Estimated title losses

6 Months Ended

Jun. 30, 2020

Insurance [Abstract]

Estimated title losses

Estimated title losses. A summary of estimated title losses for the six months ended June 30 is as follows:

	2020		2019
	($000 omitted)
Balances at January 1	459,053		461,560
Provisions:
Current year	39,811		33,833
Previous policy years	361		640
Total provisions	40,172		34,473
Payments, net of recoveries:
Current year	(5,420	)	(5,722	)
Previous policy years	(33,516	)	(39,929	)
Total payments, net of recoveries	(38,936	)	(45,651	)
Effects of changes in foreign currency exchange rates	(4,264	)	(174	)
Balances at June 30	456,025		450,208
Loss ratios as a percentage of title operating revenues:
Current year provisions	4.3	%	4.1	%
Total provisions	4.3	%	4.1	%

Provisions in the first six months of 2020 increased compared to the same period in 2019, primarily as a result of increased title revenues. Claim payments in the first six months of 2020 decreased primarily due to lower payments on large claims compared to the corresponding period in 2019, while the 2020 reduction effect relating to foreign currency exchange rate changes were primarily influenced by the depreciation of the Canadian dollar against the U.S. dollar during the six months ended June 30, 2020.