Loss and Loss Adjustment Expense Reserves (Tables)

12 Months Ended

Dec. 31, 2019

Loss and Loss Adjustment Expense Reserves

Schedule of reconciliation of beginning and ending reserves for losses and loss adjustment expenses (LAE)

	Year Ended December 31,
	2019		2018			2017
Reserves for losses and LAE at beginning of year	$	584,719	$	574,054	$	560,321
Less receivable from reinsurers related to unpaid losses and LAE		(108,398)		(83,085)		(83,724)
Net reserves for losses and LAE at beginning of year		476,321		490,969		476,597
Incurred losses and LAE, related to:
Current year		551,895		542,001		545,671
Prior years		(42,049)		(56,488)		(41,784)
Total incurred losses and LAE		509,846		485,513		503,887
Paid losses and LAE related to:
Current year		333,377		340,927		325,049
Prior years		164,596		159,234		164,466
Total paid losses and LAE		497,973		500,161		489,515
Net reserves for losses and LAE at end of period		488,194		476,321		490,969
Plus receivable from reinsurers related to unpaid losses and LAE		122,372		108,398		83,085
Reserves for losses and LAE at end of period	$	610,566	$	584,719	$	574,054

Schedule of incurred and paid claims development

Private Passenger Automobile Liability
Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance											As of December 31, 2019
		For the Years Ended December 31,									Total of Incurred-but-Not-Reported Liabilities Plus Expected Development of Reported Claims	Cumulative Number of Reported Claims
Accident Year	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 169,426	$ 172,558	$ 171,978	$ 170,089	$ 166,195	$ 164,723	$ 163,206	$ 162,679	$ 161,236	$ 161,212	$ -	54,933
2011		176,727	176,906	176,906	175,209	172,957	171,852	170,732	168,671	168,625	-	56,124
2012			175,262	175,189	174,856	170,379	167,831	166,008	163,350	162,448	(334)	53,273
2013				183,367	183,517	183,264	181,492	179,167	176,713	175,684	(1,155)	54,248
2014					187,305	187,104	186,798	183,119	181,312	179,251	(1,531)	52,787
2015						190,036	190,236	188,317	184,477	181,299	(1,082)	52,976
2016							192,912	192,318	185,009	180,486	(2,625)	49,368
2017								185,673	184,429	182,068	(9,052)	46,154
2018									176,411	175,222	(10,581)	42,785
2019										176,171	(7,596)	37,565
									Total	$ 1,742,466

Private Passenger Automobile Liability
Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
		For the Years Ended December 31,
Accident Year	2010	2011	2012	2013		2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 73,721	$ 126,734	$ 142,688	$ 153,408		$ 157,887	$ 160,192	$ 160,859	$ 161,080	$ 161,114	$ 161,112
2011		76,467	130,018	146,532		158,904	164,413	167,251	168,025	168,585	168,593
2012			74,306	126,553		144,157	152,991	157,443	160,416	161,749	162,014
2013				79,049		135,031	152,472	163,694	169,634	172,736	173,890
2014						79,151	136,434	156,693	166,815	173,163	176,616
2015							76,934	138,255	156,483	168,641	173,816
2016								78,862	137,917	154,964	167,458
2017									77,519	133,037	153,675
2018										72,895	126,456
2019											72,219
										Total	$ 1,535,849
					All outstanding liabilities before 2010, net of reinsurance						347
			Liabilities for claims and claim adjustment expenses, net of reinsurance								$ 206,964

Private Passenger Automobile Physical Damage
Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance											As of December 31, 2019
		For the Years Ended December 31,									Total of Incurred-but-Not-Reported Liabilities Plus Expected Development of Reported Claims	Cumulative Number of Reported Claims
Accident Year	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 101,456	$ 98,463	$ 96,642	$ 96,485	$ 96,385	$ 96,366	$ 96,325	$ 96,323	$ 96,335	$ 96,309	$ -	128,202
2011		118,131	117,951	115,028	113,821	113,765	113,674	113,677	113,640	113,630	-	140,509
2012			108,376	107,912	104,393	103,679	103,575	103,547	103,510	103,491	-	123,639
2013				114,389	114,239	113,034	112,197	112,096	112,060	112,029	-	131,703
2014					123,421	123,622	122,410	122,327	122,341	122,213	(38)	135,006
2015						140,219	136,661	134,101	133,737	133,581	(58)	144,272
2016							129,528	124,922	122,116	121,717	(78)	126,080
2017								128,340	126,304	124,128	(206)	123,989
2018									129,450	130,145	(3,085)	119,644
2019										128,698	(21,574)	113,983
									Total	$ 1,185,941

