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Segment Reporting
 6 Months Ended
Jun. 30, 2020
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
Webster’s operations are organized into three reportable segments that represent its primary businesses - Commercial Banking, HSA Bank, and Community Banking. These segments reflect how executive management responsibilities are assigned, the type of customer served, how products and services are provided, and how discrete financial information is currently evaluated. Certain Corporate Treasury activities, along with the amounts required to reconcile profitability metrics to amounts reported in accordance with GAAP, are included in the Corporate and Reconciling category.
Description of Segment Reporting Methodology
Webster uses an internal profitability reporting system to generate information by operating segment, which is based on a series of management estimates for funds transfer pricing, and allocations for non-interest expense, provision for credit losses, income taxes, and equity capital. These estimates and allocations, certain of which are subjective in nature, are periodically reviewed and refined. Changes in estimates and allocations that affect the reported results of any operating segment do not affect the consolidated financial position or results of operations of Webster as a whole. The full profitability measurement reports, which are prepared for each operating segment, reflect non-GAAP reporting methodologies. The differences between full profitability and GAAP results are reconciled in the Corporate and Reconciling category.
Webster allocates interest income and interest expense to each business, while any mismatch associated with the matched maturity funding concept called Funds Transfer Pricing (FTP) is absorbed in corporate treasury activities. The allocation process considers the specific interest rate risk and liquidity risk of financial instruments and other assets and liabilities in each line of business. The matched maturity funding concept considers the origination date and the earlier of the maturity date or the repricing date of a financial instrument to assign a FTP rate for loans and deposits originated each day. Loans are assigned an FTP rate for funds used and deposits are assigned an FTP rate for funds provided. Beginning in 2020, Webster refined the FTP calculation to reflect the allocation of capital credit to net interest income to better align segment results with key measurements used to review segment performance. Prior period net interest income and income tax expense were revised to reflect this change.
Webster allocates a majority of non-interest expense to each reportable segment using a full-absorption costing process. Costs, including corporate overhead, are analyzed, pooled by process, and assigned to the appropriate reportable segment.
The results of funds transfer pricing and allocations for non-interest expense, as well as non-interest income produces pre-tax, pre-provision net revenue, under which basis the segments are reviewed by executive management.
Webster allocates the provision for credit losses to each segment based on management's estimate of the inherent loss content in each of the specific loan and lease portfolios. During the three months ended June 30, 2019, Webster refined the precision of this allocation approach. Prior period provision for credit losses amounts, and resulting impacts from income tax expense were revised accordingly. Allowance for credit losses on loans and leases is included in total assets within the Corporate and Reconciling category.
The following table presents total assets for Webster's reportable segments and the Corporate and Reconciling category:
(In thousands)Commercial
Banking		HSA
Bank		Community
Banking		Corporate and
Reconciling		Consolidated
Total
At June 30, 2020$12,527,397  $77,992  $10,150,431  $9,952,797  $32,708,617  
At December 31, 201911,541,803  80,176  9,348,727  9,418,638  30,389,344  
The following tables present the operating results, including all appropriate allocations, for Webster’s reportable segments and the Corporate and Reconciling category:
 Three months ended June 30, 2020
(In thousands)Commercial
Banking		HSA
Bank		Community BankingCorporate and
Reconciling		Consolidated
Total
Net interest income$104,862  $39,334  $104,870  $(24,659) $224,407  
Non-interest income14,725  23,103  23,405  (1,157) 60,076  
Non-interest expense44,694  34,020  93,686  4,184  176,584  
Pre-tax, pre-provision net revenue74,893  28,417  34,589  (30,000) 107,899  
Provision for credit losses37,559  —  2,444  (3) 40,000  
Income before income tax expense37,334  28,417  32,145  (29,997) 67,899  
Income tax expense9,143  7,587  6,365  (8,293) 14,802  
Net income$28,191  $20,830  $25,780  $(21,704) $53,097  

 Three months ended June 30, 2019
(In thousands)Commercial
Banking		HSA
Bank		Community BankingCorporate and
Reconciling		Consolidated
Total
Net interest income$100,216  $44,013  $107,838  $(10,280) $241,787  
Non-interest income14,645  24,979  27,675  8,554  75,853  
Non-interest expense46,196  34,253  96,166  4,025  180,640  
Pre-tax, pre-provision net revenue68,665  34,739  39,347  (5,751) 137,000  
Provision for credit losses7,741  —  4,159  —  11,900  
Income before income tax expense60,924  34,739  35,188  (5,751) 125,100  
Income tax expense15,110  9,206  7,459  (5,324) 26,451  
Net income$45,814  $25,533  $27,729  $(427) $98,649  

Six months ended June 30, 2020
(In thousands)Commercial
Banking		HSA
Bank		Community BankingCorporate and
Reconciling		Consolidated
Total
Net interest income$204,178  $82,007  $204,340  $(35,317) $455,208  
Non-interest income27,964  49,486  51,025  4,979  133,454  
Non-interest expense91,238  71,098  192,653  431  $355,420  
Pre-tax, pre-provision net revenue140,904  $60,395  62,712  (30,769) 233,242  
Provision for credit losses101,083  —  15,005  (88) 116,000  
Income before income tax expense39,821  60,395  47,707  (30,681) 117,242  
Income tax expense9,752  16,125  9,446  (9,377) 25,946  
Net income$30,069  $44,270  $38,261  $(21,304) $91,296  

Six months ended June 30, 2019
(In thousands)Commercial
Banking		HSA
Bank		Community
Banking		Corporate and
Reconciling		Consolidated
Total
Net interest income$198,558  $87,111  $214,128  $(16,459) $483,338  
Non-interest income28,656  50,556  53,057  12,196  144,465  
Non-interest expense90,814  67,775  191,241  6,496  356,326  
Pre-tax, pre-provision net revenue136,400  69,892  75,944  (10,759) 271,477  
Provision for credit losses13,982  —  6,518  —  20,500  
Income before income tax expense122,418  69,892  69,426  (10,759) 250,977  
Income tax expense30,361  18,522  14,717  (11,008) 52,592  
Net income$92,057  $51,370  $54,709  $249  $198,385