Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 06, 2018 | Jun. 30, 2017 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | MARKEL CORP | ||
Entity Central Index Key | 1,096,343 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 13,900,897 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 13,238,000,000 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
ASSETS | ||
Fixed maturities (amortized cost of $9,551,153 in 2017 and $9,591,734 in 2016) | $ 9,940,670 | $ 9,891,510 |
Equity securities (cost of $2,667,661 in 2017 and $2,481,448 in 2016) | 5,967,847 | 4,745,841 |
Short-term investments (estimated fair value approximates cost) | 2,160,974 | 2,336,151 |
Total Investments | 18,069,491 | 16,973,502 |
Cash and cash equivalents | 2,198,459 | 1,738,747 |
Restricted cash and cash equivalents | 302,387 | 346,417 |
Receivables | 1,567,453 | 1,282,997 |
Reinsurance recoverable on unpaid losses | 4,619,336 | 2,006,945 |
Reinsurance recoverable on paid losses | 126,054 | 64,892 |
Deferred policy acquisition costs | 465,569 | 392,410 |
Prepaid reinsurance premiums | 1,099,757 | 299,923 |
Goodwill | 1,777,464 | 1,142,248 |
Intangible assets | 1,355,681 | 722,542 |
Other assets | 1,223,365 | 904,676 |
Total Assets | 32,805,016 | 25,875,299 |
LIABILITIES AND EQUITY | ||
Unpaid losses and loss adjustment expenses | 13,584,281 | 10,115,662 |
Life and annuity benefits | 1,072,112 | 1,049,654 |
Unearned premiums | 3,308,779 | 2,263,838 |
Payables to insurance and reinsurance companies | 324,304 | 231,327 |
Senior long-term debt and other debt (estimated fair value of $3,351,000 in 2017 and $2,721,000 in 2016) | 3,099,230 | 2,574,529 |
Other liabilities | 1,748,460 | 1,099,200 |
Total Liabilities | 23,137,166 | 17,334,210 |
Redeemable noncontrolling interests | 166,269 | 73,678 |
Commitments and contingencies | ||
Shareholders' equity: | ||
Common stock | 3,381,834 | 3,368,666 |
Retained earnings | 3,776,743 | 3,526,395 |
Accumulated other comprehensive income | 2,345,571 | 1,565,866 |
Total Shareholders' Equity | 9,504,148 | 8,460,927 |
Noncontrolling interests | (2,567) | 6,484 |
Total Equity | 9,501,581 | 8,467,411 |
Total Liabilities and Equity | $ 32,805,016 | $ 25,875,299 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Fixed maturities, amortized cost | $ 9,551,153 | $ 9,591,734 |
Equity securities, cost | 2,667,661 | 2,481,448 |
Senior long-term debt and other debt, estimated fair value | $ 3,351,000 | $ 2,721,000 |
Consolidated Statements Of Inco
Consolidated Statements Of Income And Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
OPERATING REVENUES | |||
Earned premiums | $ 4,247,978 | $ 3,865,870 | $ 3,823,532 |
Net investment income | 405,709 | 373,230 | 353,213 |
Net realized investment gains (losses): | |||
Other-than-temporary impairment losses | (7,589) | (18,355) | (44,481) |
Net realized investment gains, excluding other-than-temporary impairment losses | 2,286 | 83,502 | 150,961 |
Net realized investment gains (losses) | (5,303) | 65,147 | 106,480 |
Other revenues | 1,413,275 | 1,307,779 | 1,086,758 |
Total Operating Revenues | 6,061,659 | 5,612,026 | 5,369,983 |
OPERATING EXPENSES | |||
Losses and loss adjustment expenses | 2,865,761 | 2,050,744 | 1,938,745 |
Underwriting, acquisition and insurance expenses | 1,587,414 | 1,498,590 | 1,455,080 |
Amortization of intangible assets | 80,758 | 68,533 | 68,947 |
Other expenses | 1,307,980 | 1,190,243 | 1,046,805 |
Total Operating Expenses | 5,841,913 | 4,808,110 | 4,509,577 |
Operating Income | 219,746 | 803,916 | 860,406 |
Interest expense | 132,451 | 129,896 | 118,301 |
Loss on early extinguishment of debt | 0 | 44,100 | 0 |
Income Before Income Taxes | 87,295 | 629,920 | 742,105 |
Income tax expense (benefit) | (313,463) | 169,477 | 152,963 |
Net Income | 400,758 | 460,443 | 589,142 |
Net income attributable to noncontrolling interests | 5,489 | 4,754 | 6,370 |
Net Income to Shareholders | 395,269 | 455,689 | 582,772 |
OTHER COMPREHENSIVE INCOME (LOSS) | |||
Net holding gains (losses) arising during the period | 787,339 | 275,661 | (240,170) |
Change in unrealized other-than-temporary impairment losses on fixed maturities arising during the period | 0 | 35 | 160 |
Reclassification adjustments for net gains included in net income | (24,296) | (33,528) | (80,482) |
Change in net unrealized gains on investments, net of taxes | 763,043 | 242,168 | (320,492) |
Change in foreign currency translation adjustments, net of taxes | 10,449 | (11,704) | (29,278) |
Change in net actuarial pension loss, net of taxes | 6,259 | (19,100) | (352) |
Total Other Comprehensive Income (Loss) | 779,751 | 211,364 | (350,122) |
Comprehensive Income (Loss) | 1,180,509 | 671,807 | 239,020 |
Comprehensive income attributable to noncontrolling interests | 5,535 | 4,760 | 6,297 |
Comprehensive Income to Shareholders | $ 1,174,974 | $ 667,047 | $ 232,723 |
NET INCOME PER SHARE | |||
Basic (dollars per share) | $ 25.89 | $ 31.41 | $ 41.99 |
Diluted (dollars per share) | $ 25.81 | $ 31.27 | $ 41.74 |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Equity - USD ($) shares in Thousands, $ in Thousands | Total | Total Equity [Member] | Total Shareholders' Equity [Member] | Common Stock [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] | Noncontrolling Interests [Member] | Redeemable Noncontrolling Interests [Member] |
Balance at Dec. 31, 2014 | $ 7,602,002 | $ 7,594,818 | $ 3,308,395 | $ 2,581,866 | $ 1,704,557 | $ 7,184 | ||
Balance, shares at Dec. 31, 2014 | 13,962 | |||||||
Balance, redeemable noncontrolling interests at Dec. 31, 2014 | $ 61,048 | |||||||
Net income (loss) | $ 589,142 | 581,784 | 582,772 | 582,772 | 0 | (988) | 7,358 | |
Other comprehensive income (loss) | (350,122) | (350,049) | (350,049) | 0 | (350,049) | 0 | (73) | |
Comprehensive Income (Loss) | 239,020 | 231,735 | 232,723 | (988) | 7,285 | |||
Issuance of common stock | 4,752 | 4,752 | $ 4,752 | 0 | 0 | 0 | 0 | |
Issuance of common stock, shares | 34 | |||||||
Repurchase of common stock | (31,491) | (31,491) | $ 0 | (31,491) | 0 | 0 | 0 | |
Repurchase of common stock, shares | (37) | |||||||
Restricted stock awards expensed | 24,129 | 24,129 | $ 24,129 | 0 | 0 | 0 | 0 | |
Restricted stock awards expensed, shares | 0 | |||||||
Acquisition of CapTech | 0 | 0 | $ 0 | 0 | 0 | 0 | 13,817 | |
Acquisition of CapTech, shares | 0 | |||||||
Adjustment of redeemable noncontrolling interests | 4,144 | 4,144 | $ 0 | 4,144 | 0 | 0 | (4,144) | |
Adjustment of redeemable noncontrolling interests, shares | 0 | |||||||
Purchase of noncontrolling interest | (1,447) | (1,447) | $ (1,447) | 0 | 0 | 0 | (8,224) | |
Purchase of noncontrolling interest, shares | 0 | |||||||
Other | 6,785 | 6,522 | $ 6,528 | (6) | 0 | 263 | (6,824) | |
Other, shares | 0 | |||||||
Balance at Dec. 31, 2015 | 7,840,609 | 7,834,150 | $ 3,342,357 | 3,137,285 | 1,354,508 | 6,459 | ||
Balance, shares at Dec. 31, 2015 | 13,959 | |||||||
Balance, redeemable noncontrolling interests at Dec. 31, 2015 | 62,958 | |||||||
Net income (loss) | 460,443 | 455,788 | 455,689 | 455,689 | 0 | 99 | 4,655 | |
Other comprehensive income (loss) | 211,364 | 211,358 | 211,358 | 0 | 211,358 | 0 | 6 | |
Comprehensive Income (Loss) | 671,807 | 667,146 | 667,047 | 99 | 4,661 | |||
Issuance of common stock | 4,623 | 4,623 | $ 4,623 | 0 | 0 | 0 | ||
Issuance of common stock, shares | 54 | |||||||
Repurchase of common stock | (51,142) | (51,142) | $ 0 | (51,142) | 0 | 0 | 0 | |
Repurchase of common stock, shares | (58) | |||||||
Restricted stock awards expensed | 21,336 | 21,336 | $ 21,336 | 0 | 0 | 0 | 0 | |
Restricted stock awards expensed, shares | 0 | |||||||
Adjustment of redeemable noncontrolling interests | (15,472) | (15,472) | $ 0 | (15,472) | 0 | 0 | 15,472 | |
Adjustment of redeemable noncontrolling interests, shares | 0 | |||||||
Purchase of noncontrolling interest | 350 | 350 | $ 350 | 0 | 0 | 0 | (3,517) | |
Purchase of noncontrolling interest, shares | 0 | |||||||
Other | (39) | 35 | $ 0 | 35 | 0 | (74) | (5,896) | |
Other, shares | 0 | |||||||
Balance at Dec. 31, 2016 | 8,467,411 | 8,467,411 | 8,460,927 | $ 3,368,666 | 3,526,395 | 1,565,866 | 6,484 | |
Balance, shares at Dec. 31, 2016 | 13,955 | |||||||
Balance, redeemable noncontrolling interests at Dec. 31, 2016 | 73,678 | 73,678 | ||||||
Net income (loss) | 400,758 | 394,374 | 395,269 | 395,269 | 0 | (895) | 6,384 | |
Other comprehensive income (loss) | 779,751 | 779,705 | 779,705 | 0 | 779,705 | 0 | 46 | |
Comprehensive Income (Loss) | 1,180,509 | 1,174,079 | 1,174,974 | (895) | 6,430 | |||
Issuance of common stock | 552 | 552 | $ 552 | 0 | 0 | 0 | 0 | |
Issuance of common stock, shares | 58 | |||||||
Repurchase of common stock | (110,838) | (110,838) | $ 0 | (110,838) | 0 | 0 | 0 | |
Repurchase of common stock, shares | (109) | |||||||
Restricted stock awards expensed | 15,881 | 15,881 | $ 15,881 | 0 | 0 | 0 | 0 | |
Restricted stock awards expensed, shares | 0 | |||||||
Acquisition of Costa Farms | 0 | 0 | $ 0 | 0 | 0 | 0 | 66,600 | |
Acquisition of Costa Farms, shares | 0 | |||||||
Adjustment of redeemable noncontrolling interests | (33,738) | (33,738) | $ 0 | (33,738) | 0 | 0 | 33,738 | |
Adjustment of redeemable noncontrolling interests, shares | 0 | |||||||
Purchase of noncontrolling interest | (11,285) | (2,955) | $ (2,955) | 0 | 0 | (8,330) | (6,179) | |
Purchase of noncontrolling interest, shares | 0 | |||||||
Other | (481) | (655) | $ (310) | (345) | 0 | 174 | (7,998) | |
Other, shares | 0 | |||||||
Balance at Dec. 31, 2017 | 9,501,581 | $ 9,501,581 | $ 9,504,148 | $ 3,381,834 | $ 3,776,743 | $ 2,345,571 | $ (2,567) | |
Balance, shares at Dec. 31, 2017 | 13,904 | |||||||
Balance, redeemable noncontrolling interests at Dec. 31, 2017 | $ 166,269 | $ 166,269 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
OPERATING ACTIVITIES | |||
Net income | $ 400,758 | $ 460,443 | $ 589,142 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Deferred income tax expense (benefit) | (324,090) | 63,358 | (9,678) |
Depreciation and amortization | 203,871 | 194,147 | 200,987 |
Net realized investment (gains) losses | 5,303 | (65,147) | (106,480) |
Loss on early extinguishment of debt | 0 | 44,100 | 0 |
Decrease (increase) in receivables | (38,259) | (163,123) | 5,604 |
Increase in deferred policy acquisition costs | (67,923) | (41,619) | (7,360) |
Increase (decrease) in unpaid losses and loss adjustment expenses, net | 619,305 | (9,429) | (91,960) |
Decrease in life and annuity benefits | (55,647) | (54,580) | (85,257) |
Increase (decrease) in unearned premiums, net | 197,706 | 134,593 | (4,522) |
Increase (decrease) in payables to insurance and reinsurance companies | (40,761) | 11,582 | (31,829) |
Increase (decrease) in income taxes payable | (35,968) | (16,484) | 27,817 |
Increase (decrease) in accrued expenses | (71,669) | 67,994 | 97,273 |
Increase (decrease) in other liabilities | 45,051 | (90,571) | (5,793) |
Other | 20,852 | (641) | 73,207 |
Net Cash Provided By Operating Activities | 858,529 | 534,623 | 651,151 |
INVESTING ACTIVITIES | |||
Proceeds from sales of fixed maturities and equity securities | 577,650 | 365,822 | 538,978 |
Proceeds from maturities, calls and prepayments of fixed maturities | 1,129,895 | 963,165 | 1,503,616 |
Cost of fixed maturities and equity securities purchased | (1,176,281) | (2,205,939) | (1,576,254) |
Net change in short-term investments | 234,743 | (689,194) | (62,124) |
Proceeds from sales of equity method investments | 3,353 | 8,790 | 23,155 |
Cost of equity method investments | (13,023) | (8,576) | (21,849) |
Additions to property and equipment | (74,652) | (63,674) | (79,755) |
Acquisitions, net of cash acquired | (1,431,712) | (7,527) | (261,521) |
Other | 5,570 | (1,348) | (797) |
Net Cash Provided (Used) By Investing Activities | (744,457) | (1,638,481) | 63,449 |
FINANCING ACTIVITIES | |||
Additions to senior long-term debt and other debt | 664,657 | 559,300 | 69,797 |
Repayment of senior long-term debt and other debt | (259,972) | (278,363) | (88,020) |
Premiums and fees related to early extinguishment of debt | 0 | (43,691) | 0 |
Repurchases of common stock | (110,838) | (51,142) | (31,491) |
Issuance of common stock | 552 | 4,623 | 4,752 |
Payment of contingent consideration | (5,018) | (14,219) | (9,263) |
Purchase of noncontrolling interests | (18,334) | (3,167) | (12,474) |
Distributions to noncontrolling interests | (7,899) | (5,949) | (6,287) |
Other | (6,833) | (15,373) | (1,225) |
Net Cash Provided (Used) By Financing Activities | 256,315 | 152,019 | (74,211) |
Effect of foreign currency rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | 45,295 | (33,138) | (52,642) |
Increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | 415,682 | (984,977) | 587,747 |
Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year | 2,085,164 | 3,070,141 | 2,482,394 |
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS AT END OF YEAR | $ 2,500,846 | $ 2,085,164 | $ 3,070,141 |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | Summary of Significant Accounting Policies Markel Corporation is a diverse financial holding company serving a variety of niche markets. Markel Corporation's principal business markets and underwrites specialty insurance products. Through its wholly owned subsidiary, Markel Ventures, Inc. (Markel Ventures), Markel Corporation also owns interests in various businesses that operate outside of the specialty insurance marketplace. a) Basis of Presentation. The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) and include the accounts of Markel Corporation and its consolidated subsidiaries, as well as any variable interest entities (VIEs) that meet the requirements for consolidation (the Company). All significant intercompany balances and transactions have been eliminated in consolidation. The Company consolidates the results of its Markel Ventures subsidiaries on a one-month lag. Certain prior year amounts have been reclassified to conform to the current presentation. b) Use of Estimates. The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingent assets and liabilities. Management periodically reviews its estimates and assumptions. Quarterly reviews include evaluating the adequacy of reserves for unpaid losses and loss adjustment expenses, life and annuity reinsurance benefit reserves, litigation contingencies, the reinsurance allowance for doubtful accounts and income tax liabilities, as well as analyzing the recoverability of deferred tax assets, estimating reinsurance premiums written and earned and evaluating the investment portfolio for other-than-temporary declines in estimated fair value. Estimates and assumptions for goodwill and intangible assets are reviewed in conjunction with an acquisition, and goodwill and indefinite-lived intangible assets are reassessed at least annually for impairment. Actual results may differ materially from the estimates and assumptions used in preparing the consolidated financial statements. c) Investments. Available-for-sale investments are recorded at estimated fair value. Unrealized gains and losses on investments, net of income taxes, are included in accumulated other comprehensive income in shareholders' equity. The Company completes a detailed analysis each quarter to assess whether the decline in the fair value of any investment below its cost basis is deemed other-than-temporary. Premiums and discounts are amortized or accreted over the lives of the related fixed maturities as an adjustment to the yield using the effective interest method. Dividend and interest income are recognized when earned. Realized investment gains or losses are included in earnings. Realized gains or losses from sales of investments are derived using the first-in, first-out method. The Company also has certain investments in equity securities that are recorded at estimated fair value with changes in unrealized gains and losses recorded in net income. These investments totaled $168.8 million as of December 31, 2017 and are included in equity securities in the consolidated balance sheets. Investments accounted for under the equity method of accounting are recorded at cost within other assets on the consolidated balance sheets and subsequently increased or decreased by the Company's proportionate share of the net income or loss of the investee. The Company records its proportionate share of net income or loss of the investee in net investment income (loss). The Company records its proportionate share of other comprehensive income or loss of the investee as a component of other comprehensive income (loss). Dividends or other equity distributions in excess of the Company's cumulative equity in earnings of the investee are recorded as as a reduction of the investment. The Company reviews equity method investments for impairment when events or circumstances indicate that a decline in the fair value of the investment below its carrying value is other-than-temporary. d) Cash and Cash Equivalents. The Company considers all investments with original maturities of 90 days or less to be cash equivalents. The carrying value of the Company's cash and cash equivalents and restricted cash and cash equivalents approximates fair value. e) Restricted Cash and Cash Equivalents. Cash and cash equivalents that are restricted