerning the Participant’s activities after the Termination Date imposed pursuant to clauses 2.1.1 to 2.1.4 shall be reduced pro rata by any period of garden leave served by the Participant pursuant to his or her service agreement with the Company or any Group Company.

2.7 If the Compensation Committee determines in its sole and absolute discretion that Participant has breached any of the covenants contained in clauses 2.1.1 to 2.1.6, then any unsettled Performance Units will lapse with immediate effect and the Compensation Committee may exercise its discretion to direct the Participant to return all amounts paid to the Participant in respect of the Performance Units within the Relevant Period to the Company within 14 days of being notified by the Company of its discovery of the breach.

2.8 In this clause, the following definitions shall apply:

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“Client”

means any person, firm, company or other business entity whom or which during the Relevant Business Period: (a) to whom the Company or any Group Company provided insurance or reinsurance; or (b) was an insurance intermediary which introduced such insurance or reinsurance business to the Company or any Group Company, and in each case with whom or which during the Relevant Business Period: a.the Participant (or any person reporting to the Participant) had Material Dealings in relation to Relevant Business; or b.about whom or which the Participant has had Confidential Information during the course of his or her employment.

“Competing Business”

means any business which at any time is in or which intends to be in competition with any Relevant Business.

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“Confidential Information”

means any and all information which is of a confidential nature or which the Company reasonably regards as being confidential or a trade secret concerning the business, business performance or prospective business, financial information or arrangements, plans or internal affairs of the Company, any Group Company or any of their respective Clients or Prospective Clients including without prejudice to the generality of the foregoing all information, records and materials relating to: a.underwriting premiums or quotes, pricing models and formulas, income and receipts, claims records and levels, renewals, policy wording and terms, reinsurance quotas, and profit commission; b.syndicate or other business projections and forecasts; c.Client lists, brokers lists and price sensitive information; d.technical information, including computer programs, reports, interpretations, forecasts, corporate and business plans and accounts, business methods, financial details, projections and targets; e.remuneration and personnel details concerning other Company employees or contractors; f.planned products, planned services, marketing surveys, internal templates, training materials, research reports, market share and pricing statistics, budgets, fee levels; g.computer passwords, the contents of any databases, tables, know how documents or materials; h.commissions, commission charges, pricing policies and all information about research and development; and i.the Company’s or any Group Company’s Clients’ or Prospective Clients’ names, addresses (including email addresses), telephone, facsimile or other contact numbers and contact names, the nature of their business operations, their requirements for services supplied by the Company or any Group Company and all confidential aspects of their relationship with the Company or any Group Company.

“directly or indirectly”

means (without prejudice to the generality of the expression) either alone or jointly with or on behalf of any other person and whether on his or her own account or in partnership with another or others or as the holder of any interest in or as officer, employee or agent of or consultant to any other person.

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“Group”	means the Company, its subsidiaries or holding companies from time to time and any subsidiary of any holding company from time to time; and “Group Company” means any company within the Group.
“Key Employee”	means any director or officer of the Company or any Group Company and/or any employee (other than administrative or clerical personnel) of the Company or any Group Company, in each case who, at any time during the Relevant Business Period: a.was employed by the Company or any Group Company; and b.with whom the Participant has had Material Dealings or exercised control or had management responsibility for; and/or c.has had access to or has obtained Confidential Information during the Relevant Business Period.
“Material Dealings”	means receiving orders, instructions or enquiries from, contracting or making preparations to contract with, making sales or presenting to or with, tendering for business from, having responsibility with or for, having personal knowledge of or otherwise having significant other contact.
“Prospective Client”	means any person, firm, company or other business entity who was at any time during the Relevant Business Period: (a) in negotiations with the Company or any Group Company for the provision of insurance or reinsurance; or (b) an insurance intermediary who may introduce such insurance or reinsurance business to the Company or any Group Company, and in each case with whom or which during the Relevant Business Period: a.the Participant (or any person reporting to the Participant) had Material Dealings in relation to Relevant Business; or b.about whom or which the Participant has had Confidential Information during the course of Participant’s employment. Provided that this definition shall not apply to any such person, firm, company or other business entity which has withdrawn from or discontinued such negotiations or discussions, having stated its intention to do so (other than through any unlawful activity by the Participant).

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“Relevant Business”	means any class or classes of insurance or reinsurance business which was underwritten in the twelve months immediately prior to the Termination Date by the Company or any Group Company and with which the Participant was directly or indirectly materially concerned or involved or had personal knowledge in the course of Participant’s duties during the Relevant Business Period.
“Relevant Business Period”	means (1) during employment, the twelve month period immediately prior to the action or activity that may be in breach of clauses 2.1.1 to 2.1.4 and (2) after termination of employment, the twelve month period immediately prior to the Termination Date. This defined term shall replace the term “Look Back Period” in the body of this Agreemen
“Relevant Period”	means the period beginning on the date hereof and ending two years following the Settlement Date.
“Termination Date”	means the date on which the Participant’s employment or engagement with the Company terminates for any reason.

3. CLAWBACK

3.1 If at any time under the terms of this Agreement the Committee becomes aware of any material wrongdoing, negligence or misconduct on the part of the Participant that would have entitled the Company to terminate the Participant's employment with or without notice for Cause, the Compensation Committee shall have the sole and absolute discretion to find breach and (x) if such material wrongdoing, negligence or misconduct occurred prior to the Settlement Date, all Performance Units will lapse with immediate effect or (y) if such material wrongdoing, negligence or misconduct occurred on or after the Settlement Date or occurred prior to the Settlement Date but was not discovered until after the Settlement Date, the Compensation Committee shall have the sole and absolute discretion, to recover from the Participant up to 100% of the amount paid on the Settlement Date to the Participant in respect of the Performance Units (which have been settled within the 2 years prior to such determination by the Committee) to the Company within 14 days of being notified in writing by the Company of its discovery of the material wrongdoing, negligence or misconduct.

3.2 Clause 3.1 is without prejudice to the Company's other remedies under any other agreements with Participant or any other clawback policy that the Company may adopt from time to time as required by applicable laws or the applicable listing rules of any securities exchange or its remedies under other applicable law.

3.3 The Committee may review any Performance Units granted to the Participant under the terms of this Agreement, in light of:

a.there being a significant deterioration in the financial health of the Company, the Group or the business area or team in which the Participant worked;

b.the Participant having caused harm to the reputation of the Company or the Group;

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c.the Participant having deliberately misled the Company in relation to the financial performance of the Company, the Group or the business area or team in which he or she worked; and/or

d.the Participant’s actions having amounted to gross misconduct, incompetence or negligence.

Following a review, the Committee may, in its sole discretion, (x) if prior to the Settlement Date, determine that up to 100% of any unsettled Performance Units granted under this Agreement will lapse with immediate effect or, (y) if on or after the Settlement Date, the Company will be entitled in its absolute discretion to recover from the Participant up to 100% of the amount paid to the Participant in respect of the Performance Units granted under this Agreement (which have been settled within the 2 years prior to such determination by the Committee).

3.4 The Participant agrees that any sums owed to the Company or any Group Company under this Agreement including any adjustment, forfeiture or repayment may be deducted from any sums due to the Participant from the Company or any Group Company. For the avoidance of doubt, this is without prejudice to any right the Company or the Group may have at any time to recover any sums from the Participant and the Participant agrees that such sums are recoverable by the Company or any Group Company as a debt.

3.5 In this Clause 3, “Cause” means:

a.any serious negligence or gross misconduct by the Participant in connection with or affecting the business or affairs of the Company or any member of the Group;

b.the Participant being convicted of any arrestable offence other than an offence under road traffic legislation in the UK; or

c.the Participant being convicted of an offence under any statutory enactment or regulation relating to insider dealing or market abuse.

4. CHOICE OF LAW

4.1 Any dispute or claim (including non-contractual disputes or claims) arising out of or in connection with this Agreement or its subject matter or formation shall be governed by and construed in accordance with the law of England and Wales.

5. ARBITRATION

5.1 If at any time any dispute or question shall arise between the parties arising out of or in connection with this Agreement or its or their validity, construction or performance then the same shall be referred to and finally resolved by arbitration under the London Court of International Arbitration Rules, which Rules are deemed to be incorporated by reference into this clause.

The number of arbitrators shall be three.

The seat, or legal place, of arbitration shall be London, England.

The language to be used in the arbitral proceedings shall be English.

The governing law of the contract shall be the substantive law of England and Wales.

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I. Addendum for Australia, Canada, Hong Kong and Singapore. For residents of Australia, Canada, Hong Kong or Singapore, for so long as Participant resides in his or her respective country and is subject to the laws of such country, Sections 9(j)(iv), 9(j)(v), 9(j)(vi), 9(j)(xii) and 9(j)(xiii) shall be deleted and the remaining subsections in Section 9(j) shall be renumbered accordingly.

In Section 5 a new subsection (f) shall be added as follows

(f) The Participant covenants with the Company and the Group that it shall be a breach of Participant’s Obligations if the Participant, save with the prior written consent of the Committee (in its absolute discretion):

A. during the Relevant Period, directly or indirectly, is employed, engaged or retained by or otherwise concerned or interested in any Competing Business. For this purpose, the Participant is directly or indirectly employed, engaged or retained by or concerned or interested in a Competing Business if:

(i) the Participant carries it on as principal or agent; or

(ii) the Participant is a partner, director, employee, secondee, consultant or agent in, of or to any person who carries on the Competing Business;

(iii) the Participant has any direct or indirect financial interest (as shareholder, creditor or otherwise) in any person who carries on the Competing Business; and/or

(iv) the Participant is a partner, director, employee, secondee, consultant or agent in, of or to any person who has a direct or indirect financial interest (as shareholder, creditor or otherwise) in any person who carries on the Competing Business,

disregarding any financial interest the Participant may have in securities which are listed or dealt in on a recognised investment exchange if the Participant is interested in securities which amount to less than 3% of the issued securities of that class and which, in all circumstances, carry less than 3% of the voting rights (if any) attaching to the issued securities of that class;

B. during the Relevant Period and whether directly or indirectly, either alone or with or on behalf of any person, firm, company or entity and whether on his or her own account or as principal, partner, shareholder, director, employee, consultant or in any other capacity whatsoever, having any business dealings with any Client or Prospective Client in relation to or for the benefit of a Competing Business;

C. during the Relevant Period and whether directly or indirectly, either alone or with or on behalf of any person, firm, company or entity and whether on his or her own account or as principal, partner, shareholder, director, employee, consultant or in any other capacity whatsoever, canvassing or soliciting business or custom from or seeking to entice away any Client or Prospective Client from the Company or any Group Company in relation to or for the benefit of a Competing Business;

D. during the Relevant Period, directly or indirectly, soliciting or endeavouring to solicit the employment or engagement of any Key Employee (whether or not such person would thereby breach their contract of employment or engagement);

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E. at any time after the Termination Date representing himself or herself as being in any way connected with (other than as a former employee) or interested in the business of the Company or any Group Company or use any registered names, domain names or trading names the same as or that could reasonably be expected to be confused with any such names used by the Company or any Group Company.

F. before or after the Termination Date and except in the proper performance of his or her duties of employment for the Company or Group Company directly or indirectly using for his or her own purposes or those of a third party or disclosing to any third party any Confidential Information. The Participant will use his or her best endeavours to prevent any unauthorised use or disclosure of Confidential Information. The obligations contained in this subsection F will not apply to any disclosures required by law or to any information or documents which after the Termination Date are in the public domain other than by way of unauthorised disclosure.

The Participant gives the covenants above to the Company as trustee for itself (and any company forming part of the Group).

Each Obligation contained in this Section 5(f) is an entirely separate and independent Obligation, despite the fact that they may be contained in the same phrase, and if any part is found to be unenforceable the remainder will remain valid and enforceable.

While the Obligations in this Section 5(f) are considered by the parties to be fair and reasonable in the circumstances, it is agreed that if any such Obligation should be held to be void or ineffective for any reason but would be treated as valid and effective if some part of parts of the Obligation were deleted, the Obligation in question will apply with such deletion as may be necessary to make it valid and effective.

The Length of period of any Relevant Period concerning the Participant’s activities after the Termination Date imposed pursuant to sub-section A to D of Section 5(f) shall be reduced pro rata by any period of garden leave served by the Participant pursuant to his or her service agreement with the Company or any Group Company.

The determination as to whether the Participant has breached an Obligation shall be made by the Committee in its sole and absolute discretion. The Committee has sole and absolute discretion to determine whether, notwithstanding its determination that Participant has breached an Obligation, repayment or forfeiture as provided herein shall not occur. The Committee’s exercise or nonexercise of its discretion with respect to any particular event or occurrence by or with respect to the Participant or any other recipient of restricted stock units shall not in any way reduce or eliminate the authority of the Committee to (i) determine that any event or occurrence by or with respect to the Participant constitutes breaching an Obligation or (ii) determine the related date of breach of an Obligation.

In this Agreement, the following definitions shall apply:

25

“Client”	means any person, firm, company or other business entity whom or which during the Relevant Business Period: (a) to whom the Company or any Group Company provided insurance or reinsurance; or (b) was an insurance intermediary which introduced such insurance or reinsurance business to the Company or any Group Company, and in each case with whom or which during the Relevant Business Period: a.the Participant (or any person reporting to the Participant) had Material Dealings in relation to Relevant Business; or b.about whom or which the Participant has had Confidential Information during the course of his or her employment.
“Obligation”	means any of the activities, individually or in the aggregate, described in sub-sections A through F of Section 5(f).
“Competing Business”	means any business which at any time is in or which intends to be in competition with any Relevant Business.

26

“Confidential Information”

means any and all information which is of a confidential nature or which the Company reasonably regards as being confidential or a trade secret concerning the business, business performance or prospective business, financial information or arrangements, plans or internal affairs of the Company, any Group Company or any of their respective Clients or Prospective Clients including without prejudice to the generality of the foregoing all information, records and materials relating to: a.underwriting premiums or quotes, pricing models and formulas, income and receipts, claims records and levels, renewals, policy wording and terms, reinsurance quotas, and profit commission; b.syndicate or other business projections and forecasts; c.Client lists, brokers lists and price sensitive information; d.technical information, including computer programs, reports, interpretations, forecasts, corporate and business plans and accounts, business methods, financial details, projections and targets; e.remuneration and personnel details; f.planned products, planned services, marketing surveys, internal templates, training materials, research reports, market share and pricing statistics, budgets, fee levels; g.computer passwords, the contents of any databases, tables, know how documents or materials; h.commissions, commission charges, pricing policies and all information about research and development; and i.the Company’s or any Group Company’s Clients’ or Prospective Clients’ names, addresses (including email addresses), telephone, facsimile or other contact numbers and contact names, the nature of their business operations, their requirements for services supplied by the Company or any Group Company and all confidential aspects of their relationship with the Company or any Group Company.

“directly or indirectly”

means (without prejudice to the generality of the expression) either alone or jointly with or on behalf of any other person and whether on his or her own account or in partnership with another or others or as the holder of any interest in or as officer, employee or agent of or consultant to any other person.

27

“Group”	means the Company, its subsidiaries or holding companies from time to time and any subsidiary of any holding company from time to time; and “Group Company” means any company within the Group.
“Key Employee”	means any director or officer of the Company or any Group Company and/or any employee (other than administrative or clerical personnel) of the Company or any Group Company, in each case who, at any time during the Relevant Business Period: a.was employed by the Company or any Group Company; and b.with whom the Participant has had Material Dealings or exercised control or had management responsibility for; and/or c.has had access to or has obtained Confidential Information during the Relevant Business Period.
“Material Dealings”	means receiving orders, instructions or enquiries from, contracting or making preparations to contract with, making sales or presenting to or with, tendering for business from, having responsibility with or for, having personal knowledge of or otherwise having significant other contact.
“Prospective Client”	means any person, firm, company or other business entity who was at any time during the Relevant Business Period: (a) in negotiations with the Company or any Group Company for the provision of insurance or reinsurance; or (b) an insurance intermediary who may introduce such insurance or reinsurance business to the Company or any Group Company, and in each case with whom or which during the Relevant Business Period: a.the Participant (or any person reporting to the Participant) had Material Dealings in relation to Relevant Business; or b.about whom or which the Participant has had Confidential Information during the course of Participant’s employment. Provided that this definition shall not apply to any such person, firm, company or other business entity which has withdrawn from or discontinued such negotiations or discussions, having stated its intention to do so (other than through any unlawful activity by the Participant).

28

“Relevant Business”	means any class or classes of insurance or reinsurance business which was underwritten in the twelve months immediately prior to the Termination Date by the Company or any Group Company and with which the Participant was directly or indirectly materially concerned or involved or had personal knowledge in the course of Participant’s duties during the Relevant Period.
“Relevant Business Period”	means (1) during employment, the twelve month period immediately prior to the action or activity that may be in breach of clauses A to D of Section 5(f) and (2) after termination of employment, the twelve month period immediately prior to the Termination Date. The term “Look Back Period” in the main Agreement shall be replaced with the defined term “Relevant Business Period”
“Termination Date”	means the date on which the Participant’s employment or engagement with the Company terminates for any reason.

29

EX-31.1

Exhibit 31.1

CERTIFICATIONS

I, W. Robert Berkley, Jr., President and Chief Executive Officer of W. R. Berkley Corporation (the “registrant”), certify that:

1. I have reviewed this quarterly report on Form 10-Q of the registrant;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 4, 2023

/s/ W. Robert Berkley, Jr.

W. Robert Berkley, Jr.

President and
Chief Executive Officer 

EX-31.2

Exhibit 31.2

CERTIFICATIONS

I, Richard M. Baio, Senior Vice President - Chief Financial Officer and Treasurer of W. R. Berkley Corporation (the “registrant”), certify that:

1. I have reviewed this quarterly report on Form 10-Q of the registrant;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 4, 2023

/s/ Richard M. Baio

Richard M. Baio

Executive Vice President,
Chief Financial Officer and Treasurer

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of W. R. Berkley Corporation (the “Company”) on Form 10-Q for the period ended March 31, 2023 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), we, W. Robert Berkley, Jr., President and Chief Executive Officer of the Company, and Richard M. Baio, Senior Vice President - Chief Financial Officer and Treasurer of the Company, certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ W. Robert Berkley, Jr.

W. Robert Berkley, Jr.

President and Chief Executive Officer

/s/ Richard M. Baio

Richard M. Baio

Executive Vice President,
Chief Financial Officer and Treasurer

May 4, 2023

A signed original of this written statement required by Section 906 has been provided to W. R. Berkley Corporation (the “Company”) and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Cover Page - shares	3 Months Ended
	Mar. 31, 2023	Apr. 27, 2023
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2023
Document Transition Report	false
Entity File Number	1-15202
Entity Registrant Name	W. R. BERKLEY CORP
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	22-1867895
Entity Address, Address Line One	475 Steamboat Road
Entity Address, City or Town	Greenwich
Entity Address, State or Province	CT
Entity Address, Postal Zip Code	06830
City Area Code	(203)
Local Phone Number	629-3000
Title of 12(b) Security	Common Stock, par value $.20 per share
Trading Symbol	WRB
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		260,774,686
Entity Central Index Key	0000011544
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Amendment Flag	false
5.700% Subordinated Debentures due 2058
Entity Information [Line Items]
Title of 12(b) Security	5.700% Subordinated Debentures due 2058
Trading Symbol	WRB-PE
Security Exchange Name	NYSE
5.100% Subordinated Debentures due 2059
Entity Information [Line Items]
Title of 12(b) Security	5.100% Subordinated Debentures due 2059
Trading Symbol	WRB-PF
Security Exchange Name	NYSE
4.250% Subordinated Debentures due 2060
Entity Information [Line Items]
Title of 12(b) Security	4.250% Subordinated Debentures due 2060
Trading Symbol	WRB-PG
Security Exchange Name	NYSE
4.125% Subordinated Debentures due 2061
Entity Information [Line Items]
Title of 12(b) Security	4.125% Subordinated Debentures due 2061
Trading Symbol	WRB-PH
Security Exchange Name	NYSE

XML

Consolidated Balance Sheets Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Investments:
Fixed maturity securities (amortized cost of $18,988,459 and $18,715,483; allowance for expected credit losses of $37,249 and $37,466 at March 31, 2023 and December 31, 2022, respectively)	$ 18,091,113	$ 17,587,349
Investment funds	1,601,567	1,608,548
Real estate	1,338,504	1,340,622
Equity securities	1,279,955	1,185,894
Arbitrage trading account	609,001	944,230
Loans receivable (net of allowance for expected credit losses of $1,609 and $1,791 at March 31, 2023 and December 31, 2022, respectively)	194,944	193,002
Total investments	23,115,084	22,859,645
Cash and cash equivalents	1,242,357	1,449,346
Premiums and fees receivable (net of allowance for expected credit losses of $32,353 and $30,660 at March 31, 2023 and December 31, 2022, respectively)	2,814,504	2,779,244
Due from reinsurers (net of allowance for expected credit losses of $8,703 and $8,064 at March 31, 2023 and December 31, 2022, respectively)	3,282,288	3,187,730
Deferred policy acquisition costs	786,502	763,486
Prepaid reinsurance premiums	701,295	696,468
Trading account receivables from brokers and clearing organizations	583,970	233,863
Property, furniture and equipment	421,102	423,232
Goodwill	185,509	185,509
Accrued investment income	181,342	166,784
Current and deferred federal and foreign income taxes	205,291	333,774
Other assets	776,820	736,022
Total assets	34,296,064	33,815,103
Liabilities:
Reserves for losses and loss expenses	17,431,635	17,011,223
Unearned premiums	5,385,886	5,297,654
Due to reinsurers	539,333	523,131
Other liabilities	1,137,055	1,377,740
Senior notes and other debt	1,827,981	1,828,823
Subordinated debentures	1,008,551	1,008,371
Total liabilities	27,330,441	27,046,942
Equity:
Perferred stock, par value $.10 per share: Authorized 5,000,000 shares; issued and outstanding - none	0	0
Common stock, par value $.20 per share: Authorized 500,000,000 shares, issued and outstanding, net of treasury shares, 177,930,502 and 183,411,907 shares, respectively	105,803	105,803
Additional paid-in capital	1,008,128	997,534
Retained earnings	10,296,539	10,161,005
Accumulated other comprehensive loss	(1,078,917)	(1,264,581)
Treasury stock, at cost, 266,478,098 and 264,468,528 shares, respectively	(3,387,538)	(3,251,429)
Total stockholders’ equity	6,944,015	6,748,332
Noncontrolling interests	21,608	19,829
Total equity	6,965,623	6,768,161
Total liabilities and equity	$ 34,296,064	$ 33,815,103

