Reserve For Losses And Loss Expenses (Tables)

12 Months Ended

Dec. 31, 2013

Components of liabilty for unpaid losses and loss expenses

The reserve for losses and loss expenses consists of the following:



	December 31,
	2013		2012
Outstanding loss reserves	$	1,520,867	$	1,539,114
Reserves for losses incurred but not reported	4,245,662		4,106,435
Reserve for losses and loss expenses	$	5,766,529	$	5,645,549

Reconciliation of beginning and ending liability for unpaid losses and loss expenses

The table below is a reconciliation of the beginning and ending liability for unpaid losses and loss expenses. Losses incurred and paid are reflected net of reinsurance recoverables.



	Year Ended December 31,
	2013			2012			2011
Gross liability at beginning of year	$	5,645,549		$	5,225,143		$	4,879,188
Reinsurance recoverable at beginning of year	(1,141,110		)	(1,002,919		)	(927,588		)
Net liability at beginning of year	4,504,439			4,222,224			3,951,600
Net losses incurred related to:
Commutation of variable-rated reinsurance contracts	—			—			11,529
Current year	1,303,573			1,309,613			1,201,155
Prior years	(180,331		)	(170,349		)	(253,528		)
Total incurred	1,123,242			1,139,264			959,156
Net paid losses related to:
Current year	115,669			117,123			142,162
Prior years	973,987			743,844			542,649
Total paid	1,089,656			860,967			684,811
Foreign exchange revaluation	(6,000		)	3,918			(3,721		)
Net liability at end of year	4,532,025			4,504,439			4,222,224
Reinsurance recoverable at end of year	1,234,504			1,141,110			1,002,919
Gross liability at end of year	$	5,766,529		$	5,645,549		$	5,225,143