Loss and Loss Adjustment Expense Reserves (Tables)

12 Months Ended

Dec. 31, 2016

Text Block [Abstract]

Present Value Of The Probability-Weighted Future Claim Payments And Recoveries

			As of		As of
In millions			December 31, 2016		December 31, 2015
U.S. Public Finance Insurance Segment:
	Loss and LAE reserves		$	97	$	45
	Insurance loss recoverable			174		4
International and Structured Finance Insurance Segment:
	Second-lien RMBS:
		Loss and LAE reserves after VIE elimination		44		51
		Loss and LAE reserves VIE elimination		23		16
		Excess Spread after VIE elimination(1)		294		406
		Excess Spread VIE elimination(2)		53		93
		Put-Back Claims(3)		404		396
	First-lien RMBS:
		Loss and LAE reserves after VIE elimination		300		277
		Loss and LAE reserves VIE elimination		15		5
		Excess Spread after VIE elimination(4)		74		80
		Excess Spread VIE elimination(5)		18		8
	CDOs:
		Loss and LAE reserves after VIE elimination		87		133
		Loss and LAE reserves VIE elimination		155		190
		Insurance Loss Recoverable after VIE elimination		-		148
		Insurance Loss Recoverable VIE elimination		154		-
	Other:
		Loss and LAE reserves after VIE elimination		13		10
		Loss and LAE reserves VIE elimination		13		-
		Insurance Loss Recoverable		5		9
________________
(1) -As of December 31, 2016 and 2015, $280 million and $382 million were included in “Insurance loss recoverable” and $14 million and $24 million were included in “Loss and loss adjustment expense reserves” on the Company’s consolidated balance sheets, respectively.
(2) -As of December 31, 2016 and 2015, $53 million and $87 million were eliminated from "Insurance loss recoverable”. As of December 31, 2015, $6 million was eliminated from “Loss and loss adjustment expense reserves” on the Company’s consolidated balance sheets, respectively.
(3) - Reflected in “Loan repurchase commitments” presented under the heading “Assets of consolidated variable interest entities” on the Company’s consolidated balance sheets.
(4) -As of December 31, 2016 and 2015, $45 million and $34 million were included in “Insurance loss recoverable” and $29 million and $46 million were included in “Loss and loss adjustment expense reserves” on the Company’s consolidated balance sheets, respectively.
(5) -As of December 31, 2016 and 2015, $14 million and $8 million were eliminated from “Insurance loss recoverable.” As of December 31, 2016, $4 million was eliminated from “Loss and loss adjustment expense reserves” on the Company’s consolidated balance sheets.

Schedule Of Loss And Loss Adjustment Expenses Reserves

In millions

Changes in Loss and LAE Reserves for the Year Ended December 31, 2016

Gross Loss

Loss

Gross Loss

and LAE

Payments

Accretion

Changes in

and LAE

Reserves as of

for Cases

of Claim

Changes in

Unearned

Changes in

Reserves as of

December 31,

with

Liability

Discount

Changes in

Premium

LAE

December 31,

2015

Reserves

Discount

Rates

Assumptions

Revenue

Reserves

Other(1)

2016

$

516

$

(128)

$

8

$

5

$

78

$

(15)

$

14

$

63

$

541

____________

(1) - Primarily changes in the amount and timing of payments.

In millions

Changes in Loss and LAE Reserves for the Year Ended December 31, 2015

Gross Loss

Loss

Gross Loss

and LAE

Payments

Accretion

Changes in

and LAE

Reserves as of

for Cases

of Claim

Changes in

Unearned

Changes in

Reserves as of

December 31,

with

Liability

Discount

Changes in

Premium

LAE

December 31,

2014

Reserves

Discount

Rates

Assumptions

Revenue

Reserves

Other(1)

2015

$

506

$

(200)

$

8

$

(41)

$

88

$

14

$

4

$

137

$

516

____________

(1) - Primarily changes in amount of actual loss payments on a high yield corporate CDO.

Schedule Of Insurance Loss Recoverable And Changes In Recoveries On Unpaid Losses

					Changes in Insurance Loss Recoverable and Recoveries on Unpaid Losses
					for the Year Ended December 31, 2016
		Gross														Gross
		Reserve		Collections												Reserve
		as of		for Cases		Accretion		Changes in				Changes in				as of
		December 31,		with		of		Discount		Changes in		LAE				December 31,
In millions		2015		Recoveries		Recoveries		Rates		Assumptions		Recoveries		Other(1)		2016
Insurance loss
	recoverable	$	577	$	(69)	$	5	$	(17)	$	86	$	(6)	$	(72)	$	504
Recoveries on unpaid
	losses (2)		100		-		1		3		(34)		9		-		79
Total		$	677	$	(69)	$	6	$	(14)	$	52	$	3	$	(72)	$	583
____________
(1) - Primarily changes in amount and timing of collections.
(2) - Excludes Puerto Rico and Zohar II recoveries, which have been netted against reserves.

