Segment Information (Tables)

6 Months Ended

Jun. 30, 2021

Segment Reporting [Abstract]

Underwriting results and reconciliation from reportable segments and other's category net income (loss) to consolidated

The following tables summarize the underwriting results of our reportable segments and the reconciliation of our reportable segments' underwriting results to consolidated net income:

For the Three Months Ended June 30, 2021	Diversified Reinsurance			AmTrust Reinsurance			Total
Gross premiums written	$	5,191		$	(1,757)		$	3,434
Net premiums written	$	5,018		$	(1,757)		$	3,261
Net premiums earned	$	6,962		$	6,350		$	13,312
Other insurance revenue	539			—			539
Net loss and LAE	(1,247)			6,574			5,327
Commission and other acquisition expenses	(4,452)			(2,447)			(6,899)
General and administrative expenses	(3,033)			(775)			(3,808)
Underwriting (loss) income	$	(1,231)		$	9,702		8,471
Reconciliation to net income
Net investment income and realized gains on investment							8,127
Interest and amortization expenses							(4,832)
Foreign exchange and other losses, net							(1,588)
Other general and administrative expenses							(5,098)
Income tax benefit							257
Interest in income of equity method investments							2,775
Net income							$	8,112
Net loss and LAE ratio(1)	16.6		%	(103.5)		%	(38.5)		%
Commission and other acquisition expense ratio(2)	59.4		%	38.5		%	49.8		%
General and administrative expense ratio(3)	40.4		%	12.2		%	64.3		%
Expense ratio(4)	99.8		%	50.7		%	114.1		%
Combined ratio(5)	116.4		%	(52.8)		%	75.6		%

3. Segment Information (continued)

For the Three Months Ended June 30, 2020	Diversified Reinsurance			AmTrust Reinsurance			Total
Gross premiums written	$	9,687		$	(4,705)		$	4,982
Net premiums written	$	8,553		$	(4,463)		$	4,090
Net premiums earned	$	11,527		$	9,781		$	21,308
Other insurance revenue	250			—			250
Net loss and LAE	(6,038)			(4,970)			(11,008)
Commission and other acquisition expenses	(4,374)			(3,780)			(8,154)
General and administrative expenses	(1,746)			(667)			(2,413)
Underwriting (loss) income	$	(381)		$	364		(17)
Reconciliation to net income
Net investment income and realized gains on investment							23,184
Interest and amortization expenses							(4,830)
Foreign exchange and other losses, net							(2,295)
Other general and administrative expenses							(6,848)
Income tax benefit							18
Net income							$	9,212
Net loss and LAE ratio(1)	51.3		%	50.8		%	51.0		%
Commission and other acquisition expense ratio(2)	37.1		%	38.6		%	37.8		%
General and administrative expense ratio(3)	14.8		%	6.9		%	43.0		%
Expense ratio(4)	51.9		%	45.5		%	80.8		%
Combined ratio(5)	103.2		%	96.3		%	131.8		%

3. Segment Information (continued)

For the Six Months Ended June 30, 2021	Diversified Reinsurance			AmTrust Reinsurance			Total
Gross premiums written	$	5,263		$	(4,219)		$	1,044
Net premiums written	$	4,784		$	(4,219)		$	565
Net premiums earned	$	13,202		$	11,874		$	25,076
Other insurance revenue	808			—			808
Net loss and LAE	(2,662)			5,630			2,968
Commission and other acquisition expenses	(8,207)			(4,634)			(12,841)
General and administrative expenses	(4,607)			(1,378)			(5,985)
Underwriting (loss) income	$	(1,466)		$	11,492		10,026
Reconciliation to net income
Net investment income and realized gains on investment							26,069
Interest and amortization expenses							(9,663)
Foreign exchange and other gains, net							1,954
Other general and administrative expenses							(16,918)
Income tax benefit							208
Interest in income from equity method investments							5,722
Net income							$	17,398
Net loss and LAE ratio(1)	19.0		%	(47.4)		%	(11.5)		%
Commission and other acquisition expense ratio(2)	58.6		%	39.0		%	49.6		%
General and administrative expense ratio(3)	32.9		%	11.6		%	88.5		%
Expense ratio(4)	91.5		%	50.6		%	138.1		%
Combined ratio(5)	110.5		%	3.2		%	126.6		%

