Fair Value (Tables)

6 Months Ended

Jun. 30, 2011

Financial instruments measured at fair value and categorized between Levels 1, 2 and 3

			Quoted prices in				Significant
			active markets for		Significant other		unobservable
			identical assets		observable inputs		inputs
June 30, 2011			(Level 1)		(Level 2)		(Level 3)		Total
Fixed maturities
	U.S. government and agencies		$	—	$	1,486,790	$	86,782	$	1,573,572
	Non-U.S. sovereign government,
		supranational and government related		—		3,258,355		—		3,258,355
	Corporate			—		5,713,985		116,428		5,830,413
	Asset-backed securities			—		394,046		261,843		655,889
	Residential mortgage-backed securities			—		2,999,005		—		2,999,005
	Other mortgage-backed securities			—		89,710		1		89,711
Fixed maturities			$	—	$	13,941,891	$	465,054	$	14,406,945
Short-term investments			$	—	$	212,769	$	2,923	$	215,692
Equities
	Consumer noncyclical		$	138,638	$	178	$	—	$	138,816
	Energy			96,782		1,051		—		97,833
	Finance			89,054		617		163		89,834
	Technology			78,939		—		—		78,939
	Communications			76,188		33		—		76,221
	Industrials			71,405		—		—		71,405
	Consumer cyclical			57,087		86		—		57,173
	Insurance			38,447		—		—		38,447
	Other			70,343		408		—		70,751
	Mutual funds and exchange traded funds			58,736		210,216		6,542		275,494
Equities			$	775,619	$	212,589	$	6,705	$	994,913
Other invested assets
	Derivative assets
		Foreign exchange forward contracts	$	—	$	11,634	$	—	$	11,634
		Foreign currency option contracts		—		2,921		—		2,921
		Futures contracts		6,179		219		—		6,398
		Credit default swaps (protection purchased)		—		4		—		4
		Credit default swaps (assumed risks)		—		906		—		906
		Insurance-linked securities		23		—		251		274
		Total return swaps		—		379		4,306		4,685
		Interest rate swaps		—		52		—		52
	Other assets			—		—		74,018		74,018
	Derivative liabilities
		Foreign exchange forward contracts		—		(4,512)		—		(4,512)
		Foreign currency option contracts		—		(470)		—		(470)
		Futures contracts		(19,126)		(487)		—		(19,613)
		Credit default swaps (protection purchased)		—		(2,162)		—		(2,162)
		Insurance-linked securities		(493)		—		(14,633)		(15,126)
		Total return swaps		—		—		(11,459)		(11,459)
		Interest rate swaps		—		(5,203)		—		(5,203)
	Other liabilities			—		(1,570)		—		(1,570)
Other invested assets			$	(13,417)	$	1,711	$	52,483	$	40,777
Funds held – directly managed
	U.S. government and agencies		$	—	$	230,481	$	355	$	230,836
	Non-U.S. sovereign government,
		supranational and government related		—		313,284		—		313,284
	Corporate			—		550,644		—		550,644
	Short-term investments			—		42,330		—		42,330
	Other invested assets			—		—		21,720		21,720
Funds held – directly managed			$	—	$	1,136,739	$	22,075	$	1,158,814
Total			$	762,202	$	15,505,699	$	549,240	$	16,817,141

