10-Q

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☑ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended September 30, 2019

☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Commission file number 1-14527

EVEREST REINSURANCE HOLDINGS, INC.

(Exact name of registrant as specified in its charter)

Delaware	22-3263609
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

477 Martinsville Road

Post Office Box 830

Liberty Corner, New Jersey 07938-0830

(908) 604-3000

(Address, including zip code, and telephone number, including area code, of registrant’s principal executive office)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

YES  ☑      NO  ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

YES  ☑      NO  ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company.  See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☐	Accelerated filer ☐
Non-accelerated filer ☑	Smaller reporting company ☐
	Emerging growth company ☐

Indicate by check mark if the registrant is an emerging growth company and has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange act.

YES   ☐     NO  ☑

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

YES   ☐     NO  ☑

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

	Number of Shares Outstanding
Class	At November 1, 2019
Common Shares, $0.01 par value	1,000

The Registrant meets the conditions set forth in General Instruction H (1)(a) and (b) of Form 10-Q and is therefore filing this form with the reduced disclosure format permitted by General Instruction H of Form 10-Q. 

EVEREST REINSURANCE HOLDINGS, INC.

Table of Contents

Form 10-Q

		Page
PART I
FINANCIAL INFORMATION
Item 1.	Financial Statements
	Consolidated Balance Sheets at September 30, 2019 (unaudited) and December 31, 2018	1
	Consolidated Statements of Operations and Comprehensive Income (Loss) for the three and nine months ended September 30, 2019 and 2018 (unaudited)	2
	Consolidated Statements of Changes in Stockholder’s Equity for the three and nine months ended September 30, 2019 and 2018 (unaudited)	3
	Consolidated Statements of Cash Flows for the nine months ended September 30, 2019 and 2018 (unaudited)	4
	Notes to Consolidated Interim Financial Statements (unaudited)	5
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operation	39
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	56
Item 4.	Controls and Procedures	56
PART II
OTHER INFORMATION
Item 1.	Legal Proceedings	56
Item 1A.	Risk Factors	57
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	57
Item 3.	Defaults Upon Senior Securities	57
Item 4.	Mine Safety Disclosures	57
Item 5.	Other Information	57
Item 6.	Exhibits	57

EVEREST REINSURANCE HOLDINGS, INC.

CONSOLIDATED BALANCE SHEETS

	September 30,		December 31,
(Dollars in thousands, except share amounts and par value per share)	2019		2018
	(unaudited)
ASSETS:
Fixed maturities - available for sale, at market value   (amortized cost: 2019, $7,206,711; 2018, $7,032,749	$	7,373,719	$	6,962,075
Fixed maturities - available for sale, at fair value		-		2,337
Equity securities, at fair value		744,999		564,338
Short-term investments (cost: 2019, $276,651; 2018, $174,155)		276,666		174,131
Other invested assets (cost: 2019, $967,624; 2018, $882,647)		967,624		882,647
Other invested assets, at fair value		2,019,642		1,717,336
Cash		420,832		404,522
Total investments and cash		11,803,482		10,707,386
Accrued investment income		54,572		47,232
Premiums receivable		1,587,425		1,471,805
Reinsurance receivables - unaffiliated		1,322,562		1,295,961
Reinsurance receivables - affiliated		3,414,547		3,544,975
Income taxes		133,691		411,994
Funds held by reinsureds		244,976		228,556
Deferred acquisition costs		369,509		353,630
Prepaid reinsurance premiums		443,460		328,796
Other assets		413,465		289,962
TOTAL ASSETS	$	19,787,689	$	18,680,297
LIABILITIES:
Reserve for losses and loss adjustment expenses	$	10,412,174	$	10,167,018
Unearned premium reserve		2,148,968		1,826,868
Funds held under reinsurance treaties		39,924		41,600
Other net payable to reinsurers		341,029		316,826
Senior notes due 6/1/2044		397,044		396,954
Long term notes due 5/1/2067		236,733		236,659
Note payable - affiliated		-		300,000
Accrued interest on debt and borrowings		7,821		3,093
Unsettled securities payable		35,534		50,912
Other liabilities		341,218		303,610
Total liabilities		13,960,445		13,643,540
Commitments and Contingencies (Note 7)		-		-
STOCKHOLDER'S EQUITY:
Common stock, par value: $0.01; 3,000 shares authorized;   1,000 shares issued and outstanding (2019 and 2018)		-		-
Additional paid-in capital		1,100,573		1,100,315
Accumulated other comprehensive income (loss), net of deferred income   tax expense (benefit) of $18,579 at 2019 and ($33,506) at 2018		70,307		(126,254)
Retained earnings		4,656,364		4,062,696
Total stockholder's equity		5,827,244		5,036,757
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY	$	19,787,689	$	18,680,297
The accompanying notes are an integral part of the consolidated financial statements.

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EVEREST REINSURANCE HOLDINGS, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

AND COMPREHENSIVE INCOME (LOSS)

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
	(unaudited)				(unaudited)
REVENUES:
Premiums earned	$	1,428,400	$	1,230,771	$	4,074,477	$	3,526,617
Net investment income		95,592		90,298		270,835		232,277
Net realized capital gains (losses):
Other-than-temporary impairments on fixed   maturity securities		(6,968)		(2,834)		(14,187)		(3,741)
Other-than-temporary impairments on fixed   maturity securities transferred to other   comprehensive income (loss)		-		-		-		-
Other net realized capital gains (losses)		119,510		32,852		404,348		(68,713)
Total net realized capital gains (losses)		112,542		30,018		390,161		(72,454)
Other income (expense)		(2,673)		(4,802)		(8,459)		(3,905)
Total revenues		1,633,861		1,346,285		4,727,014		3,682,535
CLAIMS AND EXPENSES:
Incurred losses and loss adjustment expenses		1,098,093		970,297		2,737,411		2,912,312
Commission, brokerage, taxes and fees		357,681		288,212		962,674		832,671
Other underwriting expenses		95,693		78,800		257,426		230,377
Corporate expenses		3,183		2,488		7,353		7,597
Interest, fee and bond issue cost amortization expense		7,802		7,796		27,314		22,732
Total claims and expenses		1,562,452		1,347,593		3,992,178		4,005,689
INCOME (LOSS) BEFORE TAXES		71,409		(1,308)		734,836		(323,154)
Income tax expense (benefit)		10,272		(23,274)		141,169		(66,032)
NET INCOME (LOSS)	$	61,137	$	21,966	$	593,667	$	(257,122)
Other comprehensive income (loss), net of tax:
Unrealized appreciation (depreciation) ("URA(D)")   on securities arising during the period		24,454		(6,932)		180,998		(71,919)
Less: reclassification adjustment for realized   losses (gains) included in net income (loss)		2,085		2,534		6,927		(2,147)
Total URA(D) on securities arising during   the period		26,539		(4,398)		187,925		(74,066)
Foreign currency translation adjustments		2,881		(2,930)		4,970		(25,084)
Reclassification adjustment for amortization of net   (gain) loss included in net income (loss)		1,364		1,816		3,666		5,446
Total benefit plan net gain (loss) for the period		1,364		1,816		3,666		5,446
Total other comprehensive income (loss), net of tax		30,784		(5,512)		196,561		(93,704)
COMPREHENSIVE INCOME (LOSS)	$	91,921	$	16,454	$	790,228	$	(350,826)
The accompanying notes are an integral part of the consolidated financial statements.

2

EVEREST REINSURANCE HOLDINGS, INC.

CONSOLIDATED STATEMENTS OF

CHANGES IN STOCKHOLDER’S EQUITY

(Dollars in thousands, except share amounts)	2019		2018
	(unaudited)
COMMON STOCK (shares outstanding):
Balance, January 1		1,000		1,000
Balance, March 31		1,000		1,000
Balance, June 30		1,000		1,000
Balance, September 30		1,000		1,000
ADDITIONAL PAID-IN CAPITAL:
Balance, January 1	$	1,100,315	$	387,841
Share-based compensation plans		87		48
Balance, March 31		1,100,402		387,889
Share-based compensation plans		87		47
Balance, June 30		1,100,489		387,936
Share-based compensation plans		84		44
Balance, September 30		1,100,573		387,980
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS), NET OF DEFERRED INCOME TAXES:
Balance, January 1		(126,254)		(942)
Change to beginning balance due to adoption of ASU 2016-01		-		(2,447)
Net increase (decrease) during the period		98,148		(51,184)
Balance, March 31		(28,106)		(54,573)
Net increase (decrease) during the period		67,629		(37,008)
Balance, June 30		39,523		(91,581)
Net increase (decrease) during the period		30,784		(5,512)
Balance, September 30		70,307		(97,093)
RETAINED EARNINGS:
Balance, January 1		4,062,696		5,022,433
Change to beginning balance due to adoption of ASU 2016-01		-		2,447
Net income (loss)		251,610		(11,793)
Balance, March 31		4,314,306		5,013,087
Net income (loss)		280,921		(267,295)
Balance, June 30		4,595,227		4,745,792
Net income (loss)		61,137		21,966
Balance, September 30		4,656,364		4,767,758
TOTAL STOCKHOLDER'S EQUITY, September 30	$	5,827,244	$	5,058,645
The accompanying notes are an integral part of the consolidated financial statements.

3

EVEREST REINSURANCE HOLDINGS, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

	Nine Months Ended
	September 30,
(Dollars in thousands)	2019		2018
	(unaudited)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	593,667	$	(257,122)
Adjustments to reconcile net income to net cash provided by operating activities:
Decrease (increase) in premiums receivable		(115,834)		(142,519)
Decrease (increase) in funds held by reinsureds, net		(18,129)		(17,198)
Decrease (increase) in reinsurance receivables		107,427		888,922
Decrease (increase) in income taxes		226,147		9,951
Decrease (increase) in prepaid reinsurance premiums		(114,587)		(7,165)
Increase (decrease) in reserve for losses and loss adjustment expenses		240,321		199,220
Increase (decrease) in unearned premiums		321,643		202,760
Increase (decrease) in other net payable to reinsurers		24,093		(106,203)
Increase (decrease) in losses in course of payment		(44,192)		36,979
Change in equity adjustments in limited partnerships		(42,959)		(58,996)
Distribution of limited partnership income		39,247		48,773
Change in other assets and liabilities, net		(33,863)		(98,702)
Non-cash compensation expense		20,425		8,779
Amortization of bond premium (accrual of bond discount)		3,416		4,842
Net realized capital (gains) losses		(390,161)		72,454
Net cash provided by (used in) operating activities		816,661		784,775
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from fixed maturities matured/called - available for sale, at market value		672,207		556,195
Proceeds from fixed maturities sold - available for sale, at market value		2,217,734		552,982
Proceeds from fixed maturities sold - available for sale, at fair value		2,706		1,751
Proceeds from equity securities sold - at fair value		184,898		616,330
Distributions from other invested assets		133,130		1,010,121
Cost of fixed maturities acquired - available for sale, at market value		(3,071,436)		(1,515,045)
Cost of fixed maturities acquired - available for sale, at fair value		-		(4,381)
Cost of equity securities acquired - at fair value		(269,672)		(603,856)
Cost of other invested assets acquired		(212,910)		(1,059,712)
Net change in short-term investments		(100,012)		(280,114)
Net change in unsettled securities transactions		(30,252)		110,139
Net cash provided by (used in) investing activities		(473,607)		(615,590)
CASH FLOWS FROM FINANCING ACTIVITIES:
Tax benefit from share-based compensation, net of expense		(20,166)		(6,193)
Cost of repayment of note payable-affiliated		(300,000)		-
Net cash provided by (used in) financing activities		(320,166)		(6,193)
EFFECT OF EXCHANGE RATE CHANGES ON CASH		(6,578)		(16,786)
Net increase (decrease) in cash		16,310		146,206
Cash, beginning of period		404,522		229,552
Cash, end of period	$	420,832	$	375,758
SUPPLEMENTAL CASH FLOW INFORMATION:
Income taxes paid (recovered)	$	(85,216)	$	(75,361)
Interest paid		22,421		17,426
The accompanying notes are an integral part of the consolidated financial statements.

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NOTES TO CONSOLIDATED INTERIM FINANCIAL STATEMENTS (UNAUDITED)

For the Three and Nine Months Ended September 30, 2019, and 2018

1.  GENERAL

As used in this document, “Holdings” means Everest Reinsurance Holdings, Inc., a Delaware company and direct subsidiary of Everest Underwriting Group (Ireland) Limited (“Holdings Ireland”); “Group” means Everest Re Group, Ltd. (Holdings Ireland’s parent); “Bermuda Re” means Everest Reinsurance (Bermuda), Ltd., a subsidiary of Group; “Everest Re” means Everest Reinsurance Company and its subsidiaries, a subsidiary of Holdings (unless the context otherwise requires) and the “Company” means Holdings and its subsidiaries.

During the fourth quarter of 2018, Everest Global Services (“Global Services”), a previously affiliated company, was contributed to Holdings from its parent company, Holdings Ireland. 

2.  BASIS OF PRESENTATION

The unaudited consolidated financial statements of the Company as of September 30, 2019 and December 31, 2018 and  for the three and nine months ended September 30, 2019 and 2018 include all adjustments, consisting of normal recurring accruals, which, in the opinion of management, are necessary for a fair statement of the results on an interim basis.  Certain financial information, which is normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), has been omitted since it is not required for interim reporting purposes.  The December 31, 2018 consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP.  The results for the three and nine months ended September 30, 2019 and 2018 are not necessarily indicative of the results for a full year.  These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the years ended December 31, 2018, 2017 and 2016 included in the Company’s most recent Form 10-K filing. 

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities (and disclosure of contingent assets and liabilities) at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.  Ultimate actual results could differ, possibly materially, from those estimates. 

All intercompany accounts and transactions have been eliminated. 

Certain reclassifications and format changes have been made to prior years’ amounts to conform to the 2019 presentation. 

Application of Recently Issued Accounting Standard Changes. 

Accounting for Cloud Computing Arrangement.  In August 2018, The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-15, which outlines accounting for implementation costs of a cloud computing arrangement that is a service contract.  This guidance requires that implementation costs of a cloud computing arrangement that is a service contract must be capitalized and expensed in accordance with the existing provisions provided in Subtopic 350-40 regarding development of internal use software.  In addition, any capitalized implementation costs should be amortized over the term of the hosting arrangement.  The guidance is effective for annual reporting periods beginning after December 15, 2019 and interim periods within that annual reporting period.  The Company is currently evaluating the impact of the adoption of ASU 2018-15 on its financial statements.

Accounting for Long Duration Contracts.  In August 2018, FASB issued ASU 2018-12, which discusses changes to the recognition, measurement and presentation of long duration contracts.  The main provisions of this guidance address the following:  1) In determining liability for future policy benefits, companies must review cash flow assumptions at least annually and the discount rate assumption at each reporting period date 2) Amortization of deferred acquisition costs has been simplified to be in constant level proportion to either

5

premiums, gross profits or gross margins 3) Disaggregated roll forwards of beginning and ending liabilities for future policy benefits are required.  The guidance is effective for annual reporting periods beginning after December 15, 2021 and interim periods within that annual reporting period.  The Company is currently evaluating the impact of the adoption of ASU 2018-12 on its financial statements.

Accounting for Deferred Taxes in Accumulated Other Comprehensive Income (AOCI).  In February 2018, FASB issued ASU 2018-02, which outlines guidance on the treatment of trapped deferred taxes contained within AOCI on the consolidated balance sheets.  The new guidance allows the amount of trapped deferred taxes in AOCI, resulting from the change in the U.S. tax rate from 35% to 21% upon enactment of the Tax Cuts and Jobs Act (“TCJA”), to be reclassed as part of retained earnings in the consolidated balance sheets.  The guidance is effective for annual and interim reporting periods beginning after December 15, 2018, but early adoption is allowed.  The Company decided to early adopt the guidance as of December 31, 2017.  The adoption resulted in a reclass of $325 thousand between AOCI and retained earnings during the fourth quarter of 2017.  As an accounting policy, the Company has adopted the aggregate portfolio approach for releasing disproportionate income tax effects from AOCI. 

Accounting for Impact on Income Taxes due to Tax Reform.  In December 2017, the SEC issued Staff Accounting Bulletin (“SAB”) 118, which provides guidance on the application of FASB Accounting Standards Codification (“ASC”) Topic 740, Income Taxes, due to the enactment of TCJA.  SAB 118 became effective upon release.  The Company has adopted the provisions of SAB 118 with respect to measuring the tax effects for the modifications to the determination of tax basis loss reserves.  In 2018, the Company recorded adjustments to the amount of tax expense it recorded in 2017 with respect to the TCJA as estimated amounts were finalized, which did not have a material impact on the Company’s financial statements. 

Amortization of Bond Premium.  In March 2017, FASB issued ASU 2017-08 which outlines guidance on the amortization period for premium on callable debt securities.  The new guidance requires that the premium on callable debt securities be amortized through the earliest call date rather than through the maturity date of the callable security.  The guidance is effective for annual and interim reporting periods beginning after December 15, 2018.  The adoption of ASU 2017-08 did not have a material impact on the Company’s financial statements.

Presentation and Disclosure of Net Periodic Benefit Costs.  In March 2017, FASB issued ASU 2017-07, which outlines guidance on the presentation of net periodic costs of benefit plans.  The new guidance requires that the service cost component of net periodic benefit costs be reported within the same line item of the statements of operations as other compensation costs are reported.  Other components of net periodic benefit costs should be reported separately.  Footnote disclosure is required to state within which line items of the statements of operations the components are reported.  The guidance is effective for annual and interim reporting periods beginning after December 15, 2017.  The Company adopted the guidance effective January 1, 2018.  The adoption of ASU 2017-07 did not have a material impact on the Company’s financial statements.

Disclosure of Restricted Cash.  In November 2016, FASB issued ASU 2016-18 and in August 2016, FASB issued ASU 2016-15, which outlines guidance on the presentation in the statements of cash flows of changes in restricted cash.  The new guidance requires that the statements of cash flows should reflect all changes in cash, cash equivalents and restricted cash in total and not segregated individually.  The guidance is effective for annual and interim reporting periods beginning after December 15, 2017.  The Company adopted the guidance effective January 1, 2018.  The adoption of ASU 2016-18 and ASU 2016-15 did not have a material impact on the Company’s financial statements.

Intra-Entity Asset Transfers.  In October 2016, FASB issued ASU 2016-16, which outlines guidance on the tax accounting for intra-entity asset sales and transfers, other than inventory.  The new guidance requires that reporting entities recognize tax expense from the intra-entity transfer of an asset in the seller’s tax jurisdiction at the time of transfer and recognize any deferred tax asset in the buyer’s tax jurisdiction at the time of transfer.  The guidance is effective for annual and interim reporting periods beginning after December 15, 2017.  The Company adopted the guidance effective January 1, 2018.  The adoption of ASU 2016-16 did not have a material impact on the Company’s financial statements.

6

Valuation of Financial Instruments.  In June 2016, FASB issued ASU 2016-13, which outline guidance on the valuation of and accounting for assets measured at amortized cost and available for sale debt securities.  The carrying value of assets measured at amortized cost will now be presented as the amount expected to be collected on the financial asset (amortized cost less an allowance for credit losses valuation account).  Available for sale debt securities will now record credit losses through an allowance for credit losses, which will be limited to the amount by which fair value is below amortized cost.  The guidance is effective for annual and interim reporting periods beginning after December 15, 2019.  The Company is currently evaluating the impact of the adoption of ASU 2016-13 on its financial statements.

Leases.  In February 2016, FASB issued ASU 2016-02 (and subsequently issued ASU 2018-11 in July, 2018) which outline new guidance on the accounting for leases.  The new guidance requires the recognition of lease assets and lease liabilities on the balance sheets for most leases that were previously deemed operating leases and required only lease expense presentation in the statements of operations.  The guidance is effective for annual and interim reporting periods beginning after December 15, 2018.  The Company adopted ASU 2016-02 effective January 1, 2019 and elected to utilize a cumulative-effect adjustment to the opening balance of retained earnings for the year of adoption.  Accordingly, the Company’s reporting for the comparative periods prior to adoption continue to be presented in the financial statements in accordance with previous lease accounting guidance.  The Company also elected to apply the package of practical expedients applicable to the Company in the updated guidance for transition for leases in effect at adoption.  The Company did not elect the hindsight practical expedient to determine the lease term of existing leases (e.g. The Company did not re-assess lease renewals, termination options nor purchase options in determining lease terms).  The adoption of the updated guidance resulted in the Company recognizing a right-of-use asset of $60,325 thousand as part of other assets and a lease liability of $66,551 thousand as part of other liabilities in the consolidated balance sheet, as well as de-recognizing the liability for deferred rent that was required under the previous guidance.  The cumulative effect adjustment to the opening balance of retained earnings was zero. The adoption of the updated guidance did not have a material effect on the Company’s results of operations or liquidity.

Recognition and Measurement of Financial Instruments.  In January 2016, the FASB issued ASU 2016-01, which outlines revised guidance on the accounting for equity investments.  The new guidance states that all equity investments in unconsolidated entities will be measured at fair value, with the change in value being recorded through the income statement rather than being recorded within other comprehensive income.  The updated guidance is effective for annual and interim reporting periods beginning after December 15, 2017.  The Company adopted the guidance effective January 1, 2018.  The adoption of ASU 2016-01 resulted in a cumulative change adjustment of $2,447 thousand between AOCI and retained earnings, which is disclosed separately within the consolidated statement of changes in shareholders equity. 

Revenue Recognition.  In May 2014, the FASB issued ASU 2014-09 and in August 2015, FASB issued ASU 2015-14, which outline revised guidance on the recognition of revenue arising from contracts with customers.  The new guidance states that reporting entities should apply certain steps to determine when revenue should be recognized, based upon fulfillment of performance obligations to complete contracts.  The updated guidance is effective for annual and interim reporting periods beginning after December 15, 2017.  The Company adopted the guidance effective January 1, 2018.  The adoption of ASU 2014-09 and ASU 2015-14 did not have a material impact on the Company’s financial statements.

Any issued guidance and pronouncements, other than those directly referenced above, are deemed by the Company to be either not applicable or immaterial to its financial statements. 

3.   REVISIONS TO FINANCIAL STATEMENTS

In preparing its current period financial statements, the Company identified errors in the handling of foreign exchange related to premium funds held from reinsureds.  Although management determined that the impact of the foreign exchange differences were not material to prior period financial statements, the impact of recording the cumulative difference would have significantly impacted results within the current period.  As a result, prior period balances have been revised in the applicable financial statements and corresponding footnotes to correct the foreign exchange adjustments.

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Management assessed the materiality of this change within prior period financial statements based upon SEC Staff Accounting Bulletin Number 99, Materiality, which is since codified in Accounting Standards Codification ("ASC") 250, Accounting Changes and Error Corrections. The prior period comparative financial statements that are presented herein have been revised.

The following tables present line items for prior period financial statements that have been affected by the revision. For these line items, the tables detail the amounts as previously reported, the impact upon those line items due to the revision, and the amounts as currently revised within the financial statements.

CONSOLIDATED BALANCE SHEETS	December 31, 2018						December 31, 2017
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
ASSETS:
Funds held by reinsureds		238,566		(10,010)		228,556		210,939		(4,292)		206,647
Income taxes		409,892		2,102		411,994		87,110		901		88,011
TOTAL ASSETS	$	18,688,205	$	(7,908)	$	18,680,297	$	17,888,512	$	(3,391)	$	17,885,121
SHAREHOLDERS' EQUITY:
Retained earnings		4,070,604		(7,908)		4,062,696		5,025,824		(3,391)		5,022,433
Total shareholders' equity		5,044,665		(7,908)		5,036,757		5,412,723		(3,391)		5,409,332
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	18,688,205	$	(7,908)	$	18,680,297	$	17,888,512	$	(3,391)	$	17,885,121

CONSOLIDATED BALANCE SHEETS	June 30, 2019						March 31, 2019
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
ASSETS:
Funds held by reinsureds		250,903		(10,768)		240,135		248,993		(9,524)		239,469
Income taxes		151,109		2,261		153,370		289,210		2,000		291,210
TOTAL ASSETS	$	19,235,832	$	(8,507)	$	19,227,325	$	19,063,665	$	(7,524)	$	19,056,141
SHAREHOLDERS' EQUITY:
Retained earnings		4,603,734		(8,507)		4,595,227		4,321,830		(7,524)		4,314,306
Total stockholder's equity		5,743,746		(8,507)		5,735,239		5,394,126		(7,524)		5,386,602
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	19,235,832	$	(8,507)	$	19,227,325	$	19,063,665	$	(7,524)	$	19,056,141

8

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Year  Ended December 31, 2018						Year Ended December 31, 2017
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(3,851)		(5,717)		(9,568)		23,750		2,116		25,866
Total revenues	$	4,964,232	$	(5,717)	$	4,958,515	$	2,421,157	$	2,116	$	2,423,273
INCOME (LOSS) BEFORE TAXES	$	(1,323,492)	$	(5,717)	$	(1,329,209)	$	(122,982)	$	2,116	$	(120,866)
Income tax expense (benefit)		(365,825)		(1,200)		(367,025)		(201,180)		444		(200,736)
NET INCOME (LOSS)	$	(957,667)	$	(4,517)	$	(962,184)	$	78,198	$	1,672	$	79,870
COMPREHENSIVE INCOME (LOSS)	$	(1,080,532)	$	(4,517)	$	(1,085,049)	$	113,896	$	1,672	$	115,568

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE		Three Months Ended June 30, 2019						Six Months Ended June 30, 2019
INCOME (LOSS):		As Previously		Impact of				As Previously		Impact of
		Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(3,812)		(1,243)		(5,055)		(5,026)		(759)		(5,785)
Total revenues	$	1,605,083	$	(1,243)	$	1,603,840	$	3,093,913	$	(759)	$	3,093,154
INCOME (LOSS) BEFORE TAXES	$	349,532	$	(1,243)	$	348,289	$	664,187	$	(759)	$	663,428
Income tax expense (benefit)		67,628		(261)		67,367		131,057		(159)		130,898
NET INCOME (LOSS)	$	281,904	$	(982)	$	280,922	$	533,130	$	(600)	$	532,530
COMPREHENSIVE INCOME (LOSS)	$	349,533	$	(982)	$	348,551	$	698,907	$	(600)	$	698,307

CONSOLIDATED STATEMENTS OF OPERATIONS	Three Months Ended March 31, 2019
AND COMPREHENSIVE INCOME (LOSS):	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(1,214)		484		(730)
Total revenues	$	1,488,830	$	484	$	1,489,314
INCOME (LOSS) BEFORE TAXES	$	314,655	$	484	$	315,139
Income tax expense (benefit)		63,429		102		63,531
NET INCOME (LOSS)	$	251,226	$	382	$	251,608
COMPREHENSIVE INCOME (LOSS)	$	349,374	$	382	$	349,756

9

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(1,385)		(3,417)		(4,802)		1,420		(5,325)		(3,905)
Total revenues	$	1,349,702	$	(3,417)	$	1,346,285	$	3,687,860	$	(5,325)	$	3,682,535
INCOME (LOSS) BEFORE TAXES	$	2,109	$	(3,417)	$	(1,308)	$	(317,829)	$	(5,325)	$	(323,154)
Income tax expense (benefit)		(22,556)		(718)		(23,274)		(64,914)		(1,118)		(66,032)
NET INCOME (LOSS)	$	24,665	$	(2,699)	$	21,966	$	(252,915)	$	(4,207)	$	(257,122)
COMPREHENSIVE INCOME (LOSS)	$	19,153	$	(2,699)	$	16,454	$	(346,619)	$	(4,207)	$	(350,826)

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		77,682		(2,388)		75,294		2,805		(1,908)		897
Total revenues	$	1,287,317	$	(2,388)	$	1,284,929	$	2,338,158	$	(1,908)	$	2,336,250
INCOME (LOSS) BEFORE TAXES	$	(312,807)	$	(2,388)	$	(315,195)	$	(319,938)	$	(1,908)	$	(321,846)
Income tax expense (benefit)		(47,399)		(501)		(47,900)		(42,538)		(400)		(42,938)
NET INCOME (LOSS)	$	(265,408)	$	(1,887)	$	(267,295)	$	(277,580)	$	(1,508)	$	(279,088)
COMPREHENSIVE INCOME (LOSS)	$	(302,416)	$	(1,887)	$	(304,303)	$	(365,772)	$	(1,508)	$	(367,280)

CONSOLIDATED STATEMENTS OF OPERATIONS	Three Months Ended March 31, 2018
AND COMPREHENSIVE INCOME (LOSS):	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(74,877)		480		(74,397)
Total revenues	$	1,050,841	$	480	$	1,051,321
INCOME (LOSS) BEFORE TAXES	$	(7,131)	$	480	$	(6,651)
Income tax expense (benefit)		5,041		101		5,142
NET INCOME (LOSS)	$	(12,172)	$	379	$	(11,793)
COMPREHENSIVE INCOME (LOSS)	$	(63,356)	$	379	$	(62,977)

10

CONSOLIDATED STATEMENTS OF	Year Ended December 31, 2018						Year Ended December 31, 2017
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,025,824	$	(3,391)	$	5,022,433	$	4,947,301	$	(5,062)	$	4,942,239
Net income (loss)		(957,667)		(4,517)		(962,184)		78,198		1,672		79,870
Balance, end of period		4,070,604		(7,908)		4,062,696		5,025,824		(3,391)		5,022,433
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,044,665	$	(7,908)	$	5,036,757	$	5,412,723	$	(3,391)	$	5,409,332

CONSOLIDATED STATEMENTS OF	Six Months Ended June 30, 2019						Three Months Ended March 31, 2019
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, January 1	$	4,070,604	$	(7,908)	$	4,062,696	$	4,070,604	$	(7,908)	$	4,062,696
Net income (loss)		251,226		382		251,608		251,226		382		251,608
Balance, March 31		4,321,830		(7,524)		4,314,306		4,321,830		(7,524)		4,314,306
Net income (loss)		281,904		(982)		280,922
Balance, June 30		4,603,734		(8,507)		4,595,227
TOTAL STOCKHOLDER'S EQUITY, June 30	$	5,743,746	$	(8,507)	$	5,735,239	$	5,394,126	$	(7,524)	$	5,386,602

CONSOLIDATED STATEMENTS OF	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	4,750,691	$	(4,897)	$	4,745,792	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		24,665		(2,699)		21,966		(252,915)		(4,207)		(257,122)
Balance, end of period		4,775,356		(7,597)		4,767,758		4,775,356		(7,597)		4,767,758
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,066,243	$	(7,597)	$	5,058,645	$	5,066,243	$	(7,597)	$	5,058,645

CONSOLIDATED STATEMENTS OF	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,016,099	$	(3,011)	$	5,013,087	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		(265,408)		(1,887)		(267,295)		(277,580)		(1,508)		(279,088)
Balance, end of period		4,750,691		(4,897)		4,745,792		4,750,691		(4,897)		4,745,792
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,047,046	$	(4,897)	$	5,042,149	$	5,047,046	$	(4,897)	$	5,042,149

11

CONSOLIDATED STATEMENTS OF	Three Months Ended March 31, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		(12,172)		379		(11,793)
Balance, end of period		5,016,099		(3,011)		5,013,087
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,349,415	$	(3,011)	$	5,346,404

CONSOLIDATED STATEMENTS OF CASH FLOWS	Year Ended December 31, 2018						Year Ended December 31, 2017
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(957,667)	$	(4,517)	$	(962,184)	$	78,198	$	1,672	$	79,870
Decrease (increase) in funds held by reinsureds, net		(26,680)		5,717		(20,963)		(90,410)		(2,116)		(92,526)
Decrease (increase) in income taxes	$	(291,528)	$	(1,200)	$	(292,729)	$	(250,118)	$	444	$	(249,674)

CONSOLIDATED STATEMENTS OF CASH FLOWS	Six Months Ended June 30, 2019						Three Months Ended March 31, 2019
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	533,130	$	(600)	$	532,530	$	251,226	$	382	$	251,608
Decrease (increase) in funds held by reinsureds, net		(14,688)		759		(13,929)		(13,877)		(484)		(14,361)
Decrease (increase) in income taxes	$	214,830	$	(159)	$	214,671	$	94,631	$	102	$	94,733

CONSOLIDATED STATEMENTS OF CASH FLOWS	Nine Months Ended September 30, 2018						Six Months Ended June 30, 2018
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(252,915)	$	(4,207)	$	(257,122)	$	(277,580)	$	(1,508)	$	(279,088)
Decrease (increase) in funds held by reinsureds, net		(22,523)		5,325		(17,198)		(13,233)		1,908		(11,326)
Decrease (increase) in income taxes	$	11,069	$	(1,118)	$	9,951	$	4,652	$	(400)	$	4,252

12

CONSOLIDATED STATEMENTS OF CASH FLOWS	Three Months Ended March 31, 2018
	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(12,172)	$	379	$	(11,793)
Decrease (increase) in funds held by reinsureds, net		136,342		(480)		135,862
Decrease (increase) in income taxes	$	52,369	$	101	$	52,470

4.  INVESTMENTS

The amortized cost, market value and gross unrealized appreciation and depreciation of available for sale, fixed maturity, investments, carried at market value and other-than-temporary impairments (“OTTI”) in accumulated other comprehensive income (“AOCI”) are as follows for the periods indicated: 

	At September 30, 2019
	Amortized		Unrealized		Unrealized		Market		OTTI in AOCI
(Dollars in thousands)	Cost		Appreciation		Depreciation		Value		(a)
Fixed maturity securities
U.S. Treasury securities and obligations of   U.S. government agencies and corporations	$	765,592	$	12,690	$	(1,489)	$	776,793	$	-
Obligations of U.S. states and political   subdivisions		505,854		30,609		(95)		536,368		-
Corporate securities		2,785,680		71,322		(28,579)		2,828,423		233
Asset-backed securities		605,172		1,946		(1,978)		605,140		-
Mortgage-backed securities
Commercial		310,630		21,458		(70)		332,018		-
Agency residential		646,559		19,426		(191)		665,794		-
Non-agency residential		2,203		2		-		2,205		-
Foreign government securities		569,493		22,393		(6,402)		585,484		-
Foreign corporate securities		1,015,528		37,649		(11,683)		1,041,494		337
Total fixed maturity securities	$	7,206,711	$	217,495	$	(50,487)	$	7,373,719	$	570

13

	At December 31, 2018
	Amortized		Unrealized		Unrealized		Market		OTTI in AOCI
(Dollars in thousands)	Cost		Appreciation		Depreciation		Value		(a)
Fixed maturity securities
U.S. Treasury securities and obligations of   U.S. government agencies and corporations	$	2,250,312	$	3,573	$	(11,088)	$	2,242,797	$	-
Obligations of U.S. states and political   subdivisions		489,013		12,915		(2,839)		499,089		440
Corporate securities		2,273,581		12,487		(69,915)		2,216,153		430
Asset-backed securities		223,192		102		(2,039)		221,255		-
Mortgage-backed securities
Commercial		135,380		1,947		(723)		136,604		-
Agency residential		149,306		1,177		(1,709)		148,774		-
Non-agency residential		3,115		3		(4)		3,114		-
Foreign government securities		576,540		14,399		(11,353)		579,586		-
Foreign corporate securities		932,310		13,325		(30,932)		914,703		281
Total fixed maturity securities	$	7,032,749	$	59,928	$	(130,602)	$	6,962,075	$	1,151

^(a)  Represents the amount of OTTI recognized in AOCI.  Amount includes unrealized gains and losses on impaired securities relating to changes in the value of such securities subsequent to the impairment measurement date.

Effective January 1, 2018, the Company adopted ASU 2016-01, which requires equity investments in unconsolidated entities to be measured at fair value, with any change in value being recorded within net realized capital gains/(losses) as part of the consolidated statements of operations and comprehensive income (loss).  Previously, changes in the market value had been recorded within AOCI as part of the consolidated balance sheets.  Therefore, effective January 1, 2018, equity security investments no longer have an impact upon the AOCI balance. 

The amortized cost and market value of fixed maturity securities are shown in the following tables by contractual maturity. Mortgage-backed securities are generally more likely to be prepaid than other fixed maturity securities. As the stated maturity of such securities may not be indicative of actual maturities, the totals for mortgage-backed and asset-backed securities are shown separately. 

	At September 30, 2019				At December 31, 2018
	Amortized		Market		Amortized		Market
(Dollars in thousands)	Cost		Value		Cost		Value
Fixed maturity securities – available for sale
Due in one year or less	$	522,393	$	519,742	$	511,193	$	507,572
Due after one year through five years		2,937,353		2,980,204		4,271,245		4,230,451
Due after five years through ten years		1,484,688		1,549,482		1,177,752		1,163,831
Due after ten years		697,713		719,134		561,566		550,474
Asset-backed securities		605,172		605,140		223,192		221,255
Mortgage-backed securities
Commercial		310,630		332,018		135,380		136,604
Agency residential		646,559		665,794		149,306		148,774
Non-agency residential		2,203		2,205		3,115		3,114
Total fixed maturity securities	$	7,206,711	$	7,373,719	$	7,032,749	$	6,962,075

14

The changes in net unrealized appreciation (depreciation) for the Company’s investments are derived from the following sources for the periods as indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Increase (decrease) during the period between   the market value and cost of investments carried   at market value, and deferred taxes thereon:
Fixed maturity securities	$	33,473	$	(5,899)	$	238,301	$	(94,451)
Fixed maturity securities, other-than-temporary   impairment		119		326		(581)		691
Change in unrealized appreciation   (depreciation), pre-tax		33,592		(5,573)		237,720		(93,760)
Deferred tax benefit (expense)		(7,028)		1,243		(49,917)		19,839
Deferred tax benefit (expense),   other-than-temporary impairment		(25)		(68)		122		(145)
Change in unrealized appreciation (depreciation),   net of deferred taxes, included in   stockholder's equity	$	26,539	$	(4,398)	$	187,925	$	(74,066)

The Company frequently reviews all of its fixed maturity, available for sale securities for declines in market value and focuses its attention on securities whose fair value has fallen below 80% of their amortized cost at the time of review.  The Company then assesses whether the decline in value is temporary or other-than-temporary.  In making its assessment, the Company evaluates the current market and interest rate environment as well as specific issuer information.  Generally, a change in a security’s value caused by a change in the market, interest rate or foreign exchange environment does not constitute an other-than-temporary impairment, but rather a temporary decline in market value.  Temporary declines in market value are recorded as unrealized losses in accumulated other comprehensive income (loss).  If the Company determines that the decline is other-than-temporary and the Company does not have the intent to sell the security; and it is more likely than not that the Company will not have to sell the security before recovery of its cost basis, the carrying value of the investment is written down to fair value.  The fair value adjustment that is credit or foreign exchange related is recorded in net realized capital gains (losses) in the Company’s consolidated statements of operations and comprehensive income (loss). The fair value adjustment that is non-credit related is recorded as a component of other comprehensive income (loss), net of tax, and is included in accumulated other comprehensive income (loss) in the Company’s consolidated balance sheets.  The Company’s assessments are based on the issuers’ current and expected future financial position, timeliness with respect to interest and/or principal payments, speed of repayments and any applicable credit enhancements or breakeven constant default rates on mortgage-backed and asset-backed securities, as well as relevant information provided by rating agencies, investment advisors and analysts. 

Upon the adoption of ASU 2016-01 as of January 1, 2018, all equity investments in unconsolidated entities are recorded at fair value.  Prior to the adoption of ASU 2016-01, the Company presented certain equity securities at market value.  The majority of the Company’s equity securities presented at market value prior to January 1, 2018 were primarily comprised of mutual fund investments whose underlying securities consisted of fixed maturity securities.  When a fund’s value reflected an unrealized loss, the Company assessed whether the decline in value was temporary or other-than-temporary.  In making its assessment, the Company considered the composition of its portfolios and their related markets, reports received from the portfolio managers and discussions with portfolio managers.  If the Company determined that the declines were temporary and it had the ability and intent to continue to hold the investments, then the declines were recorded as unrealized losses in accumulated other comprehensive income (loss).  If declines were deemed to be other-than-temporary, then the carrying value of the investment was written down to fair value and recorded in net realized capital gains (losses) in the Company’s consolidated statements of operations and comprehensive income (loss). 

Retrospective adjustments are employed to recalculate the values of asset-backed securities. All of the Company’s asset-backed and mortgage-backed securities have a pass-through structure. Each acquisition lot

15

is reviewed to recalculate the effective yield. The recalculated effective yield is used to derive a book value as if the new yield were applied at the time of acquisition. Outstanding principal factors from the time of acquisition to the adjustment date are used to calculate the prepayment history for all applicable securities. Conditional prepayment rates, computed with life to date factor histories and weighted average maturities, are used in the calculation of projected prepayments for pass-through security types.

The tables below display the aggregate market value and gross unrealized depreciation of fixed maturity securities, by security type and contractual maturity, in each case subdivided according to length of time that individual securities had been in a continuous unrealized loss position for the periods indicated: 

	Duration of Unrealized Loss at September 30, 2019 By Security Type
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities -   available for sale
U.S. Treasury securities and   obligations of U.S. government   agencies and corporations	$	8,988	$	(7)	$	273,603	$	(1,482)	$	282,591	$	(1,489)
Obligations of U.S. states and   political subdivisions		5,669		(50)		3,518		(45)		9,187		(95)
Corporate securities		328,241		(8,540)		240,104		(20,039)		568,345		(28,579)
Asset-backed securities		320,136		(1,873)		45,453		(105)		365,589		(1,978)
Mortgage-backed securities
Commercial		4,944		-		17,620		(70)		22,564		(70)
Agency residential		1,297		(4)		17,816		(187)		19,113		(191)
Non-agency residential		-		-		696		-		696		-
Foreign government securities		37,711		(351)		133,509		(6,051)		171,220		(6,402)
Foreign corporate securities		60,787		(513)		159,274		(11,170)		220,061		(11,683)
Total fixed maturity securities	$	767,773	$	(11,338)	$	891,593	$	(39,149)	$	1,659,366	$	(50,487)

	Duration of Unrealized Loss at September 30, 2019 By Maturity
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities
Due in one year or less	$	33,264	$	(983)	$	169,830	$	(7,522)	$	203,094	$	(8,505)
Due in one year through five years		147,148		(1,980)		509,942		(13,702)		657,090		(15,682)
Due in five years through ten years		146,123		(4,957)		44,877		(7,579)		191,000		(12,536)
Due after ten years		114,861		(1,541)		85,359		(9,984)		200,220		(11,525)
Asset-backed securities		320,136		(1,873)		45,453		(105)		365,589		(1,978)
Mortgage-backed securities		6,241		(4)		36,132		(257)		42,373		(261)
Total fixed maturity securities	$	767,773	$	(11,338)	$	891,593	$	(39,149)	$	1,659,366	$	(50,487)

The aggregate market value and gross unrealized losses related to investments in an unrealized loss position at September 30, 2019 were $1,659,366 thousand and $50,487 thousand, respectively.  The market value of securities for the single issuer whose securities comprised the largest unrealized loss position at September 30, 2019, did not exceed 0.2% of the overall market value of the Company’s fixed maturity securities.  In addition, as indicated on the above table, there was no significant concentration of unrealized losses in any one market sector.  The $11,338 thousand of unrealized losses related to fixed maturity securities that have been in an unrealized loss position for less than one year were generally comprised of domestic corporate securities and asset backed securities.  Of these unrealized losses, $4,293 thousand were related to securities that were rated investment grade by at least one nationally recognized statistical rating agency.  The $39,149 thousand of unrealized losses related to fixed maturity securities in an unrealized loss position for

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more than one year related primarily to domestic and foreign corporate securities, foreign government securities and U.S. government agencies.  Of these unrealized losses $20,324 thousand were related to securities that were rated investment grade by at least one nationally recognized statistical rating agency. There was no gross unrealized depreciation for mortgage-backed securities related to sub-prime and alt-A loans. In all instances, there were no projected cash flow shortfalls to recover the full book value of the investments and the related interest obligations.  The mortgage-backed securities still have excess credit coverage and are current on interest and principal payments. 

The Company, given the size of its investment portfolio and capital position, does not have the intent to sell these securities; and it is more likely than not that the Company will not have to sell the security before recovery of its cost basis.  In addition, all securities currently in an unrealized loss position are current with respect to principal and interest payments.

The tables below display the aggregate market value and gross unrealized depreciation of fixed maturity securities, by security type and contractual maturity, in each case subdivided according to length of time that individual securities had been in a continuous unrealized loss position for the periods indicated:

	Duration of Unrealized Loss at December 31, 2018 By Security Type
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities -   available for sale
U.S. Treasury securities and   obligations of U.S. government   agencies and corporations	$	245,357	$	(6,099)	$	373,377	$	(4,989)	$	618,734	$	(11,088)
Obligations of U.S. states and   political subdivisions		107,183		(2,829)		1,475		(10)		108,658		(2,839)
Corporate securities		1,390,942		(57,043)		194,770		(12,872)		1,585,712		(69,915)
Asset-backed securities		127,052		(1,408)		47,551		(631)		174,603		(2,039)
Mortgage-backed securities
Commercial		51,357		(695)		2,259		(28)		53,616		(723)
Agency residential		44,071		(1,221)		21,889		(488)		65,960		(1,709)
Non-agency residential		3,093		(4)		-		-		3,093		(4)
Foreign government securities		192,510		(10,690)		101,137		(663)		293,647		(11,353)
Foreign corporate securities		501,532		(25,821)		65,279		(5,111)		566,811		(30,932)
Total fixed maturity securities	$	2,663,097	$	(105,810)	$	807,737	$	(24,792)	$	3,470,834	$	(130,602)

	Duration of Unrealized Loss at December 31, 2018 By Maturity
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities
Due in one year or less	$	165,545	$	(7,618)	$	118,322	$	(1,164)	$	283,867	$	(8,782)
Due in one year through five years		1,423,431		(44,924)		525,554		(9,530)		1,948,985		(54,454)
Due in five years through ten years		624,875		(35,360)		42,902		(2,773)		667,777		(38,133)
Due after ten years		223,673		(14,580)		49,260		(10,178)		272,933		(24,758)
Asset-backed securities		127,052		(1,408)		47,551		(631)		174,603		(2,039)
Mortgage-backed securities		98,521		(1,920)		24,148		(516)		122,669		(2,436)
Total fixed maturity securities	$	2,663,097	$	(105,810)	$	807,737	$	(24,792)	$	3,470,834	$	(130,602)

The aggregate market value and gross unrealized losses related to investments in an unrealized loss position at December 31, 2018 were $3,470,834 thousand and $130,602 thousand, respectively.  The market value of securities for the single issuer (the United States government) whose securities comprised the largest unrealized loss position at December 31, 2018, did not exceed 9.0% of the overall market value of the

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Company’s fixed maturity securities.  The market value of securities for the issuer with the second largest unrealized loss comprised less than 0.8% of the company’s fixed maturity securities.  In addition, as indicated on the above table, there was no significant concentration of unrealized losses in any one market sector.  The $105,810 thousand of unrealized losses related to fixed maturity securities that have been in an unrealized loss position for less than one year were generally comprised of domestic and foreign corporate securities, foreign government securities and U.S. government agencies and corporations.  Of these unrealized losses, $68,010 thousand related to securities that were rated investment grade by at least one nationally recognized statistical rating agency.  The $24,792 thousand of unrealized losses related to fixed maturity securities in an unrealized loss position for more than one year related primarily to domestic and foreign corporate securities and U.S. government agencies.  Of these unrealized losses, $14,802 thousand related to securities that were rated investment grade by at least one nationally recognized statistical rating agency.  There was no gross unrealized depreciation for mortgage-backed securities related to sub-prime and alt-A loans.  In all instances, there were no projected cash flow shortfalls to recover the full book value of the investments and the related interest obligations.  The mortgage-backed securities still have excess credit coverage and are current on interest and principal payments. 