as to withdrawal or use are recorded as restricted cash and cash equivalents. The carrying value of the Company’s restricted cash and cash equivalents approximates fair value. f) Receivables. Receivables include amounts receivable from agents, brokers and insureds, which represent premiums that are both currently due and amounts not yet due on insurance and reinsurance policies. Premiums for insurance policies are generally due at inception. Premiums for reinsurance policies generally become due over the period of coverage based on the policy terms. The Company monitors the credit risk associated with premiums receivable, taking into consideration the fact that in certain instances credit risk may be reduced by the Company's right to offset loss obligations or unearned premiums against premiums receivable. Amounts deemed uncollectible are charged to net income in the period they are determined. Changes in the estimate of reinsurance premiums written will result in an adjustment to premiums receivable in the period they are determined. g) Reinsurance Recoverables. Amounts recoverable from reinsurers are estimated in a manner consistent with the claim liability associated with the reinsured business. Allowances are established for amounts deemed uncollectible and reinsurance recoverables are recorded net of these allowances. The Company evaluates the financial condition of its reinsurers and monitors concentration risk to minimize its exposure to significant losses from individual reinsurers. h) Deferred Policy Acquisition Costs. Costs directly related to the acquisition of insurance premiums are deferred and amortized over the related policy period, generally one year . The Company only defers acquisition costs incurred that are related directly to the successful acquisition of new or renewal insurance contracts, including commissions to agents and brokers and premium taxes. Commissions received related to reinsurance premiums ceded are netted against broker commissions in determining acquisition costs eligible for deferral. To the extent that future policy revenues on existing policies are not adequate to cover related costs and expenses, deferred policy acquisition costs are charged to earnings. The Company does not consider anticipated investment income in determining whether a premium deficiency exists. i) Goodwill and Intangible Assets. Goodwill and intangible assets are recorded as a result of business acquisitions. Goodwill represents the excess of the amount paid to acquire a business over the net fair value of assets acquired and liabilities assumed at the date of acquisition. Indefinite-lived and other intangible assets are recorded at fair value as of the acquisition date. The determination of the fair value of certain assets acquired and liabilities assumed involves significant judgment and the use of valuation models and other estimates, which require assumptions that are inherently subjective. Goodwill and indefinite-lived intangible assets are tested for impairment at least annually. The Company completes an annual test during the fourth quarter of each year based upon the results of operations through September 30. Intangible assets with definite lives are amortized using the straight-line method over their estimated useful lives, generally five to 20 years , and are reviewed for impairment when events or circumstances indicate that their carrying value may not be recoverable. j) Property and Equipment. Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization of property and equipment are calculated using the straight-line method over the estimated useful lives (generally, the lower of the life of the lease or the estimated useful life for leasehold improvements, ten to 40 years for buildings, seven to 40 years for land improvements, three to ten years for furniture and equipment and three to 25 years for other property and equipment ). k) Redeemable Noncontrolling Interests. The Company owns controlling interests in various companies through its Markel Ventures operations. In some cases, the Company has the option to acquire the remaining equity interests, and the remaining equity interests have the option to sell their interests to the Company, in the future. The redemption value of the remaining equity interests is generally based on the respective company's earnings in specified periods preceding the redemption date. The redeemable noncontrolling interests generally become redeemable through 2022. The Company recognizes changes in the redemption value that exceed the carrying value of redeemable noncontrolling interests to retained earnings as if the balance sheet date were also the redemption date. Changes in the redemption value also result in an adjustment to net income to shareholders in the calculation of basic and diluted net income per share. The change in the redemption value of redeemable noncontrolling interests in 2017 , 2016 and 2015 resulted in an adjustment to retained earnings of a decrease of $33.7 million , a decrease of $15.5 million , and an increase of $4.1 million , respectively. l) Income Taxes. The Company records deferred income taxes to reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in years in which those temporary differences are expected to be recovered or settled. Deferred tax assets are reduced by a valuation allowance when management believes it is more likely than not that some, or all, of the deferred tax assets will not be realized. The Company recognizes the tax benefit from an uncertain tax position taken or expected to be taken in income tax returns only if it is more likely than not that the tax position will be sustained upon examination by tax authorities, based on the technical merits of the position. Tax positions that meet the more likely than not threshold are then measured using a probability weighted approach, whereby the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement is recognized. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. m) Unpaid Losses and Loss Adjustment Expenses. Unpaid losses and loss adjustment expenses on the Company's property and casualty insurance business are based on evaluations of reported claims and estimates for losses and loss adjustment expenses incurred but not reported. Estimates for losses and loss adjustment expenses incurred but not reported are based on reserve development studies, among other things. Recorded reserves are estimates, and the ultimate liability may be greater or less than the estimates. n) Life and Annuity Benefits. The Company previously acquired a block of long duration reinsurance contracts for life and annuity benefits which subject the Company to mortality, longevity and morbidity risks. The assumptions used to determine policy benefit reserves are generally locked-in for the life of the contract unless an unlocking event occurs. To the extent existing policy reserves, together with the present value of future gross premiums and expected investment income earned thereon, are not adequate to cover the present value of future benefits, settlement and maintenance costs, the locked-in assumptions are revised to current best estimate assumptions and a charge to earnings for life and annuity benefits is recognized at that time. Because of the assumptions and estimates used in establishing reserves for life and annuity benefit obligations and the long-term nature of these reinsurance contracts, the ultimate liability may be greater or less than the estimates. Results attributable to the run-off of life and annuity reinsurance business are included in other revenues and other expenses in the Company's consolidated statements of income and comprehensive income and as part of the Company's Other Insurance (Discontinued Lines) segment. o) Revenue Recognition. Property and Casualty Premiums Insurance premiums are generally earned on a pro rata basis over the policy period, typically one year . The cost of reinsurance ceded is initially recorded as prepaid reinsurance premiums and is amortized over the reinsurance contract period in proportion to the amount of insurance protection provided. Premiums ceded are netted against premiums written. Assumed reinsurance premiums are recorded at the inception of each contract based upon contract terms and information received from cedents and brokers and are earned on a pro rata basis over the coverage period, or for multi-year contracts, in proportion with the underlying risk exposure to the extent there is variability in the exposure through the coverage period. Changes in reinsurance premium estimates are expected and may result in significant adjustments in any period. These estimates change over time as additional information regarding changes in underlying exposures is obtained. Any subsequent differences arising on such estimates are recorded as premiums written in the period they are determined and are earned on a pro rata basis over the coverage period. The Company uses the periodic method to account for assumed reinsurance from foreign reinsurers. The Company's foreign reinsurers provide sufficient information to record foreign assumed business in the same manner as the Company records assumed business from United States reinsurers. Certain contracts that the Company writes provide for reinstatement of coverage. Reinstatement premiums are the premiums for the restoration of the insurance or reinsurance limit of a contract to its full amount after a loss occurrence by the insured or reinsured. The Company accrues for reinstatement premiums resulting from losses recorded. Such accruals are based upon contractual terms and management judgment is involved with respect to the amount of losses recorded. Changes in estimates of losses recorded on contracts with reinstatement premium features will result in changes in reinstatement premiums based on contractual terms. Reinstatement premiums are recognized at the time losses are recorded and are earned on a pro rata basis over the coverage period. Other Revenues Other revenues primarily relate to the Company's Markel Ventures operations and consist of revenues from the sale of manufactured products and service revenues. Revenues from manufactured products are generally recognized at the time title transfers to the customer, which typically occurs at the point of shipment or delivery to the customer, depending on the terms of the sales arrangement. Revenues from services are generally recognized as the services are performed. Services provided pursuant to a contract are recognized either over the contract period or upon completion of the elements specified in the contract, depending on the terms of the contract. Investment management fee income is recognized over the period in which investment management services are provided and is calculated and billed monthly based on the net asset value of the accounts managed. Performance fee arrangements entitle the Company to participate, on a fixed-percentage basis, in any net income generated in excess of an agreed-upon threshold as established by the underlying investment management agreements. In general, net income is calculated at the end of each calendar year and performance fees are payable annually. Following the preferred method identified in the Accounting Standards Codification (ASC) Topic 605, Revenue Recognition , such performance fee income is recorded at the conclusion of the contractual performance period, when all contingencies are resolved. Program services fees received in exchange for providing access to the U.S. property and casualty insurance market are based on the gross premiums written on behalf of general agent and capacity provider clients. Program services fees are earned in a manner consistent with the recognition of the gross premiums earned on the underlying insurance policies, generally on a pro rata basis over the terms of the underlying policies reinsured. p) Program Services. In connection with the program services business, the Company enters into contractual agreements with both the producing general agents and the reinsurers, whereby the general agents and reinsurers are typically obligated to each other for payment of insurance amounts, including premiums, commissions and losses. To the extent these funds are not the obligation of the Company and are settled directly between the general agent and the reinsurer, no receivables or payables are recorded for these amounts. All obligations of the Company's insurance subsidiaries owed to or on behalf of their policyholders are recorded by the Company and, to the extent appropriate, offsetting reinsurance recoverables are recorded. q) Stock-based Compensation. Stock-based compensation expense is generally recognized as part of underwriting, acquisition and insurance expenses over the requisite service period. Stock-based compensation expense, net of taxes, was $11.9 million i n 2017 , $14.3 million in 2016 and $16.3 million in 2015 . See note 12 . r) Foreign Currency Translation. The functional currencies of the Company's foreign operations are the currencies in which the majority of their business is transacted. Assets and liabilities of foreign operations are translated into the United States Dollar using the exchange rates in effect at the balance sheet date. Revenues and expenses of foreign operations are translated using the average exchange rate for the period. Gains or losses from translating the financial statements of foreign operations denominated in a functional currency are included, net of taxes, in shareholders' equity as a component of accumulated other comprehensive income. Gains and losses arising from transactions denominated in a foreign currency other than a functional currency are included in net income. The Company manages its exposure to foreign currency risk primarily by matching assets, other than goodwill and intangible assets, and liabilities denominated in the same currency. To the extent that assets and liabilities in foreign currencies are not matched, the Company is exposed to foreign currency risk. For functional currencies, the related exchange rate fluctuations are reflected in other comprehensive income. The cumulative foreign currency translation adjustment, net of taxes, was a loss of $74.0 million and $84.4 million at December 31, 2017 and 2016 , respectively. s) Derivative Financial Instruments. Derivative instruments, including derivative instruments resulting from hedging activities, are measured at fair value and recognized as either assets or liabilities on the consolidated balance sheets. The changes in fair value of derivatives are recognized in earnings unless the derivative is designated as a hedge and qualifies for hedge accounting. The Company's foreign currency forward contracts are generally designated and qualify as hedges of a net investment in a foreign operation. The effective portion of the change in fair value resulting from these hedges is reported in currency translation adjustments as part of other comprehensive income. The ineffective portion of the change in fair value is recognized in earnings. t) Comprehensive Income. Comprehensive income represents all changes in equity that result from recognized transactions and other economic events during the period. Other comprehensive income refers to revenues, expenses, gains and losses that under U.S. GAAP are included in comprehensive income but excluded from net income, such as unrealized gains or losses on investments, foreign currency translation adjustments and changes in net actuarial pension loss. u) Net Income Per Share. Basic net income per share is computed by dividing adjusted net income to shareholders by the weighted average number of common shares outstanding during the year. Diluted net income per share is computed by dividing adjusted net income to shareholders by the weighted average number of common shares and dilutive potential common shares outstanding during the year. See note 12 (b). v) Variable Interest Entities. The Company determines whether it has relationships with entities defined as VIEs in accordance with ASC Topic 810, Consolidation . Under this guidance, a VIE is consolidated by the variable interest holder that is determined to be the primary beneficiary. An entity in which the Company holds a variable interest is a VIE if any of the following conditions exist: (a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) as a group, the holders of equity investment at risk lack either the direct or indirect ability through voting rights or similar rights to make decisions about an entity's activities that most significantly impact the entity's economic performance or the obligation to absorb the expected losses or right to receive the expected residual returns, or (c) the voting rights of some investors are disproportionate to their obligation to absorb the expected losses of the entity, their rights to receive the expected residual returns of the entity, or both and substantially all of the entity's activities either involve or are conducted on behalf of an investor with disproportionately few voting rights. The primary beneficiary is defined as the variable interest holder that is determined to have the controlling financial interest as