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Reinsurance and Other Monoline Exposures (Tables)
 3 Months Ended
Mar. 31, 2013
Reinsurance and Other Monoline Exposures [abstract]  
Net Effect of Commutations and Cancellations of Reinsurance Contracts
Net Effect of Commutations of Ceded and
Cancellations of Assumed Reinsurance Contracts 

 
First Quarter
 
2013
 
2012
 
(in millions)
Increase (decrease) in net unearned premium reserve
$
—

 
$
106

Increase (decrease) in net par outstanding
—

 
19,073
Direct, assumed, and ceded premium and loss and LAE amounts
Effect of Reinsurance on Statement of Operations 

 
First Quarter
 
2013
 
2012
 
(in millions)
Premiums Written:
 
 
 
Direct
$
19

 
$
62

Assumed(1)
(2
)
 
26

Ceded(2)
(2
)
 
87

Net
$
15

 
$
175

Premiums Earned:
 
 
 
Direct
$
267

 
$
206

Assumed
13

 
14

Ceded
(32
)
 
(26
)
Net
$
248

 
$
194

Loss and LAE:
 
 
 
Direct
$
(27
)
 
$
304

Assumed
(14
)
 
17

Ceded
(7
)
 
(79
)
Net
$
(48
)
 
$
242

____________________
(1)
Negative assumed premiums written were due to changes in expected Debt Service schedules.

(2)
Positive ceded premiums written were due to commutations and changes in expected Debt Service schedules.
Exposure by Reinsurer
Exposure by Reinsurer
 
 
 
Ratings at
 
Par Outstanding
 
 
May 9, 2013
 
As of March 31, 2013
Reinsurer
 
Moody’s
Reinsurer
Rating
 
S&P
Reinsurer
Rating
 
Ceded Par
Outstanding(1)
 
Second-to-
Pay Insured
Par
Outstanding
 
Assumed Par
Outstanding
 
 
(dollars in millions)
American Overseas Reinsurance Company Limited (f/k/a Ram Re)
 
WR(2)
 
WR
 
$
9,387

 
$
—

 
$
24

Tokio Marine & Nichido Fire Insurance Co., Ltd.
 
Aa3(3)
 
AA-(3)
 
7,938

 
—

 
—

Radian Asset Assurance Inc.
 
Ba1
 
B+
 
5,002

 
42

 
1,331

Syncora Guarantee Inc.
 
WR
 
WR
 
4,001

 
1,886

 
162

Mitsui Sumitomo Insurance Co. Ltd.
 
A1
 
A+(3)
 
2,213

 
—

 
—

ACA Financial Guaranty Corp.
 
NR
 
WR
 
819

 
6

 
1

Swiss Reinsurance Co.
 
A1
 
AA-
 
426

 
—

 
—

Ambac
 
WR
 
WR
 
85

 
6,669

 
20,040

CIFG Assurance North America Inc. ("CIFG")
 
WR
 
WR
 
61

 
255

 
5,392

MBIA Inc.
 
(4)
 
(4)
 
—

 
10,616

 
7,834

Financial Guaranty Insurance Co.
 
WR
 
WR
 
—

 
3,052

 
1,932

Other
 
Various
 
Various
 
997

 
1,935

 
45

Total
 
 
 
 
 
$
30,929

 
$
24,461

 
$
36,761

____________________
(1)
Includes $3,720 million in ceded par outstanding related to insured credit derivatives.
  
(2)    Represents “Withdrawn Rating.”
 
(3)    The Company has structural collateral agreements satisfying the triple-A credit requirement of S&P and/or Moody’s.

(4)
MBIA Inc. includes various subsidiaries which are rated BB, CCC, WR by S&P and Caa2, B3, Baa2, WR and NR by Moody’s.
Amounts Due (To) From Reinsurers
Amounts Due (To) From Reinsurers
As of March 31, 2013
 
 
Assumed
Premium, net
of Commissions
 
Ceded
Premium, net
of Commissions
 
Assumed
Expected
Loss and LAE
 
Ceded
Expected
Loss and LAE
 
(in millions)
American Overseas Reinsurance Company Limited
$
—

 
$
(11
)
 
$
—

 
$
6

Tokio Marine & Nichido Fire Insurance Co., Ltd.
—

 
(25
)
 
—

 
30

Radian Asset Assurance Inc.
—

 
(19
)
 
—

 
(4
)
Syncora Guarantee Inc.
—

 
(40
)
 
19

 
1

Mitsui Sumitomo Insurance Co. Ltd.
—

 
(5
)
 
—

 
7

Swiss Reinsurance Co.
—

 
(3
)
 
—

 
2

Ambac
73

 
—

 
(71
)
 
—

CIFG
—

 
—

 
—

 
4

MBIA Inc.
—

 
—

 
(17
)
 
—

Financial Guaranty Insurance Co.
8

 
—

 
(35
)
 
—

Other
—

 
(42
)
 
—

 
—

Total
$
81

 
$
(145
)
 
$
(104
)
 
$
46