Liability for Unpaid Losses and Loss Adjustment Expense (Tables)

12 Months Ended

Dec. 31, 2017

Claims Development [Line Items]

Short-duration Insurance Contracts, Claims Development

Commercial Residential Insurance

$ In thousands (except number of reported claims)

	Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance																				As of December 31, 2017
																					Total of IBNR Liabilities Plus Expected Development on Reported Claims		Cumulative Number of Reported Claims
	For the Years Ended December 31,
	Unaudited																Audited
Accident Year	2008		2009		2010		2011		2012		2013		2014		2015		2016		2017
2008	$	12,428	$	3,844	$	1,939	$	2,137	$	2,051	$	2,045	$	1,906	$	1,905	$	1,902	$	1,899	$	—	261
2009	—		11,323		5,233		4,054		3,853		4,182		3,459		3,490		3,489		3,486		—		383
2010	—		—		12,134		5,603		5,374		5,489		4,291		4,160		4,112		4,112		—		580
2011	—		—		—		12,702		11,280		10,197		8,972		9,142		9,030		8,985		52		758
2012	—		—		—		—		11,404		9,540		9,690		9,771		8,671		12,615		40		803
2013	—		—		—		—		—		8,359		6,420		11,826		8,382		7,573		319		742
2014	—		—		—		—		—		—		15,845		15,752		16,311		16,816		1,762		681
2015	—		—		—		—		—		—		—		16,554		20,434		24,568		2,168		849
2016	—		—		—		—		—		—		—		—		38,632		25,599		6,249		1,223
2017	—		—		—		—		—		—		—		—		—		76,910		12,074		3,949
																	Total		$	182,563

	Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
	For the Years Ended December 31,
	Unaudited																Audited
Accident Year	2008		2009		2010		2011		2012		2013		2014		2015		2016		2017
2008	$	700	$	1,619	$	1,678	$	1,665	$	1,897	$	1,927	$	1,902	$	1,902	$	1,900	$	1,899
2009	—		1,639		3,616		3,410		3,415		3,920		3,446		3,471		3,485		3,484
2010	—		—		1,968		3,127		3,461		3,966		3,909		3,909		4,112		4,112
2011	—		—		—		3,541		6,241		7,605		7,846		8,825		8,851		8,933
2012	—		—		—		—		4,583		6,942		6,893		7,543		8,552		12,575
2013	—		—		—		—		—		2,958		5,127		5,317		7,248		7,254
2014	—		—		—		—		—		—		6,379		9,452		13,212		14,420
2015	—		—		—		—		—		—		—		10,188		17,139		20,645
2016	—		—		—		—		—		—		—		—		10,917		16,687
2017	—		—		—		—		—		—		—		—		—		42,744
																	Total		$	132,753
All outstanding liabilities before 2008, net of reinsurance																			—
Liabilities for claims and claim adjustment expenses, net of reinsurance																			$	49,810

Remaining Product Lines

$ In thousands (except number of reported claims)

	Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance																				As of December 31, 2017
																					Total of IBNR Liabilities Plus Expected Development on Reported Claims		Cumulative Number of Reported Claims
	For the Years Ended December 31,
	Unaudited																Audited
Accident Year	2008		2009		2010		2011		2012		2013		2014		2015		2016		2017
2008	$	13,504	$	12,871	$	12,324	$	11,833	$	11,877	$	12,661	$	12,761	$	12,885	$	12,884	$	12,883	$	—	1,173
2009	—		10,610		10,135		10,093		10,026		9,902		9,844		9,837		10,009		10,007		—		1,097
2010	—		—		9,911		11,042		10,733		11,126		11,020		11,105		11,072		11,072		—		1,161
2011	—		—		—		11,126		11,022		10,896		10,630		10,575		10,740		10,741		—		1,217
2012	—		—		—		—		10,760		9,651		9,350		9,412		9,147		9,138		12		1,063
2013	—		—		—		—		—		6,657		5,817		5,401		5,736		5,857		16		554
2014	—		—		—		—		—		—		9,073		7,927		8,016		7,956		54		687
2015	—		—		—		—		—		—		—		19,669		19,723		19,352		151		1,382
2016	—		—		—		—		—		—		—		—		17,053		17,898		564		84
2017	—		—		—		—		—		—		—		—		—		46,892		3,455		13
																	Total		$	151,796

	Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
	For the Years Ended December 31,
	Unaudited																Audited
Accident Year	2008		2009		2010		2011		2012		2013		2014		2015		2016		2017
2008	$	6,169	$	9,309	$	10,647	$	11,104	$	11,404	$	12,360	$	12,403	$	12,557	$	12,884	$	12,883
2009	—		4,807		7,507		8,470		9,062		9,471		9,570		9,688		10,009		10,007
2010	—		—		4,346		8,128		9,036		10,182		10,242		10,327		11,073		11,072
2011	—		—		—		4,587		8,013		9,444		9,837		10,128		10,740		10,741
2012	—		—		—		—		5,112		7,631		8,242		8,626		9,124		9,126
2013	—		—		—		—		—		2,925		4,496		4,811		5,566		5,626
2014	—		—		—		—		—		—		4,008		6,237		7,868		7,898
2015	—		—		—		—		—		—		—		11,104		18,129		18,817
2016	—		—		—		—		—		—		—		—		12,432		16,116
2017	—		—		—		—		—		—		—		—		—		37,127
																	Total		$	139,413
All outstanding liabilities before 2008, net of reinsurance																			1
Liabilities for claims and claim adjustment expenses, net of reinsurance																			$	12,384

Homeowners’ Insurance

$ In thousands (except number of reported claims)

