Income Taxes (Tables)

9 Months Ended

Sep. 30, 2020

Schedule of Pre-Tax Income (Loss) and Effective Income Tax Rates

For the three and nine months ended September 30, 2020 and 2019, pre-tax income (loss) attributable to our operations and the corresponding operations’ effective tax rates were as follows:


	For the Three Months Ended September 30,
	2020					2019
(in millions)	Pre-Tax Income (Loss)			Effective Tax Rate		Pre-Tax Income (Loss)			Effective Tax Rate
Bermuda	$	2.4		—	%	$	(7.8)		—	%
United States	7.4			81.6	%	7.7			16.4	%
United Kingdom	(38.1)			15.4	%	(17.9)			13.1	%
Belgium	0.2			22.8	%	(0.1)			28.6	%
Brazil	0.3			—	%	1.2			—	%
United Arab Emirates	0.4			—	%	—		(1)	—	%
Ireland	—		(1)	—	%	—		(1)	—	%
Italy	(0.9)			—	%	(3.6)			—	%
Malta	(1.1)			—	%	(5.6)			—	%
Switzerland	—		(1)	—	%	(0.1)			1.0	%
Pre-tax loss	$	(29.4)		(0.7)	%	$	(26.2)		4.1	%

(1) Pre-tax income (loss) for the respective year was less than $0.1 million.


	For the Nine Months Ended September 30,
	2020					2019
	Pre-Tax Income (Loss)			Effective Tax Rate		Pre-Tax Income (Loss)		Effective Tax Rate
Bermuda	$	(50.3)		—	%	$	39.1	—	%
United States	64.6			24.7	%	99.5		14.6	%
United Kingdom	(65.6)			9.9	%	(30.3)		19.2	%
Belgium	0.2			25.3	%	(0.4)		29.4	%
Brazil	3.2			—	%	5.0		—	%
United Arab Emirates	1.8			—	%	0.3		—	%
Ireland	(0.1)			—	%	(0.1)		—	%
Italy	0.7			—	%	(4.1)		—	%
Malta	0.2			—	%	(5.4)		—	%
Switzerland	—		(1)	—	%	(0.1)		0.9	%
Pre-tax (loss) income	$	(45.3)		(21.0)	%	$	103.5	8.4	%

(1) Pre-tax income (loss) for the respective year was less than $0.1 million.

Reconciliation of Difference Between Provision for Income Taxes and Expected Tax Provision at Weighted Average Tax Rate

A reconciliation of the difference between the provision for income taxes and the expected tax provision at the weighted average tax rate is as follows:


	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
(in millions)	2020			2019			2020		2019
Income tax provision (benefit) at expected rate	$	(6.5)		$	(4.1)		$	2.8	$	14.4
Tax effect of:
Nontaxable investment income	(0.2)			(0.4)			(0.5)		(1.1)
Foreign exchange adjustments	0.7			0.7			0.1		1.3
Goodwill	—		(1)	—			1.0		—
Withholding taxes	—		(1)	—		(1)	0.1		0.2
Prior period adjustments	0.9			—		(1)	0.9		(1.8)
Change in uncertain tax position liability	2.7			—			2.7		—
Change in valuation allowance	1.2			2.2			1.2		1.6
Other	1.4			0.5			1.2		(6.0)
Income tax provision (benefit)	$	0.2		$	(1.1)		$	9.5	$	8.6

(1) Tax effect of the adjustment for the respective year was less than $0.1 million.