RESERVE FOR LOSSES AND LOSS EXPENSES (Tables)

6 Months Ended

Jun. 30, 2020

Insurance [Abstract]

RECONCILIATION OF BEGINNING AND ENDING GROSS RESERVE FOR LOSSES AND LOSS EXPENSES AND NET RESERVE FOR UNPAID LOSSES AND LOSS EXPENSES

The following table presents a reconciliation of the Company's beginning and ending gross reserve for losses and loss expenses and net reserves for unpaid losses and loss expenses:

	Six months ended June 30,
	2020		2019
Gross reserve for losses and loss expenses, beginning of period	$	12,752,081	$	12,280,769
Less reinsurance recoverable on unpaid losses and loss expenses, beginning of period	(3,877,756)		(3,501,669)
Net reserve for unpaid losses and loss expenses, beginning of period	8,874,325		8,779,100
Net incurred losses and loss expenses related to:
Current year	1,593,102		1,374,784
Prior years	(8,767)		(38,293)
	1,584,335		1,336,491
Net paid losses and loss expenses related to:
Current year	(89,724)		(132,111)
Prior years	(1,271,987)		(1,304,413)
	(1,361,711)		(1,436,524)
Foreign exchange and other	(78,304)		10,832
Net reserve for unpaid losses and loss expenses, end of period	9,018,645		8,689,899
Reinsurance recoverable on unpaid losses and loss expenses, end of period	4,160,521		3,564,812
Gross reserve for losses and loss expenses, end of period	$	13,179,166	$	12,254,711

NET PRIOR YEAR RESERVE DEVELOPMENT BY SEGMENT

The Company's net favorable prior year reserve development arises from changes to estimates of losses and loss expenses related to loss events that occurred in previous calendar years. The following table presents net prior year reserve development by segment:

	Three months ended June 30,				Six months ended June 30,
	2020		2019		2020		2019
Insurance	$	420	$	21,326	$	4,251	$	28,240
Reinsurance	2,235		2,295		4,516		10,053
Total	$	2,655	$	23,621	$	8,767	$	38,293

SCHEDULE OF THE LINE OF BUSINESS CATEGORIES AND THE EXPECTED CLAIM TAILS

The following tables map the Company's lines of business to reserve classes and the expected claim tails:

Insurance segment
	Reserve class and tail
	Property and other	Marine	Aviation	Credit and political risk	Professional lines	Liability
	Short	Short	Short/Medium	Medium	Medium	Long
Reported lines of business
Property	X
Marine		X
Terrorism	X
Aviation			X
Credit and political risk				X
Professional lines					X
Liability						X
Accident and health	X
Discontinued lines - Novae	X				X	X

Reinsurance segment
	Reserve class and tail
	Property and other	Credit and surety	Professional lines	Motor	Liability
	Short	Medium	Medium	Long	Long
Reported lines of business
Catastrophe	X
Property	X
Credit and surety		X
Professional lines			X
Motor				X
Liability					X
Engineering	X
Agriculture	X
Marine and other	X
Accident and health	X
Discontinued lines - Novae	X			X	X