	Incurred Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance																				As of December 31, 2017
																					Total of IBNR Liabilities Plus Expected Development on Reported Claims			Cumulative Number of Reported Claims
	For the Years Ended December 31,
	Unaudited																Audited
Accident Year	2008		2009		2010		2011		2012		2013		2014		2015		2016		2017
2008	$	30,073	$	28,126	$	27,174	$	27,161	$	27,358	$	27,597	$	27,564	$	27,468	$	27,453	$	27,463	$	—		3,220
2009	—		46,952		46,089		45,515		45,583		45,316		45,116		44,959		44,996		44,617		40			4,150
2010	—		—		51,144		51,292		51,862		52,239		51,685		51,841		51,674		51,836		4			5,090
2011	—		—		—		53,878		56,840		57,670		58,047		59,517		60,215		60,288		(47		)	6,217
2012	—		—		—		—		65,112		69,438		68,923		68,388		69,000		69,064		18			11,025
2013	—		—		—		—		—		98,461		94,755		93,041		92,702		92,792		385			8,331
2014	—		—		—		—		—		—		130,090		130,488		131,402		132,096		1,427			12,750
2015	—		—		—		—		—		—		—		181,609		195,902		195,864		3,359			18,914
2016	—		—		—		—		—		—		—		—		249,276		250,774		10,112			29,705
2017	—		—		—		—		—		—		—		—		—		208,537		44,937			55,410
																	Total		$	1,133,331

Accident Year	Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance
	For the Years Ended December 31,
	Unaudited																Audited
	2008		2009		2010		2011		2012		2013		2014		2015		2016		2017
2008	$	17,915	$	23,806	$	25,264	$	26,360	$	27,044	$	27,358	$	27,390	$	27,445	$	27,451	$	27,461
2009	—		31,525		41,134		43,149		44,114		44,413		44,737		44,898		44,966		44,577
2010	—		—		32,993		43,932		46,711		49,256		50,215		50,704		51,163		51,435
2011	—		—		—		36,419		48,558		52,412		55,532		58,069		59,461		59,806
2012	—		—		—		—		42,699		60,640		64,675		66,739		68,337		68,655
2013	—		—		—		—		—		63,732		85,346		89,068		90,627		91,789
2014	—		—		—		—		—		—		88,375		119,612		125,951		129,636
2015	—		—		—		—		—		—		—		123,888		174,993		188,199
2016	—		—		—		—		—		—		—		—		170,527		232,266
2017	—		—		—		—		—		—		—		—		—		138,112
																	Total		$	1,031,936
All outstanding liabilities before 2008, net of reinsurance																			149
Liabilities for claims and claim adjustment expenses, net of reinsurance																			$	101,544

Schedule of Liability for Unpaid Claims and Claims Adjustment Expense

The table below shows the analysis of our reserve for unpaid losses for each of our last three fiscal years on a GAAP basis:

	2017			2016		2015
Balance at January 1	$	140,855		$	76,792	$	54,436
Less: reinsurance recoverable on unpaid losses	18,724			2,114		1,252
Net balance at January 1	$	122,131		$	74,678	$	53,184
Acquired reserves, net of recoverables(1)	40,299			22,576		2,390
Incurred related to:
Current year	368,148			281,365		185,476
Prior years	(2,613		)	16,988		(2,368		)
Total incurred	$	365,535		$	298,353	$	183,108
Paid related to:
Current year	256,134			210,970		127,306
Prior years	95,272			62,506		36,698
Total paid	$	351,406		$	273,476	$	164,004
Net balance at December 31	$	176,559		$	122,131	$	74,678
Plus: reinsurance recoverable on unpaid losses	305,673			18,724		2,114
Balance at December 31	$	482,232		$	140,855	$	76,792
Composition of reserve for unpaid losses and LAE:
Case reserves	$	236,253		$	83,447	$	45,502
IBNR reserves	245,979			57,408		31,290
Balance at December 31	$	482,232		$	140,855	$	76,792

Short-duration Insurance Contracts, Schedule of Historical Claims Duration

The following is supplementary information about average historical claims duration as of December 31, 2017.

Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance
Unaudited
Years	1		2		3		4		5		6		7		8		9		10
	65.2	%	22.8	%	5.1	%	3.4	%	2.1	%	1.1	%	0.5	%	0.3	%	(0.4	)%	—	%

The following is supplementary information about average historical claims duration as of December 31, 2017.

Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance
Unaudited
Years	1		2		3		4		5		6		7		8		9		10
	42.0	%	30.7	%	7.0	%	7.5	%	7.4	%	4.0	%	1.3	%	0.1	%	(0.1	)%	(0.1	)%

The following is supplementary information about average historical claims duration as of December 31, 2017.

Average Annual Percentage Payout of Incurred Claims by Age, Net of Reinsurance
Unaudited
Years	1		2		3		4		5		6		7		8		9		10
	51.0	%	25.8	%	6.9	%	5.9	%	2.7	%	3.0	%	2.1	%	1.5	%	1.3	%	—	%

Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability

The reconciliation of the net incurred and paid claims development tables to the liability for claims and claim adjustment expenses in the consolidated statement of financial position is as follows.

	December 31,
	2017		2016
Net outstanding liabilities
Personal Homeowners’ Only	$	101,544	$	109,320
Commercial Residential Only	49,810		566
All other lines of business	12,384		6,031
Liabilities for unpaid claims and claim adjustment expenses, net of reinsurance	$	163,738	$	115,917
Reinsurance recoverable on unpaid claims
Personal Homeowners’ Only	$	131,581	$	14,223
Commercial Residential Only	165,313		—
All other lines of business	8,779		4,501
Total reinsurance recoverable on unpaid claims	$	305,673	$	18,724
Unallocated claims adjustment expenses	12,821		6,214
Total gross liability for unpaid claims and claims adjustment expense	$	482,232	$	140,855