The components of net investment income are presented in the tables below for the periods indicated: 

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Fixed maturities	$	68,178	$	51,834	$	200,606	$	142,776
Equity securities		1,971		2,651		5,721		10,681
Short-term investments and cash		2,210		2,110		8,115		4,340
Other invested assets
Limited partnerships		15,102		25,573		38,273		54,213
Dividends from preferred shares of affiliate		7,758		7,758		23,274		23,274
Other		7,285		6,061		13,564		10,716
Gross investment income before adjustments		102,504		95,987		289,553		246,000
Funds held interest income (expense)		1,108		906		5,434		4,505
Interest income from Parent		-		1,075		-		3,225
Gross investment income		103,612		97,968		294,987		253,730
Investment expenses		(8,020)		(7,670)		(24,152)		(21,453)
Net investment income	$	95,592	$	90,298	$	270,835	$	232,277
(Some amounts may not reconcile due to rounding.)

The Company records results from limited partnership investments on the equity method of accounting with changes in value reported through net investment income. Due to the timing of receiving financial information from these partnerships, the results are generally reported on a one month or quarter lag.  If the Company determines there has been a significant decline in value of a limited partnership during this lag period, a loss will be recorded in the period in which the Company identifies the decline.

The Company had contractual commitments to invest up to an additional $670,158 thousand in limited partnerships and private placement loans at September 30, 2019.  These commitments will be funded when called in accordance with the partnership and loan agreements, which have investment periods that expire, unless extended, through 2026.

Beginning in the first quarter of 2016, the Company participated in a private placement liquidity sweep facility (“the facility”).  The primary purpose of the facility is to enhance the Company’s return on its short-term investments and cash positions.  The facility invests in high quality, short-duration securities and permits daily liquidity.  Through the second quarter of 2018, the Company’s participation in the facility was classified within other invested assets on the Company’s Balance Sheets.

As of the third quarter of 2018, the Company has consolidated its participation in the facility.  As a result, the underlying investments are now recorded in the various investment line items within the Company’s balance

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sheet, rather than as part of other invested assets.  As of September 30, 2019, the market value of investments in the facility consolidated within the Company’s balance sheets was $158,631 thousand. 

Other invested assets, at fair value, as of September 30, 2019 and December 31, 2018, were comprised of preferred shares held in Preferred Holdings, an affiliated company. 

The components of net realized capital gains (losses) are presented in the table below for the periods indicated: 

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Fixed maturity securities, market value:
Other-than-temporary impairments	$	(6,968)	$	(2,834)	$	(14,187)	$	(3,741)
Gains (losses) from sales		2,200		(1,288)		3,313		4,670
Fixed maturity securities, fair value:
Gains (losses) from sales		-		(717)		356		(1,799)
Gains (losses) from fair value adjustments		-		584		13		1,542
Equity securities, fair value:
Gains (losses) from sales		(1,192)		9,915		2,538		5,833
Gains (losses) from fair value adjustments		(10,326)		36,269		93,349		34,805
Other invested assets		2,097		913		2,341		1,497
Other invested assets, fair value:
Gains (losses) from fair value adjustments		126,655		(12,816)		302,306		(115,252)
Short-term investment gains (losses)		76		(8)		132		(9)
Total net realized capital gains (losses)	$	112,542	$	30,018	$	390,161	$	(72,454)

The Company recorded as net realized capital gains (losses) in the consolidated statements of operations and comprehensive income (loss) both fair value re-measurements and write-downs in the value of securities deemed to be impaired on an other-than-temporary basis as displayed in the table above.  The Company had no other-than-temporary impaired securities where the impairment had both a credit and non-credit component. 

The proceeds and split between gross gains and losses, from sales of fixed maturity and equity securities, are presented in the table below for the periods indicated: 

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Proceeds from sales of fixed maturity securities	$	213,132	$	184,810	$	2,220,440	$	554,733
Gross gains from sales		6,638		2,519		17,875		11,512
Gross losses from sales		(4,438)		(4,524)		(14,206)		(8,641)
Proceeds from sales of equity securities	$	35,925	$	186,403	$	184,898	$	616,330
Gross gains from sales		1,035		13,764		9,283		21,670
Gross losses from sales		(2,227)		(3,849)		(6,745)		(15,837)

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5.  RESERVES FOR LOSSES AND LAE

Activity in the reserve for losses and LAE is summarized for the periods indicated: 

	Nine Months  Ended		Nine Months  Ended
	September 30,		September 30,
(Dollars in thousands)	2019		2018
Gross reserves beginning of period	$	10,167,018	$	9,343,028
Less reinsurance recoverables		(4,697,543)		(5,727,268)
Net reserves beginning of period		5,469,475		3,615,760
Incurred related to:
Current year		2,709,367		2,431,606
Prior years		28,044		480,706
Total incurred losses and LAE		2,737,411		2,912,312
Paid related to:
Current year		505,856		639,528
Prior years		1,600,956		1,129,263
Total paid losses and LAE		2,106,812		1,768,791
Foreign exchange/translation adjustment		(2,720)		(23,093)
Net reserves end of period		6,097,354		4,736,188
Plus reinsurance recoverables		4,314,820		4,783,290
Gross reserves end of period	$	10,412,174	$	9,519,478
(Some amounts may not reconcile due to rounding.)

Incurred prior years losses increased by $28,044 thousand for the nine months ended September 30, 2019 and by $480,706 thousand for the nine months ended September 30, 2018, respectively. The increase for 2019 is mainly attributable to unfavorable development on prior years catastrophes. The increase for 2018 was mainly due to $494,221 thousand of adverse development on prior years catastrophe losses, primarily related to Hurricanes Harvey, Irma and Maria, as well as the 2017 California wildfires.  The increase in loss estimates for Hurricanes Harvey, Irma and Maria was mostly driven by re-opened claims, loss inflation from higher than expected loss adjustment expenses and in particular, their impact on aggregate covers. 

6.  FAIR VALUE

GAAP guidance regarding fair value measurements address how companies should measure fair value when they are required to use fair value measures for recognition or disclosure purposes under GAAP and provides a common definition of fair value to be used throughout GAAP.  It defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly fashion between market participants at the measurement date.  In addition, it establishes a three-level valuation hierarchy for the disclosure of fair value measurements.  The valuation hierarchy is based on the transparency of inputs to the valuation of an asset or liability.  The level in the hierarchy within which a given fair value measurement falls is determined based on the lowest level input that is significant to the measurement, with Level 1 being the highest priority and Level 3 being the lowest priority. 

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The levels in the hierarchy are defined as follows:

Level 1:	Inputs to the valuation methodology are observable inputs that reflect unadjusted quoted prices for identical assets or liabilities in an active market;
Level 2:	Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument;
Level 3:	Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

The Company’s fixed maturity and equity securities are primarily managed by third party investment asset managers.  The investment asset managers obtain prices from nationally recognized pricing services.  These services seek to utilize market data and observations in their evaluation process.  They use pricing applications that vary by asset class and incorporate available market information and when fixed maturity securities do not trade on a daily basis the services will apply available information through processes such as benchmark curves, benchmarking of like securities, sector groupings and matrix pricing.  In addition, they use model processes, such as the Option Adjusted Spread model to develop prepayment and interest rate scenarios for securities that have prepayment features. 

In limited instances where prices are not provided by pricing services or in rare instances when a manager may not agree with the pricing service, price quotes on a non-binding basis are obtained from investment brokers.  The investment asset managers do not make any changes to prices received from either the pricing services or the investment brokers.  In addition, the investment asset managers have procedures in place to review the reasonableness of the prices from the service providers and may request verification of the prices.  In addition, the Company continually performs analytical reviews of price changes and tests the prices on a random basis to an independent pricing source.  No material variances were noted during these price validation procedures.  In limited situations, where financial markets are inactive or illiquid, the Company may use its own assumptions about future cash flows and risk-adjusted discount rates to determine fair value.  At September 30, 2019, $560,135 thousand of fixed maturities, market value were fair valued using unobservable inputs.  The majority of the fixed maturities, market value, $480,181 thousand were valued by investment managers’ valuation committees and a majority of these fair values were substantiated by valuations from independent third parties.  The Company has procedures in place to review and evaluate these independent third party valuations.  The remaining Level 3 fixed maturities of $79,954 thousand were fair valued by the Company at either par or amortized cost, which the Company believes approximates fair value.  At December 31, 2018, $383,994 thousand of fixed maturities, market value and $2,337 thousand of fixed maturities, fair value were fair valued using unobservable inputs.  The majority of the fixed maturities, market value, $354,133 thousand and all of the $2,337 thousand of fixed maturities, fair value, were valued by investment managers’ valuation committees and a majority of these fair values were substantiated by valuations from independent third parties.  The remaining Level 3 fixed maturities of $28,708 thousand were fair valued by the Company at either par or amortized cost and $1,153 thousand were priced using a non-binding broker quote. 

The Company internally manages a public equity portfolio which had a fair value at September 30, 2019 and December 31, 2018 of $154,693 thousand and $124,228 thousand, respectively, and all prices were obtained from publicly published sources. 

Equity securities denominated in U.S. currency with quoted prices in active markets for identical assets are categorized as level 1 since the quoted prices are directly observable.  Equity securities traded on foreign exchanges are categorized as level 2 due to the added input of a foreign exchange conversion rate to determine fair or market value.  The Company uses foreign currency exchange rates published by nationally recognized sources.

All categories of fixed maturity securities listed in the tables below are generally categorized as level 2, since a particular security may not have traded but the pricing services are able to use valuation models with observable market inputs such as interest rate yield curves and prices for similar fixed maturity securities in

21

terms of issuer, maturity and seniority.  For foreign government securities and foreign corporate securities, the fair values provided by the third party pricing services in local currencies, and where applicable, are converted to U.S. dollars using currency exchange rates from nationally recognized sources.

The fixed maturities with fair values categorized as level 3 result when prices are not available from the nationally recognized pricing services.  The asset managers will then obtain non-binding price quotes for the securities from brokers. The single broker quotes are provided by market makers or broker-dealers who are recognized as market participants in the markets in which they are providing the quotes.  The prices received from brokers are reviewed for reasonableness by the third party asset managers and the Company.  If the broker quotes are for foreign denominated securities, the quotes are converted to U.S. dollars using currency exchange rates from nationally recognized sources. In limited circumstances when broker prices are not available for private placements, the Company will value the securities using comparable market information or receive fair values from investment managers. 

The composition and valuation inputs for the presented fixed maturities categories are as follows:

·U.S. Treasury securities and obligations of U.S. government agencies and corporations are primarily comprised of U.S. Treasury bonds and the fair value is based on observable market inputs such as quoted prices, reported trades, quoted prices for similar issuances or benchmark yields;

·Obligations of U.S. states and political subdivisions are comprised of state and municipal bond issuances and the fair values are based on observable market inputs such as quoted market prices, quoted prices for similar securities, benchmark yields and credit spreads;

·Corporate securities are primarily comprised of U.S. corporate and public utility bond issuances and the fair values are based on observable market inputs such as quoted market prices, quoted prices for similar securities, benchmark yields and credit spreads;

·Asset-backed and mortgage-backed securities fair values are based on observable inputs such as quoted prices, reported trades, quoted prices for similar issuances or benchmark yields and cash flow models using observable inputs such as prepayment speeds, collateral performance and default spreads;

·Foreign government securities are comprised of global non-U.S. sovereign bond issuances and the fair values are based on observable market inputs such as quoted market prices, quoted prices for similar securities and models with observable inputs such as benchmark yields and credit spreads and then, where applicable, converted to U.S. dollars using an exchange rate from a nationally recognized source;

·Foreign corporate securities are comprised of global non-U.S. corporate bond issuances and the fair values are based on observable market inputs such as quoted market prices, quoted prices for similar securities and models with observable inputs such as benchmark yields and credit spreads and then, where applicable, converted to U.S. dollars using an exchange rate from a nationally recognized source.

Other invested assets, at fair value, was categorized as Level 3 at September 30, 2019 and December 31, 2018, since it represented a privately placed convertible preferred stock issued by an affiliate.  The stock was received in exchange for shares of the Company’s parent.  The 25 year redeemable, convertible preferred stock with a 1.75% coupon is valued using a pricing model. The pricing model includes observable inputs such as the U.S. Treasury yield curve rate T note constant maturity 20 year and the swap rate on the Company’s June 1, 2044, 4.868% senior notes, with adjustments to reflect the Company’s own assumptions about the inputs that market participants would use in pricing the asset.

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The following table presents the fair value measurement levels for all assets, which the Company has recorded at fair value (fair and market value) as of the period indicated: 

			Fair Value Measurement Using:
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	September 30,		Assets		Inputs		Inputs
(Dollars in thousands)	2019		(Level 1)		(Level 2)		(Level 3)
Assets:
Fixed maturities, market value
U.S. Treasury securities and obligations of   U.S. government agencies and corporations	$	776,793	$	-	$	776,793	$	-
Obligations of U.S. States and political subdivisions		536,368		-		536,368		-
Corporate securities		2,828,423		-		2,311,025		517,398
Asset-backed securities		605,140		-		564,496		40,644
Mortgage-backed securities
Commercial		332,018		-		332,018		-
Agency residential		665,794		-		665,794		-
Non-agency residential		2,205		-		2,205		-
Foreign government securities		585,484		-		585,484		-
Foreign corporate securities		1,041,494		-		1,039,401		2,093
Total fixed maturities, market value		7,373,719		-		6,813,584		560,135
Equity securities, fair value		744,999		672,825		72,174		-
Other invested assets, fair value		2,019,642		-		-		2,019,642

There were no transfers between Level 1 and Level 2 for the nine months ended September 30, 2019.

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The following table presents the fair value measurement levels for all assets, which the Company has recorded at fair value (fair and market value) as of the period indicated.

			Fair Value Measurement Using:
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	December 31,		Assets		Inputs		Inputs
(Dollars in thousands)	2018		(Level 1)		(Level 2)		(Level 3)
Assets:
Fixed maturities, market value
U.S. Treasury securities and obligations of   U.S. government agencies and corporations	$	2,242,797	$	-	$	2,242,797	$	-
Obligations of U.S. States and political subdivisions		499,089		-		499,089		-
Corporate securities		2,216,153		-		1,839,903		376,250
Asset-backed securities		221,255		-		221,255		-
Mortgage-backed securities
Commercial		136,604		-		136,604		-
Agency residential		148,774		-		148,774		-
Non-agency residential		3,114		-		3,114		-
Foreign government securities		579,586		-		579,586		-
Foreign corporate securities		914,703		-		906,959		7,744
Total fixed maturities, market value		6,962,075		-		6,578,081		383,994
Fixed maturities, fair value		2,337		-		-		2,337
Equity securities, fair value		564,338		540,894		23,444		-
Other invested assets, fair value		1,717,336		-		-		1,717,336

In addition, $160,264 thousand and $117,662 thousand of investments within other invested assets on the consolidated balance sheets as of September 30, 2019 and December 31, 2018, respectively, are not included within the fair value hierarchy tables as the assets are measured at NAV as a practical expedient to determine fair value. 

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The following tables present the activity under Level 3, fair value measurements using significant unobservable inputs by asset type, for the periods indicated: 

	Total Fixed Maturities, Market Value
	Three Months Ended September 30, 2019								Nine Months Ended September 30, 2019
	Corporate		Asset		Foreign				Corporate		Asset		Foreign
(Dollars in thousands)	Securities		Backed Securities		Corporate		Total		Securities		Backed Securities		Corporate		Total
Beginning balance	$	472,229	$	-	$	2,093	$	474,322	$	376,250	$	-	$	7,744	$	383,994
Total gains or (losses) (realized/unrealized)
Included in earnings		1,018		-		-		1,018		3,348		-		(119)		3,229
Included in other comprehensive   income (loss)		(1,314)		644		-		(670)		1,130		644		-		1,774
Purchases, issuances and settlements		42,289		40,000		-		82,289		131,975		40,000		(5,532)		166,443
Transfers in and/or (out) of Level 3		3,176		-		-		3,176		4,695		-		-		4,695
Ending balance	$	517,398	$	40,644	$	2,093	$	560,135	$	517,398	$	40,644	$	2,093	$	560,135
The amount of total gains or losses for the   period included in earnings (or changes in   net assets) attributable to the change in   unrealized gains or losses relating to   assets still held at the reporting date	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

	Total Fixed Maturities, Market Value
	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
	Corporate		Foreign				Corporate		Foreign
(Dollars in thousands)	Securities		Corporate		Total		Securities		Corporate		Total
Beginning balance	$	329,249	$	12,615	$	341,864	$	158,221	$	6,952	$	165,173
Total gains or (losses) (realized/unrealized)
Included in earnings		(1,935)		(472)		(2,407)		(590)		(882)		(1,472)
Included in other comprehensive   income (loss)		(450)		-		(450)		(25)		-		(25)
Purchases, issuances and settlements		50,290		18		50,308		219,548		4,341		223,889
Transfers in and/or (out) of Level 3		-		-		-		-		1,750		1,750
Ending balance	$	377,154	$	12,161	$	389,315	$	377,154	$	12,161	$	389,315
The amount of total gains or losses for the   period included in earnings (or changes in   net assets) attributable to the change in   unrealized gains or losses relating to   assets still held at the reporting date	$	-	$	-	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

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	Total Fixed Maturities, Fair Value
	Three Months Ended September 30, 2019				Nine Months Ended September 30, 2019
	Foreign				Foreign
(Dollars in thousands)	Corporate		Total		Corporate		Total
Beginning balance fixed maturities at fair value	$	-	$	-	$	2,337	$	2,337
Total gains or (losses) (realized/unrealized)
Included in earnings		-		-		369		369
Included in other comprehensive income (loss)		-		-		-		-
Purchases, issuances and settlements		-		-		(2,706)		(2,706)
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	-	$	-	$	-	$	-
The amount of total gains or losses for the period   included in earnings (or changes in net assets)   attributable to the change in unrealized gains or   losses relating to assets still held at the   reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

	Total Fixed Maturities, Fair Value
	Three Months Ended September 30, 2018				Nine Months Ended September 30, 2018
	Foreign				Foreign
(Dollars in thousands)	Corporate		Total		Corporate		Total
Beginning balance fixed maturities at fair value	$	3,192	$	3,192	$	-	$	-
Total gains or (losses) (realized/unrealized)
Included in earnings		(101)		(101)		(257)		(257)
Included in other comprehensive income (loss)		(32)		(32)		-		-
Purchases, issuances and settlements		(686)		(686)		2,630		2,630
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	2,373	$	2,373	$	2,373	$	2,373
The amount of total gains or losses for the period   included in earnings (or changes in net assets)   attributable to the change in unrealized gains or   losses relating to assets still held at the   reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

The net transfers to/(from) level 3, fair value measurements using significant unobservable inputs for fixed maturities, market value were $3,176 thousand and $4,695 thousand for the three and nine months ended September 30, 2019.  The transfers during 2019 were related to securities that were priced using a recognized pricing service as of December 31, 2018.  These securities were subsequently priced using single non-binding broker quotes as of September 30, 2019. 

26

The following table presents the activity under Level 3, fair value measurements using significant unobservable inputs by other invested assets, for the periods indicated: 

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Other invested assets, fair value:
Beginning balance	$	1,892,988	$	1,705,037	$	1,717,336	$	1,807,473
Total gains or (losses) (realized/unrealized)
Included in earnings		126,655		(12,816)		302,306		(115,252)
Included in other comprehensive income (loss)		-		-		-		-
Purchases, issuances and settlements		-		-		-		-
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	2,019,642	$	1,692,221	$	2,019,642	$	1,692,221
The amount of total gains or losses for the period   included in earnings (or changes in net assets)   attributable to the change in unrealized gains or   losses relating to assets still held at the   reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

7.  COMMITMENTS AND CONTINGENCIES

In the ordinary course of business, the Company is involved in lawsuits, arbitrations and other formal and informal dispute resolution procedures, the outcomes of which will determine the Company’s rights and obligations under insurance and reinsurance agreements.  In some disputes, the Company seeks to enforce its rights under an agreement or to collect funds owing to it.  In other matters, the Company is resisting attempts by others to collect funds or enforce alleged rights.  These disputes arise from time to time and are ultimately resolved through both informal and formal means, including negotiated resolution, arbitration and litigation.  In all such matters, the Company believes that its positions are legally and commercially reasonable.  The Company considers the statuses of these proceedings when determining its reserves for unpaid loss and loss adjustment expenses.

Aside from litigation and arbitrations related to these insurance and reinsurance agreements, the Company is not a party to any other material litigation or arbitration.

The Company has entered into separate annuity agreements with The Prudential Insurance Company of America (“The Prudential”) and an additional unaffiliated life insurance company in which the Company has either purchased annuity contracts or become the assignee of annuity proceeds that are meant to settle claim payment obligations in the future. In both instances, the Company would become contingently liable if either The Prudential or the unaffiliated life insurance company were unable to make payments related to the respective annuity contract.

The table below presents the estimated cost to replace all such annuities for which the Company was contingently liable for the periods indicated: 

	At September 30,		At December 31,
(Dollars in thousands)	2019		2018
The Prudential	$	141,608	$	142,754
Unaffiliated life insurance company		34,394		34,717

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8.  COMPREHENSIVE INCOME (LOSS)

The following tables present the components of comprehensive income (loss) in the consolidated statements of operations and comprehensive income (loss) for the periods indicated: 

	Three Months Ended September 30, 2019						Nine Months Ended September 30, 2019
(Dollars in thousands)	Before Tax		Tax Effect		Net of Tax		Before Tax		Tax Effect		Net of Tax
Unrealized appreciation (depreciation)   ("URA(D)") on securities - temporary	$	30,803		(6,443)	$	24,360	$	229,768	$	(48,311)	$	181,457
URA(D) on securities - OTTI		119		(25)		94		(581)		122		(459)
Reclassification of net realized losses   (gains) included in net income (loss)		2,671		(586)		2,085		8,533		(1,606)		6,927
Foreign currency translation adjustments		3,641		(760)		2,881		6,286		(1,316)		4,970
Reclassification of amortization of net gain   (loss) included in net income (loss)		1,726		(362)		1,364		4,640		(974)		3,666
Total other comprehensive income (loss)	$	38,960	$	(8,176)	$	30,784	$	248,646	$	(52,085)	$	196,561
(Some amounts may not reconcile due to rounding)

	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
(Dollars in thousands)	Before Tax		Tax Effect		Net of Tax		Before Tax		Tax Effect		Net of Tax
Unrealized appreciation (depreciation)   ("URA(D)") on securities - temporary	$	(9,109)	$	1,919	$	(7,190)	$	(92,026)	$	19,561	$	(72,465)
URA(D) on securities - OTTI		326		(68)		258		691		(145)		546
Reclassification of net realized losses   (gains) included in net income (loss)		3,210		(676)		2,534		(2,425)		278		(2,147)
Foreign currency translation adjustments		(3,723)		793		(2,930)		(31,781)		6,697		(25,084)
Reclassification of amortization of net gain   (loss) included in net income (loss)		2,298		(482)		1,816		6,893		(1,447)		5,446
Total other comprehensive income (loss)	$	(6,998)	$	1,486	$	(5,512)	$	(118,648)	$	24,944	$	(93,704)
(Some amounts may not reconcile due to rounding)

The following table presents details of the amounts reclassified from AOCI for the periods indicated: 

	Three Months Ended				Nine Months Ended				Affected line item within the
	September 30,				September 30,				statements of operations and
AOCI component	2019		2018		2019		2018		comprehensive income (loss)
(Dollars in thousands)
URA(D) on securities	$	2,671	$	3,210	$	8,533	$	(2,425)	Other net realized capital gains (losses)
		(586)		(676)		(1,606)		278	Income tax expense (benefit)
	$	2,085	$	2,534	$	6,927	$	(2,147)	Net income (loss)
Benefit plan net gain (loss)	$	1,726	$	2,298	$	4,640	$	6,893	Other underwriting expenses
		(362)		(482)		(974)		(1,447)	Income tax expense (benefit)
	$	1,364	$	1,816	$	3,666	$	5,446	Net income (loss)
(Some amounts may not reconcile due to rounding)

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The following table presents the components of accumulated other comprehensive income (loss), net of tax, in the consolidated balance sheets for the periods indicated: 

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Beginning balance of URA (D) on securities	$	105,436	$	(34,673)	$	(55,950)	$	37,442
Change to beginning balance due to adoption   of ASU 2016-01		-		-		-		(2,447)
Current period change in URA (D) of investments -   temporary		26,446		(4,656)		188,385		(74,612)
Current period change in URA (D) of investments -   non-credit OTTI		94		258		(459)		546
Ending balance of URA (D) on securities		131,976		(39,071)		131,976		(39,071)
Beginning balance of foreign currency translation   adjustments		(797)		11,391		(2,886)		33,545
Current period change in foreign currency translation   adjustments		2,880		(2,930)		4,969		(25,084)
Ending balance of foreign currency translation   adjustments		2,083		8,461		2,083		8,461
Beginning balance of benefit plan net gain (loss)		(65,116)		(68,299)		(67,418)		(71,929)
Current period change in benefit plan net gain (loss)		1,364		1,816		3,666		5,446
Ending balance of benefit plan net gain (loss)		(63,752)		(66,483)		(63,752)		(66,483)
Ending balance of accumulated other comprehensive   income (loss)	$	70,307	$	(97,093)	$	70,307	$	(97,093)

9.  COLLATERALIZED REINSURANCE AND TRUST AGREEMENTS

A subsidiary of the Company, Everest Re, has established a trust agreement, which effectively uses Everest Re’s investments as collateral, as security for assumed losses payable to non-affiliated ceding companies.  At September 30, 2019, the total amount on deposit in the trust account was $626,689 thousand.

On April 24, 2014, the Company entered into two collateralized reinsurance agreements with Kilimanjaro Re Limited (“Kilimanjaro”), a Bermuda based special purpose reinsurer, to provide the Company with catastrophe reinsurance coverage.  These agreements are multi-year reinsurance contracts, which cover specified named storm and earthquake events.  The first agreement provides up to $250,000 thousand of reinsurance coverage from named storms in specified states of the Southeastern United States.  The second agreement provides up to $200,000 thousand of reinsurance coverage from named storms in specified states of the Southeast, Mid-Atlantic and Northeast regions of the United States and Puerto Rico as well as reinsurance coverage from earthquakes in specified states of the Southeast, Mid-Atlantic, Northeast and West regions of the United States, Puerto Rico and British Columbia.  These reinsurance agreements expired in April 2018.

On November 18, 2014, the Company entered into a collateralized reinsurance agreement with Kilimanjaro to provide the Company with catastrophe reinsurance coverage. This agreement is a multi-year reinsurance contract which covers specified earthquake events.  The agreement provides up to $500,000 thousand of reinsurance coverage from earthquakes in the United States, Puerto Rico and Canada. 

On December 1, 2015, the Company entered into two collateralized reinsurance agreements with Kilimanjaro to provide the Company with catastrophe reinsurance coverage.  These agreements are multi-year reinsurance contracts which cover named storm and earthquake events. The first agreement provides up to $300,000 thousand of reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico and Canada.  The second agreement provides up to $325,000 thousand of reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico and Canada.

On April 13, 2017, the Company entered into six collateralized reinsurance agreements with Kilimanjaro to provide the Company with annual aggregate catastrophe reinsurance coverage.  The initial three agreements

29

are four year reinsurance contracts which cover named storm and earthquake events.  These agreements provide up to $225,000 thousand, $400,000 thousand and $325,000 thousand, respectively, of annual aggregate reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico and Canada. The subsequent three agreements are five year reinsurance contracts which cover named storm and earthquake events.  These agreements provide up to $50,000 thousand, $75,000 thousand and $175,000 thousand, respectively, of annual aggregate reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico and Canada. 

On April 30, 2018, the Company entered into four collateralized reinsurance agreements with Kilimanjaro to provide the Company with catastrophe reinsurance coverage.  These agreements are multi-year reinsurance contracts which cover named storm and earthquake events. The first two agreements are four year reinsurance contracts which provide up to $62,500 thousand and $200,000 thousand, respectively, of annual aggregate reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico, the U.S. Virgin Islands and Canada.  The remaining two agreements are five year reinsurance contracts which provide up to $62,500 thousand and $200,000 thousand, respectively, of annual aggregate reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico, the U.S. Virgin Islands and Canada.

Recoveries under these collateralized reinsurance agreements with Kilimanjaro are primarily dependent on estimated industry level insured losses from covered events, as well as, the geographic location of the events.  The estimated industry level of insured losses is obtained from published estimates by an independent recognized authority on insured property losses.  Currently, none of the published insured loss estimates for the 2017 catastrophe events have exceeded the single event retentions under the terms of the agreements that would result in a recovery.  In addition, the aggregation of the to date published insured loss estimates for the 2017 covered events have not exceeded the aggregated retentions for recovery. 

Kilimanjaro has financed the various property catastrophe reinsurance coverages by issuing catastrophe bonds to unrelated, external investors.  On April 24, 2014, Kilimanjaro issued $450,000 thousand of notes (“Series 2014-1 Notes”). The $450,000 thousand of Series 2014-1 Notes were fully redeemed on April 30, 2018 and are no longer outstanding.  On November 18, 2014, Kilimanjaro issued $500,000 thousand of notes (“Series 2014-2 Notes”).  On December 1, 2015, Kilimanjaro issued $625,000 thousand of notes (“Series 2015-1 Notes).  On April 13, 2017, Kilimanjaro issued $950,000 thousand of notes (“Series 2017-1 Notes) and $300,000 thousand of notes (“Series 2017-2 Notes). On April 30, 2018, Kilimanjaro issued $262,500 thousand of notes (“Series 2018-1 Notes”) and $262,500 thousand of notes (“Series 2018-2 Notes”). The proceeds from the issuance of the Notes listed above are held in reinsurance trust throughout the duration of the applicable reinsurance agreements and invested solely in US government money market funds with a rating of at least “AAAm” by Standard & Poor’s. 

10.  SENIOR NOTES

The table below displays Holdings’ outstanding senior notes.  Market value is based on quoted market prices, but due to limited trading activity, these senior notes are considered Level 2 in the fair value hierarchy. 

				September 30, 2019				December 31, 2018
				Consolidated				Consolidated
			Principal	Balance Sheet		Market		Balance Sheet		Market
(Dollars in thousands)	Date Issued	Date Due	Amounts	Amount		Value		Amount		Value
Senior notes	06/05/2014	06/01/2044	400,000	$	397,044	$	450,984	$	396,954	$	396,968

On June 5, 2014, Holdings issued $400,000 thousand of 30 year senior notes at 4.868%, which will mature on June 1, 2044. Interest will be paid semi-annually on June 1 and December 1 of each year. 

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Interest expense incurred in connection with these senior notes is as follows for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Interest expense incurred	$	4,868	$	4,868	$	14,604	$	14,604

11.  LONG TERM SUBORDINATED NOTES

The table below displays Holdings’ outstanding fixed to floating rate long term subordinated notes.  Market value is based on quoted market prices, but due to limited trading activity, these subordinated notes are considered Level 2 in the fair value hierarchy. 

September 30, 2019

December 31, 2018

Original

Consolidated

Consolidated

Principal

Maturity Date

Balance

Market

Balance

Market

(Dollars in thousands)

Date Issued

Amount

Scheduled

Final

Sheet Amount

Value

Sheet Amount

Value

Long term subordinated notes

04/26/2007

$

400,000

05/15/2037

05/01/2067

$

236,733

$

214,853

$

236,659

$

200,390

During the fixed rate interest period from May 3, 2007 through May 14, 2017, interest was at the annual rate of 6.6%, payable semi-annually in arrears on November 15 and May 15 of each year, commencing on November 15, 2007.  During the floating rate interest period from May 15, 2017 through maturity, interest will be based on the 3 month LIBOR plus 238.5 basis points, reset quarterly, payable quarterly in arrears on February 15, May 15, August 15 and November 15 of each year, subject to Holdings’ right to defer interest on one or more occasions for up to ten consecutive years.  Deferred interest will accumulate interest at the applicable rate compounded quarterly for periods from and including May 15, 2017.  The reset quarterly interest rate for August 15, 2019 to November 14, 2019 is 4.54%. 

Holdings may redeem the long term subordinated notes on or after May 15, 2017, in whole or in part at 100% of the principal amount plus accrued and unpaid interest; however, redemption on or after the scheduled maturity date and prior to May 1, 2047 is subject to a replacement capital covenant.  This covenant is for the benefit of certain senior note holders and it mandates that Holdings receive proceeds from the sale of another subordinated debt issue, of at least similar size, before it may redeem the subordinated notes.  Effective upon the maturity of the Company’s 5.40% senior notes on October 15, 2014, the Company’s 4.868% senior notes, due on June 1, 2044, have become the Company’s long term indebtedness that ranks senior to the long term subordinated notes. 

On March 19, 2009, Group announced the commencement of a cash tender offer for any and all of the 6.60% fixed to floating rate long term subordinated notes.  Upon expiration of the tender offer, the Company had reduced its outstanding debt by $161,441 thousand. 

Interest expense incurred in connection with these long term subordinated notes is as follows for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Interest expense incurred	$	2,881	$	2,875	$	8,892	$	7,968

12.  FEDERAL HOME LOAN BANK MEMBERSHIP

Effective August 15, 2019, Everest Re became a member of the Federal Home Loan Bank (“FHLB”) organization, which allows Everest Re to borrow up to 10% of its statutory admitted assets.  As of June 30, 2019, Everest Re had admitted assets of $12,310,510 thousand which provides borrowing capacity of up to $1,231,051 thousand.  Through September 30, 2019, Everest Re had no borrowings through the FHLB.

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13.  LEASES

Effective January 1, 2019, the Company adopted ASU 2016-02 and ASU 2018-11 which outline new guidance on the accounting for leases.  The Company enters into lease agreements for real estate that is primarily used for office space in the ordinary course of business.  These leases are accounted for as operating leases, whereby lease expense is recognized on a straight-line basis over the term of the lease.  Most leases include an option to extend or renew the lease term.  The exercise of the renewal is at the Company’s discretion.  The operating lease liability includes lease payments related to options to extend or renew the lease term if the Company is reasonably certain of exercise those options.  The Company, in determining the present value of lease payments utilizes either the rate implicit in the lease if that rate is readily determinable or the Company’s incremental secured borrowing rate commensurate with terms of the underlying lease.

Supplemental information related to operating leases is as follows for the periods indicated:

	Three Months Ended		Nine Months Ended
	September 30,		September 30,
(Dollars in thousands)	2019		2019
Lease expense incurred:
Operating lease cost	$	4,791	$	14,146

	At September 30,
(Dollars in thousands)	2019
Operating lease right of use assets	$	50,356
Operating lease liabilities		55,702

	Nine Months Ended
	September 30,
(Dollars in thousands)	2019
Operating cash flows from operating leases	$	(12,914)

	At September 30,
	2019
Weighted average remaining operating lease term	6.0 years
Weighted average discount rate on operating leases	4.48	%

Maturities of the existing lease liabilities are expected to occur as follows: 

(Dollars in thousands)
Remainder of 2019	$	4,294
2020		17,233
2021		8,603
2022		8,328
2023		8,235
2024		8,104
Thereafter		13,653
Undiscounted lease payments		68,450
Less:  present value adjustment		12,748
Total operating lease liability	$	55,702

The amount of operating lease liabilities is not separately presented in the consolidated financial statements but is included in other liabilities.  Disclosures regarding minimum lease payments under previous lease accounting guidance can be found in the Company’s 2018 Form 10-K.

32

On July 2, 2019, the Company entered into a lease agreement to relocate its corporate offices from Liberty Corner, New Jersey to a corporate complex in Warren, New Jersey.  The new lease, which covers approximately 315,000 square feet of office space, will be effective October 1, 2019 and runs through 2036.  The initial base rent payment of the lease will be approximately $650 thousand per month or $7,800 thousand per year.  The Company expects to relocate the existing operations and employees of the Liberty Corner, New Jersey facility to the new corporate complex by the end of 2020.

14.  SEGMENT REPORTING

The U.S. Reinsurance operation writes property and casualty reinsurance and specialty lines of business, including Marine, Aviation, Surety and Accident and Health (“A&H”) business, on both a treaty and facultative basis, through reinsurance brokers, as well as directly with ceding companies primarily within the U.S.  The International operation writes non-U.S. property and casualty reinsurance through Everest Re’s branches in Canada, Singapore and through offices in Brazil, Miami and New Jersey.  The Insurance operation writes property and casualty insurance directly and through brokers, surplus lines brokers and general agents mainly within the U.S. 

These segments are managed independently, but conform with corporate guidelines with respect to pricing, risk management, control of aggregate catastrophe exposures, capital, investments and support operations.  Management generally monitors and evaluates the financial performance of these operating segments based upon their underwriting results. 

Underwriting results include earned premium less losses and LAE incurred, commission and brokerage expenses and other underwriting expenses.  We measure our underwriting results using ratios, in particular loss, commission and brokerage and other underwriting expense ratios, which, respectively, divide incurred losses, commissions and brokerage and other underwriting expenses by premiums earned. 

The Company does not maintain separate balance sheet data for its operating segments.  Accordingly, the Company does not review and evaluate the financial results of its operating segments based upon balance sheet data. 

The following tables present the underwriting results for the operating segments for the periods indicated:

	Three Months Ended				Nine Months Ended
U.S. Reinsurance	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	854,641	$	940,839	$	2,260,544	$	2,237,170
Net written premiums		740,096		703,944		1,845,931		1,557,706
Premiums earned	$	630,135	$	528,867	$	1,810,175	$	1,437,761
Incurred losses and LAE		392,912		394,621		1,077,023		1,404,349
Commission and brokerage		215,825		156,500		555,517		432,531
Other underwriting expenses		19,148		16,250		50,467		48,608
Underwriting gain (loss)	$	2,250	$	(38,504)	$	127,168	$	(447,727)

	Three Months Ended				Nine Months Ended
International	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	442,587	$	363,359	$	1,204,229	$	1,129,097
Net written premiums		401,341		340,701		1,109,418		1,012,933
Premiums earned	$	366,410	$	331,921	$	1,041,870	$	1,003,993
Incurred losses and LAE		407,799		315,850		858,683		751,696
Commission and brokerage		81,674		78,180		237,510		240,953
Other underwriting expenses		11,258		9,991		29,355		29,946
Underwriting gain (loss)	$	(134,321)	$	(72,100)	$	(83,678)	$	(18,602)

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	Three Months Ended				Nine Months Ended
Insurance	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	592,775	$	454,993	$	1,798,149	$	1,491,438
Net written premiums		428,518		333,836		1,326,714		1,105,223
Premiums earned	$	431,855	$	369,983	$	1,222,432	$	1,084,863
Incurred losses and LAE		297,382		259,826		801,705		756,267
Commission and brokerage		60,182		53,532		169,647		159,187
Other underwriting expenses		65,287		52,559		177,604		151,823
Underwriting gain (loss)	$	9,004	$	4,066	$	73,476	$	17,586

The following table reconciles the underwriting results for the operating segments to income (loss) before taxes as reported in the consolidated statements of operations and comprehensive income (loss) for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Underwriting gain (loss)	$	(123,067)	$	(106,538)	$	116,966	$	(448,743)
Net investment income		95,592		90,298		270,835		232,277
Net realized capital gains (losses)		112,542		30,018		390,161		(72,454)
Corporate expense		(3,183)		(2,488)		(7,353)		(7,597)
Interest, fee and bond issue cost amortization expense		(7,802)		(7,796)		(27,314)		(22,732)
Other income (expense)		(2,673)		(4,802)		(8,459)		(3,905)
Income (loss) before taxes	$	71,409	$	(1,308)	$	734,836	$	(323,154)

The Company produces business in the U.S. and internationally.  The net income deriving from assets residing in the individual foreign countries in which the Company writes business are not identifiable in the Company’s financial records.  Based on gross written premium, the table below presents the largest country, other than the U.S., in which the Company writes business, for the periods indicated: 

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Canada gross written premiums	$	52,136	$	41,005	$	138,392	$	125,586

No other country represented more than 5% of the Company’s revenues. 

15.  RELATED-PARTY TRANSACTIONS

Parent

Group entered into a $250,000 thousand long term promissory note agreement with Holdings as of December 31, 2014.  The note was repaid in December 2018.  Interest income in the amount of $0 thousand and $1,075 thousand was recorded by Holdings for the three months ended September 30, 2019 and 2018, respectively.  Interest income in the amount of $0 thousand and $2,150 thousand was recorded by Holdings for the nine months ended September 30, 2019 and 2018, respectively. 

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Group’s Board of Directors approved an amended share repurchase program authorizing Group and/or its subsidiary Holdings to purchase Group’s common shares through open market transactions, privately negotiated transactions or both.  The table below represents the amendments to the share repurchase program for the common shares approved for repurchase. 

	Common
	Shares
	Authorized for
Amendment Date	Repurchase
(Dollars in thousands)
09/21/2004	5,000,000
07/21/2008	5,000,000
02/24/2010	5,000,000
02/22/2012	5,000,000
05/15/2013	5,000,000
11/19/2014	5,000,000
	30,000,000

Holdings had purchased and held 9,719,971 Common Shares of Group, which were purchased in the open market between February 2007 and March 2011.

In December, 2015, Holdings transferred the 9,719,971 Common Shares of Group, which it held as other invested assets, at fair value, valued at $1,773,214 thousand, to Preferred Holdings, an affiliated entity and subsidiary of Group, in exchange for 1,773.214 preferred shares of Preferred Holdings with a $1,000 thousand par value and 1.75% annual dividend rate.  After the exchange, Holdings no longer holds any shares or has any ownership interest in Group. 

Holdings reported its preferred shares in Preferred Holdings, as other invested assets, fair value, in the consolidated balance sheets with changes in fair value re-measurement recorded in net realized capital gains (losses) in the consolidated statements of operations and comprehensive income (loss).  The following table presents the dividends received on the preferred shares of Preferred Holdings that are reported as net investment income in the consolidated statements of operations and comprehensive income (loss) for the period indicated. 

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Dividends received on preferred stock of affiliate	$	7,758	$	7,758	$	23,274	$	23,274

Affiliated Companies

Effective December 31, 2018, Holdings entered into a $300,000 thousand long-term promissory note agreement with Bermuda Re.  The note was repaid in May, 2019.  This transaction was presented as a Note Payable – Affiliated in the consolidated balance sheets of Holdings as of December 31, 2018.  Interest expense of $0 thousand and $3,658 thousand was recorded by Holdings for the three and nine months ended September 30, 2019, respectively. 

Effective October 1, 2018, Holdings Ireland made a capital contribution of Global Services, an affiliated entity, to Holdings.  Global Services had an equity value of $227,253 thousand at the time of contribution and that value is classified as additional paid in capital in the Company’s consolidated balance sheet as of December 31, 2018.

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Affiliates

The table below represents affiliated quota share reinsurance agreements ("whole account quota share") for all new and renewal business for the indicated coverage period: 

(Dollars in thousands)
						Single
		Percent		Assuming		Occurrence		Aggregate
Coverage Period	Ceding Company	Ceded		Company	Type of Business	Limit		Limit
01/01/2010-12/31/2010	Everest Re	44.0	%	Bermuda Re	property / casualty business	150,000		325,000
01/01/2011-12/31/2011	Everest Re	50.0	%	Bermuda Re	property / casualty business	150,000		300,000
01/01/2012-12/31/2014	Everest Re	50.0	%	Bermuda Re	property / casualty business	100,000		200,000
01/01/2015-12/31/2016	Everest Re	50.0	%	Bermuda Re	property / casualty business	162,500		325,000
01/01/2017-12/31/2017	Everest Re	60.0	%	Bermuda Re	property / casualty business	219,000		438,000
01/01/2010-12/31/2010	Everest Re- Canadian Branch	60.0	%	Bermuda Re	property business	350,000	(1)	-
01/01/2011-12/31/2011	Everest Re- Canadian Branch	60.0	%	Bermuda Re	property business	350,000	(1)	-
01/01/2012-12/31/2012	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	206,250	(1)	412,500	(1)
01/01/2013-12/31/2013	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	150,000	(1)	412,500	(1)
01/01/2014-12/31/2017	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	262,500	(1)	412,500	(1)
01/01/2012-12/31/2017	Everest Canada	80.0	%	Everest Re-   Canadian Branch	property business	-		-
(1) Amounts shown are Canadian dollars.

Effective January 1, 2018, Everest Re entered into a twelve month whole account aggregate stop loss reinsurance contract (“stop loss agreement”) with Bermuda Re.  The stop loss agreement provides coverage for ultimate net losses on applicable net earned premiums above a retention level, subject to certain other coverage limits and conditions.  The stop loss agreement was renewed effective January 1, 2019. 