a result of having both (a) the power to direct the activities of a VIE that most significantly impact the economic performance of the VIE and (b) the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. The Company determines whether an entity is a VIE at the inception of its variable interest in the entity and upon the occurrence of certain reconsideration events. The Company continually reassesses whether it is the primary beneficiary of VIEs in which it holds a variable interest. w) Recent Accounting Pronouncements. Effective January 1, 2017, the Company early adopted Accounting Standards Update (ASU) No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which is intended to reduce diversity in practice in how certain transactions are classified in the statement of cash flows. Some of the topics covered by the ASU include the classification of debt prepayment and extinguishment costs, contingent consideration payments made after a business combination and distributions from equity method investees. Upon adoption of this ASU, the Company made an accounting policy election to use the cumulative earnings approach for presenting distributions received from equity method investees, which is consistent with its existing approach. Under this approach, distributions up to the amount of cumulative equity in earnings recognized will be treated as returns on investment and presented in operating activities and those in excess of that amount will be treated as returns of investment and presented in financing activities. The provisions of ASU No. 2016-15 were adopted on a retrospective basis and did not impact the Company's financial position, results of operations or cash flows. Effective January 1, 2017, the Company early adopted ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. The ASU requires that amounts generally described as restricted cash and restricted cash equivalents be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The Company previously presented changes in restricted cash and restricted cash equivalents on the statements of cash flows as an investing activity. The Company generally describes amounts held in trust or on deposit to support underwriting activities as well as amounts pledged as security for letters of credit as restricted cash or restricted cash equivalents. The provisions of ASU No. 2016-18 were adopted on a retrospective basis and did not impact the Company's financial position, results of operations or total comprehensive income. As a result of adoption of this ASU, investing cash inflows of $93.4 million in 2016 and $62.3 million in 2015 were attributed to the change in restricted cash and were reclassified out of investing activities. The Company's statements of cash flows now include restricted cash and restricted cash equivalents in the beginning-of-period and end-of-period total amounts for cash, cash equivalents, restricted cash and restricted cash equivalents. Effective January 1, 2017, the Company early adopted ASU No. 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . The ASU eliminates Step 2 of the goodwill impairment test, which is performed by estimating the fair value of individual assets and liabilities of the reporting unit to calculate the implied fair value of goodwill. Instead, an entity will record a goodwill impairment charge based on the excess of a reporting unit's carrying value over its estimated fair value, not to exceed the carrying amount of goodwill. The provisions of ASU No. 2017-04 were adopted on a prospective basis and did not have an impact on the Company's financial position, results of operations or cash flows. In May 2014, the Financial Accounting Standards Board (FASB) issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which creates a new comprehensive revenue recognition standard that will serve as a single source of revenue guidance for all companies in all industries. The guidance applies to all companies that either enter into contracts with customers to transfer goods or services or enter into contracts for the transfer of nonfinancial assets, unless those contracts are within the scope of other standards, such as insurance contracts. ASU No. 2014-09's core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under the current guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. Several ASUs have also been issued as amendments to ASU No. 2014-09 and will be evaluated and adopted in conjunction with ASU No. 2014-09. ASU No. 2014-09 becomes effective for the Company during the first quarter of 2018 and will be applied using the modified retrospective method, whereby the cumulative effect of adoption for ongoing contracts will be recognized as an adjustment to retained earnings at the date of initial application. The adjustment to retained earnings at January 1, 2018 will not be material. The adoption of this ASU will not impact the Company's insurance premium revenues or revenues from its investment portfolio, which totale d 77% of c onsolidated revenues for the year ended December 31, 2017, but will impact certain of the Company's other revenues, which are comprised of a diverse portfolio of contracts across various industries. Based on the Company’s evaluation of the impacted revenue streams, which was completed in 2017, the timing of the recognition of revenue and related costs will change with respect to certain contracts with customers, none of which will have a material effect on the consolidated financial statements. For instance, revenues and costs for certain contracts will be recognized over time rather than when the product or service is delivered, as is the current practice. The Company also will provide additional disclosures in the notes to consolidated financial statements as required under the new guidance. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments (Topic 825): Recognition and Measurement of Financial Assets and Financial Liabilities . The ASU significantly changes the income statement impact of equity investments and the recognition of changes in fair value of financial liabilities attributable to an entity's own credit risk when the fair value option is elected. The ASU requires equity instruments that do not result in consolidation and are not accounted for under the equity method to be measured at fair value and to recognize any changes in fair value in net income rather than other comprehensive income. ASU No. 2016-01 becomes effective for the Company during the first quarter of 2018 and will be applied using a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal year of adoption. As of December 31, 2017 , accumulated other comprehensive income included $3.3 billion of net unrealized gains on equity securities, which will be reclassified to retained earnings on January 1, 2018. As of December 31, 2017 , accumulated other comprehensive income was net of deferred income taxes on net unrealized gains on equity securities of $1.1 billion . The Company is still assessing the impact of ASU No. 2018-02, as discussed below, on deferred taxes included in accumulated other comprehensive income and has not determined the amount of deferred income taxes on net unrealized gains on equity securities that will be reclassified to retained earnings on January 1, 2018. The provisions related to equity investments without a readily determinable fair value will be applied prospectively to equity investments as of the adoption date. Adoption of this ASU is not expected have a material impact on the Company's financial position, cash flows, or total comprehensive income, but will have a material impact on the Company's results of operations as changes in fair value of equity instruments will be presented in net income rather than other comprehensive income. See note 3(f) for details regarding the change in net unrealized gains on equity securities included in other comprehensive income for the years ended December 31, 2017 , 2016 and 2015 . In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) . The ASU requires lessees to record most leases on their balance sheets as a lease liability with a corresponding right-of-use asset, but continue to recognize the related leasing expense within net income. ASU No. 2016-02 becomes effective for the Company during the first quarter of 2019 and will be applied using a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements. See note 16 for details regarding the Company's minimum annual rental commitments payable directly by the Company for noncancelable operating leases at December 31, 2017, which will be subject to this new guidance. The calculation of the lease liability and right-of-use asset requires further analysis of the underlying leases to determine which portions of the underlying lease payments are required to be included in the calculation. Adoption of this standard will impact the Company’s consolidated balance sheets but is not expected to have a material impact on the Company’s results of operations or cash flows. The Company is currently evaluating ASU No. 2016-02 to determine the magnitude of the impact that adopting this standard will have on its consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU replaces the current incurred loss model used to measure impairment losses with |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions SureTec Acquisition In April 2017, the Company completed the acquisition of SureTec Financial Corp. (SureTec), a Texas-based privately held surety company primarily offering contract, commercial and court bonds. Results attributable to this acquisition are included in the U.S. Insurance segment. Total consideration for this acquisition was $246.9 million , which included cash consideration of $225.6 million . Total consideration also includes the estimated fair value of contingent consideration the Company expects to pay based on SureTec's earnings, as defined in the merger agreement, for the years 2017 through 2020. The purchase price was allocated to the acquired assets and liabilities of SureTec based on estimated fair values on the acquisition date. The Company recognized goodwill of $70.4 million , which is primarily attributable to synergies that are expected to result upon integration of SureTec into the Company's insurance operations. None of the goodwill recognized is expected to be deductible for income tax purposes. The Company also recognized other intangible assets of $103.0 million , which includes $92.0 million of agent relationships to be amortized over a weighted average period of 15 years . State National Acquisition In November 2017, the Company completed its acquisition of 100% of the issued and outstanding common stock of State National Companies, Inc. (State National), a Texas-based leading specialty provider of property and casualty insurance that includes both fronting services and collateral protection insurance coverage. Results attributable to State National's collateral protection insurance coverages are included in the U.S. Insurance segment. Results attributable to State National's program services (fronting) business are reported with the Company's other operations, which are not included in a reportable segment. Pursuant to the terms of the merger agreement, State National stockholders received $21.00 cash for each outstanding share of State National common stock (other than certain performance-based restricted shares that did not vest in connection with the transaction). Total consideration for this acquisition was $918.8 million , all of which was cash consideration. The purchase price was allocated to the acquired assets and liabilities of State National based on estimated fair values at the acquisition date. The Company preliminarily recognized goodwill of $370.4 million , none of which is expected to be deductible for income tax purposes. The goodwill is attributable to the Company's ability to achieve future revenue growth from new customers and the continued enhancement of State National's existing technology. Goodwill is also attributable to State National's assembled workforce and synergies that are expected to result upon integration of State National into the Company's insurance operations and investing activities. The Company has not completed the process of determining the fair value of the assets acquired and liabilities assumed. These valuations will be completed within the measurement period, which cannot exceed 12 months from the acquisition date. As a result, the fair value recorded for these items is a provisional estimate and may be subject to adjustment. Once completed, any adjustments resulting from the valuations may impact the individual amounts recorded for assets acquired and liabilities assumed, as well as the residual goodwill. The following table summarizes the provisional fair values of the assets acquired and liabilities assumed at the acquisition date. (dollars in thousands) ASSETS Investments $ 395,940 Cash and cash equivalents 77,302 Restricted cash and cash equivalents 25,545 Receivables 147,256 Prepaid reinsurance premiums 808,331 Reinsurance recoverable on paid and unpaid losses 2,075,734 Other assets 83,721 LIABILITIES Unpaid losses and loss adjustment expenses 2,086,621 Unearned premiums 825,529 Payables to insurance and reinsurance companies 122,203 Senior long-term debt and other debt 44,500 Other liabilities 370,551 Net assets 164,425 Goodwill 370,375 Intangible assets 384,000 Acquisition date fair value $ 918,800 Other liabilities includes a provisional increase of $64.5 million to reflect the risk premium for program services business, which is attributed to the net capital charges arising from the gross and ceded unpaid losses and loss adjustment expenses and unearned premium balances at the acquisition date. This adjustment will be amortized to other expenses over a weighted average period of three years , based on the estimated payout pattern of net unpaid losses and loss adjustment expenses as of the acquisition date. The amount of the unamortized fair value adjustment included in other liabilities as of December 31, 2017 was $57.7 million . Other liabilities also includes a provisional decrease of $28.3 million to adjust the carrying value of State National's historical deferred program services fees to fair value as of the acquisition date. The fair value of deferred program services fees is based on the cost of fulfilling the obligation plus a normal profit margin. The adjustment will be amortized to other expense over the life of the underlying business, which is a weighted average period of one year . The amount of the unamortized fair value adjustment included in other liabilities as of December 31, 2017 was $19.3 million . The following table summarizes the provisional intangible assets recorded in connection with the acquisition, and as of December 31, 2017. (dollars in thousands) Amount Economic Useful Life Customer relationships $ 302,000 13 years Trade names 23,000 13 years Technology 27,000 Nine years Insurance licenses 32,000 Indefinite Intangible assets, before amortization, as of the Acquisition Date 384,000 Amortization (from the Acquisition Date through December 31, 2017) 4,797 Net intangible assets as of December 31, 2017 $ 379,203 Customer relationships represent lender relationships, fronting relationships and other relationships through which State National conducted its operations. The fair value of customer relationships was estimated using the income approach. Critical inputs into the valuation model for customer relationships include estimates of expected premium and attrition rates, and discounting at a weighted average cost of capital. Technology represents intangible assets related to State National's proprietary insurance systems and was valued using the income approach. Markel Ventures Acquisitions In August 2017, the Company acquired 81% of Costa Farms, a Florida-based privately held grower of house and garden plants. Under the terms of the acquisition agreement, the Company has the option to acquire the remaining equity interests and the remaining equity interests have the option to sell their interests to the Company in the future. The redemption value of the remaining equity interests is generally based on Costa Farm's earnings in specified periods preceding the redemption date. Total consideration for the purchase was $417.2 million , which included cash consideration of $387.9 million . Total consideration also includes the estimated fair value of contingent consideration the Company expects to pay based on Costa Farms' earnings, as defined in the purchase agreement, annually through 2021. The purchase price was allocated to the acquired assets and liabilities of Costa Farms based on estimated fair values at the acquisition date. The Company recognized goodwill of $186.2 million , which is primarily attributable to expected future earnings and cash flow potential of Costa Farms. The majority of the goodwill recognized is expected to be deductible for income tax purposes. The Company also recognized other intangible assets of $192.0 million , which includes $161.0 million of customer relationships and $31.0 million of trade names, which are expected to be amortized over a weighted average period of 17 