Reserves for Insurance Losses and Loss Adjustment Expenses

9 Months Ended

Sep. 30, 2024

Short-Duration Insurance Contracts, Liability for Unpaid Claims and Allocated Claim Adjustment Expense, Net [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)	2024		2023
Total gross reserves for insurance losses and loss adjustment expenses at January 1,	$	140	$	119
Less: Reinsurance recoverable	66		72
Net reserves for insurance losses and loss adjustment expenses at January 1,	74		47
Net insurance losses and loss adjustment expenses incurred related to:
Current year	411		326
Prior years (a)	17		3
Total net insurance losses and loss adjustment expenses incurred	428		329
Net insurance losses and loss adjustment expenses paid or payable related to:
Current year	(319)		(270)
Prior years	(64)		(38)
Total net insurance losses and loss adjustment expenses paid or payable	(383)		(308)
Net reserves for insurance losses and loss adjustment expenses at September 30,	119		68
Plus: Reinsurance recoverable (b)	78		77
Total gross reserves for insurance losses and loss adjustment expenses at September 30, (c)	$	197	$	145

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

(b)Included in premiums receivable and other insurance assets on our Condensed Consolidated Balance Sheet.

(c)Included in accrued expenses and other liabilities on our Condensed Consolidated Balance Sheet.