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Losses and Loss Expenses (Tables)
 12 Months Ended
Dec. 31, 2013
Segment Reporting Information [Line Items]  
Components of reserves
Unpaid losses and loss expenses for the indicated years ended December 31 are comprised of:
(U.S. dollars in thousands)
2013
 
2012
Reserve for reported losses and loss expenses
$
8,149,501

 
$
7,976,120

Reserve for losses incurred but not reported
12,331,564

 
12,508,001

Unpaid losses and loss expenses
$
20,481,065

 
$
20,484,121
Components of incurred losses and loss expenses
Net losses and loss expenses incurred for the years indicated are comprised of:
(U.S. dollars in thousands)
2013
 
2012
 
2011
Loss and loss expenses payments
$
4,496,802

 
$
4,673,998

 
$
4,911,737

Change in unpaid losses and loss expenses
(71,901
)
 
(297,660
)
 
260,631

Change in unpaid losses and loss expenses recoverable
(24,774
)
 
279,900

 
(28,442
)
Paid loss recoveries
(668,663
)
 
(890,756
)
 
(1,065,535
)
Net losses and loss expenses incurred
$
3,731,464

 
$
3,765,482

 
$
4,078,391
Reserve roll forward
The following table represents an analysis of the Company’s paid and unpaid losses and loss expenses incurred and a reconciliation of the beginning and ending unpaid losses and loss expenses for the years indicated:
(U.S. dollars in thousands)
2013
 
2012
 
2011
Unpaid losses and loss expenses at the beginning of the year
$
20,484,121

 
$
20,613,901

 
$
20,531,607

Unpaid losses and loss expenses recoverable
3,361,703

 
3,629,940

 
3,649,290

Net unpaid losses and loss expenses at the beginning of the year
$
17,122,418

 
$
16,983,961

 
$
16,882,317

Increase (decrease) in net losses and loss expenses incurred in respect of losses occurring in:
  
 
  
 
  
Current year
4,021,353

 
4,081,376

 
4,363,258

Prior year
(289,889
)
 
(315,894
)
 
(284,867
)
Total net incurred losses and loss expenses
$
3,731,464

 
$
3,765,482

 
$
4,078,391

Exchange rate effects
40,587

 
156,217

 
(130,545
)
Less net losses and loss expenses paid in respect of losses occurring in:
  
 
  
 
  
Current year
425,254

 
416,844

 
589,870

Prior year
3,402,885

 
3,366,398

 
3,256,332

Total net paid losses
$
3,828,139

 
$
3,783,242

 
$
3,846,202

Net unpaid losses and loss expenses at the end of the year
17,066,330

 
17,122,418

 
16,983,961

Unpaid losses and loss expenses recoverable
3,414,735

 
3,361,703

 
3,629,940

Unpaid losses and loss expenses at the end of the year
$
20,481,065

 
$
20,484,121

 
$
20,613,901
Components of prior year development
The following table presents the net (favorable) adverse prior year loss development of the Company’s loss and loss expense reserves for its property and casualty operations by operating segment for each of the years indicated:
(U.S. dollars in thousands)
2013
 
2012
 
2011
Insurance segment
$
(102,039
)
 
$
(140,066
)
 
$
(76,516
)
Reinsurance segment
(187,850
)
 
(175,828
)
 
(208,351
)
Total
$
(289,889
)
 
$
(315,894
)
 
$
(284,867
)
Asbestos and environmental related claims rollforward
A reconciliation of the opening and closing unpaid losses and loss expenses related to discontinued asbestos and run-off environmental exposure claims for the years indicated is as follows:
Year ended December 31,
(U.S. dollars in thousands)
2013
 
2012
 
2011
Net unpaid losses and loss expenses at beginning of year
$
78,315

 
$
77,778

 
$
84,075

Net incurred losses and loss expenses
6,257

 
6,558

 
(41
)
Less net paid losses and loss expenses
4,137

 
6,021

 
6,256

Net increase (decrease) in unpaid losses and loss expenses
$
2,120

 
$
537

 
$
(6,297
)
Net unpaid losses and loss expenses at end of year
80,435

 
78,315

 
77,778

Unpaid losses and loss expenses recoverable at end of year
115,090

 
123,799

 
134,323

Gross unpaid losses and loss expenses at end of year
$
195,525

 
$
202,114

 
$
212,101
Schedule of open claims files for potential asbestos and environmental claims
The development of the number of open claim files for potential discontinued asbestos and run-off environmental claims, including precautionary claims, is as follows:
 
Asbestos
Claims
 
Environmental
Claims
Total number of claims outstanding at December 31, 2010
1,200

 
417

New claims reported in 2011
106

 
36

Claims resolved in 2011
(268
)
 
(91
)
Total number of claims outstanding at December 31, 2011
1,038

 
362

New claims reported in 2012
236

 
60

Claims resolved in 2012
(201
)
 
(68
)
Total number of claims outstanding at December 31, 2012
1,073

 
354

New claims reported in 2013
178

 
34

Claims resolved in 2013
(154
)
 
(50
)
Total number of claims outstanding at December 31, 2013
1,097

 
338
Insurance Segment [Member]
  
Segment Reporting Information [Line Items]  
Components of prior year development
The following table summarizes the net (favorable) adverse prior year development by line of business relating to the Insurance segment for the last three years ended December 31:
(U.S. dollars in thousands)
2013
 
2012
 
2011
Property
$
(46,387
)
 
$
(46,735
)
 
$
(8,922
)
Casualty
(21,983
)
 
(61,133
)
 
34,500

Professional
75,045

 
(106,360
)
 
(87,520
)
Specialty
(140,740
)
 
(61,755
)
 
(71,285
)
Other
32,026

 
135,917

 
56,711

Total
$
(102,039
)
 
$
(140,066
)
 
$
(76,516
)
Reinsurance Segment [Member]
  
Segment Reporting Information [Line Items]  
Components of prior year development
The following table summarizes the net (favorable) adverse prior year development by line of business relating to the Reinsurance segment for the last three years ended December 31:
(U.S. dollars in thousands)
2013
 
2012
 
2011
Property and other short-tail lines
$
(136,912
)
 
$
(107,613
)
 
$
(64,267
)
Casualty and other
(50,938
)
 
(68,215
)
 
(144,084
)
Total
$
(187,850
)
 
$
(175,828
)
 
$
(208,351
)