XML

Consolidated Balance Sheets Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Fixed maturity securities, amortized cost	$ 18,988,459	$ 18,715,483
Fixed maturity securities, allowance for credit loss	37,249	37,466
Cumulative effect adjustment resulting from changes in accounting principles	1,609	1,791
Cumulative effect adjustment resulting from changes in accounting principles	32,353	30,660
Reinsurance recoverable, allowance for credit loss	$ 8,703	$ 8,064
Preferred stock, par value (in dollars per share)	$ 0.10	$ 0.10
Preferred stock issued (in shares)	5,000,000	5,000,000
Preferred stock outstanding (in shares)	0	0
Common stock, par value (in dollar per share)	$ 0.20	$ 0.20
Common shares authorized (in shares)		1,250,000,000
Common shares issued (in shares)	262,536,530	264,546,100
Common shares outstanding (in shares)	262,536,530	264,546,100
Treasury stock issued at cost (in shares)	266,478,098	264,468,528

XML

Consolidated Statements Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
REVENUES:
Net premiums written	$ 2,574,824	$ 2,413,254
Change in net unearned premiums	(83,392)	(164,167)
Net premiums earned	2,491,432	2,249,087
Net investment income	223,398	173,512
Net realized and unrealized gains on investments	22,611	369,882
Change in allowance for expected credit losses on investments	399	(3,617)
Net investment gains	23,010	366,265
Revenues from non-insurance businesses	124,200	97,776
Insurance service fees	32,857	27,951
Other income	107	818
Total revenues	2,895,004	2,915,409
OPERATING COSTS AND EXPENSES:
Losses and loss expenses	1,538,755	1,339,252
Other operating costs and expenses	825,575	713,899
Expenses from non-insurance businesses	122,767	94,855
Interest expense	31,836	34,970
Total operating costs and expenses	2,518,933	2,182,976
Income before income taxes	376,071	732,433
Income tax expense	(80,342)	(139,403)
Net income before noncontrolling interests	295,729	593,030
Noncontrolling interests	(1,603)	(2,392)
Net income to common stockholders	$ 294,126	$ 590,638
NET INCOME PER SHARE:
Basic (in dollar per share)	$ 1.07	$ 2.13
Diluted (in dollar per share)	$ 1.06	$ 2.12

XML

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Comprehensive Income [Abstract]
Net income before noncontrolling interests	$ 295,729	$ 593,030
Other comprehensive income (loss):
Change in unrealized currency translation adjustments	4,866	56,272
Change in unrealized investment gains (losses), net of taxes	180,799	(423,545)
Other comprehensive income (loss)	185,665	(367,273)
Comprehensive income	481,394	225,757
Noncontrolling interests	(1,602)	(2,391)
Comprehensive income to common stockholders	$ 479,792	$ 223,366

XML

Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Common stock	Additional paid-in capital	Retained earnings	Accumulated Other Comprehensive Income (Loss)	Unrealized investment gain	Currency Translation Adjustments	Treasury stock	Noncontrolling interest
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative effect adjustment resulting from changes in accounting principles		$ 105,803	$ 981,104	$ 9,015,135	$ (281,955)	$ 90,900	$ (372,855)	$ (3,167,076)	$ 14,719
Beginning of period at Dec. 31, 2021		105,803	981,104	9,015,135	(281,955)	90,900	(372,855)	(3,167,076)	14,719
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Restricted stock units issued			(530)
Restricted stock units expensed			11,438
Net income before noncontrolling interests	$ 593,030			590,638					2,392
Dividends ($0.60 and $0.09 per share, respectively)				(22,983)
Change in unrealized gains (losses) on securities without an allowance for expected credit losses	(423,545)					(423,839)
Change in unrealized gains on securities with an allowance for expected credit losses						293
Net change in period	56,272						56,272
Stock exercised/vested								203
Stock repurchased								0
Other	0
Contributions									6,186
Other comprehensive loss, net of tax	$ (367,273)				(367,273)		56,272		(1)
End of period at Mar. 31, 2022			992,012	9,582,790	(649,229)	(332,646)	(316,583)	(3,166,873)	23,296
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock dividends, per share, cash paid (in dollars per share)	$ 0.09
Cumulative effect adjustment resulting from changes in accounting principles			992,012	9,582,790	(649,229)	(332,646)	(316,583)	(3,166,873)	23,296
Cumulative effect adjustment resulting from changes in accounting principles	$ 6,768,161	105,803	997,534	10,161,005	(1,264,581)	(892,905)	(371,676)	(3,251,429)	19,829
Beginning of period at Dec. 31, 2022	6,768,161	$ 105,803	997,534	10,161,005	(1,264,581)	(892,905)	(371,676)	(3,251,429)	19,829
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Restricted stock units issued			(1,200)
Restricted stock units expensed			11,794
Net income before noncontrolling interests	295,729			294,126					1,603
Dividends ($0.60 and $0.09 per share, respectively)				(158,592)
Change in unrealized gains (losses) on securities without an allowance for expected credit losses	180,799					177,342
Change in unrealized gains on securities with an allowance for expected credit losses						3,456
Net change in period	4,866						4,866
Stock exercised/vested								395
Stock repurchased								(135,152)
Other	(1,352)
Contributions									177
Other comprehensive loss, net of tax	185,665				185,665		4,866		(1)
End of period at Mar. 31, 2023	$ 6,965,623		1,008,128	10,296,539	(1,078,917)	(712,107)	(366,810)	(3,387,538)	21,608
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock dividends, per share, cash paid (in dollars per share)	$ 0.60
Cumulative effect adjustment resulting from changes in accounting principles	$ 6,965,623		$ 1,008,128	$ 10,296,539	$ (1,078,917)	$ (712,107)	$ (366,810)	$ (3,387,538)	$ 21,608

XML

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
CASH FROM OPERATING ACTIVITIES:
Net income to common stockholders	$ 294,126	$ 590,638
Adjustments to reconcile net income to net cash from operating activities:
Net investment gains	(23,010)	(366,265)
Depreciation and amortization	9,737	24,631
Noncontrolling interests	1,603	2,392
Investment funds	(2,180)	(52,012)
Stock incentive plans	11,793	11,438
Change in:
Arbitrage trading account	(14,879)	(7,215)
Premiums and fees receivable	(33,460)	(69,704)
Reinsurance accounts	(84,746)	(2,643)
Deferred policy acquisition costs	(23,727)	(39,220)
Income taxes	76,933	123,763
Reserves for losses and loss expenses	424,149	316,065
Unearned premiums	87,991	167,522
Other	(279,007)	(221,708)
Net cash from operating activities	445,323	477,682
CASH (USED IN) FROM INVESTING ACTIVITIES:
Proceeds from sale of fixed maturity securities	429,400	408,221
Proceeds from sale of equity securities	9,933	9,227
Distributions from (contributions to) investment funds	7,518	(13,423)
Proceeds from maturities and prepayments of fixed maturity securities	956,308	1,440,457
Purchase of fixed maturity securities	(1,686,107)	(2,200,214)
Purchase of equity securities	(59,529)	(100,356)
Real estate sold	7,472	28,141
Change in loans receivable	612	332
Net purchases of property, furniture and equipment	(11,532)	(9,114)
Change in balances due to security brokers	(13,598)	98,058
Cash received in connection with business disposition	0	906,789
Payment for business purchased net of cash acquired	0	(49,572)
Other	93	17
Net cash (used in) from investing activities	(359,430)	518,563
CASH USED IN FINANCING ACTIVITIES:
Repayment of senior notes and other debt	0	(426,503)
Net payments for stock options exercised	(806)	(327)
Net proceeds from issuance of debt	(868)
Net proceeds from issuance of debt		1,186
Cash dividends to common stockholders	(158,592)	(22,983)
Purchase of common treasury shares	(135,152)	0
Other, net	(308)	(2,703)
Net cash used in financing activities	(295,726)	(451,330)
Net impact on cash due to change in foreign exchange rates	2,844	1,083
Net change in cash and cash equivalents	(206,989)	545,998
Cash and cash equivalents at beginning of period	1,449,346	1,568,843
Cash and cash equivalents at end of period	$ 1,242,357	$ 2,114,841

XML

Statements of Cash Flows	3 Months Ended
	Mar. 31, 2023
Supplemental Cash Flow Elements [Abstract]
Statements of Cash Flows	Statements of Cash Flows    Interest payments were $41,150,000 and $52,899,000 for the three months ended March 31, 2023 and 2022, respectively. There were no income taxes paid for the three months ended March 31, 2023 and 2022, respectively.

XML

Consolidated Statements of Comprehensive Income

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Consolidated Statements of Comprehensive Income

Consolidated Statements of Comprehensive Income

    The following table presents the components of the changes in accumulated other comprehensive income ("AOCI"):

(In thousands)	Unrealized Investment (Losses) Gains			Currency Translation Adjustments		Accumulated Other Comprehensive (Loss) Income
As of and for the three months ended March 31, 2023
Changes in AOCI
Beginning of period	$	(892,905)		$	(371,676)	$	(1,264,581)
Other comprehensive income before reclassifications	155,215			4,866		160,081
Amounts reclassified from AOCI	25,584			—		25,584
Other comprehensive income	180,799			4,866		185,665
Unrealized investment loss related to noncontrolling interest	(1)			—		(1)
End of period	$	(712,107)		$	(366,810)	$	(1,078,917)
Amounts reclassified from AOCI
Pre-tax	$	32,385	(1)	$	—	$	32,385
Tax effect	(6,801)		(2)	—		(6,801)
After-tax amounts reclassified	$	25,584		$	—	$	25,584
Other comprehensive income
Pre-tax	$	232,021		$	4,866	$	236,887
Tax effect	(51,222)			—		(51,222)
Other comprehensive income	$	180,799		$	4,866	$	185,665
As of and for the three months ended March 31, 2022
Changes in AOCI
Beginning of period	$	90,900		$	(372,855)	$	(281,955)
Other comprehensive (loss) income before reclassifications	(433,136)			56,272		(376,864)
Amounts reclassified from AOCI	9,591			—		9,591
Other comprehensive (loss) income	(423,545)			56,272		(367,273)
Unrealized investment loss related to noncontrolling interest	(1)			—		(1)
Ending balance	$	(332,646)		$	(316,583)	$	(649,229)
Amounts reclassified from AOCI
Pre-tax	$	12,141	(1)	$	—	$	12,141
Tax effect	(2,550)		(2)	—		(2,550)
After-tax amounts reclassified	$	9,591		$	—	$	9,591
Other comprehensive (loss) income
Pre-tax	$	(539,449)		$	56,272	$	(483,177)
Tax effect	115,904			—		115,904
Other comprehensive (loss) income	$	(423,545)		$	56,272	$	(367,273)

____________

(1) Net investment gains in the consolidated statements of income.

(2) Income tax expense in the consolidated statements of income.

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General

3 Months Ended

Mar. 31, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

General

General

    The unaudited consolidated financial statements, which include the accounts of W. R. Berkley Corporation and its subsidiaries (the “Company”), have been prepared on the basis of U.S. generally accepted accounting principles (“GAAP”) for interim financial information. Accordingly, they do not include all the information and notes required by GAAP for annual financial statements. The unaudited consolidated financial statements reflect all adjustments, consisting only of normal recurring items, which are necessary to present fairly the Company’s financial position and results of operations on a basis consistent with the prior audited consolidated financial statements. Operating results for interim periods are not necessarily indicative of the results that may be expected for the year. All significant intercompany accounts and transactions have been eliminated. For the quarter ended March 31, 2022, the Company did not correct the proceeds from sale of fixed maturity securities and purchase of fixed maturity securities lines within the consolidated statements of cash flows for an incremental inter-company elimination as the effects were not material and had no impact on the total amount of investing activities.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the revenues and expenses reflected during the reporting period. For further information related to areas of judgment and estimates and other information necessary to understand the Company’s financial position and results of operations, refer to the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022.

The income tax provision has been computed based on the Company’s estimated annual effective tax rate. The effective income tax rate differs from the federal income tax rate of 21% primarily due to state and foreign income taxes, which was partially offset by tax-exempt investment income.

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Per Share Data

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Per Share Data

Per Share Data

    The Company presents both basic and diluted net income per share (“EPS”) amounts. Basic EPS is calculated by dividing net income by the weighted average number of common shares outstanding during the period (including 11,416,856 and 11,592,699 common shares held in a grantor trust as of March 31, 2023 and 2022, respectively). The common shares held in the grantor trust are for delivery upon settlement of vested but mandatorily deferred restricted stock units ("RSUs"). Shares held by the grantor trust do not affect diluted shares outstanding since the shares deliverable under vested RSUs were already included in diluted shares outstanding. Diluted EPS is based upon the weighted average number of basic and common equivalent shares outstanding during the period and is calculated using the treasury stock method for stock incentive plans. Common equivalent shares are excluded from the computation in periods in which they have an anti-dilutive effect.

    The weighted average number of common shares used in the computation of basic and diluted earnings per share was as follows:

	For the Three Months Ended March 31,
(In thousands)	2023	2022
Basic	274,977	276,772
Diluted	277,339	279,157

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Recent Accounting Pronouncements and Accounting Policies

3 Months Ended

Mar. 31, 2023

Accounting Policies [Abstract]

Recent Accounting Pronouncements and Accounting Policies

Recent Accounting Pronouncements and Accounting Policies

Recently adopted accounting pronouncements:

    All accounting and reporting standards that became effective in 2023 were either not applicable to the Company or their adoption did not have a material impact on the Company.

Accounting and reporting standards that are not yet effective:

    All recently issued but not yet effective accounting and reporting standards are either not applicable to the Company or are not expected to have a material impact on the Company.

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Investments In Fixed Maturity Securities

3 Months Ended

Mar. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Investments In Fixed Maturity Securities

Investments in Fixed Maturity Securities

    At March 31, 2023 and December 31, 2022, investments in fixed maturity securities were as follows:

(In thousands)	Amortized Cost		Allowance for Expected Credit Losses (1)		Gross Unrealized				Fair Value		Carrying Value
					Gains		Losses
March 31, 2023
Held to maturity:
State and municipal	$	48,474	$	(107)	$	3,902	$	—	$	52,269	$	48,367
Residential mortgage-backed	3,399		—		53		—		3,452		3,399
Total held to maturity	51,873		(107)		3,955		—		55,721		51,766
Available for sale:
U.S. government and government agency	1,100,204		—		3,728		(54,665)		1,049,267		1,049,267
State and municipal:
Special revenue	1,759,098		—		5,429		(90,044)		1,674,483		1,674,483
State general obligation	386,952		—		4,090		(16,577)		374,465		374,465
Pre-refunded	105,812		—		3,351		(248)		108,915		108,915
Corporate backed	204,773		—		491		(8,447)		196,817		196,817
Local general obligation	442,571		—		4,212		(12,104)		434,679		434,679
Total state and municipal	2,899,206		—		17,573		(127,420)		2,789,359		2,789,359
Mortgage-backed:
Residential	1,464,856		(23)		2,298		(153,147)		1,313,984		1,313,984
Commercial	595,818		—		1,220		(13,293)		583,745		583,745
Total mortgage-backed	2,060,674		(23)		3,518		(166,440)		1,897,729		1,897,729
Asset-backed	3,960,140		—		3,166		(117,853)		3,845,453		3,845,453
Corporate:
Industrial	3,563,744		(66)		9,599		(187,833)		3,385,444		3,385,444
Financial	2,737,880		(3,729)		7,421		(115,268)		2,626,304		2,626,304
Utilities	650,151		—		5,117		(27,941)		627,327		627,327
Other	495,850		—		122		(9,398)		486,574		486,574
Total corporate	7,447,625		(3,795)		22,259		(340,440)		7,125,649		7,125,649
Foreign government	1,468,737		(33,324)		6,312		(109,835)		1,331,890		1,331,890
Total available for sale	18,936,586		(37,142)		56,556		(916,653)		18,039,347		18,039,347
Total investments in fixed maturity securities	$	18,988,459	$	(37,249)	$	60,511	$	(916,653)	$	18,095,068	$	18,091,113

____________

(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.

(In thousands)	Amortized Cost		Allowance for Expected Credit Losses (1)		Gross Unrealized				Fair Value		Carrying Value
					Gains		Losses
December 31, 2022
Held to maturity:
State and municipal	$	47,802	$	(114)	$	4,239	$	—	$	51,927	$	47,688
Residential mortgage-backed	3,608		—		38		—		3,646		3,608
Total held to maturity	51,410		(114)		4,277		—		55,573		51,296
Available for sale:
U.S. government and government agency	960,479		—		937		(69,158)		892,258		892,258
State and municipal:
Special revenue	1,837,309		—		3,662		(119,474)		1,721,497		1,721,497
State general obligation	387,709		—		2,651		(21,335)		369,025		369,025
Pre-refunded	156,106		—		2,741		(7)		158,840		158,840
Corporate backed	210,228		—		334		(10,923)		199,639		199,639
Local general obligation	454,983		—		2,967		(16,853)		441,097		441,097
Total state and municipal	3,046,335		—		12,355		(168,592)		2,890,098		2,890,098
Mortgage-backed:
Residential	1,308,019		(18)		395		(171,595)		1,136,801		1,136,801
Commercial	547,757		—		215		(19,363)		528,609		528,609
Total mortgage-backed securities	1,855,776		(18)		610		(190,958)		1,665,410		1,665,428
Asset-backed	4,132,365		—		2,730		(152,322)		3,982,773		3,982,773
Corporate:
Industrial	3,491,645		(1,704)		4,439		(241,381)		3,252,999		3,252,999
Financial	2,585,247		(2,997)		5,505		(117,383)		2,470,372		2,470,372
Utilities	586,066		—		1,307		(36,325)		551,048		551,048
Other	441,230		—		—		(11,657)		429,573		429,573
Total corporate	7,104,188		(4,701)		11,251		(406,746)		6,703,992		6,703,992
Foreign government	1,564,930		(32,633)		4,283		(135,058)		1,401,522		1,401,522
Total available for sale	18,664,073		(37,352)		32,166		(1,122,834)		17,536,053		17,536,053
Total investments in fixed maturity securities	$	18,715,483	$	(37,466)	$	36,443	$	(1,122,834)	$	17,591,626	$	17,587,349

____________

(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.

The following table presents the rollforward of the allowance for expected credit losses for held to maturity securities for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	114	$	387
Provision for expected credit losses	(7)		(9)
Allowance for expected credit losses, end of period	$	107	$	378

The following table presents the rollforward of the allowance for expected credit losses for available for sale securities for the three months ended March 31, 2023 and 2022:

	2023								2022
(In thousands)	Foreign Government		Corporate		Mortgage-backed		Total		Foreign Government		Corporate		Total
Allowance for expected credit losses, beginning of period	$	32,633	$	4,701	$	18	$	37,352	$	22,222	$	16	$	22,238
Expected credit losses on securities for which credit losses were not previously recorded	—		186		—		186		484		—		484
Expected credit losses (gains) on securities for which credit losses were previously recorded	691		(1,087)		5		(391)		3,447		(16)		3,431
Reduction due to disposals	—		(5)		—		(5)		—		—		—
Allowance for expected credit losses, end of period	$	33,324	$	3,795	$	23	$	37,142	$	26,153	$	—	$	26,153

During the three months ended March 31, 2023, the Company decreased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model due to a decrease in unrealized losses primarily associated with corporate securities offset by foreign government securities. During the three months ended March 31, 2022, the Company increased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model, primarily due to foreign government securities.

The amortized cost and fair value of fixed maturity securities at March 31, 2023, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations.  

(In thousands)	Amortized Cost (1)		Fair Value
Due in one year or less	$	1,568,436	$	1,528,990
Due after one year through five years	8,864,666		8,503,127
Due after five years through ten years	4,287,881		4,084,883
Due after ten years	2,203,296		2,076,887
Mortgage-backed securities	2,064,073		1,901,181
Total	$	18,988,352	$	18,095,068

________________

(1) Amortized cost is reduced by the allowance for expected credit losses of $107 thousand related to held to maturity securities.    

At March 31, 2023 and December 31, 2022, there were no investments that exceeded 10% of common stockholders' equity, other than investments in United States government and government agency securities.