years and nine years , respectively. The Company also recognized redeemable non-controlling interests of $66.6 million . Results attributable to this acquisition are included with the Company's other operations, which are not included in a reportable segment. In December 2015, the Company acquired 80% of the outstanding shares of CapTech Ventures, Inc. (CapTech), a privately held company headquartered in Richmond, Virginia. CapTech is a management and IT consulting firm, providing services and solutions to a wide array of customers. Under the terms of the acquisition agreement for CapTech, the Company has the option to acquire the remaining equity interests and the remaining equity interests have the option to sell their interests to the Company in the future. The redemption value of the remaining equity interests is generally based on CapTech's earnings in specified periods preceding the redemption date. Total consideration for the CapTech acquisition was $60.6 million . Total consideration included the estimated fair value of contingent consideration we expected to pay based on CapTech's earnings, as defined in the stock purchase agreement, through 2018. The purchase price was preliminarily allocated to the acquired assets and liabilities based on the estimated fair values at the acquisition date. During 2016, the Company completed the process of determining the fair value of the assets and liabilities acquired with CapTech. There were no material adjustments to the provisional estimates recorded as of December 31, 2015. The Company recognized goodwill of $50.6 million related to this acquisition, none of which is expected to be deductible for income tax purposes. The Company also recognized other intangible assets of $49.2 million , primarily related to customer relationships, and redeemable noncontrolling interests of $13.8 million . These intangible assets are expected to be amortized over a weighted average period of 14 years . Results attributable to this acquisition are included with the Company's other operations, which are not included in a reportable segment. CATCo Investment Management Acquisition In December 2015, the Company completed the acquisition of substantially all of the assets of CATCo Investment Management Ltd. (CATCo IM) and CATCo-Re Ltd. CATCo IM was a leading insurance-linked securities investment fund manager and reinsurance manager headquartered in Bermuda focused on building and managing highly diversified, collateralized retrocession and reinsurance portfolios covering global property catastrophe risks. Results attributable to Markel CATCo Investment Management Ltd. (MCIM), the wholly owned subsidiary formed in conjunction with this transaction, are included with the Company's other operations, which are not included in a reportable segment. Total consideration for the acquisition was $205.7 million , all of which was cash. The purchase price was allocated to the acquired assets and liabilities based on estimated fair values at the acquisition date. The Company recognized goodwill of $91.9 million , all of which is expected to be deductible for income tax purposes. The goodwill is primarily attributable to the Company's ability to achieve continued capital growth in excess of that which can be expected for the investment funds previously managed by CATCo IM. The Company also recognized other intangible assets of $113.0 million , primarily related to its investment management agreements. These intangible assets are expected to be amortized over a weighted average period of 14 years . In connection with the acquisition, the Company instituted performance incentive and retention arrangements for former CATCo employees, whom are now employed by MCIM. Pursuant to these agreements, the Company committed to the payment of performance bonuses derived from the results of the business in 2016 through 2018 and retention bonuses that will be paid annually over the three year period following the acquisition. The total amount expected to be paid is currently estimated to be $122 million , of which $38.1 million and $33.2 million was recognized as compensation expense for the years ended December 31, 2017 and 2016, respectively. The balance will be recognized in the consolidated financial statements as post-acquisition compensation expense over the remaining performance period and as services are provided. |
Investments
Investments | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | Investments a) The following tables summarize the Company's available-for-sale investments. Commercial and residential mortgage-backed securities include securities issued by U.S. government-sponsored enterprises and U.S. government agencies. December 31, 2017 (dollars in thousands) Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Unrealized Other- Than-Temporary Impairment Losses Estimated Fair Value Fixed maturities: U.S. Treasury securities $ 162,378 $ 54 $ (1,819 ) $ — $ 160,613 U.S. government-sponsored enterprises 352,455 11,883 (818 ) — 363,520 Obligations of states, municipalities and political subdivisions 4,381,358 193,120 (7,916 ) — 4,566,562 Foreign governments 1,341,628 150,010 (2,410 ) — 1,489,228 Commercial mortgage-backed securities 1,244,777 6,108 (16,559 ) — 1,234,326 Residential mortgage-backed securities 846,916 14,115 (4,863 ) — 856,168 Asset-backed securities 34,942 8 (222 ) — 34,728 Corporate bonds 1,186,699 51,563 (2,737 ) — 1,235,525 Total fixed maturities 9,551,153 426,861 (37,344 ) — 9,940,670 Equity securities: Insurance, banks and other financial institutions 899,324 1,209,162 (5,453 ) — 2,103,033 Industrial, consumer and all other 1,768,337 2,110,959 (14,482 ) — 3,864,814 Total equity securities 2,667,661 3,320,121 (19,935 ) — 5,967,847 Short-term investments 2,161,017 26 (69 ) — 2,160,974 Investments, available-for-sale $ 14,379,831 $ 3,747,008 $ (57,348 ) $ — $ 18,069,491 December 31, 2016 (dollars in thousands) Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Unrealized Other- Than-Temporary Impairment Losses Estimated Fair Value Fixed maturities: U.S. Treasury securities $ 259,379 $ 99 $ (894 ) $ — $ 258,584 U.S. government-sponsored enterprises 418,457 9,083 (4,328 ) — 423,212 Obligations of states, municipalities and political subdivisions 4,324,332 145,678 (41,805 ) — 4,428,205 Foreign governments 1,306,324 159,291 (2,153 ) — 1,463,462 Commercial mortgage-backed securities 1,055,947 3,953 (19,544 ) — 1,040,356 Residential mortgage-backed securities 779,503 18,749 (5,048 ) (2,258 ) 790,946 Asset-backed securities 27,494 2 (158 ) — 27,338 Corporate bonds 1,420,298 49,146 (9,364 ) (673 ) 1,459,407 Total fixed maturities 9,591,734 386,001 (83,294 ) (2,931 ) 9,891,510 Equity securities: Insurance, banks and other financial institutions 846,343 857,063 (5,596 ) — 1,697,810 Industrial, consumer and all other 1,635,105 1,421,080 (8,154 ) — 3,048,031 Total equity securities 2,481,448 2,278,143 (13,750 ) — 4,745,841 Short-term investments 2,336,100 57 (6 ) — 2,336,151 Investments, available-for-sale $ 14,409,282 $ 2,664,201 $ (97,050 ) $ (2,931 ) $ 16,973,502 b) The following tables summarize gross unrealized investment losses by the length of time that securities have continuously been in an unrealized loss position. December 31, 2017 Less than 12 months 12 months or longer Total (dollars in thousands) Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Fixed maturities: U.S. Treasury securities $ 78,756 $ (659 ) $ 78,298 $ (1,160 ) $ 157,054 $ (1,819 ) U.S. government-sponsored enterprises 11,593 (79 ) 89,194 (739 ) 100,787 (818 ) Obligations of states, municipalities and political subdivisions 80,654 (789 ) 404,814 (7,127 ) 485,468 (7,916 ) Foreign governments 31,752 (452 ) 63,406 (1,958 ) 95,158 (2,410 ) Commercial mortgage-backed securities 253,936 (1,980 ) 481,216 (14,579 ) 735,152 (16,559 ) Residential mortgage-backed securities 157,508 (1,345 ) 148,960 (3,518 ) 306,468 (4,863 ) Asset-backed securities 14,263 (123 ) 15,165 (99 ) 29,428 (222 ) Corporate bonds 149,345 (863 ) 187,754 (1,874 ) 337,099 (2,737 ) Total fixed maturities 777,807 (6,290 ) 1,468,807 (31,054 ) 2,246,614 (37,344 ) Equity securities: Insurance, banks and other financial institutions 60,848 (4,843 ) 1,291 (610 ) 62,139 (5,453 ) Industrial, consumer and all other 78,552 (11,798 ) 11,243 (2,684 ) 89,795 (14,482 ) Total equity securities 139,400 (16,641 ) 12,534 (3,294 ) 151,934 (19,935 ) Short-term investments 369,104 (69 ) — — 369,104 (69 ) Total $ 1,286,311 $ (23,000 ) $ 1,481,341 $ (34,348 ) $ 2,767,652 $ (57,348 ) At December 31, 2017 , the Company held 739 securities with a total estimated fair value of $2.8 billion and gross unrealized losses of $57.3 million . Of these 739 securities, 272 securities had been in a continuous unrealized loss position for one year or longer and had a total estimated fair value of $1.5 billion and gross unrealized losses of $34.3 million . Of these securities, 258 securities were fixed maturities and 14 were equity securities. The Company does not intend to sell or believe it will be required to sell these fixed maturities before recovery of their amortized cost. The Company has the ability and intent to hold these equity securities for a period of time sufficient to allow for the anticipated recovery of their fair value. December 31, 2016 Less than 12 months 12 months or longer Total (dollars in thousands) Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Fixed maturities: U.S. Treasury securities $ 122,950 $ (894 ) $ — $ — $ 122,950 $ (894 ) U.S. government-sponsored enterprises 220,333 (4,324 ) 7,618 (4 ) 227,951 (4,328 ) Obligations of states, municipalities and political subdivisions 1,004,947 (37,685 ) 31,723 (4,120 ) 1,036,670 (41,805 ) Foreign governments 68,887 (2,145 ) 5,005 (8 ) 73,892 (2,153 ) Commercial mortgage-backed securities 749,889 (19,091 ) 29,988 (453 ) 779,877 (19,544 ) Residential mortgage-backed securities 181,557 (4,987 ) 79,936 (2,319 ) 261,493 (7,306 ) Asset-backed securities 14,501 (106 ) 5,869 (52 ) 20,370 (158 ) Corporate bonds 494,573 (8,357 ) 93,790 (1,680 ) 588,363 (10,037 ) Total fixed maturities 2,857,637 (77,589 ) 253,929 (8,636 ) 3,111,566 (86,225 ) Equity securities: Insurance, banks and other financial institutions 8,808 (410 ) 37,973 (5,186 ) 46,781 (5,596 ) Industrial, consumer and all other 98,406 (4,772 ) 29,650 (3,382 ) 128,056 (8,154 ) Total equity securities 107,214 (5,182 ) 67,623 (8,568 ) 174,837 (13,750 ) Short-term investments 504,211 (6 ) — — 504,211 (6 ) Total $ 3,469,062 $ (82,777 ) $ 321,552 $ (17,204 ) $ 3,790,614 $ (99,981 ) At December 31, 2016 , the Company held 654 securities with a total estimated fair value of $3.8 billion and gross unrealized losses of $100.0 million . Of these 654 securities, 109 securities had been in a continuous unrealized loss position for one year or longer and had a total estimated fair value of $321.6 million and gross unrealized losses of $17.2 million . Of these securities, 93 securities were fixed maturities and 16 were equity securities. The Company completes a detailed analysis each quarter to assess whether the decline in the fair value of any investment below its cost basis is deemed other-than-temporary. All securities with unrealized losses are reviewed. The Company considers many factors in completing its quarterly review of securities with unrealized losses for other-than-temporary impairment, including the length of time and the extent to which fair value has been below cost and the financial condition and near-term prospects of the issuer. For equity securities, the ability and intent to hold the security for a period of time sufficient to allow for anticipated recovery is considered. For fixed maturities, the Company considers whether it intends to sell the security or if it is more likely than not that it will be required to sell the security before recovery, the implied yield-to-maturity, the credit quality of the issuer and the ability to recover all amounts outstanding when contractually due. For equity securities, a decline in fair value that is considered to be other-than-temporary is recognized in net income based on the fair value of the security at the time of assessment, resulting in a new cost basis for the security. For fixed maturities where the Company intends to sell the security or it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost, a decline in fair value is considered to be other-than-temporary and is recognized in net income based on the fair value of the security at the time of assessment, resulting in a new cost basis for the security. If the decline in fair value of a fixed maturity below its amortized cost is considered to be other-than-temporary based upon other considerations, the Company compares the estimated present value of the cash flows expected to be collected to the amortized cost of the security. The extent to which the estimated present value of the cash flows expected to be collected is less than the amortized cost of the security represents the credit-related portion of the other-than-temporary impairment, which is recognized in net income, resulting in a new cost basis for the security. Any remaining decline in fair value represents the non-credit portion of the other-than-temporary impairment, which is recognized in other comprehensive income (loss). The discount rate used to calculate the estimated present value of the cash flows expected to be collected is the effective interest rate implicit for the security at the date of purchase. When assessing whether it intends to sell a fixed maturity or if it is likely to be required to sell a fixed maturity before recovery of its amortized cost, the Company evaluates facts and circumstances including decisions to reposition the investment portfolio, potential sales of investments to meet cash flow needs and, ultimately, current market prices. c) The amortized cost and estimated fair value of fixed maturities at December 31, 2017 are shown below by contractual maturity. (dollars in thousands) Amortized Cost Estimated Fair Value Due in one year or less $ 288,292 $ 289,171 Due after one year through five years 1,297,635 1,334,823 Due after five years through ten years 1,671,171 1,744,280 Due after ten years 4,167,420 4,447,174 7,424,518 7,815,448 Commercial mortgage-backed securities 1,244,777 1,234,326 Residential mortgage-backed securities 846,916 856,168 Asset-backed securities 34,942 34,728 Total fixed maturities $ 9,551,153 $ 9,940,670 Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties, and the lenders may have the right to put the securities back to the borrower. Based on expected maturities, the estimated average duration of fixed maturities at December 31, 2017 was 6.5 years. d) The following table presents the components of net investment income. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Interest: Municipal bonds (tax-exempt) $ 87,768 $ 88,654 $ 93,580 Municipal bonds (taxable) 70,771 65,749 57,550 Other taxable bonds 145,085 144,752 138,763 Short-term investments, including overnight deposits 26,772 11,177 5,223 Dividends on equity securities 82,096 70,577 74,705 Income (loss) from equity method investments 11,076 6,852 (262 ) Other (828 ) 2,676 651 422,740 390,437 370,210 Investment expenses (17,031 ) (17,207 ) (16,997 ) Net investment income $ 405,709 $ 373,230 $ 353,213 e) Cumulative credit losses recognized in net income on fixed maturities where other-than-temporary impairment was identified and a portion of the other-than-temporary impairment was included in other comprehensive income (loss) were $10.7 million at December 31, 2015 and 2016 . There were no such losses included at December 31, 2017 . f) The following table presents net realized investment gains (losses) and the change in net unrealized gains on investments. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Realized gains: Sales of fixed maturities $ 5,525 $ 5,160 $ 3,073 Sales of equity securities 40,113 70,177 156,987 Other 6,644 1,415 8,103 Total realized gains 52,282 76,752 168,163 Realized losses: Sales of fixed maturities (1,983 ) (704 ) (4,598 ) Sales of equity securities (1,830 ) (6,988 ) (1,232 ) Other-than-temporary impairments (7,589 ) (18,355 ) (44,481 ) Other (1,295 ) (2,349 ) (486 ) Total realized losses (12,697 ) (28,396 ) (50,797 ) Gains (losses) on securities measured at fair value through net income (44,888 ) 16,791 (10,886 ) Net realized investment gains (losses) $ (5,303 ) $ 65,147 $ 106,480 Change in net unrealized gains on investments included in other comprehensive income (loss): Fixed maturities $ 89,741 $ (56,534 ) $ (137,435 ) Equity securities 1,035,793 398,752 (320,277 ) Short-term investments (94 ) (107 ) 128 Net increase (decrease) $ 1,125,440 $ 342,111 $ (457,584 ) g) The following table presents other-than-temporary impairment losses recognized in net income and included in net realized investment gains (losses) by investment type. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Fixed maturities: Corporate bonds $ (328 ) $ — $ — Total fixed maturities (328 ) — — Equity securities: Insurance, banks and other financial institutions (604 ) (7,586 ) (9,835 ) Industrial, consumer and all other (6,657 ) (10,769 ) (34,646 ) Total equity securities (7,261 ) (18,355 ) (44,481 ) Total $ (7,589 ) $ (18,355 ) $ (44,481 ) h) The following table presents the components of restricted assets. December 31, (dollars in thousands) 2017 2016 Restricted assets held in trust or on deposit to support underwriting activities $ 4,624,998 $ 4,059,336 Investments and cash and cash equivalents pledged as security for letters of credit 349,462 355,616 Total $ 4,974,460 $ 4,414,952 Total restricted assets are included on the Company's consolidated balance sheets as follows. December 31, (dollars in thousands) 2017 2016 Investments, available-for-sale $ 4,672,073 $ 4,068,535 Restricted cash and cash equivalents 302,387 346,417 Total $ 4,974,460 $ 4,414,952 i) At December 31, 2017 and 2016 , investments in securities issued by the U.S. Treasury, U.S. government agencies and U.S. government-sponsored enterprises were the only investments in any one issuer that exceeded 10% of shareholders' equity. At December 31, 2017 , the Company's ten largest equity holdings represented $2.5 billion , or 41% , of the equity portfolio. Investments in the property and casualty insurance industry represented $1.1 billion , or 19% , of the equity portfolio at December 31, 2017 . Investments in the property and casualty insurance industry included a $623.8 million investment in the common stock of Berkshire Hathaway Inc. |