In addition, Everest Re entered into a property catastrophe excess of loss reinsurance contract with Bermuda Re, effective January 1, 2019.  The contract provides $100,000 thousand of reinsurance coverage for property catastrophe losses above certain attachment points. 

The table below represents loss portfolio transfer (“LPT”) reinsurance agreements whereby net insurance exposures and reserves were transferred to an affiliate. 

(Dollars in thousands)
Effective	Transferring	Assuming		% of Business or		Covered Period
Date	Company	Company		Amount of Transfer		of Transfer
10/01/2001	Everest Re  (Belgium Branch)	Bermuda Re		100	%	All years
10/01/2008	Everest Re	Bermuda Re	$	747,022		01/01/2002-12/31/2007
12/31/2017	Everest Re	Bermuda Re	$	970,000		All years

On December 31, 2017, the Company entered into a LPT agreement with Bermuda Re.  The LPT agreement covers subject loss reserves of $2,336,242 thousand for accident years 2017 and prior.  As a result of the LPT agreement, the Company transferred $1,000,000 thousand of cash and fixed maturity securities and transferred $970,000 thousand of loss reserves to Bermuda Re.  As part of the LPT agreement, Bermuda Re will provide an additional $500,000 thousand of adverse development coverage on the subject loss reserves. 

The following tables summarize the premiums and losses ceded by the Company to Bermuda Re and Everest International, respectively, and premiums and losses assumed by the Company from Everest Canada and Lloyd’s syndicate 2786 for the periods indicated: 

	Three Months Ended				Nine Months Ended
Bermuda Re	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	14,660	$	146,513	$	85,667	$	421,804
Ceded earned premiums		16,510		148,228		85,632		432,459
Ceded losses and LAE		(16,836)		34,683		(8,521)		70,791

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	Three Months Ended				Nine Months Ended
Everest International	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	-	$	-	$	-	$	-
Ceded earned premiums		-		-		-		-
Ceded losses and LAE		10		(5)		(26)		(362)

	Three Months Ended				Nine Months Ended
Everest Canada	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Assumed written premiums	$	-	$	-	$	-	$	-
Assumed earned premiums		-		-		-		-
Assumed losses and LAE		(1,633)		(1,388)		(938)		1,958

	Three Months Ended				Nine Months Ended
Lloyd's Syndicate 2786	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Assumed written premiums	$	24	$	1,056	$	(8,702)	$	795
Assumed earned premiums		850		2,876		(16,380)		13,826
Assumed losses and LAE		1,141		2,883		(2,386)		10,909

In 2013, Group established Mt. Logan Re, which is a Class 3 insurer based in Bermuda.  Mt. Logan Re then established separate segregated accounts for its business activity, which invest in a diversified set of catastrophe exposures.

The following table summarizes the premiums and losses that are ceded by the Company to Mt. Logan Re segregated accounts and assumed by the Company from Mt. Logan Re segregated accounts.

	Three Months Ended				Nine Months Ended
Mt. Logan Re Segregated Accounts	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	79,152	$	53,340	$	193,664	$	154,779
Ceded earned premiums		69,942		44,699		176,576		149,674
Ceded losses and LAE		81,136		23,087		145,918		130,994
Assumed written premiums		-		3,219		-		7,866
Assumed earned premiums		-		3,219		-		7,866
Assumed losses and LAE		-		-		-		-

16.  RETIREMENT BENEFITS

The Company maintains both qualified and non-qualified defined benefit pension plans for its U.S. employees employed prior to April 1, 2010.  Generally, the Company computes the benefits based on average earnings over a period prescribed by the plans and credited length of service.  The Company’s non-qualified defined benefit pension plan provided compensating pension benefits for participants whose benefits have been curtailed under the qualified plan due to Internal Revenue Code limitations.  Effective January 1, 2018, participants of the Company’s non-qualified defined benefit pension plan may no longer accrue additional service benefits. 

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Net periodic benefit cost for U.S. employees included the following components for the periods indicated: 

Pension Benefits	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Service cost	$	2,064	$	2,977	$	6,616	$	8,931
Interest cost		2,928		2,585		8,788		7,754
Expected return on plan assets		(4,492)		(3,670)		(14,523)		(11,011)
Amortization of net (income) loss		1,909		2,237		5,111		6,710
Settlement charge		102		-		309		-
Net periodic benefit cost	$	2,511	$	4,129	$	6,301	$	12,384

Other Benefits	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Service cost	$	245	$	446	$	818	$	1,339
Interest cost		245		307		835		920
Amortization of prior service cost		(144)		(33)		(433)		(98)
Amortization of net (income) loss		(39)		94		(39)		282
Net periodic benefit cost	$	307	$	814	$	1,181	$	2,443
(Some amounts may not reconcile due to rounding.)

The service cost component of net periodic benefit costs is included within other underwriting expenses on the consolidated statement of operations and comprehensive income (loss).  In accordance with ASU 2017-07, other staff compensation costs are also primarily recorded within this line item. 

The Company did not make any contributions to the qualified pension benefit plan for the three and nine months ended September 30, 2019. For the three and nine months ended September 30, 2018, the company contributed $77,000 thousand to the qualified pension benefit plan.

17.  INCOME TAXES

The Company is domiciled in the United States and has subsidiaries domiciled within the United States with significant branches in Canada and Singapore.  The Company’s non-U.S. branches are subject to income taxation at varying rates in their respective domiciles. 

The Company generally applies the estimated annual effective tax rate approach for calculating its tax provision for interim periods as prescribed by ASC 740-270, Interim Reporting.  Under the estimated annual effective tax rate approach, the estimated annual effective tax rate is applied to the interim year-to-date pre-tax income/loss to determine the income tax expense or benefit for the year-to-date period.  If the annual effective tax rate approach produces a year-to-date tax benefit which exceeds the amount which is estimated to be recoverable for the full year, then the tax benefit for the interim reporting period will be limited as prescribed under ASC 740-270 to the estimated recoverable based on the year-to-date result.  The tax expense or benefit for the quarter represents the difference between the year-to-date tax expense or benefit for the current year-to-date period less such amount for the immediately preceding year-to-date period. Management considers the impact of all known events in its estimation of the Company’s annual pre-tax income/loss and effective tax rate.

18.  SUBSEQUENT EVENTS

The Company has evaluated known recognized and non-recognized subsequent events. In October 2019, Typhoon Hagibis made landfall in Japan. Additionally, wildfires are currently impacting California. Due to the recentness of these events, the company is unable to estimate the amount of losses at this time. However, the company anticipates that the losses from these events will adversely impact fourth quarter 2019 financial statements. 

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ITEM 2.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION

Industry Conditions.

The worldwide reinsurance and insurance businesses are highly competitive, as well as cyclical by product and market.  As such, financial results tend to fluctuate with periods of constrained availability, higher rates and stronger profits followed by periods of abundant capacity, lower rates and constrained profitability.  Competition in the types of reinsurance and insurance business that we underwrite is based on many factors, including the perceived overall financial strength of the reinsurer or insurer, ratings of the reinsurer or insurer by A.M. Best and/or Standard & Poor’s, underwriting expertise, the jurisdictions where the reinsurer or insurer is licensed or otherwise authorized, capacity and coverages offered, premiums charged, other terms and conditions of the reinsurance and insurance business offered, services offered, speed of claims payment and reputation and experience in lines written.  Furthermore, the market impact from these competitive factors related to reinsurance and insurance is generally not consistent across lines of business, domestic and international geographical areas and distribution channels. 

We compete in the U.S. and international reinsurance and insurance markets with numerous global competitors. Our competitors include independent reinsurance and insurance companies, subsidiaries or affiliates of established worldwide insurance companies, reinsurance departments of certain insurance companies, domestic and international underwriting operations, including underwriting syndicates at Lloyd’s of London and certain government sponsored risk transfer vehicles.  Some of these competitors have greater financial resources than we do and have established long term and continuing business relationships, which can be a significant competitive advantage.  In addition, the lack of strong barriers to entry into the reinsurance business and recently, the securitization of reinsurance and insurance risks through capital markets provide additional sources of potential reinsurance and insurance capacity and competition. 

Worldwide insurance and reinsurance market conditions continued to be very competitive, particularly in the property catastrophe and casualty reinsurance lines of business.  Generally, there was ample insurance and reinsurance capacity relative to demand, as well as, additional capital from the capital markets through insurance linked financial instruments.  These financial instruments such as side cars, catastrophe bonds and collateralized reinsurance funds, provide capital markets with access to insurance and reinsurance risk exposure.  The capital markets demand for these products is being primarily driven by the current low interest rate environment and the desire to achieve greater risk diversification and potentially higher returns on their investments.  This increased competition is generally having a negative impact on rates, terms and conditions; however, the impact varies widely by market and coverage. 

Rates tend to fluctuate by specific region and products, particularly areas recently impacted by large catastrophic events.  There were numerous natural catastrophes in 2018 with total industry losses estimated to be $90 billion.  The costliest event was the Camp Wildfire in California, the deadliest and most destructive California fire on record.  These 2018 catastrophe losses followed another record year of catastrophes in 2017 where total industry losses for the worldwide events were estimated at $140 billion.  These catastrophe losses included an unprecedented series of catastrophes in the third quarter of 2017 with Hurricanes Harvey, Irma and Maria, as well as a significant earthquake in Mexico City.  Additional catastrophe events occurred in the fourth quarter of 2017 with the wild fires in California and Hurricanes Nate and Ophelia.  During 2016, catastrophe losses included the Fort McMurray Canadian wildfire, Hurricane Matthew which affected a large area of the Caribbean and southeastern United States, storms and an earthquake in Ecuador.  While the future impact on market conditions from these catastrophes cannot be determined at this time, there has been some firming in the markets impacted by the catastrophes, as well, improvements in rate in some other reinsurance lines, including casualty lines, and also improvements in the insurance property and casualty lines. 

Commencing in 2015, we initiated a strategic build out of our insurance platform through the investment in key leadership hires, which in turn has brought significant underwriting talent and stronger direction in achieving our insurance program strategic goals of increased premium volume and improved underwriting results.  Recent growth is coming from highly diversified areas including newly launched lines of business, as well as, product and geographic expansion in existing lines of business.  We are building a world-class insurance platform capable of offering products across lines and geographies, complementing our leading global reinsurance franchise. 

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Overall, we believe that given our size, strong ratings, distribution system, reputation, expertise and capital market vehicle activity the current marketplace conditions provide profit opportunities.  We continue to employ our strategy of targeting business that offers the greatest profit potential, while maintaining balance and diversification in our overall portfolio. 

Financial Summary.

We monitor and evaluate our overall performance based upon financial results.  The following table displays a summary of the consolidated net income (loss), ratios and stockholder’s equity for the periods indicated: 

	Three Months Ended				Percentage	Nine Months Ended				Percentage
	September 30,				Increase/	September 30,				Increase/
(Dollars in millions)	2019		2018		(Decrease)	2019		2018		(Decrease)
Gross written premiums	$	1,890.0	$	1,759.2	7.4%	$	5,262.9	$	4,857.7	8.3%
Net written premiums		1,570.0		1,378.5	13.9%		4,282.1		3,675.9	16.5%
REVENUES:
Premiums earned	$	1,428.4	$	1,230.8	16.1%	$	4,074.5	$	3,526.6	15.5%
Net investment income		95.6		90.3	5.9%		270.8		232.3	16.6%
Net realized capital gains (losses)		112.6		30.0	NM		390.2		(72.5)	NM
Other income (expense)		(2.7)		(4.8)	-44.3%		(8.5)		(3.9)	116.6%
Total revenues		1,633.9		1,346.3	21.4%		4,727.0		3,682.5	28.4%
CLAIMS AND EXPENSES:
Incurred losses and loss adjustment   expenses		1,098.1		970.3	13.2%		2,737.4		2,912.3	-6.0%
Commission, brokerage, taxes and fees		357.7		288.2	24.1%		962.7		832.7	15.6%
Other underwriting expenses		95.7		78.8	21.4%		257.4		230.4	11.7%
Corporate expense		3.2		2.5	27.9%		7.4		7.6	-3.2%
Interest, fee and bond issue cost   amortization expense		7.8		7.8	0.1%		27.3		22.7	20.2%
Total claims and expenses		1,562.5		1,347.6	15.9%		3,992.2		4,005.7	-0.3%
INCOME (LOSS) BEFORE TAXES		71.4		(1.3)	NM		734.8		(323.2)	NM
Income tax expense (benefit)		10.3		(23.3)	-144.1%		141.2		(66.0)	NM
NET INCOME (LOSS)	$	61.1	$	22.0	178.3%	$	593.7	$	(257.1)	NM
RATIOS:					Point Change					Point Change
Loss ratio		76.9%		78.8%	(1.9)		67.2%		82.6%	(15.4)
Commission and brokerage ratio		25.0%		23.4%	1.6		23.6%		23.6%	-
Other underwriting expense ratio		6.7%		6.5%	0.2		6.3%		6.5%	(0.2)
Combined ratio		108.6%		108.7%	(0.1)		97.1%		112.7%	(15.6)
						At		At		Percentage
						September 30,		December 31,		Increase/
(Dollars in millions)						2019		2018		(Decrease)
Balance sheet data:
Total investments and cash						$	11,803.5	$	10,707.4	10.2%
Total assets							19,787.7		18,680.3	5.9%
Loss and loss adjustment expense   reserves							10,412.2		10,167.0	2.4%
Total debt							633.8		933.6	-32.1%
Total liabilities							13,960.4		13,643.5	2.3%
Stockholder's equity							5,827.2		5,036.8	15.7%
(Some amounts may not reconcile due to rounding)
(NM, not meaningful)

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Revenues.

Premiums.  Gross written premiums increased by 7.4% to $1,890.0 million for the three months ended September 30, 2019, compared to $1,759.2 million for the three months ended September 30, 2018, reflecting a $137.8 million, or 30.3%, increase in our insurance business and a $7.0 million, or 0.5% decrease in our reinsurance business.  The rise in insurance premiums was primarily due to increases in many lines of business, including property, casualty, and specialty lines.  The decrease in reinsurance premiums was mainly due to decreases in property writings, partially offset by an increase in casualty writings, facultative business and proportional business.  Gross written premiums increased by 8.3% to $5,262.9 million for the nine months ended September 30, 2019, compared to $4,857.7 million for the nine months ended September 30, 2018, reflecting a $306.7 million, or 20.6%, increase in our insurance business and a $98.5 million, or 2.9%, increase in our reinsurance business.  The rise in insurance premiums was primarily due to increases in many lines of business, including property, casualty, energy and accident and health.  The increase in reinsurance premiums was mainly due to an increase in casualty writings, facultative business and proportional business, partially offset by a decline in treaty property business.

Net written premiums increased by 13.9% to $1,570.0 million for the three months ended September 30, 2019, compared to $1,378.5 million for the three months ended September 30, 2018, and increased by 16.5% to $4,282.1 million for the nine months ended September 30, 2019, compared to $3,675.9 million for the nine months ended September 30, 2018.  The difference between the change in gross written premiums compared to the change in net written premiums is primarily due to the impact of changes in affiliated reinsurance contracts.  Premiums ceded to Bermuda Re during the three months ended September 30, 2019 were $14.7 million compared with $146.5 million during the three months ended September 30, 2018.  Premiums ceded to Bermuda Re during the nine months ended September 30, 2019 were $85.7 million compared with $421.8 million during the nine months ended September 30, 2018.  Premiums earned increased by 16.1% to $1,428.4 million for the three months ended September 30, 2019, compared to $1,230.8 million for the three months ended September 30, 2018, and increased by 15.5% to $4,074.5 million for the nine months ended September 30, 2019, compared to $3,526.6 million for the nine months ended September 30, 2018.  The change in premiums earned relative to net written premiums is the result of timing; premiums are earned ratably over the coverage period whereas written premiums are recorded at the initiation of the coverage period.

Net Investment Income.Net investment income increased 5.9% to $95.6 million for the three months ended September 30, 2019 compared with net investment income of $90.3 million for the three months ended September 30, 2018.  Net investment income increased 16.6% to $270.8 million for the nine months ended September 30, 2019 compared with net investment income of $232.3 million for the nine months ended September 30, 2018.  Net pre-tax investment income as a percentage of average invested assets was 3.4% for the three months ended September 30, 2019 compared to 3.9% for the three months ended September 30, 2018, and was 3.3% for the nine months ended September 30, 2019 compared to 3.4% for the nine months ended September 30, 2018, respectively. The increases in income were primarily the result of higher income from our growing fixed maturity portfolio, partially offset by a decline in income from our limited partnership investments. 

Net Realized Capital Gains (Losses).  Net realized capital gains were $112.6 million and $30.0 million for the three months ended September 30, 2019 and 2018, respectively.  The net realized capital gains of $112.6 million for the three months ended September 30, 2019 were comprised of $116.4 million of gains from fair value re-measurements and 3.1 million of gains from sales of investments, partially offset by $7.0 million of other than temporary impairments.  The net realized capital gains of $30.0 million for the three months ended September 30, 2018 were comprised of $23.9 million of gains from fair value re-measurements, and $8.9 million of gains from sales of investments, offset by 2.8 million of other-than-temporary investments. 

Net realized capital gains were $390.2 million and net realized capital losses were $72.5 million for the nine months ended September 30, 2019 and 2018, respectively.  The net realized capital gains of $390.2 million for the nine months ended September 30, 2019 were comprised of $395.6 million of gains from fair value re-measurements and $8.7million of net gains from sales of investments, partially offset by $14.2 million of other-than-temporary impairments. The net realized capital losses of $72.5 million for the nine months ended September 30, 2018 were comprised of $79.0 million of losses from fair value re-measurements and $3.7

41

million of other-than-temporary investments, partially offset by $10.2  million of gains from sales of investments.

Other Income (Expense).  We recorded other expense of $2.7 million and $4.8 million for the three months ended September 30, 2019 and 2018, respectively.  We recorded other expense of $8.5 million and $3.9 million for the nine months ended September 30, 2019 and 2018, respectively. The changes were primarily the result of fluctuations in foreign currency exchange rates and changes in deferred gains under retroactive reinsurance agreements. 

Claims and Expenses.

Incurred Losses and Loss Adjustment Expenses.  The following table presents our incurred losses and loss adjustment expenses (“LAE”) for the periods indicated. 

	Three Months Ended September 30,
	Current		Ratio %/		Prior		Ratio %/		Total		Ratio %/
(Dollars in millions)	Year		Pt Change		Years		Pt Change		Incurred		Pt Change
2019
Attritional	$	814.6	57.0%		$	(13.4)	-0.9%		$	801.2	56.1%
Catastrophes		279.5	19.6%			17.4	1.2%			296.9	20.8%
Total	$	1,094.1	76.6%		$	4.0	0.3%		$	1,098.1	76.9%
2018
Attritional	$	772.3	62.7%		$	3.2	0.3%		$	775.5	63.0%
Catastrophes		208.3	16.9%			(13.5)	-1.1%			194.8	15.8%
Total	$	980.6	79.6%		$	(10.3)	-0.8%		$	970.3	78.8%
Variance 2019/2018
Attritional	$	42.3	(5.7)	pts	$	(16.6)	(1.2)	pts	$	25.7	(6.9)	pts
Catastrophes		71.2	2.7	pts		30.9	2.3	pts		102.1	5.0	pts
Total	$	113.5	(3.0)	pts	$	14.3	1.1	pts	$	127.8	(1.9)	pts

	Nine Months Ended September 30,
	Current		Ratio %/		Prior		Ratio %/		Total		Ratio %/
(Dollars in millions)	Year		Pt Change		Years		Pt Change		Incurred		Pt Change
2019
Attritional	$	2,405.0	59.0%		$	(27.2)	-0.7%		$	2,377.8	58.4%
Catastrophes		304.4	7.5%			55.3	1.4%			359.6	8.8%
Total	$	2,709.4	66.5%		$	28.1	0.7%		$	2,737.4	67.2%
2018
Attritional	$	2,158.7	61.3%		$	-	0.0%		$	2,158.7	61.3%
Catastrophes		272.9	7.7%			480.7	13.6%			753.6	21.3%
Total	$	2,431.6	69.0%		$	480.7	13.6%		$	2,912.3	82.6%
Variance 2019/2018
Attritional	$	246.3	(2.3)	pts	$	(27.2)	(0.7)	pts	$	219.1	(2.9)	pts
Catastrophes		31.5	(0.2)	pts		(425.4)	(12.2)	pts		(394.0)	(12.5)	pts
Total	$	277.8	(2.5)	pts	$	(452.6)	(12.9)	pts	$	(174.9)	(15.4)	pts
(Some amounts may not reconcile due to rounding.)

Incurred losses and LAE increased by 13.2% to $1,098.1 million for the three months ended September 30, 2019 compared to $970.3 million for the three months ended September 30, 2018, primarily due to an increase in current year catastrophe losses of $71.2 million, an increase in unfavorable development on prior year catastrophe losses of $30.9 million in 2019 compared to 2018 and an increase in current year attritional losses of $42.3 million primarily due to the increase in premiums earned. This increase was partially offset by additional favorable development on prior years attritional losses of $16.6 million in 2019 compared to 2018. The $279.5 million of current year catastrophe losses for the three months ended September 30, 2019,

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mainly related to Hurricane Dorian ($154.5 million) and Typhoon Faxai ($126.0 million). The current year catastrophe losses of $208.3 million for the three months ended September 30, 2018 related to Hurricane Florence ($77.0 million), Typhoon Jebi ($66.6 million), Typhoon Trami ($25.0 million), the 2018 California wildfires ($24.7 million), and Japan floods ($15.0 million). 

Incurred losses and LAE decreased by 6.0% to $2,734.4 million for the nine months ended September 30, 2019 compared to $2,912.3 million for the nine months ended September 30, 2018, primarily due to $425.4 million less of unfavorable development on prior year catastrophe losses in 2019 compared to 2018 and favorable development on prior years attritional losses of $27.2 million in 2019,  partially offset by an increase in current year attritional losses of $246.3 million due to the impact of the increase in premiums earned and an increase of $31.5 million on current year catastrophe losses.  The current year catastrophe losses of $304.4 million for the nine months ended September 30, 2019 are primarily due to Hurricane Dorian ($154.5 million) Typhoon Faxai ($126.0 million) and the Townsville monsoon in Australia ($23.9 million). The $480.7 million of unfavorable development on prior years catastrophe losses, for the nine months ended September 30, 2018 mainly related to Hurricanes Harvey, Irma and Maria.  The increase in loss estimates for Hurricanes Harvey, Irma and Maria was mostly driven by re-opened claims reported in the second quarter of 2018 and loss inflation from higher than expected loss adjustment expenses and in particular, their impact on aggregate covers.  The current year catastrophe losses of $272.9 million for the nine months ended September 30, 2018 related to Hurricane Florence ($77.0 million), Typhoon Jebi ($66.6 million), Cyclone Mekanu ($47.7 million), Typhoon Trami ($25.0 million), the 2018 California wildfires ($24.7 million), the U.S. winter storms ($16.9 million), and Japan floods ($15.0 million).   

Commission, Brokerage, Taxes and Fees.  Commission, brokerage, taxes and fees increased to $357.7 million for the three months ended September 30, 2019 compared to $288.2 million  for the three months ended September 30, 2018.  Commission, brokerage, taxes and fees increased to $962.7 million for the nine months ended September 30, 2019 compared to $832.7 million  for the nine months ended September 30, 2018.  The increases were mainly due to the impacts of the increase in premiums earned, the impact of the early commutation of a multi-year contract, and changes in the mix of business. 

Other Underwriting Expenses.  Other underwriting expenses increased to $95.7 million for the three months ended September 30, 2019 compared to $78.8 million for the three months ended September 30, 2018.  Other underwriting expenses increased to $257.4 million for the nine months ended September 30, 2019 compared to $230.4 million for the nine months ended September 30, 2018. These increases were primarily due to the increase in premiums earned, changes in the mix of business and the continued expansion of the insurance business. 

Corporate Expenses.Corporate expenses, which are general operating expenses that are not allocated to segments, have increased slightly to $3.2 million from $2.5 million for the three months ended September 30, 2019 and 2018, respectively, and decreased slightly to $7.4 million from $7.6 million for the nine months ended September 30, 2019 and 2018, respectively.   

Interest, Fees and Bond Issue Cost Amortization Expense.  Interest, fees and other bond amortization expense remained flat at $7.8 million for the three months ended September 30, 2019 and 2018, respectively.  Interest, fees and other bond amortization expense was $27.3 million and $22.7 million for the nine months ended September 30, 2019 and 2018, respectively.  The change in expense for the nine month period was primarily due to interest expense on the $300.0 million affiliated loan agreement with Bermuda Re effective on December 31, 2018 and the movement in the floating interest rate related to the long term subordinated notes, which is reset quarterly per the note agreement.  The floating rate was 4.5% as of September 30, 2019 compared to 4.7% as of September 30, 2018. 

Income Tax Expense (Benefit).  We had an income tax expense of $10.3 million and an income tax benefit of $23.3 million for the three months ended September 30, 2019 and 2018, respectively.  We had an income tax expense of $141.2 million and an income tax benefit of $66.0 million for the nine months ended September 30, 2019 and 2018, respectively. Variations in taxes generally result from changes in the relative levels of pre-tax income, including the impact of catastrophe losses and net capital gains (losses) as well as changes in tax exempt investment income and creditable foreign taxes.  The change in income tax expense (benefit) was

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primarily due to the increase in net capital gains and underwriting income for the three and nine months ended September 30, 2019 compared to the three and nine months ended September 30, 2018.   

Net Income (Loss).

Our net income was $61.1 million for the three months ended September 30, 2019, and $22.0 million for the three months ended September 30, 2018 respectively.  Our net income was $593.7 million for the nine months ended September 30, 2019, and our net loss was $257.1 million for the nine months ended September 30, 2018 respectively. The changes were primarily driven by the financial component fluctuations explained above. 

Ratios.

Our combined ratio decreased slightly to 108.6% for the three months ended September 30, 2019 compared to 108.7% for the three months ended September 30, 2018, and decreased by 15.6 points to 97.1% for the nine months ended September 30, 2019 compared to 112.7% for the nine months ended September 30, 2018.  The loss ratio component decreased by 1.9 points and 15.4 points for the three and nine months ended September 30, 2019, respectively, over the same period last year mainly due to a lower attritional loss ratio for the quarter and on prior year catastrophe losses for year to date in 2019 compared to 2018. The commission and brokerage ratio component increased to 25.0% for the three months ended September 30, 2019 compared to 23.4% for the three months ended September 30, 2018 primarily due to the impact of the early commutation of a multi-year contract, and remained flat at 23.6% for the nine months ended September 30, 2019 and 2018. The other underwriting expense ratio increased slightly to 6.7% for the three months ended September 30, 2019 from 6.5% for the three months ended September 30, 2018 and decreased slightly to 6.3% for the nine months ended September 30, 2019 from 6.5% for the nine months ended September 30, 2018,

Stockholder's Equity.

Stockholder’s equity increased by $790.5 million to $5,827.2 million at September 30, 2019 from $5,036.8 million at December 31, 2018, principally as a result of $593.7 million of net income, $187.9 million of net unrealized appreciation on investments, net of tax, $5.0 million of net foreign currency translation adjustments and $3.7 million of net benefit plan obligation adjustments. 

Consolidated Investment Results

Net Investment Income. 

Net investment income increased by 5.9% to $95.6 million for the three months ended September 30, 2019 compared with net investment income of $90.3 million for the three months ended September 30, 2018.  Net investment income increased by 16.6% to $270.8 million for the nine months ended September 30, 2019 compared with net investment income of $232.3 million for the nine months ended September 30, 2018.  The increases in income were primarily the result of higher income from our growing fixed maturity portfolio, partially offset by a decline in income from our limited partnership investments.  

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The following table shows the components of net investment income for the periods indicated: 

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in millions)	2019		2018		2019		2018
Fixed maturities	$	68.2	$	51.9	$	200.6	$	142.8
Equity securities		1.9		2.7		5.7		10.7
Short-term investments and cash		2.2		2.1		8.1		4.3
Other invested assets
Limited partnerships		15.1		25.6		38.3		54.2
Dividends from preferred shares of affiliate		7.8		7.8		23.3		23.3
Other		7.3		6.0		13.6		10.7
Gross investment income before adjustments		102.5		96.0		289.6		246.0
Funds held interest income (expense)		1.1		0.9		5.4		4.5
Interest income from Parent		-		1.1		-		3.2
Gross investment income		103.6		98.0		295.0		253.7
Investment expenses		(8.0)		(7.7)		(24.2)		(21.5)
Net investment income	$	95.6	$	90.3	$	270.8	$	232.3
(Some amounts may not reconcile due to rounding.)

The following tables show a comparison of various investment yields for the periods indicated:

	At	At
	September 30,	December 31,
	2019	2018
Imbedded pre-tax yield of cash and invested assets	3.6%	3.5%
Imbedded after-tax yield of cash and invested assets	2.8%	2.8%

	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2019	2018	2019	2018
Annualized pre-tax yield on average cash and invested assets	3.4%	3.9%	3.3%	3.4%
Annualized after-tax yield on average cash and invested assets	2.7%	3.1%	2.6%	2.7%

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Net Realized Capital Gains (Losses).

The following table presents the composition of our net realized capital gains (losses) for the periods indicated: 

	Three Months Ended September 30,						Nine Months Ended September 30,
(Dollars in millions)	2019		2018		Variance		2019		2018		Variance
Gains (losses) from sales:
Fixed maturity securities, market value
Gains	$	6.6	$	2.5	$	4.1	$	17.5	$	11.5	$	6.0
Losses		(4.5)		(3.8)		(0.7)		(14.2)		(6.8)		(7.4)
Total		2.1		(1.3)		3.4		3.3		4.7		(1.4)
Fixed maturity securities, fair value
Gains		-		-		-		0.4		-		0.4
Losses		-		(0.7)		0.7		-		(1.8)		1.8
Total		-		(0.7)		0.7		0.4		(1.8)		2.2
Fixed maturity securities, fair value
Equity securities, fair value
Gains		1.1		13.8		(12.7)		9.3		21.7		(12.4)
Losses		(2.2)		(3.8)		1.6		(6.7)		(15.8)		9.1
Total		(1.1)		10.0		(11.1)		2.6		5.9		(3.3)
Other invested assets
Gains		2.6		0.9		1.7		2.9		1.5		1.4
Losses		(0.5)		-		(0.5)		(0.6)		-		(0.6)
Total		2.1		0.9		1.2		2.3		1.5		0.8
Short Term Investments:
Gains		-		-		-		0.1		-		0.1
Total net realized gains (losses) from sales
Gains		10.3		17.2		(6.9)		30.2		34.7		(4.5)
Losses		(7.2)		(8.3)		1.1		(21.5)		(24.5)		3.0
Total		3.1		8.9		(5.8)		8.7		10.2		(1.5)
Other than temporary impairments:		(7.0)		(2.8)		(4.2)		(14.2)		(3.7)		(10.5)
Gains (losses) from fair value adjustments:
Fixed maturities, fair value		-		0.5		(0.5)		-		1.5		(1.5)
Equity securities, fair value		(10.3)		36.3		(46.6)		93.3		34.8		58.5
Other invested assets, fair value		126.7		(12.9)		139.6		302.3		(115.3)		417.6
Total		116.4		23.9		92.5		395.6		(79.0)		474.6
Total net realized gains (losses)	$	112.6	$	30.0	$	82.6	$	390.2	$	(72.5)	$	462.7
(Some amounts may not reconcile due to rounding.)

Net Realized Capital Gains (Losses).  Net realized capital gains were $112.6 million and $30.0 million for the three months ended September 30, 2019 and 2018, respectively.  The net realized capital gains of $112.6 million for the three months ended September 30, 2019 were comprised of $116.4 million of gains from fair value re-measurements and 3.1 million of gains from sales of investments, partially offset by $7.0 million of other than temporary impairments.  The net realized capital gains of $30.0 million for the three months ended September 30, 2018 were comprised of $23.9 million of gains from fair value re-measurements, and $8.9 million of gains from sales of investments, offset by 2.8 million of other-than-temporary investments. 

Net realized capital gains were $390.2 million and net realized capital losses were $72.5 million for the nine months ended September 30, 2019 and 2018, respectively.  The net realized capital gains of $390.2 million for the nine months ended September 30, 2019 were comprised of $395.6 million of gains from fair value re-measurements and $8.7million of net gains from sales of investments, partially offset by $14.2 million of other-than-temporary impairments. The net realized capital losses of $72.5 million for the nine months ended September 30, 2018 were comprised of $79.0 million of losses from fair value re-measurements and $3.7 million of other-than-temporary investments, partially offset by $10.2  million of gains from sales of investments.

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Segment Results.

The U.S. Reinsurance operation writes property and casualty reinsurance and specialty lines of business, including Marine, Aviation, Surety and A&H business, on both a treaty and facultative basis, through reinsurance brokers, as well as directly with ceding companies primarily within the U.S.  The International operation writes non-U.S. property and casualty reinsurance through Everest Re’s branches in Canada, Singapore and through offices in Brazil, Miami and New Jersey.  The Insurance operation writes property and casualty insurance directly, through brokers, surplus lines brokers and general agents mainly within the U.S. 

These segments are managed independently, but conform with corporate guidelines with respect to pricing, risk management, control of aggregate catastrophe exposures, capital, investments and support operations.  Management generally monitors and evaluates the financial performance of these operating segments based upon their underwriting results. 

Underwriting results include earned premium less losses and LAE incurred, commission and brokerage expenses and other underwriting expenses.  We measure our underwriting results using ratios, in particular loss, commission and brokerage and other underwriting expense ratios, which respectively, divide incurred losses, commissions and brokerage and other underwriting expenses by premiums earned. 

Our loss and LAE reserves are management’s best estimate of our ultimate liability for unpaid claims.  We re-evaluate our estimates on an ongoing basis, including all prior period reserves, taking into consideration all available information and, in particular, recently reported loss claim experience and trends related to prior periods.  Such re-evaluations are recorded in incurred losses in the period in which the re-evaluation is made. 

The following discusses the underwriting results for each of our segments for the periods indicated: 

U.S. Reinsurance.

The following table presents the underwriting results and ratios for the U.S. Reinsurance segment for the periods indicated.

	Three Months Ended September 30,							Nine Months Ended September 30,
(Dollars in millions)	2019		2018		Variance		% Change	2019		2018		Variance		% Change
Gross written premiums	$	854.6	$	940.8	$	(86.2)	-9.2%	$	2,260.5	$	2,237.2	$	23.3	1.0%
Net written premiums		740.1		703.9		36.2	5.1%		1,845.9		1,557.7		288.2	18.5%
Premiums earned	$	630.1	$	528.9	$	101.2	19.1%	$	1,810.2	$	1,437.8	$	372.4	25.9%
Incurred losses and LAE		392.9		394.6		(1.7)	-0.4%		1,077.0		1,404.3		(327.3)	-23.3%
Commission and brokerage		215.8		156.5		59.3	37.9%		555.5		432.5		123.0	28.4%
Other underwriting expenses		19.1		16.3		2.8	17.2%		50.5		48.6		1.9	3.9%
Underwriting gain (loss)	$	2.3	$	(38.5)	$	40.8	-106.0%	$	127.2	$	(447.7)	$	574.8	-128.4%
							Point Chg							Point Chg
Loss ratio		62.4%		74.6%			(12.2)		59.5%		97.7%			(38.2)
Commission and brokerage ratio		34.3%		29.6%			4.7		30.7%		30.1%			0.6
Other underwriting ratio		2.9%		3.1%			(0.2)		2.8%		3.3%			(0.5)
Combined ratio		99.6%		107.3%			(7.7)		93.0%		131.1%			(38.1)
(Some amounts may not reconcile due to rounding.)
(NM, not meaningful)

Premiums.Gross written premiums decreased by 9.2% to $854.6 million for the three months ended September 30, 2019 from $940.8 million for the three months ended September 30, 2018, primarily due to a decrease in treaty property writings, partially offset by an increase in casualty business.  Net written premiums increased by 5.1% to $740.1 million for the three months ended September 30, 2019 compared to $703.9 million for the three months ended September 30, 2018. The difference between the change in gross written premiums compared to the change in net written premiums is primarily due to varying utilization of reinsurance, including the impact of changes in affiliated reinsurance contracts.  Premiums earned increased by 19.1% to $630.1 million for the three months ended September 30, 2019 compared to $528.9 million for the three months ended September 30, 2018.  The change in premiums earned relative to net written premiums is the result of timing; premiums are earned ratably over the coverage period whereas written premiums are recorded at the initiation of the coverage period. 

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Gross written premiums increased by 1.0% to $2,260.5 million for the nine months ended September 30, 2019 from $2,237.2 million for the nine months ended September 30, 2018, primarily due to an increase in casualty writings, partially offset by a decline in treaty property business.  Net written premiums increased by 18.5% to $1,845.9 million for the nine months ended September 30, 2019 compared to $1,557.7 million for the nine months ended September 30, 2018. The difference between the change in gross written premiums compared to the change in net written premiums is primarily due to varying utilization of reinsurance, including the impact of changes in affiliated reinsurance contracts.  Premiums earned increased by 25.9% to $1,810.2 million for the nine months ended September 30, 2019 compared to $1,437.8 million for the nine months ended September 30, 2018.  The change in premiums earned relative to net written premiums is the result of timing; premiums are earned ratably over the coverage period whereas written premiums are recorded at the initiation of the coverage period.   

Incurred Losses and LAE.The following tables present the incurred losses and LAE for the U.S. Reinsurance segment for the periods indicated.

	Three Months Ended September 30,
	Current		Ratio %/		Prior		Ratio %/		Total		Ratio %/
(Dollars in millions)	Year		Pt Change		Years		Pt Change		Incurred		Pt Change
2019
Attritional	$	339.2	53.8%		$	(10.3)	-1.6%		$	328.9	52.2%
Catastrophes		50.5	8.0%			13.5	2.1%			64.0	10.2%
Total segment	$	389.7	61.8%		$	3.2	0.5%		$	392.9	62.4%
2018
Attritional	$	340.1	64.3%		$	5.2	1.0%		$	345.3	65.3%
Catastrophes		97.5	18.4%			(48.2)	-9.1%			49.3	9.3%
Total segment	$	437.6	82.7%		$	(43.0)	-8.1%		$	394.6	74.6%
Variance 2019/2018
Attritional	$	(0.9)	(10.5)	pts	$	(15.5)	(2.6)	pts	$	(16.4)	(13.1)	pts
Catastrophes		(47.0)	(10.4)	pts		61.7	11.2	pts		14.7	0.9	pts
Total segment	$	(47.9)	(20.9)	pts	$	46.2	8.6	pts	$	(1.7)	(12.2)	pts

	Nine Months Ended September 30,
	Current		Ratio %/		Prior		Ratio %/		Total		Ratio %/
(Dollars in millions)	Year		Pt Change		Years		Pt Change		Incurred		Pt Change
2019
Attritional	$	1,047.2	57.8%		$	(7.3)	-0.4%		$	1,039.9	57.3%
Catastrophes		50.4	2.8%			(13.3)	-0.7%			37.2	2.1%
Total segment	$	1,097.6	60.6%		$	(20.6)	-1.1%		$	1,077.0	59.5%
2018
Attritional	$	901.8	62.7%		$	-	0.0%		$	901.8	62.7%
Catastrophes		101.6	7.1%			401.0	27.9%			502.6	35.0%
Total segment	$	1,003.4	69.8%		$	401.0	27.9%		$	1,404.3	97.7%
Variance 2019/2018
Attritional	$	145.4	(4.9)	pts	$	(7.3)	(0.4)	pts	$	138.1	(5.4)	pts
Catastrophes		(51.2)	(4.3)	pts		(414.3)	(28.6)	pts		(465.4)	(32.9)	pts
Total segment	$	94.2	(9.2)	pts	$	(421.6)	(29.0)	pts	$	(327.3)	(38.2)	pts
(Some amounts may not reconcile due to rounding.)

Incurred losses decreased by 0.4% to $392.9 million for the three months ended September 30, 2019 compared to $394.6 million for the three months ended September 30, 2018.  The decrease was primarily due to a decrease of $47.0 million in current year catastrophe losses and an increase of $15.5 million of favorable development on prior years attritional losses, partially offset by $61.7 million more of unfavorable development on prior year catastrophe losses in 2019 compared to 2018. The current year catastrophe losses

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of $50.5 million for the three months ended September 30, 2019 related to Typhoon Faxai ($26.5 million) and Hurricane Dorian ($24.0 million) .The current year catastrophe losses of $97.5 million for the three months ended September 30, 2018 primarily related to Hurricane Florence ($58.0 million), the 2018 California wildfires ($23.2 million), Typhoon Jebi ($6.5 million), Japan Floods ($5.5 million), the U.S. winter storms ($2.3 million) and  Typhoon Trami ($2.0 million).

Incurred losses decreased by 23.3% to $1,077.0 million for the nine months ended September 30, 2019 compared to $1,404.3 million for the nine months ended September 30, 2018.  The decrease was primarily due to $414.3 million of less unfavorable development on prior year catastrophe losses in 2019 compared to 2018 and a decrease of $51.2 million on current year catastrophe losses.  The unfavorable development of $401.0 million in 2018 mainly related to Hurricanes Harvey, Irma and Maria as well as the 2017 California wildfires.  This decline was partially offset by an increase of $145.4 million in current year attritional losses, mainly due to the impact of the increase in premiums earned and changes in the mix of business. The current year catastrophe losses of $50.4 million mainly related to Typhoon Faxai ($26.5 million) and Hurricane Dorian ($24.0 million).  The current year catastrophe losses of $101.6 million for the nine months ended September 30, 2018 primarily related to Hurricane Florence ($58.0 million), the 2018 California wildfires ($23.2 million), Typhoon Jebi ($6.5 million), the U.S. winter storms ($6.4 million), Japan Floods ($5.5 million) and  Typhoon Trami ($2.0 million).

Segment Expenses.  Commission and brokerage increased to $215.8 million for the three months ended September 30, 2019 compared to $156.5 million for the three months ended September 30, 2018.  Commission and brokerage increased to $555.5 million for the nine months ended September 30, 2019 compared to $432.5 million for the nine months ended September 30, 2018.  The increases were mainly due to the impact of the increases in premium earned, the impact of the early commutation of a multi-year contract, and changes in affiliated reinsurance agreements.

Segment other underwriting expenses increased to $19.1 million for the three months ended September 30, 2019 from $16.3 million for the three months ended September 30, 2018.  Segment other underwriting expenses increased to $50.5 million for the nine months ended September 30, 2019 from $48.6 million for the nine months ended September 30, 2018. These increases were due to the impact of the increases in premiums earned.   

International.

The following table presents the underwriting results and ratios for the International segment for the periods indicated.

	Three Months Ended September 30,							Nine Months Ended September 30,
(Dollars in millions)	2019		2018		Variance		% Change	2019		2018		Variance		% Change
Gross written premiums	$	442.6	$	363.4	$	79.2	21.8%	$	1,204.2	$	1,129.1	$	75.1	6.7%
Net written premiums		401.3		340.7		60.6	17.8%		1,109.4		1,012.9		96.5	9.5%
Premiums earned	$	366.4	$	331.9	$	34.5	10.4%	$	1,041.9	$	1,004.0	$	37.9	3.8%
Incurred losses and LAE		407.8		315.9		91.9	29.1%		858.7		751.7		107.0	14.2%
Commission and brokerage		81.7		78.2		3.5	4.5%		237.5		241.0		(3.5)	-1.5%
Other underwriting expenses		11.3		10.0		1.3	13.0%		29.4		29.9		(0.5)	-1.7%
Underwriting gain (loss)	$	(134.3)	$	(72.1)	$	(62.1)	86.1%	$	(83.7)	$	(18.6)	$	(65.1)	NM
							Point Chg							Point Chg
Loss ratio		111.3%		95.2%			16.1		82.4%		74.9%			7.5
Commission and brokerage ratio		22.3%		23.6%			(1.3)		22.8%		24.0%			(1.2)
Other underwriting ratio		3.1%		2.9%			0.2		2.8%		3.0%			(0.2)
Combined ratio		136.7%		121.7%			15.0		108.0%		101.9%			6.1
(Some amounts may not reconcile due to rounding.)
(NM, not meaningful)

Premiums.Gross written premiums increased by 21.8% to $442.6 million for the three months ended September 30, 2019 compared to $363.4 million for the three months ended September 30, 2018, primarily due to increases in Latin American business, Canadian business, and facultative writings. Net written

49

premiums increased by 17.8% to $401.3 million for the three months ended September 30, 2019 compared to $340.7 million for the three months ended September 30, 2018.  The difference between the change in gross written premiums compared to the change in net written premiums is primarily due to the varying utilization of reinsurance, including the impact of changes in affiliated reinsurance contracts.  Premiums earned increased 10.4% to $366.4 million for the three months ended September 30, 2019 compared to $331.9 million for the three months ended September 30, 2018.  The change in premiums earned relative to net written premiums is due to changes in affiliated reinsurance agreements and is also the result of timing; premiums are earned ratably over the coverage period whereas written premiums are recorded at the initiation of the coverage period.

Gross written premiums increased by 6.7% to $1,204.2 million for the nine months ended September 30, 2019 compared to $1,129.1 million for the nine months ended September 30, 2018, primarily due to increases in Middle East and Africa business, facultative business, and Asian business written through our Singapore branch, partially offset by a decline in Latin American business and a negative impact of $26.0 million from the movement of foreign exchange rates.  Net written premiums increased by 9.5% to $1,109.4 million for the nine months ended September 30, 2019 compared to $1,012.9 million for the nine months ended September 30, 2018.  The difference between the change in gross written premiums compared to the change in net written premiums is primarily due to the varying utilization of reinsurance, including the impact of changes in affiliated reinsurance contracts.  Premiums earned increased 3.8% to $1,041.9 million for the nine months ended September 30, 2019 compared to $1,004.0 million for the nine months ended September 30, 2018.  The change in premiums earned relative to net written premiums is due to changes in affiliated reinsurance agreements and is also the result of timing; premiums are earned ratably over the coverage period whereas written premiums are recorded at the initiation of the coverage period. 

Incurred Losses and LAE. The following tables present the incurred losses and LAE for the International segment for the periods indicated.

