Reinsurance Ceded

6 Months Ended

Jun. 30, 2011

Reinsurance Ceded

Note 4. Reinsurance Ceded

The Company ceded earned premiums were $82.1 million and $84.3 million for the three months ended June 30, 2011 and 2010, respectively, and were $178.1 million and $169.8 million for the six months ended June 30, 2011 and 2010, respectively. The Company ceded incurred losses were $53.1 million and $61.1 million for the three months ended June 30, 2011 and 2010, respectively, and were $127.7 million and $113.4 million for the six months ended June 30, 2011 and 2010.

The following table lists the Company’s 20 largest reinsurers measured by the amount of reinsurance recoverable for ceded losses and loss adjustment expense and ceded unearned premium (constituting approximately 74.3% of the total recoverable), together with the reinsurance recoverable and collateral at June 30, 2011, and the reinsurers’ rating from the indicated rating agency:

		September 30,		September 30,		September 30,		September 30,	September 30,	September 30,
	Reinsurance Recoverables
Reinsurer	Unearned Premium		Unpaid/Paid Losses		Total		Collateral Held (1)		Rating & Rating Agency (2)
	($ in millions)
Swiss Reinsurance America Corporation	$	6.8	$	95.7	$	102.5	$	8.2	A	AMB
Munich Reinsurance America Inc.		14.1		74.9		89.0		4.3	A+	AMB
Everest Reinsurance Company		16.3		67.5		83.8		7.7	A+	AMB
Transatlantic Reinsurance Company		17.8		65.9		83.7		6.8	A	AMB
Scor Holding (Switzerland) AG		4.2		41.6		45.8		9.2	A	AMB
Partner Reinsurance Europe		7.5		35.5		43.0		18.2	AA-	S&P
National Indemnity Company		12.7		29.6		42.3		6.1	A++	AMB
Munchener Ruckversicherungs-Gesellschaft		0.9		35.1		36.0		8.6	A+	AMB
Lloyd’s Syndicate #2003		5.4		27.0		32.4		6.1	A	AMB
Berkley Insurance Company		2.0		29.8		31.8		—	A+	AMB
General Reinsurance Corporation		0.9		30.6		31.5		1.3	A++	AMB
White Mountains Reinsurance of America		0.2		29.6		29.8		0.7	A-	AMB
Platinum Underwriters Re		1.3		25.4		26.7		3.1	A	AMB
Ace Property and Casualty Insurance Company		3.2		20.8		24.0		0.5	A+	AMB
AXIS Re Europe		5.7		18.1		23.8		6.1	A	AMB
Allied World Reinsurance		6.9		15.6		22.5		2.6	A	AMB
Validus Reinsurance Ltd.		3.0		15.7		18.7		6.4	A-	AMB
Tower Insurance Company		12.6		5.6		18.2		4.4	A-	AMB
Lloyd’s Syndicate #457		3.9		11.1		15.0		4.2	A	AMB
Lloyd’s Syndicate #4000		2.6		11.4		14.0		2.1	A	AMB
Top 20 Total		128.0		686.5		814.5		106.6
All Other		49.0		232.4		281.4		91.1
Total	$	177.0	$	918.9	$	1,095.9	$	197.7

(1) Collateral includes letters of credit, ceded balances payable and other balances held by the Company’s Insurance Companies and Lloyd’s Operations.

(2) A.M. Best Company (^“A.M. Best”, ^“AMB”) and Standard and Poor’s Rating Services (“S&P”⁾