Insurance Premiums (Tables)

12 Months Ended

Dec. 31, 2020

Text Block [Abstract]

Rollforward of Premiums Receivable

The following tables present a roll forward of the Company’s premiums receivable for the years ended December 31, 2020 and 2019.

In millions					Adjustments
Premiums Receivable as of December 31, 2019	Premium Payments Received		Premiums from New Business Written		Changes in Expected Term of Policies		Accretion of Premiums Receivable Discount(1)		Other (2)		Premiums Receivable as of December 31, 2020
$        249	$	(30)	$	—	$	(1)	$	6	$	(8)	$	216

(1)—Recorded within premiums earned on MBIA’s consolidated statement of operations.

(2)—The change primarily relates to a reduction in installment premiums due to refunding activity and the recording of an allowance for credit losses under Financial Instruments-Credit Losses, partially offset by changes in foreign exchange currency rates.

In millions					Adjustments
Premiums Receivable as of December 31, 2018	Premium Payments Received		Premiums from New Business Written		Changes in Expected Term of Policies		Accretion of Premiums Receivable Discount(1)		Other (2)		Premiums Receivable as of December 31, 2019
$        296	$	(43)	$	—	$	(4)	$	7	$	(7)	$	249

(1)—Recorded within premiums earned on MBIA’s consolidated statement of operations.

(2)—Primarily relates to the write off of uncollectible premiums and to a lesser extent realized gains due to changes in foreign currency exchange rates.

Undiscounted Future Premiums By Period

The following table presents the undiscounted future amount of premiums expected to be collected and the period in which those collections are expected to occur:

In millions	Expected Collection of Premiums
Three months ending:
March 31, 2021	$	3
June 30, 2021		10
September 30, 2021		5
December 31, 2021		10
Twelve months ending:
December 31, 2022		24
December 31, 2023		22
December 31, 2024		20
December 31, 2025		18
Five years ending:
December 31, 2030		64
December 31, 2035		45
December 31, 2040 and thereafter		54
Total	$	275

Unearned Premium Reserve And Future Premium Earnings

The following table presents the unearned premium revenue balance and future expected premium earnings as of and for the periods presented:

In millions	Unearned Premium Revenue		Expected Future Premium Earnings				Accretion		Total Expected Future Premium Earnings
			Upfront		Installments
December 31, 2020	$	405
Three months ending:
March 31, 2021		392	$	6	$	7	$	1	$	14
June 30, 2021		379		6		7		1		14
September 30, 2021		367		6		6		2		14
December 31, 2021		355		6		6		1		13
Twelve months ending:
December 31, 2022		310		21		24		5		50
December 31, 2023		271		19		20		4		43
December 31, 2024		235		17		19		4		40
December 31, 2025		204		15		16		4		35
Five years ending:
December 31, 2030		104		50		50		15		115
December 31, 2035		50		24		30		9		63
December 31, 2040 and thereafter		—		16		34		9		59
Total			$	186	$	219	$	55	$	460