Unpaid Losses and Loss Adjustment Reserve

3 Months Ended

Mar. 31, 2023

Unpaid Losses and Loss Adjustment Reserve

Unpaid Losses and Loss Adjustment Reserve

11. Unpaid Losses and Loss Adjustment Reserve

The following table provides the roll forward of the beginning and ending reserve balances for unpaid losses and LAE, gross of reinsurance for the three months ended March 31, 2023:

	2023
Reserve for unpaid losses and LAE, at December 31, 2022	$	100,632
Reinsurance recoverables on losses and LAE		(76,999)
Reserve for unpaid losses and LAE reserve, net of reinsurance recoverables at December 31, 2022		23,633
Add provisions (reductions) for losses and LAE occurring in:
Current year		43,464
Prior years		(605)
Net incurred losses and LAE during the current year		42,859
Deduct payments for losses and LAE occurring in:
Current year		(14,015)
Prior years		(10,993)
Net claim and LAE payments during the current year		(25,008)
Reserve for losses and LAE, net of reinsurance recoverables, at end of period		41,484
Reinsurance recoverables on losses and LAE		74,043
Reserve for unpaid losses and LAE at March 31, 2023		115,527

As a result of additional information on claims occurring in prior years becoming available to management, changes in estimates of provisions of losses and loss adjustment expenses were made resulting in a decrease of $0.6 million for the three months ended March 31, 2023.