Guarantor Financial Information (Tables)

6 Months Ended

Jun. 30, 2016

Condensed Financial Information of Parent Company Only Disclosure [Abstract]



	June 30, 2016
Condensed Consolidating Balance Sheet (U.S. dollars in thousands, except share data)	XL- Ireland		XL-Cayman		Other XL-Ireland Subsidiaries		Consolidating Adjustments and Eliminations			XL-Ireland Consolidated
ASSETS
Investments:
Total investments available for sale	$	—	$	761,877	$	32,580,941	$	—		$	33,342,818
Total investments trading	—		—		1,496,906		—			1,496,906
Investments in affiliates	—		—		1,968,801		—			1,968,801
Other investments	—		934		1,296,770		—			1,297,704
Total investments	$	—	$	762,811	$	37,343,418	$	—		$	38,106,229
Cash and cash equivalents (1)	13,436		133,711		3,344,256		(174,654		)	3,316,749
Restricted cash	—		—		181,858		—			181,858
Investments in subsidiaries	11,651,980		16,727,899		—		(28,379,879		)	—
Accrued investment income	48		3,366		286,497		—			289,911
Deferred acquisition costs and value of business acquired	—		—		1,050,653		—			1,050,653
Ceded unearned premiums	—		—		2,174,219		—			2,174,219
Premiums receivable	—		—		6,469,371		—			6,469,371
Reinsurance balances receivable	—		—		563,673		—			563,673
Unpaid losses and loss expenses recoverable	—		—		5,426,773		—			5,426,773
Receivable from investments sold	—		—		222,558		—			222,558
Goodwill and other intangible assets	—		—		2,217,973		—			2,217,973
Deferred tax asset	—		—		224,786		—			224,786
Amounts due from subsidiaries/parent	26,754		—		1,784,972		(1,811,726		)	—
Other assets	238		42,946		910,303		—			953,487
Total assets	$	11,692,456	$	17,670,733	$	62,201,310	$	(30,366,259	)	$	61,198,240

LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities:
Unpaid losses and loss expenses	$	—	$	—	$	26,020,564	$	—		$	26,020,564
Deposit liabilities	—		—		1,178,113		—			1,178,113
Future policy benefit reserves	—		—		3,798,278		—			3,798,278
Funds withheld on GreyCastle life retrocession arrangements	—		—		1,145,314		—			1,145,314
Unearned premiums	—		—		8,274,300		—			8,274,300
Notes payable and debt	—		2,646,324		—		—			2,646,324
Reinsurance balances payable	—		—		2,911,974		—			2,911,974
Payable for investments purchased	—		—		175,153		—			175,153
Deferred tax liability	—		—		107,778		—			107,778
Amounts due to subsidiaries/parent	—		1,811,726		—		(1,811,726		)	—
Other liabilities (1)	7,268		216,203		1,227,693		(174,654		)	1,276,510
Total liabilities	$	7,268	$	4,674,253	$	44,839,167	$	(1,986,380	)	$	47,534,308

Shareholders’ Equity:
Shareholders’ equity attributable to XL Group plc	$	11,685,188	$	11,651,980	$	16,727,899	$	(28,379,879	)	$	11,685,188
Non-controlling interest in equity of consolidated subsidiaries	—		1,344,500		634,244		—			1,978,744
Total shareholders’ equity	$	11,685,188	$	12,996,480	$	17,362,143	$	(28,379,879	)	$	13,663,932
Total liabilities and shareholders’ equity	$	11,692,456	$	17,670,733	$	62,201,310	$	(30,366,259	)	$	61,198,240

____________


(1)	The Company maintains a notional multi-currency cash pool with a third-party bank. At June 30, 2016, the cash pool balance of one or more entities was negative and reflected as part of Other Liabilities. Overall, the pool balance maintained by the Company is positive.