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Investments in Equity Securities

3 Months Ended

Mar. 31, 2023

Debt Securities, Available-for-sale [Line Items]

Investments in Equity Securities

Investments in Fixed Maturity Securities

    At March 31, 2023 and December 31, 2022, investments in fixed maturity securities were as follows:

(In thousands)	Amortized Cost		Allowance for Expected Credit Losses (1)		Gross Unrealized				Fair Value		Carrying Value
					Gains		Losses
March 31, 2023
Held to maturity:
State and municipal	$	48,474	$	(107)	$	3,902	$	—	$	52,269	$	48,367
Residential mortgage-backed	3,399		—		53		—		3,452		3,399
Total held to maturity	51,873		(107)		3,955		—		55,721		51,766
Available for sale:
U.S. government and government agency	1,100,204		—		3,728		(54,665)		1,049,267		1,049,267
State and municipal:
Special revenue	1,759,098		—		5,429		(90,044)		1,674,483		1,674,483
State general obligation	386,952		—		4,090		(16,577)		374,465		374,465
Pre-refunded	105,812		—		3,351		(248)		108,915		108,915
Corporate backed	204,773		—		491		(8,447)		196,817		196,817
Local general obligation	442,571		—		4,212		(12,104)		434,679		434,679
Total state and municipal	2,899,206		—		17,573		(127,420)		2,789,359		2,789,359
Mortgage-backed:
Residential	1,464,856		(23)		2,298		(153,147)		1,313,984		1,313,984
Commercial	595,818		—		1,220		(13,293)		583,745		583,745
Total mortgage-backed	2,060,674		(23)		3,518		(166,440)		1,897,729		1,897,729
Asset-backed	3,960,140		—		3,166		(117,853)		3,845,453		3,845,453
Corporate:
Industrial	3,563,744		(66)		9,599		(187,833)		3,385,444		3,385,444
Financial	2,737,880		(3,729)		7,421		(115,268)		2,626,304		2,626,304
Utilities	650,151		—		5,117		(27,941)		627,327		627,327
Other	495,850		—		122		(9,398)		486,574		486,574
Total corporate	7,447,625		(3,795)		22,259		(340,440)		7,125,649		7,125,649
Foreign government	1,468,737		(33,324)		6,312		(109,835)		1,331,890		1,331,890
Total available for sale	18,936,586		(37,142)		56,556		(916,653)		18,039,347		18,039,347
Total investments in fixed maturity securities	$	18,988,459	$	(37,249)	$	60,511	$	(916,653)	$	18,095,068	$	18,091,113

____________

(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.

(In thousands)	Amortized Cost		Allowance for Expected Credit Losses (1)		Gross Unrealized				Fair Value		Carrying Value
					Gains		Losses
December 31, 2022
Held to maturity:
State and municipal	$	47,802	$	(114)	$	4,239	$	—	$	51,927	$	47,688
Residential mortgage-backed	3,608		—		38		—		3,646		3,608
Total held to maturity	51,410		(114)		4,277		—		55,573		51,296
Available for sale:
U.S. government and government agency	960,479		—		937		(69,158)		892,258		892,258
State and municipal:
Special revenue	1,837,309		—		3,662		(119,474)		1,721,497		1,721,497
State general obligation	387,709		—		2,651		(21,335)		369,025		369,025
Pre-refunded	156,106		—		2,741		(7)		158,840		158,840
Corporate backed	210,228		—		334		(10,923)		199,639		199,639
Local general obligation	454,983		—		2,967		(16,853)		441,097		441,097
Total state and municipal	3,046,335		—		12,355		(168,592)		2,890,098		2,890,098
Mortgage-backed:
Residential	1,308,019		(18)		395		(171,595)		1,136,801		1,136,801
Commercial	547,757		—		215		(19,363)		528,609		528,609
Total mortgage-backed securities	1,855,776		(18)		610		(190,958)		1,665,410		1,665,428
Asset-backed	4,132,365		—		2,730		(152,322)		3,982,773		3,982,773
Corporate:
Industrial	3,491,645		(1,704)		4,439		(241,381)		3,252,999		3,252,999
Financial	2,585,247		(2,997)		5,505		(117,383)		2,470,372		2,470,372
Utilities	586,066		—		1,307		(36,325)		551,048		551,048
Other	441,230		—		—		(11,657)		429,573		429,573
Total corporate	7,104,188		(4,701)		11,251		(406,746)		6,703,992		6,703,992
Foreign government	1,564,930		(32,633)		4,283		(135,058)		1,401,522		1,401,522
Total available for sale	18,664,073		(37,352)		32,166		(1,122,834)		17,536,053		17,536,053
Total investments in fixed maturity securities	$	18,715,483	$	(37,466)	$	36,443	$	(1,122,834)	$	17,591,626	$	17,587,349

____________

(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.

The following table presents the rollforward of the allowance for expected credit losses for held to maturity securities for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	114	$	387
Provision for expected credit losses	(7)		(9)
Allowance for expected credit losses, end of period	$	107	$	378

The following table presents the rollforward of the allowance for expected credit losses for available for sale securities for the three months ended March 31, 2023 and 2022:

	2023								2022
(In thousands)	Foreign Government		Corporate		Mortgage-backed		Total		Foreign Government		Corporate		Total
Allowance for expected credit losses, beginning of period	$	32,633	$	4,701	$	18	$	37,352	$	22,222	$	16	$	22,238
Expected credit losses on securities for which credit losses were not previously recorded	—		186		—		186		484		—		484
Expected credit losses (gains) on securities for which credit losses were previously recorded	691		(1,087)		5		(391)		3,447		(16)		3,431
Reduction due to disposals	—		(5)		—		(5)		—		—		—
Allowance for expected credit losses, end of period	$	33,324	$	3,795	$	23	$	37,142	$	26,153	$	—	$	26,153

During the three months ended March 31, 2023, the Company decreased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model due to a decrease in unrealized losses primarily associated with corporate securities offset by foreign government securities. During the three months ended March 31, 2022, the Company increased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model, primarily due to foreign government securities.

The amortized cost and fair value of fixed maturity securities at March 31, 2023, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations.  

(In thousands)	Amortized Cost (1)		Fair Value
Due in one year or less	$	1,568,436	$	1,528,990
Due after one year through five years	8,864,666		8,503,127
Due after five years through ten years	4,287,881		4,084,883
Due after ten years	2,203,296		2,076,887
Mortgage-backed securities	2,064,073		1,901,181
Total	$	18,988,352	$	18,095,068

________________

(1) Amortized cost is reduced by the allowance for expected credit losses of $107 thousand related to held to maturity securities.    

At March 31, 2023 and December 31, 2022, there were no investments that exceeded 10% of common stockholders' equity, other than investments in United States government and government agency securities.

Equity securities

Debt Securities, Available-for-sale [Line Items]

Investments in Equity Securities

Investments in Equity Securities

    At March 31, 2023 and December 31, 2022, investments in equity securities were as follows:

(In thousands)	Cost		Gross Unrealized				Fair Value		Carrying Value
			Gains		Losses
March 31, 2023
Common stocks	$	883,234	$	227,947	$	(53,582)	$	1,057,599	$	1,057,599
Preferred stocks	282,750		1,526		(61,920)		222,356		222,356
Total	$	1,165,984	$	229,473	$	(115,502)	$	1,279,955	$	1,279,955
December 31, 2022
Common stocks	$	855,987	$	192,165	$	(65,401)	$	982,751	$	982,751
Preferred stocks	259,341		1,053		(57,251)		203,143		203,143
Total	$	1,115,328	$	193,218	$	(122,652)	$	1,185,894	$	1,185,894

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Arbitrage Trading Account

3 Months Ended

Mar. 31, 2023

Debt Securities, Trading, and Equity Securities, FV-NI [Abstract]

Arbitrage Trading Account

Arbitrage Trading Account

    At March 31, 2023 and December 31, 2022, the fair and carrying values of the arbitrage trading account were $609 million and $944 million, respectively. The primary focus of the trading account is merger arbitrage. Merger arbitrage is the business of investing in the securities of publicly held companies which are the targets in announced tender offers and mergers. Arbitrage investing differs from other types of investing in its focus on transactions and events believed likely to bring about a change in value over a relatively short time period (usually four months or less).

    The Company uses put options and call options in order to mitigate the impact of potential changes in market conditions on the merger arbitrage trading account. These options are reported at fair value. As of March 31, 2023, the fair value of long option contracts outstanding was $5 thousand (notional amount of $2 million). Other than with respect to the use of these trading account securities, the Company does not make use of derivatives.

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Net Investment Income

3 Months Ended

Mar. 31, 2023

Net Investment Income [Abstract]

Net Investment Income

Net Investment Income

    Net investment income consisted of the following: 

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Investment income (loss) earned on:
Fixed maturity securities, including cash and cash equivalents and loans receivable	$	195,642	$	101,284
Arbitrage trading account	18,256		9,187
Equity securities	13,746		10,856
Investment funds	2,180		52,012
Real estate	(3,711)		2,146
Gross investment income	226,113		175,485
Investment expense	(2,715)		(1,973)
Net investment income	$	223,398	$	173,512

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Investment Funds

3 Months Ended

Mar. 31, 2023

Equity Method Investments and Joint Ventures [Abstract]

Investment Funds

Investment Funds

    The Company evaluates whether it is an investor in a variable interest entity ("VIE"). Such entities do not have sufficient equity at risk to finance their activities without additional subordinated financial support, or the equity investors, as a group, do not have the characteristics of a controlling financial interest (primary beneficiary). The Company determines whether it is the primary beneficiary of an entity subject to consolidation based on a qualitative assessment of the VIE's capital structure, contractual terms, nature of the VIE's operations and purpose, and the Company's relative exposure to the related risks of the VIE on the date it becomes initially involved in the VIE and on an ongoing basis. The Company is not the primary beneficiary in any of its investment funds, and accordingly, carries its interests in investment funds under the equity method of accounting.    

    The Company’s maximum exposure to loss with respect to these investments is limited to the carrying amount reported on the Company’s consolidated balance sheet and its unfunded commitments, which were $408 million as of March 31, 2023.

    Investment funds consisted of the following:

	Carrying Value as of				Income (Loss) from Investment Funds
	March 31,		December 31,		For the Three Months Ended March 31,
(In thousands)	2023		2022		2023		2022
Financial services	$	444,645	$	465,683	$	(13,047)	$	25,932
Transportation	336,808		336,753		11,788		11,179
Real Estate	216,871		204,644		956		16,364
Infrastructure	119,042		115,428		3,355		841
Energy	117,461		116,432		3,439		(892)
Other funds	366,740		369,608		(4,311)		(1,412)
Total	$	1,601,567	$	1,608,548	$	2,180	$	52,012

    The Company's share of the earnings or losses from investment funds is generally reported on a one-quarter lag in order to facilitate the timely completion of the Company's consolidated financial statements.

Financial services investment funds include the minority investment in Lifson Re, a Bermuda reinsurance company. Effective January 1, 2021, Lifson Re participated on a fully collateralized basis in a majority of the Company’s reinsurance placements for a 22.5% share of placed amounts. The percentage increased from 22.5% to 30.0% effective July 1, 2022. This pertains to all traditional reinsurance/retrocessional placements for both property and casualty business where there is more than one open market reinsurer participating. For the three months ended March 31, 2023 and 2022, the Company ceded approximately $107 million and $89 million, respectively, of written premiums to Lifson Re.

Other funds include deferred compensation trust assets of $34 million and $30 million as of March 31, 2023 and December 31, 2022, respectively. These assets support other liabilities reflected in the balance sheet of an equal amount for employees who have elected to defer a portion of their compensation. The change in the net asset value of the trust is recorded in other funds within net investment income with an offsetting equal amount within corporate expenses.

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Real Estate

3 Months Ended

Mar. 31, 2023

Real Estate [Abstract]

Real Estate

Real Estate

    Investment in real estate represents directly owned property held for investment, as follows:

	Carrying Value
	March 31,		December 31,
(In thousands)	2023		2022
Properties in operation	$	1,111,713	$	1,114,167
Properties under development	226,791		226,455
Total	$	1,338,504	$	1,340,622

    As of March 31, 2023, properties in operation included a long-term ground lease in Washington, D.C., an office complex in New York City and the completed portion of a mixed-use project in Washington D.C. Properties in operation are net of accumulated depreciation and amortization of $30,180,000 and $33,206,000 as of March 31, 2023 and December 31, 2022, respectively. Related depreciation expense was $2,281,000 and $4,788,000 for the three months ended March 31, 2023

and 2022, respectively. Future minimum rental income expected on operating leases relating to properties in operation is $24,345,984 in 2023, $34,786,393 in 2024, $32,070,092 in 2025, $29,483,276 in 2026, $28,567,112 in 2027, $28,906,220 in 2028 and $482,081,845 thereafter.

During the first quarter of 2022, the Company sold a real estate investment in London (proceeds from the real estate and related entity is presented on the business disposition line within the consolidated statements of cash flows).

    A mixed-use project in Washington, D.C. had been under development in 2023 and 2022, with the completed portion reported in properties in operation as of March 31, 2023.

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Loans Receivable

3 Months Ended

Mar. 31, 2023

Receivables [Abstract]

Loans Receivable

Loans Receivable

At March 31, 2023 and December 31, 2022, loans receivable were as follows:

(In thousands)	March 31, 2023		December 31, 2022
Amortized cost (net of allowance for expected credit losses):
Real estate loans	$	175,745	$	173,616
Commercial loans	19,199		19,386
Total	$	194,944	$	193,002
Fair value:
Real estate loans	$	168,256	$	168,595
Commercial loans	19,199		19,386
Total	$	187,455	$	187,981

The real estate loans are secured by commercial and residential real estate primarily located in London and New York. These loans generally earn interest at fixed or stepped interest rates and have maturities through 2026. The commercial loans are with small business owners who have secured the related financing with the assets of the business. Commercial loans primarily earn interest on a fixed basis and have varying maturities generally not exceeding 10 years.

Loans receivable in non-accrual status were none as of both March 31, 2023 and December 31, 2022, respectively.

The following table presents the rollforward of the allowance for expected credit losses for loans receivable for the three months ended March 31, 2023 and 2022:

	2023						2022
(In thousands)	Real Estate Loans		Commercial Loans		Total		Real Estate Loans		Commercial Loans		Total
Allowance for expected credit losses, beginning of period	$	1,100	$	691	$	1,791	$	1,362	$	356	$	1,718
Change in expected credit losses	(61)		(121)		(182)		(67)		(222)		(289)
Allowance for expected credit losses, end of period	$	1,039	$	570	$	1,609	$	1,295	$	134	$	1,429

During the three months ended March 31, 2023, the Company decreased the allowance primarily due to a decrease in the weighted average life of the loans receivable portfolio. During the three months ended March 31, 2022, the Company reduced the allowance primarily due to the decrease in the duration of the loan portfolio.

The Company monitors the performance of its loans receivable and assesses the ability of the borrower to pay principal and interest based upon loan structure, underlying property values, cash flow and related financial and operating performance of the property and market conditions.

    In evaluating the real estate loans, the Company considers their credit quality indicators, including loan to value ratios, which compare the outstanding loan amount to the estimated value of the property, the borrower’s financial condition and performance with respect to loan terms, the position in the capital structure, the overall leverage in the capital structure and other market conditions.

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Net Investment Gains (Losses)

3 Months Ended

Mar. 31, 2023

Realized and Unrealized Investment Gains (Losses) [Abstract]

Net Investment Gains (Losses)

Net Investment Gains

     Net investment gains (losses) were as follows:

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Net investment gains (losses):
Fixed maturity securities:
Gains	$	943	$	1,705
Losses	(18,130)		(2,984)
Equity securities (1):
Net realized gains on investment sales	1,060		905
Change in unrealized gains	43,404		93,213
Investment funds	10		(2,162)
Real estate (2)	10,739		286,192
Loans receivable	—		(32)
Other	(15,415)		(6,955)
Net realized and unrealized gains on investments in earnings before allowance for expected credit losses	22,611		369,882
Change in allowance for expected credit losses on investments:
Fixed maturity securities	217		(3,906)
Loans receivable	182		289
Change in allowance for expected credit losses on investments	399		(3,617)
Net investment gains	23,010		366,265
Income tax expense	(4,850)		(78,442)
After-tax net investment gains	$	18,160	$	287,823

Change in unrealized investment gains (losses) on available for sale securities:
Fixed maturity securities without allowance for expected credit losses	$	227,116	$	(540,263)
Fixed maturity securities with allowance for expected credit losses	3,456		293
Investment funds	1,936		469
Other	(487)		52
Total change in unrealized investment gains (losses)	232,021		(539,449)
Income tax (expense) benefit	(51,222)		115,904
Noncontrolling interests	(1)		(1)
After-tax change in unrealized investment gains (losses) of available for sale securities	$	180,798	$	(423,546)

______________________

(1) The net realized gains or losses on investment sales represent the total gains or losses from the purchase dates of the equity securities. The change in unrealized (losses) gains consists of two components: (i) the reversal of the gain or loss recognized in previous periods on equity securities sold and (ii) the change in unrealized gain or loss resulting from mark-to-market adjustments on equity securities still held.

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Fixed Maturity Securities In An Unrealized Loss Position

3 Months Ended

Mar. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Fixed Maturity Securities In An Unrealized Loss Position

Fixed Maturity Securities in an Unrealized Loss Position

    The following tables summarize all fixed maturity securities in an unrealized loss position at March 31, 2023 and December 31, 2022 by the length of time those securities have been continuously in an unrealized loss position:

	Less Than 12 Months				12 Months or Greater				Total
(In thousands)	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
March 31, 2023
U.S. government and government agency	$	213,369	$	4,312	$	527,765	$	50,353	$	741,134	$	54,665
State and municipal	1,070,807		30,908		1,008,985		96,512		2,079,792		127,420
Mortgage-backed	765,967		17,720		866,618		148,720		1,632,585		166,440
Asset-backed	916,431		13,102		2,490,520		104,751		3,406,951		117,853
Corporate	2,694,062		75,595		3,175,233		264,845		5,869,295		340,440
Foreign government	239,947		26,248		786,359		83,587		1,026,306		109,835
Fixed maturity securities	$	5,900,583	$	167,885	$	8,855,480	$	748,768	$	14,756,063	$	916,653
December 31, 2022
U.S. government and government agency	$	285,391	$	10,219	$	453,520	$	58,939	$	738,911	$	69,158
State and municipal	1,720,443		89,272		598,797		79,320		2,319,240		168,592
Mortgage-backed	1,099,549		75,430		473,318		115,528		1,572,867		190,958
Asset-backed	1,569,647		48,390		2,176,638		103,932		3,746,285		152,322
Corporate	3,690,856		150,115		2,349,281		256,631		6,040,137		406,746
Foreign government	477,672		29,815		711,786		105,243		1,189,458		135,058
Fixed maturity securities	$	8,843,558	$	403,241	$	6,763,340	$	719,593	$	15,606,898	$	1,122,834

    Substantially all of the securities in an unrealized loss position are rated investment grade, except for the securities in the foreign government classification. A significant amount of the unrealized loss on foreign government securities is the result of changes in currency exchange rates. 

    A summary of the Company’s non-investment grade fixed maturity securities that were in an unrealized loss position at March 31, 2023 is presented in the table below:

($ in thousands)	Number of Securities	Aggregate Fair Value		Gross Unrealized Loss
Foreign government	33	$	105,347	$	64,516
Corporate	16	45,507		3,789
State and municipal	1	12,066		2,936
Mortgage-backed	14	4,202		199
Asset-backed	1	8		8
Total	65	$	167,130	$	71,448

    For fixed maturity securities that management does not intend to sell or to be required to sell, the portion of the decline in value that is considered to be due to credit factors is recognized in earnings, and the portion of the decline in value that is considered to be due to non-credit factors is recognized in other comprehensive income (loss).

     The Company has evaluated its fixed maturity securities in an unrealized loss position and believes the unrealized losses are due primarily to temporary market and sector-related factors rather than to issuer-specific factors. None of these securities are delinquent or in default under financial covenants. Based on its assessment of these issuers, the Company expects them to continue to meet their contractual payment obligations as they become due.

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Fair Value Measurements

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

    The Company’s fixed maturity available for sale securities, equity securities and its arbitrage trading account securities are carried at fair value. Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.” The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels, as follows:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date.

Level 2 - Quoted prices for similar assets or valuations based on inputs that are observable.

Level 3 - Estimates of fair value based on internal pricing methodologies using unobservable inputs. Unobservable inputs are only used to measure fair value to the extent that observable inputs are not available.

    Substantially all of the Company’s fixed maturity securities were priced by independent pricing services. The prices provided by the independent pricing services are estimated based on observable market data in active markets utilizing pricing models and processes, which may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, sector groupings, matrix pricing and reference data. The pricing services may prioritize inputs differently on any given day for any security based on market conditions, and not all inputs are available for each security evaluation on any given day. The pricing services used by the Company have indicated that they will only produce an estimate of fair value if objectively verifiable information is available. The determination of whether markets are active or inactive is based upon the volume and level of activity for a particular asset class. The Company reviews the prices provided by pricing services for reasonableness and periodically performs independent price tests of a sample of securities to ensure proper valuation.

    If prices from independent pricing services are not available for fixed maturity securities, the Company estimates the fair value. For Level 2 securities, the Company utilizes pricing models and processes which may include benchmark yields, sector groupings, matrix pricing, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, bids, offers and reference data. Where broker quotes are used, the Company generally requests two or more quotes and sets a price within the range of quotes received based on its assessment of the credibility of the quote and its own evaluation of the security. The Company generally does not adjust quotes received from brokers. For securities traded only in private negotiations, the Company determines fair value based primarily on the cost of such securities, which is adjusted to reflect prices of recent placements of securities of the same issuer, financial projections, credit quality and business developments of the issuer and other relevant information.

