Reserve for Property and Casualty Insurance Claims and Claims Expense (Tables)

9 Months Ended

Sep. 30, 2022

Reserve for Property-Liability Insurance Claims and Claims Expense [Abstract]

Schedule of liability for unpaid claims and claims adjustment expense

Rollforward of the reserve for property and casualty insurance claims and claims expense
	Nine months ended September 30,
($ in millions)	2022		2021
Balance as of January 1	$	33,060	$	27,610
Less recoverables (1)	(9,479)		(7,033)
Net balance as of January 1	23,581		20,577
National General acquisition as of January 4, 2021	—		1,797
Incurred claims and claims expense related to:
Current year	25,792		21,579
Prior years	1,470		(65)
Total incurred	27,262		21,514
Claims and claims expense paid related to:
Current year	(14,020)		(12,539)
Prior years	(9,850)		(8,098)
Total paid	(23,870)		(20,637)
Net balance as of September 30	26,973		23,251
Plus recoverables	9,556		10,035
Balance as of September 30	$	36,529	$	33,286

(1)Recoverables comprises reinsurance and indemnification recoverables.

Prior year reserve reestimates included in claims and claims expense (1)
	Non-catastrophe losses				Catastrophe losses				Total
($ in millions)	2022		2021		2022		2021 (2) (3)		2022		2021
Three months ended September 30,
Auto	$	643	$	77	$	(11)	$	(5)	$	632	$	72
Homeowners	51		14		4		3		55		17
Other personal lines	(2)		(66)		(3)		—		(5)		(66)
Commercial lines	63		24		1		1		64		25
Run-off Property-Liability (4)	120		113		—		—		120		113
Protection Services	—		—		—		—		—		—
Total prior year reserve reestimates	$	875	$	162	$	(9)	$	(1)	$	866	$	161
Nine months ended September 30,
Auto	$	1,069	$	31	$	(58)	$	(28)	$	1,011	$	3
Homeowners	95		12		82		(168)		177		(156)
Other personal lines	(18)		(69)		4		(14)		(14)		(83)
Commercial lines	174		55		1		3		175		58
Run-off Property-Liability (4)	124		115		—		—		124		115
Protection Services	(3)		(2)		—		—		(3)		(2)
Total prior year reserve reestimates	$	1,441	$	142	$	29	$	(207)	$	1,470	$	(65)

(1)Favorable reserve reestimates are shown in parentheses.

(2)Included approximately $40 million and $240 million of estimated recoveries related to Nationwide Aggregate Reinsurance Program cover for aggregate catastrophe losses occurring between April 1, 2020 and December 31, 2020, for the three and nine months ended 2021, respectively, which primarily impacted homeowners reestimates.

(3)Included approximately $110 million favorable subrogation settlements arising from the Woolsey wildfire, which primarily impacted homeowners reestimates, for the nine months ended 2021.

(4)The Company’s 2022 and 2021 annual reserve reviews, using established industry and actuarial practices, resulted in unfavorable reestimates of $118 million and $111 million, respectively.