	Three Months Ended September 30,
	Current		Ratio %/		Prior		Ratio %/		Total		Ratio %/
(Dollars in millions)	Year		Pt Change		Years		Pt Change		Incurred		Pt Change
2019
Attritional	$	185.7	50.7%		$	(4.4)	-1.2%		$	181.3	49.5%
Catastrophes		225.0	61.4%			1.5	0.4%			226.5	61.8%
Total segment	$	410.7	112.1%		$	(2.9)	-0.8%			407.8	111.3%
2018
Attritional	$	182.2	54.9%		$	-	0.0%		$	182.2	54.9%
Catastrophes		96.3	29.0%			37.4	11.3%			133.7	40.3%
Total segment	$	278.5	83.9%		$	37.4	11.3%		$	315.9	95.2%
Variance 2019/2018
Attritional	$	3.5	(4.2)	pts	$	(4.4)	(1.2)	pts	$	(0.9)	(5.4)	pts
Catastrophes		128.7	32.4	pts		(35.9)	(10.9)	pts		92.8	21.5	pts
Total segment	$	132.2	28.2	pts	$	(40.3)	(12.1)	pts	$	91.9	16.1	pts

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	Nine Months Ended September 30,
	Current		Ratio %/		Prior		Ratio %/		Total		Ratio %/
(Dollars in millions)	Year		Pt Change		Years		Pt Change		Incurred		Pt Change
2019
Attritional	$	547.2	52.5%		$	(2.6)	-0.2%		$	544.7	52.2%
Catastrophes		249.9	24.0%			64.1	6.2%			314.0	30.1%
Total segment	$	797.1	76.5%		$	61.5	6.0%		$	858.7	82.4%
2018
Attritional	$	520.3	51.8%		$	-	0.0%		$	520.3	51.8%
Catastrophes		146.3	14.6%			85.1	8.5%			231.4	23.1%
Total segment	$	666.6	66.4%		$	85.1	8.5%		$	751.7	74.9%
Variance 2019/2018
Attritional	$	26.9	0.7	pts	$	(2.6)	(0.2)	pts	$	24.4	0.4	pts
Catastrophes		103.6	9.4	pts		(21.0)	(2.3)	pts		82.6	7.0	pts
Total segment	$	130.5	10.1	pts	$	(23.6)	(2.5)	pts	$	107.0	7.5	pts
(Some amounts may not reconcile due to rounding.)

Incurred losses and LAE increased by 29.1% to $407.8 million for the three months ended September 30, 2019 compared to $315.9 million for the three months ended September 30, 2018, primarily due to an increase of $128.7 million in current year catastrophe losses, partially offset by $35.9 million less of unfavorable development on prior years catastrophe losses in 2019 compared to 2018. The current year catastrophe losses of $225.0 million for the three months ended September 30, 2019 , related to Hurricane Dorian ($126.5 million) and Typhoon Faxai ($99.5 million). The current year catastrophe losses of $96.3 million for the three months ended September 30, 2018 primarily related to Typhoon Jebi ($60.1 million), Typhoon Trami ($23.0 million), Japan Floods ($9.5 million) and Hurricane Florence ($6.0 million).

Incurred losses and LAE increased by 14.2% to $858.7 million for the nine months ended September 30, 2019 compared to $751.7 million for the nine months ended September 30, 2018, primarily due to an increase of $103.6 million in current year catastrophe losses and an increase of $26.9 million on current year attritional losses mainly due to the impact of the increase in premiums earned, partially offset by $21.0 million less of unfavorable development on prior years catastrophe losses in 2019 compared to 2018.   The current year catastrophe losses of $249.9 million for the nine months ended September 30, 2019 related to Hurricane Dorian ($126.5 million), Typhoon Faxai ($99.5 million), and the Townsville monsoon in Australia ($23.9 million).  The current year catastrophe losses of $146.3 million for the nine months ended September 30, 2018 primarily related to Typhoon Jebi ($60.1 million), Cyclone Mekunu ($47.7 million), Typhoon Trami ($23.0 million), Japan Floods ($9.5 million) and Hurricane Florence ($6.0 million).

Segment Expenses.Commission and brokerage increased to $81.7 million for the three months ended September 30, 2019 compared to $78.2 million for the three months ended September 30, 2018.  Commission and brokerage decreased to $237.5 million for the nine months ended September 30, 2019 compared to $241.0 million for the nine months ended September 30, 2018.  The fluctuations were mainly due to the impact of changes in affiliated reinsurance agreements and changes in the mix of business. 

Segment other underwriting expenses increased to $11.3 million for the three months ended September 30, 2019 from $10.0 million for the three months ended September 30, 2018.  Segment other underwriting expenses decreased slightly to $29.4 million for the nine months ended September 30, 2019 from $29.9 million for the nine months ended September 30, 2018. The fluctuations were mainly due to the impact of changes in affiliated reinsurance agreements and changes in the mix of business. 

51

Insurance.

The following table presents the underwriting results and ratios for the Insurance segment for the periods indicated. 

	Three Months Ended September 30,							Nine Months Ended September 30,
(Dollars in millions)	2019		2018		Variance		% Change	2019		2018		Variance		% Change
Gross written premiums	$	592.8	$	455.0	$	137.8	30.3%	$	1,798.1	$	1,491.4	$	306.7	20.6%
Net written premiums		428.5		333.8		94.7	28.4%		1,326.7		1,105.2		221.5	20.0%
Premiums earned	$	431.9	$	370.0	$	61.9	16.7%	$	1,222.4	$	1,084.9	$	137.5	12.7%
Incurred losses and LAE		297.4		259.8		37.6	14.5%		801.7		756.3		45.4	6.0%
Commission and brokerage		60.2		53.5		6.7	12.5%		169.6		159.2		10.4	6.5%
Other underwriting expenses		65.3		52.6		12.7	24.1%		177.6		151.8		25.8	17.0%
Underwriting gain (loss)	$	9.0	$	4.1	$	4.9	119.5%	$	73.5	$	17.6	$	55.9	NM
							Point Chg							Point Chg
Loss ratio		68.9%		70.2%			(1.3)		65.6%		69.7%			(4.1)
Commission and brokerage ratio		13.9%		14.5%			(0.6)		13.9%		14.7%			(0.8)
Other underwriting ratio		15.1%		14.2%			0.9		14.5%		14.0%			0.5
Combined ratio		97.9%		98.9%			(1.0)		94.0%		98.4%			(4.4)
(Some amounts may not reconcile due to rounding.)
(NM, not meaningful)

Premiums. Gross written premiums increased by 30.3% to $592.8 million for the three months ended September 30, 2019 compared to $455.0 million for the three months ended September 30, 2018.  This increase was related to most lines of business including property, casualty, and specialty lines.  Net written premiums increased by 28.4% to $428.5 million for the three months ended September 30, 2019 compared to $333.8 million for the three months ended September 30, 2018, which is consistent with the change in written premiums.  Premiums earned increased by 16.7% to $431.9 million for the three months ended September 30, 2019 compared to $370.0 million for the three months ended September 30, 2018.  The change in premiums earned relative to net written premiums is the result of timing; premiums are earned ratably over the coverage period whereas written premiums are recorded at the initiation of the coverage period. 

Gross written premiums increased by 20.6% to $1,798.1 million for the nine months ended September 30, 2019 compared to $1,491.4 million for the nine months ended September 30, 2018.  This increase was related to most lines of business including property, casualty, energy, specialty lines and accident and health.  Net written premiums increased by 20.0% to $1,326.7 million for the nine months ended September 30, 2019 compared to $1,105.2 million for the nine months ended September 30, 2018, which is consistent with the change in written premiums.  Premiums earned increased by 12.7% to $1,222.4 million for the nine months ended September 30, 2019 compared to $1,084.9 million for the nine months ended September 30, 2018.  The change in premiums earned relative to net written premiums is the result of timing; premiums are earned ratably over the coverage period whereas written premiums are recorded at the initiation of the coverage period. 

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Incurred Losses and LAE.The following tables present the incurred losses and LAE for the Insurance segment for the periods indicated. 

	Three Months Ended September 30,
	Current		Ratio %/		Prior		Ratio %/		Total		Ratio %/
(Dollars in millions)	Year		Pt Change		Years		Pt Change		Incurred		Pt Change
2019
Attritional	$	289.7	67.1%		$	1.3	0.3%		$	291.0	67.4%
Catastrophes		4.0	0.9%			2.3	0.5%			6.3	1.5%
Total segment	$	293.7	68.0%		$	3.7	0.9%		$	297.4	68.9%
2018
Attritional	$	250.0	67.5%		$	(2.0)	-0.5%		$	248.0	67.0%
Catastrophes		14.5	3.9%			(2.7)	-0.7%			11.8	3.2%
Total segment	$	264.5	71.4%		$	(4.7)	-1.2%		$	259.8	70.2%
Variance 2019/2018
Attritional	$	39.7	(0.4)	pts	$	3.3	0.8	pts	$	43.0	0.4	pts
Catastrophes		(10.5)	(3.0)	pts		5.0	1.2	pts		(5.5)	(1.7)	pts
Total segment	$	29.2	(3.4)	pts	$	8.4	2.1	pts	$	37.6	(1.3)	pts

	Nine Months Ended September 30,
	Current		Ratio %/		Prior		Ratio %/		Total		Ratio %/
(Dollars in millions)	Year		Pt Change		Years		Pt Change		Incurred		Pt Change
2019
Attritional	$	810.6	66.3%		$	(17.3)	-1.4%		$	793.2	64.9%
Catastrophes		4.0	0.3%			4.5	0.4%			8.5	0.7%
Total segment	$	814.6	66.6%		$	(12.9)	-1.1%		$	801.7	65.6%
2018
Attritional	$	736.7	67.9%		$	-	0.0%		$	736.7	67.9%
Catastrophes		25.0	2.3%			(5.4)	-0.5%			19.6	1.8%
Total segment	$	761.7	70.2%		$	(5.4)	-0.5%		$	756.3	69.7%
Variance 2019/2018
Attritional	$	73.9	(1.6)	pts	$	(17.3)	(1.4)	pts	$	56.5	(3.0)	pts
Catastrophes		(21.0)	(2.0)	pts		9.9	0.9	pts		(11.1)	(1.1)	pts
Total segment	$	52.9	(3.6)	pts	$	(7.5)	(0.6)	pts	$	45.4	(4.1)	pts
(Some amounts may not reconcile due to rounding.)

Incurred losses and LAE increased by 14.5% to $297.4 million for the three months ended September 30, 2019 compared to $259.8 million for the three months ended September 30, 2018, mainly due to an increase of $39.7 million in current year attritional losses mainly due to the increase in premiums earned, partially offset by a decrease of $10.5 million on current year catastrophe losses. The current year catastrophe losses of $4.0 million for the three months ended September 30, 2019, related to Hurricane Dorian ($4.0 million). The current year catastrophe losses of $14.5 million for the three months ended September 30, 2018 primarily related to the Hurricane Florence ($13.0 million) and the 2018 California wildfires ($1.5 million).   

Incurred losses and LAE increased by 6.0% to $801.7 million for the nine months ended September 30, 2019 compared to $756.3 million for the nine months ended September 30, 2018, mainly due to an increase of $73.9 million in current year attritional losses mainly due to the increase in premiums earned, partially offset by a decrease of $21.0 million on current year catastrophe losses and $17.3 million of favorable development on prior years attritional losses in 2019. The current year catastrophe losses of $4.0 million for the nine months ended September 30, 2019, related to Hurricane Dorian ($4.0 million). The current year catastrophe losses of $25.0 million for the nine months ended September 30, 2018 primarily related to Hurricane Florence ($13.0 million), the U.S. winter storms ($10.5 million) and the 2018 California wildfires ($1.5 million).

53

Segment Expenses.Commission and brokerage increased to $60.2 million for the three months ended September 30, 2019 compared to $53.5 million for the three months ended September 30, 2018.  Commission and brokerage increased to $169.6 million for the nine months ended September 30, 2019 compared to $159.2 million for the nine months ended September 30, 2018.  The increases were mainly due to the impact of the increase in premiums earned and changes in affiliated reinsurance agreements.   

Segment other underwriting expenses increased to $65.3 million for the three months ended September 30, 2019 compared to $52.6 million for the three months ended September 30, 2018.  Segment other underwriting expenses increased to $177.6 million for the nine months ended September 30, 2019 compared to $151.8 million for the nine months ended September 30, 2018.  The increase was mainly due to the impact of the increase in premiums earned and expenses related to the continued build out of the insurance business. 

Market Sensitive Instruments.

The SEC’s Financial Reporting Release #48 requires registrants to clarify and expand upon the existing financial statement disclosure requirements for derivative financial instruments, derivative commodity instruments and other financial instruments (collectively, “market sensitive instruments”).  We do not generally enter into market sensitive instruments for trading purposes. 

Our current investment strategy seeks to maximize after-tax income through a high quality, diversified, taxable and tax-preferenced fixed maturity portfolio, while maintaining an adequate level of liquidity.  Our mix of taxable and tax-preferenced investments is adjusted periodically, consistent with our current and projected operating results, market conditions and our tax position.  The fixed maturity securities in the investment portfolio are comprised of non-trading available for sale securities.  Additionally, we have invested in equity securities. 

The overall investment strategy considers the scope of present and anticipated Company operations. In particular, estimates of the financial impact resulting from non-investment asset and liability transactions, together with our capital structure and other factors, are used to develop a net liability analysis. This analysis includes estimated payout characteristics for which our investments provide liquidity. This analysis is considered in the development of specific investment strategies for asset allocation, duration and credit quality.  The change in overall market sensitive risk exposure principally reflects the asset changes that took place during the period. 

Interest Rate Risk.Our $11.8 billion investment portfolio, atSeptember 30,  2019, is principally comprised of fixed maturity securities, which are generally subject to interest rate risk and some foreign currency exchange rate risk, and some equity securities, which are subject to price fluctuations and some foreign exchange rate risk.  The overall economic impact of the foreign exchange risks on the investment portfolio is partially mitigated by changes in the dollar value of foreign currency denominated liabilities and their associated income statement impact. 

Interest rate risk is the potential change in value of the fixed maturity securities portfolio, including short-term investments, from a change in market interest rates.  In a declining interest rate environment, it includes prepayment risk on the $1,000.0 million of mortgage-backed securities in the $7,373.7 million fixed maturity portfolio.  Prepayment risk results from potential accelerated principal payments that shorten the average life and thus the expected yield of the security. 

The table below displays the potential impact of market value fluctuations and after-tax unrealized appreciation on our fixed maturity portfolio (including $276.7 million of short-term investments) for the period indicated based on upward and downward parallel and immediate 100 and 200 basis point shifts in interest rates.  For legal entities with a U.S. dollar functional currency, this modeling was performed on each security individually.  To generate appropriate price estimate on mortgage-backed securities, changes in prepayment expectations under different interest rate environments were taken into account.  For legal entities with non-U.S. dollar functional currency, the effective duration of the involved portfolio of securities was used as a proxy for the market value change under the various interest rate change scenarios. 

54

	Impact of Interest Rate Shift in Basis Points
	At September 30, 2019
(Dollars in millions)	-200		-100		-		100		200
Total Market/Fair Value	$	8,177.6	$	7,909.2	$	7,650.4	$	7,387.7	$	7,125.3
Market/Fair Value Change from Base (%)		6.9%		3.4%		0.0%		-3.4%		-6.9%
Change in Unrealized Appreciation
After-tax from Base ($)	$	416.5	$	204.4	$	-	$	(207.6)	$	(414.8)

We had $10,412.2 million and $10,167.0 million of gross reserves for losses and LAE as of September 30, 2019 and December 31, 2018, respectively.  These amounts are recorded at their nominal value, as opposed to present value, which would reflect a discount adjustment to reflect the time value of money.  Since losses are paid out over a period of time, the present value of the reserves is less than the nominal value.  As interest rates rise, the present value of the reserves decreases and, conversely, as interest rates decline, the present value increases.  These movements are the opposite of the interest rate impacts on the fair value of investments.  While the difference between present value and nominal value is not reflected in our financial statements, our financial results will include investment income over time from the investment portfolio until the claims are paid.  Our loss and loss reserve obligations have an expected duration that is reasonably consistent with our fixed income portfolio. 

Equity Risk.  Equity risk is the potential change in fair and/or market value of the common stock, preferred stock and mutual fund portfolios arising from changing prices.  Our equity investments consist of a diversified portfolio of individual securities.  The primary objective of the equity portfolio is to obtain greater total return relative to our core bonds over time through market appreciation and income.

The table below displays the impact on fair/market value and after-tax change in fair/market value of a 10% and 20% change in equity prices up and down for the periods indicated. 

	Impact of Percentage Change in Equity Fair/Market Values
	At September 30, 2019
(Dollars in millions)	-20%		-10%		0%		10%		20%
Fair/Market Value of the Equity Portfolio	$	596.0	$	670.5	$	745.0	$	819.5	$	894.0
After-tax Change in Fair/Market Value		(117.7)		(58.9)		-		58.9		117.7

Foreign Currency Risk.  Foreign currency risk is the potential change in value, income and cash flow arising from adverse changes in foreign currency exchange rates.  Each of our non-U.S. (“foreign”) operations maintains capital in the currency of the country of its geographic location consistent with local regulatory guidelines.  Each foreign operation may conduct business in its local currency, as well as the currency of other countries in which it operates.  The primary foreign currency exposures for these foreign operations are the Singapore and Canadian Dollars.  We mitigate foreign exchange exposure by generally matching the currency and duration of our assets to our corresponding operating liabilities.  In accordance with FASB guidance, the impact on the market value of available for sale fixed maturities due to changes in foreign currency exchange rates, in relation to functional currency, is reflected as part of other comprehensive income.  Conversely, the impact of changes in foreign currency exchange rates, in relation to functional currency, on other assets and liabilities is reflected through net income as a component of other income (expense).  In addition, we translate the assets, liabilities and income of non-U.S. dollar functional currency legal entities to the U.S. dollar.  This translation amount is reported as a component of other comprehensive income. 

55

SAFE HARBOR DISCLOSURE

This report contains forward-looking statements within the meaning of the U.S. federal securities laws.  We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in the federal securities laws.  In some cases, these statements can be identified by the use of forward-looking words such as “may”, “will”, “should”, “could”, “anticipate”, “estimate”, “expect”, “plan”, “believe”, “predict”, “potential” and “intend”.  Forward-looking statements contained in this report include information regarding our reserves for losses and LAE, the impact of the TCJA, the adequacy of our provision for uncollectible balances, estimates of our catastrophe exposure, the effects of catastrophic events on our financial statements and the ability of our subsidiaries to pay dividends.  Forward-looking statements only reflect our expectations and are not guarantees of performance.  These statements involve risks, uncertainties and assumptions.  Actual events or results may differ materially from our expectations.  Important factors that could cause our actual events or results to be materially different from our expectations include those discussed under the caption ITEM 1A, “Risk Factors” in the Company’s most recent 10-K filing.  We undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise. 

ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market Risk Instruments.  See “Market Sensitive Instruments” in PART I – ITEM 2. 

ITEM 4.  CONTROLS AND PROCEDURES

As of the end of the period covered by this report, our management carried out an evaluation, with the participation of the Chief Executive Officer and Chief Financial Officer, of the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”)).  Based on their evaluation, the Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures are effective to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act are recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms.  Our management, with the participation of the Chief Executive Officer and Chief Financial Officer, also conducted an evaluation of our internal control over financial reporting to determine whether any changes occurred during the quarter covered by this report that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.  Based on that evaluation, there has been no such change during the quarter covered by this report. 

PART II

ITEM 1.  LEGAL PROCEEDINGS

In the ordinary course of business, the Company is involved in lawsuits, arbitrations and other formal and informal dispute resolution procedures, the outcomes of which will determine the Company’s rights and obligations under insurance and reinsurance agreements.  In some disputes, the Company seeks to enforce its rights under an agreement or to collect funds owing to it.  In other matters, the Company is resisting attempts by others to collect funds or enforce alleged rights.  These disputes arise from time to time and are ultimately resolved through both informal and formal means, including negotiated resolution, arbitration and litigation.  In all such matters, the Company believes that its positions are legally and commercially reasonable.  The Company considers the statuses of these proceedings when determining its reserves for unpaid loss and loss adjustment expenses.

Aside from litigation and arbitrations related to these insurance and reinsurance agreements, the Company is not a party to any other material litigation or arbitration.

56

ITEM 1A.  RISK FACTORS

No material changes.

ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

None.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

None.

ITEM 4.  MINE SAFETY DISCLOSURES

Not applicable.

ITEM 5.  OTHER INFORMATION

None. 

ITEM 6.  EXHIBITS

Exhibit Index:
Exhibit No.	Description
31.1	Section 302 Certification of Dominic J. Addesso
31.2	Section 302 Certification of Craig Howie
32.1	Section 906 Certification of Dominic J. Addesso and Craig Howie
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema
101.CAL	XBRL Taxonomy Extension Calculation Linkbase
101.DEF	XBRL Taxonomy Extension Definition Linkbase
101.LAB	XBRL Taxonomy Extension Labels Linkbase
101.PRE	XBRL Taxonomy Extension Presentation Linkbase

57

Everest Reinsurance Holdings, Inc.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	Everest Reinsurance Holdings, Inc.
	(Registrant)
	/S/ CRAIG HOWIE
	Craig Howie
	Executive Vice President and
		Chief Financial Officer
	(Duly Authorized Officer and Principal Financial Officer)
Dated:  November 14, 2019

58

EX-31.1

 

Exhibit 31.1

CERTIFICATIONS

I, Dominic J. Addesso, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Everest Reinsurance Holdings, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

November 14, 2019

/S/ DOMINIC J. ADDESSO

Dominic J. Addesso

Chairman, President and

Chief Executive Officer

1

EX-31.2

 

Exhibit 31.2

CERTIFICATIONS

I, Craig Howie, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Everest Reinsurance Holdings, Inc.;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

November 14, 2019

/S/ CRAIG HOWIE

Craig Howie

Executive Vice President and

Chief Financial Officer

1

EX-32.1

 

Exhibit 32.1

CERTIFICATIONS PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q for the quarter ended September 30, 2019 of Everest Reinsurance Holdings, Inc., a corporation organized under the laws of Delaware (the “Company”), filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned hereby certify, pursuant to 18 U.S.C. ss. 1350, as enacted by section 906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of section 13(a) of the Securities Exchange Act of 1934, and
2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

November 14, 2019

/S/ DOMINIC J. ADDESSO

Dominic J. Addesso

Chairman, President and

Chief Executive Officer

/S/ CRAIG HOWIE

Craig Howie

Executive Vice President and

Chief Financial Officer

1

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Related-Party Transactions (Tables)

9 Months Ended

Sep. 30, 2019

Related-Party Transactions [Abstract]

Amendments To The Share Repurchase Program For The Common Shares Approved For Repurchase

	Common
	Shares
	Authorized for
Amendment Date	Repurchase
(Dollars in thousands)
09/21/2004	5,000,000
07/21/2008	5,000,000
02/24/2010	5,000,000
02/22/2012	5,000,000
05/15/2013	5,000,000
11/19/2014	5,000,000
	30,000,000

Dividends Received On Preferred Shares

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Dividends received on preferred stock of affiliate	$	7,758	$	7,758	$	23,274	$	23,274

Affiliated Quota Share Reinsurance Agreements For All New And Renewal Business For The Indicated Coverage Period

(Dollars in thousands)
						Single
		Percent		Assuming		Occurrence		Aggregate
Coverage Period	Ceding Company	Ceded		Company	Type of Business	Limit		Limit
01/01/2010-12/31/2010	Everest Re	44.0	%	Bermuda Re	property / casualty business	150,000		325,000
01/01/2011-12/31/2011	Everest Re	50.0	%	Bermuda Re	property / casualty business	150,000		300,000
01/01/2012-12/31/2014	Everest Re	50.0	%	Bermuda Re	property / casualty business	100,000		200,000
01/01/2015-12/31/2016	Everest Re	50.0	%	Bermuda Re	property / casualty business	162,500		325,000
01/01/2017-12/31/2017	Everest Re	60.0	%	Bermuda Re	property / casualty business	219,000		438,000
01/01/2010-12/31/2010	Everest Re- Canadian Branch	60.0	%	Bermuda Re	property business	350,000	(1)	-
01/01/2011-12/31/2011	Everest Re- Canadian Branch	60.0	%	Bermuda Re	property business	350,000	(1)	-
01/01/2012-12/31/2012	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	206,250	(1)	412,500	(1)
01/01/2013-12/31/2013	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	150,000	(1)	412,500	(1)
01/01/2014-12/31/2017	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	262,500	(1)	412,500	(1)
01/01/2012-12/31/2017	Everest Canada	80.0	%	Everest Re-   Canadian Branch	property business	-		-
(1) Amounts shown are Canadian dollars.

Schedule Of Loss Portfolio Transfer Reinsurance Agreements, Net Insurance Exposures And Reserves Were Transferred To An Affiliate

(Dollars in thousands)
Effective	Transferring	Assuming		% of Business or		Covered Period
Date	Company	Company		Amount of Transfer		of Transfer
10/01/2001	Everest Re (Belgium Branch)	Bermuda Re		100	%	All years
10/01/2008	Everest Re	Bermuda Re	$	747,022		01/01/2002-12/31/2007
12/31/2017	Everest Re	Bermuda Re	$	970,000		All years

Premiums And Losses Ceded By The Company To Affiliate

	Three Months Ended				Nine Months Ended
Bermuda Re	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	14,660	$	146,513	$	85,667	$	421,804
Ceded earned premiums		16,510		148,228		85,632		432,459
Ceded losses and LAE		(16,836)		34,683		(8,521)		70,791

	Three Months Ended				Nine Months Ended
Everest International	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	-	$	-	$	-	$	-
Ceded earned premiums		-		-		-		-
Ceded losses and LAE		10		(5)		(26)		(362)

	Three Months Ended				Nine Months Ended
Everest Canada	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Assumed written premiums	$	-	$	-	$	-	$	-
Assumed earned premiums		-		-		-		-
Assumed losses and LAE		(1,633)		(1,388)		(938)		1,958

	Three Months Ended				Nine Months Ended
Lloyd's Syndicate 2786	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Assumed written premiums	$	24	$	1,056	$	(8,702)	$	795
Assumed earned premiums		850		2,876		(16,380)		13,826
Assumed losses and LAE		1,141		2,883		(2,386)		10,909

	Three Months Ended				Nine Months Ended
Mt. Logan Re Segregated Accounts	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	79,152	$	53,340	$	193,664	$	154,779
Ceded earned premiums		69,942		44,699		176,576		149,674
Ceded losses and LAE		81,136		23,087		145,918		130,994
Assumed written premiums		-		3,219		-		7,866
Assumed earned premiums		-		3,219		-		7,866
Assumed losses and LAE		-		-		-		-

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Senior Notes (Tables)

9 Months Ended

Sep. 30, 2019

Senior Notes [Abstract]

Schedule Of Outstanding Senior Notes

				September 30, 2019				December 31, 2018
				Consolidated				Consolidated
			Principal	Balance Sheet		Market		Balance Sheet		Market
(Dollars in thousands)	Date Issued	Date Due	Amounts	Amount		Value		Amount		Value
Senior notes	06/05/2014	06/01/2044	400,000	$	397,044	$	450,984	$	396,954	$	396,968

Schedule Of Interest Expense Incurred In Connection With Senior Notes

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Interest expense incurred	$	4,868	$	4,868	$	14,604	$	14,604

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Revisions To Financial Statements (Schedule Of Prior Period Financial Statements - Operations And Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands	3 Months Ended						6 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2017
REVENUES:
Other income (expense)	$ (2,673)	$ (5,055)	$ (730)	$ (4,802)	$ 75,294	$ (74,397)	$ (5,785)	$ 897	$ (8,459)	$ (3,905)	$ (9,568)	$ 25,866
Total revenues	1,633,861	1,603,840	1,489,314	1,346,285	1,284,929	1,051,321	3,093,154	2,336,250	4,727,014	3,682,535	4,958,515	2,423,273
INCOME (LOSS) BEFORE TAXES	71,409	348,289	315,139	(1,308)	(315,195)	(6,651)	663,428	(321,846)	734,836	(323,154)	(1,329,209)	(120,866)
Income tax expense (benefit)	10,272	67,367	63,531	(23,274)	(47,900)	5,142	130,898	(42,938)	141,169	(66,032)	(367,025)	(200,736)
NET INCOME (LOSS)		280,922	251,608	21,966	(267,295)	(11,793)	532,530	(279,088)		(257,122)	(962,184)	79,870
COMPREHENSIVE INCOME (LOSS)	$ 91,921	348,551	349,756	16,454	(304,303)	(62,977)	698,307	(367,280)	$ 790,228	(350,826)	(1,085,049)	115,568
As Previously Reported [Member]
REVENUES:
Other income (expense)		(3,812)	(1,214)	(1,385)	77,682	(74,877)	(5,026)	2,805		1,420	(3,851)	23,750
Total revenues		1,605,083	1,488,830	1,349,702	1,287,317	1,050,841	3,093,913	2,338,158		3,687,860	4,964,232	2,421,157
INCOME (LOSS) BEFORE TAXES		349,532	314,655	2,109	(312,807)	(7,131)	664,187	(319,938)		(317,829)	(1,323,492)	(122,982)
Income tax expense (benefit)		67,628	63,429	(22,556)	(47,399)	5,041	131,057	(42,538)		(64,914)	(365,825)	(201,180)
NET INCOME (LOSS)		281,904	251,226	24,665	(265,408)	(12,172)	533,130	(277,580)		(252,915)	(957,667)	78,198
COMPREHENSIVE INCOME (LOSS)		349,533	349,374	19,153	(302,416)	(63,356)	698,907	(365,772)		(346,619)	(1,080,532)	113,896
Impact of Revisions [Member]
REVENUES:
Other income (expense)		(1,243)	484	(3,417)	(2,388)	480	(759)	(1,908)		(5,325)	(5,717)	2,116
Total revenues		(1,243)	484	(3,417)	(2,388)	480	(759)	(1,908)		(5,325)	(5,717)	2,116
INCOME (LOSS) BEFORE TAXES		(1,243)	484	(3,417)	(2,388)	480	(759)	(1,908)		(5,325)	(5,717)	2,116
Income tax expense (benefit)		(261)	102	(718)	(501)	101	(159)	(400)		(1,118)	(1,200)	444
NET INCOME (LOSS)		(982)	382	(2,699)	(1,887)	379	(600)	(1,508)		(4,207)	(4,517)	1,672
COMPREHENSIVE INCOME (LOSS)		$ (982)	$ 382	$ (2,699)	$ (1,887)	$ 379	$ (600)	$ (1,508)		$ (4,207)	$ (4,517)	$ 1,672

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General

9 Months Ended

Sep. 30, 2019

General [Abstract]

General

1.  GENERAL

As used in this document, “Holdings” means Everest Reinsurance Holdings, Inc., a Delaware company and direct subsidiary of Everest Underwriting Group (Ireland) Limited (“Holdings Ireland”); “Group” means Everest Re Group, Ltd. (Holdings Ireland’s parent); “Bermuda Re” means Everest Reinsurance (Bermuda), Ltd., a subsidiary of Group; “Everest Re” means Everest Reinsurance Company and its subsidiaries, a subsidiary of Holdings (unless the context otherwise requires) and the “Company” means Holdings and its subsidiaries.

During the fourth quarter of 2018, Everest Global Services (“Global Services”), a previously affiliated company, was contributed to Holdings from its parent company, Holdings Ireland.

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Fair Value

9 Months Ended

Sep. 30, 2019

Fair Value [Abstract]

Fair Value

6. FAIR VALUE

GAAP guidance regarding fair value measurements address how companies should measure fair value when they are required to use fair value measures for recognition or disclosure purposes under GAAP and provides a common definition of fair value to be used throughout GAAP. It defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly fashion between market participants at the measurement date. In addition, it establishes a three-level valuation hierarchy for the disclosure of fair value measurements. The valuation hierarchy is based on the transparency of inputs to the valuation of an asset or liability. The level in the hierarchy within which a given fair value measurement falls is determined based on the lowest level input that is significant to the measurement, with Level 1 being the highest priority and Level 3 being the lowest priority.

The levels in the hierarchy are defined as follows:

Level 1:

Inputs to the valuation methodology are observable inputs that reflect unadjusted quoted prices for identical assets or liabilities in an active market;

Level 2:

Inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument;

Level 3:

Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

The Company’s fixed maturity and equity securities are primarily managed by third party investment asset managers. The investment asset managers obtain prices from nationally recognized pricing services. These services seek to utilize market data and observations in their evaluation process. They use pricing applications that vary by asset class and incorporate available market information and when fixed maturity securities do not trade on a daily basis the services will apply available information through processes such as benchmark curves, benchmarking of like securities, sector groupings and matrix pricing. In addition, they use model processes, such as the Option Adjusted Spread model to develop prepayment and interest rate scenarios for securities that have prepayment features.

In limited instances where prices are not provided by pricing services or in rare instances when a manager may not agree with the pricing service, price quotes on a non-binding basis are obtained from investment brokers. The investment asset managers do not make any changes to prices received from either the pricing services or the investment brokers. In addition, the investment asset managers have procedures in place to review the reasonableness of the prices from the service providers and may request verification of the prices. In addition, the Company continually performs analytical reviews of price changes and tests the prices on a random basis to an independent pricing source. No material variances were noted during these price validation procedures. In limited situations, where financial markets are inactive or illiquid, the Company may use its own assumptions about future cash flows and risk-adjusted discount rates to determine fair value. At September 30, 2019, $560,135 thousand of fixed maturities, market value were fair valued using unobservable inputs. The majority of the fixed maturities, market value, $480,181 thousand were valued by investment managers’ valuation committees and a majority of these fair values were substantiated by valuations from independent third parties. The Company has procedures in place to review and evaluate these independent third party valuations. The remaining Level 3 fixed maturities of $79,954 thousand were fair valued by the Company at either par or amortized cost, which the Company believes approximates fair value. At December 31, 2018, $383,994 thousand of fixed maturities, market value and $2,337 thousand of fixed maturities, fair value were fair valued using unobservable inputs. The majority of the fixed maturities, market value, $354,133 thousand and all of the $2,337 thousand of fixed maturities, fair value, were valued by investment managers’ valuation committees and a majority of these fair values were substantiated by valuations from independent third parties. The remaining Level 3 fixed maturities of $28,708 thousand were fair valued by the Company at either par or amortized cost and $1,153 thousand were priced using a non-binding broker quote.

The Company internally manages a public equity portfolio which had a fair value at September 30, 2019 and December 31, 2018 of $154,693 thousand and $124,228 thousand, respectively, and all prices were obtained from publicly published sources.

Equity securities denominated in U.S. currency with quoted prices in active markets for identical assets are categorized as level 1 since the quoted prices are directly observable. Equity securities traded on foreign exchanges are categorized as level 2 due to the added input of a foreign exchange conversion rate to determine fair or market value. The Company uses foreign currency exchange rates published by nationally recognized sources.

All categories of fixed maturity securities listed in the tables below are generally categorized as level 2, since a particular security may not have traded but the pricing services are able to use valuation models with observable market inputs such as interest rate yield curves and prices for similar fixed maturity securities in terms of issuer, maturity and seniority. For foreign government securities and foreign corporate securities, the fair values provided by the third party pricing services in local currencies, and where applicable, are converted to U.S. dollars using currency exchange rates from nationally recognized sources.

The fixed maturities with fair values categorized as level 3 result when prices are not available from the nationally recognized pricing services. The asset managers will then obtain non-binding price quotes for the securities from brokers. The single broker quotes are provided by market makers or broker-dealers who are recognized as market participants in the markets in which they are providing the quotes. The prices received from brokers are reviewed for reasonableness by the third party asset managers and the Company. If the broker quotes are for foreign denominated securities, the quotes are converted to U.S. dollars using currency exchange rates from nationally recognized sources. In limited circumstances when broker prices are not available for private placements, the Company will value the securities using comparable market information or receive fair values from investment managers.

The composition and valuation inputs for the presented fixed maturities categories are as follows:

U.S. Treasury securities and obligations of U.S. government agencies and corporations are primarily comprised of U.S. Treasury bonds and the fair value is based on observable market inputs such as quoted prices, reported trades, quoted prices for similar issuances or benchmark yields;

Obligations of U.S. states and political subdivisions are comprised of state and municipal bond issuances and the fair values are based on observable market inputs such as quoted market prices, quoted prices for similar securities, benchmark yields and credit spreads;

Corporate securities are primarily comprised of U.S. corporate and public utility bond issuances and the fair values are based on observable market inputs such as quoted market prices, quoted prices for similar securities, benchmark yields and credit spreads;

Asset-backed and mortgage-backed securities fair values are based on observable inputs such as quoted prices, reported trades, quoted prices for similar issuances or benchmark yields and cash flow models using observable inputs such as prepayment speeds, collateral performance and default spreads;

Foreign government securities are comprised of global non-U.S. sovereign bond issuances and the fair values are based on observable market inputs such as quoted market prices, quoted prices for similar securities and models with observable inputs such as benchmark yields and credit spreads and then, where applicable, converted to U.S. dollars using an exchange rate from a nationally recognized source;

Foreign corporate securities are comprised of global non-U.S. corporate bond issuances and the fair values are based on observable market inputs such as quoted market prices, quoted prices for similar securities and models with observable inputs such as benchmark yields and credit spreads and then, where applicable, converted to U.S. dollars using an exchange rate from a nationally recognized source.

Other invested assets, at fair value, was categorized as Level 3 at September 30, 2019 and December 31, 2018, since it represented a privately placed convertible preferred stock issued by an affiliate. The stock was received in exchange for shares of the Company’s parent. The 25 year redeemable, convertible preferred stock with a 1.75% coupon is valued using a pricing model. The pricing model includes observable inputs such as the U.S. Treasury yield curve rate T note constant maturity 20 year and the swap rate on the Company’s June 1, 2044, 4.868% senior notes, with adjustments to reflect the Company’s own assumptions about the inputs that market participants would use in pricing the asset.

The following table presents the fair value measurement levels for all assets, which the Company has recorded at fair value (fair and market value) as of the period indicated:

			Fair Value Measurement Using:
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	September 30,		Assets		Inputs		Inputs
(Dollars in thousands)	2019		(Level 1)		(Level 2)		(Level 3)
Assets:
Fixed maturities, market value
U.S. Treasury securities and obligations of U.S. government agencies and corporations	$	776,793	$	-	$	776,793	$	-
Obligations of U.S. States and political subdivisions		536,368		-		536,368		-
Corporate securities		2,828,423		-		2,311,025		517,398
Asset-backed securities		605,140		-		564,496		40,644
Mortgage-backed securities
Commercial		332,018		-		332,018		-
Agency residential		665,794		-		665,794		-
Non-agency residential		2,205		-		2,205		-
Foreign government securities		585,484		-		585,484		-
Foreign corporate securities		1,041,494		-		1,039,401		2,093
Total fixed maturities, market value		7,373,719		-		6,813,584		560,135
Equity securities, fair value		744,999		672,825		72,174		-
Other invested assets, fair value		2,019,642		-		-		2,019,642

There were no transfers between Level 1 and Level 2 for the nine months ended September30, 2019.

The following table presents the fair value measurement levels for all assets, which the Company has recorded at fair value (fair and market value) as of the period indicated.

			Fair Value Measurement Using:
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	December 31,		Assets		Inputs		Inputs
(Dollars in thousands)	2018		(Level 1)		(Level 2)		(Level 3)
Assets:
Fixed maturities, market value
U.S. Treasury securities and obligations of U.S. government agencies and corporations	$	2,242,797	$	-	$	2,242,797	$	-
Obligations of U.S. States and political subdivisions		499,089		-		499,089		-
Corporate securities		2,216,153		-		1,839,903		376,250
Asset-backed securities		221,255		-		221,255		-
Mortgage-backed securities
Commercial		136,604		-		136,604		-
Agency residential		148,774		-		148,774		-
Non-agency residential		3,114		-		3,114		-
Foreign government securities		579,586		-		579,586		-
Foreign corporate securities		914,703		-		906,959		7,744
Total fixed maturities, market value		6,962,075		-		6,578,081		383,994
Fixed maturities, fair value		2,337		-		-		2,337
Equity securities, fair value		564,338		540,894		23,444		-
Other invested assets, fair value		1,717,336		-		-		1,717,336

In addition, $160,264 thousand and $117,662 thousand of investments within other invested assets on the consolidated balance sheets as of September 30, 2019 and December 31, 2018, respectively, are not included within the fair value hierarchy tables as the assets are measured at NAV as a practical expedient to determine fair value.

The following tables present the activity under Level 3, fair value measurements using significant unobservable inputs by asset type, for the periods indicated:

	Total Fixed Maturities, Market Value
	Three Months Ended September 30, 2019								Nine Months Ended September 30, 2019
	Corporate		Asset		Foreign				Corporate		Asset		Foreign
(Dollars in thousands)	Securities		Backed Securities		Corporate		Total		Securities		Backed Securities		Corporate		Total
Beginning balance	$	472,229	$	-	$	2,093	$	474,322	$	376,250	$	-	$	7,744	$	383,994
Total gains or (losses) (realized/unrealized)
Included in earnings		1,018		-		-		1,018		3,348		-		(119)		3,229
Included in other comprehensive  income (loss)		(1,314)		644		-		(670)		1,130		644		-		1,774
Purchases, issuances and settlements		42,289		40,000		-		82,289		131,975		40,000		(5,532)		166,443
Transfers in and/or (out) of Level 3		3,176		-		-		3,176		4,695		-		-		4,695
Ending balance	$	517,398	$	40,644	$	2,093	$	560,135	$	517,398	$	40,644	$	2,093	$	560,135
The amount of total gains or losses for the  period included in earnings (or changes in  net assets) attributable to the change in  unrealized gains or losses relating to  assets still held at the reporting date	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

	Total Fixed Maturities, Market Value
	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
	Corporate		Foreign				Corporate		Foreign
(Dollars in thousands)	Securities		Corporate		Total		Securities		Corporate		Total
Beginning balance	$	329,249	$	12,615	$	341,864	$	158,221	$	6,952	$	165,173
Total gains or (losses) (realized/unrealized)
Included in earnings		(1,935)		(472)		(2,407)		(590)		(882)		(1,472)
Included in other comprehensive  income (loss)		(450)		-		(450)		(25)		-		(25)
Purchases, issuances and settlements		50,290		18		50,308		219,548		4,341		223,889
Transfers in and/or (out) of Level 3		-		-		-		-		1,750		1,750
Ending balance	$	377,154	$	12,161	$	389,315	$	377,154	$	12,161	$	389,315
The amount of total gains or losses for the  period included in earnings (or changes in  net assets) attributable to the change in  unrealized gains or losses relating to  assets still held at the reporting date	$	-	$	-	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

	Total Fixed Maturities, Fair Value
	Three Months EndedSeptember 30, 2019				Nine Months EndedSeptember 30, 2019
	Foreign				Foreign
(Dollars in thousands)	Corporate		Total		Corporate		Total
Beginning balance fixed maturities at fair value	$	-	$	-	$	2,337	$	2,337
Total gains or (losses) (realized/unrealized)
Included in earnings		-		-		369		369
Included in other comprehensive income (loss)		-		-		-		-
Purchases, issuances and settlements		-		-		(2,706)		(2,706)
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	-	$	-	$	-	$	-
The amount of total gains or losses for the period  included in earnings (or changes in net assets)  attributable to the change in unrealized gains or  losses relating to assets still held at the  reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

	Total Fixed Maturities, Fair Value
	Three Months EndedSeptember 30, 2018				Nine Months EndedSeptember 30, 2018
	Foreign				Foreign
(Dollars in thousands)	Corporate		Total		Corporate		Total
Beginning balance fixed maturities at fair value	$	3,192	$	3,192	$	-	$	-
Total gains or (losses) (realized/unrealized)
Included in earnings		(101)		(101)		(257)		(257)
Included in other comprehensive income (loss)		(32)		(32)		-		-
Purchases, issuances and settlements		(686)		(686)		2,630		2,630
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	2,373	$	2,373	$	2,373	$	2,373
The amount of total gains or losses for the period  included in earnings (or changes in net assets)  attributable to the change in unrealized gains or  losses relating to assets still held at the  reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

The net transfers to/(from) level 3, fair value measurements using significant unobservable inputs for fixed maturities, market value were $3,176 thousand and $4,695 thousand for the three and nine months ended September 30, 2019. The transfers during 2019 were related to securities that were priced using a recognized pricing service as of December 31, 2018. These securities were subsequently priced using single non-binding broker quotes as of September 30, 2019.

The following table presents the activity under Level 3, fair value measurements using significant unobservable inputs by other invested assets, for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Other invested assets, fair value:
Beginning balance	$	1,892,988	$	1,705,037	$	1,717,336	$	1,807,473
Total gains or (losses) (realized/unrealized)
Included in earnings		126,655		(12,816)		302,306		(115,252)
Included in other comprehensive income (loss)		-		-		-		-
Purchases, issuances and settlements		-		-		-		-
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	2,019,642	$	1,692,221	$	2,019,642	$	1,692,221
The amount of total gains or losses for the period  included in earnings (or changes in net assets)  attributable to the change in unrealized gains or  losses relating to assets still held at the  reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

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Senior Notes

9 Months Ended

Sep. 30, 2019

Senior Notes [Abstract]

Senior Notes

10. SENIOR NOTES

The table below displays Holdings’ outstanding senior notes. Market value is based on quoted market prices, but due to limited trading activity, these senior notes are considered Level 2 in the fair value hierarchy.

				September 30, 2019				December 31, 2018
				Consolidated				Consolidated
			Principal	Balance Sheet		Market		Balance Sheet		Market
(Dollars in thousands)	Date Issued	Date Due	Amounts	Amount		Value		Amount		Value
Senior notes	06/05/2014	06/01/2044	400,000	$	397,044	$	450,984	$	396,954	$	396,968

On June 5, 2014, Holdings issued $400,000 thousand of 30 year senior notes at 4.868%, which will mature on June 1, 2044. Interest will be paid semi-annually on June 1 and December 1 of each year.