					Changes in Insurance Loss Recoverable and Recoveries on Unpaid Losses
					for the Year Ended December 31, 2015
		Gross														Gross
		Reserve		Collections												Reserve
		as of		for Cases		Accretion		Changes in				Changes in				as of
		December 31,		with		of		Discount		Changes in		LAE				December 31,
In millions		2014		Recoveries		Recoveries		Rates		Assumptions		Recoveries		Other(1)		2015
Insurance loss
	recoverable	$	533	$	(74)	$	8	$	1	$	140	$	6	$	(37)	$	577
Recoveries on unpaid
	losses (2)		147		-		2		(2)		(46)		(1)		-		100
Total		$	680	$	(74)	$	10	$	(1)	$	94	$	5	$	(37)	$	677
____________
(1) - Primarily changes in amount and timing of collections.
(2) - Excludes Puerto Rico and Zohar II recoveries, which have been netted against reserves.

Schedule Of Losses And Loss Adjustment Expenses

		Years Ended December 31,
In millions		2016		2015		2014
U.S. Public Finance Insurance Segment		$	74	$	5	$	(10)
International and Structured Finance Insurance Segment:
	Second-lien RMBS		121		63		70
	First-lien RMBS		41		34		65
	CDOs		(32)		29		33
	Other(1)		16		(8)		(25)
Losses and LAE		$	220	$	123	$	133
________________
(1) - Includes non-U.S. public finance and other issues.

Schedule Of Financial Guarantees And Related Claim Liability

				Surveillance Categories
				Caution		Caution		Caution
				List		List		List		Classified
$ in millions				Low		Medium		High		List		Total
Number of policies					90		6		3		331		430
Number of issues (1)					17		4		2		126		149
Remaining weighted average contract
	period (in years)				7.5		3.4		7.2		7.0		7.1
Gross insured contractual payments
	outstanding: (2)
		Principal		$	2,917	$	17	$	320	$	7,031	$	10,285
		Interest			2,795		4		107		2,777		5,683
			Total	$	5,712	$	21	$	427	$	9,808	$	15,968
Gross Claim Liability (3)				$	-	$	-	$	-	$	718	$	718
Less:
	Gross Potential Recoveries				-		-		-		770		770
	Discount, net (4)				-		-		-		(75)		(75)
Net claim liability (recoverable)				$	-	$	-	$	-	$	23	$	23
Unearned premium revenue				$	9	$	-	$	8	$	68	$	85
__________
(1) - An “issue” represents the aggregate of financial guarantee policies that share the same revenue source for purposes of making debt service payments.
(2) - Represents contractual principal and interest payments due by the issuer of the obligations insured by MBIA.
(3) - The gross claim liability with respect to Puerto Rico and Zohar II exposures are net of expected recoveries.
(4) - Represents discount related to Gross Claim Liability and Gross Potential Recoveries.

				Surveillance Categories
				Caution		Caution		Caution
				List		List		List		Classified
$ in millions				Low		Medium		High		List		Total
Number of policies					57		18		171		165		411
Number of issues (1)					12		6		5		117		140
Remaining weighted average contract
	period (in years)				7.6		6.7		9.6		6.7		7.4
Gross insured contractual payments
	outstanding: (2)
		Principal		$	2,591	$	147	$	1,996	$	6,426	$	11,160
		Interest			2,733		57		1,038		2,419		6,247
			Total	$	5,324	$	204	$	3,034	$	8,845	$	17,407
Gross Claim Liability (3)				$	-	$	-	$	-	$	797	$	797
Less:
	Gross Potential Recoveries				-		-		-		752		752
	Discount, net (4)				-		-		-		116		116
Net claim liability (recoverable)				$	-	$	-	$	-	$	(71)	$	(71)
Unearned premium revenue				$	8	$	2	$	33	$	55	$	98
__________
(1) - An “issue” represents the aggregate of financial guarantee policies that share the same revenue source for purposes of making debt service payments.
(2) - Represents contractual principal and interest payments due by the issuer of the obligations insured by MBIA.
(3) - The gross claim liability with respect to Puerto Rico and Zohar II exposures are net of expected recoveries.
(4) - Represents discount related to Gross Claim Liability and Gross Potential Recoveries.