Segment Reporting

9 Months Ended

Sep. 30, 2014

Segment Reporting [Abstract]

Segment Reporting

13.SEGMENT REPORTING

The U.S. Reinsurance operation writes property and casualty reinsurance and specialty lines of business, including Marine, Aviation, Surety and Accident and Health (A&H) business, on both a treaty and facultative basis, through reinsurance brokers, as well as directly with ceding companies primarily within the U.S.The International operation writes non-U.S. property and casualty reinsurance through Everest Res branches in Canada, Singapore and through offices in Brazil, Miami and New Jersey.The Insurance operation writes property and casualty insurance, including medical stop loss insurance, directly and through general agents, brokers and surplus lines brokers within the U.S. and Canada.

These segments are managed independently, but conform with corporate guidelines with respect to pricing, risk management, control of aggregate catastrophe exposures, capital, investments and support operations.Management generally monitors and evaluates the financial performance of these operating segments based upon their underwriting results.

Underwriting results include earned premium less losses and loss adjustment expenses (LAE) incurred, commission and brokerage expenses and other underwriting expenses.Underwriting results are measured using ratios, in particular loss, commission and brokerage and other underwriting expense ratios, which, respectively, divide incurred losses, commissions and brokerage and other underwriting expenses by premiums earned.

The Company does not maintain separate balance sheet data for its operating segments.Accordingly, the Company does not review and evaluate the financial results of its operating segments based upon balance sheet data.

The following tables present the underwriting results for the operating segments for the periods indicated

	Three Months Ended				Nine Months Ended
U.S. Reinsurance	September 30,				September 30,
(Dollars in thousands)	2014		2013		2014		2013
Gross written premiums	$	679,904	$	532,324	$	1,663,320	$	1,385,482
Net written premiums		304,442		257,085		771,054		690,547
Premiums earned	$	275,521	$	225,231	$	739,977	$	621,430
Incurred losses and LAE		125,475		102,506		371,135		340,799
Commission and brokerage		51,231		38,275		144,747		114,945
Other underwriting expenses		12,119		12,013		33,054		32,541
Underwriting gain (loss)	$	86,696	$	72,437	$	191,041	$	133,145

	Three Months Ended					Nine Months Ended
International	September 30,					September 30,
(Dollars in thousands)	2014			2013		2014		2013
Gross written premiums	$	419,457		$	339,739	$	1,214,343	$	994,526
Net written premiums		157,932			149,812		446,599		446,158
Premiums earned	$	145,662		$	140,854	$	438,394	$	433,872
Incurred losses and LAE		113,703			90,743		286,166		262,709
Commission and brokerage		23,767			27,932		80,348		87,195
Other underwriting expenses		8,759			8,722		24,689		24,319
Underwriting gain (loss)	$	(567	)	$	13,457	$	47,191	$	59,649

	Three Months Ended					Nine Months Ended
Insurance	September 30,					September 30,
(Dollars in thousands)	2014			2013		2014			2013
Gross written premiums	$	354,033		$	367,465	$	885,006		$	923,571
Net written premiums		149,542			178,365		386,694			456,334
Premiums earned	$	148,414		$	157,436	$	382,407		$	406,247
Incurred losses and LAE		141,402			113,872		322,842			306,153
Commission and brokerage		4,170			5,353		15,489			12,907
Other underwriting expenses		29,745			28,210		79,289			79,891
Underwriting gain (loss)	$	(26,903	)	$	10,001	$	(35,213	)	$	7,296

:The following table reconciles the underwriting results for the operating segments to income (loss) before taxes as reported in the consolidated statements of operations and comprehensive income (loss) for the periods indicated:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Dollars in thousands)	2014			2013			2014			2013
Underwriting gain (loss)	$	59,226		$	95,895		$	203,019		$	200,090
Net investment income		83,446			68,828			215,869			227,433
Net realized capital gains (losses)		(160	)		208,426			120,904			533,758
Corporate expense		(4,620	)		(1,516	)		(5,398	)		(5,353	)
Interest, fee and bond issue cost amortization expense		(12,292	)		(7,466	)		(28,539	)		(38,010	)
Other income (expense)		(3,739	)		5,012			(15,576	)		5,095
Income (loss) before taxes	$	121,861		$	369,179		$	490,279		$	923,013

The Company produces business in the U.S. and internationally.The net income deriving from assets residing in the individual foreign countries in which the Company writes business are not identifiable in the Companys financial records.Based on gross written premium, the table below presents the largest country, other than the U.S., in which the Company writes business, for the periods indicated:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars in thousands)	2014		2013		2014		2013
Canada	$	41,644	$	48,048	$	116,133	$	123,630

No other country represented more than 5% of the Companys revenues.