Receivables
Receivables | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Receivables | Receivables The following table presents the components of receivables. December 31, (dollars in thousands) 2017 2016 Amounts receivable from agents, brokers and insureds $ 1,281,366 $ 1,102,538 Trade accounts receivable 181,666 123,341 Insurance proceeds receivable 39,196 — Program services fees receivable 22,767 — Employee stock loans receivable (see note 12(c)) 18,499 20,171 Investment management and performance fees receivable 5,796 38,735 Other 31,938 10,122 1,581,228 1,294,907 Allowance for doubtful receivables (13,775 ) (11,910 ) Receivables $ 1,567,453 $ 1,282,997 |
Deferred Policy Acquisition Cos
Deferred Policy Acquisition Costs | 12 Months Ended |
Dec. 31, 2017 | |
Deferred Policy Acquisition Costs Disclosures [Abstract] | |
Deferred Policy Acquisition Costs | Deferred Policy Acquisition Costs The following table presents the amounts of policy acquisition costs deferred and amortized. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Balance, beginning of year $ 392,410 $ 352,756 $ 353,410 Policy acquisition costs deferred 964,755 823,840 752,324 Amortization of policy acquisition costs (894,353 ) (782,221 ) (744,964 ) Foreign currency movements 2,757 (1,965 ) (8,014 ) Deferred policy acquisition costs $ 465,569 $ 392,410 $ 352,756 The following table presents the components of underwriting, acquisition and insurance expenses. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Amortization of policy acquisition costs $ 894,353 $ 782,221 $ 744,964 Other operating expenses 693,061 716,369 710,116 Underwriting, acquisition and insurance expenses $ 1,587,414 $ 1,498,590 $ 1,455,080 |
Property And Equipment
Property And Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property And Equipment | Property and Equipment The following table presents the components of property and equipment, which are included in other assets on the consolidated balance sheets. December 31, (dollars in thousands) 2017 2016 Land $ 66,885 $ 56,783 Buildings 119,729 76,159 Leasehold improvements 98,246 95,898 Land improvements 89,444 74,040 Furniture and equipment 341,450 301,146 Other 196,465 162,385 912,219 766,411 Accumulated depreciation and amortization (410,602 ) (354,009 ) Property and equipment $ 501,617 $ 412,402 Depreciation and amortization expense of property and equipment was $71.6 million , $64.8 million and $64.2 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. The Company does not own any individually material properties. The Company leases substantially all of the facilities used by its insurance operations and certain furniture and equipment under operating leases. The Company leases offices for the U.S. Insurance segment in Glen Allen, Virginia and in 34 other locations; the Company leases offices for the International Insurance segment in London, England and in 30 other locations; and the Company leases offices for the Reinsurance segment primarily in Summit, New Jersey and Hamilton, Bermuda. The Company's Markel Ventures operations own certain of their office, clinic, manufacturing, warehouse and distribution facilities and lease others. The Company believes these facilities are suitable and adequate for the Company's operations. |
Goodwill And Intangible Assets
Goodwill And Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill And Intangible Assets | Goodwill and Intangible Assets The following table presents the components of goodwill by reportable segment. (dollars in thousands) U.S. Insurance International Insurance Reinsurance Other (1) Total January 1, 2016 $ 280,579 $ 397,993 $ 122,745 $ 366,527 $ 1,167,844 Impairment loss — — — (18,723 ) (18,723 ) Foreign currency movements and other adjustments — (5,809 ) — (1,064 ) (6,873 ) December 31, 2016 (2) $ 280,579 $ 392,184 $ 122,745 $ 346,740 $ 1,142,248 Acquisitions (see note 2) 93,123 — — 533,612 626,735 Foreign currency movements and other adjustments — 5,935 — 2,546 8,481 December 31, 2017 (2) $ 373,702 $ 398,119 $ 122,745 $ 882,898 $ 1,777,464 (1) Amounts included in Other above are related to the Company's other operations, which are not included in a reportable segment. (2) Goodwill is net of accumulated impairment losses of $47.3 million as of December 31, 2017 and 2016 , included in Other. Goodwill and indefinite-lived intangible assets are tested for impairment at least annually. The Company completes an annual test during the fourth quarter of each year based upon the results of operations through September 30. There were no impairment losses recognized during 2017. During the fourth quarter of 2016, the Company recorded a goodwill impairment charge of $18.7 million to other expenses for one of the Markel Ventures industrial manufacturing reporting units, to reduce the carrying value of its goodwill to its implied fair value. Unfavorable market conditions, specifically declining oil prices from late 2014 through 2016 resulted in lower than expected earnings over a similar time period. The reporting unit's earnings are generally tied to infrastructure spending across global markets, a significant portion of which are influenced by the price of oil. To determine the value of the impairment loss, the Company estimated the fair value of the reporting unit primarily using an income approach based on a discounted cash flow model. While these cash flow projections yield positive cash flows and earnings in the long-term, they were insufficient to support the current carrying value of the reporting unit due to the unfavorable impact of current market conditions and recent trends on the Company's shorter-term projections. Following the impairment charge in 2016, the carrying value of the reporting unit's goodwill is zero . The following table presents the components of intangible assets with a net carrying amount. December 31, 2017 2016 (dollars in thousands) Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Customer relationships $ 938,536 $ (156,725 ) $ 460,327 $ (119,376 ) Broker relationships 183,514 (68,273 ) 183,092 (56,888 ) Trade names 163,736 (39,057 ) 100,966 (29,745 ) Investment management agreements 98,000 (14,000 ) 98,000 (7,000 ) Agent relationships 92,000 (4,042 ) — — Technology 84,242 (35,106 ) 54,408 (28,220 ) Insurance licenses 70,185 — 30,185 — Lloyd's syndicate capacity 12,000 — 12,000 — Other 42,959 (12,288 ) 34,172 (9,379 ) Total $ 1,685,172 $ (329,491 ) $ 973,150 $ (250,608 ) Amortization of intangible assets was $80.8 million , $68.5 million and $68.9 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. Amortization of intangible assets is estimated to be $117.6 million for 2018 , $110.9 million for 2019 , $103.1 million for 2020 , $101.4 million for 2021 and $98.2 million for 2022 . Indefinite-lived intangible assets were $88.2 million at December 31, 2017 and $48.2 million at December 31, 2016 . In 2017, the Company acquired $703.8 million of intangible assets, of which $663.8 million is amortizable. The definite-lived intangible assets acquired are expected to be amortized over a weighted average period of 14 years . The definite-lived intangible assets acquired during 2017 include customer relationships, trade names, agent relationships, technology and other, which are expected to be amortized over a weighted average period of 14 , 11 , 15 , nine and nine years, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income before income taxes includes the following components. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Domestic operations $ 337,704 $ 288,905 $ 323,954 Foreign operations (250,409 ) 341,015 418,151 Income before income taxes $ 87,295 $ 629,920 $ 742,105 Income tax expense (benefit) includes the following components. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Current: Domestic $ (19,255 ) $ 57,916 $ 44,406 Foreign 29,882 48,203 118,235 Total current tax expense 10,627 106,119 162,641 Deferred: Domestic (222,427 ) 19,991 9,415 Foreign (101,663 ) 43,367 (19,093 ) Total deferred tax expense (benefit) (324,090 ) 63,358 (9,678 ) Income tax expense (benefit) $ (313,463 ) $ 169,477 $ 152,963 Foreign income tax expense includes U.S. income tax expense on foreign operations, which includes U.S. income tax on the Company's Bermuda-based operations, certain of which have elected to be taxed as domestic corporations for U.S. tax purposes. State income tax expense is not material to the consolidated financial statements. The Company made income tax payments of $70.2 million , $142.2 million and $132.5 million in 2017 , 2016 and 2015 , respectively. Income taxes payable were $51.3 million and $46.4 million at December 31, 2017 and 2016 , respectively, and were included in other liabilities on the consolidated balance sheets. Income taxes receivable were $64.3 million and $5.4 million at December 31, 2017 and 2016, respectively, and were included in other assets on the consolidated balance sheets. On December 22, 2017, the U.S. enacted the Tax Cuts and Jobs Act (TCJA), which made significant modifications to U.S. federal income tax law, most of which are effective January 1, 2018. The TCJA, among other changes, (1) reduces the U.S. corporate tax rate from 35% to 21%, (2) imposes a one-time deemed repatriation tax on unremitted foreign earnings which were not previously subject to U.S. income tax, (3) moves the U.S. from a worldwide tax system towards a territorial tax system and (4) modifies the manner in which property and casualty insurance loss reserves are computed for federal income tax purposes. U.S. GAAP requires companies to recognize the effect of tax law changes in the period of enactment. As a result, the Company recorded a one-time tax benefit of $339.9 million in the fourth quarter of 2017, a portion of which is considered provisional. This one-time tax benefit from the TCJA is attributable to the remeasurement of the Company’s U.S. deferred tax assets and liabilities on temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their tax bases at the lower enacted U.S. corporate tax rate, as well as the tax on the deemed repatriation of foreign earnings, as follows: Year Ended (dollars in thousands) December 31, 2017 Tax rate change on net unrealized gains on investments $ (401,538 ) Tax rate change on other temporary differences - Markel Ventures (provisional) (37,129 ) Tax rate change on other temporary differences - Other operations (provisional) 69,268 Tax on deemed repatriation of foreign earnings (provisional) 29,500 Total $ (339,899 ) The impact of the tax rate change applied to temporary differences other than those related to net unrealized gains on investments is considered provisional because all the data necessary to calculate the underlying tax basis of certain temporary differences under the new tax law is not yet available and additional analysis is required. The largest provisional deferred tax component on other temporary differences is related to the Company’s unpaid losses and loss adjustment expenses. Other provisional deferred tax components are not significant. The tax on the deemed repatriation of foreign earnings is also considered provisional because a number of inputs to the calculation are incomplete, principally the earnings and profits of certain foreign subsidiaries which were not previously subject to U.S. income tax. There is also potential that authoritative clarification of technical issues associated with application of the TCJA, which are presently unclear, will be issued. The additional analysis required for provisional deferred tax components will be completed within the measurement period, which cannot exceed 12 months from the date of enactment, during preparation of the Company’s 2017 tax return. Once completed, any adjustments to these provisional deferred tax components will be reflected in income tax expense. The following table presents a reconciliation of income taxes computed using the U.S. corporate tax rate to the Company's income tax expense (benefit). Years Ended December 31, 2017 2016 2015 Income taxes at U.S. corporate tax rate $ 30,553 35 % $ 220,472 35 % $ 259,737 35 % Increase (decrease) resulting from: TCJA (339,899 ) (389 ) — — — — Tax-exempt investment income (41,565 ) (48 ) (39,710 ) (6 ) (40,483 ) (5 ) Tax credits (10,236 ) (12 ) (13,294 ) (2 ) (56,409 ) (8 ) Stock based compensation (9,001 ) (10 ) (5,411 ) (1 ) — — Foreign operations 54,920 63 4,672 1 (10,766 ) (1 ) Other 1,765 2 2,748 — 884 — Income tax expense (benefit) $ (313,463 ) (359 )% $ 169,477 27 % $ 152,963 21 % The following table presents the components of domestic and foreign deferred tax assets and liabilities. December 31, (dollars in thousands) 2017 2016 Assets: Unpaid losses and loss adjustment expenses $ 144,761 $ 181,303 Life and annuity benefits 77,945 135,075 Unearned premiums recognized for income tax purposes 74,282 121,852 Tax credit carryforwards 48,938 23,037 Net operating loss carryforwards 29,252 26,743 Accrued incentive compensation 23,167 67,719 Other differences between financial reporting and tax bases 60,995 64,177 Total gross deferred tax assets 459,340 619,906 Less valuation allowance (25,225 ) (18,781 ) Total gross deferred tax assets, net of allowance 434,115 601,125 Liabilities: Investments 603,523 664,950 Amortization of goodwill and other intangible assets 171,681 102,631 Deferred policy acquisition costs 90,826 128,302 Other differences between financial reporting and tax bases 73,664 35,727 Total gross deferred tax liabilities 939,694 931,610 Net deferred tax liability $ 505,579 $ 330,485 The net deferred tax liability at December 31, 2017 and 2016 was included in other liabilities on the consolidated balance sheets. At December 31, 2017 , the Company had tax credit carryforwards of $48.9 million . The earliest any of these credits will expire is 2024 . At December 31, 2017 , the Company also had net operating losses of $15.1 million that can be used to offset other future taxable income in the U.S. The Company's ability to use these losses expires between the years 2028 and 2030 . At December 31, 2017 , certain branch operations in Europe and a wholly owned subsidiary in Brazil had net operating losses of $105.2 million that can be used to offset future income in their local jurisdictions. The Company's ability to use $26.9 million of these losses expires between the years 2020 and 2026 . The remaining losses are not subject to expiration. As di scussed below, the deferred tax assets related to losses at the Company's European branches and Brazilian subsidiary are offset by valuation allowances. The Company believes that it is more likely than not that it will rea lize $434.1 million of gross deferred tax assets, including net operating losses at December 31, 2017 , through generating taxable income or t he reversal of existing temporary differences attributable to the gross deferred tax liabilities. As a result of cumulative net operating losses in certain jurisdictions, the Company has a valuation allowance of $25.2 million at December 31, 2017 that offsets the deferred tax assets primarily related to losses incurred at European branches of one of the Company's wholly owned United Kingdom subsidiaries and at one of the Company's Brazilian subsidiaries. At December 31, 2017 , the Company did not have any material unrecognized tax benefits. The Company does not currently anticipate any changes in unrecognized tax benefits during 2018 that would have a material impact on the Company's income tax provision. The Company is subject to income tax in the U.S. and in foreign jurisdictions. With few exceptions, the Company is no longer subject to income tax examination by tax authorities for years ended before January 1, 2014. Following the enactment of the TCJA and as a result of the tax on the deemed repatriation of foreign earnings, the Company’s net foreign earnings have now been subjected to tax in the U.S. However, the Company continues to be indefinitely reinvested in its foreign subsidiaries, with the exception of certain Bermuda-based subsidiaries, and no provision for deferred U.S. income taxes has been recorded on the basis differences attributable to those subsidiaries. The Company's largest basis difference is attributable to net unrealized gains on investments held by the Company’s foreign insurance operations, which totaled $630.0 million at December 31, 2017. This amount has not been subjected to the 21% U.S. corporate tax rate. While the Company's tax expense for the year ended December 31, 2017 is based upon an assertion that it is indefinitely reinvested in its foreign subsidiaries, the Company's plans for its foreign operations may change upon completion of an assessment of the impact of the TCJA on capital in the Company's foreign subsidiaries. A change in the Company's indefinite reinvestment assertion for some or all of its foreign subsidiaries could result in recognition of additional income tax expense. |
