Liability for Unpaid Claims

12 Months Ended

Dec. 31, 2022

Insurance [Abstract]

Liability for Unpaid Claims

Note 7—Liability for Unpaid ClaimsActivity in the liability for unpaid health claims is summarized as follows:

	Year Ended December 31,
	2022		2021		2020
Balance at beginning of period	$	167,832	$	162,261	$	163,808
Incurred related to:
Current year	675,785		638,054		584,936
Prior years	(15,631)		(22,477)		(14,829)
Total incurred	660,154		615,577		570,107
Paid related to:
Current year	517,855		487,096		442,127
Prior years	131,610		122,910		129,527
Total paid	649,465		610,006		571,654
Balance at end of period	$	178,521	$	167,832	$	162,261

At the end of each period, the liability for unpaid health claims includes an estimate of claims incurred but not yet reported to the Company. Such estimates are updated regularly based upon the Company’s most recent claims data with recognition of emerging experience trends. Due to the nature of the Company’s health business, the payment lags are relatively short and most claims are fully paid within a year from the time incurred. Fluctuations in claims experience can lead to either over or under estimation of the liability for any given year. The difference between the estimate made at the end of the prior period and the actual experience during the period is reflected above under the caption “Incurred related to: Prior years.”

Below is the reconciliation of the liability of "Policy claims and other benefits payable" in the Consolidated Balance Sheets.

	December 31,
	2022		2021
Policy claims and other benefits payable:
Life insurance	$	251,506	$	245,108
Health insurance	178,521		167,832
Total	$	430,027	$	412,940