Reserves for Losses and Loss Adjustment Expenses (Tables)

9 Months Ended

Sep. 30, 2012

Reinsurance Recoverables

	For the Nine Months Ended September 30,
(in millions)	2012			2011
Net reserves beginning of the year	$	2,336.7		$	2,253.0
Add:
Net reserves from assumed retroactive insurance contract (1)		13.0			0.0
Losses and LAE incurred during current calendar year, net of reinsurance:
Current accident year		545.7			662.8
Prior accident years		(17.8	)		1.6
Losses and LAE incurred during calendar year, net of reinsurance		527.9			664.4
Deduct:
Losses and LAE payments made during current calendar year, net of reinsurance:
Current accident year		111.9			153.2
Prior accident years		450.1			417.1
Losses and LAE payments made during current calendar year, net of reinsurance:		562.0			570.3
Change in participation interest (2)		(3.1	)		31.2
Foreign exchange adjustments		5.4			12.0
Net reserves - end of period		2,317.9			2,390.3
Add:
Reinsurance recoverables on unpaid losses and LAE, end of period		910.0			959.3
Gross reserves - end of period	$	3,227.9		$	3,349.6

⁽¹⁾  Amount represents reserves assumed resulting from participation in Brazilian Motor Third-Party Liability Insurance Pool effective January 1, 2012.

⁽²⁾ Amount represents (decrease) increase in reserves due to change in syndicate participation.