3. Segment Information (continued)

For the Six Months Ended June 30, 2020	Diversified Reinsurance			AmTrust Reinsurance			Total
Gross premiums written	$	21,421		$	(4,705)		$	16,716
Net premiums written	$	18,925		$	(4,463)		$	14,462
Net premiums earned	$	24,058		$	28,465		$	52,523
Other insurance revenue	658			—			658
Net loss and LAE	(13,079)			(19,015)			(32,094)
Commission and other acquisition expenses	(9,353)			(10,774)			(20,127)
General and administrative expenses	(3,359)			(1,311)			(4,670)
Underwriting loss	$	(1,075)		$	(2,635)		(3,710)
Reconciliation to net income
Net investment income and realized gains on investment							52,186
Total other-than-temporary impairment losses							(1,506)
Interest and amortization expenses							(9,661)
Foreign exchange and other gains, net							5,902
Other general and administrative expenses							(13,141)
Income tax benefit							3
Net income							$	30,073
Net loss and LAE ratio(1)	52.9		%	66.8		%	60.4		%
Commission and other acquisition expense ratio(2)	37.8		%	37.8		%	37.8		%
General and administrative expense ratio(3)	13.6		%	4.7		%	33.5		%
Expense ratio(4)	51.4		%	42.5		%	71.3		%
Combined ratio(5)	104.3		%	109.3		%	131.7		%

(1)Calculated by dividing net loss and LAE by the sum of net premiums earned and other insurance revenue.

(2)Calculated by dividing commission and other acquisition expenses by the sum of net premiums earned and other insurance revenue.

(3)Calculated by dividing general and administrative expenses by the sum of net premiums earned and other insurance revenue.

(4)Calculated by adding together the commission and other acquisition expense ratio and general and administrative expense ratio.

(5)Calculated by adding together net loss and LAE ratio and the expense ratio.

Reconciliation of assets from reportable segments to consolidated

The following tables summarize the financial position of the Company's reportable segments including the reconciliation to the Company's consolidated total assets at June 30, 2021 and December 31, 2020:

June 30, 2021	Diversified Reinsurance		AmTrust Reinsurance		Total
Total assets - reportable segments	$	132,083	$	2,051,535	$	2,183,618
Corporate assets	—		—		423,152
Total Assets	$	132,083	$	2,051,535	$	2,606,770
December 31, 2020	Diversified Reinsurance		AmTrust Reinsurance		Total
Total assets - reportable segments	$	156,380	$	2,329,377	$	2,485,757
Corporate assets	—		—		462,698
Total Assets	$	156,380	$	2,329,377	$	2,948,455

Net premiums by major line of business

The following tables set forth financial information relating to net premiums written by major line of business and reportable segment for the three and six months ended June 30, 2021 and 2020:

For the Three Months Ended June 30,	2021		2020
Net premiums written	Total		Total
Diversified Reinsurance
International	$	5,028	$	8,498
Other	(10)		55
Total Diversified Reinsurance	5,018		8,553
AmTrust Reinsurance
Small Commercial Business	(1,594)		(6,394)
Specialty Program	(4)		477
Specialty Risk and Extended Warranty	(159)		1,454
Total AmTrust Reinsurance	(1,757)		(4,463)
Total Net Premiums Written	$	3,261	$	4,090
For the Six Months Ended June 30,	2021		2020
Net premiums written	Total		Total
Diversified Reinsurance
International	$	4,784	$	18,870
Other	—		55
Total Diversified Reinsurance	4,784		18,925
AmTrust Reinsurance
Small Commercial Business	(4,072)		(6,394)
Specialty Program	(29)		477
Specialty Risk and Extended Warranty	(118)		1,454
Total AmTrust Reinsurance	(4,219)		(4,463)
Total Net Premiums Written	$	565	$	14,462

3. Segment Information (continued)

The following tables set forth financial information relating to net premiums earned by major line of business and reportable segment for the three and six months ended June 30, 2021 and 2020:

For the Three Months Ended June 30,	2021				2020
Net premiums earned	Total		% of Total		Total		% of Total
Diversified Reinsurance
International	$	6,972	52.4	%	$	11,472	53.8	%
Other	(10)		(0.1)	%	55		0.3	%
Total Diversified Reinsurance	6,962		52.3	%	11,527		54.1	%
AmTrust Reinsurance
Small Commercial Business	(1,495)		(11.2)	%	(7,112)		(33.4)	%
Specialty Program	2		—	%	426		2.0	%
Specialty Risk and Extended Warranty	7,843		58.9	%	16,467		77.3	%
Total AmTrust Reinsurance	6,350		47.7	%	9,781		45.9	%
Total Net Premiums Earned	$	13,312	100.0	%	$	21,308	100.0	%
For the Six Months Ended June 30,	2021				2020
Net premiums earned	Total		% of Total		Total		% of Total
Diversified Reinsurance
International	$	13,202	52.6	%	$	24,003	45.7	%
Other	—		—	%	55		0.1	%
Total Diversified Reinsurance	13,202		52.6	%	24,058		45.8	%
AmTrust Reinsurance
Small Commercial Business	(3,846)		(15.3)	%	(6,173)		(11.8)	%
Specialty Program	(16)		(0.1)	%	501		1.0	%
Specialty Risk and Extended Warranty	15,736		62.8	%	34,137		65.0	%
Total AmTrust Reinsurance	11,874		47.4	%	28,465		54.2	%
Total Net Premiums Earned	$	25,076	100.0	%	$	52,523	100.0	%