Private Passenger Automobile Physical Damage
Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
		For the Years Ended December 31,
Accident Year	2010	2011	2012	2013		2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 101,635	$ 98,445	$ 96,587	$ 96,444		$ 96,369	$ 96,335	$ 96,325	$ 96,317	$ 96,306	$ 96,309
2011		126,196	117,152	114,451		113,809	113,719	113,673	113,669	113,640	113,630
2012			111,928	107,017		104,311	103,664	103,573	103,537	103,510	103,491
2013				120,843		115,904	112,894	112,162	112,085	112,060	112,029
2014						130,732	126,414	122,668	122,402	122,350	122,251
2015							143,532	136,760	134,066	133,701	133,639
2016								133,530	124,298	122,023	121,795
2017									132,409	126,822	124,286
2018										138,036	132,591
2019											134,429
										Total	$ 1,194,450
					All outstanding liabilities before 2010, net of reinsurance						-
			Liabilities for claims and claim adjustment expenses, net of reinsurance								$ (8,509)

Commercial Automobile Liability
Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance											As of December 31, 2019
		For the Years Ended December 31,									Total of Incurred-but-Not-Reported Liabilities Plus Expected Development of Reported Claims	Cumulative Number of Reported Claims
Accident Year	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 20,150	$ 19,922	$ 19,493	$ 19,576	$ 19,763	$ 19,285	$ 19,034	$ 18,725	$ 18,495	$ 18,547	$ 10	4,531
2011		23,658	24,298	24,160	24,187	23,649	22,933	22,817	22,759	22,488	25	4,958
2012			23,704	24,447	24,662	24,723	24,572	23,819	22,859	22,476	358	4,566
2013				29,175	29,541	28,377	26,864	26,310	25,986	25,443	421	5,783
2014					34,117	34,105	34,376	33,914	32,948	32,438	53	6,085
2015						35,371	36,150	36,610	37,730	38,015	(620)	7,211
2016							37,954	39,416	40,947	40,916	(821)	6,452
2017								42,865	41,373	41,055	1,263	6,123
2018									41,347	40,115	5,365	5,700
2019										51,679	14,371	4,895
									Total	$ 333,172

Commercial Automobile Liability
Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
		For the Years Ended December 31,
Accident Year	2010	2011	2012	2013		2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 6,466	$ 11,520	$ 13,816	$ 15,821		$ 17,351	$ 17,892	$ 18,113	$ 18,269	$ 18,280	$ 18,297
2011		7,306	14,263	17,807		19,783	20,941	21,913	22,043	22,445	22,463
2012			6,503	12,474		15,617	17,804	18,876	20,601	21,021	22,086
2013				8,502		17,079	19,625	21,129	22,434	23,867	24,507
2014						9,426	17,853	21,968	25,253	27,886	30,420
2015							11,181	21,700	26,018	29,804	31,537
2016								9,991	19,902	25,711	32,274
2017									10,407	20,106	24,409
2018										9,704	18,499
2019											12,113
										Total	$ 236,605
					All outstanding liabilities before 2010, net of reinsurance						-
			Liabilities for claims and claim adjustment expenses, net of reinsurance								$ 96,567