Interest expense incurred in connection with these senior notes is as follows for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Interest expense incurred	$	4,868	$	4,868	$	14,604	$	14,604

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Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Fixed maturities - available for sale, amortized cost	$ 7,206,711	$ 7,032,749
Short-term investments, cost	276,651	174,155
Other invested assets, cost	$ 967,624	$ 882,647
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	3,000	3,000
Common stock, shares issued	1,000	1,000
Common stock, shares outstanding	1,000	1,000
Accumulated other comprehensive income (loss), deferred income tax expense (benefit)	$ 18,579	$ (33,506)
Senior Notes 4.868% [Member] | Senior Notes [Member]
Debt instrument, maturity date	Jun. 01, 2044	Jun. 01, 2044
Subordinated Notes 6.6% [Member] | Long Term Subordinated Debt [Member]
Debt instrument, maturity date	May 01, 2067	May 01, 2067

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Related-Party Transactions (Amendments To The Share Repurchase Program For The Common Shares Approved For Repurchase) (Details)	Sep. 30, 2019 shares
Equity, Class of Treasury Stock [Line Items]
Common Shares Authorized for Repurchase, amount	30,000,000
Amendment Date, 09/21/2004 [Member]
Equity, Class of Treasury Stock [Line Items]
Common Shares Authorized for Repurchase, amount	5,000,000
Amendment Date, 07/21/2008 [Member]
Equity, Class of Treasury Stock [Line Items]
Common Shares Authorized for Repurchase, amount	5,000,000
Amendment Date, 02/24/2010 [Member]
Equity, Class of Treasury Stock [Line Items]
Common Shares Authorized for Repurchase, amount	5,000,000
Amendment Date, 02/22/2012 [Member]
Equity, Class of Treasury Stock [Line Items]
Common Shares Authorized for Repurchase, amount	5,000,000
Amendment Date, 05/15/2013 [Member]
Equity, Class of Treasury Stock [Line Items]
Common Shares Authorized for Repurchase, amount	5,000,000
Amendment Date, 11/19/2014 [Member]
Equity, Class of Treasury Stock [Line Items]
Common Shares Authorized for Repurchase, amount	5,000,000

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Segment Reporting (Schedule Of Underwriting Results For Operating Segments) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Segment Reporting Information [Line Items]
Premiums earned	$ 1,428,400	$ 1,230,771	$ 4,074,477	$ 3,526,617
Incurred losses and LAE	1,098,093	970,297	2,737,411	2,912,312
Commission and brokerage	357,681	288,212	962,674	832,671
Other underwriting expenses	95,693	78,800	257,426	230,377
Underwriting gain (loss)	(123,067)	(106,538)	116,966	(448,743)
U.S. Reinsurance [Member]
Segment Reporting Information [Line Items]
Gross written premiums	854,641	940,839	2,260,544	2,237,170
Net written premiums	740,096	703,944	1,845,931	1,557,706
Premiums earned	630,135	528,867	1,810,175	1,437,761
Incurred losses and LAE	392,912	394,621	1,077,023	1,404,349
Commission and brokerage	215,825	156,500	555,517	432,531
Other underwriting expenses	19,148	16,250	50,467	48,608
Underwriting gain (loss)	2,250	(38,504)	127,168	(447,727)
International [Member]
Segment Reporting Information [Line Items]
Gross written premiums	442,587	363,359	1,204,229	1,129,097
Net written premiums	401,341	340,701	1,109,418	1,012,933
Premiums earned	366,410	331,921	1,041,870	1,003,993
Incurred losses and LAE	407,799	315,850	858,683	751,696
Commission and brokerage	81,674	78,180	237,510	240,953
Other underwriting expenses	11,258	9,991	29,355	29,946
Underwriting gain (loss)	(134,321)	(72,100)	(83,678)	(18,602)
Insurance [Member]
Segment Reporting Information [Line Items]
Gross written premiums	592,775	454,993	1,798,149	1,491,438
Net written premiums	428,518	333,836	1,326,714	1,105,223
Premiums earned	431,855	369,983	1,222,432	1,084,863
Incurred losses and LAE	297,382	259,826	801,705	756,267
Commission and brokerage	60,182	53,532	169,647	159,187
Other underwriting expenses	65,287	52,559	177,604	151,823
Underwriting gain (loss)	$ 9,004	$ 4,066	$ 73,476	$ 17,586

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Comprehensive Income (Loss) (Components Of Comprehensive Income (Loss) In The Consolidated Statements Of Operations) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Comprehensive Income (Loss) [Line Items]
Before Tax	$ 2,671	$ 3,210	$ 8,533	$ (2,425)
Tax Effect	(586)	(676)	(1,606)	278
Net of Tax	2,085	2,534	6,927	(2,147)
Reclassification, Before Tax	1,726	2,298	4,640	6,893
Reclassification, Tax Effect	(362)	(482)	(974)	(1,447)
Reclassification, Net of Tax	1,364	1,816	3,666	5,446
Total, Before Tax	38,960	(6,998)	248,646	(118,648)
Total, Tax Effect	(8,176)	1,486	(52,085)	24,944
Total, Net of Tax	30,784	(5,512)	196,561	(93,704)
URA(D) On Securities [Member]
Comprehensive Income (Loss) [Line Items]
Before Tax	30,803	(9,109)	229,768	(92,026)
Tax Effect	(6,443)	1,919	(48,311)	19,561
Net of Tax	24,360	(7,190)	181,457	(72,465)
Total, Net of Tax	26,446	(4,656)	188,385	(74,612)
URA(D) On Securities - OTTI [Member]
Comprehensive Income (Loss) [Line Items]
Before Tax	119	326	(581)	691
Tax Effect	25	68	(122)	145
Net of Tax	94	258	(459)	546
Total, Net of Tax	94	258	(459)	546
Foreign Currency Translation Adjustments [Member]
Comprehensive Income (Loss) [Line Items]
Before Tax	3,641	(3,723)	6,286	(31,781)
Tax Effect	(760)	793	(1,316)	6,697
Net of Tax	2,881	(2,930)	4,970	(25,084)
Total, Net of Tax	2,880	(2,930)	4,969	(25,084)
Benefit Plan Net Gain (Loss) [Member]
Comprehensive Income (Loss) [Line Items]
Total, Net of Tax	$ 1,364	$ 1,816	$ 3,666	$ 5,446

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Investments (Summary Of Gross Gains (Losses) From Sales Of Fixed Maturity And Equity Securities) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Fixed Maturity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Proceeds from sales of securities	$ 213,132	$ 184,810	$ 2,220,440	$ 554,733
Gross gains from sales	6,638	2,519	17,875	11,512
Gross losses from sales	(4,438)	(4,524)	(14,206)	(8,641)
Equity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Proceeds from sales of securities	35,925	186,403	184,898	616,330
Gross gains from sales	1,035	13,764	9,283	21,670
Gross losses from sales	$ (2,227)	$ (3,849)	$ (6,745)	$ (15,837)

XML

Fair Value (Fair Value Measurement Levels For All Assets, Recorded At Fair And Market Value) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	$ 7,373,719	$ 6,962,075
Fixed maturities - available for sale, at fair value		2,337
Equity securities, at fair value	744,999	564,338
Other invested assets, at fair value	2,019,642	1,717,336
Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Fixed maturities - available for sale, at fair value
Equity securities, at fair value	672,825	540,894
Other invested assets, at fair value
Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	6,813,584	6,578,081
Fixed maturities - available for sale, at fair value
Equity securities, at fair value	72,174	23,444
Other invested assets, at fair value
Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	560,135	383,994
Fixed maturities - available for sale, at fair value		2,337
Equity securities, at fair value
Other invested assets, at fair value	2,019,642	1,717,336
U.S. Treasury Securities And Obligations Of U.S. Government Agencies And Corporations [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	776,793	2,242,797
U.S. Treasury Securities And Obligations Of U.S. Government Agencies And Corporations [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
U.S. Treasury Securities And Obligations Of U.S. Government Agencies And Corporations [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	776,793	2,242,797
U.S. Treasury Securities And Obligations Of U.S. Government Agencies And Corporations [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Obligation of U.S. States and Political Subdivisions [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	536,368	499,089
Obligation of U.S. States and Political Subdivisions [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Obligation of U.S. States and Political Subdivisions [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	536,368	499,089
Obligation of U.S. States and Political Subdivisions [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Corporate Securities [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	2,828,423	2,216,153
Corporate Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Corporate Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	2,311,025	1,839,903
Corporate Securities [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	517,398	376,250
Asset-backed Securities [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	605,140	221,255
Asset-backed Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Asset-backed Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	564,496	221,255
Asset-backed Securities [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	40,644
Commercial [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	332,018	136,604
Commercial [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Commercial [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	332,018	136,604
Commercial [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Agency Residential [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	665,794	148,774
Agency Residential [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Agency Residential [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	665,794	148,774
Agency Residential [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Non-agency Residential [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	2,205	3,114
Non-agency Residential [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Non-agency Residential [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	2,205	3,114
Non-agency Residential [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Foreign Government Securities [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	585,484	579,586
Foreign Government Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Foreign Government Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	585,484	579,586
Foreign Government Securities [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Foreign Corporate Securities [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	1,041,494	914,703
Foreign Corporate Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value
Foreign Corporate Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	1,039,401	906,959
Foreign Corporate Securities [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fixed maturity securities - available for sale, at market value	$ 2,093	$ 7,744

XML

Senior Notes (Narrative) (Details) - Senior Notes [Member] - Senior Notes 4.868% [Member] - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Date Issued	Jun. 05, 2014
Principal Amounts	$ 400,000,000
Debt maturity term	30 years
Debt instrument, stated interest rate	4.868%
Maturity date	Jun. 01, 2044	Jun. 01, 2044

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Long Term Subordinated Notes (Schedule Of Outstanding Fixed To Floating Rate Long Term Subordinated Notes) (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Consolidated Balance Sheet Amount	$ 236,733,000	$ 236,659,000
Subordinated Notes 6.6% [Member] | Long Term Subordinated Debt [Member]
Debt Instrument [Line Items]
Date Issued	Apr. 26, 2007
Original Principal Amount	$ 400,000,000
Maturity date	May 01, 2067	May 01, 2067
Consolidated Balance Sheet Amount	$ 236,733,000	$ 236,659,000
Market value	$ 214,853,000	$ 200,390,000
Subordinated Notes 6.6% [Member] | Long Term Subordinated Debt [Member] | Scheduled [Member]
Debt Instrument [Line Items]
Maturity date	May 15, 2037
Subordinated Notes 6.6% [Member] | Long Term Subordinated Debt [Member] | Final [Member]
Debt Instrument [Line Items]
Maturity date	May 01, 2067

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Investments (Summary Of Changes In Net Unrealized Appreciation (Depreciation) For The Company's Investments) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Schedule of Available-for-sale Securities [Line Items]
Change in unrealized appreciation (depreciation), pre-tax	$ 33,592	$ (5,573)	$ 237,720	$ (93,760)
Deferred tax benefit (expense)	(7,028)	1,243	(49,917)	19,839
Deferred tax benefit (expense), other-than-temporary impairment	(25)	(68)	122	(145)
Total URA(D) on securities arising during the period	26,539	(4,398)	187,925	(74,066)
Fixed Maturity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Change in unrealized appreciation (depreciation), pre-tax	33,473	(5,899)	238,301	(94,451)
Fixed Maturity Securities, Other-Than-Temporary Impairment [Member]
Schedule of Available-for-sale Securities [Line Items]
Change in unrealized appreciation (depreciation), pre-tax	$ 119	$ 326	$ (581)	$ 691

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Revisions To Financial Statements (Schedule Of Prior Period Financial Statements - Cash Flows) (Details) - USD ($) $ in Thousands	3 Months Ended					6 Months Ended		9 Months Ended		12 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ 280,922	$ 251,608	$ 21,966	$ (267,295)	$ (11,793)	$ 532,530	$ (279,088)		$ (257,122)	$ (962,184)	$ 79,870
Decrease (increase) in funds held by reinsureds, net		(14,361)			135,862	(13,929)	(11,326)	$ (18,129)	(17,198)	(20,963)	(92,526)
Decrease (increase) in income taxes		94,733			52,470	214,671	4,252	$ 226,147	9,951	(292,729)	(249,674)
As Previously Reported [Member]
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	281,904	251,226	24,665	(265,408)	(12,172)	533,130	(277,580)		(252,915)	(957,667)	78,198
Decrease (increase) in funds held by reinsureds, net		(13,877)			136,342	(14,688)	(13,233)		(22,523)	(26,680)	(90,410)
Decrease (increase) in income taxes		94,631			52,369	214,830	4,652		11,069	(291,528)	(250,118)
Impact of Revisions [Member]
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ (982)	382	$ (2,699)	$ (1,887)	379	(600)	(1,508)		(4,207)	(4,517)	1,672
Decrease (increase) in funds held by reinsureds, net		(484)			(480)	759	1,908		5,325	5,717	(2,116)
Decrease (increase) in income taxes		$ 102			$ 101	$ (159)	$ (400)		$ (1,118)	$ (1,200)	$ 444

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Investments (Summary Of Components Of Net Realized Capital Gains (Losses)) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Schedule of Available-for-sale Securities [Line Items]
Other-than-temporary impairments	$ (6,968)	$ (2,834)	$ (14,187)	$ (3,741)
Other invested assets	967,624		967,624		$ 882,647
Total net realized capital gains (losses)	112,542	30,018	390,161	(72,454)
Fixed Maturity Securities [Member] | Market Value [Member]
Schedule of Available-for-sale Securities [Line Items]
Other-than-temporary impairments	(6,968)	(2,834)	(14,187)	(3,741)
Gains (losses) from sales	2,200	(1,288)	3,313	4,670
Fixed Maturity Securities [Member] | Fair Value [Member]
Schedule of Available-for-sale Securities [Line Items]
Gains (losses) from sales		(717)	356	(1,799)
Gains (losses) from fair value adjustments		584	13	1,542
Equity Securities [Member] | Fair Value [Member]
Schedule of Available-for-sale Securities [Line Items]
Gains (losses) from sales	(1,192)	9,915	2,538	5,833
Gains (losses) from fair value adjustments	(10,326)	36,269	93,349	34,805
Other Invested Assets [Member]
Schedule of Available-for-sale Securities [Line Items]
Gains (losses) from sales	2,097	913	2,341	1,497
Other Invested Assets [Member] | Fair Value [Member]
Schedule of Available-for-sale Securities [Line Items]
Gains (losses) from fair value adjustments	126,655	(12,816)	302,306	(115,252)
Short-Term Investments [Member]
Schedule of Available-for-sale Securities [Line Items]
Gains (losses) from sales	$ 76	$ (8)	$ 132	$ (9)

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Fair Value (Tables)

9 Months Ended

Sep. 30, 2019

Fair Value [Abstract]

Fair Value Measurement Levels For All Assets, Recorded At Fair And Market Value

			Fair Value Measurement Using:
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	September 30,		Assets		Inputs		Inputs
(Dollars in thousands)	2019		(Level 1)		(Level 2)		(Level 3)
Assets:
Fixed maturities, market value
U.S. Treasury securities and obligations of U.S. government agencies and corporations	$	776,793	$	-	$	776,793	$	-
Obligations of U.S. States and political subdivisions		536,368		-		536,368		-
Corporate securities		2,828,423		-		2,311,025		517,398
Asset-backed securities		605,140		-		564,496		40,644
Mortgage-backed securities
Commercial		332,018		-		332,018		-
Agency residential		665,794		-		665,794		-
Non-agency residential		2,205		-		2,205		-
Foreign government securities		585,484		-		585,484		-
Foreign corporate securities		1,041,494		-		1,039,401		2,093
Total fixed maturities, market value		7,373,719		-		6,813,584		560,135
Equity securities, fair value		744,999		672,825		72,174		-
Other invested assets, fair value		2,019,642		-		-		2,019,642

			Fair Value Measurement Using:
			Quoted Prices
			in Active		Significant
			Markets for		Other		Significant
			Identical		Observable		Unobservable
	December 31,		Assets		Inputs		Inputs
(Dollars in thousands)	2018		(Level 1)		(Level 2)		(Level 3)
Assets:
Fixed maturities, market value
U.S. Treasury securities and obligations of U.S. government agencies and corporations	$	2,242,797	$	-	$	2,242,797	$	-
Obligations of U.S. States and political subdivisions		499,089		-		499,089		-
Corporate securities		2,216,153		-		1,839,903		376,250
Asset-backed securities		221,255		-		221,255		-
Mortgage-backed securities
Commercial		136,604		-		136,604		-
Agency residential		148,774		-		148,774		-
Non-agency residential		3,114		-		3,114		-
Foreign government securities		579,586		-		579,586		-
Foreign corporate securities		914,703		-		906,959		7,744
Total fixed maturities, market value		6,962,075		-		6,578,081		383,994
Fixed maturities, fair value		2,337		-		-		2,337
Equity securities, fair value		564,338		540,894		23,444		-
Other invested assets, fair value		1,717,336		-		-		1,717,336

Activity Under Level 3, Fair Value Measurements Using Significant Unobservable Inputs By Asset Type

	Total Fixed Maturities, Market Value
	Three Months Ended September 30, 2019								Nine Months Ended September 30, 2019
	Corporate		Asset		Foreign				Corporate		Asset		Foreign
(Dollars in thousands)	Securities		Backed Securities		Corporate		Total		Securities		Backed Securities		Corporate		Total
Beginning balance	$	472,229	$	-	$	2,093	$	474,322	$	376,250	$	-	$	7,744	$	383,994
Total gains or (losses) (realized/unrealized)
Included in earnings		1,018		-		-		1,018		3,348		-		(119)		3,229
Included in other comprehensive  income (loss)		(1,314)		644		-		(670)		1,130		644		-		1,774
Purchases, issuances and settlements		42,289		40,000		-		82,289		131,975		40,000		(5,532)		166,443
Transfers in and/or (out) of Level 3		3,176		-		-		3,176		4,695		-		-		4,695
Ending balance	$	517,398	$	40,644	$	2,093	$	560,135	$	517,398	$	40,644	$	2,093	$	560,135
The amount of total gains or losses for the  period included in earnings (or changes in  net assets) attributable to the change in  unrealized gains or losses relating to  assets still held at the reporting date	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

	Total Fixed Maturities, Market Value
	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
	Corporate		Foreign				Corporate		Foreign
(Dollars in thousands)	Securities		Corporate		Total		Securities		Corporate		Total
Beginning balance	$	329,249	$	12,615	$	341,864	$	158,221	$	6,952	$	165,173
Total gains or (losses) (realized/unrealized)
Included in earnings		(1,935)		(472)		(2,407)		(590)		(882)		(1,472)
Included in other comprehensive  income (loss)		(450)		-		(450)		(25)		-		(25)
Purchases, issuances and settlements		50,290		18		50,308		219,548		4,341		223,889
Transfers in and/or (out) of Level 3		-		-		-		-		1,750		1,750
Ending balance	$	377,154	$	12,161	$	389,315	$	377,154	$	12,161	$	389,315
The amount of total gains or losses for the  period included in earnings (or changes in  net assets) attributable to the change in  unrealized gains or losses relating to  assets still held at the reporting date	$	-	$	-	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

	Total Fixed Maturities, Fair Value
	Three Months EndedSeptember 30, 2019				Nine Months EndedSeptember 30, 2019
	Foreign				Foreign
(Dollars in thousands)	Corporate		Total		Corporate		Total
Beginning balance fixed maturities at fair value	$	-	$	-	$	2,337	$	2,337
Total gains or (losses) (realized/unrealized)
Included in earnings		-		-		369		369
Included in other comprehensive income (loss)		-		-		-		-
Purchases, issuances and settlements		-		-		(2,706)		(2,706)
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	-	$	-	$	-	$	-
The amount of total gains or losses for the period  included in earnings (or changes in net assets)  attributable to the change in unrealized gains or  losses relating to assets still held at the  reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

	Total Fixed Maturities, Fair Value
	Three Months EndedSeptember 30, 2018				Nine Months EndedSeptember 30, 2018
	Foreign				Foreign
(Dollars in thousands)	Corporate		Total		Corporate		Total
Beginning balance fixed maturities at fair value	$	3,192	$	3,192	$	-	$	-
Total gains or (losses) (realized/unrealized)
Included in earnings		(101)		(101)		(257)		(257)
Included in other comprehensive income (loss)		(32)		(32)		-		-
Purchases, issuances and settlements		(686)		(686)		2,630		2,630
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	2,373	$	2,373	$	2,373	$	2,373
The amount of total gains or losses for the period  included in earnings (or changes in net assets)  attributable to the change in unrealized gains or  losses relating to assets still held at the  reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

Fair Value Measurements Using Significant Unobservable Inputs for Equity Index Put Option Contracts

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Other invested assets, fair value:
Beginning balance	$	1,892,988	$	1,705,037	$	1,717,336	$	1,807,473
Total gains or (losses) (realized/unrealized)
Included in earnings		126,655		(12,816)		302,306		(115,252)
Included in other comprehensive income (loss)		-		-		-		-
Purchases, issuances and settlements		-		-		-		-
Transfers in and/or (out) of Level 3		-		-		-		-
Ending balance	$	2,019,642	$	1,692,221	$	2,019,642	$	1,692,221
The amount of total gains or losses for the period  included in earnings (or changes in net assets)  attributable to the change in unrealized gains or  losses relating to assets still held at the  reporting date	$	-	$	-	$	-	$	-
(Some amounts may not reconcile due to rounding.)

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Segment Reporting

9 Months Ended

Sep. 30, 2019

Segment Reporting [Abstract]

Segment Reporting

14. SEGMENT REPORTING

The U.S. Reinsurance operation writes property and casualty reinsurance and specialty lines of business, including Marine, Aviation, Surety and Accident and Health (“A&H”) business, on both a treaty and facultative basis, through reinsurance brokers, as well as directly with ceding companies primarily within the U.S. The International operation writes non-U.S. property and casualty reinsurance through Everest Re’s branches in Canada, Singapore and through offices in Brazil, Miami and New Jersey. The Insurance operation writes property and casualty insurance directly and through brokers, surplus lines brokers and general agents mainly within the U.S.

These segments are managed independently, but conform with corporate guidelines with respect to pricing, risk management, control of aggregate catastrophe exposures, capital, investments and support operations. Management generally monitors and evaluates the financial performance of these operating segments based upon their underwriting results.

Underwriting results include earned premium less losses and LAE incurred, commission and brokerage expenses and other underwriting expenses. We measure our underwriting results using ratios, in particular loss, commission and brokerage and other underwriting expense ratios, which, respectively, divide incurred losses, commissions and brokerage and other underwriting expenses by premiums earned.

The Company does not maintain separate balance sheet data for its operating segments. Accordingly, the Company does not review and evaluate the financial results of its operating segments based upon balance sheet data.

The following tables present the underwriting results for the operating segments for the periods indicated:

	Three Months Ended				Nine Months Ended
U.S. Reinsurance	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	854,641	$	940,839	$	2,260,544	$	2,237,170
Net written premiums		740,096		703,944		1,845,931		1,557,706
Premiums earned	$	630,135	$	528,867	$	1,810,175	$	1,437,761
Incurred losses and LAE		392,912		394,621		1,077,023		1,404,349
Commission and brokerage		215,825		156,500		555,517		432,531
Other underwriting expenses		19,148		16,250		50,467		48,608
Underwriting gain (loss)	$	2,250	$	(38,504)	$	127,168	$	(447,727)

	Three Months Ended				Nine Months Ended
International	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	442,587	$	363,359	$	1,204,229	$	1,129,097
Net written premiums		401,341		340,701		1,109,418		1,012,933
Premiums earned	$	366,410	$	331,921	$	1,041,870	$	1,003,993
Incurred losses and LAE		407,799		315,850		858,683		751,696
Commission and brokerage		81,674		78,180		237,510		240,953
Other underwriting expenses		11,258		9,991		29,355		29,946
Underwriting gain (loss)	$	(134,321)	$	(72,100)	$	(83,678)	$	(18,602)

	Three Months Ended				Nine Months Ended
Insurance	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	592,775	$	454,993	$	1,798,149	$	1,491,438
Net written premiums		428,518		333,836		1,326,714		1,105,223
Premiums earned	$	431,855	$	369,983	$	1,222,432	$	1,084,863
Incurred losses and LAE		297,382		259,826		801,705		756,267
Commission and brokerage		60,182		53,532		169,647		159,187
Other underwriting expenses		65,287		52,559		177,604		151,823
Underwriting gain (loss)	$	9,004	$	4,066	$	73,476	$	17,586

The following table reconciles the underwriting results for the operating segments to income (loss) before taxes as reported in the consolidated statements of operations and comprehensive income (loss) for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Underwriting gain (loss)	$	(123,067)	$	(106,538)	$	116,966	$	(448,743)
Net investment income		95,592		90,298		270,835		232,277
Net realized capital gains (losses)		112,542		30,018		390,161		(72,454)
Corporate expense		(3,183)		(2,488)		(7,353)		(7,597)
Interest, fee and bond issue cost amortization expense		(7,802)		(7,796)		(27,314)		(22,732)
Other income (expense)		(2,673)		(4,802)		(8,459)		(3,905)
Income (loss) before taxes	$	71,409	$	(1,308)	$	734,836	$	(323,154)

The Company produces business in the U.S. and internationally. The net income deriving from assets residing in the individual foreign countries in which the Company writes business are not identifiable in the Company’s financial records. Based on gross written premium, the table below presents the largest country, other than the U.S., in which the Company writes business, for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Canada gross written premiums	$	52,136	$	41,005	$	138,392	$	125,586

No other country represented more than 5% of the Company’s revenues.

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Subsequent Events

9 Months Ended

Sep. 30, 2019

Subsequent Events [Abstract]

Subsequent Events

18. SUBSEQUENT EVENTS

The Company has evaluated known recognized and non-recognized subsequent events. In October 2019, Typhoon Hagibis made landfall in Japan. Additionally, wildfires are currently impacting California. Due to the recentness of these events, the company is unable to estimate the amount of losses at this time. However, the company anticipates that the losses from these events will adversely impact fourth quarter 2019 financial statements.

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Senior Notes (Schedule Of Outstanding Senior Notes) (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Assets Sold under Agreements to Repurchase [Line Items]
Consolidated Balance Sheet Amount	$ 397,044,000	$ 396,954,000
Senior Notes 4.868% [Member] | Senior Notes [Member]
Assets Sold under Agreements to Repurchase [Line Items]
Date Issued	Jun. 05, 2014
Date Due	Jun. 01, 2044	Jun. 01, 2044
Principal Amounts	$ 400,000,000
Consolidated Balance Sheet Amount	397,044,000	$ 396,954,000
Market value	$ 450,984,000	$ 396,968,000

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Long Term Subordinated Notes (Schedule Of Interest Expense Incurred In Connection With Long Term Subordinated Notes) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Long Term Subordinated Notes [Abstract]
Interest expense incurred	$ 2,881	$ 2,875	$ 8,892	$ 7,968

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Investments (Summary Of Components Of Net Investment Income) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Schedule of Available-for-sale Securities [Line Items]
Gross investment income before adjustments	$ 102,504	$ 95,987	$ 289,553	$ 246,000
Funds held interest income (expense)	1,108	906	5,434	4,505
Interest income from Parent		1,075		3,225
Gross investment income	103,612	97,968	294,987	253,730
Investment expenses	(8,020)	(7,670)	(24,152)	(21,453)
Net investment income	95,592	90,298	270,835	232,277
Fixed Maturity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Gross investment income before adjustments	68,178	51,834	200,606	142,776
Equity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Gross investment income before adjustments	1,971	2,651	5,721	10,681
Short-Term Investments and Cash [Member]
Schedule of Available-for-sale Securities [Line Items]
Gross investment income before adjustments	2,210	2,110	8,115	4,340
Limited Partnerships [Member]
Schedule of Available-for-sale Securities [Line Items]
Gross investment income before adjustments	15,102	25,573	38,273	54,213
Dividends From Preferred Shares Of Affiliate [Member]
Schedule of Available-for-sale Securities [Line Items]
Gross investment income before adjustments	7,758	7,758	23,274	23,274
Other [Member]
Schedule of Available-for-sale Securities [Line Items]
Gross investment income before adjustments	$ 7,285	$ 6,061	$ 13,564	$ 10,716

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Investments (Summary Of Amortized Cost And Market Value Of Fixed Maturity Securities, By Contractual Maturity) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Schedule of Available-for-sale Securities [Line Items]
Fixed maturity securities - available for sale, Amortized Cost	$ 7,206,711	$ 7,032,749
Fixed maturity securities - available for sale, Market Value	7,373,719	6,962,075
Fixed Maturity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fixed maturity securities - available for sale, Due in one year or less, Amortized Cost	522,393	511,193
Fixed maturity securities - available for sale, Due after one year through five years, Amortized Cost	2,937,353	4,271,245
Fixed maturity securities - available for sale, Due after five years through ten years, Amortized Cost	1,484,688	1,177,752
Fixed maturity securities - available for sale, Due after ten years, Amortized Cost	697,713	561,566
Fixed maturity securities - available for sale, Due in one year or less, Market Value	519,742	507,572
Fixed maturity securities - available for sale, Due after one year through five years, Market Value	2,980,204	4,230,451
Fixed maturity securities - available for sale, Due after five years through ten years, Market Value	1,549,482	1,163,831
Fixed maturity securities - available for sale, Due after ten years, Market Value	719,134	550,474
Asset-backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fixed maturity securities - available for sale, Amortized Cost	605,172	223,192
Fixed maturity securities - available for sale, Market Value	605,140	221,255
Commercial [Member]
Schedule of Available-for-sale Securities [Line Items]
Fixed maturity securities - available for sale, Amortized Cost	310,630	135,380
Fixed maturity securities - available for sale, Market Value	332,018	136,604
Agency Residential [Member]
Schedule of Available-for-sale Securities [Line Items]
Fixed maturity securities - available for sale, Amortized Cost	646,559	149,306
Fixed maturity securities - available for sale, Market Value	665,794	148,774
Non-agency Residential [Member]
Schedule of Available-for-sale Securities [Line Items]
Fixed maturity securities - available for sale, Amortized Cost	2,203	3,115
Fixed maturity securities - available for sale, Market Value	$ 2,205	$ 3,114

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Revisions To Financial Statements (Schedule Of Prior Period Financial Statements - Stockholder's Equity) (Details) - USD ($) $ in Thousands	3 Months Ended					6 Months Ended		9 Months Ended	12 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2017
Error Corrections And Prior Period Adjustments Restatement [Line Items]
Beginning balance,	$ 5,386,602	$ 5,036,757	$ 5,042,149	$ 5,346,404	$ 5,409,332	$ 5,036,757	$ 5,409,332	$ 5,409,332	$ 5,409,332
Net income (loss)	280,922	251,608	21,966	(267,295)	(11,793)	532,530	(279,088)	(257,122)	(962,184)	$ 79,870
Ending balance,	5,735,239	5,386,602	5,058,645	5,042,149	5,346,404	5,735,239	5,042,149	5,058,645	5,036,757	5,409,332
Retained Earnings [Member]
Error Corrections And Prior Period Adjustments Restatement [Line Items]
Beginning balance,	4,314,306	4,062,696	4,745,792	5,013,087	5,022,433	4,062,696	5,022,433	5,022,433	5,022,433	4,942,239
Net income (loss)		251,608	21,966	(267,295)	(11,793)	280,922	(279,088)	(257,122)	(962,184)	79,870
Ending balance,	4,595,227	4,314,306	4,767,758	4,745,792	5,013,087	4,595,227	4,745,792	4,767,758	4,062,696	5,022,433
As Previously Reported [Member]
Error Corrections And Prior Period Adjustments Restatement [Line Items]
Beginning balance,	5,394,126	5,044,665	5,047,046	5,349,415	5,412,723	5,044,665	5,412,723	5,412,723	5,412,723
Net income (loss)	281,904	251,226	24,665	(265,408)	(12,172)	533,130	(277,580)	(252,915)	(957,667)	78,198
Ending balance,	5,743,746	5,394,126	5,066,243	5,047,046	5,349,415	5,743,746	5,047,046	5,066,243	5,044,665	5,412,723
As Previously Reported [Member] | Retained Earnings [Member]
Error Corrections And Prior Period Adjustments Restatement [Line Items]
Beginning balance,	4,321,830	4,070,604	4,750,691	5,016,099	5,025,824	4,070,604	5,025,824	5,025,824	5,025,824	4,947,301
Net income (loss)		251,226	24,665	(265,408)	(12,172)	281,904	(277,580)	(252,915)	(957,667)	78,198
Ending balance,	4,603,734	4,321,830	4,775,356	4,750,691	5,016,099	4,603,734	4,750,691	4,775,356	4,070,604	5,025,824
Impact of Revisions [Member]
Error Corrections And Prior Period Adjustments Restatement [Line Items]
Beginning balance,	(7,524)	(7,908)	(4,897)	(3,011)	(3,391)	(7,908)	(3,391)	(3,391)	(3,391)
Net income (loss)	(982)	382	(2,699)	(1,887)	379	(600)	(1,508)	(4,207)	(4,517)	1,672
Ending balance,	(8,507)	(7,524)	(7,597)	(4,897)	(3,011)	(8,507)	(4,897)	(7,597)	(7,908)	(3,391)
Impact of Revisions [Member] | Retained Earnings [Member]
Error Corrections And Prior Period Adjustments Restatement [Line Items]
Beginning balance,	(7,524)	(7,908)	(4,897)	(3,011)	(3,391)	(7,908)	(3,391)	(3,391)	(3,391)	(5,062)
Net income (loss)		382	(2,699)	(1,887)	379	(982)	(1,508)	(4,207)	(4,517)	1,672
Ending balance,	$ (8,507)	$ (7,524)	$ (7,597)	$ (4,897)	$ (3,011)	$ (8,507)	$ (4,897)	$ (7,597)	$ (7,908)	$ (3,391)

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Related-Party Transactions

9 Months Ended

Sep. 30, 2019

Related-Party Transactions [Abstract]

Related-Party Transactions

15. RELATED-PARTY TRANSACTIONS

Parent

Group entered into a $250,000 thousand long term promissory note agreement with Holdings as of December 31, 2014. The note was repaid in December 2018. Interest income in the amount of $0 thousand and $1,075 thousand was recorded by Holdings for the three months ended September 30, 2019 and 2018, respectively. Interest income in the amount of $0 thousand and $2,150 thousand was recorded by Holdings for the nine months ended September 30, 2019 and 2018, respectively.

Group’s Board of Directors approved an amended share repurchase program authorizing Group and/or its subsidiary Holdings to purchase Group’s common shares through open market transactions, privately negotiated transactions or both. The table below represents the amendments to the share repurchase program for the common shares approved for repurchase.

	Common
	Shares
	Authorized for
Amendment Date	Repurchase
(Dollars in thousands)
09/21/2004	5,000,000
07/21/2008	5,000,000
02/24/2010	5,000,000
02/22/2012	5,000,000
05/15/2013	5,000,000
11/19/2014	5,000,000
	30,000,000

Holdings had purchased and held 9,719,971 Common Shares of Group, which were purchased in the open market between February 2007 and March 2011.

In December, 2015, Holdings transferred the 9,719,971 Common Shares of Group, which it held as other invested assets, at fair value, valued at $1,773,214 thousand, to Preferred Holdings, an affiliated entity and subsidiary of Group, in exchange for 1,773.214 preferred shares of Preferred Holdings with a $1,000 thousand par value and 1.75% annual dividend rate. After the exchange, Holdings no longer holds any shares or has any ownership interest in Group.

Holdings reported its preferred shares in Preferred Holdings, as other invested assets, fair value, in the consolidated balance sheets with changes in fair value re-measurement recorded in net realized capital gains (losses) in the consolidated statements of operations and comprehensive income (loss). The following table presents the dividends received on the preferred shares of Preferred Holdings that are reported as net investment income in the consolidated statements of operations and comprehensive income (loss) for the period indicated.

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Dividends received on preferred stock of affiliate	$	7,758	$	7,758	$	23,274	$	23,274

Affiliated Companies

Effective December 31, 2018, Holdings entered into a $300,000 thousand long-term promissory note agreement with Bermuda Re. The note was repaid in May, 2019. This transaction was presented as a Note Payable – Affiliated in the consolidated balance sheets of Holdings as of December 31, 2018. Interest expense of $0 thousand and $3,658 thousand was recorded by Holdings for the three and nine months ended September 30, 2019, respectively.

Effective October 1, 2018, Holdings Ireland made a capital contribution of Global Services, an affiliated entity, to Holdings. Global Services had an equity value of $227,253 thousand at the time of contribution and that value is classified as additional paid in capital in the Company’s consolidated balance sheet as of December 31, 2018.

Affiliates

The table below represents affiliated quota share reinsurance agreements ("whole account quota share") for all new and renewal business for the indicated coverage period:

(Dollars in thousands)
						Single
		Percent		Assuming		Occurrence		Aggregate
Coverage Period	Ceding Company	Ceded		Company	Type of Business	Limit		Limit
01/01/2010-12/31/2010	Everest Re	44.0	%	Bermuda Re	property / casualty business	150,000		325,000
01/01/2011-12/31/2011	Everest Re	50.0	%	Bermuda Re	property / casualty business	150,000		300,000
01/01/2012-12/31/2014	Everest Re	50.0	%	Bermuda Re	property / casualty business	100,000		200,000
01/01/2015-12/31/2016	Everest Re	50.0	%	Bermuda Re	property / casualty business	162,500		325,000
01/01/2017-12/31/2017	Everest Re	60.0	%	Bermuda Re	property / casualty business	219,000		438,000
01/01/2010-12/31/2010	Everest Re- Canadian Branch	60.0	%	Bermuda Re	property business	350,000	(1)	-
01/01/2011-12/31/2011	Everest Re- Canadian Branch	60.0	%	Bermuda Re	property business	350,000	(1)	-
01/01/2012-12/31/2012	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	206,250	(1)	412,500	(1)
01/01/2013-12/31/2013	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	150,000	(1)	412,500	(1)
01/01/2014-12/31/2017	Everest Re- Canadian Branch	75.0	%	Bermuda Re	property / casualty business	262,500	(1)	412,500	(1)
01/01/2012-12/31/2017	Everest Canada	80.0	%	Everest Re-   Canadian Branch	property business	-		-
(1) Amounts shown are Canadian dollars.

Effective January 1, 2018, Everest Re entered into a twelve month whole account aggregate stop loss reinsurance contract (“stop loss agreement”) with Bermuda Re. The stop loss agreement provides coverage for ultimate net losses on applicable net earned premiums above a retention level, subject to certain other coverage limits and conditions. The stop loss agreement was renewed effective January 1, 2019.

In addition, Everest Re entered into a property catastrophe excess of loss reinsurance contract with Bermuda Re, effective January 1, 2019. The contract provides $100,000thousand of reinsurance coverage for property catastrophe losses above certain attachment points.

The table below represents loss portfolio transfer (“LPT”) reinsurance agreements whereby net insurance exposures and reserves were transferred to an affiliate.

(Dollars in thousands)
Effective	Transferring	Assuming		% of Business or		Covered Period
Date	Company	Company		Amount of Transfer		of Transfer
10/01/2001	Everest Re (Belgium Branch)	Bermuda Re		100	%	All years
10/01/2008	Everest Re	Bermuda Re	$	747,022		01/01/2002-12/31/2007
12/31/2017	Everest Re	Bermuda Re	$	970,000		All years

On December 31, 2017, the Company entered into a LPT agreement with Bermuda Re. The LPT agreement covers subject loss reserves of $2,336,242 thousand for accident years 2017 and prior. As a result of the LPT agreement, the Company transferred $1,000,000 thousand of cash and fixed maturity securities and transferred $970,000 thousand of loss reserves to Bermuda Re. As part of the LPT agreement, Bermuda Re will provide an additional $500,000 thousand of adverse development coverage on the subject loss reserves.

The following tables summarize the premiums and losses ceded by the Company to Bermuda Re and Everest International, respectively, and premiums and losses assumed by the Company from Everest Canada and Lloyd’s syndicate 2786 for the periods indicated:

	Three Months Ended				Nine Months Ended
Bermuda Re	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	14,660	$	146,513	$	85,667	$	421,804
Ceded earned premiums		16,510		148,228		85,632		432,459
Ceded losses and LAE		(16,836)		34,683		(8,521)		70,791

	Three Months Ended				Nine Months Ended
Everest International	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	-	$	-	$	-	$	-
Ceded earned premiums		-		-		-		-
Ceded losses and LAE		10		(5)		(26)		(362)

	Three Months Ended				Nine Months Ended
Everest Canada	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Assumed written premiums	$	-	$	-	$	-	$	-
Assumed earned premiums		-		-		-		-
Assumed losses and LAE		(1,633)		(1,388)		(938)		1,958

	Three Months Ended				Nine Months Ended
Lloyd's Syndicate 2786	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Assumed written premiums	$	24	$	1,056	$	(8,702)	$	795
Assumed earned premiums		850		2,876		(16,380)		13,826
Assumed losses and LAE		1,141		2,883		(2,386)		10,909

In 2013, Group established Mt. Logan Re, which is a Class 3 insurer based in Bermuda. Mt. Logan Re then established separate segregated accounts for its business activity, which invest in a diversified set of catastrophe exposures.

The following table summarizes the premiums and losses that are ceded by the Company to Mt. Logan Re segregated accounts and assumed by the Company from Mt. Logan Re segregated accounts.

