Reinsurance and Policy Benefits and Losses, Claims and Loss Expenses Payable	12 Months Ended
Mar. 31, 2021
Disclosure Text Block [Abstract]
Reinsurance and Policy Benefits and Losses, Claims and Loss Expenses Payable	F- 34 amerco and consolidated subsidiaries notes to consolidated financial statements - (continued) Note 17. Reinsurance and Policy Benefits and Losses, Claims and Loss Expenses Payable During their normal course of business, our insurance subsidiaries assume and cede reinsurance on both a coinsurance and a risk premium basis. They also obtain reinsurance for that portion of risks exceeding their retention limits. The maximum amount of life insurance retained on any one life is $ 150,000 . Direct Amount (a) Ceded to Other Companies Assumed from Other Companies Net Amount (a) Percentage of Amount Assumed to Net (In thousands) Year ended December 31, 2020 Life insurance in force $ 1,031,634 $ 73 $ 356,266 $ 1,387,827 26 % Premiums earned: Life $ 58,048 $ 1 $ 5,049 $ 63,096 8 % Accident and health 57,081 211 1,388 58,258 2 % Annuity 221 - 34 255 13 % Property and casualty 70,285 - - 70,285 - % Total $ 185,635 $ 212 $ 6,471 $ 191,894 Year ended December 31, 2019 Life insurance in force $ 957,280 $ 7 $ 441,563 $ 1,398,836 32 % Premiums earned: Life $ 53,289 $ 1 $ 5,629 $ 58,917 10 % Accident and health 66,863 226 1,563 68,200 2 % Annuity 65 - 794 859 92 % Property and casualty 69,126 - 15 69,141 - % Total $ 189,343 $ 227 $ 8,001 $ 197,117 Year ended December 31, 2018 Life insurance in force $ 941,822 $ 207 $ 548,152 $ 1,489,767 37 % Premiums earned: Life $ 51,691 $ (1) $ (69,616) $ (17,924) 388 % Accident and health 77,813 267 1,851 79,397 2 % Annuity 1,221 - 794 2,015 39 % Property and casualty 60,848 - - 60,848 - % Total $ 191,573 $ 266 $ (66,971) $ 124,336 (a) Balances are reported net of inter-segment transactions. Reserves for recognizing a premium deficiency included in future policy benefits are established, if necessary, when the liability for future policy benefits plus the present value of expected future gross premiums are determined to be materially insufficient to provide for expected future policy benefits and expenses. Additionally, in certain instances the policyholder liability for a particular line of business may not be deficient in the aggregate to trigger loss recognition, but the pattern of earnings may be such that profits are expected to be recognized in earlier years followed by losses in later years. In these situations, accounting standards require that an additional liability be recognized by an amount necessary to sufficiently offset the losses that would be recognized in later years. The Company has not recognized any reserves related to premium deficiencies in the years ended December 31, 2020 and December 31, 2019. To the extent that a reinsurer is unable to meet its obligation under the related reinsurance agreements, Repwest would remain liable for the unpaid losses and loss expenses. Pursuant to certain of these agreements, Repwest holds letters of credit as of December 31, 2020 in the amount of $ 0.1 million from re-insurers and has issued letters of credit in the amount of $ 1.5 million in favor of certain ceding companies. F- 35 amerco and consolidated subsidiaries notes to consolidated financial statements - (continued) Policy benefits and losses, claims and loss expenses payable for Property and Casualty Insurance were as follows: December 31, 2020 2019 (In thousands) Unpaid losses and loss adjustment expense $ 177,963 $ 209,127 Reinsurance losses payable 979 1,214 Total $ 178,942 $ 210,341 Activity in the liability for unpaid losses and loss adjustment expenses for Property and Casualty Insurance is summarized as follows: December 31, 2020 2019 2018 (In thousands) Balance at January 1 $ 209,127 $ 228,970 $ 233,554 Less: reinsurance recoverable 87,083 94,920 94,490 Net balance at January 1 122,044 134,050 139,064 Incurred related to: Current year 20,670 22,137 19,579 Prior years (3,865) (9,535) (5,365) Total incurred 16,805 12,602 14,214 Paid related to: Current year 7,664 7,366 8,838 Prior years 18,095 17,242 10,390 Total paid 25,759 24,608 19,228 Net balance at December 31 113,090 122,044 134,050 Plus: reinsurance recoverable 64,873 87,083 94,920 Balance at December 31 $ 177,963 $ 209,127 $ 228,970 Prior year incurred losses were impacted by favorable development on numerous Excess Workers Compensation claims. The liability for incurred losses and loss adjustment expenses (net of reinsurance recoverable of $ 64.9 million) decreased by $ 31.2 million as of December 31, 2020. F- 36 amerco and consolidated subsidiaries notes to consolidated financial statements - (continued) The information about property and casualty incurred and paid loss and loss adjustment expense development for the years end December 31, 2014 through 2020, and the average annual percentage payout of incurred claims by age as of December 31, 2020, is presented as supplementary information. Claims data for December 31, 2014 through 2019 is unaudited. Claims data for December 31, 2020 is audited. Cumulative Incurred Claims and Allocated Claims Adjustment Expenses, Net of Reinsurance As of December 31, 2020 Total of Incurred-but- Not-Reported Liabilities Plus Expected Cumulative Development Number of Accident on Reported Reported Year 2014 2015 2016 2017 2018 2019 2020 Claims Claims (In thousands, except claim counts) 2014 $ 11,691 $ 10,907 $ 10,720 $ 10,759 $ 10,748 $ 10,493 $ 10,327 $ - 10,068 2015 12,214 12,459 12,460 12,464 11,087 11,092 - 11,104 2016 13,297 13,011 13,056 11,790 11,764 - 11,469 2017 15,748 16,109 17,078 15,538 305 12,100 2018 19,580 18,386 18,027 1,464 11,981 2019 22,138 26,316 4,379 11,738 2020 20,671 10,137 11,199 Total 16,285 The following table presents paid claims development as of December 31, 2020, net of reinsurance. Claims data for 2014 through 2019 is unaudited. Claims data for 2020 is audited. Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance (In thousands) Accident Year 2014 2015 2016 2017 2018 2019 2020 2014 $ 6,154 $ 8,087 $ 9,270 $ 9,293 $ 10,325 $ 10,327 $ 10,327 2015 7,509 9,601 9,730 10,343 11,087 11,092 2016 7,777 10,665 11,643 11,746 11,764 2017 8,970 11,638 14,825 15,012 2018 8,838 12,698 15,150 2019 7,366 14,737 2020 7,665 Total Total 85,747 All outstanding liabilities before 2014, net of reinsurance 85,101 Liabilities for claims and claim adjustment expenses, net of reinsurance 113,090 F- 37 amerco and consolidated subsidiaries notes to consolidated financial statements - (continued) The reconciliation of the net incurred and paid claims development tables for the liability for claims and claims adjustment expenses is as follows: December 31, 2020 (In thousands) Liabilities for unpaid Property and Casualty claims and claim adjustment expenses, net of reinsurance $ 113,090 Total reinsurance recoverable on unpaid Property and Casualty claims $ 64,873 Total gross liability for unpaid Property and Casualty claims and claim adjustment expense $ 177,963 The following is supplementary information about average historical claims duration as of December 31, 2020. Average Annual Percentage Payout of Incurred Claims by Age, net of Reinsurance (In percentages) Years 1 2 3 4 5 6 7 Property and Casualty Insurance 52.2 % 21.4 % 11.0 % 2.0 % 5.6 % - % - % Note 18. Leases Lessor We have determined that revenues derived by providing self-moving equipment rentals, self-storage rentals and certain other revenues, including U-Box rentals, are within the scope of the accounting guidance contained in Topic 842. Our self-moving equipment rental related revenues have been accounted for under the revenue accounting standard Topic 606, until the adoption of Topic 842. For the periods after April 1, 2019, we combined all lease and non-lease components of lease contracts for which the timing and pattern of transfer are the same and the lease component meets the classification of an operating lease, and account for them in accordance with Topic 842. The revenue streams accounted for in accordance with Topic 842 are recognized evenly over the period of rental. Please see Note 23, Revenue Recognition, of the Notes to Consolidated Financial Statements. Lessee We determine if an arrangement is a lease at inception. Operating leases, which are comprised primarily of storage rental locations, are included in ROU assets - operating and operating lease liability in our condensed consolidated balance sheets. Finance leases, which are comprised primarily of rental equipment leases, are included in ROU assets - financing, net, and notes, loans and finance leases payable, net in our condensed consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the expected remaining lease term. We use our incremental borrowing rate based on information available at commencement date, including the rate for a fully collateralized loan that can either be fully amortized or financed with a residual at the end of the lease term, for a borrower with similar credit quality in order to determine the present value of lease payments. Our lease terms may include options to extend or terminate the lease, which are included in the calculation of ROU assets when it is reasonably certain that we will exercise those options. Lease expense for lease payments is recognized on a straight-line basis over the lease term. F- 38