Commercial Automobile Physical Damage
Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance											As of December 31, 2019
		For the Years Ended December 31,									Total of Incurred-but-Not-Reported Liabilities Plus Expected Development of Reported Claims	Cumulative Number of Reported Claims
Accident Year	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 10,048	$ 9,963	$ 9,893	$ 9,892	$ 10,077	$ 9,955	$ 9,916	$ 9,990	$ 9,990	$ 10,025	$ -	10,664
2011		11,511	11,151	11,031	10,960	10,952	10,910	10,952	11,024	11,048	-	11,488
2012			10,382	10,382	10,331	10,249	10,250	10,208	10,209	10,226	-	9,913
2013				13,666	13,567	13,298	13,180	13,057	13,047	13,071	5	12,298
2014					17,426	16,925	15,455	15,419	15,353	15,381	5	13,545
2015						20,223	19,047	19,021	18,974	18,641	100	15,468
2016							20,216	18,506	17,909	17,808	96	13,593
2017								19,691	19,200	19,021	103	13,112
2018									21,230	19,937	91	12,897
2019										20,039	220	12,010
									Total	$ 155,197

Commercial Automobile Physical Damage
Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
		For the Years Ended December 31,
Accident Year	2010	2011	2012	2013		2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 9,398	$ 10,219	$ 10,053	$ 10,039		$ 10,028	$ 10,025	$ 10,027	$ 10,026	$ 10,026	$ 10,025
2011		11,006	11,119	11,092		11,060	11,055	11,053	11,050	11,049	11,048
2012			9,707	10,553		10,270	10,242	10,239	10,235	10,228	10,226
2013				12,665		13,378	13,114	13,074	13,065	13,060	13,066
2014						15,377	15,862	15,424	15,388	15,381	15,376
2015							17,787	18,910	18,667	18,549	18,541
2016								17,228	18,143	17,763	17,712
2017									17,957	19,336	18,915
2018										18,842	19,842
2019											18,128
										Total	$ 152,879
					All outstanding liabilities before 2010, net of reinsurance						-
			Liabilities for claims and claim adjustment expenses, net of reinsurance								$ 2,318

Homeowners Liability
Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance											As of December 31, 2019
		For the Years Ended December 31,									Total of Incurred-but-Not-Reported Liabilities Plus Expected Development of Reported Claims	Cumulative Number of Reported Claims
Accident Year	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 5,591	$ 5,422	$ 5,422	$ 4,888	$ 4,717	$ 4,098	$ 3,735	$ 3,612	$ 3,457	$ 3,457	$ -	217
2011		6,260	7,644	7,644	7,531	6,923	6,017	5,546	4,845	4,845	-	304
2012			7,514	7,514	7,514	6,464	5,304	4,331	3,824	3,889	-	249
2013				9,768	9,768	9,337	7,578	5,978	5,312	5,147	(79)	264
2014					11,494	11,494	9,738	7,388	7,120	6,984	92	261
2015						12,965	12,555	9,908	9,201	9,201	(483)	287
2016							10,594	10,594	10,594	9,847	867	272
2017								11,276	10,058	9,328	346	265
2018									9,951	9,951	(1,402)	242
2019										14,130	5,132	208
									Total	$ 76,779

Homeowners Liability
Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
		For the Years Ended December 31,
Accident Year	2010	2011	2012	2013		2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 963	$ 1,420	$ 2,684	$ 2,890		$ 3,214	$ 3,425	$ 3,472	$ 3,457	$ 3,457	$ 3,457
2011		235	1,969	3,459		4,336	4,497	4,536	4,758	4,769	4,769
2012			1,389	2,063		2,308	2,731	3,029	3,600	3,606	3,646
2013				527		2,337	3,080	3,493	3,829	4,038	4,209
2014						340	1,834	3,212	4,200	4,828	6,315
2015							428	3,319	4,267	5,205	6,445
2016								647	2,669	4,257	5,387
2017									305	1,676	2,913
2018										551	2,039
2019											1,634
										Total	$ 40,814
					All outstanding liabilities before 2010, net of reinsurance						3
			Liabilities for claims and claim adjustment expenses, net of reinsurance								$ 35,968