	Three Months Ended				Nine Months Ended
Mt. Logan Re Segregated Accounts	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Ceded written premiums	$	79,152	$	53,340	$	193,664	$	154,779
Ceded earned premiums		69,942		44,699		176,576		149,674
Ceded losses and LAE		81,136		23,087		145,918		130,994
Assumed written premiums		-		3,219		-		7,866
Assumed earned premiums		-		3,219		-		7,866
Assumed losses and LAE		-		-		-		-

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Revisions To Financial Statements (Tables)

9 Months Ended

Sep. 30, 2019

Revisions To Financial Statements [Abstract]

Schedule Of Prior Period Financial Statments

CONSOLIDATED BALANCE SHEETS	December 31, 2018						December 31, 2017
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
ASSETS:
Funds held by reinsureds		238,566		(10,010)		228,556		210,939		(4,292)		206,647
Income taxes		409,892		2,102		411,994		87,110		901		88,011
TOTAL ASSETS	$	18,688,205	$	(7,908)	$	18,680,297	$	17,888,512	$	(3,391)	$	17,885,121
SHAREHOLDERS' EQUITY:
Retained earnings		4,070,604		(7,908)		4,062,696		5,025,824		(3,391)		5,022,433
Total shareholders' equity		5,044,665		(7,908)		5,036,757		5,412,723		(3,391)		5,409,332
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	18,688,205	$	(7,908)	$	18,680,297	$	17,888,512	$	(3,391)	$	17,885,121

CONSOLIDATED BALANCE SHEETS	June 30, 2019						March 31, 2019
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
ASSETS:
Funds held by reinsureds		250,903		(10,768)		240,135		248,993		(9,524)		239,469
Income taxes		151,109		2,261		153,370		289,210		2,000		291,210
TOTAL ASSETS	$	19,235,832	$	(8,507)	$	19,227,325	$	19,063,665	$	(7,524)	$	19,056,141
SHAREHOLDERS' EQUITY:
Retained earnings		4,603,734		(8,507)		4,595,227		4,321,830		(7,524)		4,314,306
Total stockholder's equity		5,743,746		(8,507)		5,735,239		5,394,126		(7,524)		5,386,602
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	19,235,832	$	(8,507)	$	19,227,325	$	19,063,665	$	(7,524)	$	19,056,141

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Year Ended December 31, 2018						Year Ended December 31, 2017
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(3,851)		(5,717)		(9,568)		23,750		2,116		25,866
Total revenues	$	4,964,232	$	(5,717)	$	4,958,515	$	2,421,157	$	2,116	$	2,423,273
INCOME (LOSS) BEFORE TAXES	$	(1,323,492)	$	(5,717)	$	(1,329,209)	$	(122,982)	$	2,116	$	(120,866)
Income tax expense (benefit)		(365,825)		(1,200)		(367,025)		(201,180)		444		(200,736)
NET INCOME (LOSS)	$	(957,667)	$	(4,517)	$	(962,184)	$	78,198	$	1,672	$	79,870
COMPREHENSIVE INCOME (LOSS)	$	(1,080,532)	$	(4,517)	$	(1,085,049)	$	113,896	$	1,672	$	115,568

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE		Three Months Ended June 30, 2019						Six Months Ended June 30, 2019
INCOME (LOSS):		As Previously		Impact of				As Previously		Impact of
		Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(3,812)		(1,243)		(5,055)		(5,026)		(759)		(5,785)
Total revenues	$	1,605,083	$	(1,243)	$	1,603,840	$	3,093,913	$	(759)	$	3,093,154
INCOME (LOSS) BEFORE TAXES	$	349,532	$	(1,243)	$	348,289	$	664,187	$	(759)	$	663,428
Income tax expense (benefit)		67,628		(261)		67,367		131,057		(159)		130,898
NET INCOME (LOSS)	$	281,904	$	(982)	$	280,922	$	533,130	$	(600)	$	532,530
COMPREHENSIVE INCOME (LOSS)	$	349,533	$	(982)	$	348,551	$	698,907	$	(600)	$	698,307

CONSOLIDATED STATEMENTS OF OPERATIONS	Three Months Ended March 31, 2019
AND COMPREHENSIVE INCOME (LOSS):	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(1,214)		484		(730)
Total revenues	$	1,488,830	$	484	$	1,489,314
INCOME (LOSS) BEFORE TAXES	$	314,655	$	484	$	315,139
Income tax expense (benefit)		63,429		102		63,531
NET INCOME (LOSS)	$	251,226	$	382	$	251,608
COMPREHENSIVE INCOME (LOSS)	$	349,374	$	382	$	349,756

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(1,385)		(3,417)		(4,802)		1,420		(5,325)		(3,905)
Total revenues	$	1,349,702	$	(3,417)	$	1,346,285	$	3,687,860	$	(5,325)	$	3,682,535
INCOME (LOSS) BEFORE TAXES	$	2,109	$	(3,417)	$	(1,308)	$	(317,829)	$	(5,325)	$	(323,154)
Income tax expense (benefit)		(22,556)		(718)		(23,274)		(64,914)		(1,118)		(66,032)
NET INCOME (LOSS)	$	24,665	$	(2,699)	$	21,966	$	(252,915)	$	(4,207)	$	(257,122)
COMPREHENSIVE INCOME (LOSS)	$	19,153	$	(2,699)	$	16,454	$	(346,619)	$	(4,207)	$	(350,826)

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		77,682		(2,388)		75,294		2,805		(1,908)		897
Total revenues	$	1,287,317	$	(2,388)	$	1,284,929	$	2,338,158	$	(1,908)	$	2,336,250
INCOME (LOSS) BEFORE TAXES	$	(312,807)	$	(2,388)	$	(315,195)	$	(319,938)	$	(1,908)	$	(321,846)
Income tax expense (benefit)		(47,399)		(501)		(47,900)		(42,538)		(400)		(42,938)
NET INCOME (LOSS)	$	(265,408)	$	(1,887)	$	(267,295)	$	(277,580)	$	(1,508)	$	(279,088)
COMPREHENSIVE INCOME (LOSS)	$	(302,416)	$	(1,887)	$	(304,303)	$	(365,772)	$	(1,508)	$	(367,280)

CONSOLIDATED STATEMENTS OF OPERATIONS	Three Months Ended March 31, 2018
AND COMPREHENSIVE INCOME (LOSS):	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(74,877)		480		(74,397)
Total revenues	$	1,050,841	$	480	$	1,051,321
INCOME (LOSS) BEFORE TAXES	$	(7,131)	$	480	$	(6,651)
Income tax expense (benefit)		5,041		101		5,142
NET INCOME (LOSS)	$	(12,172)	$	379	$	(11,793)
COMPREHENSIVE INCOME (LOSS)	$	(63,356)	$	379	$	(62,977)

CONSOLIDATED STATEMENTS OF	Year Ended December 31, 2018						Year Ended December 31, 2017
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,025,824	$	(3,391)	$	5,022,433	$	4,947,301	$	(5,062)	$	4,942,239
Net income (loss)		(957,667)		(4,517)		(962,184)		78,198		1,672		79,870
Balance, end of period		4,070,604		(7,908)		4,062,696		5,025,824		(3,391)		5,022,433
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,044,665	$	(7,908)	$	5,036,757	$	5,412,723	$	(3,391)	$	5,409,332

CONSOLIDATED STATEMENTS OF	Six Months Ended June 30, 2019						Three Months Ended March 31, 2019
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, January 1	$	4,070,604	$	(7,908)	$	4,062,696	$	4,070,604	$	(7,908)	$	4,062,696
Net income (loss)		251,226		382		251,608		251,226		382		251,608
Balance, March 31		4,321,830		(7,524)		4,314,306		4,321,830		(7,524)		4,314,306
Net income (loss)		281,904		(982)		280,922
Balance, June 30		4,603,734		(8,507)		4,595,227
TOTAL STOCKHOLDER'S EQUITY, June 30	$	5,743,746	$	(8,507)	$	5,735,239	$	5,394,126	$	(7,524)	$	5,386,602

CONSOLIDATED STATEMENTS OF	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	4,750,691	$	(4,897)	$	4,745,792	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		24,665		(2,699)		21,966		(252,915)		(4,207)		(257,122)
Balance, end of period		4,775,356		(7,597)		4,767,758		4,775,356		(7,597)		4,767,758
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,066,243	$	(7,597)	$	5,058,645	$	5,066,243	$	(7,597)	$	5,058,645

CONSOLIDATED STATEMENTS OF	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,016,099	$	(3,011)	$	5,013,087	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		(265,408)		(1,887)		(267,295)		(277,580)		(1,508)		(279,088)
Balance, end of period		4,750,691		(4,897)		4,745,792		4,750,691		(4,897)		4,745,792
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,047,046	$	(4,897)	$	5,042,149	$	5,047,046	$	(4,897)	$	5,042,149

CONSOLIDATED STATEMENTS OF	Three Months Ended March 31, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		(12,172)		379		(11,793)
Balance, end of period		5,016,099		(3,011)		5,013,087
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,349,415	$	(3,011)	$	5,346,404

CONSOLIDATED STATEMENTS OF CASH FLOWS	Year Ended December 31, 2018						Year Ended December 31, 2017
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(957,667)	$	(4,517)	$	(962,184)	$	78,198	$	1,672	$	79,870
Decrease (increase) in funds held by reinsureds, net		(26,680)		5,717		(20,963)		(90,410)		(2,116)		(92,526)
Decrease (increase) in income taxes	$	(291,528)	$	(1,200)	$	(292,729)	$	(250,118)	$	444	$	(249,674)

CONSOLIDATED STATEMENTS OF CASH FLOWS	Six Months Ended June 30, 2019						Three Months Ended March 31, 2019
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	533,130	$	(600)	$	532,530	$	251,226	$	382	$	251,608
Decrease (increase) in funds held by reinsureds, net		(14,688)		759		(13,929)		(13,877)		(484)		(14,361)
Decrease (increase) in income taxes	$	214,830	$	(159)	$	214,671	$	94,631	$	102	$	94,733

CONSOLIDATED STATEMENTS OF CASH FLOWS	Nine Months Ended September 30, 2018						Six Months Ended June 30, 2018
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(252,915)	$	(4,207)	$	(257,122)	$	(277,580)	$	(1,508)	$	(279,088)
Decrease (increase) in funds held by reinsureds, net		(22,523)		5,325		(17,198)		(13,233)		1,908		(11,326)
Decrease (increase) in income taxes	$	11,069	$	(1,118)	$	9,951	$	4,652	$	(400)	$	4,252

CONSOLIDATED STATEMENTS OF CASH FLOWS	Three Months Ended March 31, 2018
	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(12,172)	$	379	$	(11,793)
Decrease (increase) in funds held by reinsureds, net		136,342		(480)		135,862
Decrease (increase) in income taxes	$	52,369	$	101	$	52,470

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Commitments And Contingencies (Tables)

9 Months Ended

Sep. 30, 2019

Commitments And Contingencies [Abstract]

Estimated Cost To Replace All Such Annuities For Which The Company Was Contingently Liable

	At September 30,		At December 31,
(Dollars in thousands)	2019		2018
The Prudential	$	141,608	$	142,754
Unaffiliated life insurance company		34,394		34,717

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Revisions To Financial Statements (Schedule Of Prior Period Financial Statements - Balance Sheets) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017
ASSETS:
Funds held by reinsureds	$ 244,976	$ 240,135	$ 239,469	$ 228,556				$ 206,647
Income taxes		153,370	291,210	411,994				88,011
TOTAL ASSETS	19,787,689	19,227,325	19,056,141	18,680,297				17,885,121
STOCKHOLDER'S EQUITY:
Retained earnings (deficit)	4,656,364	4,595,227	4,314,306	4,062,696				5,022,433
Total stockholder's equity	5,827,244	5,735,239	5,386,602	5,036,757	$ 5,058,645	$ 5,042,149	$ 5,346,404	5,409,332
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY	$ 19,787,689	19,227,325	19,056,141	18,680,297				17,885,121
As Previously Reported [Member]
ASSETS:
Funds held by reinsureds		250,903	248,993	238,566				210,939
Income taxes		151,109	289,210	409,892				87,110
TOTAL ASSETS		19,235,832	19,063,665	18,688,205				17,888,512
STOCKHOLDER'S EQUITY:
Retained earnings (deficit)		4,603,734	4,321,830	4,070,604				5,025,824
Total stockholder's equity		5,743,746	5,394,126	5,044,665	5,066,243	5,047,046	5,349,415	5,412,723
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY		19,235,832	19,063,665	18,688,205				17,888,512
Impact of Revisions [Member]
ASSETS:
Funds held by reinsureds		(10,768)	(9,524)	(10,010)				(4,292)
Income taxes		2,261	2,000	2,102				901
TOTAL ASSETS		(8,507)	(7,524)	(7,908)				(3,391)
STOCKHOLDER'S EQUITY:
Retained earnings (deficit)		(8,507)	(7,524)	(7,908)				(3,391)
Total stockholder's equity		(8,507)	(7,524)	(7,908)	$ (7,597)	$ (4,897)	$ (3,011)	(3,391)
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY		$ (8,507)	$ (7,524)	$ (7,908)				$ (3,391)

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Segment Reporting (Tables)

9 Months Ended

Sep. 30, 2019

Segment Reporting [Abstract]

Schedule Of Underwriting Results For Operating Segments

	Three Months Ended				Nine Months Ended
U.S. Reinsurance	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	854,641	$	940,839	$	2,260,544	$	2,237,170
Net written premiums		740,096		703,944		1,845,931		1,557,706
Premiums earned	$	630,135	$	528,867	$	1,810,175	$	1,437,761
Incurred losses and LAE		392,912		394,621		1,077,023		1,404,349
Commission and brokerage		215,825		156,500		555,517		432,531
Other underwriting expenses		19,148		16,250		50,467		48,608
Underwriting gain (loss)	$	2,250	$	(38,504)	$	127,168	$	(447,727)

	Three Months Ended				Nine Months Ended
International	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	442,587	$	363,359	$	1,204,229	$	1,129,097
Net written premiums		401,341		340,701		1,109,418		1,012,933
Premiums earned	$	366,410	$	331,921	$	1,041,870	$	1,003,993
Incurred losses and LAE		407,799		315,850		858,683		751,696
Commission and brokerage		81,674		78,180		237,510		240,953
Other underwriting expenses		11,258		9,991		29,355		29,946
Underwriting gain (loss)	$	(134,321)	$	(72,100)	$	(83,678)	$	(18,602)

	Three Months Ended				Nine Months Ended
Insurance	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Gross written premiums	$	592,775	$	454,993	$	1,798,149	$	1,491,438
Net written premiums		428,518		333,836		1,326,714		1,105,223
Premiums earned	$	431,855	$	369,983	$	1,222,432	$	1,084,863
Incurred losses and LAE		297,382		259,826		801,705		756,267
Commission and brokerage		60,182		53,532		169,647		159,187
Other underwriting expenses		65,287		52,559		177,604		151,823
Underwriting gain (loss)	$	9,004	$	4,066	$	73,476	$	17,586

Schedule Of Underwriting Results For Operating Segments To Income (Loss) Before Taxes

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Underwriting gain (loss)	$	(123,067)	$	(106,538)	$	116,966	$	(448,743)
Net investment income		95,592		90,298		270,835		232,277
Net realized capital gains (losses)		112,542		30,018		390,161		(72,454)
Corporate expense		(3,183)		(2,488)		(7,353)		(7,597)
Interest, fee and bond issue cost amortization expense		(7,802)		(7,796)		(27,314)		(22,732)
Other income (expense)		(2,673)		(4,802)		(8,459)		(3,905)
Income (loss) before taxes	$	71,409	$	(1,308)	$	734,836	$	(323,154)

Schedule Of Gross Written Premium Derived From Largest Non-U.S. Market

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Canada gross written premiums	$	52,136	$	41,005	$	138,392	$	125,586

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Comprehensive Income (Loss) (Tables)

9 Months Ended

Sep. 30, 2019

Comprehensive Income (Loss) [Abstract]

Components Of Comprehensive Income (Loss) In The Consolidated Statements Of Operations

	Three Months EndedSeptember 30, 2019						Nine Months EndedSeptember 30, 2019
(Dollars in thousands)	Before Tax		Tax Effect		Net of Tax		Before Tax		Tax Effect		Net of Tax
Unrealized appreciation (depreciation)  ("URA(D)") on securities - temporary	$	30,803		(6,443)	$	24,360	$	229,768	$	(48,311)	$	181,457
URA(D) on securities - OTTI		119		(25)		94		(581)		122		(459)
Reclassification of net realized losses  (gains) included in net income (loss)		2,671		(586)		2,085		8,533		(1,606)		6,927
Foreign currency translation adjustments		3,641		(760)		2,881		6,286		(1,316)		4,970
Reclassification of amortization of net gain  (loss) included in net income (loss)		1,726		(362)		1,364		4,640		(974)		3,666
Total other comprehensive income (loss)	$	38,960	$	(8,176)	$	30,784	$	248,646	$	(52,085)	$	196,561
(Some amounts may not reconcile due to rounding)

	Three Months EndedSeptember 30, 2018						Nine Months EndedSeptember 30, 2018
(Dollars in thousands)	Before Tax		Tax Effect		Net of Tax		Before Tax		Tax Effect		Net of Tax
Unrealized appreciation (depreciation)  ("URA(D)") on securities - temporary	$	(9,109)	$	1,919	$	(7,190)	$	(92,026)	$	19,561	$	(72,465)
URA(D) on securities - OTTI		326		(68)		258		691		(145)		546
Reclassification of net realized losses  (gains) included in net income (loss)		3,210		(676)		2,534		(2,425)		278		(2,147)
Foreign currency translation adjustments		(3,723)		793		(2,930)		(31,781)		6,697		(25,084)
Reclassification of amortization of net gain  (loss) included in net income (loss)		2,298		(482)		1,816		6,893		(1,447)		5,446
Total other comprehensive income (loss)	$	(6,998)	$	1,486	$	(5,512)	$	(118,648)	$	24,944	$	(93,704)
(Some amounts may not reconcile due to rounding)

Reclassification From Accumulated Other Comprehensive Income

	Three Months Ended				Nine Months Ended				Affected line item within the
	September 30,				September 30,				statements of operations and
AOCI component	2019		2018		2019		2018		comprehensive income (loss)
(Dollars in thousands)
URA(D) on securities	$	2,671	$	3,210	$	8,533	$	(2,425)	Other net realized capital gains (losses)
		(586)		(676)		(1,606)		278	Income tax expense (benefit)
	$	2,085	$	2,534	$	6,927	$	(2,147)	Net income (loss)
Benefit plan net gain (loss)	$	1,726	$	2,298	$	4,640	$	6,893	Other underwriting expenses
		(362)		(482)		(974)		(1,447)	Income tax expense (benefit)
	$	1,364	$	1,816	$	3,666	$	5,446	Net income (loss)
(Some amounts may not reconcile due to rounding)

Components Of Accumulated Other Comprehensive Income (Loss), Net Of Tax, In The Consolidated Balance Sheets

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Beginning balance of URA (D) on securities	$	105,436	$	(34,673)	$	(55,950)	$	37,442
Change to beginning balance due to adoption  of ASU 2016-01		-		-		-		(2,447)
Current period change in URA (D) of investments -  temporary		26,446		(4,656)		188,385		(74,612)
Current period change in URA (D) of investments -  non-credit OTTI		94		258		(459)		546
Ending balance of URA (D) on securities		131,976		(39,071)		131,976		(39,071)
Beginning balance of foreign currency translation  adjustments		(797)		11,391		(2,886)		33,545
Current period change in foreign currency translation  adjustments		2,880		(2,930)		4,969		(25,084)
Ending balance of foreign currency translation  adjustments		2,083		8,461		2,083		8,461
Beginning balance of benefit plan net gain (loss)		(65,116)		(68,299)		(67,418)		(71,929)
Current period change in benefit plan net gain (loss)		1,364		1,816		3,666		5,446
Ending balance of benefit plan net gain (loss)		(63,752)		(66,483)		(63,752)		(66,483)
Ending balance of accumulated other comprehensive  income (loss)	$	70,307	$	(97,093)	$	70,307	$	(97,093)

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Consolidated Statements Of Cash Flows - USD ($) $ in Thousands	3 Months Ended				6 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ 61,137		$ 21,966				$ 593,667	$ (257,122)
Adjustments to reconcile net income to net cash provided by operating activities:
Decrease (increase) in premiums receivable							(115,834)	(142,519)
Decrease (increase) in funds held by reinsureds, net		$ (14,361)		$ 135,862	$ (13,929)	$ (11,326)	(18,129)	(17,198)	$ (20,963)	$ (92,526)
Decrease (increase) in reinsurance receivables							107,427	888,922
Decrease (increase) in income taxes		94,733		52,470	214,671	4,252	226,147	9,951	(292,729)	(249,674)
Decrease (increase) in prepaid reinsurance premiums							(114,587)	(7,165)
Increase (decrease) in reserve for losses and loss adjustment expenses							240,321	199,220
Increase (decrease) in unearned premiums							321,643	202,760
Increase (decrease) in other net payable to reinsurers							24,093	(106,203)
Increase (decrease) in losses in course of payment							(44,192)	36,979
Change in equity adjustments in limited partnerships							(42,959)	(58,996)
Distribution of limited partnership income							39,247	48,773
Change in other assets and liabilities, net							(33,863)	(98,702)
Non-cash compensation expense							20,425	8,779
Amortization of bond premium (accrual of bond discount)							3,416	4,842
Net realized capital (gains) losses	(112,542)		(30,018)				(390,161)	72,454
Net cash provided by (used in) operating activities							816,661	784,775
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from fixed maturities matured/called - available for sale, at market value							672,207	556,195
Proceeds from fixed maturities sold - available for sale, at market value							2,217,734	552,982
Proceeds from fixed maturities sold - available for sale, at fair value							2,706	1,751
Proceeds from equity securities sold - at fair value							184,898	616,330
Distributions from other invested assets							133,130	1,010,121
Cost of fixed maturities acquired - available for sale, at market value							(3,071,436)	(1,515,045)
Cost of fixed maturities acquired - available for sale, at fair value								(4,381)
Cost of equity securities acquired- at fair value							(269,672)	(603,856)
Cost of other invested assets acquired							(212,910)	(1,059,712)
Net change in short-term investments							(100,012)	(280,114)
Net change in unsettled securities transactions							(30,252)	110,139
Net cash provided by (used in) investing activities							(473,607)	(615,590)
CASH FLOWS FROM FINANCING ACTIVITIES:
Tax benefit from share-based compensation, net of expense							(20,166)	(6,193)
Cost of repayment of note payable-affiliated							(300,000)
Net cash provided by (used in) financing activities							(320,166)	(6,193)
EFFECT OF EXCHANGE RATE CHANGES ON CASH							(6,578)	(16,786)
Net increase (decrease) in cash							16,310	146,206
Cash, beginning of period		$ 404,522		$ 229,552	$ 404,522	$ 229,552	404,522	229,552	229,552
Cash, end of period	$ 420,832		$ 375,758				420,832	375,758	$ 404,522	$ 229,552
SUPPLEMENTAL CASH FLOW INFORMATION:
Income taxes paid (recovered)							(85,216)	(75,361)
Interest paid							$ 22,421	$ 17,426

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Commitments And Contingencies

9 Months Ended

Sep. 30, 2019

Commitments And Contingencies [Abstract]

Commitments And Contingencies

7. COMMITMENTS AND CONTINGENCIES

In the ordinary course of business, the Company is involved in lawsuits, arbitrations and other formal and informal dispute resolution procedures, the outcomes of which will determine the Company’s rights and obligations under insurance and reinsurance agreements. In some disputes, the Company seeks to enforce its rights under an agreement or to collect funds owing to it. In other matters, the Company is resisting attempts by others to collect funds or enforce alleged rights. These disputes arise from time to time and are ultimately resolved through both informal and formal means, including negotiated resolution, arbitration and litigation. In all such matters, the Company believes that its positions are legally and commercially reasonable. The Company considers the statuses of these proceedings when determining its reserves for unpaid loss and loss adjustment expenses.

Aside from litigation and arbitrations related to these insurance and reinsurance agreements, the Company is not a party to any other material litigation or arbitration.

The Company has entered into separate annuity agreements with The Prudential Insurance Company of America (“The Prudential”) and an additional unaffiliated life insurance company in which the Company has either purchased annuity contracts or become the assignee of annuity proceeds that are meant to settle claim payment obligations in the future. In both instances, the Company would become contingently liable if either The Prudential or the unaffiliated life insurance company were unable to make payments related to the respective annuity contract.

The table below presents the estimated cost to replace all such annuities for which the Company was contingently liable for the periods indicated:

	At September 30,		At December 31,
(Dollars in thousands)	2019		2018
The Prudential	$	141,608	$	142,754
Unaffiliated life insurance company		34,394		34,717

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Long Term Subordinated Notes

9 Months Ended

Sep. 30, 2019

Long Term Subordinated Notes [Abstract]

Long Term Subordinated Notes

11. LONG TERM SUBORDINATED NOTES

The table below displays Holdings’ outstanding fixed to floating rate long term subordinated notes. Market value is based on quoted market prices, but due to limited trading activity, these subordinated notes are considered Level 2 in the fair value hierarchy.

September 30, 2019

December 31, 2018

Original

Consolidated

Consolidated

Principal

Maturity Date

Balance

Market

Balance

Market

(Dollars in thousands)

Date Issued

Amount

Scheduled

Final

Sheet Amount

Value

Sheet Amount

Value

Long term subordinated notes

04/26/2007

$

400,000

05/15/2037

05/01/2067

$

236,733

$

214,853

$

236,659

$

200,390

During the fixed rate interest period from May 3, 2007through May 14, 2017, interest was at the annual rate of 6.6%, payable semi-annually in arrears on November 15 and May 15 of each year, commencing on November 15, 2007. During the floating rate interest period from May 15, 2017 through maturity, interest will be based on the 3 month LIBOR plus 238.5 basis points, reset quarterly, payable quarterly in arrears on February 15, May 15, August 15 and November 15 of each year, subject to Holdings’ right to defer interest on one or more occasions for up to ten consecutive years. Deferred interest will accumulate interest at the applicable rate compounded quarterly for periods from and including May 15, 2017. The reset quarterly interest rate for August 15, 2019 to November 14, 2019 is 4.54%.

Holdings may redeem the long term subordinated notes on or after May 15, 2017, in whole or in part at 100% of the principal amount plus accrued and unpaid interest; however, redemption on or after the scheduled maturity date and prior to May 1, 2047 is subject to a replacement capital covenant. This covenant is for the benefit of certain senior note holders and it mandates that Holdings receive proceeds from the sale of another subordinated debt issue, of at least similar size, before it may redeem the subordinated notes. Effective upon the maturity of the Company’s 5.40% senior notes on October 15, 2014, the Company’s 4.868% senior notes, due on June 1, 2044, have become the Company’s long term indebtedness that ranks senior to the long term subordinated notes.

On March 19, 2009, Group announced the commencement of a cash tender offer for any and all of the 6.60% fixed to floating rate long term subordinated notes. Upon expiration of the tender offer, the Company had reduced its outstanding debt by $161,441 thousand.

Interest expense incurred in connection with these long term subordinated notes is as follows for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Interest expense incurred	$	2,881	$	2,875	$	8,892	$	7,968

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Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
ASSETS:
Fixed maturities - available for sale, at market value (amortized cost: 2019, $7,206,711; 2018, $7,032,749)	$ 7,373,719	$ 6,962,075
Fixed maturities - available for sale, at fair value		2,337
Equity securities, at fair value	744,999	564,338
Short-term investments (cost: 2019, $276,651; 2018, $174,155)	276,666	174,131
Other invested assets (cost: 2019, $967,624; 2018, $882,647)	967,624	882,647
Other invested assets, at fair value	2,019,642	1,717,336
Cash	420,832	404,522
Total investments and cash	11,803,482	10,707,386
Accrued investment income	54,572	47,232
Premiums receivable	1,587,425	1,471,805
Reinsurance receivables - unaffiliated	1,322,562	1,295,961
Reinsurance receivables - affiliated	3,414,547	3,544,975
Income taxes	133,691	411,994
Funds held by reinsureds	244,976	228,556
Deferred acquisition costs	369,509	353,630
Prepaid reinsurance premiums	443,460	328,796
Other assets	413,465	289,962
TOTAL ASSETS	19,787,689	18,680,297
LIABILITIES:
Reserve for losses and loss adjustment expenses	10,412,174	10,167,018
Unearned premium reserve	2,148,968	1,826,868
Funds held under reinsurance treaties	39,924	41,600
Other net payable to reinsurers	341,029	316,826
Senior notes due 6/1/2044	397,044	396,954
Long term notes due 5/1/2067	236,733	236,659
Note payable - affiliated		300,000
Accrued interest on debt and borrowings	7,821	3,093
Unsettled securities payable	35,534	50,912
Other liabilities	341,218	303,610
Total liabilities	13,960,445	13,643,540
Commitments and Contingencies (Note 7)
STOCKHOLDER'S EQUITY:
Common stock, par value: $0.01; 3,000 shares authorized; 1,000 shares issued and outstanding (2019 and 2018)
Additional paid-in capital	1,100,573	1,100,315
Accumulated other comprehensive income (loss), net of deferred income tax expense (benefit) of $18,579 at 2019 and ($33,506) at 2018	70,307	(126,254)
Retained earnings	4,656,364	4,062,696
Total stockholder's equity	5,827,244	5,036,757
TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY	$ 19,787,689	$ 18,680,297

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Related-Party Transactions (Narrative) (Details) - USD ($)			1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
	Jan. 01, 2019	Jan. 01, 2018	Dec. 31, 2015	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2017	Dec. 31, 2018	Oct. 01, 2018	Dec. 31, 2014
Related Party Transaction [Line Items]
Interest income				$ 0	$ 1,075,000	$ 0	$ 2,150,000
Shares purchased and held				9,719,971		9,719,971
Shares transferred to affiliated entity			9,719,971
Shares fair value			$ 1,773,214,000
Shares received in exchange from affiliated entity for transfer			1,773.214
Preferred shares par value			$ 1,000,000
Annual dividend rate			1.75%
Note payable - affiliated									$ 300,000,000
Interest expense				4,868,000	4,868,000	14,604,000	14,604,000
Additional paid-in capital				1,100,573,000		1,100,573,000			1,100,315,000
Subject loss reserves								$ 2,336,242,000
Duration of Stop Loss Agreement		12 months
Amount of Business Transfer								1,000,000,000
Note Payable - Affiliated [Member]
Related Party Transaction [Line Items]
Note payable - affiliated									$ 300,000,000
Interest expense				0		3,658,000
Parent Company [Member]
Related Party Transaction [Line Items]
Note receivable - affiliated											$ 250,000,000
Global Services [Member]
Related Party Transaction [Line Items]
Additional paid-in capital										$ 227,253,000
Bermuda Re [Member]
Related Party Transaction [Line Items]
Reinsurance coverage amount				$ 14,660,000	$ 146,513,000	$ 85,667,000	$ 421,804,000
Amount of Business Transfer								970,000,000
Adverse development coverage								$ 500,000,000
Catastrophe Reinsurance [Member] | Bermuda Re [Member]
Related Party Transaction [Line Items]
Reinsurance coverage amount	$ 100,000,000

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Retirement Benefits (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Defined Benefit Pension Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 2,064,000	$ 2,977,000	$ 6,616,000	$ 8,931,000
Interest cost	2,928,000	2,585,000	8,788,000	7,754,000
Expected return on plan assets	(4,492,000)	(3,670,000)	(14,523,000)	(11,011,000)
Amortization of net (income) loss	1,909,000	2,237,000	5,111,000	6,710,000
Settlement charge	102,000		309,000
Net periodic benefit cost	2,511,000	4,129,000	6,301,000	12,384,000
Pension contributions	0	77,000,000	0	77,000,000
Other Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	245,000	446,000	818,000	1,339,000
Interest cost	245,000	307,000	835,000	920,000
Amortization of prior service cost	(144,000)	(33,000)	(433,000)	(98,000)
Amortization of net (income) loss	(39,000)	94,000	(39,000)	282,000
Net periodic benefit cost	$ 307,000	$ 814,000	$ 1,181,000	$ 2,443,000

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Segment Reporting (Narrative) (Details)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Sales Revenue, Net [Member]
Concentration Risk [Line Items]
Percentage of revenues	5.00%	5.00%	5.00%	5.00%	0.80%

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Reserves For Losses And LAE (Narrative) (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Reserves For Losses And LAE [Line Items]
Increase (decrease) in reinsurance business	$ 28,044	$ 480,706
Catastrophe Losses [Member]
Reserves For Losses And LAE [Line Items]
Increase (decrease) in reinsurance business		$ 494,221

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Fair Value (Activity Under Level 3, Fair Value Measurements Using Significant Unobservable Inputs By Asset Type) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Transfers in and/or (out) of Level 3	$ 3,176		$ 4,695
The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to assets still held at the reporting date
Market Value [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning balance	474,322	341,864	383,994	165,173
Total gains or (losses) (realized/unrealized), Included in earnings	1,018	(2,407)	3,229	(1,472)
Total gains or (losses) (realized/unrealized), Included in other comprehensive income (loss)	(670)	(450)	1,774	(25)
Purchases, issuances and settlements	82,289	50,308	166,443	223,889
Transfers in and/or (out) of Level 3	3,176		4,695	1,750
Ending balance	560,135	389,315	560,135	389,315
The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to assets still held at the reporting date
Market Value [Member] | Corporate Securities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning balance	472,229	329,249	376,250	158,221
Total gains or (losses) (realized/unrealized), Included in earnings	1,018	(1,935)	3,348	(590)
Total gains or (losses) (realized/unrealized), Included in other comprehensive income (loss)	(1,314)	(450)	1,130	(25)
Purchases, issuances and settlements	42,289	50,290	131,975	219,548
Transfers in and/or (out) of Level 3	3,176		4,695
Ending balance	517,398	377,154	517,398	377,154
The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to assets still held at the reporting date
Market Value [Member] | Asset-backed Securities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning balance
Total gains or (losses) (realized/unrealized), Included in earnings
Total gains or (losses) (realized/unrealized), Included in other comprehensive income (loss)	644		644
Purchases, issuances and settlements	40,000		40,000
Transfers in and/or (out) of Level 3
Ending balance	40,644		40,644
The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to assets still held at the reporting date
Market Value [Member] | Foreign Corporate Securities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning balance	2,093	12,615	7,744	6,952
Total gains or (losses) (realized/unrealized), Included in earnings		(472)	(119)	(882)
Total gains or (losses) (realized/unrealized), Included in other comprehensive income (loss)
Purchases, issuances and settlements		18	(5,532)	4,341
Transfers in and/or (out) of Level 3				1,750
Ending balance	2,093	12,161	2,093	12,161
The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to assets still held at the reporting date
Fair Value [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning balance		3,192	2,337
Total gains or (losses) (realized/unrealized), Included in earnings		(101)	369	(257)
Total gains or (losses) (realized/unrealized), Included in other comprehensive income (loss)		(32)
Purchases, issuances and settlements		(686)	(2,706)	2,630
Transfers in and/or (out) of Level 3
Ending balance		2,373		2,373
The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to assets still held at the reporting date
Fair Value [Member] | Foreign Corporate Securities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning balance		3,192	2,337
Total gains or (losses) (realized/unrealized), Included in earnings		(101)	369	(257)
Total gains or (losses) (realized/unrealized), Included in other comprehensive income (loss)		(32)
Purchases, issuances and settlements		(686)	(2,706)	2,630
Transfers in and/or (out) of Level 3
Ending balance		2,373		2,373
The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to assets still held at the reporting date

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Comprehensive Income (Loss) (Reclassification From Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Other net realized capital gains (losses)	$ (119,510)	$ (32,852)	$ (404,348)	$ 68,713
Other underwriting expenses	1,726	2,298	4,640	6,893
Income tax expense (benefit)	(362)	(482)	(974)	(1,447)
Net income (loss)	1,364	1,816	3,666	5,446
URA(D) On Securities [Member] | Reclassification From Accumulated Other Comprehensive Income [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Other net realized capital gains (losses)	2,671	3,210	8,533	(2,425)
Income tax expense (benefit)	(586)	(676)	(1,606)	278
Net income (loss)	2,085	2,534	6,927	(2,147)
Benefit Plan Net Gain (Loss) [Member] | Reclassification From Accumulated Other Comprehensive Income [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Other underwriting expenses	1,726	2,298	4,640	6,893
Income tax expense (benefit)	(362)	(482)	(974)	(1,447)
Net income (loss)	$ 1,364	$ 1,816	$ 3,666	$ 5,446

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Investments (Summary Of Aggregate Market Value And Gross Unrealized Depreciation Of Fixed Maturity And Equity Securities, By Security Type) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Market Value, Total	$ 1,659,366	$ 3,470,834
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(50,487)	(130,602)
Fixed Maturity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	767,773	2,663,097
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(11,338)	(105,810)
Available for sale securities, Greater than 12 months, Market Value	891,593	807,737
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(39,149)	(24,792)
Available-for-sale Securities, Market Value, Total	1,659,366	3,470,834
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(50,487)	(130,602)
U.S. Treasury Securities And Obligations Of U.S. Government Agencies And Corporations [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	8,988	245,357
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(7)	(6,099)
Available for sale securities, Greater than 12 months, Market Value	273,603	373,377
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(1,482)	(4,989)
Available-for-sale Securities, Market Value, Total	282,591	618,734
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(1,489)	(11,088)
Obligation of U.S. States and Political Subdivisions [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	5,669	107,183
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(50)	(2,829)
Available for sale securities, Greater than 12 months, Market Value	3,518	1,475
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(45)	(10)
Available-for-sale Securities, Market Value, Total	9,187	108,658
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(95)	(2,839)
Corporate Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	328,241	1,390,942
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(8,540)	(57,043)
Available for sale securities, Greater than 12 months, Market Value	240,104	194,770
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(20,039)	(12,872)
Available-for-sale Securities, Market Value, Total	568,345	1,585,712
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(28,579)	(69,915)
Asset-backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	320,136	127,052
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(1,873)	(1,408)
Available for sale securities, Greater than 12 months, Market Value	45,453	47,551
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(105)	(631)
Available-for-sale Securities, Market Value, Total	365,589	174,603
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(1,978)	(2,039)
Commercial [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	4,944	51,357
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation		(695)
Available for sale securities, Greater than 12 months, Market Value	17,620	2,259
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(70)	(28)
Available-for-sale Securities, Market Value, Total	22,564	53,616
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(70)	(723)
Agency Residential [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	1,297	44,071
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(4)	(1,221)
Available for sale securities, Greater than 12 months, Market Value	17,816	21,889
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(187)	(488)
Available-for-sale Securities, Market Value, Total	19,113	65,960
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(191)	(1,709)
Non-agency Residential [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value		3,093
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation		(4)
Available for sale securities, Greater than 12 months, Market Value	696
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation
Available-for-sale Securities, Market Value, Total	696	3,093
Available-for-sale Securities, Gross Unrealized Depreciation, Total		(4)
Foreign Government Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	37,711	192,510
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(351)	(10,690)
Available for sale securities, Greater than 12 months, Market Value	133,509	101,137
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(6,051)	(663)
Available-for-sale Securities, Market Value, Total	171,220	293,647
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(6,402)	(11,353)
Foreign Corporate Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	60,787	501,532
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(513)	(25,821)
Available for sale securities, Greater than 12 months, Market Value	159,274	65,279
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(11,170)	(5,111)
Available-for-sale Securities, Market Value, Total	220,061	566,811
Available-for-sale Securities, Gross Unrealized Depreciation, Total	$ (11,683)	$ (30,932)

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Investments (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Schedule of Available-for-sale Securities [Line Items]
Percentage threshold that triggers a review of available for sale debt securities for declines in market value			80.00%
Aggregate market value of investments in unrealized loss position	$ 1,659,366		$ 1,659,366		$ 3,470,834
Gross unrealized losses on investments in unrealized loss position	50,487		50,487		130,602
Short-term investments	$ 276,666		$ 276,666		$ 174,131
Sales Revenue, Net [Member]
Schedule of Available-for-sale Securities [Line Items]
Percentage threshold of unrealized losses not exceeded by any one single issuer	5.00%	5.00%	5.00%	5.00%	0.80%
US Government Debt Securities [Member] | Sales Revenue, Net [Member]
Schedule of Available-for-sale Securities [Line Items]
Percentage threshold that triggers a review of available for sale debt securities for declines in market value					9.00%
Investment Grade [Member]
Schedule of Available-for-sale Securities [Line Items]
Fixed maturity securities, duration of unrealized loss, less than 12 months, gross unrealized depreciation	$ 4,293		$ 4,293		$ 68,010
Fixed maturity securities, duration of unrealized loss, greater than 12 months, gross unrealized depreciation	20,324		20,324		14,802
Fixed Maturity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Aggregate market value of investments in unrealized loss position	1,659,366		1,659,366		3,470,834
Gross unrealized losses on investments in unrealized loss position	50,487		50,487		130,602
Fixed maturity securities, duration of unrealized loss, less than 12 months, gross unrealized depreciation	11,338		11,338		105,810
Fixed maturity securities, duration of unrealized loss, greater than 12 months, gross unrealized depreciation	39,149		$ 39,149		$ 24,792
Fixed Maturity Securities [Member] | US Government Debt Securities [Member] | Sales Revenue, Net [Member]
Schedule of Available-for-sale Securities [Line Items]
Percentage threshold that triggers a review of available for sale debt securities for declines in market value			0.20%
Limited Partnerships [Member]
Schedule of Available-for-sale Securities [Line Items]
Additional contractual commitments	670,158		$ 670,158
Private Placement Liquidiy Sweep [Member]
Schedule of Available-for-sale Securities [Line Items]
Short-term investments	$ 158,631		$ 158,631

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Leases (Narrative) (Details) $ in Thousands	Jul. 02, 2019 USD ($) ft²
Area of property | ft²	315,000
Lease maturity year	2036
Lease monthly payment amount	$ 650
Lease annual payment amount	$ 7,800

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Collateralized Reinsurance And Trust Agreements (Narrative) (Details) $ in Thousands	Apr. 30, 2018 USD ($) Item	Apr. 13, 2017 USD ($) Item	Dec. 01, 2015 USD ($) Item	Nov. 18, 2014 USD ($)	Apr. 24, 2014 USD ($) Item	Sep. 30, 2019 USD ($)
Effects of Reinsurance [Line Items]
Amount on deposit in trust accounts						$ 626,689
Kilimanjaro Re Limited [Member]
Effects of Reinsurance [Line Items]
Number of collateralized reinsurance agreements | Item	4	6	2		2
Reinsurance contract expiration					Apr. 01, 2018
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount				$ 500,000
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member] | Southeastern United States [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount					$ 250,000
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member] | Southeast, Mid-Atlantic And Northeast United States And Puerto Rico [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount					200,000
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreement 1-2 [Member]
Effects of Reinsurance [Line Items]
Number of collateralized reinsurance agreements | Item	2
Reinsurance Contracts	4 years
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreements 1- 3 [Member]
Effects of Reinsurance [Line Items]
Number of collateralized reinsurance agreements | Item		3
Reinsurance Contracts		4 years
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreement 1 [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount	$ 62,500	$ 225,000	$ 300,000
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreement 2 [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount	$ 200,000	400,000	325,000
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreement 3-4 [Member]
Effects of Reinsurance [Line Items]
Number of collateralized reinsurance agreements | Item	2
Reinsurance Contracts	5 years
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreement 3 [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount	$ 62,500	$ 325,000
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreements 4 - 6 [Member]
Effects of Reinsurance [Line Items]
Number of collateralized reinsurance agreements | Item		3
Reinsurance Contracts		5 years
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreement 4 [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount	200,000	$ 50,000
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreement 5 [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount		75,000
Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance Agreement 6 [Member]
Effects of Reinsurance [Line Items]
Reinsurance coverage amount		175,000
Series 2014-1 Notes [Member] | Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member]
Effects of Reinsurance [Line Items]
Catastrophe reinsurance bonds, funded amount					$ 450,000
Catastrophe Reinsurance Bonds Redeemed Amount	450,000
Series 2014-2 Notes [Member] | Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member]
Effects of Reinsurance [Line Items]
Catastrophe reinsurance bonds, funded amount				$ 500,000
Series 2015-1 Notes [Member] | Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member]
Effects of Reinsurance [Line Items]
Catastrophe reinsurance bonds, funded amount			$ 625,000
Series 2017-1 Notes [Member] | Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member]
Effects of Reinsurance [Line Items]
Catastrophe reinsurance bonds, funded amount		950,000
Series 2017-2 Notes [Member] | Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member]
Effects of Reinsurance [Line Items]
Catastrophe reinsurance bonds, funded amount		$ 300,000
Series 2018-1 Notes [Member] | Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member]
Effects of Reinsurance [Line Items]
Catastrophe reinsurance bonds, funded amount	262,500
Series 2018-2 Notes [Member] | Kilimanjaro Re Limited [Member] | Catastrophe Reinsurance [Member]
Effects of Reinsurance [Line Items]
Catastrophe reinsurance bonds, funded amount	$ 262,500

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Long Term Subordinated Notes (Narrative) (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Senior Notes 5.40% [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Debt instrument, stated interest rate	5.40%
Debt instrument, maturity date	Oct. 15, 2014
Senior Notes 4.868% [Member] | Senior Notes [Member]
Debt Instrument [Line Items]
Debt instrument, stated interest rate	4.868%
Debt instrument, maturity date	Jun. 01, 2044	Jun. 01, 2044
Subordinated Notes 6.6% [Member] | Long Term Subordinated Debt [Member]
Debt Instrument [Line Items]
Debt instrument, stated interest rate	6.60%
Right to defer interest, period	10 years
Reset quarterly interest rate	4.54%
Interest basis, 3 month LIBOR plus number of basis points, reset quarterly	2.385%
Percentage of principal amount required for redemption	100.00%
Outstanding debt reduction	$ 161,441
Debt instrument, maturity date	May 01, 2067	May 01, 2067
Subordinated Notes 6.6% [Member] | Long Term Subordinated Debt [Member] | Minimum [Member]
Debt Instrument [Line Items]
Interest payment date	May 3, 2007
Redemption date	May 15, 2017
Subordinated Notes 6.6% [Member] | Long Term Subordinated Debt [Member] | Maximum [Member]
Debt Instrument [Line Items]
Interest payment date	May 14, 2017
Redemption date	May 01, 2047

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Income Taxes

9 Months Ended

Sep. 30, 2019

Income Taxes [Abstract]

Income Taxes

17.INCOME TAXES

The Company is domiciled in the United States and has subsidiaries domiciled within the United States with significant branches in Canada and Singapore. The Company’s non-U.S. branches are subject to income taxation at varying rates in their respective domiciles.

The Company generally applies the estimated annual effective tax rate approach for calculating its tax provision for interim periods as prescribed by ASC 740-270, Interim Reporting. Under the estimated annual effective tax rate approach, the estimated annual effective tax rate is applied to the interim year-to-date pre-tax income/loss to determine the income tax expense or benefit for the year-to-date period.  If the annual effective tax rate approach produces a year-to-date tax benefit which exceeds the amount which is estimated to be recoverable for the full year, then the tax benefit for the interim reporting period will be limited as prescribed under ASC 740-270 to the estimated recoverable based on the year-to-date result. The tax expense or benefit for the quarter represents the difference between the year-to-date tax expense or benefit for the current year-to-date period less such amount for the immediately preceding year-to-date period. Management considers the impact of all known events in its estimation of the Company’s annual pre-tax income/loss and effective tax rate.

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Reserves For Losses And LAE (Tables)

9 Months Ended

Sep. 30, 2019

Reserves For Losses And LAE [Abstract]

Summary Of Activity In The Reserve For Losses And LAE

	Nine Months Ended		Nine Months Ended
	September 30,		September 30,
(Dollars in thousands)	2019		2018
Gross reserves beginning of period	$	10,167,018	$	9,343,028
Less reinsurance recoverables		(4,697,543)		(5,727,268)
Net reserves beginning of period		5,469,475		3,615,760
Incurred related to:
Current year		2,709,367		2,431,606
Prior years		28,044		480,706
Total incurred losses and LAE		2,737,411		2,912,312
Paid related to:
Current year		505,856		639,528
Prior years		1,600,956		1,129,263
Total paid losses and LAE		2,106,812		1,768,791
Foreign exchange/translation adjustment		(2,720)		(23,093)
Net reserves end of period		6,097,354		4,736,188
Plus reinsurance recoverables		4,314,820		4,783,290
Gross reserves end of period	$	10,412,174	$	9,519,478
(Some amounts may not reconcile due to rounding.)

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Basis Of Presentation

9 Months Ended

Sep. 30, 2019

Basis Of Presentation [Abstract]

Basis Of Presentation

2.  BASIS OF PRESENTATION

The unaudited consolidated financial statements of the Company as of September 30, 2019 and December 31, 2018 and for the three and nine months ended September 30, 2019 and 2018 include all adjustments, consisting of normal recurring accruals, which, in the opinion of management, are necessary for a fair statement of the results on an interim basis. Certain financial information, which is normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), has been omitted since it is not required for interim reporting purposes. The December 31, 2018 consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP. The results for the three and nine months ended September 30, 2019 and 2018 are not necessarily indicative of the results for a full year. These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the years ended December 31, 2018, 2017 and 2016 included in the Company’s most recent Form 10-K filing.

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities (and disclosure of contingent assets and liabilities) at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Ultimate actual results could differ, possibly materially, from those estimates.

All intercompany accounts and transactions have been eliminated.

Certain reclassifications and format changes have been made to prior years’ amounts to conform to the 2019 presentation.

Application of Recently Issued Accounting Standard Changes.

Accounting for Cloud Computing Arrangement. In August 2018, The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-15, which outlines accounting for implementation costs of a cloud computing arrangement that is a service contract. This guidance requires that implementation costs of a cloud computing arrangement that is a service contract must be capitalized and expensed in accordance with the existing provisions provided in Subtopic 350-40 regarding development of internal use software. In addition, any capitalized implementation costs should be amortized over the term of the hosting arrangement. The guidance is effective for annual reporting periods beginning after December 15, 2019 and interim periods within that annual reporting period. The Company is currently evaluating the impact of the adoption of ASU 2018-15 on its financial statements.

Accounting for Long Duration Contracts. In August 2018, FASB issued ASU 2018-12, which discusses changes to the recognition, measurement and presentation of long duration contracts. The main provisions of this guidance address the following: 1) In determining liability for future policy benefits, companies must review cash flow assumptions at least annually and the discount rate assumption at each reporting period date 2) Amortization of deferred acquisition costs has been simplified to be in constant level proportion to either premiums, gross profits or gross margins 3) Disaggregated roll forwards of beginning and ending liabilities for future policy benefits are required. The guidance is effective for annual reporting periods beginning after December 15, 2021 and interim periods within that annual reporting period. The Company is currently evaluating the impact of the adoption of ASU 2018-12 on its financial statements.

Accounting for Deferred Taxes in Accumulated Other Comprehensive Income (AOCI). In February 2018, FASB issued ASU 2018-02, which outlines guidance on the treatment of trapped deferred taxes contained within AOCI on the consolidated balance sheets. The new guidance allows the amount of trapped deferred taxes in AOCI, resulting from the change in the U.S. tax rate from 35% to 21% upon enactment of the Tax Cuts and Jobs Act (“TCJA”), to be reclassed as part of retained earnings in the consolidated balance sheets. The guidance is effective for annual and interim reporting periods beginning after December 15, 2018, but early adoption is allowed. The Company decided to early adopt the guidance as of December 31, 2017. The adoption resulted in a reclass of $325 thousand between AOCI and retained earnings during the fourth quarter of 2017. As an accounting policy, the Company has adopted the aggregate portfolio approach for releasing disproportionate income tax effects from AOCI.

