LIABILITIES FOR OUTSTANDING CLAIMS, LOSSES AND LOSS ADJUSTMENT EXPENSES (Tables)

12 Months Ended

Dec. 31, 2012

Schedule Of Liability For Unpaid Losses And Loss Adjustment Expenses

The following table provides a reconciliation of the gross beginning and ending reserve for unpaid losses and loss adjustment expenses (results for Chaucer for the year ended December 31, 2011 reflect the period from July 1, 2011 to December 31, 2011).

FOR THE YEARS ENDED DECEMBER 31	2012			2011			2010
(in millions)
Gross loss and LAE reserves, beginning of year	$	5,760.3		$	3,277.7		$	3,153.9
Reinsurance recoverable on unpaid losses		1,931.8			1,115.5			1,060.2
Net loss and LAE reserves, beginning of year		3,828.5			2,162.2			2,093.7
Net incurred losses and LAE in respect of losses occurring in:
Current year		2,990.2			2,654.1			1,967.4
Prior years		(15.8	)		(103.3	)		(111.1	)
Total incurred losses and LAE		2,974.4			2,550.8			1,856.3
Net payments of losses and LAE in respect of losses occurring in:
Current year		1,317.6			1,482.4			1,078.7
Prior years		1,396.5			1,010.3			738.6
Total payments		2,714.1			2,492.7			1,817.3
Purchase of Chaucer, net of reinsurance recoverable on unpaid losses of $669.6		—			1,631.0			—
Purchase of Campania		—			—			29.5
Effect of foreign exchange rate changes		33.9			(22.8	)		—
Net reserve for losses and LAE, end of year		4,122.7			3,828.5			2,162.2
Reinsurance recoverable on unpaid losses		2,074.3			1,931.8			1,115.5
Gross reserve for losses and LAE, end of year	$	6,197.0		$	5,760.3		$	3,277.7