	December 31, 2015
Condensed Consolidating Balance Sheet (U.S. dollars in thousands, except share data)	XL- Ireland		XL-Cayman		Other XL-Ireland Subsidiaries		Consolidating Adjustments and Eliminations			XL-Ireland Consolidated
ASSETS
Investments:
Total investments available for sale	$	—	$	516,425	$	33,237,473	$	—		$	33,753,898
Total investments trading	—		—		1,296,029		—			1,296,029
Investments in affiliates	—		—		1,708,899		—			1,708,899
Other investments	—		877		1,432,180		—			1,433,057
Total investments	$	—	$	517,302	$	37,674,581	$	—		$	38,191,883
Cash and cash equivalents	11,557		369,997		2,874,682		—			3,256,236
Restricted cash	—		—		154,992		—			154,992
Investments in subsidiaries	11,648,673		15,836,651		—		(27,485,324		)	—
Accrued investment income	—		2,323		310,344		—			312,667
Deferred acquisition costs and value of business acquired	—		—		890,568		—			890,568
Ceded unearned premiums	—		—		1,821,793		—			1,821,793
Premiums receivable	—		—		4,712,493		—			4,712,493
Reinsurance balances receivable	—		—		418,666		—			418,666
Unpaid losses and loss expenses recoverable	—		—		5,262,706		—			5,262,706
Receivable from investments sold	—		—		231,158		—			231,158
Goodwill and other intangible assets	—		—		2,210,266		—			2,210,266
Deferred tax asset	—		—		282,311		—			282,311
Amounts due from subsidiaries/parent	33,417		—		1,054,177		(1,087,594		)	—
Other assets	2,748		44,570		889,881		—			937,199
Total assets	$	11,696,395	$	16,770,843	$	58,788,618	$	(28,572,918	)	$	58,682,938

LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities:
Unpaid losses and loss expenses	$	—	$	—	$	25,439,744	$	—		$	25,439,744
Deposit liabilities	—		—		1,168,376		—			1,168,376
Future policy benefit reserves	—		—		4,163,500		—			4,163,500
Funds withheld on GreyCastle life retrocession arrangements	—		—		914,629		—			914,629
Unearned premiums	—		—		7,043,358		—			7,043,358
Notes payable and debt	—		2,644,970		—		—			2,644,970
Reinsurance balances payable	—		—		2,117,727		—			2,117,727
Payable for investments purchased	—		—		130,060		—			130,060
Deferred tax liability	—		—		120,651		—			120,651
Amounts due to subsidiaries/parent	—		1,087,594		—		(1,087,594		)	—
Other liabilities	19,316		45,106		1,221,038		—			1,285,460
Total liabilities	$	19,316	$	3,777,670	$	42,319,083	$	(1,087,594	)	$	45,028,475

Shareholders’ Equity:
Shareholders’ equity attributable to XL Group plc	$	11,677,079	$	11,648,673	$	15,836,651	$	(27,485,324	)	$	11,677,079
Non-controlling interest in equity of consolidated subsidiaries	—		1,344,500		632,884		—			1,977,384
Total shareholders’ equity	$	11,677,079	$	12,993,173	$	16,469,535	$	(27,485,324	)	$	13,654,463
Total liabilities and shareholders’ equity	$	11,696,395	$	16,770,843	$	58,788,618	$	(28,572,918	)	$	58,682,938