Homeowners Property Damage
Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance											As of December 31, 2019
		For the Years Ended December 31,									Total of Incurred-but-Not-Reported Liabilities Plus Expected Development of Reported Claims	Cumulative Number of Reported Claims
Accident Year	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 45,342	$ 44,550	$ 43,021	$ 40,868	$ 39,921	$ 39,658	$ 39,501	$ 39,501	$ 39,097	$ 39,097	$ 173	6,685
2011		95,586	98,021	97,571	94,657	93,914	93,186	92,595	92,388	92,387	204	15,116
2012			50,351	49,911	47,392	44,380	43,097	42,382	41,895	41,887	148	6,051
2013				56,298	56,199	55,722	52,464	51,077	49,973	49,463	100	5,698
2014					59,160	60,213	59,751	57,331	55,127	54,607	284	6,077
2015						152,586	152,049	162,377	162,788	162,722	434	20,075
2016							67,116	66,442	64,208	61,262	1,334	5,419
2017								80,736	76,560	70,689	316	6,006
2018									83,443	82,581	(3,163)	8,223
2019										77,976	2,127	5,184
									Total	$ 732,671

Homeowners Property Damage
Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
		For the Years Ended December 31,
Accident Year	2010	2011	2012	2013		2014	2015	2016	2017	2018	2019
	(Unaudited)
2010	$ 25,761	$ 37,447	$ 38,790	$ 39,110		$ 39,145	$ 39,203	$ 39,235	$ 39,235	$ 38,923	$ 38,923
2011		71,532	89,741	92,184		92,462	92,444	92,333	92,182	92,182	92,182
2012			30,801	40,681		41,960	41,737	41,782	41,789	41,736	41,736
2013				38,661		48,456	49,702	49,612	49,653	49,620	49,328
2014						40,409	52,161	54,088	54,224	54,262	54,274
2015							112,563	145,337	160,572	161,745	161,773
2016								44,103	57,238	59,155	59,449
2017									46,366	64,401	66,181
2018										57,704	70,959
2019											49,121
										Total	$ 683,926
					All outstanding liabilities before 2010, net of reinsurance						506
			Liabilities for claims and claim adjustment expenses, net of reinsurance								$ 49,251

Schedule of unaudited supplementary information related to incurred and paid claims development

Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance (Unaudited)
Years	1	2	3	4	5	6	7	8	9	10
Private Passenger Automobile Liability	43.7%	32.0%	10.3%	6.5%	3.1%	1.7%	0.6%	0.2%	0.0%	0.0%
Private Passenger Automobile Physical Damage	107.4%	-5.1%	-2.3%	-0.4%	-0.1%	0.0%	0.0%	0.0%	0.0%	0.0%
Commercial Automobile Liability	27.5%	26.3%	12.5%	10.6%	5.9%	5.9%	1.6%	2.6%	0.1%	0.1%
Commercial Automobile Physical Damage	95.4%	5.5%	-1.9%	-0.3%	-0.1%	0.0%	0.0%	0.0%	0.0%	0.0%
Homeowners Liability	9.1%	22.3%	16.9%	11.5%	8.9%	10.4%	2.6%	0.3%	0.0%	0.0%
Homeowners Property Damage	70.6%	21.2%	4.8%	0.4%	0.0%	0.0%	-0.2%	0.0%	-0.2%	0.0%

Schedule of reconciliation of the disclosure of Incurred and Paid Claims Development to the Liability for Unpaid claims and Claims Adjustment Expenses

Reconciliation of the Disclosure of Incurred and Paid Claims Development to the Liability for Unpaid claims and Claim Adjustment Expenses
		December 31, 2019
Net outstanding liabilities
Private Passenger Automobile Liability	$	206,964
Private Passenger Automobile Physical Damage		(8,509)
Commercial Automobile Liability		96,567
Commercial Automobile Physical Damage		2,318
Homeowners Liability		35,968
Homeowners Property Damage		49,251
Other Short-Duration Insurance Lines		75,455
Liabilities for unpaid claims and claim adjustment expenses, net of reinsurance	$	458,014
Reinsurance recoverable on unpaid claims
Private Passenger Automobile Liability	$	238
Private Passenger Automobile Physical Damage		-
Commercial Automobile Liability		116,756
Commercial Automobile Physical Damage		2,255
Homeowners Liability		-
Homeowners Property Damage		1
Other Short-Duration Insurance Lines		3,122
Total reinsurance recoverable on unpaid claims	$	122,372
Unallocated claims adjustment expenses		30,180
Total gross liability for unpaid claims and claim adjustment expenses	$	610,566