Reinsurance and Policy Benefits and Losses, Claims and Loss Expenses Payable

12 Months Ended

Mar. 31, 2021

Reinsurance and Policy Benefits and Losses, Claims and Loss Expenses Payable

F- 34 amerco and consolidated subsidiaries notes to consolidated financial statements - (continued) Note 17. Reinsurance and Policy Benefits and Losses, Claims and Loss Expenses Payable During their normal course of business, our insurance subsidiaries assume and cede reinsurance on both a coinsurance and a risk premium basis. They also obtain reinsurance for that portion of risks exceeding their retention limits. The maximum amount of life insurance retained on any one life is $ 150,000 . Direct Amount (a) Ceded to Other Companies Assumed from Other Companies Net Amount (a) Percentage of Amount Assumed to Net (In thousands) Year ended December 31, 2020 Life insurance in force $ 1,031,634 $ 73 $ 356,266 $ 1,387,827 26 % Premiums earned: Life $ 58,048 $ 1 $ 5,049 $ 63,096 8 % Accident and health 57,081 211 1,388 58,258 2 % Annuity 221 - 34 255 13 % Property and casualty 70,285 - - 70,285 - % Total $ 185,635 $ 212 $ 6,471 $ 191,894 Year ended December 31, 2019 Life insurance in force $ 957,280 $ 7 $ 441,563 $ 1,398,836 32 % Premiums earned: Life $ 53,289 $ 1 $ 5,629 $ 58,917 10 % Accident and health 66,863 226 1,563 68,200 2 % Annuity 65 - 794 859 92 % Property and casualty 69,126 - 15 69,141 - % Total $ 189,343 $ 227 $ 8,001 $ 197,117 Year ended December 31, 2018 Life insurance in force $ 941,822 $ 207 $ 548,152 $ 1,489,767 37 % Premiums earned: Life $ 51,691 $ (1) $ (69,616) $ (17,924) 388 % Accident and health 77,813 267 1,851 79,397 2 % Annuity 1,221 - 794 2,015 39 % Property and casualty 60,848 - - 60,848 - % Total $ 191,573 $ 266 $ (66,971) $ 124,336 (a) Balances are reported net of inter-segment transactions. Reserves for recognizing a premium deficiency included in future policy benefits are established, if necessary, when the liability for future policy benefits plus the present value of expected future gross premiums are determined to be materially insufficient to provide for expected future policy benefits and expenses. Additionally, in certain instances the policyholder liability for a particular line of business may not be deficient in the aggregate to trigger loss recognition, but the pattern of earnings may be such that profits are expected to be recognized in earlier years followed by losses in later years. In these situations, accounting standards require that an additional liability be recognized by an amount necessary to sufficiently offset the losses that would be recognized in later years. The Company has not recognized any reserves related to premium deficiencies in the years ended December 31, 2020 and December 31, 2019. To the extent that a reinsurer is unable to meet its obligation under the related reinsurance agreements, Repwest would remain liable for the unpaid losses and loss expenses. Pursuant to certain of these agreements, Repwest holds letters of credit as of December 31, 2020 in the amount of $ 0.1 million from re-insurers and has issued letters of credit in the amount of $ 1.5 million in favor of certain ceding companies. F- 35 amerco and consolidated subsidiaries notes to consolidated financial statements - (continued) Policy benefits and losses, claims and loss expenses payable for Property and Casualty Insurance were as follows: December 31, 2020 2019 (In thousands) Unpaid losses and loss adjustment expense $ 177,963 $ 209,127 Reinsurance losses payable 979 1,214 Total $ 178,942 $ 210,341 Activity in the liability for unpaid losses and loss adjustment expenses for Property and Casualty Insurance is summarized as follows: December 31, 2020 2019 2018 (In thousands) Balance at January 1 $ 209,127 $ 228,970 $ 233,554 Less: reinsurance recoverable 87,083 94,920 94,490 Net balance at January 1 122,044 134,050 139,064 Incurred related to: Current year 20,670 22,137 19,579 Prior years (3,865) (9,535) (5,365) Total incurred 16,805 12,602 14,214 Paid related to: Current year 7,664 7,366 8,838 Prior years 18,095 17,242 10,390 Total paid 25,759 24,608 19,228 Net balance at December 31 113,090 122,044 134,050 Plus: reinsurance recoverable 64,873 87,083 94,920 Balance at December 31 $ 177,963 $ 209,127 $ 228,970 Prior year incurred losses were impacted by favorable development on numerous Excess Workers Compensation claims. The liability for incurred losses and loss adjustment expenses (net of reinsurance recoverable of $ 64.9 million) decreased by $ 31.2 million as of December 31, 2020. F- 36 amerco and consolidated subsidiaries notes to consolidated financial statements - (continued) The information