Reserves for Insurance Losses and Loss Adjustment Expenses (Tables)

6 Months Ended

Jun. 30, 2020

Short-duration Insurance Contracts, Liability for Unpaid Claims and Allocated Claim Adjustment Expense, Net [Abstract]

Short-duration insurance and deposit contracts

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

($ in millions)	2020			2019
Total gross reserves for insurance losses and loss adjustment expenses at January 1,	$	122		$	134
Less: Reinsurance recoverable	88			96
Net reserves for insurance losses and loss adjustment expenses at January 1,	34			38
Net insurance losses and loss adjustment expenses incurred related to:
Current year	215			186
Prior years (a)	1			—
Total net insurance losses and loss adjustment expenses incurred	216			186
Net insurance losses and loss adjustment expenses paid or payable related to:
Current year	(178		)	(134		)
Prior years	(26		)	(27		)
Total net insurance losses and loss adjustment expenses paid or payable	(204		)	(161		)
Net reserves for insurance losses and loss adjustment expenses at June 30,	46			63
Plus: Reinsurance recoverable	86			90
Total gross reserves for insurance losses and loss adjustment expenses at June 30,	$	132		$	153

(a)

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