Reinsurance (Tables)

3 Months Ended

Mar. 31, 2018

Reinsurance Disclosures [Abstract]

Effect of reinsurance agreement

The effect of all of our reinsurance agreements on premiums earned and losses incurred is shown in table 4.1 below.

	Table	4.1
Reinsurance			Three Months Ended March 31,
	(In thousands)		2018			2017
	Premiums earned:
	Direct		$	265,251		$	259,428
	Assumed		121			98
	Ceded		(33,265		)	(30,423		)
	Net premiums earned		$	232,107		$	229,103
	Losses incurred:
	Direct		$	31,501		$	32,413
	Assumed		90			105
	Ceded		(7,741		)	(4,899		)
	Losses incurred, net		$	23,850		$	27,619

Effect of quota share reinsurance agreements on premiums earned and losses incurred

Table 4.2 below presents a summary of our quota share reinsurance agreements, excluding captive agreements (which were immaterial), for the three months ended March 31,2018 and 2017.

	Table	4.2
Quota share reinsurance			Three Months Ended March 31,
	(In thousands)		2018		2017
	Ceded premiums written and earned, net of profit commission (1)		$	33,036	$	28,895
	Ceded losses incurred		7,788		4,687
	Ceding commissions (2)		12,645		12,003
	Profit commission		30,189		31,117

⁽¹⁾  Under our QSR Transactions, premiums are ceded on an earned and received basis as defined in the agreements.

⁽²⁾  Ceding commissions are reported within Other underwriting and operating expenses, net on the consolidated statements of operations.