    For Level 3 securities, the Company generally uses a discounted cash flow model to estimate the fair value of fixed maturity securities. The cash flow models are based upon assumptions as to prevailing credit spreads, interest rate and interest rate volatility, time to maturity and subordination levels. Projected cash flows are discounted at rates that are adjusted to reflect illiquidity, where appropriate.

    The following tables present the assets and liabilities measured at fair value on a recurring basis as of March 31, 2023 and December 31, 2022 by level:

(In thousands)	Total		Level 1		Level 2		Level 3
March 31, 2023
Assets:
Fixed maturity securities available for sale:
U.S. government and government agency	$	1,049,267	$	—	$	1,049,267	$	—
State and municipal	2,789,359		—		2,789,359		—
Mortgage-backed	1,897,729		—		1,897,729		—
Asset-backed	3,845,453		—		3,845,453		—
Corporate	7,125,649		—		7,125,649		—
Foreign government	1,331,890		—		1,331,890		—
Total fixed maturity securities available for sale	18,039,347		—		18,039,347		—
Equity securities:
Common stocks	1,057,599		1,054,268		1,162		2,169
Preferred stocks	222,356		—		211,057		11,299
Total equity securities	1,279,955		1,054,268		212,219		13,468
Arbitrage trading account	609,001		574,096		31,251		3,654
Total	$	19,928,303	$	1,628,364	$	18,282,817	$	17,122
December 31, 2022
Assets:
Fixed maturity securities available for sale:
U.S. government and government agency	$	892,258	$	—	$	892,258	$	—
State and municipal	2,890,098		—		2,890,098		—
Mortgage-backed	1,665,410		—		1,665,410		—
Asset-backed	3,982,773		—		3,982,773		—
Corporate	6,703,992		—		6,703,992		—
Foreign government	1,401,522		—		1,401,522		—
Total fixed maturity securities available for sale	17,536,053		—		17,536,053		—
Equity securities:
Common stocks	982,751		978,991		1,161		2,599
Preferred stocks	203,143		—		191,844		11,299
Total equity securities	1,185,894		978,991		193,005		13,898
Arbitrage trading account	944,230		822,192		118,448		3,590
Total	$	19,666,177	$	1,801,183	$	17,847,506	$	17,488

    The following tables summarize changes in Level 3 assets and liabilities for the three months ended March 31, 2023 and for the year ended December 31, 2022:

Gains (Losses) Included In:
(In thousands)	Beginning Balance		Earnings (Losses)		Other Comprehensive Income (Losses)		Impairments		Purchases		Sales		Paydowns / Maturities		Transfers In / (Out)		Ending Balance
Three Months Ended March 31, 2023
Assets:
Equity securities:
Common stocks	$	2,599	$	(430)	$	—	$	—	$	—	$	—	$	—	$	—	$	2,169
Preferred stocks	11,299		—		—		—		—		—		—		—		11,299
Total	13,898		(430)		—		—		—		—		—		—		13,468
Arbitrage trading account	3,590		64		—		—		—		—		—		—		3,654
Total	$	17,488	$	(366)	$	—	$	—	$	—	$	—	$	—	$	—	$	17,122
Year Ended December 31, 2022
Assets:
Equity securities:
Common stocks	$	9,294	$	(6,695)	$	—	$	—	$	—	$	—	$	—	$	—	$	2,599
Preferred stocks	11,296		3		—		—		925		(925)		—		—		11,299
Total	20,590		(6,692)		—		—		925		(925)		—		—		13,898
Arbitrage trading account	—		(179)		—		—		4,685		(917)		—		1		3,590
Total	$	20,590	$	(6,871)	$	—	$	—	$	5,610	$	(1,842)	$	—	$	1	$	17,488

    For the three months ended March 31, 2023 and for the year ended December 31, 2022, there were no securities transferred into or out of Level 3.

Fair Value of Financial Instruments

    The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments:

	March 31, 2023				December 31, 2022
(In thousands)	Carrying Value		Fair Value		Carrying Value		Fair Value
Assets:
Fixed maturity securities	$	18,091,113	$	18,095,068	$	17,587,349	$	17,591,626
Equity securities	1,279,955		1,279,955		1,185,894		1,185,894
Arbitrage trading account	609,001		609,001		944,230		944,230
Loans receivable	194,944		187,455		193,002		187,981
Cash and cash equivalents	1,242,357		1,242,357		1,449,346		1,449,346
Trading account receivables from brokers and clearing organizations	583,970		583,970		233,863		233,863
Due from broker	17,207		17,207		3,609		3,609
Liabilities:
Senior notes and other debt	1,827,981		1,501,671		1,828,823		1,439,188
Subordinated debentures	1,008,551		836,796		1,008,371		805,600

    The estimated fair values of the Company’s fixed maturity securities, equity securities and arbitrage trading account securities are based on various valuation techniques that rely on fair value measurements as described in Note 15. The fair value of loans receivable are estimated by using current institutional purchaser yield requirements for loans with similar credit characteristics, which is considered a Level 2 input. The fair value of the senior notes and other debt and the subordinated debentures is based on spreads for similar securities, which is considered a Level 2 input.

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Reserves for Loss and Loss Expenses

3 Months Ended

Mar. 31, 2023

Insurance [Abstract]

Reserves for Loss and Loss Expenses

Reserves for Loss and Loss Expenses

    The Company's reserves for losses and loss expenses are comprised of case reserves and incurred but not reported liabilities ("IBNR"). When a claim is reported, a case reserve is established for the estimated ultimate payment based upon known information about the claim. As more information about the claim becomes available over time, case reserves are adjusted up or down as appropriate. Reserves are also established on an aggregate basis to provide for IBNR liabilities and expected loss reserve development on reported claims.

    Loss reserves included in the Company’s financial statements represent management’s best estimates based upon an actuarially derived point estimate and other considerations. The Company uses a variety of actuarial techniques and methods to derive an actuarial point estimate for each operating unit. These methods include paid loss development, incurred loss development, paid and incurred Bornhuetter-Ferguson methods and frequency and severity methods. In circumstances where one actuarial method is considered more credible than the others, that method is used to set the point estimate. The actuarial point estimate may also be based on a judgmental weighting of estimates produced from each of the methods considered. Industry loss experience is used to supplement the Company’s own data in selecting “tail factors” in areas where the Company’s own data is limited. The actuarial data is analyzed by line of business, coverage and accident or policy year, as appropriate, for each operating unit.

    The establishment of the actuarially derived loss reserve point estimate also includes consideration of qualitative factors that may affect the ultimate losses. These qualitative considerations include, among others, the impact of re-underwriting initiatives, changes in the mix of business, changes in distribution sources and changes in policy terms and conditions.

    The key assumptions used to arrive at the best estimate of loss reserves are the expected loss ratios, rate of loss cost inflation, and reported and paid loss emergence patterns. Expected loss ratios represent management’s expectation of losses at the time the business is priced and written, before any actual claims experience has emerged. This expectation is a significant determinant of the estimate of loss reserves for recently written business where there is little paid or incurred loss data to consider. Expected loss ratios are generally derived from historical loss ratios adjusted for the impact of rate changes, loss cost trends and known changes in the type of risks underwritten. Expected loss ratios are estimated for each key line of business within each operating unit. Expected loss cost inflation is particularly important for the long-tail lines, such as excess casualty, and claims with a high medical component, such as workers’ compensation. Reported and paid loss emergence patterns are used to project current reported or paid loss amounts to their ultimate settlement value. Loss development factors are based on the historical emergence patterns of paid and incurred losses, and are derived from the Company’s own experience and industry data. The paid loss emergence pattern is also significant to excess and assumed workers’ compensation reserves because those reserves are discounted to their estimated present value based upon such estimated payout patterns.

    Loss frequency and severity are measures of loss activity that are considered in determining the key assumptions described in our discussion of loss and loss expense reserves, including expected loss ratios, rate of loss cost inflation and reported and paid loss emergence patterns. Loss frequency is a measure of the number of claims per unit of insured exposure, and loss severity is a measure of the average size of claims. Factors affecting loss frequency include the effectiveness of loss controls and safety programs and changes in economic activity or weather patterns. Factors affecting loss severity include changes in policy limits, retentions, rate of inflation and judicial interpretations.

    Another factor affecting estimates of loss frequency and severity is the loss reporting lag, which is the period of time between the occurrence of a loss and the date the loss is reported to the Company. The length of the loss reporting lag affects our ability to accurately predict loss frequency (loss frequencies are more predictable for lines with short reporting lags) as well as the amount of reserves needed for incurred but not reported losses (less IBNR is required for lines with short reporting lags). As a result, loss reserves for lines with short reporting lags are likely to have less variation from initial loss estimates. For lines with short reporting lags, which include commercial automobile, primary workers’ compensation, other liability (claims-made) and property business, the key assumption is the loss emergence pattern used to project ultimate loss estimates from known losses paid or reported to date. For lines of business with long reporting lags, which include other liability (occurrence), products liability, excess workers’ compensation and liability reinsurance, the key assumption is the expected loss ratio since there is often little paid or incurred loss data to consider. Historically, the Company has experienced less variation from its initial loss estimates for lines of businesses with short reporting lags than for lines of business with long reporting lags.

    The key assumptions used in calculating the most recent estimate of the loss reserves are reviewed each quarter and adjusted, to the extent necessary, to reflect the latest reported loss data, current trends and other factors observed.

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

	March 31,
(In thousands)	2023		2022
Net reserves at beginning of period	$	14,248,879	$	12,848,362
Net provision for losses and loss expenses:
Claims occurring during the current year (1)	1,502,817		1,327,695
Increase in estimates for claims occurring in prior years (2) (3)	28,205		3,761
Loss reserve discount accretion	7,733		7,796
Total	1,538,755		1,339,252
Net payments for claims:
Current year	110,274		84,598
Prior years	1,106,481		933,656
Total	1,216,755		1,018,254
Foreign currency translation	1,154		9,983
Net reserves at end of period	14,572,033		13,179,343
Ceded reserves at end of period	2,859,602		2,543,546
Gross reserves at end of period	$	17,431,635	$	15,722,889

_______________________________________

(1) Claims occurring during the current year are net of loss reserve discounts of $11 million and $7 million for the three months ended March 31, 2023 and 2022, 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 and decreased by $4 million for the three months ended March 31, 2023 and 2022, respectively.

(3) For certain retrospectively rated insurance policies and reinsurance agreements, reserve development is offset by additional or return premiums. Adverse development, net of additional and return premiums, was $24 million for the three months ended March 31, 2023, and favorable development was $1 million for the three months ended March 31, 2022, respectively.

The COVID-19 global pandemic has impacted, and may further impact, the Company’s results through its effect on claim frequency and severity. Loss cost trends have been impacted and may be further impacted by COVID-19-related claims in certain lines of business. Losses incurred from COVID-19-related claims have been offset, to a certain extent, by lower claim frequency in certain lines of our businesses; however, as the economy and legal systems have reopened, the benefit of lower claim frequency has partially abated. The ultimate net impact of COVID-19 on the Company remains uncertain. New variants of the COVID-19 virus continue to create risks with respect to loss costs and the potential for renewed impact of the other effects of COVID-19 associated with economic conditions, inflation, and social distancing and work from home rules.

Most of the COVID-19-related claims reported to the Company to date involve certain short-tailed lines of business, including contingency and event cancellation, business interruption, and film production delay. The Company has also received COVID-19-related claims for longer-tailed casualty lines of business such as workers’ compensation and other liability; however, the estimated incurred loss impact for these reported claims are not material at this time. Given the continuing uncertainty regarding the pandemic's pervasiveness, the future impact that the pandemic may have on claim frequency and severity remains uncertain at this time.

The Company has estimated the potential COVID-19 impact to its contingency and event cancellation, workers’ compensation, and other lines of business under a number of possible scenarios; however, due to COVID-19’s continued evolving impact, there remains uncertainty around the Company’s COVID-19 reserves. In addition, should the pandemic continue or worsen as a result of new COVID-19 variants or otherwise, governments in the jurisdictions where we operate may impose restrictions, including lockdowns, as well as renew their efforts to expand policy coverage terms beyond the policy’s intended coverage. Accordingly, losses arising from these actions, and the other factors described above, could exceed the Company’s reserves established for those related policies.

As of March 31, 2023, the Company had recognized losses for COVID-19-related claims activity, net of reinsurance, of approximately $344 million, of which $291 million relates to the Insurance segment and $53 million relates to the Reinsurance & Monoline Excess segment. Such $344 million of COVID-19-related losses included $339 million of reported losses and $5 million of IBNR. For the three months ended March 31, 2023, the Company recognized current accident year losses for COVID-19-related claims activity, net of reinsurance, of approximately $43 thousand, all of which relates to the Insurance segment.

During the three months ended March 31, 2023, adverse prior year development (net of additional and return premiums) of $24 million included $17 million for the Insurance segment and $7 million for the Reinsurance & Monoline Excess segment.

This overall adverse development for both segments was primarily attributed to property catastrophe losses related to 2022 events which were still being adjusted and settled during the first quarter of 2023. In particular, losses related to U.S. winter storms which occurred during the month of December were a significant driver of the development, as information gathering and evaluation of many of these losses were still ongoing into the new year.

In addition to the property prior year adverse development discussed above, during the first quarter of 2023, the Insurance segment experienced adverse prior year development on casualty lines for the 2016 through 2019 accident years, which was offset by favorable prior year development on casualty lines for the 2022 accident year. The adverse development on the 2016 through 2019 accident years was concentrated in the other liability line of business, and to a lesser degree, professional liability, including medical professional. The development, which particularly impacted business attaching excess of primary policy limits, was driven by a larger than expected number of large losses reported. The Company believes social inflation is contributing to an increase in the frequency of large losses for these accident years. Social inflation can include higher settlement demands from plaintiffs, use of tactics such as litigation funding by the plaintiffs’ bar, negative public sentiment towards large businesses and corporations, and erosion of tort reforms, among others.

The favorable prior year development on casualty lines for the 2022 accident year in the Insurance segment was concentrated in the other liability, professional liability, and workers’ compensation lines of business. Due to uncertainty regarding incurred loss frequency and severity in light of ongoing social inflation and the emergence from the COVID-19 pandemic, the Company set its initial loss ratios for the 2022 accident year prudently, and largely maintained these estimates through the end of 2022. The reported loss experience to date for these lines of business for the 2022 accident year has been significantly better than was expected, and the Company has begun to react to this favorable emergence in the first quarter of 2023 for these lines.

During the three months ended March 31, 2022, favorable prior year development (net of additional and return premiums) of $1 million included $6 million of favorable development for the Insurance segment, largely offset by $5 million of adverse development for the Reinsurance & Monoline Excess segment.

The overall favorable development for the Insurance segment was primarily attributable to favorable development on the 2021 accident year, largely offset by adverse development on the 2015 through 2019 accident years. The favorable development on the 2021 accident year was concentrated in the commercial auto liability, other liability and accident and health (employer stop loss) lines of business. The Company continued to experience lower reported claim frequency in commercial auto and other liability in 2021 relative to historical averages, and lower reported incurred losses relative to our expectations. These trends began in 2020, and were likely caused by the impacts of the COVID-19 pandemic, including, for example, lockdowns, reduced driving/traffic, significant work from home, court closures, and similar reduced activities and travel. While reported claim frequency in these lines increased in 2021 relative to 2020, it remained below the historical levels pre- the start of the COVID-19 pandemic. Due to the ongoing uncertainty regarding the ultimate impacts of the COVID-19 pandemic on accident year 2021 incurred losses, the Company remains cautious in factoring in these trends in setting its initial loss ratio picks for this year. As accident year 2021 has begun to mature, we have recognized some of the favorable reported experience in our ultimate loss picks made as of March 31, 2022. The adverse development on the 2015 through 2019 accident years is concentrated in the other liability line of business, and to a lesser degree professional liability and commercial auto liability. The development is driven by a larger than expected number of large losses reported. The large losses particularly impacted the excess and surplus lines casualty classes of business.

The overall adverse development for the Reinsurance & Monoline Excess segment was driven mainly by adverse development in the non-proportional reinsurance assumed liability and professional liability lines of business, largely offset by favorable development in excess workers' compensation. Both the adverse and favorable development was spread across many prior accident years. The adverse development was associated primarily with our U.S. assumed reinsurance business, and related to accounts insuring construction projects and professional liability exposures. The favorable excess workers' compensation development was driven by continued lower claim frequency and reported losses relative to our expectations and to favorable claim settlements.

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Fair Value Of Financial Instruments

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Of Financial Instruments

Fair Value Measurements

    The Company’s fixed maturity available for sale securities, equity securities and its arbitrage trading account securities are carried at fair value. Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.” The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels, as follows:

Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date.

Level 2 - Quoted prices for similar assets or valuations based on inputs that are observable.

Level 3 - Estimates of fair value based on internal pricing methodologies using unobservable inputs. Unobservable inputs are only used to measure fair value to the extent that observable inputs are not available.

    Substantially all of the Company’s fixed maturity securities were priced by independent pricing services. The prices provided by the independent pricing services are estimated based on observable market data in active markets utilizing pricing models and processes, which may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, sector groupings, matrix pricing and reference data. The pricing services may prioritize inputs differently on any given day for any security based on market conditions, and not all inputs are available for each security evaluation on any given day. The pricing services used by the Company have indicated that they will only produce an estimate of fair value if objectively verifiable information is available. The determination of whether markets are active or inactive is based upon the volume and level of activity for a particular asset class. The Company reviews the prices provided by pricing services for reasonableness and periodically performs independent price tests of a sample of securities to ensure proper valuation.

    If prices from independent pricing services are not available for fixed maturity securities, the Company estimates the fair value. For Level 2 securities, the Company utilizes pricing models and processes which may include benchmark yields, sector groupings, matrix pricing, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, bids, offers and reference data. Where broker quotes are used, the Company generally requests two or more quotes and sets a price within the range of quotes received based on its assessment of the credibility of the quote and its own evaluation of the security. The Company generally does not adjust quotes received from brokers. For securities traded only in private negotiations, the Company determines fair value based primarily on the cost of such securities, which is adjusted to reflect prices of recent placements of securities of the same issuer, financial projections, credit quality and business developments of the issuer and other relevant information.

    For Level 3 securities, the Company generally uses a discounted cash flow model to estimate the fair value of fixed maturity securities. The cash flow models are based upon assumptions as to prevailing credit spreads, interest rate and interest rate volatility, time to maturity and subordination levels. Projected cash flows are discounted at rates that are adjusted to reflect illiquidity, where appropriate.

    The following tables present the assets and liabilities measured at fair value on a recurring basis as of March 31, 2023 and December 31, 2022 by level:

(In thousands)	Total		Level 1		Level 2		Level 3
March 31, 2023
Assets:
Fixed maturity securities available for sale:
U.S. government and government agency	$	1,049,267	$	—	$	1,049,267	$	—
State and municipal	2,789,359		—		2,789,359		—
Mortgage-backed	1,897,729		—		1,897,729		—
Asset-backed	3,845,453		—		3,845,453		—
Corporate	7,125,649		—		7,125,649		—
Foreign government	1,331,890		—		1,331,890		—
Total fixed maturity securities available for sale	18,039,347		—		18,039,347		—
Equity securities:
Common stocks	1,057,599		1,054,268		1,162		2,169
Preferred stocks	222,356		—		211,057		11,299
Total equity securities	1,279,955		1,054,268		212,219		13,468
Arbitrage trading account	609,001		574,096		31,251		3,654
Total	$	19,928,303	$	1,628,364	$	18,282,817	$	17,122
December 31, 2022
Assets:
Fixed maturity securities available for sale:
U.S. government and government agency	$	892,258	$	—	$	892,258	$	—
State and municipal	2,890,098		—		2,890,098		—
Mortgage-backed	1,665,410		—		1,665,410		—
Asset-backed	3,982,773		—		3,982,773		—
Corporate	6,703,992		—		6,703,992		—
Foreign government	1,401,522		—		1,401,522		—
Total fixed maturity securities available for sale	17,536,053		—		17,536,053		—
Equity securities:
Common stocks	982,751		978,991		1,161		2,599
Preferred stocks	203,143		—		191,844		11,299
Total equity securities	1,185,894		978,991		193,005		13,898
Arbitrage trading account	944,230		822,192		118,448		3,590
Total	$	19,666,177	$	1,801,183	$	17,847,506	$	17,488

    The following tables summarize changes in Level 3 assets and liabilities for the three months ended March 31, 2023 and for the year ended December 31, 2022:

Gains (Losses) Included In:
(In thousands)	Beginning Balance		Earnings (Losses)		Other Comprehensive Income (Losses)		Impairments		Purchases		Sales		Paydowns / Maturities		Transfers In / (Out)		Ending Balance
Three Months Ended March 31, 2023
Assets:
Equity securities:
Common stocks	$	2,599	$	(430)	$	—	$	—	$	—	$	—	$	—	$	—	$	2,169
Preferred stocks	11,299		—		—		—		—		—		—		—		11,299
Total	13,898		(430)		—		—		—		—		—		—		13,468
Arbitrage trading account	3,590		64		—		—		—		—		—		—		3,654
Total	$	17,488	$	(366)	$	—	$	—	$	—	$	—	$	—	$	—	$	17,122
Year Ended December 31, 2022
Assets:
Equity securities:
Common stocks	$	9,294	$	(6,695)	$	—	$	—	$	—	$	—	$	—	$	—	$	2,599
Preferred stocks	11,296		3		—		—		925		(925)		—		—		11,299
Total	20,590		(6,692)		—		—		925		(925)		—		—		13,898
Arbitrage trading account	—		(179)		—		—		4,685		(917)		—		1		3,590
Total	$	20,590	$	(6,871)	$	—	$	—	$	5,610	$	(1,842)	$	—	$	1	$	17,488

    For the three months ended March 31, 2023 and for the year ended December 31, 2022, there were no securities transferred into or out of Level 3.

