Reserves for Insurance Losses and Loss Adjustment Expenses

9 Months Ended

Sep. 30, 2018

Reserves for Insurance Losses and Loss Adjustment Expense [Abstract]

Reserves for Insurance Losses and Loss Adjustment Expenses

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	235			276
Prior years (a)	6			2
Total net insurance losses and loss adjustment expenses incurred	241			278
Net insurance losses and loss adjustment expenses paid or payable related to:
Current year	(205		)	(248		)
Prior years	(27		)	(31		)
Total net insurance losses and loss adjustment expenses paid or payable	(232		)	(279		)
Foreign exchange and other	—			1
Net reserves for insurance losses and loss adjustment expenses at September 30,	41			41
Plus: Reinsurance recoverable	98			132
Total gross reserves for insurance losses and loss adjustment expenses at September 30,	$	139		$	173

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