Accounting for Impact on Income Taxes due to Tax Reform. In December 2017, the SEC issued Staff Accounting Bulletin (“SAB”) 118, which provides guidance on the application of FASB Accounting Standards Codification (“ASC”) Topic 740, Income Taxes, due to the enactment of TCJA. SAB 118 became effective upon release. The Company has adopted the provisions of SAB 118 with respect to measuring the tax effects for the modifications to the determination of tax basis loss reserves. In 2018, the Company recorded adjustments to the amount of tax expense it recorded in 2017 with respect to the TCJA as estimated amounts were finalized, which did not have a material impact on the Company’s financial statements.

Amortization of Bond Premium. In March 2017, FASB issued ASU 2017-08 which outlines guidance on the amortization period for premium on callable debt securities. The new guidance requires that the premium on callable debt securities be amortized through the earliest call date rather than through the maturity date of the callable security. The guidance is effective for annual and interim reporting periods beginning after December 15, 2018. The adoption of ASU 2017-08 did not have a material impact on the Company’s financial statements.

Presentation and Disclosure of Net Periodic Benefit Costs. In March 2017, FASB issued ASU 2017-07, which outlines guidance on the presentation of net periodic costs of benefit plans. The new guidance requires that the service cost component of net periodic benefit costs be reported within the same line item of the statements of operations as other compensation costs are reported. Other components of net periodic benefit costs should be reported separately. Footnote disclosure is required to state within which line items of the statements of operations the components are reported. The guidance is effective for annual and interim reporting periods beginning after December 15, 2017. The Company adopted the guidance effective January 1, 2018. The adoption of ASU 2017-07 did not have a material impact on the Company’s financial statements.

Disclosure of Restricted Cash. In November 2016, FASB issued ASU 2016-18 and in August 2016, FASB issued ASU 2016-15, which outlines guidance on the presentation in the statements of cash flows of changes in restricted cash. The new guidance requires that the statements of cash flows should reflect all changes in cash, cash equivalents and restricted cash in total and not segregated individually. The guidance is effective for annual and interim reporting periods beginning after December 15, 2017. The Company adopted the guidance effective January 1, 2018. The adoption of ASU 2016-18 and ASU 2016-15 did not have a material impact on the Company’s financial statements.

Intra-Entity Asset Transfers. In October 2016, FASB issued ASU 2016-16, which outlines guidance on the tax accounting for intra-entity asset sales and transfers, other than inventory. The new guidance requires that reporting entities recognize tax expense from the intra-entity transfer of an asset in the seller’s tax jurisdiction at the time of transfer and recognize any deferred tax asset in the buyer’s tax jurisdiction at the time of transfer. The guidance is effective for annual and interim reporting periods beginning after December 15, 2017. The Company adopted the guidance effective January 1, 2018. The adoption of ASU 2016-16 did not have a material impact on the Company’s financial statements.

Valuation of Financial Instruments. In June 2016, FASB issued ASU 2016-13, which outline guidance on the valuation of and accounting for assets measured at amortized cost and available for sale debt securities. The carrying value of assets measured at amortized cost will now be presented as the amount expected to be collected on the financial asset (amortized cost less an allowance for credit losses valuation account). Available for sale debt securities will now record credit losses through an allowance for credit losses, which will be limited to the amount by which fair value is below amortized cost. The guidance is effective for annual and interim reporting periods beginning after December 15, 2019. The Company is currently evaluating the impact of the adoption of ASU 2016-13 on its financial statements.

Leases. In February 2016, FASB issued ASU 2016-02 (and subsequently issued ASU 2018-11 in July, 2018) which outline new guidance on the accounting for leases. The new guidance requires the recognition of lease assets and lease liabilities on the balance sheets for most leases that were previously deemed operating leases and required only lease expense presentation in the statements of operations. The guidance is effective for annual and interim reporting periods beginning after December 15, 2018. The Company adopted ASU 2016-02 effective January 1, 2019 and elected to utilize a cumulative-effect adjustment to the opening balance of retained earnings for the year of adoption. Accordingly, the Company’s reporting for the comparative periods prior to adoption continue to be presented in the financial statements in accordance with previous lease accounting guidance. The Company also elected to apply the package of practical expedients applicable to the Company in the updated guidance for transition for leases in effect at adoption. The Company did not elect the hindsight practical expedient to determine the lease term of existing leases (e.g. The Company did not re-assess lease renewals, termination options nor purchase options in determining lease terms). The adoption of the updated guidance resulted in the Company recognizing a right-of-use asset of $60,325 thousand as part of other assets and a lease liability of $66,551 thousand as part of other liabilities in the consolidated balance sheet, as well as de-recognizing the liability for deferred rent that was required under the previous guidance. The cumulative effect adjustment to the opening balance of retained earnings was zero. The adoption of the updated guidance did not have a material effect on the Company’s results of operations or liquidity.

Recognition and Measurement of Financial Instruments. In January 2016, the FASB issued ASU 2016-01, which outlines revised guidance on the accounting for equity investments. The new guidance states that all equity investments in unconsolidated entities will be measured at fair value, with the change in value being recorded through the income statement rather than being recorded within other comprehensive income. The updated guidance is effective for annual and interim reporting periods beginning after December 15, 2017. The Company adopted the guidance effective January 1, 2018. The adoption of ASU 2016-01 resulted in a cumulative change adjustment of $2,447 thousand between AOCI and retained earnings, which is disclosed separately within the consolidated statement of changes in shareholders equity.

Revenue Recognition. In May 2014, the FASB issued ASU 2014-09 and in August 2015, FASB issued ASU 2015-14, which outline revised guidance on the recognition of revenue arising from contracts with customers. The new guidance states that reporting entities should apply certain steps to determine when revenue should be recognized, based upon fulfillment of performance obligations to complete contracts. The updated guidance is effective for annual and interim reporting periods beginning after December 15, 2017. The Company adopted the guidance effective January 1, 2018. The adoption of ASU 2014-09 and ASU 2015-14 did not have a material impact on the Company’s financial statements.

Any issued guidance and pronouncements, other than those directly referenced above, are deemed by the Company to be either not applicable or immaterial to its financial statements.

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Leases

9 Months Ended

Sep. 30, 2019

Leases [Abstract]

Leases

13. LEASES

Effective January 1, 2019, the Company adopted ASU 2016-02 and ASU 2018-11 which outline new guidance on the accounting for leases. The Company enters into lease agreements for real estate that is primarily used for office space in the ordinary course of business. These leases are accounted for as operating leases, whereby lease expense is recognized on a straight-line basis over the term of the lease. Most leases include an option to extend or renew the lease term. The exercise of the renewal is at the Company’s discretion. The operating lease liability includes lease payments related to options to extend or renew the lease term if the Company is reasonably certain of exercise those options. The Company, in determining the present value of lease payments utilizes either the rate implicit in the lease if that rate is readily determinable or the Company’s incremental secured borrowing rate commensurate with terms of the underlying lease.

Supplemental information related to operating leases is as follows for the periods indicated:

	Three Months Ended		Nine MonthsEnded
	September 30,		September 30,
(Dollars in thousands)	2019		2019
Lease expense incurred:
Operating lease cost	$	4,791	$	14,146

	At September 30,
(Dollars in thousands)	2019
Operating lease right of use assets	$	50,356
Operating lease liabilities		55,702

	Nine MonthsEnded
	September 30,
(Dollars in thousands)	2019
Operating cash flows from operating leases	$	(12,914)

	At September 30,
	2019
Weighted average remaining operating lease term	6.0 years
Weighted average discount rate on operating leases	4.48	%

Maturities of the existing lease liabilities are expected to occur as follows:

(Dollars in thousands)
Remainder of 2019	$	4,294
2020		17,233
2021		8,603
2022		8,328
2023		8,235
2024		8,104
Thereafter		13,653
Undiscounted lease payments		68,450
Less: present value adjustment		12,748
Total operating lease liability	$	55,702

The amount of operating lease liabilities is not separately presented in the consolidated financial statements but is included in other liabilities. Disclosures regarding minimum lease payments under previous lease accounting guidance can be found in the Company’s 2018 Form 10-K.

On July 2, 2019, the Company entered into a lease agreement to relocate its corporate offices from Liberty Corner, New Jersey to a corporate complex in Warren, New Jersey. The new lease, which covers approximately 315,000 square feet of office space, will be effective October 1, 2019 and runs through 2036. The initial base rent payment of the lease will be approximately $650 thousand per month or $7,800 thousand per year. The Company expects to relocate the existing operations and employees of the Liberty Corner, New Jersey facility to the new corporate complex by the end of 2020.

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Consolidated Statements Of Operations And Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
REVENUES:
Premiums earned	$ 1,428,400	$ 1,230,771	$ 4,074,477	$ 3,526,617
Net investment income	95,592	90,298	270,835	232,277
Net realized capital gains (losses):
Other-than-temporary impairments on fixed maturity securities	(6,968)	(2,834)	(14,187)	(3,741)
Other-than-temporary impairments on fixed maturity securities transferred to other comprehensive income (loss)
Other net realized capital gains (losses)	119,510	32,852	404,348	(68,713)
Total net realized capital gains (losses)	112,542	30,018	390,161	(72,454)
Other income (expense)	(2,673)	(4,802)	(8,459)	(3,905)
Total revenues	1,633,861	1,346,285	4,727,014	3,682,535
CLAIMS AND EXPENSES:
Incurred losses and loss adjustment expenses	1,098,093	970,297	2,737,411	2,912,312
Commission, brokerage, taxes and fees	357,681	288,212	962,674	832,671
Other underwriting expenses	95,693	78,800	257,426	230,377
Corporate expenses	3,183	2,488	7,353	7,597
Interest, fee and bond issue cost amortization expense	7,802	7,796	27,314	22,732
Total claims and expenses	1,562,452	1,347,593	3,992,178	4,005,689
INCOME (LOSS) BEFORE TAXES	71,409	(1,308)	734,836	(323,154)
Income tax expense (benefit)	10,272	(23,274)	141,169	(66,032)
NET INCOME (LOSS)	61,137	21,966	593,667	(257,122)
Other comprehensive income (loss), net of tax :
Unrealized appreciation (depreciation) ("URA(D)") on securities arising during the period	24,454	(6,932)	180,998	(71,919)
Less: reclassification adjustment for realized losses (gains) included in net income (loss)	2,085	2,534	6,927	(2,147)
Total URA(D) on securities arising during the period	26,539	(4,398)	187,925	(74,066)
Foreign currency translation adjustments	2,881	(2,930)	4,970	(25,084)
Reclassification adjustment for amortization of net (gain) loss included in net income (loss)	1,364	1,816	3,666	5,446
Total benefit plan net gain (loss) for the period	1,364	1,816	3,666	5,446
Total other comprehensive income (loss), net of tax	30,784	(5,512)	196,561	(93,704)
COMPREHENSIVE INCOME (LOSS)	$ 91,921	$ 16,454	$ 790,228	$ (350,826)

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Reserves For Losses And LAE

9 Months Ended

Sep. 30, 2019

Reserves For Losses And LAE [Abstract]

Reserves For Losses And LAE

5. RESERVES FOR LOSSES AND LAE

Activity in the reserve for losses and LAE is summarized for the periods indicated:

	Nine Months Ended		Nine Months Ended
	September 30,		September 30,
(Dollars in thousands)	2019		2018
Gross reserves beginning of period	$	10,167,018	$	9,343,028
Less reinsurance recoverables		(4,697,543)		(5,727,268)
Net reserves beginning of period		5,469,475		3,615,760
Incurred related to:
Current year		2,709,367		2,431,606
Prior years		28,044		480,706
Total incurred losses and LAE		2,737,411		2,912,312
Paid related to:
Current year		505,856		639,528
Prior years		1,600,956		1,129,263
Total paid losses and LAE		2,106,812		1,768,791
Foreign exchange/translation adjustment		(2,720)		(23,093)
Net reserves end of period		6,097,354		4,736,188
Plus reinsurance recoverables		4,314,820		4,783,290
Gross reserves end of period	$	10,412,174	$	9,519,478
(Some amounts may not reconcile due to rounding.)

Incurred prior years losses increased by $28,044 thousand for the nine months ended September 30, 2019 and by $480,706 thousand for the nine months ended September 30, 2018, respectively. The increase for 2019 is mainly attributable to unfavorable development on prior years catastrophes. The increase for 2018 was mainly due to $494,221 thousand of adverse development on prior years catastrophe losses, primarily related to Hurricanes Harvey, Irma and Maria, as well as the 2017 California wildfires. The increase in loss estimates for Hurricanes Harvey, Irma and Maria was mostly driven by re-opened claims, loss inflation from higher than expected loss adjustment expenses and in particular, their impact on aggregate covers.

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Collateralized Reinsurance And Trust Agreements

9 Months Ended

Sep. 30, 2019

Collateralized Reinsurance And Trust Agreements [Abstract]

Collateralized Reinsurance And Trust Agreements

9. COLLATERALIZED REINSURANCE AND TRUST AGREEMENTS

A subsidiary of the Company, Everest Re, has established a trust agreement, which effectively uses Everest Re’s investments as collateral, as security for assumed losses payable to non-affiliated ceding companies. At September 30, 2019, the total amount on deposit in the trust account was $626,689 thousand.

On April 24, 2014, the Company entered into two collateralized reinsurance agreements with Kilimanjaro Re Limited (“Kilimanjaro”), a Bermuda based special purpose reinsurer, to provide the Company with catastrophe reinsurance coverage. These agreements are multi-year reinsurance contracts, which cover specified named storm and earthquake events. The first agreement provides up to $250,000 thousand of reinsurance coverage from named storms in specified states of the Southeastern United States. The second agreement provides up to $200,000 thousand of reinsurance coverage from named storms in specified states of the Southeast, Mid-Atlantic and Northeast regions of the United States and Puerto Rico as well as reinsurance coverage from earthquakes in specified states of the Southeast, Mid-Atlantic, Northeast and West regions of the United States, Puerto Rico and British Columbia. These reinsurance agreements expired in April 2018.

On November 18, 2014, the Company entered into a collateralized reinsurance agreement with Kilimanjaro to provide the Company with catastrophe reinsurance coverage. This agreement is a multi-year reinsurance contract which covers specified earthquake events. The agreement provides up to $500,000 thousand of reinsurance coverage from earthquakes in the United States, Puerto Rico and Canada.

On December 1, 2015, the Company entered into two collateralized reinsurance agreements with Kilimanjaro to provide the Company with catastrophe reinsurance coverage. These agreements are multi-year reinsurance contracts which cover named storm and earthquake events. The first agreement provides up to $300,000 thousand of reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico and Canada. The second agreement provides up to $325,000 thousand of reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico and Canada.

On April 13, 2017, the Company entered into six collateralized reinsurance agreements with Kilimanjaro to provide the Company with annual aggregate catastrophe reinsurance coverage. The initial three agreements are four year reinsurance contracts which cover named storm and earthquake events. These agreements provide up to $225,000 thousand, $400,000 thousand and $325,000 thousand, respectively, of annual aggregate reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico and Canada. The subsequent three agreements are five year reinsurance contracts which cover named storm and earthquake events. These agreements provide up to $50,000 thousand, $75,000 thousand and $175,000 thousand, respectively, of annual aggregate reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico and Canada.

On April 30, 2018, the Company entered into four collateralized reinsurance agreements with Kilimanjaro to provide the Company with catastrophe reinsurance coverage. These agreements are multi-year reinsurance contracts which cover named storm and earthquake events. The first two agreements are four year reinsurance contracts which provide up to $62,500 thousand and $200,000 thousand, respectively, of annual aggregate reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico, the U.S. Virgin Islands and Canada. The remaining two agreements are five year reinsurance contracts which provide up to $62,500 thousand and $200,000 thousand, respectively, of annual aggregate reinsurance coverage from named storms and earthquakes in the United States, Puerto Rico, the U.S. Virgin Islands and Canada.

Recoveries under these collateralized reinsurance agreements with Kilimanjaro are primarily dependent on estimated industry level insured losses from covered events, as well as, the geographic location of the events. The estimated industry level of insured losses is obtained from published estimates by an independent recognized authority on insured property losses. Currently, none of the published insured loss estimates for the 2017 catastrophe events have exceeded the single event retentions under the terms of the agreements that would result in a recovery. In addition, the aggregation of the to date published insured loss estimates for the 2017 covered events have not exceeded the aggregated retentions for recovery.

Kilimanjaro has financed the various property catastrophe reinsurance coverages by issuing catastrophe bonds to unrelated, external investors. On April 24, 2014, Kilimanjaro issued $450,000 thousand of notes (“Series 2014-1 Notes”). The $450,000 thousand of Series 2014-1 Notes were fully redeemed on April 30, 2018 and are no longer outstanding. On November 18, 2014, Kilimanjaro issued $500,000 thousand of notes (“Series 2014-2 Notes”). On December 1, 2015, Kilimanjaro issued $625,000 thousand of notes (“Series 2015-1 Notes). On April 13, 2017, Kilimanjaro issued $950,000 thousand of notes (“Series 2017-1 Notes) and $300,000 thousand of notes (“Series 2017-2 Notes). On April 30, 2018, Kilimanjaro issued $262,500 thousand of notes (“Series 2018-1 Notes”) and $262,500 thousand of notes (“Series 2018-2 Notes”). The proceeds from the issuance of the Notes listed above are held in reinsurance trust throughout the duration of the applicable reinsurance agreements and invested solely in US government money market funds with a rating of at least “AAAm” by Standard & Poor’s.

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Retirement Benefits (Tables)

9 Months Ended

Sep. 30, 2019

Retirement Benefits [Abstract]

Summary Of Net Periodic Benefit Cost

Pension Benefits	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Service cost	$	2,064	$	2,977	$	6,616	$	8,931
Interest cost		2,928		2,585		8,788		7,754
Expected return on plan assets		(4,492)		(3,670)		(14,523)		(11,011)
Amortization of net (income) loss		1,909		2,237		5,111		6,710
Settlement charge		102		-		309		-
Net periodic benefit cost	$	2,511	$	4,129	$	6,301	$	12,384

Other Benefits	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Service cost	$	245	$	446	$	818	$	1,339
Interest cost		245		307		835		920
Amortization of prior service cost		(144)		(33)		(433)		(98)
Amortization of net (income) loss		(39)		94		(39)		282
Net periodic benefit cost	$	307	$	814	$	1,181	$	2,443
(Some amounts may not reconcile due to rounding.)

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Long Term Subordinated Notes (Tables)

9 Months Ended

Sep. 30, 2019

Long Term Subordinated Notes [Abstract]

Schedule Of Outstanding Fixed To Floating Rate Long Term Subordinated Notes

September 30, 2019

December 31, 2018

Original

Consolidated

Consolidated

Principal

Maturity Date

Balance

Market

Balance

Market

(Dollars in thousands)

Date Issued

Amount

Scheduled

Final

Sheet Amount

Value

Sheet Amount

Value

Long term subordinated notes

04/26/2007

$

400,000

05/15/2037

05/01/2067

$

236,733

$

214,853

$

236,659

$

200,390

Schedule Of Interest Expense Incurred In Connection With Long Term Subordinated Notes

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Interest expense incurred	$	2,881	$	2,875	$	8,892	$	7,968

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Fair Value (Narrative) (Details) - USD ($)	1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
	Dec. 31, 2015	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fair value of public equity portfolio		$ 154,693,000		$ 154,693,000		$ 124,228,000
Annual dividend rate	1.75%
Transfers between Level 1 and Level 2		0		0
Investments within other invested assets		2,019,642,000		2,019,642,000		1,717,336,000
Transfers from level 3		3,176,000		$ 4,695,000
Redeemable Convertible Preferred Stock [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Preferred stock tern				25 years
Annual dividend rate				1.75%
Adjustments for New Accounting Pronouncement [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Investments within other invested assets		160,264,000		$ 160,264,000		117,662,000
Fair Value, Inputs, Level 2 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Investments within other invested assets
Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Investments within other invested assets		2,019,642,000		2,019,642,000		1,717,336,000
Market Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Transfers from level 3		3,176,000		4,695,000	$ 1,750,000
Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Transfers from level 3
Fixed Maturities [Member] | Market Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Available-for-sale securities		560,135,000		560,135,000		383,994,000
Fixed Maturities [Member] | Market Value [Member] | Investment Managers' Valuation Committees, Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Available-for-sale securities		480,181,000		480,181,000		354,133,000
Fixed Maturities [Member] | Fair Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Available-for-sale securities						2,337,000
Fixed Maturities [Member] | Fair Value [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Available-for-sale securities		$ 79,954,000		$ 79,954,000		28,708,000
Fixed Maturities [Member] | Fair Value [Member] | Investment Managers' Valuation Committees, Value [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Available-for-sale securities						2,337,000
Fixed Maturities [Member] | Fair Value [Member] | Non-Binding Broker Quote [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Available-for-sale securities						$ 1,153,000
Senior Notes [Member] | Senior Notes 4.868% [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Observable input constant maturity				20 years
Debt instrument, stated interest rate		4.868%		4.868%
Date Due				Jun. 01, 2044		Jun. 01, 2044

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Commitments And Contingencies (Estimated Cost To Replace All Such Annuities For Which The Company Was Contingently Liable) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
The Prudential Insurance Company [Member]
Loss Contingencies [Line Items]
Estimated cost to replace annuities	$ 141,608	$ 142,754
Unaffiliated Life Insurance Company [Member]
Loss Contingencies [Line Items]
Estimated cost to replace annuities	$ 34,394	$ 34,717

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Segment Reporting (Schedule Of Underwriting Results For Operating Segments To Income (Loss) Before Taxes) (Details) - USD ($) $ in Thousands	3 Months Ended						6 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2017
Segment Reporting [Abstract]
Underwriting gain (loss)	$ (123,067)			$ (106,538)					$ 116,966	$ (448,743)
Net investment income	95,592			90,298					270,835	232,277
Net realized capital gains (losses)	112,542			30,018					390,161	(72,454)
Corporate expense	(3,183)			(2,488)					(7,353)	(7,597)
Interest, fee and bond issue cost amortization expense	(7,802)			(7,796)					(27,314)	(22,732)
Other income (expense)	(2,673)	$ (5,055)	$ (730)	(4,802)	$ 75,294	$ (74,397)	$ (5,785)	$ 897	(8,459)	(3,905)	$ (9,568)	$ 25,866
INCOME (LOSS) BEFORE TAXES	$ 71,409	$ 348,289	$ 315,139	$ (1,308)	$ (315,195)	$ (6,651)	$ 663,428	$ (321,846)	$ 734,836	$ (323,154)	$ (1,329,209)	$ (120,866)

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Related-Party Transactions (Schedule Of Loss Portfolio Transfer Reinsurance Agreements, Net Insurance Exposures And Reserves Were Transferred To An Affiliate) (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2019 USD ($)
Effective Date 10/01/2001 [Member]
Reinsurance [Line Items]
Transferring Company	Everest Re (Belgium Branch)
Assuming Company	Bermuda Re
Amount of Transfer	$ 100
Covered Period of Transfer	All years
Effective Date 10/01/2008 [Member]
Reinsurance [Line Items]
Transferring Company	Everest Re
Assuming Company	Bermuda Re
Amount of Transfer	$ 747,022
Covered Period of Transfer	01/01/2002-12/31/2007
Effective Date 12/31/2017 [Member]
Reinsurance [Line Items]
Transferring Company	Everest Re
Assuming Company	Bermuda Re
Amount of Transfer	$ 970,000
Covered Period of Transfer	All years

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Leases (Supplemental Information Relating to Operating Leases) (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2019	Jan. 01, 2019
Leases [Abstract]
Lease expense incurred: Operating lease cost	$ 4,791	$ 14,146
Operating lease right of use assets	50,356	50,356	$ 60,325
Operating lease liabilities	$ 55,702	55,702	$ 66,551
Operating cash flows from operating leases		$ 12,914
Weighted average remaining operating lease term	6 years	6 years
Weighted average discount rate on operating leases	4.48%	4.48%

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Related-Party Transactions (Dividends Received On Preferred Shares) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Dividends From Preferred Shares Of Affiliate [Member]
Related Party Transaction [Line Items]
Dividends received on preferred stock of affiliate	$ 7,758	$ 7,758	$ 23,274	$ 23,274

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Consolidated Statements Of Changes In Stockholder's Equity - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Other Comprehensive Income (Loss), Net Of Deferred Income Taxes [Member]	Retained Earnings [Member]
Change to beginning balance due to adoption of Accounting Standards Update 2016-01	$ (2,447)			$ (2,447)	$ 2,447
Beginning balance, at Dec. 31, 2017	5,409,332		$ 387,841	(942)	5,022,433
Beginning balance, shares at Dec. 31, 2017		1,000
Share-based compensation plans			48
Net increase (decrease) during the period				(51,184)
Net income (loss)					(11,793)
Ending balance, shares at Mar. 31, 2018		1,000
Ending balance, at Mar. 31, 2018	5,346,404		387,889	(54,573)	5,013,087
Beginning balance, at Dec. 31, 2017	5,409,332		387,841	(942)	5,022,433
Beginning balance, shares at Dec. 31, 2017		1,000
Net increase (decrease) during the period	(93,704)
Net income (loss)	(257,122)
Ending balance, shares at Sep. 30, 2018		1,000
Ending balance, at Sep. 30, 2018	5,058,645		387,980	(97,093)	4,767,758
Beginning balance, at Mar. 31, 2018	5,346,404		387,889	(54,573)	5,013,087
Beginning balance, shares at Mar. 31, 2018		1,000
Share-based compensation plans			47
Net increase (decrease) during the period				(37,008)
Net income (loss)					(267,295)
Ending balance, shares at Jun. 30, 2018		1,000
Ending balance, at Jun. 30, 2018	5,042,149		387,936	(91,581)	4,745,792
Change to beginning balance due to adoption of Accounting Standards Update 2016-01
Share-based compensation plans			44
Net increase (decrease) during the period	(5,512)			(5,512)
Net income (loss)	21,966				21,966
Ending balance, shares at Sep. 30, 2018		1,000
Ending balance, at Sep. 30, 2018	5,058,645		387,980	(97,093)	4,767,758
Change to beginning balance due to adoption of Accounting Standards Update 2016-01
Beginning balance, at Dec. 31, 2018	$ 5,036,757		1,100,315	(126,254)	4,062,696
Beginning balance, shares at Dec. 31, 2018	1,000	1,000
Share-based compensation plans			87
Net increase (decrease) during the period				98,148
Net income (loss)					251,610
Ending balance, shares at Mar. 31, 2019		1,000
Ending balance, at Mar. 31, 2019	$ 5,386,602		1,100,402	(28,106)	4,314,306
Beginning balance, at Dec. 31, 2018	$ 5,036,757		1,100,315	(126,254)	4,062,696
Beginning balance, shares at Dec. 31, 2018	1,000	1,000
Net increase (decrease) during the period	$ 196,561
Net income (loss)	$ 593,667
Ending balance, shares at Sep. 30, 2019	1,000	1,000
Ending balance, at Sep. 30, 2019	$ 5,827,244		1,100,573	70,307	4,656,364
Beginning balance, at Mar. 31, 2019	5,386,602		1,100,402	(28,106)	4,314,306
Beginning balance, shares at Mar. 31, 2019		1,000
Share-based compensation plans			87
Net increase (decrease) during the period				67,629
Net income (loss)					280,921
Ending balance, shares at Jun. 30, 2019		1,000
Ending balance, at Jun. 30, 2019	5,735,239		1,100,489	39,523	4,595,227
Change to beginning balance due to adoption of Accounting Standards Update 2016-01
Share-based compensation plans			84
Net increase (decrease) during the period	30,784			30,784
Net income (loss)	$ 61,137				61,137
Ending balance, shares at Sep. 30, 2019	1,000	1,000
Ending balance, at Sep. 30, 2019	$ 5,827,244		$ 1,100,573	$ 70,307	$ 4,656,364

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Investments

9 Months Ended

Sep. 30, 2019

Investments [Abstract]

Investments

4. INVESTMENTS

The amortized cost, market value and gross unrealized appreciation and depreciation of available for sale, fixed maturity, investments, carried at market value and other-than-temporary impairments (“OTTI”) in accumulated other comprehensive income (“AOCI”) are as follows for the periods indicated:

	At September 30, 2019
	Amortized		Unrealized		Unrealized		Market		OTTI in AOCI
(Dollars in thousands)	Cost		Appreciation		Depreciation		Value		(a)
Fixed maturity securities
U.S. Treasury securities and obligations of U.S. government agencies and corporations	$	765,592	$	12,690	$	(1,489)	$	776,793	$	-
Obligations of U.S. states and political  subdivisions		505,854		30,609		(95)		536,368		-
Corporate securities		2,785,680		71,322		(28,579)		2,828,423		233
Asset-backed securities		605,172		1,946		(1,978)		605,140		-
Mortgage-backed securities
Commercial		310,630		21,458		(70)		332,018		-
Agency residential		646,559		19,426		(191)		665,794		-
Non-agency residential		2,203		2		-		2,205		-
Foreign government securities		569,493		22,393		(6,402)		585,484		-
Foreign corporate securities		1,015,528		37,649		(11,683)		1,041,494		337
Total fixed maturity securities	$	7,206,711	$	217,495	$	(50,487)	$	7,373,719	$	570

	At December 31, 2018
	Amortized		Unrealized		Unrealized		Market		OTTI in AOCI
(Dollars in thousands)	Cost		Appreciation		Depreciation		Value		(a)
Fixed maturity securities
U.S. Treasury securities and obligations of U.S. government agencies and corporations	$	2,250,312	$	3,573	$	(11,088)	$	2,242,797	$	-
Obligations of U.S. states and political  subdivisions		489,013		12,915		(2,839)		499,089		440
Corporate securities		2,273,581		12,487		(69,915)		2,216,153		430
Asset-backed securities		223,192		102		(2,039)		221,255		-
Mortgage-backed securities
Commercial		135,380		1,947		(723)		136,604		-
Agency residential		149,306		1,177		(1,709)		148,774		-
Non-agency residential		3,115		3		(4)		3,114		-
Foreign government securities		576,540		14,399		(11,353)		579,586		-
Foreign corporate securities		932,310		13,325		(30,932)		914,703		281
Total fixed maturity securities	$	7,032,749	$	59,928	$	(130,602)	$	6,962,075	$	1,151

^(a) Represents the amount of OTTI recognized in AOCI. Amount includes unrealized gains and losses on impaired securities relating to changes in the value of such securities subsequent to the impairment measurement date.

Effective January 1, 2018, the Company adopted ASU 2016-01, which requires equity investments in unconsolidated entities to be measured at fair value, with any change in value being recorded within net realized capital gains/(losses) as part of the consolidated statements of operations and comprehensive income (loss). Previously, changes in the market value had been recorded within AOCI as part of the consolidated balance sheets. Therefore, effective January 1, 2018, equity security investments no longer have an impact upon the AOCI balance.

The amortized cost and market value of fixed maturity securities are shown in the following tables by contractual maturity. Mortgage-backed securities are generally more likely to be prepaid than other fixed maturity securities. As the stated maturity of such securities may not be indicative of actual maturities, the totals for mortgage-backed and asset-backed securities are shown separately.

	At September 30, 2019				At December 31, 2018
	Amortized		Market		Amortized		Market
(Dollars in thousands)	Cost		Value		Cost		Value
Fixed maturity securities – available for sale
Due in one year or less	$	522,393	$	519,742	$	511,193	$	507,572
Due after one year through five years		2,937,353		2,980,204		4,271,245		4,230,451
Due after five years through ten years		1,484,688		1,549,482		1,177,752		1,163,831
Due after ten years		697,713		719,134		561,566		550,474
Asset-backed securities		605,172		605,140		223,192		221,255
Mortgage-backed securities
Commercial		310,630		332,018		135,380		136,604
Agency residential		646,559		665,794		149,306		148,774
Non-agency residential		2,203		2,205		3,115		3,114
Total fixed maturity securities	$	7,206,711	$	7,373,719	$	7,032,749	$	6,962,075

The changes in net unrealized appreciation (depreciation) for the Company’s investments are derived from the following sources for the periods as indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Increase (decrease) during the period between  the market value and cost of investments carried  at market value, and deferred taxes thereon:
Fixed maturity securities	$	33,473	$	(5,899)	$	238,301	$	(94,451)
Fixed maturity securities, other-than-temporary  impairment		119		326		(581)		691
Change in unrealized appreciation  (depreciation), pre-tax		33,592		(5,573)		237,720		(93,760)
Deferred tax benefit (expense)		(7,028)		1,243		(49,917)		19,839
Deferred tax benefit (expense),  other-than-temporary impairment		(25)		(68)		122		(145)
Change in unrealized appreciation (depreciation),   net of deferred taxes, included in  stockholder's equity	$	26,539	$	(4,398)	$	187,925	$	(74,066)

The Company frequently reviews all of its fixed maturity, available for sale securities for declines in market value and focuses its attention on securities whose fair value has fallen below 80% of their amortized cost at the time of review. The Company then assesses whether the decline in value is temporary or other-than-temporary. In making its assessment, the Company evaluates the current market and interest rate environment as well as specific issuer information. Generally, a change in a security’s value caused by a change in the market, interest rate or foreign exchange environment does not constitute an other-than-temporary impairment, but rather a temporary decline in market value. Temporary declines in market value are recorded as unrealized losses in accumulated other comprehensive income (loss). If the Company determines that the decline is other-than-temporary and the Company does not have the intent to sell the security; and it is more likely than not that the Company will not have to sell the security before recovery of its cost basis, the carrying value of the investment is written down to fair value. The fair value adjustment that is credit or foreign exchange related is recorded in net realized capital gains (losses) in the Company’s consolidated statements of operations and comprehensive income (loss). The fair value adjustment that is non-credit related is recorded as a component of other comprehensive income (loss), net of tax, and is included in accumulated other comprehensive income (loss) in the Company’s consolidated balance sheets. The Company’s assessments are based on the issuers’ current and expected future financial position, timeliness with respect to interest and/or principal payments, speed of repayments and any applicable credit enhancements or breakeven constant default rates on mortgage-backed and asset-backed securities, as well as relevant information provided by rating agencies, investment advisors and analysts.

Upon the adoption of ASU 2016-01 as of January 1, 2018, all equity investments in unconsolidated entities are recorded at fair value. Prior to the adoption of ASU 2016-01, the Company presented certain equity securities at market value. The majority of the Company’s equity securities presented at market value prior to January 1, 2018 were primarily comprised of mutual fund investments whose underlying securities consisted of fixed maturity securities. When a fund’s value reflected an unrealized loss, the Company assessed whether the decline in value was temporary or other-than-temporary. In making its assessment, the Company considered the composition of its portfolios and their related markets, reports received from the portfolio managers and discussions with portfolio managers. If the Company determined that the declines were temporary and it had the ability and intent to continue to hold the investments, then the declines were recorded as unrealized losses in accumulated other comprehensive income (loss). If declines were deemed to be other-than-temporary, then the carrying value of the investment was written down to fair value and recorded in net realized capital gains (losses) in the Company’s consolidated statements of operations and comprehensive income (loss).

Retrospective adjustments are employed to recalculate the values of asset-backed securities. All of the Company’s asset-backed and mortgage-backed securities have a pass-through structure. Each acquisition lot is reviewed to recalculate the effective yield. The recalculated effective yield is used to derive a book value as if the new yield were applied at the time of acquisition. Outstanding principal factors from the time of acquisition to the adjustment date are used to calculate the prepayment history for all applicable securities. Conditional prepayment rates, computed with life to date factor histories and weighted average maturities, are used in the calculation of projected prepayments for pass-through security types.

The tables below display the aggregate market value and gross unrealized depreciation of fixed maturity securities, by security type and contractual maturity, in each case subdivided according to length of time that individual securities had been in a continuous unrealized loss position for the periods indicated:

	Duration of Unrealized Loss at September 30, 2019 By Security Type
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities -  available for sale
U.S. Treasury securities and  obligations of U.S. government  agencies and corporations	$	8,988	$	(7)	$	273,603	$	(1,482)	$	282,591	$	(1,489)
Obligations of U.S. states and  political subdivisions		5,669		(50)		3,518		(45)		9,187		(95)
Corporate securities		328,241		(8,540)		240,104		(20,039)		568,345		(28,579)
Asset-backed securities		320,136		(1,873)		45,453		(105)		365,589		(1,978)
Mortgage-backed securities
Commercial		4,944		-		17,620		(70)		22,564		(70)
Agency residential		1,297		(4)		17,816		(187)		19,113		(191)
Non-agency residential		-		-		696		-		696		-
Foreign government securities		37,711		(351)		133,509		(6,051)		171,220		(6,402)
Foreign corporate securities		60,787		(513)		159,274		(11,170)		220,061		(11,683)
Total fixed maturity securities	$	767,773	$	(11,338)	$	891,593	$	(39,149)	$	1,659,366	$	(50,487)

	Duration of Unrealized Loss at September 30, 2019 By Maturity
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities
Due in one year or less	$	33,264	$	(983)	$	169,830	$	(7,522)	$	203,094	$	(8,505)
Due in one year through five years		147,148		(1,980)		509,942		(13,702)		657,090		(15,682)
Due in five years through ten years		146,123		(4,957)		44,877		(7,579)		191,000		(12,536)
Due after ten years		114,861		(1,541)		85,359		(9,984)		200,220		(11,525)
Asset-backed securities		320,136		(1,873)		45,453		(105)		365,589		(1,978)
Mortgage-backed securities		6,241		(4)		36,132		(257)		42,373		(261)
Total fixed maturity securities	$	767,773	$	(11,338)	$	891,593	$	(39,149)	$	1,659,366	$	(50,487)

The aggregate market value and gross unrealized losses related to investments in an unrealized loss position at September30, 2019 were $1,659,366 thousand and $50,487thousand, respectively. The market value of securities for the single issuer whose securities comprised the largest unrealized loss position at September30, 2019, did not exceed 0.2% of the overall market value of the Company’s fixed maturity securities. In addition, as indicated on the above table, there was no significant concentration of unrealized losses in any one market sector. The $11,338thousand of unrealized losses related to fixed maturity securities that have been in an unrealized loss position for less than one year were generally comprised of domestic corporate securities and asset backed securities. Of these unrealized losses, $4,293thousand were related to securities that were rated investment grade by at least one nationally recognized statistical rating agency. The $39,149thousand of unrealized losses related to fixed maturity securities in an unrealized loss position for more than one year related primarily to domestic and foreign corporate securities, foreign government securities and U.S. government agencies. Of these unrealized losses $20,324thousand were related to securities that were rated investment grade by at least one nationally recognized statistical rating agency. There was no gross unrealized depreciation for mortgage-backed securities related to sub-prime and alt-A loans. In all instances, there were no projected cash flow shortfalls to recover the full book value of the investments and the related interest obligations. The mortgage-backed securities still have excess credit coverage and are current on interest and principal payments.

The Company, given the size of its investment portfolio and capital position, does not have the intent to sell these securities; and it is more likely than not that the Company will not have to sell the security before recovery of its cost basis. In addition, all securities currently in an unrealized loss position are current with respect to principal and interest payments.

The tables below display the aggregate market value and gross unrealized depreciation of fixed maturity securities, by security type and contractual maturity, in each case subdivided according to length of time that individual securities had been in a continuous unrealized loss position for the periods indicated:

	Duration of Unrealized Loss at December 31, 2018 By Security Type
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities -  available for sale
U.S. Treasury securities and  obligations of U.S. government  agencies and corporations	$	245,357	$	(6,099)	$	373,377	$	(4,989)	$	618,734	$	(11,088)
Obligations of U.S. states and  political subdivisions		107,183		(2,829)		1,475		(10)		108,658		(2,839)
Corporate securities		1,390,942		(57,043)		194,770		(12,872)		1,585,712		(69,915)
Asset-backed securities		127,052		(1,408)		47,551		(631)		174,603		(2,039)
Mortgage-backed securities
Commercial		51,357		(695)		2,259		(28)		53,616		(723)
Agency residential		44,071		(1,221)		21,889		(488)		65,960		(1,709)
Non-agency residential		3,093		(4)		-		-		3,093		(4)
Foreign government securities		192,510		(10,690)		101,137		(663)		293,647		(11,353)
Foreign corporate securities		501,532		(25,821)		65,279		(5,111)		566,811		(30,932)
Total fixed maturity securities	$	2,663,097	$	(105,810)	$	807,737	$	(24,792)	$	3,470,834	$	(130,602)

	Duration of Unrealized Loss at December 31, 2018 By Maturity
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities
Due in one year or less	$	165,545	$	(7,618)	$	118,322	$	(1,164)	$	283,867	$	(8,782)
Due in one year through five years		1,423,431		(44,924)		525,554		(9,530)		1,948,985		(54,454)
Due in five years through ten years		624,875		(35,360)		42,902		(2,773)		667,777		(38,133)
Due after ten years		223,673		(14,580)		49,260		(10,178)		272,933		(24,758)
Asset-backed securities		127,052		(1,408)		47,551		(631)		174,603		(2,039)
Mortgage-backed securities		98,521		(1,920)		24,148		(516)		122,669		(2,436)
Total fixed maturity securities	$	2,663,097	$	(105,810)	$	807,737	$	(24,792)	$	3,470,834	$	(130,602)

The aggregate market value and gross unrealized losses related to investments in an unrealized loss position at December 31, 2018 were $3,470,834 thousand and $130,602 thousand, respectively. The market value of securities for the single issuer (the United States government) whose securities comprised the largest unrealized loss position at December 31, 2018, did not exceed 9.0% of the overall market value of the Company’s fixed maturity securities. The market value of securities for the issuer with the second largest unrealized loss comprised less than 0.8% of the company’s fixed maturity securities. In addition, as indicated on the above table, there was no significant concentration of unrealized losses in any one market sector. The $105,810 thousand of unrealized losses related to fixed maturity securities that have been in an unrealized loss position for less than one year were generally comprised of domestic and foreign corporate securities, foreign government securities and U.S. government agencies and corporations. Of these unrealized losses, $68,010 thousand related to securities that were rated investment grade by at least one nationally recognized statistical rating agency. The $24,792 thousand of unrealized losses related to fixed maturity securities in an unrealized loss position for more than one year related primarily to domestic and foreign corporate securities and U.S. government agencies. Of these unrealized losses, $14,802 thousand related to securities that were rated investment grade by at least one nationally recognized statistical rating agency. There was no gross unrealized depreciation for mortgage-backed securities related to sub-prime and alt-A loans. In all instances, there were no projected cash flow shortfalls to recover the full book value of the investments and the related interest obligations. The mortgage-backed securities still have excess credit coverage and are current on interest and principal payments.

The components of net investment income are presented in the tables below for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Fixed maturities	$	68,178	$	51,834	$	200,606	$	142,776
Equity securities		1,971		2,651		5,721		10,681
Short-term investments and cash		2,210		2,110		8,115		4,340
Other invested assets
Limited partnerships		15,102		25,573		38,273		54,213
Dividends from preferred shares of affiliate		7,758		7,758		23,274		23,274
Other		7,285		6,061		13,564		10,716
Gross investment income before adjustments		102,504		95,987		289,553		246,000
Funds held interest income (expense)		1,108		906		5,434		4,505
Interest income from Parent		-		1,075		-		3,225
Gross investment income		103,612		97,968		294,987		253,730
Investment expenses		(8,020)		(7,670)		(24,152)		(21,453)
Net investment income	$	95,592	$	90,298	$	270,835	$	232,277
(Some amounts may not reconcile due to rounding.)

The Company records results from limited partnership investments on the equity method of accounting with changes in value reported through net investment income. Due to the timing of receiving financial information from these partnerships, the results are generally reported on a one month or quarter lag. If the Company determines there has been a significant decline in value of a limited partnership during this lag period, a loss will be recorded in the period in which the Company identifies the decline.

The Company had contractual commitments to invest up to an additional $670,158 thousand in limited partnerships and private placement loans at September 30, 2019. These commitments will be funded when called in accordance with the partnership and loan agreements, which have investment periods that expire, unless extended, through 2026.

Beginning in the first quarter of 2016, the Company participated in a private placement liquidity sweep facility (“the facility”). The primary purpose of the facility is to enhance the Company’s return on its short-term investments and cash positions. The facility invests in high quality, short-duration securities and permits daily liquidity. Through the second quarter of 2018, the Company’s participation in the facility was classified within other invested assets on the Company’s Balance Sheets.

As of the third quarter of 2018, the Company has consolidated its participation in the facility. As a result, the underlying investments are now recorded in the various investment line items within the Company’s balance sheet, rather than as part of other invested assets. As of September 30, 2019, the market value of investments in the facility consolidated within the Company’s balance sheets was $158,631 thousand.

Other invested assets, at fair value, as of September 30, 2019 and December 31, 2018, were comprised of preferred shares held in Preferred Holdings, an affiliated company.

The components of net realized capital gains (losses) are presented in the table below for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Fixed maturity securities, market value:
Other-than-temporary impairments	$	(6,968)	$	(2,834)	$	(14,187)	$	(3,741)
Gains (losses) from sales		2,200		(1,288)		3,313		4,670
Fixed maturity securities, fair value:
Gains (losses) from sales		-		(717)		356		(1,799)
Gains (losses) from fair value adjustments		-		584		13		1,542
Equity securities, fair value:
Gains (losses) from sales		(1,192)		9,915		2,538		5,833
Gains (losses) from fair value adjustments		(10,326)		36,269		93,349		34,805
Other invested assets		2,097		913		2,341		1,497
Other invested assets, fair value:
Gains (losses) from fair value adjustments		126,655		(12,816)		302,306		(115,252)
Short-term investment gains (losses)		76		(8)		132		(9)
Total net realized capital gains (losses)	$	112,542	$	30,018	$	390,161	$	(72,454)

The Company recorded as net realized capital gains (losses) in the consolidated statements of operations and comprehensive income (loss) both fair value re-measurements and write-downs in the value of securities deemed to be impaired on an other-than-temporary basis as displayed in the table above. The Company had no other-than-temporary impaired securities where the impairment had both a credit and non-credit component.

