Reinsurance Ceded

6 Months Ended

Jun. 30, 2012

Reinsurance Ceded

Note 4. Reinsurance Ceded

The Company’s ceded earned premiums were $120.7 million and $82.1 million for the three months ended June 30, 2012 and 2011 and $185.8 million and $178.1 million for the six months ended June 30, 2012 and 2011, respectively. The Company’s ceded incurred losses were $61.7 million and $53.1 million for the three months ended June 30, 2012 and 2011 and were $123.2 million and $127.7 million for the six months ended June 30, 2012 and 2011, respectively.

The following table lists the Company’s 20 largest reinsurers measured by the amount of reinsurance recoverable for ceded losses and LAE and ceded unearned premium (constituting approximately 73.4% of the total recoverable), together with the reinsurance recoverable and collateral as of June 30, 2012, and the reinsurers’ ratings from the A.M. Best Company (“AMB”) or Standard & Poor’s (“S&P”):

	Reinsurance Recoverables
	Unearned		Paid/Unpaid				Collateral
In thousands	Premium		Losses		Total		Held(1)		AMB		S&P
Everest Reinsurance Company	$	16,225	$	75,837	$	92,062	$	6,179		A+		A+
Munich Reinsurance America Inc.		11,108		78,824		89,932		222		A+		AA-
Swiss Reinsurance America Corporation		5,076		84,310		89,386		6,556		A+		AA-
Transatlantic Reinsurance Company		15,570		73,065		88,635		6,745		A		A+
National Indemnity Company		34,376		37,716		72,092		15,981		A++		AA+
Lloyd’s Syndicate #2003		8,092		32,416		40,508		8,245		A		A+
Partner Reinsurance Europe		9,447		31,013		40,460		22,540		A+		A+
Allied World Reinsurance		8,108		21,459		29,567		2,405		A		A
Berkley Insurance Company		1,848		27,099		28,947		596		A+		A+
General Reinsurance Corporation		675		26,487		27,162		890		A++		AA+
Scor Global P&C SE		13,613		11,644		25,257		9,190		A		A+
Tower Insurance Company		10,331		14,166		24,497		4,541		A-		NR
Scor Holding (Switzerland) AG		1,323		20,988		22,311		9,069		A		A+
Validus Reinsurance Ltd.		2,979		18,560		21,539		9,745		A		A-
Ace Property and Casualty Insurance Company		1,022		19,824		20,846		—		A+		AA-
Platinum Underwriters Re		558		18,884		19,442		1,994		A		A-
Munchener Ruckversicherungs-Gesellschaft		390		19,037		19,427		6,719		A+		AA-
Sirius America Insurance Company		88		19,205		19,293		335		A		A-
AXIS Re Europe		4,252		13,187		17,439		5,742		A		A+
Lloyd’s Syndicate #4000		2,499		14,341		16,840		2,216		A		A+
Top 20 Total	$	147,580	$	658,062	$	805,642	$	119,910
All Others		63,509		228,515		292,024		91,959
Total	$	211,089	$	886,577	$	1,097,666	$	211,869

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