Reserves for Losses and Loss Adjustment Expenses (Tables)

6 Months Ended

Jun. 30, 2018

Insurance [Abstract]

Reserves for Losses and Loss Adjustment Expenses

The following table provides a reconciliation of reserves for losses and loss adjustment expenses (“LAE”):

	For the Six Months Ended June 30,
(in millions)	2018			2017
Net reserves beginning of the year	$	2,488.0		$	2,180.2
Net Maybrooke reserves acquired	—			132.6
Net Ariscom reserves acquired	49.4			—
Add:
Losses and LAE incurred during current calendar year, net of reinsurance:
Current accident year	487.1			447.4
Prior accident years	(4.4		)	5.7
Losses and LAE incurred during calendar year, net of reinsurance	482.7			453.1
Deduct:
Losses and LAE payments made during current calendar year, net of reinsurance:
Current accident year	152.1			88.9
Prior accident years	327.0			290.8
Losses and LAE payments made during current calendar year, net of reinsurance:	479.1			379.7
Change in participation interest (1)	(29.4		)	(23.2		)
Foreign exchange adjustments	(24.0		)	1.8
Net reserves - end of period	2,487.6			2,364.8
Add:
Reinsurance recoverables on unpaid losses and LAE, end of period	1,755.3			1,268.0
Gross reserves - end of period	$	4,242.9		$	3,632.8

⁽¹⁾  Amount represents the change in reserves due to changing our participation in Syndicates 1200 and 1910.

Impact from (Favorable) Unfavorable Development of Prior Accident Years’ Loss and LAE Reserves on Each Reporting Segment

The impact from the (favorable) unfavorable development of prior accident years’ loss and LAE reserves on each reporting segment is presented below: 

	For the Six Months Ended June 30,
(in millions)	2018			2017
U.S. Operations	$	(4.1	)	$	(18.0	)
International Operations	(3.3		)	19.6
Run-off Lines	3.0			4.1
Total (favorable) unfavorable prior-year development	$	(4.4	)	$	5.7