Guarantor income statement



	Three Months Ended June 30, 2016
Condensed Consolidating Statement of Income and Comprehensive Income (U.S. dollars in thousands, except per share data)	XL- Ireland			XL-Cayman			Other XL-Ireland Subsidiaries			Consolidating Adjustments and Eliminations			XL-Ireland Consolidated
Revenues:
Net premiums earned	$	—		$	—		$	2,532,212		$	—		$	2,532,212
Total net investment income	64			3,096			211,747			481			215,388
Total net realized gains (losses) on investments	—			976			103,274			367			104,617
Net realized and unrealized gains (losses) on derivative instruments	—			—			906			—			906
Net realized and unrealized gains (losses) on life retrocession embedded derivative and derivative instruments - Life Funds Withheld Assets	—			—			(229,742		)	—			(229,742		)
Income (loss) from investment fund affiliates	—			—			13,179			—			13,179
Fee income and other	—			—			10,862			—			10,862
Total revenues	$	64		$	4,072		$	2,642,438		$	848		$	2,647,422
Expenses:
Net losses and loss expenses incurred	$	—		$	—		$	1,632,386		$	—		$	1,632,386
Claims and policy benefits	—			—			5,482			—			5,482
Acquisition costs	—			—			420,520			—			420,520
Operating expenses	(499		)	1,071			521,949			—			522,521
Exchange (gains) losses	(470		)	(136		)	(18,494		)	—			(19,100		)
Interest expense	(9		)	35,177			20,570			—			55,738
Total expenses	$	(978	)	$	36,112		$	2,582,413		$	—		$	2,617,547
Income (loss) before income tax and income (loss) from operating affiliates	$	1,042		$	(32,040	)	$	60,025		$	848		$	29,875
Income (loss) from operating affiliates	—			—			21,418			—			21,418
Gain on sale of operating affiliate	—			—			—			—			—
Equity in net earnings (losses) of subsidiaries	42,740			78,114			—			(120,854		)	—
Provision (benefit) for income tax	—			—			2,467			—			2,467
Net income (loss)	$	43,782		$	46,074		$	78,976		$	(120,006	)	$	48,826
Non-controlling interests	—			3,334			1,710			—			5,044
Net income (loss) attributable to ordinary shareholders	$	43,782		$	42,740		$	77,266		$	(120,006	)	$	43,782

Comprehensive income (loss)	$	357,812		$	356,770		$	391,296		$	(748,066	)	$	357,812



	Three Months Ended June 30, 2015
Condensed Consolidating Statement of Income and Comprehensive Income (U.S. dollars in thousands, except per share data)	XL- Ireland			XL-Cayman			Other XL-Ireland Subsidiaries			Consolidating Adjustments and Eliminations			XL-Ireland Consolidated
Revenues:
Net premiums earned	$	—		$	—		$	2,082,053		$	—		$	2,082,053
Total net investment income	54			2,668			220,018			464			223,204
Total net realized gains (losses) on investments	—			2,532			44,956			2,479			49,967
Net realized and unrealized gains (losses) on derivative instruments	—			76,065			(27,556		)	—			48,509
Net realized and unrealized gains (losses) on life retrocession embedded derivative and derivative instruments - Life Funds Withheld Assets	—			—			239,174			—			239,174
Income (loss) from investment fund affiliates	—			—			31,377			—			31,377
Fee income and other	—			—			11,012			—			11,012
Total revenues	$	54		$	81,265		$	2,601,034		$	2,943		$	2,685,296
Expenses:
Net losses and loss expenses incurred	$	—		$	—		$	1,151,195		$	—		$	1,151,195
Claims and policy benefits	—			—			22,081			—			22,081
Acquisition costs	—			—			341,617			—			341,617
Operating expenses	2,954			2,442			501,958			—			507,354
Exchange (gains) losses	(9		)	(51		)	10,434			—			10,374
Interest expense	1			34,701			14,965			—			49,667
Total expenses	$	2,946		$	37,092		$	2,042,250		$	—		$	2,082,288
Income (loss) before income tax and income (loss) from operating affiliates	$	(2,892	)	$	44,173		$	558,784		$	2,943		$	603,008
Income (loss) from operating affiliates	—			—			9,462			—			9,462
Gain on sale of operating affiliate	—			—			340,407			—			340,407
Equity in net earnings (losses) of subsidiaries	917,931			876,763			—			(1,794,694		)	—
Provision (benefit) for income tax	—			—			32,959			—			32,959
Net income (loss)	$	915,039		$	920,936		$	875,694		$	(1,791,751	)	$	919,918
Non-controlling interests	—			3,005			1,874			—			4,879
Net income (loss) attributable to ordinary shareholders	$	915,039		$	917,931		$	873,820		$	(1,791,751	)	$	915,039

