Segment Reporting

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Segment Reporting

12. SEGMENT REPORTING

The Reinsurance operation writes worldwide property and casualty reinsurance and specialty lines of business, on

both a treaty and facultative basis, through reinsurance brokers, as well as directly with ceding companies. 

Business is written in the United States as well as through branches in Canada and Singapore. The Insurance

operation writes property and casualty insurance directly and through brokers, surplus lines brokers and general

agents within the United States. 

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. The Company measures its 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 June 30, 2022

Six Months Ended June 30, 2022

(Dollars in thousands)

Reinsurance

Insurance

Total 

Reinsurance

Insurance

Total 

Gross written premiums

$

1,394,004

$

1,042,883

$

2,436,887

$

2,773,675

$

1,868,220

$

4,641,895

Net written premiums

1,245,074

749,551

1,994,625

2,430,415

1,360,419

3,790,834

Premiums earned

$

1,294,903

$

659,326

$

1,954,229

$

2,504,217

$

1,278,605

$

3,782,821

Incurred losses and LAE

875,402

428,536

1,303,937

1,695,872

833,755

2,529,627

Commission and brokerage

331,917

76,747

408,663

647,246

146,047

793,293

Other underwriting expenses

32,451

87,812

120,263

63,425

174,594

238,018

Underwriting gain (loss)

$

55,134

$

66,232

$

121,366

$

97,674

$

124,209

$

221,883

Net investment income

176,499

332,633

Net gains (losses) on investments

(378,273)

(604,860)

Corporate expense

(5,886)

(11,652)

Interest, fee and bond issue cost amortization expense

(24,398)

(48,476)

Other income (expense) 

493

(8,904)

Income (loss) before taxes

$

(110,199)

$

(119,376)

Three Months Ended June 30, 2021

Six Months Ended June 30, 2021

(Dollars in thousands)

Reinsurance

Insurance

Total 

Reinsurance

Insurance

Total 

Gross written premiums

$

1,439,254

$

877,776

$

2,317,030

$

2,859,337

$

1,591,028

$

4,450,365

Net written premiums

1,291,229

637,106

1,928,335

2,500,042

1,193,636

3,693,678

Premiums earned

$

1,232,157

$

534,398

$

1,766,555

$

2,409,327

$

1,054,128

$

3,463,455

Incurred losses and LAE

739,440

356,177

1,095,618

1,709,757

739,944

2,449,702

Commission and brokerage

324,989

61,859

386,848

615,545

121,157

736,702

Other underwriting expenses

32,999

76,932

109,930

69,288

150,437

219,725

Underwriting gain (loss)

$

134,729

$

39,430

$

174,159

$

14,737

$

42,590

$

57,327

Net investment income

248,135

395,858

Net gains (losses) on investments

183,763

318,774

Corporate expense

(7,618)

(12,199)

Interest, fee and bond issue cost amortization expense

(15,537)

(31,071)

Other income (expense) 

(1,867)

2,112

Income (loss) before taxes

$

581,035

$

730,800

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

Six Months Ended

June 30,

June 30,

(Dollars in thousands)

2022

2021

2022

2021

Canada gross written premiums

$

80,714

$

68,955

$

148,479

$

103,285

No other country represented more than

5

% of the Company’s revenues.