Reinsurance Ceded (Tables)

12 Months Ended

Dec. 31, 2016

Reinsurance Recoverables

Amounts recoverable from reinsurers are recognized in a manner consistent with the claims liabilities associated with the reinsurance placement and presented on the balance sheet as reinsurance recoverables. Such balances as of December 31, 2016 and 2015 consisted of the following:

	As of December 31,
	2016		2015
	($ in millions)
Reinsurance recoverables on paid losses	$	36.0	$	80.6
Ceded outstanding loss and LAE		1,236.2		1,169.3
Total	$	1,272.2	$	1,249.9

Information Regarding Concentration of Reinsurance Recoverables and Ratings Profile of its Reinsurers

The following table presents information regarding concentration of Alleghany’s reinsurance recoverables and the ratings profile of its reinsurers as of December 31, 2016:

Reinsurer(1)	Rating(2)	Amount		Percentage
		($ in millions)
Swiss Reinsurance Company	A+(Superior)	$	172.1		13.5%
PartnerRe Ltd	A (Excellent)		116.1		9.1%
Syndicates at Lloyd’s of London	A (Excellent)		105.0		8.3%
Chubb Corporation	A++(Superior)		91.4		7.2%
RenaissanceRe Holdings Ltd	A+(Superior)		91.0		7.2%
W.R. Berkley Corporation	A+(Superior)		89.9		7.1%
Allianz SE	A+(Superior)		63.5		5.0%
Allied World Assurance Company Holdings, AG(3)	A (Excellent)		60.5		4.8%
Hannover Ruck SE	A+(Superior)		46.9		3.7%
Fairfax Financial Holdings Ltd(3)	A (Excellent)		43.6		3.4%
All other reinsurers			392.2		30.7%
Total reinsurance recoverables(4)		$	1,272.2		100.0%
Secured reinsurance recoverables(5)		$	183.3		14.4%

(1) Reinsurance recoverables reflect amounts due from one or more reinsurance subsidiaries of the listed company.

(2) Represents the A.M. Best financial strength rating for the applicable reinsurance subsidiary or subsidiaries from which the reinsurance recoverable is due.

(3) In December 2016, Fairfax Financial Holdings Ltd announced its agreement to acquire Allied World Assurance Company Holdings, AG.

(4) Approximately 94 percent of our reinsurance recoverables balance as of December 31, 2016 was due from reinsurers having an A.M. Best financial strength rating of A (Excellent) or higher.

(5) Represents reinsurance recoverables secured by funds held, trust agreements and letters of credit.

Property and Casualty Premiums Written and Earned

The following table presents property and casualty premiums written and earned for 2016, 2015 and 2014:

	Year Ended December 31,
	2016		2015		2014
	($ in millions)
Gross premiums written – direct	$	1,490.3	$	1,505.6	$	1,529.4
Gross premiums written – assumed		4,276.8		3,616.6		3,567.2
Ceded premiums written		(675.3)		(633.0)		(599.1)
Net premiums written	$	5,091.8	$	4,489.2	$	4,497.5
Gross premiums earned – direct	$	1,871.1	$	1,515.9	$	1,517.0
Gross premiums earned – assumed		3,833.9		3,403.3		3,540.5
Ceded premiums earned		(729.2)		(688.9)		(646.9)
Net premiums earned	$	4,975.8	$	4,230.3	$	4,410.6