Comprehensive income (loss)	$	286,043		$	288,935		$	244,824		$	(533,759	)	$	286,043



	Six Months Ended June 30, 2016
Condensed Consolidating Statement of Income and Comprehensive Income (U.S. dollars in thousands, except per share data)	XL- Ireland			XL-Cayman			Other XL-Ireland Subsidiaries			Consolidating Adjustments and Eliminations			XL-Ireland Consolidated
Revenues:
Net premiums earned	$	—		$	—		$	4,886,822		$	—		$	4,886,822
Total net investment income	177			4,881			415,054			1,162			421,274
Total net realized gains (losses) on investments	—			1,253			194,214			1,900			197,367
Net realized and unrealized gains (losses) on derivative instruments	—			—			(2,716		)	—			(2,716		)
Net realized and unrealized gains (losses) on life retrocession embedded derivative and derivative instruments - Life Funds Withheld Assets	—			—			(465,822		)	—			(465,822		)
Income (loss) from investment fund affiliates	—			—			8,600			—			8,600
Fee income and other	—			—			19,124			—			19,124
Total revenues	$	177		$	6,134		$	5,055,276		$	3,062		$	5,064,649
Expenses:
Net losses and loss expenses incurred	$	—		$	—		$	3,014,871		$	—		$	3,014,871
Claims and policy benefits	—			—			10,419			—			10,419
Acquisition costs	—			—			823,787			—			823,787
Operating expenses	2,775			2,566			1,032,561			—			1,037,902
Exchange (gains) losses	(453		)	(172		)	(52,294		)	—			(52,919		)
Interest expense	(15		)	70,346			37,710			—			108,041
Total expenses	$	2,307		$	72,740		$	4,867,054		$	—		$	4,942,101
Income (loss) before income tax and income (loss) from operating affiliates	$	(2,130	)	$	(66,606	)	$	188,222		$	3,062		$	122,548
Income (loss) from operating affiliates	—			—			34,068			—			34,068
Gain on sale of operating affiliate	—			—			—			—			—
Equity in net earnings (losses) of subsidiaries	67,177			172,894			—			(240,071		)	—
Provision (benefit) for income tax	(620		)	—			25,382			—			24,762
Net income (loss)	$	65,667		$	106,288		$	196,908		$	(237,009	)	$	131,854
Non-controlling interests	—			39,111			27,076			—			66,187
Net income (loss) attributable to ordinary shareholders	$	65,667		$	67,177		$	169,832		$	(237,009	)	$	65,667

Comprehensive income (loss)	$	787,638		$	789,148		$	891,803		$	(1,680,951	)	$	787,638



	Six Months Ended June 30, 2015
Condensed Consolidating Statement of Income and Comprehensive Income (U.S. dollars in thousands, except per share data)	XL- Ireland			XL-Cayman			Other XL-Ireland Subsidiaries		Consolidating Adjustments and Eliminations			XL-Ireland Consolidated
Revenues:
Net premiums earned	$	—		$	—		$	3,416,053	$	—		$	3,416,053
Total net investment income	134			5,700			423,635		2,248			431,717
Total net realized gains (losses) on investments	—			3,801			97,793		1,264			102,858
Net realized and unrealized gains (losses) on derivative instruments	—			12,365			52,665		—			65,030
Net realized and unrealized gains (losses) on life retrocession embedded derivative and derivative instruments - Life Funds Withheld Assets	—			—			9,807		—			9,807
Income (loss) from investment fund affiliates	—			—			66,706		—			66,706
Fee income and other	—			—			15,740		—			15,740
Total revenues	$	134		$	21,866		$	4,082,399	$	3,512		$	4,107,911
Expenses:
Net losses and loss expenses incurred	$	—		$	—		$	1,921,022	$	—		$	1,921,022
Claims and policy benefits	—			—			41,468		—			41,468
Acquisition costs	—			—			495,313		—			495,313
Operating expenses	5,716			5,442			821,852		—			833,010
Exchange (gains) losses	(271		)	(18		)	38,053		—			37,764
Interest expense	1			72,474			28,630		—			101,105
Total expenses	$	5,446		$	77,898		$	3,346,338	$	—		$	3,429,682
Income (loss) before income tax and income (loss) from operating affiliates	$	(5,312	)	$	(56,032	)	$	736,061	$	3,512		$	678,229
Income (loss) from operating affiliates	—			—			32,130		—			32,130
Gain on sale of operating affiliate	—			—			340,407		—			340,407
Equity in net earnings (losses) of subsidiaries	956,416			1,051,189			—		(2,007,605		)	—
Provision (benefit) for income tax	(216		)	245			57,148		—			57,177
Net income (loss)	$	951,320		$	994,912		$	1,051,450	$	(2,004,093	)	$	993,589
Non-controlling interests	—			38,496			3,773		—			42,269
Net income (loss) attributable to ordinary shareholders	$	951,320		$	956,416		$	1,047,677	$	(2,004,093	)	$	951,320

