Reinsurance and Indemnification (Tables)

6 Months Ended

Jun. 30, 2022

Schedule of reductions to costs and expenses due to reinsurance ceded amounts


Effects of reinsurance ceded and indemnification programs on property and casualty premiums earned and accident and health insurance premiums and contract charges
($ in millions)	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Property and casualty insurance premiums earned	$	(456)	$	(538)	$	(883)	$	(1,046)
Accident and health insurance premiums and contract charges	(9)		(24)		(17)		(48)


Effects of reinsurance ceded and indemnification programs on property and casualty insurance claims and claims expense and accident, health and other policy benefits
($ in millions)	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Property and casualty insurance claims and claims expense (1) (2)	$	(406)	$	(158)	$	(515)	$	(1,751)
Accident, health and other policy benefits	(9)		(26)		(16)		(55)

(1)Ceded losses incurred included $44 million and $450 million related to the Michigan Catastrophic Claims Association for the six months ended June 30, 2022 and 2021, respectively.

(2)Included approximately $675 million of ceded losses related to the Nationwide Catastrophe Reinsurance Program for the six months ended June 30, 2021.

Schedule of reinsurance recoverable for paid and unpaid claims

Reinsurance and indemnification recoverables


Reinsurance and indemnification recoverables, net
($ in millions)	June 30, 2022		December 31, 2021
Property and casualty
Paid and due from reinsurers and indemnitors	$	285	$	391
Unpaid losses estimated (including IBNR)	8,950		9,479
Total property and casualty	$	9,235	$	9,870

Accident and health insurance	141		154
Total	$	9,376	$	10,024

Rollforward of credit loss allowance for reinsurance recoverables


Rollforward of credit loss allowance for reinsurance recoverables
($ in millions)	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Property and casualty (1) (2)
Beginning balance	$	(66)	$	(60)	$	(66)	$	(59)
Increase in the provision for credit losses	—		—		—		(1)
Write-offs	—		—		—		—
Ending balance	$	(66)	$	(60)	$	(66)	$	(60)

Accident and health insurance
Beginning balance	$	(8)	$	(1)	$	(8)	$	(1)

Increase in the provision for credit losses	—		—		—		—
Write-offs	—		—		—		—
Ending balance	$	(8)	$	(1)	$	(8)	$	(1)

(1)Primarily related to Run-off Property-Liability reinsurance ceded.

(2)Indemnification recoverables are considered collectible based on the industry pool and facility enabling legislation.