Fair Value of Financial Instruments

    The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments:

	March 31, 2023				December 31, 2022
(In thousands)	Carrying Value		Fair Value		Carrying Value		Fair Value
Assets:
Fixed maturity securities	$	18,091,113	$	18,095,068	$	17,587,349	$	17,591,626
Equity securities	1,279,955		1,279,955		1,185,894		1,185,894
Arbitrage trading account	609,001		609,001		944,230		944,230
Loans receivable	194,944		187,455		193,002		187,981
Cash and cash equivalents	1,242,357		1,242,357		1,449,346		1,449,346
Trading account receivables from brokers and clearing organizations	583,970		583,970		233,863		233,863
Due from broker	17,207		17,207		3,609		3,609
Liabilities:
Senior notes and other debt	1,827,981		1,501,671		1,828,823		1,439,188
Subordinated debentures	1,008,551		836,796		1,008,371		805,600

    The estimated fair values of the Company’s fixed maturity securities, equity securities and arbitrage trading account securities are based on various valuation techniques that rely on fair value measurements as described in Note 15. The fair value of loans receivable are estimated by using current institutional purchaser yield requirements for loans with similar credit characteristics, which is considered a Level 2 input. The fair value of the senior notes and other debt and the subordinated debentures is based on spreads for similar securities, which is considered a Level 2 input.

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Premiums and Reinsurance Related Information

3 Months Ended

Mar. 31, 2023

Insurance [Abstract]

Premiums and Reinsurance Related Information

Premiums and Reinsurance Related Information

The following is a summary of insurance and reinsurance financial information:

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Written premiums:
Direct	$	2,738,754	$	2,542,336
Assumed	310,563		317,500
Ceded	(474,493)		(446,582)
Total net premiums written	$	2,574,824	$	2,413,254
Earned premiums:
Direct	$	2,667,063	$	2,404,597
Assumed	295,230		292,373
Ceded	(470,861)		(447,883)
Total net premiums earned	$	2,491,432	$	2,249,087
Ceded losses and loss expenses incurred	$	315,476	$	243,294
Ceded commissions earned	$	118,418	$	117,445

    The following table presents the rollforward of the allowance for expected credit losses for premiums and fees receivable for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	30,660	$	25,218
Change in expected credit losses	1,693		3,018
Allowance for expected credit losses, end of period	$	32,353	$	28,236

The Company reinsures a portion of its insurance exposures in order to reduce its net liability on individual risks and catastrophe losses. The Company also cedes premiums to state assigned risk plans and captive insurance companies. Estimated amounts due from reinsurers are reported net of an allowance for expected credit losses.

The following table presents the rollforward of the allowance for expected credit losses associated with due from reinsurers for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	8,064	$	7,713
Change in expected credit losses	639		(58)
Allowance for expected credit losses, end of period	$	8,703	$	7,655

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Restricted Stock Units

3 Months Ended

Mar. 31, 2023

Share-based Payment Arrangement [Abstract]

Restricted Stock Units

Restricted Stock Units

    Pursuant to its stock incentive plan, the Company may issue restricted stock units ("RSUs") to employees of the Company and its subsidiaries. The RSUs generally vest three to five years from the award date and are subject to other vesting and forfeiture provisions contained in the award agreement. RSUs are expensed pro-ratably over the vesting period. RSU expenses were $12 million and $11 million for the three months ended March 31, 2023 and 2022, respectively. A summary of RSUs issued in the three months ended March 31, 2023 and 2022 follows:

($ in thousands)	Units	Fair Value
2023	—	$	—
2022	1,660	$	150

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Litigation and Contingent Liabilities	3 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Litigation and Contingent Liabilities	Litigation and Contingent Liabilities    In the ordinary course of business, the Company is subject to disputes, litigation and arbitration arising from its insurance and reinsurance businesses. These matters are generally related to insurance and reinsurance claims and are considered in the establishment of loss and loss expense reserves. In addition, the Company may also become involved in legal actions which seek extra-contractual damages, punitive damages or penalties, including claims alleging bad faith in handling of insurance claims. The Company expects its ultimate liability with respect to such matters will not be material to its financial condition. However, adverse outcomes on such matters are possible, from time to time, and could be material to the Company’s results of operations in any particular financial reporting period.

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Leases

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Leases

Leases

    Lessees are required to recognize a right-of-use asset and a lease liability for leases with terms of more than 12 months on the balance sheet. All leases disclosed within this footnote are classified as operating leases. Recognized right-of-use asset and lease liability are reported within other assets and other liabilities, respectively, in the consolidated balance sheet. Lease expense is reported in other operating costs and expenses in the consolidated statement of income and accounted for on a straight-line basis over the lease term.

    To determine the discount rate used to calculate present value of future minimum lease payments, the Company uses its incremental borrowing rate during the lease commencement period in line with the respective lease duration. In certain cases, the Company has the option to renew the lease. Lease renewal future payments are included in the present value of the future minimum lease payments when the Company determines it is reasonably certain to renew.

The main leases entered into by the Company are for office space used by the Company’s operating units across the world. Additionally, the Company, to a lesser extent, has equipment leases mainly for office equipment. Further information relating to operating lease expense and other operating lease information are as follows:

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Leases:
Lease cost	$	10,188	$	10,198
Cash paid for amounts included in the measurement of lease liabilities reported in operating cash flows	$	10,563	$	10,993
Right-of-use assets obtained in exchange for new lease liabilities	$	5,313	$	17,269

	As of March 31,
($ in thousands)	2023			2022
Right-of-use assets	$	164,547		$	180,424
Lease liabilities	$	199,225		$	217,086
Weighted-average remaining lease term	7.1 years			7.3 years
Weighted-average discount rate	4.49		%	4.58		%

Contractual maturities of the Company’s future minimum lease payments are as follows:

(In thousands)	March 31, 2023
Contractual Maturities:
2023	$	36,209
2024	42,330
2025	34,121
2026	27,166
2027	17,585
Thereafter	72,767
Total undiscounted future minimum lease payments	230,178
Less: Discount impact	30,953
Total lease liability	$	199,225

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Business Segments

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Business Segments

Business Segments

    The Company’s reportable segments include the following two business segments, plus a corporate segment:

•Insurance - predominantly commercial insurance business, including excess and surplus lines, admitted lines and specialty personal lines throughout the United States, as well as insurance business in Asia, Australia, Canada, Continental Europe, Mexico, Scandinavia, South America and the United Kingdom

•Reinsurance & Monoline Excess - reinsurance business on a facultative and treaty basis, primarily in the United States, the United Kingdom, Continental Europe, Australia, the Asia-Pacific Region and South Africa, as well as operations that solely retain risk on an excess basis.

    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 reporting segments is presented in the following tables. Income (loss) before income taxes by segment includes allocated investment income. Identifiable assets by segment are those assets used in or allocated to the operation of each segment.

	Revenues
(In thousands)	Earned Premiums (1)		Investment Income		Other		Total (2)		Pre-Tax Income (Loss)		Net Income (Loss) to Common Stockholders
Three months ended March 31, 2023
Insurance	$	2,181,876	$	166,086	$	9,577	$	2,357,539	$	352,199	$	273,904
Reinsurance & Monoline Excess	309,556		52,055		—		361,611		101,712		82,561
Corporate, other and eliminations (3)	—		5,257		147,587		152,844		(100,850)		(80,499)
Net investment gains	—		—		23,010		23,010		23,010		18,160
Total	$	2,491,432	$	223,398	$	180,174	$	2,895,004	$	376,071	$	294,126
Three months ended March 31, 2022
Insurance	$	1,962,835	$	137,654	$	8,676	$	2,109,165	$	382,412	$	315,552
Reinsurance & Monoline Excess	286,252		27,423		—		313,675		57,628		47,080
Corporate, other and eliminations (3)	—		8,435		117,869		126,304		(73,872)		(59,817)
Net investment gains	—		—		366,265		366,265		366,265		287,823
Total	$	2,249,087	$	173,512	$	492,810	$	2,915,409	$	732,433	$	590,638

_________________

(1) Certain amounts included in earned premiums of each segment are related to inter-segment transactions.

(2) Revenues for Insurance from foreign operations for the three months ended March 31, 2023 and 2022 were $274 million and $235 million, respectively. Revenues for Reinsurance & Monoline Excess from foreign operations for the three months ended March 31, 2023 and 2022 were $106 million and $96 million, respectively.

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

Identifiable Assets

(In thousands)	March 31, 2023		December 31, 2022
Insurance	$	27,062,484	$	27,012,479
Reinsurance & Monoline Excess	5,191,920		5,195,752
Corporate, other and eliminations	2,041,660		1,606,872
Consolidated	$	34,296,064	$	33,815,103

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

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Insurance:
Other liability	$	857,149	$	749,391
Short-tail lines (1)	430,503		375,212
Commercial automobile	311,422		282,234
Workers' compensation	305,561		285,423
Professional liability	277,241		270,575
Total Insurance	2,181,876		1,962,835
Reinsurance & Monoline Excess:
Casualty reinsurance	193,730		184,122
Monoline excess (2)	58,644		51,896
Property reinsurance	57,182		50,234
Total Reinsurance & Monoline Excess	309,556		286,252
Total	$	2,491,432	$	2,249,087

______________

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

(2) Monoline excess includes operations that solely retain risk on an excess basis.

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Recent Accounting Pronouncements and Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2023

Accounting Policies [Abstract]

Per Share Data

Per Share Data

    The Company presents both basic and diluted net income per share (“EPS”) amounts. Basic EPS is calculated by dividing net income by the weighted average number of common shares outstanding during the period (including 11,416,856 and 11,592,699 common shares held in a grantor trust as of March 31, 2023 and 2022, respectively). The common shares held in the grantor trust are for delivery upon settlement of vested but mandatorily deferred restricted stock units ("RSUs"). Shares held by the grantor trust do not affect diluted shares outstanding since the shares deliverable under vested RSUs were already included in diluted shares outstanding. Diluted EPS is based upon the weighted average number of basic and common equivalent shares outstanding during the period and is calculated using the treasury stock method for stock incentive plans. Common equivalent shares are excluded from the computation in periods in which they have an anti-dilutive effect.

    The weighted average number of common shares used in the computation of basic and diluted earnings per share was as follows:

	For the Three Months Ended March 31,
(In thousands)	2023	2022
Basic	274,977	276,772
Diluted	277,339	279,157

Recent Accounting Pronouncements

Recent Accounting Pronouncements and Accounting Policies

Recently adopted accounting pronouncements:

    All accounting and reporting standards that became effective in 2023 were either not applicable to the Company or their adoption did not have a material impact on the Company.

Accounting and reporting standards that are not yet effective:

    All recently issued but not yet effective accounting and reporting standards are either not applicable to the Company or are not expected to have a material impact on the Company.

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Consolidated Statements of Comprehensive Income (Tables)

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Components of changes in accumulated other comprehensive income (loss)

The following table presents the components of the changes in accumulated other comprehensive income ("AOCI"):

(In thousands)	Unrealized Investment (Losses) Gains			Currency Translation Adjustments		Accumulated Other Comprehensive (Loss) Income
As of and for the three months ended March 31, 2023
Changes in AOCI
Beginning of period	$	(892,905)		$	(371,676)	$	(1,264,581)
Other comprehensive income before reclassifications	155,215			4,866		160,081
Amounts reclassified from AOCI	25,584			—		25,584
Other comprehensive income	180,799			4,866		185,665
Unrealized investment loss related to noncontrolling interest	(1)			—		(1)
End of period	$	(712,107)		$	(366,810)	$	(1,078,917)
Amounts reclassified from AOCI
Pre-tax	$	32,385	(1)	$	—	$	32,385
Tax effect	(6,801)		(2)	—		(6,801)
After-tax amounts reclassified	$	25,584		$	—	$	25,584
Other comprehensive income
Pre-tax	$	232,021		$	4,866	$	236,887
Tax effect	(51,222)			—		(51,222)
Other comprehensive income	$	180,799		$	4,866	$	185,665
As of and for the three months ended March 31, 2022
Changes in AOCI
Beginning of period	$	90,900		$	(372,855)	$	(281,955)
Other comprehensive (loss) income before reclassifications	(433,136)			56,272		(376,864)
Amounts reclassified from AOCI	9,591			—		9,591
Other comprehensive (loss) income	(423,545)			56,272		(367,273)
Unrealized investment loss related to noncontrolling interest	(1)			—		(1)
Ending balance	$	(332,646)		$	(316,583)	$	(649,229)
Amounts reclassified from AOCI
Pre-tax	$	12,141	(1)	$	—	$	12,141
Tax effect	(2,550)		(2)	—		(2,550)
After-tax amounts reclassified	$	9,591		$	—	$	9,591
Other comprehensive (loss) income
Pre-tax	$	(539,449)		$	56,272	$	(483,177)
Tax effect	115,904			—		115,904
Other comprehensive (loss) income	$	(423,545)		$	56,272	$	(367,273)

____________

(1) Net investment gains in the consolidated statements of income.

(2) Income tax expense in the consolidated statements of income.

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Per Share Data (Tables)

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Weighted average number of common shares

The weighted average number of common shares used in the computation of basic and diluted earnings per share was as follows:

	For the Three Months Ended March 31,
(In thousands)	2023	2022
Basic	274,977	276,772
Diluted	277,339	279,157

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Investments in Fixed Maturity Securities (Tables)

3 Months Ended

Mar. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Schedule of investments in fixed maturity securities

At March 31, 2023 and December 31, 2022, investments in fixed maturity securities were as follows:

(In thousands)	Amortized Cost		Allowance for Expected Credit Losses (1)		Gross Unrealized				Fair Value		Carrying Value
					Gains		Losses
March 31, 2023
Held to maturity:
State and municipal	$	48,474	$	(107)	$	3,902	$	—	$	52,269	$	48,367
Residential mortgage-backed	3,399		—		53		—		3,452		3,399
Total held to maturity	51,873		(107)		3,955		—		55,721		51,766
Available for sale:
U.S. government and government agency	1,100,204		—		3,728		(54,665)		1,049,267		1,049,267
State and municipal:
Special revenue	1,759,098		—		5,429		(90,044)		1,674,483		1,674,483
State general obligation	386,952		—		4,090		(16,577)		374,465		374,465
Pre-refunded	105,812		—		3,351		(248)		108,915		108,915
Corporate backed	204,773		—		491		(8,447)		196,817		196,817
Local general obligation	442,571		—		4,212		(12,104)		434,679		434,679
Total state and municipal	2,899,206		—		17,573		(127,420)		2,789,359		2,789,359
Mortgage-backed:
Residential	1,464,856		(23)		2,298		(153,147)		1,313,984		1,313,984
Commercial	595,818		—		1,220		(13,293)		583,745		583,745
Total mortgage-backed	2,060,674		(23)		3,518		(166,440)		1,897,729		1,897,729
Asset-backed	3,960,140		—		3,166		(117,853)		3,845,453		3,845,453
Corporate:
Industrial	3,563,744		(66)		9,599		(187,833)		3,385,444		3,385,444
Financial	2,737,880		(3,729)		7,421		(115,268)		2,626,304		2,626,304
Utilities	650,151		—		5,117		(27,941)		627,327		627,327
Other	495,850		—		122		(9,398)		486,574		486,574
Total corporate	7,447,625		(3,795)		22,259		(340,440)		7,125,649		7,125,649
Foreign government	1,468,737		(33,324)		6,312		(109,835)		1,331,890		1,331,890
Total available for sale	18,936,586		(37,142)		56,556		(916,653)		18,039,347		18,039,347
Total investments in fixed maturity securities	$	18,988,459	$	(37,249)	$	60,511	$	(916,653)	$	18,095,068	$	18,091,113

____________

(1) Represents the amount of impairment that has resulted from credit-related factors. The change in the allowance for expected credit losses is recognized in the consolidated statements of income. Amount excludes unrealized losses relating to non-credit factors.

(In thousands)	Amortized Cost		Allowance for Expected Credit Losses (1)		Gross Unrealized				Fair Value		Carrying Value
					Gains		Losses
December 31, 2022
Held to maturity:
State and municipal	$	47,802	$	(114)	$	4,239	$	—	$	51,927	$	47,688
Residential mortgage-backed	3,608		—		38		—		3,646		3,608
Total held to maturity	51,410		(114)		4,277		—		55,573		51,296
Available for sale:
U.S. government and government agency	960,479		—		937		(69,158)		892,258		892,258
State and municipal:
Special revenue	1,837,309		—		3,662		(119,474)		1,721,497		1,721,497
State general obligation	387,709		—		2,651		(21,335)		369,025		369,025
Pre-refunded	156,106		—		2,741		(7)		158,840		158,840
Corporate backed	210,228		—		334		(10,923)		199,639		199,639
Local general obligation	454,983		—		2,967		(16,853)		441,097		441,097
Total state and municipal	3,046,335		—		12,355		(168,592)		2,890,098		2,890,098
Mortgage-backed:
Residential	1,308,019		(18)		395		(171,595)		1,136,801		1,136,801
Commercial	547,757		—		215		(19,363)		528,609		528,609
Total mortgage-backed securities	1,855,776		(18)		610		(190,958)		1,665,410		1,665,428
Asset-backed	4,132,365		—		2,730		(152,322)		3,982,773		3,982,773
Corporate:
Industrial	3,491,645		(1,704)		4,439		(241,381)		3,252,999		3,252,999
Financial	2,585,247		(2,997)		5,505		(117,383)		2,470,372		2,470,372
Utilities	586,066		—		1,307		(36,325)		551,048		551,048
Other	441,230		—		—		(11,657)		429,573		429,573
Total corporate	7,104,188		(4,701)		11,251		(406,746)		6,703,992		6,703,992
Foreign government	1,564,930		(32,633)		4,283		(135,058)		1,401,522		1,401,522
Total available for sale	18,664,073		(37,352)		32,166		(1,122,834)		17,536,053		17,536,053
Total investments in fixed maturity securities	$	18,715,483	$	(37,466)	$	36,443	$	(1,122,834)	$	17,591,626	$	17,587,349

Debt Securities, Held-to-maturity, Allowance for Credit Loss

The following table presents the rollforward of the allowance for expected credit losses for held to maturity securities for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	114	$	387
Provision for expected credit losses	(7)		(9)
Allowance for expected credit losses, end of period	$	107	$	378

Debt Securities, Available-for-sale, Allowance for Credit Loss

The following table presents the rollforward of the allowance for expected credit losses for available for sale securities for the three months ended March 31, 2023 and 2022:

	2023								2022
(In thousands)	Foreign Government		Corporate		Mortgage-backed		Total		Foreign Government		Corporate		Total
Allowance for expected credit losses, beginning of period	$	32,633	$	4,701	$	18	$	37,352	$	22,222	$	16	$	22,238
Expected credit losses on securities for which credit losses were not previously recorded	—		186		—		186		484		—		484
Expected credit losses (gains) on securities for which credit losses were previously recorded	691		(1,087)		5		(391)		3,447		(16)		3,431
Reduction due to disposals	—		(5)		—		(5)		—		—		—
Allowance for expected credit losses, end of period	$	33,324	$	3,795	$	23	$	37,142	$	26,153	$	—	$	26,153

During the three months ended March 31, 2023, the Company decreased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model due to a decrease in unrealized losses primarily associated with corporate securities offset by foreign government securities. During the three months ended March 31, 2022, the Company increased the allowance for expected credit losses for available for sale securities utilizing its credit loss assessment process and inputs used in its credit loss model, primarily due to foreign government securities.

Amortized cost and fair value of fixed maturity securities by contractual maturity

The amortized cost and fair value of fixed maturity securities at March 31, 2023, by contractual maturity, are shown below. Actual maturities may differ from contractual maturities because certain issuers may have the right to call or prepay obligations.  

(In thousands)	Amortized Cost (1)		Fair Value
Due in one year or less	$	1,568,436	$	1,528,990
Due after one year through five years	8,864,666		8,503,127
Due after five years through ten years	4,287,881		4,084,883
Due after ten years	2,203,296		2,076,887
Mortgage-backed securities	2,064,073		1,901,181
Total	$	18,988,352	$	18,095,068

________________

(1) Amortized cost is reduced by the allowance for expected credit losses of $107 thousand related to held to maturity securities.

