Reserves for Insurance Losses and Loss Adjustment Expenses

3 Months Ended

Mar. 31, 2018

Reserves for Insurance Losses and Loss Adjustment Expenses

The following table shows a rollforward of our reserves for insurance losses and loss adjustment expenses.



($ in millions)	2018			2017
Total gross reserves for insurance losses and loss adjustment expenses at January 1,	$	140		$	149
Less: Reinsurance recoverable	108			108
Net reserves for insurance losses and loss adjustment expenses at January 1,	32			41
Net insurance losses and loss adjustment expenses incurred related to:
Current year	60			89
Prior years (a)	3			(1		)
Total net insurance losses and loss adjustment expenses incurred	63			88
Net insurance losses and loss adjustment expenses paid or payable related to:
Current year	(31		)	(45		)
Prior years	(19		)	(23		)
Total net insurance losses and loss adjustment expenses paid or payable	(50		)	(68		)
Foreign exchange and other	—			2
Net reserves for insurance losses and loss adjustment expenses at March 31,	45			63
Plus: Reinsurance recoverable	112			112
Total gross reserves for insurance losses and loss adjustment expenses at March 31,	$	157		$	175


(a)	There have been no material adverse changes to the reserve for prior years.