Comprehensive income (loss)	$	543,036		$	548,132		$	639,393	$	(1,187,525	)	$	543,036

Guarantor cash flow



	Six Months Ended June 30, 2016
Condensed Consolidating Statement of Cash Flows (U.S. dollars in thousands)	XL-Ireland			XL-Cayman			Other XL-Ireland Subsidiaries			Consolidating Adjustments and Eliminations			XL-Ireland Consolidated
Cash flows provided by (used in) operating activities:
Net cash provided by (used in) operating activities	$	665,895		$	656,809		$	(500,387	)	$	(655,063	)	$	167,254
Cash flows provided by (used in) investing activities:
Proceeds from sale of fixed maturities and short-term investments	$	—		$	231,600		$	7,796,365		$	(578,010	)	$	7,449,955
Proceeds from redemption of fixed maturities and short-term investments	—			42,744			2,045,573			—			2,088,317
Proceeds from sale of equity securities	—			—			114,958			—			114,958
Purchases of fixed maturities and short-term investments	—			(515,794		)	(8,418,324		)	578,010			(8,356,108		)
Purchases of equity securities	—			—			(255,442		)	—			(255,442		)
Proceeds from sale of affiliates	—			—			153,928			—			153,928
Purchases of affiliates	—			—			(408,886		)	—			(408,886		)
Purchase of Allied International Holdings, Inc., net of acquired cash	—			—			(69,745		)	—			(69,745		)
Returns of capital from subsidiaries	132,374			—			—			(132,374		)	—
Change in restricted cash	—			—			(26,866		)	—			(26,866		)
Other, net	—			—			108,095			—			108,095
Net cash provided by (used in) investing activities	$	132,374		$	(241,450	)	$	1,039,656		$	(132,374	)	$	798,206
Cash flows provided by (used in) financing activities:
Proceeds from issuance of ordinary shares and exercise of stock options	$	1,727		$	—		$	—		$	—		$	1,727
Buybacks of ordinary shares	(684,386		)	—			—			—			(684,386		)
Dividends paid on ordinary shares	(113,731		)	(655,063		)	—			655,063			(113,731		)
Return of capital				(132,374		)	—			132,374			—
Distributions to non-controlling interests	—			(38,862		)	(26,820		)	—			(65,682		)
Contributions from non-controlling interests	—			—			1,130			—			1,130
Proceeds from issuance of debt	—			—			—			—			—
Repayment of debt	—			—			(8,248		)	—			(8,248		)
Net proceeds from affiliated notional cash pooling programs (1)	—			174,654			—			(174,654		)	—
Deposit liabilities	—			—			(14,807		)	—			(14,807		)
Net cash provided by (used in) financing activities	$	(796,390	)	$	(651,645	)	$	(48,745	)	$	612,783		$	(883,997	)
Effects of exchange rate changes on foreign currency cash	—			—			(20,950		)	—			(20,950		)
Increase (decrease) in cash and cash equivalents	$	1,879		$	(236,286	)	$	469,574		$	(174,654	)	$	60,513
Cash and cash equivalents – beginning of period	11,557			369,997			2,874,682			—			3,256,236
Cash and cash equivalents – end of period	$	13,436		$	133,711		$	3,344,256		$	(174,654	)	$	3,316,749

