Allowance for Credit Losses

12 Months Ended

Dec. 31, 2024

Premiums receivable

The following table represents the balances of premiums receivable, net of allowance for estimated uncollectible premiums, including expected lifetime credit losses, and the changes in the allowance for the respective periods:


(in millions)	Premiums Receivable, Net of Allowance for Estimated Uncollectible Premiums		Allowance for Estimated Uncollectible Premiums
	Successor
Balance, November 16, 2023	$	306.8	$	—
Current period change for estimated uncollectible premiums			3.3
Write-offs of uncollectible premiums receivable			(0.3)
Balance, December 31, 2023	$	230.7	$	3.0
Current period change for estimated uncollectible premiums			6.9
Write-offs of uncollectible premiums receivable			(2.1)
Balance, December 31, 2024	$	179.5	$	7.8

	Predecessor
Balance, December 31, 2022	$	292.0	$	4.7
Current period change for estimated uncollectible premiums			5.4
Write-offs of uncollectible premiums receivable			(2.7)
Balance, November 15, 2023	$	306.8	$	7.4

Reinsurance Recoverables

The following table presents the balances of reinsurance recoverables, net of the allowance for estimated uncollectible reinsurance, including expected credit losses, and changes in the allowance for the respective periods:


(in millions)	Reinsurance Recoverables, Net of Allowance for Estimated Uncollectible Reinsurance		Allowance for Estimated Uncollectible Reinsurance
	Successor
Balance, November 16, 2023	$	2,981.6	$	—
Balance, December 31, 2023	$	2,959.3	$	—
Current period change for estimated uncollectible reinsurance			5.8
Balance, December 31, 2024	$	3,053.2	$	5.8

	Predecessor
Balance, December 31, 2022	$	3,029.1	$	4.7
Balance, November 15, 2023	$	2,981.6	$	4.7

We primarily utilize A.M. Best credit ratings when determining the allowance, adjusted as needed based on our historical experience with the reinsurers. Certain of our reinsurance recoverables are collateralized by letters of credit, funds held or trust agreements.