			Quoted prices in				Significant
			active markets for		Significant other		unobservable
			identical assets		observable inputs		inputs
December 31, 2010			(Level 1)		(Level 2)		(Level 3)		Total
Fixed maturities
	U.S. government and agencies		$	—	$	917,600	$	55,124	$	972,724
	Non-U.S. sovereign government,
		supranational and government related		—		2,819,193		—		2,819,193
	Corporate			—		6,066,865		76,982		6,143,847
	Asset-backed securities			—		343,518		213,139		556,657
	Residential mortgage-backed securities			—		2,305,525		—		2,305,525
	Other mortgage-backed securities			—		26,153		290		26,443
Fixed maturities			$	—	$	12,478,854	$	345,535	$	12,824,389
Short-term investments			$	—	$	49,397	$	—	$	49,397
Equities
	Consumer noncyclical		$	186,016	$	—	$	—	$	186,016
	Technology			119,214		—		—		119,214
	Energy			118,372		—		—		118,372
	Finance			112,309		—		2,486		114,795
	Communications			110,982		—		—		110,982
	Industrials			100,572		—		—		100,572
	Consumer cyclical			81,595		—		—		81,595
	Insurance			48,611		—		—		48,611
	Other			90,220		—		—		90,220
	Mutual funds and exchange traded funds			60,372		—		40,927		101,299
Equities			$	1,028,263	$	—	$	43,413	$	1,071,676
Other invested assets
	Derivative assets
		Foreign exchange forward contracts	$	—	$	27,880	$	—	$	27,880
		Foreign currency option contracts		—		3,516		—		3,516
		Futures contracts		30,593		—		—		30,593
		Credit default swaps (protection purchased)		—		93		—		93
		Credit default swaps (assumed risks)		—		533		—		533
		Insurance-linked securities		1,320		—		—		1,320
		Total return swaps		—		449		5,592		6,041
		Interest rate swaps		—		246		—		246
	Other assets			—		—		86,278		86,278
	Derivative liabilities
		Foreign exchange forward contracts		—		(13,647)		—		(13,647)
		Futures contracts		(7,956)		—		—		(7,956)
		Credit default swaps (protection purchased)		—		(2,407)		—		(2,407)
		Credit default swaps (assumed risks)		—		(401)		—		(401)
		Insurance-linked securities		(695)		—		(698)		(1,393)
		Total return swaps		—		—		(12,848)		(12,848)
		Interest rate swaps		—		(6,033)		—		(6,033)
	Other liabilities			—		(441)		—		(441)
Other invested assets			$	23,262	$	9,788	$	78,324	$	111,374
Funds held – directly managed
	U.S. government and agencies		$	—	$	288,164	$	368	$	288,532
	Non-U.S. sovereign government,
		supranational and government related		—		384,553		—		384,553
	Corporate			—		798,587		—		798,587
	Mortgage/asset-backed securities			—		—		12,118		12,118
	Short-term investments			—		38,613		—		38,613
	Other invested assets			—		—		20,528		20,528
Funds held – directly managed			$	—	$	1,509,917	$	33,014	$	1,542,931
Total			$	1,051,525	$	14,047,956	$	500,286	$	15,599,767

Reconciliation of beginning and ending balances for all financial instruments measured at fair value using Level 3 inputs

															Change in
						Realized and										unrealized
						unrealized										investment
						investment						Net				gains (losses)
				Balance at		gains (losses)						transfers		Balance		relating to
For the three months ended			beginning		included in						(out of)/into		at end		assets held at
June 30, 2011			of period		net income		Purchases		Sales		Level 3 ^(a)		of period		end of period
Fixed maturities
	U.S. government and agencies		$	55,929	$	819	$	30,064	$	(30)	$	—	$	86,782	$	819
	Corporate			115,107		2,049		84		(812)		—		116,428		2,049
	Asset-backed securities			262,408		7,707		47,130		(55,402)		—		261,843		(2,660)
	Residential mortgage-backed
		securities		4,301		846		—		(5,147)		—		—		—
	Other mortgage-backed securities			576		(191)		—		(384)		—		1		(166)
Fixed maturities			$	438,321	$	11,230	$	77,278	$	(61,775)	$	—	$	465,054	$	42
Short-term investments			$	1,204	$	(730)	$	2,449	$	—	$	—	$	2,923	$	(730)
Equities
	Finance		$	161	$	2	$	—	$	—	$	—	$	163	$	2
	Mutual funds and exchange
		traded funds		41,451		594		—		(35,503)		—		6,542		(804)
Equities			$	41,612	$	596	$	—	$	(35,503)	$	—	$	6,705	$	(802)
Other invested assets
	Derivatives, net		$	(17,042)	$	322	$	(4,815)	$	—	$	—	$	(21,535)	$	234
	Other			84,662		(1,303)		3,568		(12,909)		—		74,018		(1,016)
Other invested assets			$	67,620	$	(981)	$	(1,247)	$	(12,909)	$	—	$	52,483	$	(782)
Funds held – directly managed
	U.S. government and agencies		$	366	$	(11)	$	—	$	—	$	—	$	355	$	(11)
	Other invested assets			22,456		(736)		—		—		—		21,720		(736)
Funds held – directly managed			$	22,822	$	(747)	$	—	$	—	$	—	$	22,075	$	(747)
Total			$	571,579	$	9,368	$	78,480	$	(110,187)	$	—	$	549,240	$	(3,019)
____________
(a) The Company’s policy is to recognize the transfers between the hierarchy levels at the beginning of the period.

