Reserve for Unpaid Losses and Loss Adjustment Expenses (Tables)

6 Months Ended

Jun. 30, 2020

Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block]

Unfavorable (Favorable) Prior Accident Year Development

	For the six months ended June 30,
	2020			2019
Workers’ compensation	$	(38	)	$	(50	)
Workers’ compensation discount accretion	18			17
General liability	114			43
Marine	1			10
Package business	(6		)	(9		)
Commercial property	(2		)	(15		)
Professional liability	5			33
Bond	(10		)	—
Assumed reinsurance	(7		)	3
Automobile liability - Commercial Lines	27			2
Automobile liability - Personal Lines	(21		)	(5		)
Homeowners	—			1
Catastrophes	(413		)	(22		)
Uncollectible reinsurance	(2		)	—
Other reserve re-estimates, net	6			16
Prior accident year development before change in deferred gain	(328		)	24
Change in deferred gain on retroactive reinsurance included in other liabilities [1]	83			—
Total prior accident year development	$	(245	)	$	24

[1] The change in deferred gain for the six months ended June 30, 2020 primarily included increased reserves for professional liability, marine, general liability, prior accident year catastrophes, and assumed reinsurance.

Property, Liability and Casualty Insurance Product Line

Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block]

Rollforward of Liabilities for Unpaid Losses and Loss Adjustment Expenses

	For the six months ended June 30,
	2020			2019
Beginning liabilities for unpaid losses and loss adjustment expenses, gross	$	28,261		$	24,584
Reinsurance and other recoverables	5,275			4,232
Beginning liabilities for unpaid losses and loss adjustment expenses, net	22,986			20,352
Navigators Group acquisition	—			2,001
Provision for unpaid losses and loss adjustment expenses
Current accident year	3,962			3,475
Prior accident year development [1]	(245		)	24
Total provision for unpaid losses and loss adjustment expenses	3,717			3,499
Change in deferred gain on retroactive reinsurance included in other liabilities [1]	(83		)	—
Payments
Current accident year	(778		)	(848		)
Prior accident years	(2,575		)	(2,381		)
Total payments	(3,353		)	(3,229		)
Foreign currency adjustment	(10		)	—
Ending liabilities for unpaid losses and loss adjustment expenses, net	23,257			22,623
Reinsurance and other recoverables	5,427			5,125
Ending liabilities for unpaid losses and loss adjustment expenses, gross	$	28,684		$	27,748

[1] Prior accident year development does not include the benefit of a portion of losses ceded under the Navigators adverse development cover ('Navigators ADC') which, under retroactive reinsurance accounting, is deferred and is recognized over the period the ceded losses are recovered in cash from National Indemnity Company ("NICO"). For additional information regarding the Navigators ADC agreement, please refer to Adverse Development Covers discussion below.

Group Insurance Policy [Member]

Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block]

Rollforward of Liabilities for Unpaid Losses and Loss Adjustment Expenses

	For the six months ended June 30,
	2020			2019
Beginning liabilities for unpaid losses and loss adjustment expenses, gross	$	8,256		$	8,445
Reinsurance recoverables [1]	246			239
Beginning liabilities for unpaid losses and loss adjustment expenses, net	8,010			8,206
Provision for unpaid losses and loss adjustment expenses
Current incurral year	2,297			2,269
Prior year's discount accretion	111			117
Prior incurral year development [2]	(315		)	(206		)
Total provision for unpaid losses and loss adjustment expenses [3]	2,093			2,180
Payments
Current incurral year	(871		)	(922		)
Prior incurral years	(1,290		)	(1,342		)
Total payments	(2,161		)	(2,264		)
Ending liabilities for unpaid losses and loss adjustment expenses, net	7,942			8,122
Reinsurance recoverables	244			234
Ending liabilities for unpaid losses and loss adjustment expenses, gross	$	8,186		$	8,356

[1] Reflects a cumulative effect adjustment of $(1) representing an adjustment to the ACL recorded on adoption of accounting guidance for credit losses on January 1, 2020. See Note 1 - Basis of Presentation and Significant Accounting Policies of Notes to Condensed Consolidated Financial Statements for further information.

[2] Prior incurral year development represents the change in estimated ultimate incurred losses and loss adjustment expenses for prior incurral years on a discounted basis.

[3]

Includes unallocated loss adjustment expenses of $89 and $85 for the six months ended June 30, 2020 and 2019, respectively, that are recorded in insurance operating costs and other expenses in the Condensed Consolidated Statements of Operations