Subsequent Event

12 Months Ended

Dec. 31, 2020

Subsequent Event [Abstract]

Subsequent Event

Note 21.  Subsequent Event

On December 30, 2020, CNA entered into an agreement with Cavello Bay Reinsurance Limited (“Cavello”), a subsidiary of Enstar Group Limited, under which Cavello reinsured a legacy portfolio of excess workers’ compensation policies. The transaction closed on February 5, 2021. Under the terms of the transaction, based on reserves in place as of January 1, 2020, and adjusted for any subsequent claim activity, CNA ceded to Cavello approximately $690 million of net excess workers’ compensation liabilities relating to business written in 2007 and prior under a retroactive reinsurance agreement with an aggregate limit of $1 billion. A loss of approximately $11 million (after tax and noncontrolling interests) will be recognized in the first quarter of 2021.