				Realized and								Change in
					unrealized								unrealized
					investment		Net		Net				investment gains
			Balance at		gains (losses)		purchases,		transfers		Balance		(losses) relating
For the three months ended		beginning		included in		sales and		(out of)/into		at end of		to assets held
June 30, 2010		of period		net income		settlements		Level 3 ^(a)		period		at end of period
Fixed maturities
	U.S. government and agencies	$	9,720	$	272	$	7	$	—	$	9,999	$	272
	Corporate		10,057		300		5,080		—		15,437		300
	Asset-backed securities		84,984		7,359		133,615		—		225,958		7,359
	Residential mortgage-backed securities		95,029		—		(95,029)		—		—		—
	Other mortgage-backed securities		811		123		(80)		—		854		123
Fixed maturities		$	200,601	$	8,054	$	43,593	$	—	$	252,248	$	8,054
Equities
	Finance	$	2,459	$	(1,039)	$	695	$	—	$	2,115	$	(1,039)
	Mutual funds and exchange traded funds		35,670		(1,058)		5,000		—		39,612		(1,058)
Equities		$	38,129	$	(2,097)	$	5,695	$	—	$	41,727	$	(2,097)
Other invested assets
	Derivatives, net	$	(7,998)	$	1,772	$	(8,353)	$	—	$	(14,579)	$	1,772
	Other		25,918		(253)		24,624		—		50,289		(253)
Other invested assets		$	17,920	$	1,519	$	16,271	$	—	$	35,710	$	1,519
Funds held – directly managed
	U.S. government and agencies	$	204	$	153	$	—	$	—	$	357	$	153
	Mortgage/asset-backed securities		13,260		(683)		—		—		12,577		(683)
	Other invested assets		30,348		(3,523)		—		—		26,825		(3,523)
Funds held – directly managed		$	43,812	$	(4,053)	$	—	$	—	$	39,759	$	(4,053)
Total		$	300,462	$	3,423	$	65,559	$	—	$	369,444	$	3,423

															Change in
						Realized and										unrealized
						unrealized										investment
						investment						Net				gains (losses)
				Balance at		gains (losses)						transfers		Balance		relating to
For the six months ended			beginning		included in						into		at end		assets held at
June 30, 2011			of period		net loss		Purchases		Sales		Level 3 ^(a)		of period		end of period
Fixed maturities
	U.S. government and agencies		$	55,124	$	1,624	$	30,064	$	(30)	$	—	$	86,782	$	1,624
	Corporate			76,982		(37,066)		40,878		(4,546)		40,180		116,428		2,368
	Asset-backed securities			213,139		10,678		101,644		(63,618)		—		261,843		4,257
	Residential mortgage-backed
		securities		—		1,385		4,212		(5,597)		—		—		—
	Other mortgage-backed securities			290		(224)		408		(473)		—		1		(203)
Fixed maturities			$	345,535	$	(23,603)	$	177,206	$	(74,264)	$	40,180	$	465,054	$	8,046
Short-term investments			$	—	$	(1,069)	$	3,992	$	—	$	—	$	2,923	$	(1,069)
Equities
	Finance		$	2,486	$	239	$	—	$	(2,562)	$	—	$	163	$	13
	Mutual funds and exchange
		traded funds		40,927		1,242		—		(35,627)		—		6,542		(382)
Equities			$	43,413	$	1,481	$	—	$	(38,189)	$	—	$	6,705	$	(369)
Other invested assets
	Derivatives, net		$	(7,954)	$	(8,803)	$	(4,778)	$	—	$	—	$	(21,535)	$	(8,893)
	Other			86,278		(3,207)		6,548		(15,601)		—		74,018		(2,497)
Other invested assets			$	78,324	$	(12,010)	$	1,770	$	(15,601)	$	—	$	52,483	$	(11,390)
Funds held – directly managed
	U.S. government and agencies		$	368	$	(13)	$	—	$	—	$	—	$	355	$	(13)
	Mortgage/asset-backed securities			12,118		(150)		—		(11,968)		—		—		—
	Other invested assets			20,528		1,192		—		—		—		21,720		1,192
Funds held – directly managed			$	33,014	$	1,029	$	—	$	(11,968)	$	—	$	22,075	$	1,179
Total			$	500,286	$	(34,172)	$	182,968	$	(140,022)	$	40,180	$	549,240	$	(3,603)

