Reserves For Losses And LAE

3 Months Ended

Mar. 31, 2021

Reserves For Losses And LAE [Abstract]

Reserves For Losses And LAE

4. RESERVES FOR LOSSES AND LAE

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

	Three Months Ended March 31,
(Dollars in thousands)		2021		2020
Gross reserves beginning of period	$	11,654,950	$	10,209,519
Less reinsurance recoverables		(3,951,474)		(4,215,348)
Net reserves beginning of period		7,703,476		5,994,171
Incurred related to:
Current year		1,338,891		1,026,442
Prior years		15,193		3,071
Total incurred losses and LAE		1,354,084		1,029,513
Paid related to:
Current year		168,423		138,778
Prior years		527,470		593,482
Total paid losses and LAE		695,893		732,260
Foreign exchange/translation adjustment and cumulative adjustment due to adoption of ASU 2016-13		(6,819)		(36,673)
Net reserves end of period		8,354,848		6,254,751
Plus reinsurance recoverables		3,829,356		4,016,471
Gross reserves end of period	$	12,184,204	$	10,271,222
(Some amounts may not reconcile due to rounding.)

Current year incurred losses were $1,338,891 thousand forthe three months ended March 31, 2021 and $1,026,442 thousand for the three months ended March 31, 2020, respectively. The increase in current year incurred losses in 2021 compared to 2020 was primarily due to a $230,500 thousandincrease in current year catastrophe losses as well as the impact of the increase in premiums earned.