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Supplemental Financial Statement Information
 9 Months Ended
Sep. 30, 2020
Additional Financial Information Disclosure [Abstract]  
Supplemental Financial Statement Information Supplemental Financial Statement Information
Cash Equivalents and Investments
The following tables summarize the cost or amortized cost, gross unrealized gain, gross unrealized loss and fair value of the Company’s cash equivalents and investments as of the dates indicated (in thousands):
September 30, 2020
Cost or
Amortized
Cost		UnrealizedEstimated
Fair Value
GainsLosses
Unrestricted Balances(1)
Money market funds$— $— $— $— 
Money market deposit accounts203,835 — — 203,835 
Term deposits621,000 — — 621,000 
Certificates of deposit627,248 427 (9)627,666 
Commercial paper417,788 114 — 417,902 
Corporate bonds363,084 636 (19)363,701 
Total unrestricted cash equivalents and investments2,232,955 1,177 (28)2,234,104 
Restricted Balances(2)
Money market funds35,323 — — 35,323 
Money market deposit accounts8,605 — — 8,605 
Term deposits7,811 — — 7,811 
Certificates of deposit535,800 473 (4)536,269 
Commercial paper460,380 102 (7)460,475 
Corporate bonds201,488 341 (12)201,817 
U.S. treasury securities2,499 — — 2,499 
Total restricted cash equivalents and investments1,251,906 916 (23)1,252,799 
Total unrestricted and restricted cash equivalents and investments$3,484,861 $2,093 $(51)$3,486,903 
_______________
(1)Excludes $219.3 million of cash, which is included within the $2.5 billion of cash and cash equivalents and short-term investments on the condensed consolidated balance sheets.
(2)Excludes $63.1 million of restricted cash, which is included within the $1.3 billion of restricted cash and cash equivalents and restricted short-term investments on the condensed consolidated balance sheets.
December 31, 2019
Cost or
Amortized
Cost		UnrealizedEstimated
Fair Value
GainsLosses
Unrestricted Balances(1)
Money market deposit accounts$217,523 $— $— $217,523 
Term deposits135,000 — — 135,000 
Certificates of deposit1,275,750 887 (43)1,276,594 
Commercial paper876,382 181 (68)876,495 
Corporate bonds247,359 219 — 247,578 
Total unrestricted cash equivalents and short-term investments2,752,014 1,287 (111)2,753,190 
Restricted Balances(2)
Money market funds19,250 — — 19,250 
Money market deposit accounts7,884 — — 7,884 
Term deposits7,811 — — 7,811 
Certificates of deposit608,578 262 (12)608,828 
Commercial paper791,087 165 (97)791,155 
Corporate bonds75,828 80 — 75,908 
Total restricted cash equivalents and investments1,510,438 507 (109)1,510,836 
Total unrestricted and restricted cash equivalents and investments$4,262,452 $1,794 $(220)$4,264,026 
_______________
(1)Excludes $96.9 million of cash, which is included within the $2.9 billion of cash and cash equivalents and short-term investments on the condensed consolidated balance sheets.
(2)Excludes $56.4 million of restricted cash, which is included within the $1.6 billion of restricted cash and cash equivalents and restricted short-term investments on the condensed consolidated balance sheets.
The Company’s short-term investments consist of available-for-sale debt securities and term deposits. The term deposits are at cost, which approximates fair value.
The weighted-average remaining maturity of the Company’s investment portfolio was less than one year as of the periods presented. No individual security incurred continuous unrealized losses for greater than 12 months.
The Company purchases investment grade marketable debt securities which are rated by nationally recognized statistical rating organizations in accordance with its investment policy. This policy is designed to minimize the Company's exposure to credit losses. As of September 30, 2020, the credit-quality of the Company’s marketable available-for-sale debt securities had remained stable. The unrealized losses recognized on marketable available-for-sale debt securities as of September 30, 2020 was primarily related to the extreme market volatility associated with COVID-19. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the amortized cost basis of the investments and it is not expected that the investments would be settled at a price less than their amortized cost basis. The Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost basis. The Company is not aware of any specific event or circumstance that would require the Company to change its assessment of credit losses for any marketable available-for-sale debt security as of September 30, 2020. These estimates may change, as new events occur and additional information is obtained, and will be recognized in the condensed consolidated financial statements as soon as they become known. No credit losses were recognized as of September 30, 2020 for the Company’s marketable and non-marketable debt securities.
The following table summarizes the Company’s available-for-sale debt securities in an unrealized loss position for which no allowance for credit losses was recorded, aggregated by major security type (in thousands):
September 30, 2020
Estimated Fair ValueUnrealized Losses
Certificates of deposit$79,737 $(13)
Corporate bonds 127,727 (31)
Commercial paper55,398 (7)
Total available-for-sale debt in an unrealized loss position $262,862 $(51)
Accrued and Other Current Liabilities
Accrued and other current liabilities consisted of the following as of the dates indicated (in thousands):
September 30, 2020December 31, 2019
Ride-related accruals$169,530 $253,840 
Insurance-related accruals261,994 218,161 
Legal accruals210,681 162,766 
Insurance claims payable and related fees72,289 87,357 
Long-term debt, current36,514 — 
Other296,540 217,741 
Accrued and other current liabilities$1,047,548 $939,865 
Insurance Reserves
The following table provides a rollforward of the insurance reserve for the periods presented (in thousands):
Nine Months Ended September 30,
20202019
Beginning balance$1,378,462 $810,273 
Losses paid(430,429)(349,919)
Change in estimates for prior periods61,248 198,348 
Transfer of certain legacy auto insurance liabilities(407,885)— 
Reserves for current period321,232 716,233 
Ending balance$922,628 $1,374,935 
On March 31, 2020, the Company’s wholly-owned subsidiary, PVIC, entered into a Novation Agreement with Clarendon, and certain underwriting companies of Zurich. Pursuant to term of the Novation, on the effective date March 31, 2020, the obligations of PVIC as reinsurer to Zurich for the Legacy Auto Liability, were assigned to, assumed by, and novated to Clarendon, for cash consideration of $465.0 million. As a result of the Novation, the Company’s obligations related to the Legacy Auto Liability was fully extinguished and novated to Clarendon on March 31, 2020.
The Company paid the $465.0 million cash consideration to Clarendon on April 3, 2020, the date when certain Clarendon trust agreements were executed and the trust accounts were established in order to secure the applicable payments subject to Novation. The Company derecognized $407.9 million of insurance reserves liabilities and recognized a loss of $64.7 million for the net cost of the Novation in the condensed consolidated statements of operations for the nine months ended September 30, 2020, with $62.5 million in cost of revenue and $2.2 million in general and administrative expense.
In conjunction with the Novation, Clarendon and PVIC executed a Retrocession Agreement in July 2020, pursuant to which PVIC will reinsure Clarendon’s losses related to the Legacy Auto Liability in excess of an aggregate limit of $816.0 million. The Retrocession Agreement was executed in July 2020 with an effective date of March 31, 2020.
Other Income (Expense), Net
The following table sets forth the primary components of other income (expense), net as reported on the condensed consolidated statements of operations (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Interest income(1)
$7,631 $28,651 $39,394 $78,284 
Gain (loss) on sale of securities, net10 83 (886)206 
Foreign currency exchange gains (losses), net744 435 580 — 
Other, net(911)123 (322)270 
Other income (expense), net$7,474 $29,292 $38,766 $78,760 
_______________
(1)Interest income was reported as a separate line item on the condensed consolidated statement of operations in periods prior to the second quarter of 2020.