Reserves for Insurance Losses and Loss Adjustment Expenses

6 Months Ended

Jun. 30, 2025

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)	2025		2024
Total gross reserves for insurance losses and loss adjustment expenses at January 1,	$	189	$	140
Less: Reinsurance recoverable	60		66
Net reserves for insurance losses and loss adjustment expenses at January 1,	129		74
Net insurance losses and loss adjustment expenses incurred related to:
Current year	359		281
Prior years (a)	5		12
Total net insurance losses and loss adjustment expenses incurred	364		293
Net insurance losses and loss adjustment expenses paid or payable related to:
Current year	(234)		(207)
Prior years	(71)		(56)
Total net insurance losses and loss adjustment expenses paid or payable	(305)		(263)
Net reserves for insurance losses and loss adjustment expenses at June 30,	188		104
Plus: Reinsurance recoverable (b)	66		99
Total gross reserves for insurance losses and loss adjustment expenses at June 30, (c)	$	254	$	203

(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.