Unpaid Losses And Loss Adjustme
Unpaid Losses And Loss Adjustment Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Liability for Unpaid Claims and Claims Adjustment Expense, Incurred Claims [Abstract] | |
Unpaid Losses And Loss Adjustment Expenses | Unpaid Losses and Loss Adjustment Expenses a) The following table presents a reconciliation of consolidated beginning and ending reserves for losses and loss adjustment expenses. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Net reserves for losses and loss adjustment expenses, beginning of year $ 8,108,717 $ 8,235,288 $ 8,535,483 Foreign currency movements 110,079 (129,692 ) (134,173 ) Adjusted net reserves for losses and loss adjustment expenses, beginning of year 8,218,796 8,105,596 8,401,310 Incurred losses and loss adjustment expenses: Current accident year 3,367,223 2,555,902 2,566,545 Prior accident years (497,627 ) (493,495 ) (627,800 ) Total incurred losses and loss adjustment expenses 2,869,596 2,062,407 1,938,745 Payments: Current accident year 671,112 532,140 486,551 Prior accident years 1,513,580 1,529,206 1,423,286 Total payments 2,184,692 2,061,346 1,909,837 Effect of foreign currency rate changes 3,752 2,060 (17,281 ) Net reserves for losses and loss adjustment expenses of acquired insurance companies 57,493 — — Reinsurance recoverable on retroactive reinsurance transactions — — (177,649 ) Net reserves for losses and loss adjustment expenses, end of year 8,964,945 8,108,717 8,235,288 Reinsurance recoverable on unpaid losses 4,619,336 2,006,945 2,016,665 Gross reserves for losses and loss adjustment expenses, end of year $ 13,584,281 $ 10,115,662 $ 10,251,953 In March 2015, the Company completed a retroactive reinsurance transaction to cede a portfolio of policies primarily comprised of liabilities arising from asbestos and environmental (A&E) exposures that originated before 1992 in exchange for payments totaling $89.0 million , which included cash paid at closing of $69.9 million . Effective March 31, 2017, the related reserves, which totaled $69.1 million , were formally transferred to the third party by way of a Part VII transfer pursuant to the Financial Services and Markets Act 2000 of the United Kingdom. The Part VII transfer eliminates the uncertainty regarding the potential for adverse development of estimated ultimate liabilities on the underlying policies. Upon completion of the transfer in the first quarter of 2017, the Company recognized a previously deferred gain of $3.9 million , which is included in losses and loss adjustment expenses on the consolidated statement of income (loss) and comprehensive income (loss) in 2017. This amount is excluded from the prior years' incurred losses and loss adjustment expenses for 2017 in the above table as the deferred gain was included in other liabilities on the consolidated balance sheet as of December 31, 2016, rather than unpaid losses and loss adjustment expenses. In October 2015, the Company completed a second retroactive reinsurance transaction to cede a portfolio of policies primarily comprised of liabilities arising from A&E exposures that originated before 1987 in exchange for cash payments totaling $86.5 million . The transaction provides up to $300 million of coverage for losses in excess of a $97.0 million retention on the ceded policies and 50% coverage on an additional $100 million of losses. The transaction was effective as of January 1, 2015, at which time reserves for unpaid losses and loss adjustment expenses on the policies ceded totaled $173.4 million . After considering the Company's retention on the ceded policies, ceded reserves for unpaid losses and loss adjustment expenses totaled $76.4 million , resulting in an underwriting loss of $10.1 million on the transaction. In 2016, incurred losses and loss adjustment expenses in the above table exclude $11.7 million of favorable development on prior years loss reserves included in losses and loss adjustment expenses on the consolidated statement of income and other comprehensive income (loss) related to the commutation of a property and casualty deposit contract, for which the underlying deposit liability was included in other liabilities on the consolidated balance sheet as of December 31, 2015, rather than unpaid losses and loss adjustment expenses. In 2017, the Company recorded net reserves for losses and loss adjustment expenses of $57.5 million as a result of acquisitions completed during the year. All acquired net reserves were recorded at fair value as part of the Company's purchase accounting. See note 2 for a discussion of the Company's acquisitions. In 2017, underwriting results included $565.3 million of underwriting loss from Hurricanes Harvey, Irma, Maria and Nate as well as the earthquakes in Mexico and wildfires in California (2017 Catastrophes). The underwriting loss on the 2017 Catastrophes was comprised of $585.4 million of estimated net losses and loss adjustment expenses and $20.1 million of net assumed reinstatement premiums. The estimated net losses and loss adjustment expenses on the 2017 Catastrophes for the current year were net of estimated reinsurance recoverables of $490.3 million . In 2017, incurred losses and loss adjustment expenses included $497.6 million of favorable development on prior years' loss reserves, which included $414.1 million of favorable development on the Company's general liability, professional liability, and workers' compensation product lines as well as personal lines business within the U.S. Insurance segment, professional liability, general liability and marine and energy product lines within the International Insurance segment, and property product lines within the Reinsurance segment. Favorable development in 2017 was partially offset by $85.0 million of adverse development resulting from a decrease in the discount rate, known as the Ogden Rate, used to calculate lump sum awards in United Kingdom (U.K.) bodily injury cases. Effective March 20, 2017, the Ogden Rate decreased from plus 2.5% to minus 0.75% , which represents the first rate change since 2001. The effect of the rate change is most impactful to the Company's U.K. auto casualty exposures through reinsurance contracts written in the Reinsurance segment. In late 2014, the Company ceased writing auto reinsurance in the U.K. The reduction in the Ogden Rate increased the expected claims payments on these exposures, and management increased loss reserves accordingly. The Company's estimate of the ultimate cost of settling these claims is based on many factors, and is subject to increase or decrease as the effect of changes in these factors becomes known over time. In 2016 , incurred losses and loss adjustment expenses included $493.5 million of favorable development on prior years' loss reserves, which was due in part to $418.0 million of favorable development on the Company's long-tail casualty lines within the U.S. Insurance and International Insurance segments, marine and energy product lines within the International Insurance segment, and property product lines in the U.S. Insurance and Reinsurance segments, as actual claims reporting and development patterns on prior accident years have been more favorable than the Company's actuarial analyses initially anticipated. Favorable development in 2016 was partially offset by $71.2 million of adverse development on the Company's specified medical and medical malpractice product lines within the U.S. Insurance segment. In 2015, incurred losses and loss adjustment expenses included $627.8 million of favorable development on prior years' loss reserves, which was due in part to $375.8 million of favorable development on the Company's general liability, workers' compensation, inland marine and brokerage property product lines within the U.S. Insurance segment and on general liability, professional liability and marine and energy product lines within the International Insurance segment, as actual claims reporting patterns on prior accident years have been more favorable than the Company's actuarial analyses initially anticipated. In 2015, incurred losses and loss adjustment expenses also included $82.7 million of favorable development on prior years' loss reserves attributable to a decrease in the estimated volatility of the Company's consolidated net reserves for unpaid losses and loss adjustment expenses as a result of ceding a significant portion of the Company's A&E exposures to a third party during 2015, as described above. As a result of this decrease in estimated volatility, the level of confidence in the Company's net reserves for unpaid losses and loss adjustment expenses increased. Therefore, management reduced prior years' loss reserves by $82.7 million in order to maintain a consolidated confidence level in a range consistent with the Company's historic levels. This reduction in prior years' loss reserves occurred across all three of the Company's ongoing underwriting segments. The favorable development on prior years' loss reserves in 2015 was partially offset by $25.4 million of adverse development on prior years' loss reserves for A&E exposures, of which $7.1 million is attributable to the underwriting loss on the retroactive reinsurance transaction described above. Following the October 2015 retroactive reinsurance transaction, the Company's actuaries increased their estimate of the ultimate losses on the remaining A&E claims and management increased prior years' loss reserves by $15.0 million . Without the diversification of a larger portfolio of loss reserves, there is greater uncertainty around the potential outcomes of the remaining claims, and management strengthened reserves accordingly. The Company uses a variety of techniques to establish the liabilities for unpaid losses and loss adjustment expenses based upon estimates of the ultimate amounts payable. The Company maintains reserves for specific claims incurred and reported (case reserves) and reserves for claims incurred but not reported (IBNR reserves), which include expected development on reported claims. The Company does not discount its reserves for losses and loss adjustment expenses to reflect estimated present value, except for reserves assumed in connection with an acquisition, which are recorded at fair value at the acquisition date, and reserves held for a runoff book of U.K. motor business. The fair value adjustment includes an adjustment to reflect the acquired reserves for losses and loss adjustment expenses at present value plus a risk premium, the net of which is amortized to losses and loss adjustment expenses within the consolidated statements of income. As of any balance sheet date, all claims have not yet been reported, and some claims may not be reported for many years. As a result, the liability for unpaid losses and loss adjustment expenses includes significant estimates for incurred but not reported claims. There is normally a time lag between when a loss event occurs and when it is actually reported to the Company. The actuarial methods that the Company uses to estimate losses have been designed to address the lag in loss reporting as well as the delay in obtaining information that would allow the Company to more accurately estimate future payments. There is also a time lag between cedents establishing case reserves and re-estimating their reserves, and notifying the Company of the new or revised case reserves. As a result, the reporting lag is more pronounced in reinsurance contracts than in the insurance contracts due to the reliance on ceding companies to report their claims. On reinsurance transactions, the reporting lag will generally be 60 to 90 days after the end of a reporting period, but can be longer in some cases. Based on the experience of the Company's actuaries and management, loss development factors and trending techniques are selected to mitigate the difficulties caused by reporting lags. The loss development and trending factor selections are evaluated at least annually and updated using cedent specific and industry data. IBNR reserves are based on the estimated ultimate cost of settling claims, including the effects of inflation and other social and economic factors, using past experience adjusted for current trends and any other factors that would modify past experience. IBNR reserves, which include expected development on reported claims, are generally calculated by subtracting paid losses and loss adjustment expenses and case reserves from estimated ultimate losses and loss adjustment expenses. IBNR reserves were 64% of total unpaid losses and loss adjustment expenses at December 31, 2017 compared to 67% at December 31, 2016 . In establishing liabilities for unpaid losses and loss adjustment expenses, the Company's actuaries estimate an ultimate loss ratio, by accident year or policy year, for each product line with input from underwriting and claims associates. For product lines in which loss reserves are established on a policy year basis, the Company has developed a methodology to convert from policy year to accident year for financial reporting purposes. In estimating an ultimate loss ratio for a particular line of business, the actuaries may use one or more actuarial reserving methods and select from these a single point estimate. To varying degrees, these methods include detailed statistical analysis of past claim reporting, settlement activity, claim frequency and severity, policyholder loss experience, industry loss experience and changes in market conditions, policy forms and exposures. Greater judgment may be required when new product lines are introduced or when there have been changes in claims handling practices, as the statistical data available may be insufficient. These estimates also reflect implicit and explicit assumptions regarding the potential effects of external factors, including economic and social inflation, judicial decisions, changes in law, general economic conditions and recent trends in these factors. Management believes the process of evaluating past experience, adjusted for the effects of current developments and anticipated trends, is an appropriate basis for predicting future events. Loss reserves are established at management's best estimate, which is generally higher than the corresponding actuarially calculated point estimate. The actuarial point estimate represents the actuaries' estimate of the most likely amount that will ultimately be paid to settle the loss reserves that are recorded at a particular point in time; however, there is inherent uncertainty in the point estimate as it is the expected value in a range of possible reserve estimates. In some cases, actuarial analyses, which are based on statistical analysis, cannot fully incorporate all of the subjective factors that affect development of losses. In other cases, management's perspective of these more subjective factors may differ from the actuarial perspective. Subjective factors where management's perspective may differ from that of the actuaries include: the credibility and timeliness of claims information received from third parties, economic and social inflation, judicial decisions, changes in law, changes in underwriting or claims handling practices, general economic conditions, the risk of moral hazard and other current and developing trends within the insurance and reinsurance markets, including the effects of competition. As a result, the actuarially calculated point estimates for each of line of business represents starting points for management's quarterly review of loss reserves. Inherent in the Company's reserving practices is the desire to establish loss reserves that are more likely redundant than deficient. As such, the Company seeks to establish loss reserves that will ultimately prove to be adequate. As part of the Company's acquisition of insurance operations, to the extent the reserving philosophy of the acquired business differs from the Company's reserving philosophy, the post-acquisition loss reserves will be strengthened until total loss reserves are consistent with the Company's target level of confidence. Furthermore, the Company's philosophy is to price its insurance products to make an underwriting profit. Management continually attempts