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Loss and Loss Adjustment Expense Reserves (Tables)
 12 Months Ended
Dec. 31, 2019
Text Block [Abstract]  
Present Value Of The Probability-Weighted Future Claim Payments And Recoveries
                                 
 
As of December 31, 2019
   
As of December 31, 2018
 
In millions
 
Balance Sheet Line Item
   
Balance Sheet Line Item
 
 
Insurance 
loss
recoverable
 
  
Loss and 
LAE
reserves
(2)
 
  
Insurance 
loss
recoverable
 
  
Loss and 
LAE
reserves
(2)
 
U.S. Public Finance Insurance
 
$
911
 
  
$
432
 
  
$
571
 
  
$
551
  
International and Structured Finance Insurance:
 
 
 
  
 
 
  
 
 
Before VIE eliminations
(1)
    
1,286
     
749
     
1,461
     
668
 
VIE eliminations
(1)
    
(503
)     
(280
)     
(437
 )    
(254
 )
                                 
Total international and structured finance insurance
   
783
     
469
     
1,024
     
414
 
                                 
Total
   $
1,694
    $
 901
    $
1,595
    $
965
 
                                 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)—Includes loan repurchase commitments of $486 million and $418 million as of December 31, 2019 and 2018, respectively.
(2)—Amounts are net of expected recoveries.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Schedule Of Loss And Loss Adjustment Expenses Reserves
                                                                 
In millions
 
Changes in Loss and LAE Reserves for the Year Ended December 31, 2019
 
 
 
Gross Loss
and LAE
Reserves as of
December 31,
2018
(1)
 
Loss
Payments
 
 
Accretion
of Claim
Liability
Discount
 
 
Changes in
Discount
Rates
 
 
Changes in
Assumptions
 
 
Changes in
Unearned
Premium
Revenue
 
 
Changes in
LAE
Reserves
 
 
Other
 
 
Gross Loss
and LAE
Reserves as of
December 31,
2019
(1)
 
$        965
 
$
(431)
 
 
$
18
 
 
$
(54)
 
 
$
407
 
 
$
23
 
 
$
(26)
 
 
$
(1)
 
 
$
901
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)—Amounts are net of expected recoveries of unpaid claims.
                                                         
In millions
 
Changes in Loss and LAE Reserves for the Year Ended December 31, 2018
 
 
 
Gross Loss
and LAE
Reserves as of
December 31,
2017
 
Loss
Payments
 
 
Accretion
of Claim
Liability
Discount
 
 
Changes in
Discount
Rates
 
 
Changes in
Assumptions
 
 
Changes in
Unearned
Premium
Revenue
 
 
Changes
in LAE
Reserves
 
 
Gross Loss
and LAE
Reserves as of
December 31,
2018
(1)
 
$        1,013
 
$
(354
)
 
$
26
 
 
$
13
 
 
$
258
 
 
$
15
 
 
$
(6
)
 
$
965
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)—Amounts are net of expected recoveries of unpaid claims.
Schedule Of Insurance Loss Recoverable
 
 
 
Changes in Insurance Loss Recoverable
 
 
 
 
 
 
for the Year Ended December 31, 2019
 
 
 
In millions
 
Gross
Reserve
 
as of
December 31,
2018
 
 
Collections
for Cases
 
 
Accretion
 
of
Recoveries
 
 
Changes in
Discount
Rates
 
 
Changes in
Assumptions
(1)
 
 
Other
(2)
 
 
Gross
Reserve
 
as of
December 31,
2019
 
Insurance loss recoverable
 
$
1,595
 
 
$
 (148
)
 
$
 35
 
 
$
 70
 
 
$
 105
 
 
$
 37
 
 
$
 1,694
 
 
(1)—Includes amounts related to paid claims and LAE that are expected to be recovered in the future.
(2)—Primarily changes in amount and timing of collections.
 
 
 
Changes in Insurance Loss Recoverable
 
 
 
 
 
 
for the Year Ended December 31, 2018
 
 
 
In millions
 
Gross
Reserve as of
December 31,
2017
 
 
Collections
for Cases
 
 
Accretion of
Recoveries
 
 
Changes in
Discount
Rates
 
 
Changes in
Assumptions
(1)
 
 
Other
(2)
 
 
Gross
Reserve as of
December 31,
2018
 
Insurance loss recoverable
 
$
545
 
 
$
(56
)
 
$
25
 
 
$
(13
)
 
$
1,096
 
 
$
(2
)
 
$
1,595
 
 
(1)—Includes amounts which have been paid and are expected to be recovered in the future.
(2)—Primarily changes in amount and timing of collections.
Schedule Of Financial Guarantees And Related Claim Liability
The following table provides information about the financial guarantees and related claim liability included in each of MBIA’s surveillance categories as of December 31, 2019:
 
