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Reserves for Unpaid Losses and Loss Adjustment Expenses
6 Months Ended
Jun. 30, 2016
Reserves for Unpaid Losses and Loss Adjustment Expenses [Abstract]  
Reserves for Unpaid Losses and Loss Adjustment Expenses

7. Reserves for Unpaid Losses and Loss Adjustment Expenses



We recorded $1.0 million and $2.8 million of net favorable prior years’ loss development during the three and six months ended June 30, 2016, respectively. For the year to date, the $2.8 million net favorable development was attributable to $5.8 million net favorable development on claims incurred in the 2015 accident year and $1.1 million net favorable development on claims incurred in the 2011 and prior accident years, partially offset by $0.3 million net unfavorable development on claims incurred in the 2014 accident year, $2.4 million net unfavorable development in the 2013 accident year and $1.4 million of net unfavorable development in the 2012 accident year.  During the six months ended June 30, 2016, our Standard Commercial P&C operating unit accounted for $0.7 million of the net favorable development, our Workers Compensation operating unit accounted for $3.0 million of the net favorable development, our MGA Commercial Products operating unit accounting for $1.2 million of the net favorable development and our Specialty Commercial operating unit accounted for $0.4 million of the net favorable development. These favorable developments were partially offset by net unfavorable development of $2.5 million in our Specialty Personal Lines operating unit during the first half of 2016.



The net favorable development for our Standard Commercial P&C operating unit of $0.7 million was driven primarily by net favorable claims development in our general liability line of business in the 2015 and prior accident years, partially offset by net unfavorable claims development in our occupational accident line of business in the 2015, 2014 and 2013 accident years. The net favorable development of $3.0 million for our Workers Compensation operating unit was attributable to the 2015 and prior accident years. The net favorable development of $1.2 million in our MGA Commercial Products operating unit was primarily driven by net favorable development in our commercial auto liability and general liability lines of business in the 2015 and 2011 accident years, partially offset by net unfavorable development in the 2014, 2013 and 2012 accident years. The net favorable development of $0.4 million in our Specialty Commercial operating unit consisted of $0.1 million of net favorable development in our general aviation line of business, $0.1 million of net favorable development in our commercial excess liability line of business and $0.2 million of net favorable development in our medical professional liability line of business. The net unfavorable development for our Specialty Personal Lines operating unit of $2.5 million was mostly attributable to the 2015 and 2013 accident years.



We recorded $0.4 million and $1.5 million of net favorable prior years’ loss development during the three and six months ended June 30, 2015, respectively. For the year to date, the $1.5 million net favorable development was attributable to $1.6 million net favorable development on claims incurred in the 2014 accident year and $0.6 million net favorable development on claims incurred in the 2011 and prior accident years, partially offset by $0.6 million net unfavorable development on claims incurred in the 2013 accident year and $0.1 million of net unfavorable development on claims incurred in the 2012 accident year. During the six months ended June 30, 2015, our Standard Commercial P&C operating unit accounted for $2.5 million of the net favorable development, our Workers Compensation operating unit accounted for $0.4 million of the net favorable development and our Specialty Commercial operating unit accounted for $0.9 million of the net favorable development. These favorable developments were partially offset by net unfavorable development of $1.1 million in our MGA Commercial Products operating unit and $1.2 million net unfavorable development in our Specialty Personal Lines operating unit during the first half of 2015.



The net favorable development for our Standard Commercial P&C operating unit of $2.5 million was driven primarily by net favorable claims development in our commercial property and general liability lines of business in the 2013 and 2011 and prior accident years. The net favorable development of $0.4 million for our Workers Compensation operating unit was primarily attributable to the 2013 and 2012 accident years. The net favorable development of $0.9 million in our Specialty Commercial operating unit consisted of $0.5 million of net favorable development in our general aviation line of business, $0.3 million of net favorable development in our commercial excess liability line of business and $0.1 million of net favorable development in our medical professional liability line of business. The net unfavorable development of $1.1 million in our MGA Commercial Products operating unit was primarily driven by net unfavorable development in our commercial auto liability and general liability lines of business. The net unfavorable development for our Specialty Personal Lines operating unit of $1.2 million was primarily attributable to the 2014 and 2011 and prior accident years.