to improve its loss estimation process by refining its ability to analyze loss development patterns, claim payments and other information, but uncertainty remains regarding the potential for adverse development of estimated ultimate liabilities. Management currently believes the Company's gross and net reserves are adequate. However, there is no precise method for evaluating the impact of any significant factor on the adequacy of reserves, and actual results will differ from original estimates. b) The following tables present loss development information, by accident year, for the Company's U.S. Insurance, International Insurance and Reinsurance segments, including cumulative incurred and paid losses and allocated loss adjustment expenses, net of reinsurance, as well as the corresponding amount of IBNR reserves as of December 31, 2017 . This level of disaggregation is consistent with how the Company analyzes loss reserves for both internal and external reporting purposes. The loss development information for the years ended December 31, 2012 through 2016 is presented as supplementary information. For the Company's U.S. Insurance segment, the years presented in the tables comprise the majority of the period for which incurred losses typically remain outstanding. Incurred losses in the Company's International Insurance and Reinsurance segments, which generally include a larger proportion of long-tail business than the U.S. Insurance segment, generally remain outstanding more than six years; however, data prior to 2012 is not practically available by segment as a result of a change in the Company's reportable segments in 2014, which was most impactful on these two segments. Additionally, reserves for the Company's international operations within these two segments are determined on a policy year basis and historical data prior to 2012 does not exist by accident year. All amounts included in the tables below related to transactions denominated in a foreign currency have been translated into United States Dollars using the exchange rates in effect at December 31, 2017 . The tables below also include claim frequency information, by accident year, for each of the segments presented. The Company defines a claim as a single claim incident, per policy, which may include multiple claimants and multiple coverages on a single policy. Claim counts include claims closed without a payment as well as claims where the Company is monitoring to determine if an exposure exists, even if a reserve has not been established. In 2013, the Company completed the acquisition of Alterra, the results of which are included in each of the Company's reportable segments. Ultimate incurred losses and loss adjustment expenses, net of reinsurance for the year ended December 31, 2013 include outstanding liabilities for losses and loss adjustment expenses of Alterra as of the acquisition date, by accident year and not in any prior periods. Pre-acquisition data is not available by segment and accident year as a result of changes to the historical Alterra product line reporting structure that impacted each of the Company's reportable segments and the impact of significant intercompany reinsurance contracts. Additionally, Alterra reserves were historically determined on a policy year basis and pre-acquisition data does not exist in a format that can be used to determine accident year and segment. Following the acquisition, ongoing business attributable to Alterra was integrated with the Company's other insurance operations and is not separately tracked. U.S. Insurance Segment Ultimate Incurred Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Total of Incurred-but-Not-Reported Liabilities, Net of Reinsurance Cumulative Number of Reported Claims Unaudited Year Ended December 31, (in thousands) Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 December 31, 2017 2012 $ 949,141 $ 985,721 $ 924,138 $ 924,621 $ 909,237 $ 891,641 $ 88,973 107 2013 1,130,681 1,105,927 1,042,100 1,009,438 996,204 124,412 66 2014 1,278,116 1,140,685 1,116,093 1,088,667 193,049 57 2015 1,285,411 1,211,389 1,136,033 305,158 57 2016 1,319,731 1,224,207 476,971 59 2017 1,572,585 911,675 67 Total $ 6,909,337 Cumulative Paid Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Unaudited Year Ended December 31, Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 2012 $ 193,708 $ 401,773 $ 546,635 $ 644,658 $ 728,802 $ 763,455 2013 222,890 443,392 594,558 725,782 799,385 2014 264,697 487,068 650,118 770,490 2015 260,121 514,497 660,699 2016 278,650 523,226 2017 336,553 Total $ 3,853,808 All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance 289,191 Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance $ 3,344,720 Ultimate incurred losses and allocated loss adjustment expenses and cumulative paid losses and allocated loss adjustment expenses for the year ended December 31, 2017 for the U.S. Insurance segment include amounts attributable to acquisitions completed in 2017 which are not material to the segment. Ultimate incurred losses and allocated loss adjustment expenses for the year ended December 31, 2013 for the U.S. Insurance segment include $97.4 million and $149.9 million of losses and loss adjustment expenses on the 2012 and 2013 accident years, respectively, attributable to Alterra. Cumulative paid losses and allocated loss adjustment expenses for the year ended December 31, 2013 include $22.6 million and $23.2 million of paid losses and allocated loss adjustment expenses on the 2012 and 2013 accident years, respectively, attributable to the acquired Alterra reserves and post-acquisition Alterra business. Cumulative paid losses and allocated loss adjustment expenses and cumulative reported claims for the 2012 and 2013 accident years exclude any claims paid or closed prior to the acquisition. Cumulative reported claims for the 2012, 2013 and 2017 accident years include 66 thousand , 17 thousand and 10 thousand , respectively, of claim counts associated with a personal lines product with high claim frequency and low claim severity. The Company did not write this business from 2014 to 2016. The related net incurred losses and allocated loss adjustment expenses are not material to the U.S. Insurance segment. International Insurance Segment Ultimate Incurred Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Total of Incurred-but-Not-Reported Liabilities, Net of Reinsurance Cumulative Number of Reported Claims Unaudited Year Ended December 31, (in thousands) Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 December 31, 2017 2012 $ 428,711 $ 633,511 $ 573,945 $ 511,144 $ 493,563 $ 477,855 $ 58,151 19 2013 614,829 598,638 492,290 460,978 439,992 128,109 18 2014 594,055 566,049 522,778 491,882 117,588 18 2015 508,159 510,035 460,851 119,232 22 2016 562,190 573,593 142,890 22 2017 765,959 427,823 21 Total $ 3,210,132 Cumulative Paid Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Unaudited Year Ended December 31, Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 2012 $ 40,545 $ 168,322 $ 237,084 $ 297,752 $ 329,766 $ 360,164 2013 49,426 130,088 187,671 227,922 243,043 2014 68,464 174,294 249,408 297,887 2015 63,564 153,418 219,574 2016 94,926 232,921 2017 103,780 Total $ 1,457,369 All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance 482,546 Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance $ 2,235,309 Ultimate incurred losses and allocated loss adjustment expenses for the year ended December 31, 2013 for the International Insurance segment include $159.9 million and $163.9 million of losses and loss adjustment expenses on the 2012 and 2013 accident years, respectively, attributable to Alterra. Cumulative paid losses and allocated loss adjustment expenses for the year ended December 31, 2013 include $14.2 million and $6.3 million of paid losses and allocated loss adjustment expenses on the 2012 and 2013 accident years, respectively, attributable to the acquired Alterra reserves and post-acquisition Alterra business. Cumulative paid losses and allocated loss adjustment expenses and cumulative reported claims for the 2012 and 2013 accident years exclude any claims paid or closed prior to the acquisition. Business contained within the Company's International Insurance segment includes business managed by other managing agents, coverholders and third party administrators, for which the Company is unable to obtain access to the underlying claim counts. As such, the claim count information for this business has been excluded from the total claim counts reported above. This business represents 5% of the cumulative incurred losses and allocated loss adjustment expenses, net of reinsurance, on the 2012 through 2017 accident years detailed above. Reinsurance Segment Ultimate Incurred Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Total of Incurred-but-Not-Reported Liabilities, Net of Reinsurance Unaudited Year Ended December 31, (in thousands) Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 December 31, 2017 2012 $ 73,177 $ 553,865 $ 511,264 $ 489,767 $ 460,002 $ 458,643 $ 82,453 2013 591,730 583,775 553,046 538,223 549,500 129,940 2014 580,964 571,056 541,967 587,525 159,911 2015 530,245 516,568 535,936 247,838 2016 531,083 541,645 285,157 2017 910,948 563,757 Total $ 3,584,197 Cumulative Paid Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Unaudited Year Ended December 31, Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 2012 $ 4,127 $ 64,982 $ 129,633 $ 185,315 $ 233,284 $ 265,833 2013 71,983 156,903 212,106 271,598 304,797 2014 98,241 159,221 229,572 278,786 2015 64,130 135,132 210,289 2016 80,026 171,547 2017 158,420 Total $ 1,389,672 All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance 757,569 Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance $ 2,952,094 Ultimate incurred losses and allocated loss adjustment expenses for the year ended December 31, 2013 for the Reinsurance segment include $478.3 million and $540.9 million of losses and loss adjustment expenses on the 2012 and 2013 accident years, respectively, attributable to Alterra. Cumulative paid losses and allocated loss adjustment expenses for the year ended December 31, 2013 include $53.1 million and $69.3 million of paid losses and allocated loss adjustment expenses on the 2012 and 2013 accident years, respectively, attributable to the acquired Alterra reserves and post-acquisition Alterra business. Cumulative paid losses and allocated loss adjustment expenses for the 2012 and 2013 accident years exclude any claims paid prior to the acquisition. All of the business contained within the Company's Reinsurance segment represents treaty business that is assumed from other insurance or reinsurance companies, for which the Company does not have access to the underlying claim counts. Further, this business includes both quota share and excess of loss treaty reinsurance, through which only a portion of each reported claim results in losses to the Company. As such, the Company has excluded claim count information from the Reinsurance segment disclosures. The following table presents supplementary information about average historical claims duration as of December 31, 2017 based on the cumulative incurred and paid losses and allocated loss adjustment expenses presented above. Average Annual Percentage Payout of Incurred Losses by Age (in Years), Net of Reinsurance Unaudited 1 2 3 4 5 6 U.S. Insurance 22.6 % 21.7 % 14.8 % 11.7 % 8.4 % 3.9 % International Insurance 12.9 % 22.2 % 14.3 % 10.6 % 5.1 % 6.4 % Reinsurance 12.5 % 13.8 % 12.5 % 10.4 % 8.3 % 7.1 % The following table reconciles the net incurred and paid loss development tables, by segment, to the liability for losses and loss adjustment expenses in the consolidated balance sheet. (dollars in thousands) December 31, 2017 Net outstanding liabilities U.S. Insurance $ 3,344,720 International Insurance 2,235,309 Reinsurance 2,952,094 Other Insurance (Discontinued Lines) 246,365 Program Services 2,441 Liabilities for unpaid losses and loss adjustment expenses, net of reinsurance 8,780,929 Reinsurance recoverable on unpaid losses U.S. Insurance 827,113 International Insurance 1,091,785 Reinsurance 341,168 Other Insurance (Discontinued Lines) 166,281 Program Services 2,192,989 Total reinsurance recoverable on unpaid losses 4,619,336 Unallocated loss adjustment expenses 230,016 Unamortized fair value adjustments (46,000 ) 184,016 Total gross liability for unpaid losses and loss adjustment expenses $ 13,584,281 c) The Company's exposure to A&E claims results from policies written by acquired insurance operations before their acquisition by the Company. The Company's exposure to A&E claims originated from umbrella, excess and commercial general liability (CGL) insurance policies and assumed reinsurance contracts that were written on an occurrence basis from the 1970s to mid-1980s. Exposure also originated from claims-made policies that were designed to cover environmental risks provided that all other terms and conditions of the policy were met. A&E claims include property damage and clean-up costs related to pollution, as well as personal injury allegedly arising from exposure to hazardous materials. After 1986, the Company began underwriting CGL coverage with pollution exclusions, and in some lines of business the Company began using a claims-made form. These changes significantly reduced the Company's exposure to future A&E claims on post-1986 business. The following table provides a reconciliation of beginning and ending A&E reserves for losses and loss adjustment expenses, which are a component of consolidated unpaid losses and loss adjustment expenses. Amounts included in the following table are presented before consideration of reinsurance allowances. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Net reserves for A&E losses and loss adjustment expenses, beginning of year $ 111,604 $ 132,869 $ 287,723 Commutations and other 6,827 — — Adjusted net reserves for A&E losses and loss adjustment expenses, beginning of year 118,431 132,869 287,723 Incurred losses and loss adjustment expenses 659 (5,277 ) 25,415 Payments (14,429 ) (15,988 ) (20,628 ) Reinsurance recoverable on retroactive reinsurance transactions — — (159,641 ) Net reserves for A&E losses and loss adjustment expenses, end of year 104,661 111,604 132,869 Reinsurance recoverable on unpaid losses 169,866 212,300 253,756 Gross reserves for A&E losses and loss adjustment expenses, end of year $ 274,527 $ 323,904 $ 386,625 At December 31, 2017 , asbestos-related reserves were $210.7 million and $84.4 million on a gross and net basis, respectively. Net reserves for reported claims for A&E exposures were $92.0 million at December 31, 2017 . Net incurred but not reported reserves for A&E exposures were $12.7 million at December 31, 2017 . Inception-to-date net paid losses and loss adjustment expenses for A&E related exposures totaled $626.4 million at December 31, 2017 , which includes $159.6 million of payments for two retroactive reinsurance transactions completed in 2015 and $96.2 million of litigation-related expense. As previously described, during 2015, the Company completed two retroactive reinsurance transactions to cede two portfolios of policies primarily comprised of liabilities arising from A&E exposures. At the time of the transactions, the reinsurance recoverable for the retroactive reinsurance coverages totaled $177.6 million , of which $159.6 million was attributable to A&E exposures. The Company's reserves for losses and loss adjustment expenses related to A&E exposures represent management's best estimate of ultimate settlement values. A&E reserves are monitored by management, and the Company's statistical analysis of these reserves is reviewed by the Company's independent actuaries. A&E exposures are subject to significant uncertainty due to potential loss severity and frequency resulting from the uncertain and unfavorable legal climate. A&E reserves could be subject to increases in the future; however, management believes the Company's gross and net A&E reserves at December 31, 2017 are adequate. |
Life And Annuity Benefits
Life And Annuity Benefits | 12 Months Ended |
Dec. 31, 2017 | |
Liability for Future Policy Benefits [Abstract] | |
Life And Annuity Benefits | Life and Annuity Benefits The following table presents life and annuity benefits. December 31, (dollars in thousands) 2017 2016 Life $ 127,208 $ 131,768 Annuities 885,984 849,226 Accident and health 58,920 68,660 Total $ 1,072,112 $ 1,049,654 Life and annuity benefits are compiled on a reinsurance contract-by-contract basis and are discounted using standard actuarial techniques and cash flow models. Since the development of the life and annuity reinsurance reserves is based upon cash flow projection models, the Company must make estimates and assumptions based on cedent experience, industry mortality tables, and expense and investment experience, including a provision for adverse deviation. The assumptions used to determine policy benefit reserves are generally locked-in for the life of the contract unless an unlocking event occurs. Loss recognition testing is performed to determine if existing policy benefit reserves, together with the present value of future gross premiums and expected investment income earned thereon, are adequate to cover the present value of future benefits, settlement and maintenance costs. If the existing policy benefit reserves are not sufficient, the locked-in assumptions are revised to current best estimate assumptions and a charge to earnings for life and annuity benefits is recognized at that time. Because of the assumptions and estimates used in establishing the Company's reserves for life and annuity benefit obligations and the long-term nature of these reinsurance contracts, the ultimate liability may be greater or less than the estimates. The average discount rate for the life and annuity benefit reserves was 2.3% as of December 31, 2017 . As of December 31, 2017 , the largest life and annuity benefits reserve for a single contract was 33.8% of the total. No annuities included in life and annuity benefits in the consolidated balance sheet are subject to discretionary withdrawal. |