Surveillance Categories
 
  
Caution
 
  
Caution
 
  
Caution
 
  
 
  
 
  
List
 
  
List
 
  
List
 
  
Classified
 
  
 
$ in millions
 
Low
 
  
Medium
 
  
High
 
  
List
 
  
Total
 
Number of policies
   
45
     
19
     
—
     
212
     
276
 
Number of issues
(1)
    
13
     
5
     
—
     
94
     
112
 
Remaining weighted average contract period (in years)
   
7.3
     
7.2
     
—
      
7.9
     
7.7
 
Gross insured contractual payments outstanding:
(2)
    
     
     
     
     
 
Principal
  $
1,546
    $
248
    $
—
    $
3,794
    $
5,588
 
Interest
   
2,107
     
110
     
—
     
1,668
     
3,885
 
                                         
Total
  $
3,653
    $
358
    $
—
    $
5,462
    $
9,473
 
                                         
Gross Claim Liability
(3)
   $
—
    $
—
    $
—
    $
965
    $
965
 
Less:
   
     
     
     
     
 
Gross Potential Recoveries
(4)
    
—
     
—
     
—
     
2,184
     
2,184
 
Discount, net
(5)
    
—
     
—
     
—
     
(453
)     
(453
) 
                                         
Net claim liability (recoverable)
  $
—
    $
—
    $
—
    $
(766
)    $
(766
) 
                                         
Unearned premium revenue
  $
6
    $
3
    $
—
    $
39
    $
48
 
Reinsurance recoverable on paid and unpaid losses
(6)
    
 
      
 
      
 
      
 
     $
19
 
 
(1)—An “issue” represents the aggregate of financial guarantee policies that share the same revenue source for purposes of making debt service payments on the insured debt.
(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 exposures are net of expected recoveries for policies in a net payable position.
(4)—Gross potential recoveries with respect to certain Puerto Rico exposures are net of the claim liability for policies in a net recoverable position.
(5)—Represents discount related to Gross Claim Liability and Gross Potential Recoveries.
(6)—Included in “Other assets” on the Company’s consolidated balance sheets.
The following table provides information about the financial guarantees and related claim liability included in each of MBIA’s surveillance categories as of December 31, 2018:
 
Surveillance Categories
 
 
Caution
 
 
Caution
 
 
Caution
 
 
 
 
 
 
List
 
 
List
 
 
List
 
 
Classified
 
 
 
$ in millions
 
Low
 
 
Medium
 
 
High
 
 
List
 
 
Total
 
Number of policies
 
 
50
 
 
 
18
 
 
 
—  
 
 
 
233
 
 
 
301
 
Number of issues
(1)
 
 
16
 
 
 
4
 
 
 
—  
 
 
 
102
 
 
 
122
 
Remaining weighted average contract period (in years)
 
 
6.7
 
 
 
8.0
 
 
 
—  
 
 
 
9.7
 
 
 
8.9
 
Gross insured contractual payments outstanding:
(2)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Principal
 
$
1,604
 
 
$
249
 
 
$
—  
 
 
$
5,353
 
 
$
7,206
 
Interest
 
 
2,118
 
 
 
123
 
 
 
—  
 
 
 
5,414
 
 
 
7,655
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total
 
$
3,722
 
 
$
372
 
 
$
—  
 
 
$
10,767
 
 
$
14,861
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gross Claim Liability
(3)
 
$
—  
 
 
$
—  
 
 
$
—  
 
 
$
1,085
 
 
$
1,085
 
Less:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gross Potential Recoveries
(4)
 
 
—  
 
 
 
—  
 
 
 
—  
 
 
 
2,363
 
 
 
2,363
 
Discount, net
(5)
 
 
—  
 
 
 
—  
 
 
 
—  
 
 
 
(670
)
 
 
(670
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net claim liability (recoverable)
 
$
—  
 
 
$
—  
 
 
$
—  
 
 
$
(608
)
 
$
(608
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unearned premium revenue
 
$
5
 
 
$
4
 
 
$
—  
 
 
$
63
 
 
$
72
 
Reinsurance recoverable on paid and unpaid losses
(6)
 
 
 
 
 
 
 
 
 
 
 
 
 
$
21
 
 
(1)—An “issue” represents the aggregate of financial guarantee policies that share the same revenue source for purposes of making debt service payments on the insured debt.
(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 exposures are net of expected recoveries for policies in a net payable position.
(4)—Gross potential recoveries with respect to certain Puerto Rico exposures are net of the claim liability for policies in a net recoverable position.
(5)—Represents discount related to Gross Claim Liability and Gross Potential Recoveries.
(6)—Included in “Other assets” on the Company’s consolidated balance sheets.