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Investments in Equity Securities (Tables)

3 Months Ended

Mar. 31, 2023

Equity securities

Debt Securities, Available-for-sale [Line Items]

Schedule of Investments in Equity Securities

At March 31, 2023 and December 31, 2022, investments in equity securities were as follows:

(In thousands)	Cost		Gross Unrealized				Fair Value		Carrying Value
			Gains		Losses
March 31, 2023
Common stocks	$	883,234	$	227,947	$	(53,582)	$	1,057,599	$	1,057,599
Preferred stocks	282,750		1,526		(61,920)		222,356		222,356
Total	$	1,165,984	$	229,473	$	(115,502)	$	1,279,955	$	1,279,955
December 31, 2022
Common stocks	$	855,987	$	192,165	$	(65,401)	$	982,751	$	982,751
Preferred stocks	259,341		1,053		(57,251)		203,143		203,143
Total	$	1,115,328	$	193,218	$	(122,652)	$	1,185,894	$	1,185,894

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Net Investment Income (Tables)

3 Months Ended

Mar. 31, 2023

Net Investment Income [Abstract]

Schedule of Net Investment Income

Net investment income consisted of the following: 

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Investment income (loss) earned on:
Fixed maturity securities, including cash and cash equivalents and loans receivable	$	195,642	$	101,284
Arbitrage trading account	18,256		9,187
Equity securities	13,746		10,856
Investment funds	2,180		52,012
Real estate	(3,711)		2,146
Gross investment income	226,113		175,485
Investment expense	(2,715)		(1,973)
Net investment income	$	223,398	$	173,512

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Investment Funds (Tables)

3 Months Ended

Mar. 31, 2023

Equity Method Investments and Joint Ventures [Abstract]

Schedule of Investment Funds

Investment funds consisted of the following:

	Carrying Value as of				Income (Loss) from Investment Funds
	March 31,		December 31,		For the Three Months Ended March 31,
(In thousands)	2023		2022		2023		2022
Financial services	$	444,645	$	465,683	$	(13,047)	$	25,932
Transportation	336,808		336,753		11,788		11,179
Real Estate	216,871		204,644		956		16,364
Infrastructure	119,042		115,428		3,355		841
Energy	117,461		116,432		3,439		(892)
Other funds	366,740		369,608		(4,311)		(1,412)
Total	$	1,601,567	$	1,608,548	$	2,180	$	52,012

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Real Estate (Tables)

3 Months Ended

Mar. 31, 2023

Real Estate [Abstract]

Schedule of Real Estate Investments

Investment in real estate represents directly owned property held for investment, as follows:

	Carrying Value
	March 31,		December 31,
(In thousands)	2023		2022
Properties in operation	$	1,111,713	$	1,114,167
Properties under development	226,791		226,455
Total	$	1,338,504	$	1,340,622

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Loans Receivable Loans Receivable (Tables)

3 Months Ended

Mar. 31, 2023

Receivables [Abstract]

Schedule of Loans Receivable

At March 31, 2023 and December 31, 2022, loans receivable were as follows:

(In thousands)	March 31, 2023		December 31, 2022
Amortized cost (net of allowance for expected credit losses):
Real estate loans	$	175,745	$	173,616
Commercial loans	19,199		19,386
Total	$	194,944	$	193,002
Fair value:
Real estate loans	$	168,256	$	168,595
Commercial loans	19,199		19,386
Total	$	187,455	$	187,981

Financing Receivable, Allowance for Credit Loss

The following table presents the rollforward of the allowance for expected credit losses for loans receivable for the three months ended March 31, 2023 and 2022:

	2023						2022
(In thousands)	Real Estate Loans		Commercial Loans		Total		Real Estate Loans		Commercial Loans		Total
Allowance for expected credit losses, beginning of period	$	1,100	$	691	$	1,791	$	1,362	$	356	$	1,718
Change in expected credit losses	(61)		(121)		(182)		(67)		(222)		(289)
Allowance for expected credit losses, end of period	$	1,039	$	570	$	1,609	$	1,295	$	134	$	1,429

During the three months ended March 31, 2023, the Company decreased the allowance primarily due to a decrease in the weighted average life of the loans receivable portfolio. During the three months ended March 31, 2022, the Company reduced the allowance primarily due to the decrease in the duration of the loan portfolio.

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Net Investment Gains (Losses) (Tables)

3 Months Ended

Mar. 31, 2023

Realized and Unrealized Investment Gains (Losses) [Abstract]

Realized And Unrealized Investment Gains (Losses)

Net investment gains (losses) were as follows:

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Net investment gains (losses):
Fixed maturity securities:
Gains	$	943	$	1,705
Losses	(18,130)		(2,984)
Equity securities (1):
Net realized gains on investment sales	1,060		905
Change in unrealized gains	43,404		93,213
Investment funds	10		(2,162)
Real estate (2)	10,739		286,192
Loans receivable	—		(32)
Other	(15,415)		(6,955)
Net realized and unrealized gains on investments in earnings before allowance for expected credit losses	22,611		369,882
Change in allowance for expected credit losses on investments:
Fixed maturity securities	217		(3,906)
Loans receivable	182		289
Change in allowance for expected credit losses on investments	399		(3,617)
Net investment gains	23,010		366,265
Income tax expense	(4,850)		(78,442)
After-tax net investment gains	$	18,160	$	287,823

Change in unrealized investment gains (losses) on available for sale securities:
Fixed maturity securities without allowance for expected credit losses	$	227,116	$	(540,263)
Fixed maturity securities with allowance for expected credit losses	3,456		293
Investment funds	1,936		469
Other	(487)		52
Total change in unrealized investment gains (losses)	232,021		(539,449)
Income tax (expense) benefit	(51,222)		115,904
Noncontrolling interests	(1)		(1)
After-tax change in unrealized investment gains (losses) of available for sale securities	$	180,798	$	(423,546)

______________________

(1) The net realized gains or losses on investment sales represent the total gains or losses from the purchase dates of the equity securities. The change in unrealized (losses) gains consists of two components: (i) the reversal of the gain or loss recognized in previous periods on equity securities sold and (ii) the change in unrealized gain or loss resulting from mark-to-market adjustments on equity securities still held.

(2) During March 2022, the Company realized a gain on the sale of a real estate investment in London, U.K. of $251 million, net of transaction expenses and the foreign currency impact, including the reversal of the currency translation adjustment.

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Fixed Maturity Securities In An Unrealized Loss Position (Tables)

3 Months Ended

Mar. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Securities in an unrealized loss position

The following tables summarize all fixed maturity securities in an unrealized loss position at March 31, 2023 and December 31, 2022 by the length of time those securities have been continuously in an unrealized loss position:

	Less Than 12 Months				12 Months or Greater				Total
(In thousands)	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
March 31, 2023
U.S. government and government agency	$	213,369	$	4,312	$	527,765	$	50,353	$	741,134	$	54,665
State and municipal	1,070,807		30,908		1,008,985		96,512		2,079,792		127,420
Mortgage-backed	765,967		17,720		866,618		148,720		1,632,585		166,440
Asset-backed	916,431		13,102		2,490,520		104,751		3,406,951		117,853
Corporate	2,694,062		75,595		3,175,233		264,845		5,869,295		340,440
Foreign government	239,947		26,248		786,359		83,587		1,026,306		109,835
Fixed maturity securities	$	5,900,583	$	167,885	$	8,855,480	$	748,768	$	14,756,063	$	916,653
December 31, 2022
U.S. government and government agency	$	285,391	$	10,219	$	453,520	$	58,939	$	738,911	$	69,158
State and municipal	1,720,443		89,272		598,797		79,320		2,319,240		168,592
Mortgage-backed	1,099,549		75,430		473,318		115,528		1,572,867		190,958
Asset-backed	1,569,647		48,390		2,176,638		103,932		3,746,285		152,322
Corporate	3,690,856		150,115		2,349,281		256,631		6,040,137		406,746
Foreign government	477,672		29,815		711,786		105,243		1,189,458		135,058
Fixed maturity securities	$	8,843,558	$	403,241	$	6,763,340	$	719,593	$	15,606,898	$	1,122,834

Non-Investment Grade Fixed Maturity Securities

A summary of the Company’s non-investment grade fixed maturity securities that were in an unrealized loss position at March 31, 2023 is presented in the table below:

($ in thousands)	Number of Securities	Aggregate Fair Value		Gross Unrealized Loss
Foreign government	33	$	105,347	$	64,516
Corporate	16	45,507		3,789
State and municipal	1	12,066		2,936
Mortgage-backed	14	4,202		199
Asset-backed	1	8		8
Total	65	$	167,130	$	71,448

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Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Assets And Liabilities Measured At Fair value, On A Recurring Basis

The following tables present the assets and liabilities measured at fair value on a recurring basis as of March 31, 2023 and December 31, 2022 by level:

(In thousands)	Total		Level 1		Level 2		Level 3
March 31, 2023
Assets:
Fixed maturity securities available for sale:
U.S. government and government agency	$	1,049,267	$	—	$	1,049,267	$	—
State and municipal	2,789,359		—		2,789,359		—
Mortgage-backed	1,897,729		—		1,897,729		—
Asset-backed	3,845,453		—		3,845,453		—
Corporate	7,125,649		—		7,125,649		—
Foreign government	1,331,890		—		1,331,890		—
Total fixed maturity securities available for sale	18,039,347		—		18,039,347		—
Equity securities:
Common stocks	1,057,599		1,054,268		1,162		2,169
Preferred stocks	222,356		—		211,057		11,299
Total equity securities	1,279,955		1,054,268		212,219		13,468
Arbitrage trading account	609,001		574,096		31,251		3,654
Total	$	19,928,303	$	1,628,364	$	18,282,817	$	17,122
December 31, 2022
Assets:
Fixed maturity securities available for sale:
U.S. government and government agency	$	892,258	$	—	$	892,258	$	—
State and municipal	2,890,098		—		2,890,098		—
Mortgage-backed	1,665,410		—		1,665,410		—
Asset-backed	3,982,773		—		3,982,773		—
Corporate	6,703,992		—		6,703,992		—
Foreign government	1,401,522		—		1,401,522		—
Total fixed maturity securities available for sale	17,536,053		—		17,536,053		—
Equity securities:
Common stocks	982,751		978,991		1,161		2,599
Preferred stocks	203,143		—		191,844		11,299
Total equity securities	1,185,894		978,991		193,005		13,898
Arbitrage trading account	944,230		822,192		118,448		3,590
Total	$	19,666,177	$	1,801,183	$	17,847,506	$	17,488

Summarize Changes In Level 3 Assets

The following tables summarize changes in Level 3 assets and liabilities for the three months ended March 31, 2023 and for the year ended December 31, 2022:

Gains (Losses) Included In:
(In thousands)	Beginning Balance		Earnings (Losses)		Other Comprehensive Income (Losses)		Impairments		Purchases		Sales		Paydowns / Maturities		Transfers In / (Out)		Ending Balance
Three Months Ended March 31, 2023
Assets:
Equity securities:
Common stocks	$	2,599	$	(430)	$	—	$	—	$	—	$	—	$	—	$	—	$	2,169
Preferred stocks	11,299		—		—		—		—		—		—		—		11,299
Total	13,898		(430)		—		—		—		—		—		—		13,468
Arbitrage trading account	3,590		64		—		—		—		—		—		—		3,654
Total	$	17,488	$	(366)	$	—	$	—	$	—	$	—	$	—	$	—	$	17,122
Year Ended December 31, 2022
Assets:
Equity securities:
Common stocks	$	9,294	$	(6,695)	$	—	$	—	$	—	$	—	$	—	$	—	$	2,599
Preferred stocks	11,296		3		—		—		925		(925)		—		—		11,299
Total	20,590		(6,692)		—		—		925		(925)		—		—		13,898
Arbitrage trading account	—		(179)		—		—		4,685		(917)		—		1		3,590
Total	$	20,590	$	(6,871)	$	—	$	—	$	5,610	$	(1,842)	$	—	$	1	$	17,488

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Reserves for Loss and Loss Expenses (Tables)

3 Months Ended

Mar. 31, 2023

Insurance [Abstract]

Reserve Balances

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

	March 31,
(In thousands)	2023		2022
Net reserves at beginning of period	$	14,248,879	$	12,848,362
Net provision for losses and loss expenses:
Claims occurring during the current year (1)	1,502,817		1,327,695
Increase in estimates for claims occurring in prior years (2) (3)	28,205		3,761
Loss reserve discount accretion	7,733		7,796
Total	1,538,755		1,339,252
Net payments for claims:
Current year	110,274		84,598
Prior years	1,106,481		933,656
Total	1,216,755		1,018,254
Foreign currency translation	1,154		9,983
Net reserves at end of period	14,572,033		13,179,343
Ceded reserves at end of period	2,859,602		2,543,546
Gross reserves at end of period	$	17,431,635	$	15,722,889

_______________________________________

(1) Claims occurring during the current year are net of loss reserve discounts of $11 million and $7 million for the three months ended March 31, 2023 and 2022, 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 and decreased by $4 million for the three months ended March 31, 2023 and 2022, respectively.

(3) For certain retrospectively rated insurance policies and reinsurance agreements, reserve development is offset by additional or return premiums. Adverse development, net of additional and return premiums, was $24 million for the three months ended March 31, 2023, and favorable development was $1 million for the three months ended March 31, 2022, respectively.

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Fair Value of Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Carrying Amounts And Estimated Fair Values Of Financial Instruments

The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments:

	March 31, 2023				December 31, 2022
(In thousands)	Carrying Value		Fair Value		Carrying Value		Fair Value
Assets:
Fixed maturity securities	$	18,091,113	$	18,095,068	$	17,587,349	$	17,591,626
Equity securities	1,279,955		1,279,955		1,185,894		1,185,894
Arbitrage trading account	609,001		609,001		944,230		944,230
Loans receivable	194,944		187,455		193,002		187,981
Cash and cash equivalents	1,242,357		1,242,357		1,449,346		1,449,346
Trading account receivables from brokers and clearing organizations	583,970		583,970		233,863		233,863
Due from broker	17,207		17,207		3,609		3,609
Liabilities:
Senior notes and other debt	1,827,981		1,501,671		1,828,823		1,439,188
Subordinated debentures	1,008,551		836,796		1,008,371		805,600

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Premiums and Reinsurance Related Information (Tables)

3 Months Ended

Mar. 31, 2023

Insurance [Abstract]

Reinsurance Financial Information

The following is a summary of insurance and reinsurance financial information:

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Written premiums:
Direct	$	2,738,754	$	2,542,336
Assumed	310,563		317,500
Ceded	(474,493)		(446,582)
Total net premiums written	$	2,574,824	$	2,413,254
Earned premiums:
Direct	$	2,667,063	$	2,404,597
Assumed	295,230		292,373
Ceded	(470,861)		(447,883)
Total net premiums earned	$	2,491,432	$	2,249,087
Ceded losses and loss expenses incurred	$	315,476	$	243,294
Ceded commissions earned	$	118,418	$	117,445

Premium receivable, allowance for credit loss

The following table presents the rollforward of the allowance for expected credit losses for premiums and fees receivable for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	30,660	$	25,218
Change in expected credit losses	1,693		3,018
Allowance for expected credit losses, end of period	$	32,353	$	28,236

Reinsurance Recoverable, Allowance for Credit Loss

The following table presents the rollforward of the allowance for expected credit losses associated with due from reinsurers for the three months ended March 31, 2023 and 2022:

(In thousands)	2023		2022
Allowance for expected credit losses, beginning of period	$	8,064	$	7,713
Change in expected credit losses	639		(58)
Allowance for expected credit losses, end of period	$	8,703	$	7,655

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Restricted Stock Units (Tables)

3 Months Ended

Mar. 31, 2023

Share-based Payment Arrangement [Abstract]

Summary Of Restricted Stock Units Issued

A summary of RSUs issued in the three months ended March 31, 2023 and 2022 follows:

($ in thousands)	Units	Fair Value
2023	—	$	—
2022	1,660	$	150

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Leases (Tables)

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Lease, Cost

Further information relating to operating lease expense and other operating lease information are as follows:

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Leases:
Lease cost	$	10,188	$	10,198
Cash paid for amounts included in the measurement of lease liabilities reported in operating cash flows	$	10,563	$	10,993
Right-of-use assets obtained in exchange for new lease liabilities	$	5,313	$	17,269

Supplemental Balance Sheet Information

	As of March 31,
($ in thousands)	2023			2022
Right-of-use assets	$	164,547		$	180,424
Lease liabilities	$	199,225		$	217,086
Weighted-average remaining lease term	7.1 years			7.3 years
Weighted-average discount rate	4.49		%	4.58		%

Maturities of Operating Lease Liabilities

Contractual maturities of the Company’s future minimum lease payments are as follows:

(In thousands)	March 31, 2023
Contractual Maturities:
2023	$	36,209
2024	42,330
2025	34,121
2026	27,166
2027	17,585
Thereafter	72,767
Total undiscounted future minimum lease payments	230,178
Less: Discount impact	30,953
Total lease liability	$	199,225

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Business Segments (Tables)

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Financial Information Of Company Operating Segments

	Revenues
(In thousands)	Earned Premiums (1)		Investment Income		Other		Total (2)		Pre-Tax Income (Loss)		Net Income (Loss) to Common Stockholders
Three months ended March 31, 2023
Insurance	$	2,181,876	$	166,086	$	9,577	$	2,357,539	$	352,199	$	273,904
Reinsurance & Monoline Excess	309,556		52,055		—		361,611		101,712		82,561
Corporate, other and eliminations (3)	—		5,257		147,587		152,844		(100,850)		(80,499)
Net investment gains	—		—		23,010		23,010		23,010		18,160
Total	$	2,491,432	$	223,398	$	180,174	$	2,895,004	$	376,071	$	294,126
Three months ended March 31, 2022
Insurance	$	1,962,835	$	137,654	$	8,676	$	2,109,165	$	382,412	$	315,552
Reinsurance & Monoline Excess	286,252		27,423		—		313,675		57,628		47,080
Corporate, other and eliminations (3)	—		8,435		117,869		126,304		(73,872)		(59,817)
Net investment gains	—		—		366,265		366,265		366,265		287,823
Total	$	2,249,087	$	173,512	$	492,810	$	2,915,409	$	732,433	$	590,638

_________________

(1) Certain amounts included in earned premiums of each segment are related to inter-segment transactions.

(2) Revenues for Insurance from foreign operations for the three months ended March 31, 2023 and 2022 were $274 million and $235 million, respectively. Revenues for Reinsurance & Monoline Excess from foreign operations for the three months ended March 31, 2023 and 2022 were $106 million and $96 million, respectively.

(3) Corporate, other and eliminations represent corporate revenues and expenses that are not allocated to business segments

Identifiable Assets By Segment

(In thousands)	March 31, 2023		December 31, 2022
Insurance	$	27,062,484	$	27,012,479
Reinsurance & Monoline Excess	5,191,920		5,195,752
Corporate, other and eliminations	2,041,660		1,606,872
Consolidated	$	34,296,064	$	33,815,103

Net Premiums Earned By Major Line Of Business

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

	For the Three Months Ended March 31,
(In thousands)	2023		2022
Insurance:
Other liability	$	857,149	$	749,391
Short-tail lines (1)	430,503		375,212
Commercial automobile	311,422		282,234
Workers' compensation	305,561		285,423
Professional liability	277,241		270,575
Total Insurance	2,181,876		1,962,835
Reinsurance & Monoline Excess:
Casualty reinsurance	193,730		184,122
Monoline excess (2)	58,644		51,896
Property reinsurance	57,182		50,234
Total Reinsurance & Monoline Excess	309,556		286,252
Total	$	2,491,432	$	2,249,087

______________

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

(2) Monoline excess includes operations that solely retain risk on an excess basis.