					Realized and								Change in
						unrealized								unrealized
						investment		Net		Net				investment gains
				Balance at		gains (losses)		purchases,		transfers		Balance		(losses) relating
For the six months ended			beginning		included in		sales and		(out of)/into		at end of		to assets held
June 30, 2010			of period		net income		settlements		Level 3 ^(a)		period		at end of period
Fixed maturities
	U.S. government and agencies		$	4,286	$	272	$	9,727	$	(4,286)	$	9,999	$	272
	Corporate			15,041		423		10,900		(10,927)		15,437		423
	Asset-backed securities			99,952		4,601		124,305		(2,900)		225,958		4,576
	Residential mortgage-backed securities			77,440		191		(77,631)		—		—		—
	Other mortgage-backed securities			874		153		(173)		—		854		153
Fixed maturities			$	197,593	$	5,640	$	67,128	$	(18,113)	$	252,248	$	5,424
Equities
	Finance		$	2,488	$	(1,068)	$	695	$	—	$	2,115	$	(1,068)
	Industrials			805		(84)		(721)		—		—		—
	Mutual funds and exchange traded funds			34,810		(198)		5,000		—		39,612		(198)
Equities			$	38,103	$	(1,350)	$	4,974	$	—	$	41,727	$	(1,266)
Other invested assets
	Derivatives, net		$	(9,361)	$	4,315	$	(17,699)	$	8,166	$	(14,579)	$	2,490
	Other			25,815		(169)		24,643		—		50,289		(169)
Other invested assets			$	16,454	$	4,146	$	6,944	$	8,166	$	35,710	$	2,321
Funds held – directly managed
	U.S. government and agencies		$	375	$	(18)	$	—	$	—	$	357	$	(18)
	Non-U.S. sovereign government,
		supranational and government related		3,417		(13)		(3,404)		—		—		—
	Mortgage/asset-backed securities			142		(4,431)		—		16,866		12,577		(4,426)
	Other invested assets			35,685		(8,860)		—		—		26,825		(8,860)
Funds held – directly managed			$	39,619	$	(13,322)	$	(3,404)	$	16,866	$	39,759	$	(13,304)
Total			$	291,769	$	(4,886)	$	75,642	$	6,919	$	369,444	$	(6,825)

Change in fair value of financial instruments subject to fair value option

	For the three		For the three		For the six		For the six
	months ended		months ended		months ended		months ended
	June 30, 2011		June 30, 2010		June 30, 2011		June 30, 2010
Fixed maturities	$	130,907	$	165,665	$	(9,321)	$	264,762
Short-term investments		194		7		(446)		(2,418)
Equities		(30,197)		(126,610)		(14,079)		(101,198)
Other invested assets		(3,689)		(226)		(3,333)		(142)
Funds held – directly managed		10,756		19,988		(1,494)		31,167
Total	$	107,971	$	58,824	$	(28,673)	$	192,171

Carrying values and fair values of financial instrument liabilities

	June 30, 2011				December 31, 2010
	Carrying Value		Fair Value		Carrying Value		Fair Value
Debt related to senior notes ⁽¹⁾		750,000		793,773		750,000		781,950
Debt related to capital efficient notes ⁽²⁾		63,384		61,133		63,384		59,261

- Definition

Tabular disclosure of assets, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, by class that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3).

+ References+ Details

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income, and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issuances, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

+ References+ Details

- Definition

Tabular disclosure of the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments, assets, and liabilities. Such certain disclosures about the financial instruments, assets, and liabilities include: (1) the fair value of the required items together with their carrying amounts (as appropriate) and (2) the methodology and assumptions used in developing such estimates of fair value.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 10
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6947722&loc=d3e13433-108611

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6925170&loc=d3e19207-110258

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 14
-Subparagraph a
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6957238&loc=d3e14172-108612

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 15
-Subparagraph b-d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=6947722&loc=d3e13476-108611

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 10
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=6947722&loc=d3e13467-108611

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 10
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6447952&loc=d3e13220-108610

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 159
-Paragraph 18
-Subparagraph c(2), d, e, f
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 157
-Paragraph 32
-Subparagraph a, c(1), c(2), c(3), d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 159
-Paragraph 19
-Subparagraph a, b, c(1), d(1)
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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