Insurance

3 Months Ended

Mar. 31, 2025

Insurance [Abstract]

Insurance

Insurance

Insurance Reserves The following table provides an analysis of changes in the liability for losses and loss adjustment expenses during the first three months of 2025 and 2024 (in millions):

	Three months ended March 31,
	2025		2024
Balance at beginning of year	$	14,179	$	13,087
Less reinsurance recoverables, net of allowance	4,957		4,288
Net liability at beginning of year	9,222		8,799
Provision for losses and LAE occurring in the current period	985		962
Net decrease in the provision for claims of prior years	(20)		(50)
Total losses and LAE incurred	965		912
Payments for losses and LAE of:
Current year	(104)		(94)
Prior years	(863)		(895)
Total payments	(967)		(989)
Foreign currency translation and other	(2)		1
Net liability at end of period	9,218		8,723
Add back reinsurance recoverables, net of allowance	4,752		4,327
Gross unpaid losses and LAE included in the balance sheet at end of period	$	13,970	$	13,050

The net decrease in the provision for claims of prior years during the first three months of 2025 reflects (i) lower than anticipated losses in the crop business and lower than anticipated claim frequency and severity in the trucking business (within the Property and transportation sub-segment), (ii) lower than anticipated claim severity in the workers’ compensation businesses (within the Specialty casualty sub-segment) and (iii) lower than anticipated claim frequency and severity in the financial institutions business (within the Specialty financial sub-segment). This favorable development was

partially offset by higher than anticipated claim severity in the excess liability businesses (within the Specialty casualty sub-segment).

The net decrease in the provision for claims of prior years during the first three months of 2024 reflects (i) lower than anticipated losses in the crop business and lower than expected claim severity in the property and inland marine business (within the Property and transportation sub-segment), (ii) lower than anticipated claim severity in the workers’ compensation businesses and lower than expected claim frequency and severity in the executive liability business (within the Specialty casualty sub-segment) and (iii) lower than anticipated claim frequency in the fidelity business and lower than expected claim frequency and severity in the financial institutions business (within the Specialty financial sub-segment). This favorable development was partially offset by (i) higher than anticipated claim severity in the excess liability businesses and higher than expected claim frequency and severity in the social services business (within the Specialty casualty sub-segment) and (ii) higher than anticipated claim severity in the innovative markets business (within the Specialty financial sub-segment).

Recoverables from Reinsurers and Premiums Receivable Progressions of the 2025 and 2024 allowance for expected credit losses on recoverables from reinsurers and premiums receivable are shown below (in millions):

	Recoverables from Reinsurers				Premiums Receivable
	2025		2024		2025		2024
Balance at December 31	$	11	$	10	$	19	$	15
Provision (credit) for expected credit losses	(1)		—		(1)		—
Write-offs charged against the allowance	—		—		—		—
Balance at March 31	$	10	$	10	$	18	$	15