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Consolidated Statements of Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning of period	$ 6,768,161
Other comprehensive income (loss)	185,665	$ (367,273)
End of period	6,965,623
Net realized and unrealized gains on investments	22,611	369,882
Income before income taxes	376,071	732,433
Tax effect	(80,342)	(139,403)
Net income before noncontrolling interests	295,729	593,030
Total change in unrealized investment gains (losses)	232,021	(539,449)
Net change in period	4,866	56,272
Other comprehensive income (loss), pre-tax	236,887	(483,177)
Other comprehensive income (loss), tax effect	(51,222)	115,904
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning of period	(1,264,581)	(281,955)
Other comprehensive income (loss) before reclassifications	160,081	(376,864)
Amounts reclassified from AOCI	25,584	9,591
Other comprehensive income (loss)	185,665	(367,273)
Unrealized investment loss related to noncontrolling interest	(1)	(1)
End of period	(1,078,917)	(649,229)
Accumulated Other Comprehensive Income (Loss) | Amounts reclassified from AOCI
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Income before income taxes	32,385	12,141
Tax effect	(6,801)	(2,550)
Net income before noncontrolling interests	25,584	9,591
Unrealized Investment Gains (Losses)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning of period	(892,905)	90,900
Other comprehensive income (loss) before reclassifications	155,215	(433,136)
Amounts reclassified from AOCI	25,584	9,591
Other comprehensive income (loss)	180,799	(423,545)
Unrealized investment loss related to noncontrolling interest	(1)	(1)
End of period	(712,107)	(332,646)
Total change in unrealized investment gains (losses)	232,021	(539,449)
Unrealized investment gains, tax effect	(51,222)	115,904
Unrealized investment gains (losses), after-tax amounts	180,799	(423,545)
Unrealized Investment Gains (Losses) | Amounts reclassified from AOCI
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Net realized and unrealized gains on investments	32,385	12,141
Tax effect	(6,801)	(2,550)
Net income before noncontrolling interests	25,584	9,591
Currency Translation Adjustments
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning of period	(371,676)	(372,855)
Other comprehensive income (loss) before reclassifications	4,866	56,272
Amounts reclassified from AOCI	0	0
Other comprehensive income (loss)	4,866	56,272
Unrealized investment loss related to noncontrolling interest	0	0
End of period	(366,810)	(316,583)
Currency translation adjustment, pre-tax	4,866	56,272
Currency translation adjustment, tax effect	0	0
Net change in period	4,866	56,272
Currency Translation Adjustments | Amounts reclassified from AOCI
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Income before income taxes	0	0
Tax effect	0	0
Net income before noncontrolling interests	$ 0	$ 0

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Statements of Cash Flows (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Supplemental Cash Flow Elements [Abstract]
Interest payments	$ 41,150,000	$ 52,899,000
Income taxes paid	$ 0	$ 0

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General (Details)	Mar. 23, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Stockholders' Equity Note, Stock Split, Conversion Ratio	1.5

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Per Share Data (Narrative) (Details) - shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Weighted average number of shares held in grantor trust (in shares)	11,416,856,000	11,592,699

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Per Share Data (Weighted Average Number of Common Shares Used In the Computation of Basic and Diluted Earnings per Share) (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share [Abstract]
Basic (shares)	274,977	276,772
Diluted (shares)	277,339	279,157

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Investments in Fixed Maturity Securities (Investments in fixed maturity securities) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022	Dec. 31, 2021
Debt Securities, Available-for-sale [Line Items]
Total held to maturity, Amortized Cost	$ 51,873	$ 51,410
Held-to-maturity, Allowance for Credit Loss	(107)	(114)	$ (378)	$ (387)
Held to maturity, Gross Unrealized Gains	3,955	4,277
Held to maturity, Gross Unrealized Losses	0	0
Total held to maturity, Fair Value	55,721	55,573
Total held to maturity, Carrying Value	51,766	51,296
Total available for sale, Amortized Cost	18,936,586	18,664,073
Available-for-sale, Allowance for Credit Loss	(37,142)	(37,352)	(26,153)	(22,238)
Total available for sale, Gross Unrealized Gains	56,556	32,166
Total available for sale, Gross Unrealized Losses	(916,653)	(1,122,834)
Total available for sale, Fair Value	18,039,347	17,536,053
Total available for sale, Carrying Value	18,039,347	17,536,053
Total investments in fixed maturity securities, Amortized Value	18,988,459	18,715,483
Fixed maturity securities, allowance for credit loss	(37,249)	(37,466)
Total investments in fixed maturity securities, Gross Unrealized Gains	60,511	36,443
Total investments in fixed maturity securities, Gross Unrealized Losses	(916,653)	(1,122,834)
Total investments in fixed maturity securities, Fair Value	18,095,068	17,591,626
Total investments in fixed maturity securities, Carrying Value	18,091,113	17,587,349
State and municipal
Debt Securities, Available-for-sale [Line Items]
Total held to maturity, Amortized Cost	48,474	47,802
Held-to-maturity, Allowance for Credit Loss	(107)	(114)
Held to maturity, Gross Unrealized Gains	3,902	4,239
Held to maturity, Gross Unrealized Losses	0	0
Total held to maturity, Fair Value	52,269	51,927
Total held to maturity, Carrying Value	48,367	47,688
Total available for sale, Amortized Cost	2,899,206	3,046,335
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	17,573	12,355
Total available for sale, Gross Unrealized Losses	(127,420)	(168,592)
Total available for sale, Fair Value	2,789,359	2,890,098
Total available for sale, Carrying Value	2,789,359	2,890,098
Residential mortgage-backed
Debt Securities, Available-for-sale [Line Items]
Total held to maturity, Amortized Cost	3,399	3,608
Held-to-maturity, Allowance for Credit Loss	0	0
Held to maturity, Gross Unrealized Gains	53	38
Held to maturity, Gross Unrealized Losses	0	0
Total held to maturity, Fair Value	3,452	3,646
Total held to maturity, Carrying Value	3,399	3,608
Total available for sale, Amortized Cost	1,464,856	1,308,019
Available-for-sale, Allowance for Credit Loss	(23)	(18)
Total available for sale, Gross Unrealized Gains	2,298	395
Total available for sale, Gross Unrealized Losses	(153,147)	(171,595)
Total available for sale, Fair Value	1,313,984	1,136,801
Total available for sale, Carrying Value	1,313,984	1,136,801
U.S. government and government agency
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	1,100,204	960,479
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	3,728	937
Total available for sale, Gross Unrealized Losses	(54,665)	(69,158)
Total available for sale, Fair Value	1,049,267	892,258
Total available for sale, Carrying Value	1,049,267	892,258
Special revenue
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	1,759,098	1,837,309
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	5,429	3,662
Total available for sale, Gross Unrealized Losses	(90,044)	(119,474)
Total available for sale, Fair Value	1,674,483	1,721,497
Total available for sale, Carrying Value	1,674,483	1,721,497
State general obligation
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	386,952	387,709
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	4,090	2,651
Total available for sale, Gross Unrealized Losses	(16,577)	(21,335)
Total available for sale, Fair Value	374,465	369,025
Total available for sale, Carrying Value	374,465	369,025
Pre-refunded
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	105,812	156,106
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	3,351	2,741
Total available for sale, Gross Unrealized Losses	(248)	(7)
Total available for sale, Fair Value	108,915	158,840
Total available for sale, Carrying Value	108,915	158,840
Corporate backed
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	204,773	210,228
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	491	334
Total available for sale, Gross Unrealized Losses	(8,447)	(10,923)
Total available for sale, Fair Value	196,817	199,639
Total available for sale, Carrying Value	196,817	199,639
Local general obligation
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	442,571	454,983
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	4,212	2,967
Total available for sale, Gross Unrealized Losses	(12,104)	(16,853)
Total available for sale, Fair Value	434,679	441,097
Total available for sale, Carrying Value	434,679	441,097
Commercial
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	595,818	547,757
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	1,220	215
Total available for sale, Gross Unrealized Losses	(13,293)	(19,363)
Total available for sale, Fair Value	583,745	528,609
Total available for sale, Carrying Value	583,745	528,609
Mortgage-backed
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	2,060,674	1,855,776
Available-for-sale, Allowance for Credit Loss	(23)	(18)
Total available for sale, Gross Unrealized Gains	3,518	610
Total available for sale, Gross Unrealized Losses	(166,440)	(190,958)
Total available for sale, Fair Value	1,897,729	1,665,410
Total available for sale, Carrying Value	1,897,729	1,665,428
Asset-backed
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	3,960,140	4,132,365
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	3,166	2,730
Total available for sale, Gross Unrealized Losses	(117,853)	(152,322)
Total available for sale, Fair Value	3,845,453	3,982,773
Total available for sale, Carrying Value	3,845,453	3,982,773
Industrial
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	3,563,744	3,491,645
Available-for-sale, Allowance for Credit Loss	(66)	(1,704)
Total available for sale, Gross Unrealized Gains	9,599	4,439
Total available for sale, Gross Unrealized Losses	(187,833)	(241,381)
Total available for sale, Fair Value	3,385,444	3,252,999
Total available for sale, Carrying Value	3,385,444	3,252,999
Financial
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	2,737,880	2,585,247
Available-for-sale, Allowance for Credit Loss	(3,729)	(2,997)
Total available for sale, Gross Unrealized Gains	7,421	5,505
Total available for sale, Gross Unrealized Losses	(115,268)	(117,383)
Total available for sale, Fair Value	2,626,304	2,470,372
Total available for sale, Carrying Value	2,626,304	2,470,372
Utilities
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	650,151	586,066
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	5,117	1,307
Total available for sale, Gross Unrealized Losses	(27,941)	(36,325)
Total available for sale, Fair Value	627,327	551,048
Total available for sale, Carrying Value	627,327	551,048
Other
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	495,850	441,230
Available-for-sale, Allowance for Credit Loss	0	0
Total available for sale, Gross Unrealized Gains	122	0
Total available for sale, Gross Unrealized Losses	(9,398)	(11,657)
Total available for sale, Fair Value	486,574	429,573
Total available for sale, Carrying Value	486,574	429,573
Corporate
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	7,447,625	7,104,188
Available-for-sale, Allowance for Credit Loss	(3,795)	(4,701)	0	(16)
Total available for sale, Gross Unrealized Gains	22,259	11,251
Total available for sale, Gross Unrealized Losses	(340,440)	(406,746)
Total available for sale, Fair Value	7,125,649	6,703,992
Total available for sale, Carrying Value	7,125,649	6,703,992
Foreign government
Debt Securities, Available-for-sale [Line Items]
Total available for sale, Amortized Cost	1,468,737	1,564,930
Available-for-sale, Allowance for Credit Loss	(33,324)	(32,633)	$ (26,153)	$ (22,222)
Total available for sale, Gross Unrealized Gains	6,312	4,283
Total available for sale, Gross Unrealized Losses	(109,835)	(135,058)
Total available for sale, Fair Value	1,331,890	1,401,522
Total available for sale, Carrying Value	$ 1,331,890	$ 1,401,522

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Investments in Fixed Maturity Securities (HTM Allowance for Credit Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Debt Securities, Held-to-maturity, Allowance for Credit Loss [Roll Forward]
Allowance for expected credit losses, beginning of period	$ 114	$ 387
Cumulative effect adjustment resulting from changes in accounting principles	107	378
Provision for expected credit losses	(7)	(9)
Allowance for expected credit losses, end of period	$ 107	$ 378

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Investments in Fixed Maturity Securities (AFS Allowance for Credit Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward]
Allowance for expected credit losses, beginning of period	$ 37,352	$ 22,238
Cumulative effect adjustment resulting from changes in accounting principles	37,142	26,153
Expected credit losses on securities for which credit losses were not previously recorded	186	484
Expected credit losses (gains) on securities for which credit losses were previously recorded	(391)	3,431
Reduction due to disposals	(5)	0
Allowance for expected credit losses, end of period	37,142	26,153
Foreign government
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward]
Allowance for expected credit losses, beginning of period	32,633	22,222
Cumulative effect adjustment resulting from changes in accounting principles	33,324	26,153
Expected credit losses on securities for which credit losses were not previously recorded	0	484
Expected credit losses (gains) on securities for which credit losses were previously recorded	691	3,447
Reduction due to disposals	0	0
Allowance for expected credit losses, end of period	33,324	26,153
Corporate
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward]
Allowance for expected credit losses, beginning of period	4,701	16
Cumulative effect adjustment resulting from changes in accounting principles	3,795	0
Expected credit losses on securities for which credit losses were not previously recorded	186	0
Expected credit losses (gains) on securities for which credit losses were previously recorded	(1,087)	(16)
Reduction due to disposals	(5)	0
Allowance for expected credit losses, end of period	3,795	$ 0
Mortgage-backed
Debt Securities, Available-for-sale, Allowance for Credit Loss [Roll Forward]
Allowance for expected credit losses, beginning of period	18
Cumulative effect adjustment resulting from changes in accounting principles	23
Expected credit losses on securities for which credit losses were not previously recorded	0
Expected credit losses (gains) on securities for which credit losses were previously recorded	5
Reduction due to disposals	0
Allowance for expected credit losses, end of period	$ 23

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Investments in Fixed Maturity Securities (Amortized cost and fair value of fixed maturity securities) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022	Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]
Amortized Cost, Due in one year or less	$ 1,568,436
Amortized Cost, Due after one year through five years	8,864,666
Amortized Cost, Due after five years through ten years	4,287,881
Amortized Cost, Due after ten years	2,203,296
Amortized Cost, Mortgaged-backed securities	2,064,073
Total investments in fixed maturity securities, Amortized Value	18,988,352
Fair Value, Due in one year or less	1,528,990
Fair Value, Due after one year through five years	8,503,127
Fair Value, Due after five years through ten years	4,084,883
Fair Value, Due after ten years	2,076,887
Fair Value, Mortgage-backed securities	1,901,181
Total investments in fixed maturity securities, Fair Value	18,095,068	$ 17,591,626
Cumulative effect adjustment resulting from changes in accounting principles	$ 107	$ 114	$ 378	$ 387

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Investments in Equity Securities (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Mar. 31, 2023	Sep. 30, 2022	Dec. 31, 2022
Debt Securities, Available-for-sale [Line Items]
Equity securities	$ 1,279,955		$ 1,185,894
Fair Value
Debt Securities, Available-for-sale [Line Items]
Cost	1,165,984		1,115,328
Gross Unrealized, Gains	229,473	$ 193,218
Gross Unrealized, Losses	(115,502)	(122,652)
Equity securities	1,279,955		1,185,894
Fair Value | Common stock
Debt Securities, Available-for-sale [Line Items]
Cost	883,234		855,987
Gross Unrealized, Gains	227,947	192,165
Gross Unrealized, Losses	(53,582)	(65,401)
Equity securities	1,057,599		982,751
Fair Value | Preferred stocks
Debt Securities, Available-for-sale [Line Items]
Cost	282,750		259,341
Gross Unrealized, Gains	1,526	1,053
Gross Unrealized, Losses	(61,920)	$ (57,251)
Equity securities	222,356		203,143
Carrying Value
Debt Securities, Available-for-sale [Line Items]
Equity securities	1,279,955		1,185,894
Carrying Value | Common stock
Debt Securities, Available-for-sale [Line Items]
Equity securities	1,057,599		982,751
Carrying Value | Preferred stocks
Debt Securities, Available-for-sale [Line Items]
Equity securities	$ 222,356		$ 203,143

XML

Arbitrage Trading Account (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Derivative [Line Items]
Equity securities	$ 609,000	$ 944,000
Long | Options held
Derivative [Line Items]
Fair value of derivative	5
Notional amount of derivative	$ (2,000)

XML

Net Investment Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Net Investment Income [Line Items]
Gross investment income	$ 226,113	$ 175,485
Investment expense	(2,715)	(1,973)
Net investment income	223,398	173,512
Fixed maturity securities, including cash and cash equivalents and loans receivable
Net Investment Income [Line Items]
Gross investment income	195,642	101,284
Arbitrage trading account
Net Investment Income [Line Items]
Gross investment income	2,180	52,012
Equity securities
Net Investment Income [Line Items]
Gross investment income	13,746	10,856
Investment funds
Net Investment Income [Line Items]
Gross investment income	18,256	9,187
Real estate
Net Investment Income [Line Items]
Gross investment income	$ (3,711)	$ 2,146

XML

Investment Funds (Details) - USD ($) $ in Thousands		3 Months Ended
	Jul. 01, 2022	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Schedule of Equity Method Investments [Line Items]
Unfunded commitments		$ 408,000
Investment funds		1,601,567		$ 1,608,548
Income (Loss) from Investment Funds		2,180	$ 52,012
Written premiums ceded		474,493	446,582
Fair Value
Schedule of Equity Method Investments [Line Items]
Trading account receivables from brokers and clearing organizations		$ 583,970		233,863
Lifson Re
Schedule of Equity Method Investments [Line Items]
Percentage of reinsurance placements of share placed amounts	30.00%	22.50%
Written premiums ceded		$ 107,000	89,000
Financial services
Schedule of Equity Method Investments [Line Items]
Investment funds		216,871		204,644
Income (Loss) from Investment Funds		956	16,364
Transportation
Schedule of Equity Method Investments [Line Items]
Investment funds		444,645		465,683
Income (Loss) from Investment Funds		(13,047)	25,932
Real Estate
Schedule of Equity Method Investments [Line Items]
Investment funds		336,808		336,753
Income (Loss) from Investment Funds		11,788	11,179
Energy
Schedule of Equity Method Investments [Line Items]
Investment funds		117,461		116,432
Income (Loss) from Investment Funds		3,439	(892)
Infrastructure
Schedule of Equity Method Investments [Line Items]
Investment funds		119,042		115,428
Income (Loss) from Investment Funds		3,355	841
Other funds
Schedule of Equity Method Investments [Line Items]
Investment funds		366,740		369,608
Income (Loss) from Investment Funds		(4,311)	$ (1,412)
Deferred compensation trust assets		$ 34,000		$ 30,000

XML

Real Estate (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Real Estate [Abstract]
Properties in operation	$ 1,111,713	$ 1,114,167
Properties under development	226,791	226,455
Total	$ 1,338,504	$ 1,340,622

XML

Real Estate (Narrative) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Real Estate [Abstract]
Accumulated depreciation and amortization on properties	$ 30,180,000		$ 33,206,000
Real estate depreciation expense	2,281,000	$ 4,788,000
Lease future minimum payments 2021	24,345,984
Lease future minimum payments 2022	34,786,393
Lease future minimum payments 2023	32,070,092
Lease future minimum payments 2024	29,483,276
Lease future minimum payments 2025	28,567,112
Lease future minimum payments 2026	28,906,220
Lease future minimum payments there after	$ 482,081,845

XML

Loans Receivable (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans receivable, gross	$ 194,944,000	$ 193,002,000
Loans receivable	187,455,000	187,981,000
Loans in nonaccrual status	0
Real estate loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans receivable, gross	175,745,000	173,616,000
Loans receivable	168,256,000	168,595,000
Commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans receivable, gross	19,199,000	19,386,000
Loans receivable	$ 19,199,000	$ 19,386,000
Loans receivable maturity term	10 years

XML

Loans Receivable - Allowance For Credit Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for expected credit losses, beginning of period	$ 1,791	$ 1,718
Change in expected credit losses	(182)	(289)
Allowance for expected credit losses, end of period	1,609	1,429
Real estate loans
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for expected credit losses, beginning of period	1,100	1,362
Change in expected credit losses	(61)	(67)
Allowance for expected credit losses, end of period	1,039	1,295
Commercial loans
Financing Receivable, Allowance for Credit Loss [Line Items]
Allowance for expected credit losses, beginning of period	691	356
Change in expected credit losses	(121)	(222)
Allowance for expected credit losses, end of period	$ 570	$ 134

XML

Net Investment Gains (Losses) (Net Investment Gains (Losses)) (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2023	Mar. 31, 2022
Investments, Debt and Equity Securities [Abstract]
Fixed maturity securities, gains		$ 943	$ 1,705
Fixed maturity securities, losses		(18,130)	(2,984)
Net realized gains on investment sales		1,060	905
Change in unrealized gains		43,404	93,213
Investment funds		10	(2,162)
Real estate (2)		10,739	286,192
Loans receivable		0	(32)
Other		(15,415)	(6,955)
Net realized and unrealized gains on investments in earnings before allowance for expected credit losses		22,611	369,882
Fixed maturity securities		217	(3,906)
Loans receivable		182	289
Change in allowance for expected credit losses on investments		399	(3,617)
Net investment gains		23,010	366,265
Income tax expense		(4,850)	(78,442)
After-tax net investment gains		$ 18,160	$ 287,823
Realized gain on sale of real estate investment	$ 251,000

XML

Net Investment Gains (Losses) (Change in Unrealized Gains (Losses) of Available For Sales Securities) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Realized and Unrealized Investment Gains Losses [Line Items]
Total change in unrealized investment gains (losses)	$ 232,021	$ (539,449)
Income tax (expense) benefit	(51,222)	115,904
Noncontrolling interests	(1)	(1)
Total change in unrealized gains	180,798	(423,546)
Debt securities
Realized and Unrealized Investment Gains Losses [Line Items]
Total change in unrealized investment gains (losses)	227,116	(540,263)
Fixed maturity securities with allowance for expected credit losses
Realized and Unrealized Investment Gains Losses [Line Items]
Total change in unrealized investment gains (losses)	3,456	293
Investment funds
Realized and Unrealized Investment Gains Losses [Line Items]
Total change in unrealized investment gains (losses)	1,936	469
Other
Realized and Unrealized Investment Gains Losses [Line Items]
Total change in unrealized investment gains (losses)	$ (487)	$ 52

XML

Fixed Maturity Securities In An Unrealized Loss Position (Securities in an Unrealized Loss Position) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Debt securities
Debt Securities, Available-for-sale [Line Items]
Fair Value, Less than 12 Months	$ 5,900,583	$ 8,843,558
Gross Unrealized Losses, Less than 12 Months	167,885	403,241
Fair Value, 12 Months or Greater	8,855,480	6,763,340
Gross Unrealized Losses, 12 Months or Greater	748,768	719,593
Fair Value, Total	14,756,063	15,606,898
Gross Unrealized Losses, Total	916,653	1,122,834
U.S. government and government agency
Debt Securities, Available-for-sale [Line Items]
Fair Value, Less than 12 Months	213,369	285,391
Gross Unrealized Losses, Less than 12 Months	4,312	10,219
Fair Value, 12 Months or Greater	527,765	453,520
Gross Unrealized Losses, 12 Months or Greater	50,353	58,939
Fair Value, Total	741,134	738,911
Gross Unrealized Losses, Total	54,665	69,158
State and municipal
Debt Securities, Available-for-sale [Line Items]
Fair Value, Less than 12 Months	1,070,807	1,720,443
Gross Unrealized Losses, Less than 12 Months	30,908	89,272
Fair Value, 12 Months or Greater	1,008,985	598,797
Gross Unrealized Losses, 12 Months or Greater	96,512	79,320
Fair Value, Total	2,079,792	2,319,240
Gross Unrealized Losses, Total	127,420	168,592
Mortgage-backed
Debt Securities, Available-for-sale [Line Items]
Fair Value, Less than 12 Months	765,967	1,099,549
Gross Unrealized Losses, Less than 12 Months	17,720	75,430
Fair Value, 12 Months or Greater	866,618	473,318
Gross Unrealized Losses, 12 Months or Greater	148,720	115,528
Fair Value, Total	1,632,585	1,572,867
Gross Unrealized Losses, Total	166,440	190,958
Asset-backed
Debt Securities, Available-for-sale [Line Items]
Fair Value, Less than 12 Months	916,431	1,569,647
Gross Unrealized Losses, Less than 12 Months	13,102	48,390
Fair Value, 12 Months or Greater	2,490,520	2,176,638
Gross Unrealized Losses, 12 Months or Greater	104,751	103,932
Fair Value, Total	3,406,951	3,746,285
Gross Unrealized Losses, Total	117,853	152,322
Corporate
Debt Securities, Available-for-sale [Line Items]
Fair Value, Less than 12 Months	2,694,062	3,690,856
Gross Unrealized Losses, Less than 12 Months	75,595	150,115
Fair Value, 12 Months or Greater	3,175,233	2,349,281
Gross Unrealized Losses, 12 Months or Greater	264,845	256,631
Fair Value, Total	5,869,295	6,040,137
Gross Unrealized Losses, Total	340,440	406,746
Foreign government
Debt Securities, Available-for-sale [Line Items]
Fair Value, Less than 12 Months	239,947	477,672
Gross Unrealized Losses, Less than 12 Months	26,248	29,815
Fair Value, 12 Months or Greater	786,359	711,786
Gross Unrealized Losses, 12 Months or Greater	83,587	105,243
Fair Value, Total	1,026,306	1,189,458
Gross Unrealized Losses, Total	$ 109,835	$ 135,058