The proceeds and split between gross gains and losses, from sales of fixed maturity and equity securities, are presented in the table below for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Proceeds from sales of fixed maturity securities	$	213,132	$	184,810	$	2,220,440	$	554,733
Gross gains from sales		6,638		2,519		17,875		11,512
Gross losses from sales		(4,438)		(4,524)		(14,206)		(8,641)
Proceeds from sales of equity securities	$	35,925	$	186,403	$	184,898	$	616,330
Gross gains from sales		1,035		13,764		9,283		21,670
Gross losses from sales		(2,227)		(3,849)		(6,745)		(15,837)

XML

Comprehensive Income (Loss)

9 Months Ended

Sep. 30, 2019

Comprehensive Income (Loss) [Abstract]

Comprehensive Income (Loss)

8. COMPREHENSIVE INCOME (LOSS)

The following tables present the components of comprehensive income (loss) in the consolidated statements of operations and comprehensive income (loss) for the periods indicated:

	Three Months EndedSeptember 30, 2019						Nine Months EndedSeptember 30, 2019
(Dollars in thousands)	Before Tax		Tax Effect		Net of Tax		Before Tax		Tax Effect		Net of Tax
Unrealized appreciation (depreciation)  ("URA(D)") on securities - temporary	$	30,803		(6,443)	$	24,360	$	229,768	$	(48,311)	$	181,457
URA(D) on securities - OTTI		119		(25)		94		(581)		122		(459)
Reclassification of net realized losses  (gains) included in net income (loss)		2,671		(586)		2,085		8,533		(1,606)		6,927
Foreign currency translation adjustments		3,641		(760)		2,881		6,286		(1,316)		4,970
Reclassification of amortization of net gain  (loss) included in net income (loss)		1,726		(362)		1,364		4,640		(974)		3,666
Total other comprehensive income (loss)	$	38,960	$	(8,176)	$	30,784	$	248,646	$	(52,085)	$	196,561
(Some amounts may not reconcile due to rounding)

	Three Months EndedSeptember 30, 2018						Nine Months EndedSeptember 30, 2018
(Dollars in thousands)	Before Tax		Tax Effect		Net of Tax		Before Tax		Tax Effect		Net of Tax
Unrealized appreciation (depreciation)  ("URA(D)") on securities - temporary	$	(9,109)	$	1,919	$	(7,190)	$	(92,026)	$	19,561	$	(72,465)
URA(D) on securities - OTTI		326		(68)		258		691		(145)		546
Reclassification of net realized losses  (gains) included in net income (loss)		3,210		(676)		2,534		(2,425)		278		(2,147)
Foreign currency translation adjustments		(3,723)		793		(2,930)		(31,781)		6,697		(25,084)
Reclassification of amortization of net gain  (loss) included in net income (loss)		2,298		(482)		1,816		6,893		(1,447)		5,446
Total other comprehensive income (loss)	$	(6,998)	$	1,486	$	(5,512)	$	(118,648)	$	24,944	$	(93,704)
(Some amounts may not reconcile due to rounding)

The following table presents details of the amounts reclassified from AOCI for the periods indicated:

	Three Months Ended				Nine Months Ended				Affected line item within the
	September 30,				September 30,				statements of operations and
AOCI component	2019		2018		2019		2018		comprehensive income (loss)
(Dollars in thousands)
URA(D) on securities	$	2,671	$	3,210	$	8,533	$	(2,425)	Other net realized capital gains (losses)
		(586)		(676)		(1,606)		278	Income tax expense (benefit)
	$	2,085	$	2,534	$	6,927	$	(2,147)	Net income (loss)
Benefit plan net gain (loss)	$	1,726	$	2,298	$	4,640	$	6,893	Other underwriting expenses
		(362)		(482)		(974)		(1,447)	Income tax expense (benefit)
	$	1,364	$	1,816	$	3,666	$	5,446	Net income (loss)
(Some amounts may not reconcile due to rounding)

The following table presents the components of accumulated other comprehensive income (loss), net of tax, in the consolidated balance sheets for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Beginning balance of URA (D) on securities	$	105,436	$	(34,673)	$	(55,950)	$	37,442
Change to beginning balance due to adoption  of ASU 2016-01		-		-		-		(2,447)
Current period change in URA (D) of investments -  temporary		26,446		(4,656)		188,385		(74,612)
Current period change in URA (D) of investments -  non-credit OTTI		94		258		(459)		546
Ending balance of URA (D) on securities		131,976		(39,071)		131,976		(39,071)
Beginning balance of foreign currency translation  adjustments		(797)		11,391		(2,886)		33,545
Current period change in foreign currency translation  adjustments		2,880		(2,930)		4,969		(25,084)
Ending balance of foreign currency translation  adjustments		2,083		8,461		2,083		8,461
Beginning balance of benefit plan net gain (loss)		(65,116)		(68,299)		(67,418)		(71,929)
Current period change in benefit plan net gain (loss)		1,364		1,816		3,666		5,446
Ending balance of benefit plan net gain (loss)		(63,752)		(66,483)		(63,752)		(66,483)
Ending balance of accumulated other comprehensive  income (loss)	$	70,307	$	(97,093)	$	70,307	$	(97,093)

XML

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2019	Nov. 01, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3
Entity Registrant Name	EVEREST REINSURANCE HOLDINGS INC
Entity Central Index Key	0000914748
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Shell Company	false
Title of 12(b) Security	Common Shares, $0.01 par value
Entity Common Stock, Shares Outstanding		1,000

XML

Revisions To Financial Statements

9 Months Ended

Sep. 30, 2019

Revisions To Financial Statements [Abstract]

Revisions To Financial Statements

3.REVISIONS TO FINANCIAL STATEMENTS

In preparing its current period financial statements, the Company identified errors in the handling of foreign exchange related to premium funds held from reinsureds. Although management determined that the impact of the foreign exchange differences were not material to prior period financial statements, the impact of recording the cumulative difference would have significantly impacted results within the current period. As a result, prior period balances have been revised in the applicable financial statements and corresponding footnotes to correct the foreign exchange adjustments.

Management assessed the materiality of this change within prior period financial statements based upon SEC Staff Accounting Bulletin Number 99, Materiality, which is since codified in Accounting Standards Codification ("ASC") 250, Accounting Changes and Error Corrections. The prior period comparative financial statements that are presented herein have been revised.

The following tables present line items for prior period financial statements that have been affected by the revision. For these line items, the tables detail the amounts as previously reported, the impact upon those line items due to the revision, and the amounts as currently revised within the financial statements.

CONSOLIDATED BALANCE SHEETS	December 31, 2018						December 31, 2017
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
ASSETS:
Funds held by reinsureds		238,566		(10,010)		228,556		210,939		(4,292)		206,647
Income taxes		409,892		2,102		411,994		87,110		901		88,011
TOTAL ASSETS	$	18,688,205	$	(7,908)	$	18,680,297	$	17,888,512	$	(3,391)	$	17,885,121
SHAREHOLDERS' EQUITY:
Retained earnings		4,070,604		(7,908)		4,062,696		5,025,824		(3,391)		5,022,433
Total shareholders' equity		5,044,665		(7,908)		5,036,757		5,412,723		(3,391)		5,409,332
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	18,688,205	$	(7,908)	$	18,680,297	$	17,888,512	$	(3,391)	$	17,885,121

CONSOLIDATED BALANCE SHEETS	June 30, 2019						March 31, 2019
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
ASSETS:
Funds held by reinsureds		250,903		(10,768)		240,135		248,993		(9,524)		239,469
Income taxes		151,109		2,261		153,370		289,210		2,000		291,210
TOTAL ASSETS	$	19,235,832	$	(8,507)	$	19,227,325	$	19,063,665	$	(7,524)	$	19,056,141
SHAREHOLDERS' EQUITY:
Retained earnings		4,603,734		(8,507)		4,595,227		4,321,830		(7,524)		4,314,306
Total stockholder's equity		5,743,746		(8,507)		5,735,239		5,394,126		(7,524)		5,386,602
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$	19,235,832	$	(8,507)	$	19,227,325	$	19,063,665	$	(7,524)	$	19,056,141

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Year Ended December 31, 2018						Year Ended December 31, 2017
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(3,851)		(5,717)		(9,568)		23,750		2,116		25,866
Total revenues	$	4,964,232	$	(5,717)	$	4,958,515	$	2,421,157	$	2,116	$	2,423,273
INCOME (LOSS) BEFORE TAXES	$	(1,323,492)	$	(5,717)	$	(1,329,209)	$	(122,982)	$	2,116	$	(120,866)
Income tax expense (benefit)		(365,825)		(1,200)		(367,025)		(201,180)		444		(200,736)
NET INCOME (LOSS)	$	(957,667)	$	(4,517)	$	(962,184)	$	78,198	$	1,672	$	79,870
COMPREHENSIVE INCOME (LOSS)	$	(1,080,532)	$	(4,517)	$	(1,085,049)	$	113,896	$	1,672	$	115,568

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE		Three Months Ended June 30, 2019						Six Months Ended June 30, 2019
INCOME (LOSS):		As Previously		Impact of				As Previously		Impact of
		Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(3,812)		(1,243)		(5,055)		(5,026)		(759)		(5,785)
Total revenues	$	1,605,083	$	(1,243)	$	1,603,840	$	3,093,913	$	(759)	$	3,093,154
INCOME (LOSS) BEFORE TAXES	$	349,532	$	(1,243)	$	348,289	$	664,187	$	(759)	$	663,428
Income tax expense (benefit)		67,628		(261)		67,367		131,057		(159)		130,898
NET INCOME (LOSS)	$	281,904	$	(982)	$	280,922	$	533,130	$	(600)	$	532,530
COMPREHENSIVE INCOME (LOSS)	$	349,533	$	(982)	$	348,551	$	698,907	$	(600)	$	698,307

CONSOLIDATED STATEMENTS OF OPERATIONS	Three Months Ended March 31, 2019
AND COMPREHENSIVE INCOME (LOSS):	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(1,214)		484		(730)
Total revenues	$	1,488,830	$	484	$	1,489,314
INCOME (LOSS) BEFORE TAXES	$	314,655	$	484	$	315,139
Income tax expense (benefit)		63,429		102		63,531
NET INCOME (LOSS)	$	251,226	$	382	$	251,608
COMPREHENSIVE INCOME (LOSS)	$	349,374	$	382	$	349,756

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(1,385)		(3,417)		(4,802)		1,420		(5,325)		(3,905)
Total revenues	$	1,349,702	$	(3,417)	$	1,346,285	$	3,687,860	$	(5,325)	$	3,682,535
INCOME (LOSS) BEFORE TAXES	$	2,109	$	(3,417)	$	(1,308)	$	(317,829)	$	(5,325)	$	(323,154)
Income tax expense (benefit)		(22,556)		(718)		(23,274)		(64,914)		(1,118)		(66,032)
NET INCOME (LOSS)	$	24,665	$	(2,699)	$	21,966	$	(252,915)	$	(4,207)	$	(257,122)
COMPREHENSIVE INCOME (LOSS)	$	19,153	$	(2,699)	$	16,454	$	(346,619)	$	(4,207)	$	(350,826)

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
INCOME (LOSS):	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		77,682		(2,388)		75,294		2,805		(1,908)		897
Total revenues	$	1,287,317	$	(2,388)	$	1,284,929	$	2,338,158	$	(1,908)	$	2,336,250
INCOME (LOSS) BEFORE TAXES	$	(312,807)	$	(2,388)	$	(315,195)	$	(319,938)	$	(1,908)	$	(321,846)
Income tax expense (benefit)		(47,399)		(501)		(47,900)		(42,538)		(400)		(42,938)
NET INCOME (LOSS)	$	(265,408)	$	(1,887)	$	(267,295)	$	(277,580)	$	(1,508)	$	(279,088)
COMPREHENSIVE INCOME (LOSS)	$	(302,416)	$	(1,887)	$	(304,303)	$	(365,772)	$	(1,508)	$	(367,280)

CONSOLIDATED STATEMENTS OF OPERATIONS	Three Months Ended March 31, 2018
AND COMPREHENSIVE INCOME (LOSS):	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
Revenues:
Other income (expense)		(74,877)		480		(74,397)
Total revenues	$	1,050,841	$	480	$	1,051,321
INCOME (LOSS) BEFORE TAXES	$	(7,131)	$	480	$	(6,651)
Income tax expense (benefit)		5,041		101		5,142
NET INCOME (LOSS)	$	(12,172)	$	379	$	(11,793)
COMPREHENSIVE INCOME (LOSS)	$	(63,356)	$	379	$	(62,977)

CONSOLIDATED STATEMENTS OF	Year Ended December 31, 2018						Year Ended December 31, 2017
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,025,824	$	(3,391)	$	5,022,433	$	4,947,301	$	(5,062)	$	4,942,239
Net income (loss)		(957,667)		(4,517)		(962,184)		78,198		1,672		79,870
Balance, end of period		4,070,604		(7,908)		4,062,696		5,025,824		(3,391)		5,022,433
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,044,665	$	(7,908)	$	5,036,757	$	5,412,723	$	(3,391)	$	5,409,332

CONSOLIDATED STATEMENTS OF	Six Months Ended June 30, 2019						Three Months Ended March 31, 2019
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, January 1	$	4,070,604	$	(7,908)	$	4,062,696	$	4,070,604	$	(7,908)	$	4,062,696
Net income (loss)		251,226		382		251,608		251,226		382		251,608
Balance, March 31		4,321,830		(7,524)		4,314,306		4,321,830		(7,524)		4,314,306
Net income (loss)		281,904		(982)		280,922
Balance, June 30		4,603,734		(8,507)		4,595,227
TOTAL STOCKHOLDER'S EQUITY, June 30	$	5,743,746	$	(8,507)	$	5,735,239	$	5,394,126	$	(7,524)	$	5,386,602

CONSOLIDATED STATEMENTS OF	Three Months Ended September 30, 2018						Nine Months Ended September 30, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	4,750,691	$	(4,897)	$	4,745,792	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		24,665		(2,699)		21,966		(252,915)		(4,207)		(257,122)
Balance, end of period		4,775,356		(7,597)		4,767,758		4,775,356		(7,597)		4,767,758
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,066,243	$	(7,597)	$	5,058,645	$	5,066,243	$	(7,597)	$	5,058,645

CONSOLIDATED STATEMENTS OF	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,016,099	$	(3,011)	$	5,013,087	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		(265,408)		(1,887)		(267,295)		(277,580)		(1,508)		(279,088)
Balance, end of period		4,750,691		(4,897)		4,745,792		4,750,691		(4,897)		4,745,792
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,047,046	$	(4,897)	$	5,042,149	$	5,047,046	$	(4,897)	$	5,042,149

CONSOLIDATED STATEMENTS OF	Three Months Ended March 31, 2018
CHANGES IN STOCKHOLDER'S EQUITY	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
RETAINED EARNINGS:
Balance, beginning of period	$	5,025,824	$	(3,391)	$	5,022,433
Net income (loss)		(12,172)		379		(11,793)
Balance, end of period		5,016,099		(3,011)		5,013,087
TOTAL STOCKHOLDER'S EQUITY, END OF PERIOD	$	5,349,415	$	(3,011)	$	5,346,404

CONSOLIDATED STATEMENTS OF CASH FLOWS	Year Ended December 31, 2018						Year Ended December 31, 2017
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(957,667)	$	(4,517)	$	(962,184)	$	78,198	$	1,672	$	79,870
Decrease (increase) in funds held by reinsureds, net		(26,680)		5,717		(20,963)		(90,410)		(2,116)		(92,526)
Decrease (increase) in income taxes	$	(291,528)	$	(1,200)	$	(292,729)	$	(250,118)	$	444	$	(249,674)

CONSOLIDATED STATEMENTS OF CASH FLOWS	Six Months Ended June 30, 2019						Three Months Ended March 31, 2019
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	533,130	$	(600)	$	532,530	$	251,226	$	382	$	251,608
Decrease (increase) in funds held by reinsureds, net		(14,688)		759		(13,929)		(13,877)		(484)		(14,361)
Decrease (increase) in income taxes	$	214,830	$	(159)	$	214,671	$	94,631	$	102	$	94,733

CONSOLIDATED STATEMENTS OF CASH FLOWS	Nine Months Ended September 30, 2018						Six Months Ended June 30, 2018
	As Previously		Impact of				As Previously		Impact of
	Reported		Revisions		As Revised		Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(252,915)	$	(4,207)	$	(257,122)	$	(277,580)	$	(1,508)	$	(279,088)
Decrease (increase) in funds held by reinsureds, net		(22,523)		5,325		(17,198)		(13,233)		1,908		(11,326)
Decrease (increase) in income taxes	$	11,069	$	(1,118)	$	9,951	$	4,652	$	(400)	$	4,252

CONSOLIDATED STATEMENTS OF CASH FLOWS	Three Months Ended March 31, 2018
	As Previously		Impact of
	Reported		Revisions		As Revised
(Dollars in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(12,172)	$	379	$	(11,793)
Decrease (increase) in funds held by reinsureds, net		136,342		(480)		135,862
Decrease (increase) in income taxes	$	52,369	$	101	$	52,470

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Federal Home Loan Membership

9 Months Ended

Sep. 30, 2019

Federal Home Loan Membership [Abstract]

Federal Home Loan Membership

12. FEDERAL HOME LOAN BANK MEMBERSHIP

Effective August 15, 2019, Everest Re became a member of the Federal Home Loan Bank (“FHLB”) organization, which allows Everest Re to borrow up to 10% of its statutory admitted assets. As of June 30, 2019, Everest Re had admitted assets of $12,310,510 thousand which provides borrowing capacity of up to $1,231,051 thousand. Through September 30, 2019, Everest Re had no borrowings through the FHLB.

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Basis Of Presentation (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended	12 Months Ended
	Dec. 31, 2017	Sep. 30, 2019	Dec. 31, 2018	Jun. 30, 2019	Jan. 01, 2019	Jun. 30, 2018
Basis Of Presentation [Abstract]
U.S. tax rate		21.00%	35.00%
Reclass due to early adoption of Accounting Standards Update 2018-02	$ 325
Cumulative change due to ASU	$ 2,447
Operating lease right of use assets		$ 50,356			$ 60,325
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]					Other assets
Operating lease liabilities		$ 55,702			$ 66,551
Operating Lease, Liability, Statement of Financial Position [Extensible List]					Other liabilities

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Leases (Tables)

9 Months Ended

Sep. 30, 2019

Leases [Abstract]

Supplemental Information Relating to Operating Leases

	Three Months Ended		Nine MonthsEnded
	September 30,		September 30,
(Dollars in thousands)	2019		2019
Lease expense incurred:
Operating lease cost	$	4,791	$	14,146

	At September 30,
(Dollars in thousands)	2019
Operating lease right of use assets	$	50,356
Operating lease liabilities		55,702

	Nine MonthsEnded
	September 30,
(Dollars in thousands)	2019
Operating cash flows from operating leases	$	(12,914)

	At September 30,
	2019
Weighted average remaining operating lease term	6.0 years
Weighted average discount rate on operating leases	4.48	%

Maturities of Lease Liabilities

(Dollars in thousands)
Remainder of 2019	$	4,294
2020		17,233
2021		8,603
2022		8,328
2023		8,235
2024		8,104
Thereafter		13,653
Undiscounted lease payments		68,450
Less: present value adjustment		12,748
Total operating lease liability	$	55,702

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Reserves For Losses And LAE (Summary Of Activity In The Reserve For Losses And LAE) (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Reserves For Losses And LAE [Abstract]
Gross reserves at beginning of period	$ 10,167,018	$ 9,343,028
Less reinsurance recoverables	(4,697,543)	(5,727,268)
Net reserves at beginning of period	5,469,475	3,615,760
Incurred related to: Current year	2,709,367	2,431,606
Incurred related to: Prior years	28,044	480,706
Total incurred losses and LAE	2,737,411	2,912,312
Paid related to: Current year	505,856	639,528
Paid related to: Prior years	1,600,956	1,129,263
Total paid losses and LAE	2,106,812	1,768,791
Foreign exchange/translation adjustment	(2,720)	(23,093)
Net reserves at end of period	6,097,354	4,736,188
Plus reinsurance recoverables	4,314,820	4,783,290
Gross reserves at end of period	$ 10,412,174	$ 9,519,478

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Fair Value (Fair Value Measurements Using Significant Unobservable Inputs for Equity Index Put Option Contracts) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Fair Value [Abstract]
Beginning Balance	$ 1,892,988	$ 1,705,037	$ 1,717,336	$ 1,807,473
Total gains or (losses) (realized/unrealized) Included in earnings	126,655	(12,816)	302,306	(115,252)
Total gains or (losses) (realized/unrealized) Included in other comprehensive income (loss)
Purchases, issuances and settlements
Transfers in and/or (out) of Level 3
Ending Balance	2,019,642	1,692,221	2,019,642	1,692,221
The amount of total gains or losses for the period included in earnings (or changes in net assets) attributable to the change in unrealized gains or losses relating to liabilities still held at the reporting date

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Related-Party Transactions (Affiliated Quota Share Reinsurance Agreements For All New And Renewal Business For The Indicated Coverage Period) (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2019 USD ($)
Coverage Period 01/01/2010-12/31/2010 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re
Percent Ceded	44.00%
Assuming Company	Bermuda Re
Type of Business	property / casualty business
Single Occurrence Limit	$ 150,000
Aggregate Limit	$ 325,000
Coverage Period 01/01/2011-12/31/2011 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re
Percent Ceded	50.00%
Assuming Company	Bermuda Re
Type of Business	property / casualty business
Single Occurrence Limit	$ 150,000
Aggregate Limit	$ 300,000
Coverage Period 01/01/2012-12/31/2014 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re
Percent Ceded	50.00%
Assuming Company	Bermuda Re
Type of Business	property / casualty business
Single Occurrence Limit	$ 100,000
Aggregate Limit	$ 200,000
Coverage Period 01/01/2015-12/31/2016 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re
Percent Ceded	50.00%
Assuming Company	Bermuda Re
Type of Business	property / casualty business
Single Occurrence Limit	$ 162,500
Aggregate Limit	$ 325,000
Coverage Period 01/01/2017-12/31/2017 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re
Percent Ceded	60.00%
Assuming Company	Bermuda Re
Type of Business	property / casualty business
Single Occurrence Limit	$ 219,000
Aggregate Limit	$ 438,000
Coverage Period 01/01/2010-12/31/2010 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re- Canadian Branch
Percent Ceded	60.00%
Assuming Company	Bermuda Re
Type of Business	property business
Single Occurrence Limit	$ 350,000
Aggregate Limit
Coverage Period 01/01/2011-12/31/2011 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re- Canadian Branch
Percent Ceded	60.00%
Assuming Company	Bermuda Re
Type of Business	property business
Single Occurrence Limit	$ 350,000
Aggregate Limit
Coverage Period 01/01/2012-12/31/2012 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re- Canadian Branch
Percent Ceded	75.00%
Assuming Company	Bermuda Re
Type of Business	property / casualty business
Single Occurrence Limit	$ 206,250
Aggregate Limit	$ 412,500
Coverage Period 01/01/2013-12/31/2013 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re- Canadian Branch
Percent Ceded	75.00%
Assuming Company	Bermuda Re
Type of Business	property / casualty business
Single Occurrence Limit	$ 150,000
Aggregate Limit	$ 412,500
Coverage Period 01/01/2014-12/31/2017 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Re- Canadian Branch
Percent Ceded	75.00%
Assuming Company	Bermuda Re
Type of Business	property / casualty business
Single Occurrence Limit	$ 262,500
Aggregate Limit	$ 412,500
Coverage Period 01/01/2012-12/31/2017 [Member]
Reinsurance [Line Items]
Ceding Company	Everest Canada
Percent Ceded	80.00%
Assuming Company	Everest Re-   Canadian Branch
Type of Business	property business
Single Occurrence Limit
Aggregate Limit

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Segment Reporting (Schedule Of Gross Written Premium Derived From Largest Non-U.S. Market) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Canada [Member]
Segment Reporting Information [Line Items]
Gross written premiums	$ 52,136	$ 41,005	$ 138,392	$ 125,586

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Related-Party Transactions (Premiums And Losses Ceded By The Company To Affiliate) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Mt. Logan Re Segregated Accounts [Member]
Effects of Reinsurance [Line Items]
Ceded written premiums	$ 79,152	$ 53,340	$ 193,664	$ 154,779
Ceded earned premiums	69,942	44,699	176,576	149,674
Ceded losses and LAE	81,136	23,087	145,918	130,994
Assumed written premiums		3,219		7,866
Assumed earned premiums		3,219		7,866
Assumed losses and LAE
Bermuda Re [Member]
Effects of Reinsurance [Line Items]
Ceded written premiums	14,660	146,513	85,667	421,804
Ceded earned premiums	16,510	148,228	85,632	432,459
Ceded losses and LAE	(16,836)	34,683	(8,521)	70,791
Everest International [Member]
Effects of Reinsurance [Line Items]
Ceded written premiums
Ceded earned premiums
Ceded losses and LAE	10	(5)	(26)	(362)
Everest Canada [Member]
Effects of Reinsurance [Line Items]
Assumed written premiums
Assumed earned premiums
Assumed losses and LAE	(1,633)	(1,388)	(938)	1,958
Lloyd's Syndicate [Member]
Effects of Reinsurance [Line Items]
Assumed written premiums	24	1,056	(8,702)	795
Assumed earned premiums	850	2,876	(16,380)	13,826
Assumed losses and LAE	$ 1,141	$ 2,883	$ (2,386)	$ 10,909

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Leases (Maturities of Lease Liabilities) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jan. 01, 2019
Leases [Abstract]
Remainder of 2019	$ 4,294
2020	17,233
2021	8,603
2022	8,328
2023	8,235
2024	8,104
Thereafter	13,653
Undiscounted lease payments	68,450
Less: present value adjustment	12,748
Total operating lease liability	$ 55,702	$ 66,551

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Investments (Summary Of Aggregate Market Value And Gross Unrealized Depreciation Of Fixed Maturity And Equity Securities, By Contractual Maturity) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale Securities, Market Value, Total	$ 1,659,366	$ 3,470,834
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(50,487)	(130,602)
Fixed Maturity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	767,773	2,663,097
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(11,338)	(105,810)
Available for sale securities, Greater than 12 months, Market Value	891,593	807,737
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(39,149)	(24,792)
Available-for-sale Securities, Market Value, Total	1,659,366	3,470,834
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(50,487)	(130,602)
Due In One Year Or Less [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	33,264	165,545
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(983)	(7,618)
Available for sale securities, Greater than 12 months, Market Value	169,830	118,322
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(7,522)	(1,164)
Available-for-sale Securities, Market Value, Total	203,094	283,867
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(8,505)	(8,782)
Due In One Year Through Five Years [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	147,148	1,423,431
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(1,980)	(44,924)
Available for sale securities, Greater than 12 months, Market Value	509,942	525,554
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(13,702)	(9,530)
Available-for-sale Securities, Market Value, Total	657,090	1,948,985
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(15,682)	(54,454)
Due In Five Years Through Ten Years [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	146,123	624,875
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(4,957)	(35,360)
Available for sale securities, Greater than 12 months, Market Value	44,877	42,902
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(7,579)	(2,773)
Available-for-sale Securities, Market Value, Total	191,000	667,777
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(12,536)	(38,133)
Due After Ten Years [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	114,861	223,673
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(1,541)	(14,580)
Available for sale securities, Greater than 12 months, Market Value	85,359	49,260
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(9,984)	(10,178)
Available-for-sale Securities, Market Value, Total	200,220	272,933
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(11,525)	(24,758)
Asset-backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	320,136	127,052
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(1,873)	(1,408)
Available for sale securities, Greater than 12 months, Market Value	45,453	47,551
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(105)	(631)
Available-for-sale Securities, Market Value, Total	365,589	174,603
Available-for-sale Securities, Gross Unrealized Depreciation, Total	(1,978)	(2,039)
Mortgage Backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available for sale securities, Less than 12 months, Market Value	6,241	98,521
Available for sale securities, Less than 12 months, Gross Unrealized Depreciation	(4)	(1,920)
Available for sale securities, Greater than 12 months, Market Value	36,132	24,148
Available for sale securities, Greater than 12 months, Gross Unrealized Depreciation	(257)	(516)
Available-for-sale Securities, Market Value, Total	42,373	122,669
Available-for-sale Securities, Gross Unrealized Depreciation, Total	$ (261)	$ (2,436)

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Investments (Summary Of Unrealized Appreciation (Depreciation) Of Available For Sale, Fixed Maturity And Equity Security Investments) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Fixed Maturity Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 7,206,711	$ 7,032,749
Unrealized Appreciation	217,495	59,928
Unrealized Depreciation	(50,487)	(130,602)
Market Value	7,373,719	6,962,075
OTTI in AOCI	570	1,151
U.S. Treasury Securities And Obligations Of U.S. Government Agencies And Corporations [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	765,592	2,250,312
Unrealized Appreciation	12,690	3,573
Unrealized Depreciation	(1,489)	(11,088)
Market Value	776,793	2,242,797
Obligation of U.S. States and Political Subdivisions [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	505,854	489,013
Unrealized Appreciation	30,609	12,915
Unrealized Depreciation	(95)	(2,839)
Market Value	536,368	499,089
OTTI in AOCI		440
Corporate Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	2,785,680	2,273,581
Unrealized Appreciation	71,322	12,487
Unrealized Depreciation	(28,579)	(69,915)
Market Value	2,828,423	2,216,153
OTTI in AOCI	233	430
Asset-backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	605,172	223,192
Unrealized Appreciation	1,946	102
Unrealized Depreciation	(1,978)	(2,039)
Market Value	605,140	221,255
Commercial [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	310,630	135,380
Unrealized Appreciation	21,458	1,947
Unrealized Depreciation	(70)	(723)
Market Value	332,018	136,604
Agency Residential [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	646,559	149,306
Unrealized Appreciation	19,426	1,177
Unrealized Depreciation	(191)	(1,709)
Market Value	665,794	148,774
Non-agency Residential [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	2,203	3,115
Unrealized Appreciation	2	3
Unrealized Depreciation		(4)
Market Value	2,205	3,114
Foreign Government Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	569,493	576,540
Unrealized Appreciation	22,393	14,399
Unrealized Depreciation	(6,402)	(11,353)
Market Value	585,484	579,586
Foreign Corporate Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	1,015,528	932,310
Unrealized Appreciation	37,649	13,325
Unrealized Depreciation	(11,683)	(30,932)
Market Value	1,041,494	914,703
OTTI in AOCI	$ 337	$ 281

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Comprehensive Income (Loss) (Components Of Accumulated Other Comprehensive Income (Loss), Net Of Tax, In The Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2017
Comprehensive Income (Loss) [Line Items]
Beginning balance,	$ 5,735,239	$ 5,386,602	$ 5,036,757	$ 5,042,149	$ 5,346,404	$ 5,409,332	$ 5,036,757	$ 5,409,332
Change to beginning balance due to adoption of Accounting Standards Update 2016-01										$ (2,447)
Current period change	30,784			(5,512)			196,561	(93,704)
Ending balance,	5,827,244	5,735,239	5,386,602	5,058,645	5,042,149	5,346,404	5,827,244	5,058,645
URA(D) On Securities [Member]
Comprehensive Income (Loss) [Line Items]
Beginning balance,	105,436		(55,950)	(34,673)		37,442	(55,950)	37,442
Change to beginning balance due to adoption of Accounting Standards Update 2016-01										(2,447)
Current period change	26,446			(4,656)			188,385	(74,612)
Ending balance,	131,976	105,436		(39,071)	(34,673)		131,976	(39,071)
URA(D) On Securities - OTTI [Member]
Comprehensive Income (Loss) [Line Items]
Current period change	94			258			(459)	546
Foreign Currency Translation Adjustments [Member]
Comprehensive Income (Loss) [Line Items]
Beginning balance,	(797)		(2,886)	11,391		33,545	(2,886)	33,545
Current period change	2,880			(2,930)			4,969	(25,084)
Ending balance,	2,083	(797)		8,461	11,391		2,083	8,461
Benefit Plan Net Gain (Loss) [Member]
Comprehensive Income (Loss) [Line Items]
Beginning balance,	(65,116)		(67,418)	(68,299)		(71,929)	(67,418)	(71,929)
Current period change	1,364			1,816			3,666	5,446
Ending balance,	(63,752)	(65,116)		(66,483)	(68,299)		(63,752)	(66,483)
Accumulated Other Comprehensive Income (Loss), Net Of Deferred Income Taxes [Member]
Comprehensive Income (Loss) [Line Items]
Beginning balance,	39,523	(28,106)	(126,254)	(91,581)	(54,573)	(942)	(126,254)	(942)
Change to beginning balance due to adoption of Accounting Standards Update 2016-01										$ (2,447)
Current period change	30,784	67,629	98,148	(5,512)	(37,008)	(51,184)
Ending balance,	$ 70,307	$ 39,523	$ (28,106)	$ (97,093)	$ (91,581)	$ (54,573)	$ 70,307	$ (97,093)

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Senior Notes (Schedule Of Interest Expense Incurred In Connection With Senior Notes) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Senior Notes [Abstract]
Interest expense incurred	$ 4,868	$ 4,868	$ 14,604	$ 14,604

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Federal Home Loan Membership (Narratvie) (Details) - USD ($)	Sep. 30, 2019	Jun. 30, 2019
Federal Home Loan Membership [Abstract]
Maximum percentage of admitted assets allowed for borrowing base	10.00%
Admitted assets for FHLB		$ 12,310,510,000
Maximum amount available under FHLB	$ 1,231,051,000
Borrowings from FHLB	$ 0

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Retirement Benefits

9 Months Ended

Sep. 30, 2019

Retirement Benefits [Abstract]

Retirement Benefits

16.  RETIREMENT BENEFITS

The Company maintains both qualified and non-qualified defined benefit pension plans for its U.S. employees employed prior to April 1, 2010. Generally, the Company computes the benefits based on average earnings over a period prescribed by the plans and credited length of service. The Company’s non-qualified defined benefit pension plan provided compensating pension benefits for participants whose benefits have been curtailed under the qualified plan due to Internal Revenue Code limitations. Effective January 1, 2018, participants of the Company’s non-qualified defined benefit pension plan may no longer accrue additional service benefits.

Net periodic benefit cost for U.S. employees included the following components for the periods indicated:

Pension Benefits	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Service cost	$	2,064	$	2,977	$	6,616	$	8,931
Interest cost		2,928		2,585		8,788		7,754
Expected return on plan assets		(4,492)		(3,670)		(14,523)		(11,011)
Amortization of net (income) loss		1,909		2,237		5,111		6,710
Settlement charge		102		-		309		-
Net periodic benefit cost	$	2,511	$	4,129	$	6,301	$	12,384

Other Benefits	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Service cost	$	245	$	446	$	818	$	1,339
Interest cost		245		307		835		920
Amortization of prior service cost		(144)		(33)		(433)		(98)
Amortization of net (income) loss		(39)		94		(39)		282
Net periodic benefit cost	$	307	$	814	$	1,181	$	2,443
(Some amounts may not reconcile due to rounding.)

The service cost component of net periodic benefit costs is included within other underwriting expenses on the consolidated statement of operations and comprehensive income (loss). In accordance with ASU 2017-07, other staff compensation costs are also primarily recorded within this line item.

The Company did not make any contributions to the qualified pension benefit plan for the three and nine months ended September 30, 2019. For the three and nine months ended September 30, 2018, the company contributed $77,000 thousand to the qualified pension benefit plan.

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Investments (Tables)

9 Months Ended

Sep. 30, 2019

Investments [Abstract]

Summary Of Unrealized Appreciation (Depreciation) Of Available For Sale, Fixed Maturity And Equity Security Investments

	At September 30, 2019
	Amortized		Unrealized		Unrealized		Market		OTTI in AOCI
(Dollars in thousands)	Cost		Appreciation		Depreciation		Value		(a)
Fixed maturity securities
U.S. Treasury securities and obligations of U.S. government agencies and corporations	$	765,592	$	12,690	$	(1,489)	$	776,793	$	-
Obligations of U.S. states and political  subdivisions		505,854		30,609		(95)		536,368		-
Corporate securities		2,785,680		71,322		(28,579)		2,828,423		233
Asset-backed securities		605,172		1,946		(1,978)		605,140		-
Mortgage-backed securities
Commercial		310,630		21,458		(70)		332,018		-
Agency residential		646,559		19,426		(191)		665,794		-
Non-agency residential		2,203		2		-		2,205		-
Foreign government securities		569,493		22,393		(6,402)		585,484		-
Foreign corporate securities		1,015,528		37,649		(11,683)		1,041,494		337
Total fixed maturity securities	$	7,206,711	$	217,495	$	(50,487)	$	7,373,719	$	570

	At December 31, 2018
	Amortized		Unrealized		Unrealized		Market		OTTI in AOCI
(Dollars in thousands)	Cost		Appreciation		Depreciation		Value		(a)
Fixed maturity securities
U.S. Treasury securities and obligations of U.S. government agencies and corporations	$	2,250,312	$	3,573	$	(11,088)	$	2,242,797	$	-
Obligations of U.S. states and political  subdivisions		489,013		12,915		(2,839)		499,089		440
Corporate securities		2,273,581		12,487		(69,915)		2,216,153		430
Asset-backed securities		223,192		102		(2,039)		221,255		-
Mortgage-backed securities
Commercial		135,380		1,947		(723)		136,604		-
Agency residential		149,306		1,177		(1,709)		148,774		-
Non-agency residential		3,115		3		(4)		3,114		-
Foreign government securities		576,540		14,399		(11,353)		579,586		-
Foreign corporate securities		932,310		13,325		(30,932)		914,703		281
Total fixed maturity securities	$	7,032,749	$	59,928	$	(130,602)	$	6,962,075	$	1,151

^(a) Represents the amount of OTTI recognized in AOCI. Amount includes unrealized gains and losses on impaired securities relating to changes in the value of such securities subsequent to the impairment measurement date.

Summary Of Amortized Cost And Market Value Of Fixed Maturity Securities, By Contractual Maturity

	At September 30, 2019				At December 31, 2018
	Amortized		Market		Amortized		Market
(Dollars in thousands)	Cost		Value		Cost		Value
Fixed maturity securities – available for sale
Due in one year or less	$	522,393	$	519,742	$	511,193	$	507,572
Due after one year through five years		2,937,353		2,980,204		4,271,245		4,230,451
Due after five years through ten years		1,484,688		1,549,482		1,177,752		1,163,831
Due after ten years		697,713		719,134		561,566		550,474
Asset-backed securities		605,172		605,140		223,192		221,255
Mortgage-backed securities
Commercial		310,630		332,018		135,380		136,604
Agency residential		646,559		665,794		149,306		148,774
Non-agency residential		2,203		2,205		3,115		3,114
Total fixed maturity securities	$	7,206,711	$	7,373,719	$	7,032,749	$	6,962,075

Summary Of Changes In Net Unrealized Appreciation (Depreciation) For The Company's Investments

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Increase (decrease) during the period between  the market value and cost of investments carried  at market value, and deferred taxes thereon:
Fixed maturity securities	$	33,473	$	(5,899)	$	238,301	$	(94,451)
Fixed maturity securities, other-than-temporary  impairment		119		326		(581)		691
Change in unrealized appreciation  (depreciation), pre-tax		33,592		(5,573)		237,720		(93,760)
Deferred tax benefit (expense)		(7,028)		1,243		(49,917)		19,839
Deferred tax benefit (expense),  other-than-temporary impairment		(25)		(68)		122		(145)
Change in unrealized appreciation (depreciation),   net of deferred taxes, included in  stockholder's equity	$	26,539	$	(4,398)	$	187,925	$	(74,066)

Summary Of Aggregate Market Value And Gross Unrealized Depreciation Of Fixed Maturity And Equity Securities, By Security Type

	Duration of Unrealized Loss at September 30, 2019 By Security Type
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities -  available for sale
U.S. Treasury securities and  obligations of U.S. government  agencies and corporations	$	8,988	$	(7)	$	273,603	$	(1,482)	$	282,591	$	(1,489)
Obligations of U.S. states and  political subdivisions		5,669		(50)		3,518		(45)		9,187		(95)
Corporate securities		328,241		(8,540)		240,104		(20,039)		568,345		(28,579)
Asset-backed securities		320,136		(1,873)		45,453		(105)		365,589		(1,978)
Mortgage-backed securities
Commercial		4,944		-		17,620		(70)		22,564		(70)
Agency residential		1,297		(4)		17,816		(187)		19,113		(191)
Non-agency residential		-		-		696		-		696		-
Foreign government securities		37,711		(351)		133,509		(6,051)		171,220		(6,402)
Foreign corporate securities		60,787		(513)		159,274		(11,170)		220,061		(11,683)
Total fixed maturity securities	$	767,773	$	(11,338)	$	891,593	$	(39,149)	$	1,659,366	$	(50,487)

	Duration of Unrealized Loss at December 31, 2018 By Security Type
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities -  available for sale
U.S. Treasury securities and  obligations of U.S. government  agencies and corporations	$	245,357	$	(6,099)	$	373,377	$	(4,989)	$	618,734	$	(11,088)
Obligations of U.S. states and  political subdivisions		107,183		(2,829)		1,475		(10)		108,658		(2,839)
Corporate securities		1,390,942		(57,043)		194,770		(12,872)		1,585,712		(69,915)
Asset-backed securities		127,052		(1,408)		47,551		(631)		174,603		(2,039)
Mortgage-backed securities
Commercial		51,357		(695)		2,259		(28)		53,616		(723)
Agency residential		44,071		(1,221)		21,889		(488)		65,960		(1,709)
Non-agency residential		3,093		(4)		-		-		3,093		(4)
Foreign government securities		192,510		(10,690)		101,137		(663)		293,647		(11,353)
Foreign corporate securities		501,532		(25,821)		65,279		(5,111)		566,811		(30,932)
Total fixed maturity securities	$	2,663,097	$	(105,810)	$	807,737	$	(24,792)	$	3,470,834	$	(130,602)

Summary Of Aggregate Market Value And Gross Unrealized Depreciation Of Fixed Maturity And Equity Securities, By Contractual Maturity

	Duration of Unrealized Loss at September 30, 2019 By Maturity
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities
Due in one year or less	$	33,264	$	(983)	$	169,830	$	(7,522)	$	203,094	$	(8,505)
Due in one year through five years		147,148		(1,980)		509,942		(13,702)		657,090		(15,682)
Due in five years through ten years		146,123		(4,957)		44,877		(7,579)		191,000		(12,536)
Due after ten years		114,861		(1,541)		85,359		(9,984)		200,220		(11,525)
Asset-backed securities		320,136		(1,873)		45,453		(105)		365,589		(1,978)
Mortgage-backed securities		6,241		(4)		36,132		(257)		42,373		(261)
Total fixed maturity securities	$	767,773	$	(11,338)	$	891,593	$	(39,149)	$	1,659,366	$	(50,487)

	Duration of Unrealized Loss at December 31, 2018 By Maturity
	Less than 12 months				Greater than 12 months				Total
			Gross				Gross				Gross
	Market		Unrealized		Market		Unrealized		Market		Unrealized
(Dollars in thousands)	Value		Depreciation		Value		Depreciation		Value		Depreciation
Fixed maturity securities
Due in one year or less	$	165,545	$	(7,618)	$	118,322	$	(1,164)	$	283,867	$	(8,782)
Due in one year through five years		1,423,431		(44,924)		525,554		(9,530)		1,948,985		(54,454)
Due in five years through ten years		624,875		(35,360)		42,902		(2,773)		667,777		(38,133)
Due after ten years		223,673		(14,580)		49,260		(10,178)		272,933		(24,758)
Asset-backed securities		127,052		(1,408)		47,551		(631)		174,603		(2,039)
Mortgage-backed securities		98,521		(1,920)		24,148		(516)		122,669		(2,436)
Total fixed maturity securities	$	2,663,097	$	(105,810)	$	807,737	$	(24,792)	$	3,470,834	$	(130,602)

Summary Of Components Of Net Investment Income

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Fixed maturities	$	68,178	$	51,834	$	200,606	$	142,776
Equity securities		1,971		2,651		5,721		10,681
Short-term investments and cash		2,210		2,110		8,115		4,340
Other invested assets
Limited partnerships		15,102		25,573		38,273		54,213
Dividends from preferred shares of affiliate		7,758		7,758		23,274		23,274
Other		7,285		6,061		13,564		10,716
Gross investment income before adjustments		102,504		95,987		289,553		246,000
Funds held interest income (expense)		1,108		906		5,434		4,505
Interest income from Parent		-		1,075		-		3,225
Gross investment income		103,612		97,968		294,987		253,730
Investment expenses		(8,020)		(7,670)		(24,152)		(21,453)
Net investment income	$	95,592	$	90,298	$	270,835	$	232,277
(Some amounts may not reconcile due to rounding.)

Summary Of Components Of Net Realized Capital Gains (Losses)

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Fixed maturity securities, market value:
Other-than-temporary impairments	$	(6,968)	$	(2,834)	$	(14,187)	$	(3,741)
Gains (losses) from sales		2,200		(1,288)		3,313		4,670
Fixed maturity securities, fair value:
Gains (losses) from sales		-		(717)		356		(1,799)
Gains (losses) from fair value adjustments		-		584		13		1,542
Equity securities, fair value:
Gains (losses) from sales		(1,192)		9,915		2,538		5,833
Gains (losses) from fair value adjustments		(10,326)		36,269		93,349		34,805
Other invested assets		2,097		913		2,341		1,497
Other invested assets, fair value:
Gains (losses) from fair value adjustments		126,655		(12,816)		302,306		(115,252)
Short-term investment gains (losses)		76		(8)		132		(9)
Total net realized capital gains (losses)	$	112,542	$	30,018	$	390,161	$	(72,454)

Summary Of Gross Gains (Losses) From Sales Of Fixed Maturity And Equity Securities

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2019		2018		2019		2018
Proceeds from sales of fixed maturity securities	$	213,132	$	184,810	$	2,220,440	$	554,733
Gross gains from sales		6,638		2,519		17,875		11,512
Gross losses from sales		(4,438)		(4,524)		(14,206)		(8,641)
Proceeds from sales of equity securities	$	35,925	$	186,403	$	184,898	$	616,330
Gross gains from sales		1,035		13,764		9,283		21,670
Gross losses from sales		(2,227)		(3,849)		(6,745)		(15,837)