The following table provides the effects of reinsurance. Amounts reflect activity of Chaucer since the July 1, 2011 acquisition date.


FOR THE YEARS ENDED DECEMBER 31	2012			2011			2010
(in millions)
Property and casualty premiums written:
Direct	$	4,515.1		$	3,830.9		$	3,087.9
Assumed⁽¹⁾		689.1			228.3			270.6
Ceded		(835.8	)		(465.8	)		(310.5	)
Net premiums written	$	4,368.4		$	3,593.4		$	3,048.0
Property and casualty premiums earned:
Direct	$	4,352.9		$	3,695.2		$	2,970.6
Assumed⁽¹⁾		687.0			442.6			174.8
Ceded		(800.8	)		(539.2	)		(304.4	)
Net premiums earned	$	4,239.1		$	3,598.6		$	2,841.0
Percentage of assumed to net premiums earned		16.21	%		12.30	%		6.15	%
Property and casualty losses and LAE:
Direct	$	3,251.4		$	2,723.5		$	2,001.8
Assumed⁽¹⁾		311.4			249.4			96.9
Ceded		(588.4	)		(422.1	)		(242.4	)
Net losses and LAE	$	2,974.4		$	2,550.8		$	1,856.3

(1)

Assumed reinsurance activity in 2012 and 2011 primarily related to our Chaucer segment. In addition, 2011 assumed premiums earned and assumed losses and LAE included $96.0 million and $54.2 million, respectively, related to the 2010 OneBeacon renewal rights transaction. Assumed reinsurance activity in 2010 primarily related to the OneBeacon renewal rights transaction.