about property and casualty incurred and paid loss and loss adjustment expense development for the years end December 31, 2014 through 2020, and the average annual percentage payout of incurred claims by age as of December 31, 2020, is presented as supplementary information. Claims data for December 31, 2014 through 2019 is unaudited. Claims data for December 31, 2020 is audited. Cumulative Incurred Claims and Allocated Claims Adjustment Expenses, Net of Reinsurance As of December 31, 2020 Total of Incurred-but- Not-Reported Liabilities Plus Expected Cumulative Development Number of Accident on Reported Reported Year 2014 2015 2016 2017 2018 2019 2020 Claims Claims (In thousands, except claim counts) 2014 $ 11,691 $ 10,907 $ 10,720 $ 10,759 $ 10,748 $ 10,493 $ 10,327 $ - 10,068 2015 12,214 12,459 12,460 12,464 11,087 11,092 - 11,104 2016 13,297 13,011 13,056 11,790 11,764 - 11,469 2017 15,748 16,109 17,078 15,538 305 12,100 2018 19,580 18,386 18,027 1,464 11,981 2019 22,138 26,316 4,379 11,738 2020 20,671 10,137 11,199 Total 16,285 The following table presents paid claims development as of December 31, 2020, net of reinsurance. Claims data for 2014 through 2019 is unaudited. Claims data for 2020 is audited. Cumulative Paid Claims and Allocated Claim Adjustment Expenses, Net of Reinsurance (In thousands) Accident Year 2014 2015 2016 2017 2018 2019 2020 2014 $ 6,154 $ 8,087 $ 9,270 $ 9,293 $ 10,325 $ 10,327 $ 10,327 2015 7,509 9,601 9,730 10,343 11,087 11,092 2016 7,777 10,665 11,643 11,746 11,764 2017 8,970 11,638 14,825 15,012 2018 8,838 12,698 15,150 2019 7,366 14,737 2020 7,665 Total Total 85,747 All outstanding liabilities before 2014, net of reinsurance 85,101 Liabilities for claims and claim adjustment expenses, net of reinsurance 113,090 F- 37 amerco and consolidated subsidiaries notes to consolidated financial statements - (continued) The reconciliation of the net incurred and paid claims development tables for the liability for claims and claims adjustment expenses is as follows: December 31, 2020 (In thousands) Liabilities for unpaid Property and Casualty claims and claim adjustment expenses, net of reinsurance $ 113,090 Total reinsurance recoverable on unpaid Property and Casualty claims $ 64,873 Total gross liability for unpaid Property and Casualty claims and claim adjustment expense $ 177,963 The following is supplementary information about average historical claims duration as of December 31, 2020. Average Annual Percentage Payout of Incurred Claims by Age, net of Reinsurance (In percentages) Years 1 2 3 4 5 6 7 Property and Casualty Insurance 52.2 % 21.4 % 11.0 % 2.0 % 5.6 % - % - % Note 18. Leases Lessor We have determined that revenues derived by providing self-moving equipment rentals, self-storage rentals and certain other revenues, including U-Box rentals, are within the scope of the accounting guidance contained in Topic 842. Our self-moving equipment rental related revenues have been accounted for under the revenue accounting standard Topic 606, until the adoption of Topic 842. For the periods after April 1, 2019, we combined all lease and non-lease components of lease contracts for which the timing and pattern of transfer are the same and the lease component meets the classification of an operating lease, and account for them in accordance with Topic 842. The revenue streams accounted for in accordance with Topic 842 are recognized evenly over the period of rental. Please see Note 23, Revenue Recognition, of the Notes to Consolidated Financial Statements. Lessee We determine if an arrangement is a lease at inception. Operating leases, which are comprised primarily of storage rental locations, are included in ROU assets - operating and operating lease liability in our condensed consolidated balance sheets. Finance leases, which are comprised primarily of rental equipment leases, are included in ROU assets - financing, net, and notes, loans and finance leases payable, net in our condensed consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the expected remaining lease term. We use our incremental borrowing rate based on information available at commencement date, including the rate for a fully collateralized loan that can either be fully amortized or financed with a residual at the end of the lease term, for a borrower with similar credit quality in order to determine the present value of lease payments. Our lease terms may include options to extend or terminate the lease, which are included in the calculation of ROU assets when it is reasonably certain that we will exercise those options. Lease expense for lease payments is recognized on a straight-line basis over the lease term. F- 38