XML

Fixed Maturity Securities In An Unrealized Loss Position (Non-Investment Grade Fixed Maturity Securities) (Details) $ in Thousands	Mar. 31, 2023 USD ($) position	Dec. 31, 2022 USD ($)
Corporate
Debt Securities, Available-for-sale [Line Items]
Aggregate Fair Value	$ 5,869,295	$ 6,040,137
Gross Unrealized Loss	340,440	406,746
State and municipal
Debt Securities, Available-for-sale [Line Items]
Aggregate Fair Value	2,079,792	2,319,240
Gross Unrealized Loss	127,420	168,592
Mortgage-backed
Debt Securities, Available-for-sale [Line Items]
Aggregate Fair Value	1,632,585	1,572,867
Gross Unrealized Loss	166,440	190,958
Asset-backed
Debt Securities, Available-for-sale [Line Items]
Aggregate Fair Value	3,406,951	3,746,285
Gross Unrealized Loss	$ 117,853	$ 152,322
Noninvestment Grade Investments at Loss Position
Debt Securities, Available-for-sale [Line Items]
Number of Securities | position	65
Aggregate Fair Value	$ 167,130
Gross Unrealized Loss	$ 71,448
Noninvestment Grade Investments at Loss Position | Foreign government
Debt Securities, Available-for-sale [Line Items]
Number of Securities | position	33
Aggregate Fair Value	$ 105,347
Gross Unrealized Loss	$ 64,516
Noninvestment Grade Investments at Loss Position | Corporate
Debt Securities, Available-for-sale [Line Items]
Number of Securities | position	16
Aggregate Fair Value	$ 45,507
Gross Unrealized Loss	$ 3,789
Noninvestment Grade Investments at Loss Position | State and municipal
Debt Securities, Available-for-sale [Line Items]
Number of Securities | position	1
Aggregate Fair Value	$ 12,066
Gross Unrealized Loss	$ 2,936
Noninvestment Grade Investments at Loss Position | Mortgage-backed
Debt Securities, Available-for-sale [Line Items]
Number of Securities | position	14
Aggregate Fair Value	$ 4,202
Gross Unrealized Loss	$ 199
Noninvestment Grade Investments at Loss Position | Asset-backed
Debt Securities, Available-for-sale [Line Items]
Number of Securities | position	1
Aggregate Fair Value	$ 8
Gross Unrealized Loss	$ 8

XML

Fair Value Measurements (Assets and Liabilities Measured At Fair Value, On a Recurring Basis) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Assets:
Total fixed maturity securities available for sale	$ 18,039,347	$ 17,536,053
Equity securities	1,279,955	1,185,894
Equity securities	609,000	944,000
Fair Value, Measurements, Recurring
Assets:
Total fixed maturity securities available for sale	18,039,347	17,536,053
Equity securities	1,279,955	1,185,894
Equity securities	609,001	944,230
Assets, fair value disclosure	19,928,303	19,666,177
Fair Value, Measurements, Recurring | U.S. government and government agency
Assets:
Total fixed maturity securities available for sale	1,049,267	892,258
Fair Value, Measurements, Recurring | State and municipal
Assets:
Total fixed maturity securities available for sale	2,789,359	2,890,098
Fair Value, Measurements, Recurring | Mortgage-backed
Assets:
Total fixed maturity securities available for sale	1,897,729	1,665,410
Fair Value, Measurements, Recurring | Asset-backed
Assets:
Total fixed maturity securities available for sale	3,845,453	3,982,773
Fair Value, Measurements, Recurring | Corporate
Assets:
Total fixed maturity securities available for sale	7,125,649	6,703,992
Fair Value, Measurements, Recurring | Foreign government
Assets:
Total fixed maturity securities available for sale	1,331,890	1,401,522
Fair Value, Measurements, Recurring | Common stocks
Assets:
Equity securities	1,057,599	982,751
Fair Value, Measurements, Recurring | Preferred stocks
Assets:
Equity securities	222,356	203,143
Level 1 | Fair Value, Measurements, Recurring
Assets:
Total fixed maturity securities available for sale	0	0
Equity securities	1,054,268	978,991
Equity securities	574,096	822,192
Assets, fair value disclosure	1,628,364	1,801,183
Level 1 | Fair Value, Measurements, Recurring | U.S. government and government agency
Assets:
Total fixed maturity securities available for sale	0	0
Level 1 | Fair Value, Measurements, Recurring | State and municipal
Assets:
Total fixed maturity securities available for sale	0	0
Level 1 | Fair Value, Measurements, Recurring | Mortgage-backed
Assets:
Total fixed maturity securities available for sale	0	0
Level 1 | Fair Value, Measurements, Recurring | Asset-backed
Assets:
Total fixed maturity securities available for sale	0	0
Level 1 | Fair Value, Measurements, Recurring | Corporate
Assets:
Total fixed maturity securities available for sale	0	0
Level 1 | Fair Value, Measurements, Recurring | Foreign government
Assets:
Total fixed maturity securities available for sale	0	0
Level 1 | Fair Value, Measurements, Recurring | Common stocks
Assets:
Equity securities	1,054,268	978,991
Level 1 | Fair Value, Measurements, Recurring | Preferred stocks
Assets:
Equity securities	0	0
Level 2 | Fair Value, Measurements, Recurring
Assets:
Total fixed maturity securities available for sale	18,039,347	17,536,053
Equity securities	212,219	193,005
Equity securities	31,251	118,448
Assets, fair value disclosure	18,282,817	17,847,506
Level 2 | Fair Value, Measurements, Recurring | U.S. government and government agency
Assets:
Total fixed maturity securities available for sale	1,049,267	892,258
Level 2 | Fair Value, Measurements, Recurring | State and municipal
Assets:
Total fixed maturity securities available for sale	2,789,359	2,890,098
Level 2 | Fair Value, Measurements, Recurring | Mortgage-backed
Assets:
Total fixed maturity securities available for sale	1,897,729	1,665,410
Level 2 | Fair Value, Measurements, Recurring | Asset-backed
Assets:
Total fixed maturity securities available for sale	3,845,453	3,982,773
Level 2 | Fair Value, Measurements, Recurring | Corporate
Assets:
Total fixed maturity securities available for sale	7,125,649	6,703,992
Level 2 | Fair Value, Measurements, Recurring | Foreign government
Assets:
Total fixed maturity securities available for sale	1,331,890	1,401,522
Level 2 | Fair Value, Measurements, Recurring | Common stocks
Assets:
Equity securities	1,162	1,161
Level 2 | Fair Value, Measurements, Recurring | Preferred stocks
Assets:
Equity securities	211,057	191,844
Level 3 | Fair Value, Measurements, Recurring
Assets:
Total fixed maturity securities available for sale	0	0
Equity securities	13,468	13,898
Equity securities	3,654	3,590
Assets, fair value disclosure	17,122	17,488
Level 3 | Fair Value, Measurements, Recurring | U.S. government and government agency
Assets:
Total fixed maturity securities available for sale	0	0
Level 3 | Fair Value, Measurements, Recurring | State and municipal
Assets:
Total fixed maturity securities available for sale	0	0
Level 3 | Fair Value, Measurements, Recurring | Mortgage-backed
Assets:
Total fixed maturity securities available for sale	0	0
Level 3 | Fair Value, Measurements, Recurring | Asset-backed
Assets:
Total fixed maturity securities available for sale	0	0
Level 3 | Fair Value, Measurements, Recurring | Corporate
Assets:
Total fixed maturity securities available for sale	0	0
Level 3 | Fair Value, Measurements, Recurring | Foreign government
Assets:
Total fixed maturity securities available for sale	0	0
Level 3 | Fair Value, Measurements, Recurring | Common stocks
Assets:
Equity securities	2,169	2,599
Level 3 | Fair Value, Measurements, Recurring | Preferred stocks
Assets:
Equity securities	$ 11,299	$ 11,299

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Fair Value Measurements (Summarize Changes in Level 3 Assets) (Details) - USD ($)	3 Months Ended	6 Months Ended	12 Months Ended
	Mar. 31, 2023	Jun. 30, 2022	Dec. 31, 2022
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Assets, impairments		$ 0
Securities transferred into or out of level 3, net	$ 0		$ 0
Level 3
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Assets, beginning balance	17,488,000	20,590,000	20,590,000
Assets, earnings	(366,000)	(6,871,000)
Assets, other comprehensive income	0	0
Impairment of Intangible Assets (Excluding Goodwill)	0
Assets, purchases	0	5,610,000
Assets, (sales)	0	(1,842,000)
Assets, maturities	0	0
Assets. transfers out		1,000
Securities transferred into or out of level 3, net	0
Assets, ending balance	17,122,000		17,488,000
Level 3 | Equity securities
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Assets, beginning balance	13,898,000	20,590,000	20,590,000
Assets, earnings	(430,000)	(6,692,000)
Assets, other comprehensive income	0	0
Assets, impairments	0	0
Assets, purchases	0	925,000
Assets, (sales)	0	(925,000)
Assets, maturities	0	0
Assets. transfers out	0	0
Assets, ending balance	13,468,000		13,898,000
Level 3 | Common stock
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Assets, beginning balance	2,599,000	9,294,000	9,294,000
Assets, earnings	(430,000)	(6,695,000)
Assets, other comprehensive income	0	0
Assets, impairments	0	0
Assets, purchases	0	0
Assets, (sales)	0	0
Assets, maturities	0	0
Assets. transfers out	0	0
Assets, ending balance	2,169,000		2,599,000
Level 3 | Preferred stocks
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Assets, beginning balance	11,299,000	11,296,000	11,296,000
Assets, earnings	0	3,000
Assets, other comprehensive income	0	0
Assets, impairments	0	0
Assets, purchases	0	925,000
Assets, (sales)	0	(925,000)
Assets, maturities	0	0
Assets. transfers out	0	0
Assets, ending balance	11,299,000		11,299,000
Level 3 | Arbitrage trading account
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Assets, beginning balance	3,590,000	0	0
Assets, earnings	64,000	(179,000)
Assets, other comprehensive income	0	0
Impairment of Intangible Assets (Excluding Goodwill)	0
Assets, impairments		0
Assets, purchases	0	4,685,000
Assets, (sales)	0	(917,000)
Assets, maturities	0	0
Assets. transfers out		$ 1,000
Securities transferred into or out of level 3, net	0
Assets, ending balance	$ 3,654,000		$ 3,590,000

XML

Fair Value Measurements (Narrative) (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Fair Value Disclosures [Abstract]
Securities transferred into or out of level 3, net	$ 0	$ 0

XML

Reserves for Loss and Loss Expenses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Net reserves at beginning of period	$ 14,248,879	$ 12,848,362
Net provision for losses and loss expenses:
Claims occurring during the current year	1,502,817	1,327,695
Decrease in estimates for claims occurring in prior years	28,205	3,761
Loss reserve discount accretion	7,733	7,796
Liability for Unpaid Claims and Claims Adjustment Expense, Incurred Claims	1,538,755	1,339,252
Net payments for claims:
Current year	110,274	84,598
Prior years	1,106,481	933,656
Total	1,216,755	1,018,254
Foreign currency translation	1,154	9,983
Net reserves at end of period	14,572,033	13,179,343	$ 14,248,879
Ceded reserves at end of period	2,859,602	2,543,546
Gross reserves at end of period	$ 17,431,635	$ 15,722,889	$ 17,011,223

XML

Reserves for Loss and Loss Expenses (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Liability for Claims and Claims Adjustment Expense [Line Items]
Net of loss reserve discounts	$ 11,000	$ 7,000
Increase (decrease) in estimates for claims	19,000	(4,000)
Adjustment expense	24,000	1,000
Liability recognized for best estimate net of reinsurance	344,000
Liability recognized for best estimate net of reinsurance, current accident year losses	43
Liability recognized for best estimate net of reinsurance, reported losses	339,000
Liability recognized for best estimate net of reinsurance, incurred but not reported (IBNR)	5,000
Insurance
Liability for Claims and Claims Adjustment Expense [Line Items]
Liability recognized for best estimate net of reinsurance	291,000
Favorable reserve development net of premium offsets		6,000
Unfavorable reserve development net of premium offsets	17,000
Reinsurance & Monoline Excess
Liability for Claims and Claims Adjustment Expense [Line Items]
Liability recognized for best estimate net of reinsurance	53,000
Unfavorable reserve development net of premium offsets	$ 7,000	$ 5,000

XML

Fair Value of Financial Instruments (Carrying Amounts and Estimated Fair Values of Financial Instruments) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Assets:
Equity securities	$ 1,279,955	$ 1,185,894
Arbitrage trading account	609,000	944,000
Loans receivable	187,455	187,981
Carrying Value
Assets:
Fixed maturity securities	18,091,113	17,587,349
Equity securities	1,279,955	1,185,894
Arbitrage trading account	609,001	944,230
Loans receivable	194,944	193,002
Cash and cash equivalents	1,242,357	1,449,346
Trading account receivables from brokers and clearing organizations	583,970	233,863
Due from broker	17,207	3,609
Liabilities:
Senior notes and other debt	1,827,981	1,828,823
Subordinated debentures	1,008,551	1,008,371
Fair Value
Assets:
Fixed maturity securities	18,095,068	17,591,626
Equity securities	1,279,955	1,185,894
Arbitrage trading account	609,001	944,230
Loans receivable	187,455	187,981
Cash and cash equivalents	1,242,357	1,449,346
Trading account receivables from brokers and clearing organizations	583,970	233,863
Due from broker	17,207	3,609
Liabilities:
Senior notes and other debt	1,501,671	1,439,188
Subordinated debentures	$ 836,796	$ 805,600

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Premiums and Reinsurance Related Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Dec. 31, 2021
Written premiums:
Written premiums, direct	$ 2,738,754	$ 2,542,336
Written premiums, assumed	310,563	317,500
Written premiums, ceded	(474,493)	(446,582)
Total net premiums written	2,574,824	2,413,254
Earned premiums:
Earned premiums, direct	2,667,063	2,404,597
Earned premiums, assumed	295,230	292,373
Earned premiums, ceded	(470,861)	(447,883)
Net premiums earned	2,491,432	2,249,087
Ceded losses and loss expenses incurred	315,476	243,294
Ceded commissions earned	118,418	117,445
Cumulative effect adjustment resulting from changes in accounting principles	$ 8,703	$ 7,655	$ 8,064	$ 7,713

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Premiums and Reinsurance Related Information - Premiums and Reinsurance, Allowance For Credit Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Premium Receivable, Allowance for Credit Loss [Roll Forward]
Allowance for expected credit losses, beginning of period	$ 30,660	$ 25,218
Cumulative effect adjustment resulting from changes in accounting principles	32,353	28,236
Change in expected credit losses	1,693	3,018
Allowance for expected credit losses, end of period	32,353	28,236
Reinsurance Recoverable, Allowance for Credit Loss [Roll Forward]
Allowance for expected credit losses, beginning of period	8,064	7,713
Cumulative effect adjustment resulting from changes in accounting principles	8,703	7,655
Reinsurance Recoverable, Credit Loss Expense (Reversal)	639	(58)
Allowance for expected credit losses, end of period	$ 8,703	$ 7,655

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Restricted Stock Units (Summary of Restricted Stock Units Issued) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share-Based Compensation Arrangement by Share-based Payment Award [Line Item]
Share based compensation expense	$ 12,000
Restricted stock
Share-Based Compensation Arrangement by Share-based Payment Award [Line Item]
Restricted stock units (in units)	0	1,660
Fair Value	$ 0	$ 150
Minimum | Restricted stock
Share-Based Compensation Arrangement by Share-based Payment Award [Line Item]
Award vesting period	3 years
Maximum | Restricted stock
Share-Based Compensation Arrangement by Share-based Payment Award [Line Item]
Award vesting period	5 years

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Leases (Lease Cost) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Lease cost	$ 10,188	$ 10,198
Cash paid for amounts included in the measurement of lease liabilities reported in operating cash flows	10,563	10,993
Right-of-use assets obtained in exchange for new lease liabilities	$ 5,313	$ 17,269

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Leases (Supplemental Balance Sheet Information) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Operating lease, right-of-use asset	$ 164,547	$ 180,424
Operating lease, liability	$ 199,225	$ 217,086
Weighted-average remaining lease term	7 years 1 month 6 days	7 years 3 months 18 days
Weighted-average discount rate	4.49%	4.58%

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Leases (Maturities of Operating Lease Liabilities) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
2023	$ 36,209
2024	42,330
2025	34,121
2026	27,166
2027	17,585
Thereafter	72,767
Total undiscounted future minimum lease payments	230,178
Less: Discount impact	30,953
Total lease liability	$ 199,225	$ 217,086

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Business Segments (Financial Information of Company Operating Segments) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($) segment	Mar. 31, 2022 USD ($)
Segment Reporting [Abstract]
Number of reportable segments | segment	2
Segment Reporting Information [Line Items]
Earned Premiums (1)	$ 2,491,432	$ 2,249,087
Investment Income	223,398	173,512
Other	180,174	492,810
Total revenues	2,895,004	2,915,409
Pre-Tax Income (Loss)	376,071	732,433
Net Income (Loss) to Common Stockholders	294,126	590,638
Net investment gains	23,010	366,265
Net investment gains, net of tax	18,160	287,823
Corporate, other and eliminations
Segment Reporting Information [Line Items]
Earned Premiums (1)	0	0
Investment Income	5,257	8,435
Other	147,587	117,869
Total revenues	152,844	126,304
Pre-Tax Income (Loss)	(100,850)	(73,872)
Net Income (Loss) to Common Stockholders	(80,499)	(59,817)
Insurance
Segment Reporting Information [Line Items]
Earned Premiums (1)		1,962,835
Insurance | Operating Segments
Segment Reporting Information [Line Items]
Earned Premiums (1)	2,181,876	1,962,835
Investment Income	166,086	137,654
Other	9,577	8,676
Total revenues	2,357,539	2,109,165
Pre-Tax Income (Loss)	352,199	382,412
Net Income (Loss) to Common Stockholders	273,904	315,552
Insurance | Operating Segments | Non-US
Segment Reporting Information [Line Items]
Total revenues	274,000	235,000
Reinsurance & Monoline Excess
Segment Reporting Information [Line Items]
Earned Premiums (1)		286,252
Reinsurance & Monoline Excess | Operating Segments
Segment Reporting Information [Line Items]
Earned Premiums (1)	309,556	286,252
Investment Income	52,055	27,423
Other	0	0
Total revenues	361,611	313,675
Pre-Tax Income (Loss)	101,712	57,628
Net Income (Loss) to Common Stockholders	82,561	47,080
Reinsurance & Monoline Excess | Operating Segments | Non-US
Segment Reporting Information [Line Items]
Total revenues	106,000	96,000
Net investment gains
Segment Reporting Information [Line Items]
Earned Premiums (1)	0	0
Investment Income	$ 0	$ 0

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Business Segments (Identifiable Assets by Segment) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Segment Reporting, Asset Reconciling Item [Line Items]
Consolidated Assets	$ 34,296,064	$ 33,815,103
Operating Segments | Insurance
Segment Reporting, Asset Reconciling Item [Line Items]
Consolidated Assets	27,062,484	27,012,479
Operating Segments | Reinsurance & Monoline Excess
Segment Reporting, Asset Reconciling Item [Line Items]
Consolidated Assets	5,191,920	5,195,752
Corporate Reconciling Items And Eliminations
Segment Reporting, Asset Reconciling Item [Line Items]
Consolidated Assets	$ 2,041,660	$ 1,606,872

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Business Segments (Net Premiums Earned By Major Line of Business) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Revenue from External Customer [Line Items]
Net premiums earned	$ 2,491,432	$ 2,249,087
Insurance
Revenue from External Customer [Line Items]
Net premiums earned		1,962,835
Insurance | Operating Segments
Revenue from External Customer [Line Items]
Net premiums earned	2,181,876	1,962,835
Insurance | Other liability
Revenue from External Customer [Line Items]
Net premiums earned	857,149	749,391
Insurance | Short-tail lines
Revenue from External Customer [Line Items]
Net premiums earned	430,503	375,212
Insurance | Commercial automobile
Revenue from External Customer [Line Items]
Net premiums earned	311,422	282,234
Insurance | Workers' compensation
Revenue from External Customer [Line Items]
Net premiums earned	305,561	285,423
Insurance | Professional liability
Revenue from External Customer [Line Items]
Net premiums earned	277,241	270,575
Reinsurance & Monoline Excess
Revenue from External Customer [Line Items]
Net premiums earned		286,252
Reinsurance & Monoline Excess | Operating Segments
Revenue from External Customer [Line Items]
Net premiums earned	309,556	286,252
Reinsurance & Monoline Excess | Casualty reinsurance
Revenue from External Customer [Line Items]
Net premiums earned	193,730	184,122
Reinsurance & Monoline Excess | Monoline excess
Revenue from External Customer [Line Items]
Net premiums earned	58,644	51,896
Reinsurance & Monoline Excess | Property reinsurance
Revenue from External Customer [Line Items]
Net premiums earned	$ 57,182	$ 50,234