____________


(1)	Net proceeds from affiliated notional cash pooling arrangements reflect the net impact of bank transfers to settle overdraft positions within the Company's multi-currency cash pool.



	Six Months Ended June 30, 2015
Condensed Consolidating Statement of Cash Flows (U.S. dollars in thousands)	XL- Ireland			XL-Cayman			Other XL-Ireland Subsidiaries			Consolidating Adjustments and Eliminations			XL-Ireland Consolidated
Cash flows provided by (used in) operating activities:
Net cash provided by (used in) operating activities	$	80,185		$	1,241,157		$	(1,175,887	)	$	(124,951	)	$	20,504
Cash flows provided by (used in) investing activities:
Proceeds from sale of fixed maturities and short-term investments	$	—		$	1,407,859		$	5,261,230		$	(316,963	)	$	6,352,126
Proceeds from redemption of fixed maturities and short-term investments	—			144,867			1,793,755			—			1,938,622
Proceeds from sale of equity securities	—			—			271,367			—			271,367
Purchases of fixed maturities and short-term investments	—			(1,132,590		)	(7,226,569		)	316,963			(8,042,196		)
Purchases of equity securities	—			—			(239,535		)	—			(239,535		)
Proceeds from sale of affiliates	—			—			86,156			—			86,156
Purchases of affiliates	—			—			(33,298		)	—			(33,298		)
Purchase of Catlin Group Limited, net of acquired cash	(2,287,579		)	(2,317,699		)	1,267,564			2,317,699			(1,020,015		)
Proceeds from sale of subsidiary	2,317,699			—			—			(2,317,699		)	—
Proceeds from sale of ARX Holding Corp.	—			—			560,552			—			560,552
Returns of capital from subsidiaries	65,037			—			—			(65,037		)	—
Change in restricted cash	—			—			(135,638		)	—			(135,638		)
Other, net	—			—			(87,516		)	—			(87,516		)
Net cash provided by (used in) investing activities	$	95,157		$	(1,897,563	)	$	1,518,068		$	(65,037	)	$	(349,375	)
Cash flows provided by (used in) financing activities:
Proceeds from issuance of ordinary shares and exercise of stock options	$	4,827		$	—		$	—		$	—		$	4,827
Buybacks of ordinary shares	(112,385		)	—			—			—			(112,385		)
Dividends paid on ordinary shares	(89,053		)	(124,951		)	—			124,951			(89,053		)
Return of capital	—			(65,037		)	—			65,037			—
Distributions to non-controlling interests	—			(38,487		)	(14,969		)	—			(53,456		)
Contributions from non-controlling interests	—			—			4,658			—			4,658
Proceeds from issuance of debt	—			980,600			—			—			980,600
Repayment of debt	—			—			—			—			—
Net proceeds from affiliated notional cash pooling programs (1)	—			(43,293		)	—			43,293			—
Deposit liabilities	—			—			(49,388		)	—			(49,388		)
Net cash provided by (used in) financing activities	$	(196,611	)	$	708,832		$	(59,699	)	$	233,281		$	685,803
Effects of exchange rate changes on foreign currency cash	—			—			(37,905		)	—			(37,905		)
Increase (decrease) in cash and cash equivalents	$	(21,269	)	$	52,426		$	244,577		$	43,293		$	319,027
Cash and cash equivalents – beginning of period	22,443			86,263			2,456,401			(43,293		)	2,521,814
Cash and cash equivalents – end of period	$	1,174		$	138,689		$	2,700,978		$	—		$	2,840,841