Senior Long-Term Debt And Other
Senior Long-Term Debt And Other Debt | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Senior Long-Term Debt And Other Debt | Senior Long-Term Debt and Other Debt The following table summarizes the Company's senior long-term debt and other debt. December 31, (dollars in thousands) 2017 2016 7.20% unsecured senior notes, due April 14, 2017, interest payable semi-annually, net of unamortized premium of $0 in 2017 and $417 in 2016 $ — $ 91,046 7.125% unsecured senior notes, due September 30, 2019, interest payable semi-annually, net of unamortized discount of $332 in 2017 and $522 in 2016 234,411 234,183 6.25% unsecured senior notes, due September 30, 2020, interest payable semi-annually, net of unamortized premium of $26,618 in 2017 and $35,717 in 2016 376,616 385,714 5.35% unsecured senior notes, due June 1, 2021, interest payable semi-annually, net of unamortized discount of $706 in 2017 and $912 in 2016 249,176 248,957 4.90% unsecured senior notes, due July 1, 2022, interest payable semi-annually, net of unamortized discount of $1,257 in 2017 and $1,536 in 2016 348,540 348,215 3.625% unsecured senior notes, due March 30, 2023, interest payable semi-annually, net of unamortized discount of $1,056 in 2017 and $1,257 in 2016 248,749 248,508 3.50% unsecured senior notes, due November 1, 2027, interest payable semi-annually, net of unamortized discount of $2,558 in 2017 296,728 — 7.35% unsecured senior notes, due August 15, 2034, interest payable semi-annually, net of unamortized discount of $1,143 in 2017 and $1,212 in 2016 128,642 128,570 5.0% unsecured senior notes, due March 30, 2043, interest payable semi-annually, net of unamortized discount of $5,655 in 2017 and $5,879 in 2016 244,033 243,796 5.0% unsecured senior notes, due April 5, 2046, interest payable semi-annually, net of unamortized discount of $6,909 in 2017 and $7,154 in 2016 492,219 491,943 4.30% unsecured senior notes, due November 1, 2047, interest payable semi-annually, net of unamortized discount of $4,451 in 2017 294,834 — Other debt, at various interest rates ranging from 1.7% to 6.1% 185,282 153,597 Senior long-term debt and other debt $ 3,099,230 $ 2,574,529 The Company's 6.25% unsecured senior notes and the 7.20% unsecured senior notes were issued by Alterra Finance LLC and Alterra USA Holdings Limited, respectively, which are wholly owned indirect subsidiaries of the Company, and are guaranteed by Markel Corporation. All of the Company's other unsecured senior notes were issued by Markel Corporation. In April 2017, the Company repaid its 7.20% unsecured senior notes due April 14, 2017 ( $90.6 million principal outstanding at December 31, 2016). Also in 2017, the Company repaid $84.3 million of debt assumed in connection with acquisitions. In November 2017, the Company issued $300 million of 3.50% unsecured notes due November 1, 2027 and $300 million of 4.30% unsecured notes due November 1, 2047. Net proceeds to the Company were $297.4 million and $295.5 million , respectively, to be used for general corporate purposes. In the second quarter of 2016, the Company issued $500 million of 5.0% unsecured senior notes due April 5, 2046. Net proceeds to the Company were $493.1 million . The Company used a portion of these proceeds to purchase $70.2 million of principal on its 7.35% unsecured senior notes due 2034 and $108.8 million of principal on its 7.125% unsecured senior notes due 2019 through a tender offer at a total purchase price of $95.0 million and $126.4 million , respectively. In connection with the purchase, the Company recognized a loss on early extinguishment of debt of $44.1 million during the year ended December 31, 2016. The Company's 7.35% unsecured senior notes due August 15, 2034 are not redeemable. The Company's other unsecured senior notes are redeemable by the Company at any time, subject to payment of a make-whole premium to the noteholders. None of the Company's senior long-term debt is subject to any sinking fund requirements. The Company's other debt is primarily associated with its subsidiaries and includes $78.3 million associated with its Markel Ventures subsidiaries. The Markel Ventures debt is non-recourse to the holding company and generally is secured by the assets of those subsidiaries. ParkLand, a subsidiary of the Company, has formed subsidiaries for the purpose of acquiring and financing real estate (the real estate subsidiaries). The assets of certain real estate subsidiaries, which are not material to the Company, are consolidated in accordance with U.S. GAAP but are not available to satisfy the debt and other obligations of the Company or any affiliates other than those real estate subsidiaries. Other debt also includes a $62.5 million note payable delivered as part of the consideration provided for the investment held by the Markel Diversified Fund, as discussed in note 17 . In January 2018, the Company repaid $37.5 million of the outstanding note payable. The estimated fair value of the Company's senior long-term debt and other debt was $3.4 billion and $2.7 billion at December 31, 2017 and 2016 , respectively. The following table summarizes the future principal payments due at maturity on senior long-term debt and other debt as of December 31, 2017 . Years Ending December 31, (dollars in thousands) 2018 $ 86,312 2019 239,765 2020 355,074 2021 277,072 2022 357,245 2023 and thereafter 1,785,340 Total principal payments $ 3,100,808 Net unamortized premium 2,552 Net unamortized debt issuance costs (4,130 ) Senior long-term debt and other debt $ 3,099,230 The Company maintains a revolving credit facility which provides $300 million of capacity for future acquisitions, investments, repurchases of capital stock of the Company and for general corporate purposes. At the Company's discretion, $200 million of the total capacity may be used for secured letters of credit. The Company may increase the capacity of the facility to $500 million subject to certain terms and conditions. The Company pays interest on balances outstanding under the facility and a utilization fee for letters of credit issued under the facility. The Company also pays a commitment fee ( 0.25% at December 31, 2017 ) on the unused portion of the facility based on the Company's debt to equity leverage ratio as calculated under the credit agreement. Markel Corporation, along with Alterra Finance LLC and Alterra USA Holdings Limited, guaranteed the Company's obligations under the facility. As a result, the Company's revolving credit facility ranks equally with the 6.25% unsecured senior notes. At December 31, 2017 and 2016 , the Company had no borrowings outstanding under this revolving credit facility. This facility expires in August 2019. At December 31, 2017 , the Company was in compliance with all covenants contained in its revolving credit facility. To the extent that the Company is not in compliance with its covenants, the Company's access to the revolving credit facility could be restricted. The Company paid $141.3 million , $135.4 million and $127.0 million in interest on its senior long-term debt and other debt during the years ended December 31, 2017 , 2016 and 2015 , respectively. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | Shareholders' Equity a) The Company had 50,000,000 shares of no par value common stock authorized of which 13,903,526 shares and 13,954,931 shares were issued and outstanding at December 31, 2017 and 2016 , respectively. The Company also has 10,000,000 shares of no par value preferred stock authorized, none of which was issued or outstanding at December 31, 2017 or 2016 . The Company's Board of Directors has approved the repurchase of up to $300 million of common stock under a share repurchase program (the Program). Under the Program, the Company may repurchase outstanding shares of common stock from time to time, primarily through open-market transactions. The Program has no expiration date but may be terminated by the Board of Directors at any time. As of December 31, 2017 , the Company had repurchased 183,735 shares of common stock at a cost of $158.0 million under the Program. b) Net income per share was determined by dividing adjusted net income to shareholders by the applicable weighted average shares outstanding. Basic shares outstanding include restricted stock units that are no longer subject to any contingencies for issuance, but for which the corresponding shares have not been issued. Diluted net income per share is computed by dividing adjusted net income to shareholders by the weighted average number of common shares and dilutive potential common shares outstanding during the year. Average closing common stock market prices are used to calculate the dilutive effect attributable to restricted stock. Years Ended December 31, (in thousands, except per share amounts) 2017 2016 2015 Net income to shareholders $ 395,269 $ 455,689 $ 582,772 Adjustment of redeemable noncontrolling interests (33,738 ) (15,472 ) 4,144 Adjusted net income to shareholders $ 361,531 $ 440,217 $ 586,916 Basic common shares outstanding 13,964 14,013 13,978 Dilutive potential common shares from conversion of options 1 4 9 Dilutive potential common shares from conversion of restricted stock 41 61 74 Diluted shares outstanding 14,006 14,078 14,061 Basic net income per share $ 25.89 $ 31.41 $ 41.99 Diluted net income per share $ 25.81 $ 31.27 $ 41.74 c) The Company's Employee Stock Purchase and Bonus Plan provides a method for employees and directors to purchase shares of the Company's common stock on the open market. The plan encourages share ownership by providing for the award of bonus shares to participants equal to 10% of the net increase in the number of shares owned under the plan in a given year, excluding shares acquired through the plan's loan program component. Under the loan program, the Company offers subsidized unsecured loans so participants may purchase shares and awards bonus shares equal to 5% of the shares purchased with a loan. In May 2016, the Company adopted the Markel Corporation 2016 Employee Stock Purchase and Bonus Plan which replaced the Company's prior Employee Stock Purchase and Bonus Plan. No shares have been issued under the prior Employee Stock Purchase and Bonus Plan since the effective date of the 2016 Employee Stock Purchase and Bonus Plan. The Company authorized 125,000 shares for purchase under the 2016 Employee Stock Purchase and Bonus Plan, of which 113,690 and 118,692 shares were available for purchase as of December 31, 2017 and 2016 , respectively. At December 31, 2017 and 2016 , loans outstanding under the plans, which are included in receivables on the consolidated balance sheets, totaled $18.5 million and $20.2 million , respectively. d) In May 2016, the Company adopted the 2016 Equity Incentive Compensation Plan (2016 Compensation Plan), which replaced the 2012 Equity Incentive Compensation Plan (2012 Compensation Plan). The 2016 Compensation Plan provides for grants and awards of restricted stock, restricted stock units, performance grants, and other stock based awards to employees and non-employee directors and is administered by the Compensation Committee of the Company's Board of Directors (Compensation Committee). No share-based awards have been issued under the 2012 Compensation Plan after the effective date of the 2016 Compensation Plan. At December 31, 2017 , there were 235,137 shares available for future awards under the 2016 Compensation Plan. Restricted stock units are awarded to certain associates and executive officers based upon meeting performance conditions determined by the Compensation Committee. These awards generally vest at the end of the third year following the year for which the Compensation Committee determines performance conditions have been met. At the end of the vesting period, recipients are entitled to receive one share of the Company's common stock for each vested restricted stock unit. During 2017 , the Company awarded 11,339 restricted stock units to associates and executive officers based on performance conditions being met. Restricted stock units also are awarded to associates to assist the Company in securing or retaining the services of key employees. During 2017 , the Company awarded 499 restricted stock units to associates as a hiring or retention incentive. The restricted stock units had a grant-date fair value of $0.5 million . These awards generally vest over a three -year period and entitle the recipient to receive one share of the Company's common stock for each vested restricted stock unit. During 2017 , the Company awarded 1,050 shares of restricted stock to its non-employee directors. The shares awarded to non-employee directors will vest in 2018 , except for 105 shares that vested in 2017. The following table summarizes nonvested share-based awards. Number of Awards Weighted Average Grant-Date Fair Value Nonvested awards at January 1, 2017 65,618 $ 634.71 Granted 12,888 979.23 Vested (46,988 ) 612.54 Nonvested awards at December 31, 2017 31,518 $ 808.63 The fair value of the Company's share-based awards granted under the 2012 Compensation Plan and 2016 Compensation Plan was determined based on the closing price of the Company's common shares on the grant date. The fair value of the Company's share-based awards issued under the Markel Corporation Omnibus Incentive Plan, which preceded the 2012 Compensation Plan, was determined based on the average price of the Company's common shares on the grant date. The weighted average grant-date fair value of the Company's share-based awards granted in 2017 , 2016 and 2015 was $979.23 , $878.03 and $740.80 , respectively. As of December 31, 2017 , unrecognized compensation cost related to nonvested share-based awards was $7.8 million , which is expected to be recognized over a weighted average period of 1.5 years . The fair value of the Company's share-based awards that vested during 2017 , 2016 and 2015 was $28.8 million , $29.8 million and $15.8 million , respectively. |
Other Comprehensive Income (Los
Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2017 | |
Other Comprehensive Income (Loss), Tax [Abstract] | |
Other Comprehensive Income (Loss) | Other Comprehensive Income (Loss) Other comprehensive income (loss) includes net holding gains (losses) arising during the period, changes in unrealized other-than-temporary impairment losses on fixed maturities arising during the period and reclassification adjustments for net gains included in net income . Other comprehensive income (loss) also includes changes in foreign currency translation adjustments and changes in net actuarial pension loss. The following table presents the change in accumulated other comprehensive income by component, net of taxes and noncontrolling interests. (dollars in thousands) Unrealized Holding Gains on Available-for- Sale Securities Foreign Currency Net Actuarial Pension Loss Total December 31, 2014 $ 1,793,254 $ (43,491 ) $ (45,206 ) $ 1,704,557 Other comprehensive loss before reclassifications (240,010 ) (29,205 ) (2,482 ) (271,697 ) Amounts reclassified from accumulated other comprehensive income (80,482 ) — 2,130 (78,352 ) Total other comprehensive loss (320,492 ) (29,205 ) (352 ) (350,049 ) December 31, 2015 $ 1,472,762 $ (72,696 ) $ (45,558 ) $ 1,354,508 Other comprehensive income (loss) before reclassifications 275,696 (11,710 ) (20,700 ) 243,286 Amounts reclassified from accumulated other comprehensive income (33,528 ) — 1,600 (31,928 ) Total other comprehensive income (loss) 242,168 (11,710 ) (19,100 ) 211,358 December 31, 2016 $ 1,714,930 $ (84,406 ) $ (64,658 ) $ 1,565,866 Other comprehensive income before reclassifications 787,339 10,403 3,092 800,834 Amounts reclassified from accumulated other comprehensive income (24,296 ) — 3,167 (21,129 ) Total other comprehensive income 763,043 10,403 6,259 779,705 December 31, 2017 $ 2,477,973 $ (74,003 ) $ (58,399 ) $ 2,345,571 The following table summarizes the tax expense (benefit) associated with each component of other comprehensive income (loss). Years Ended December 31, (dollars in thousands) 2017 2016 2015 Change in net unrealized gains on investments: Net holding gains (losses) arising during the period $ 372,469 $ 112,399 $ (107,860 ) Change in unrealized other-than-temporary impairment losses on fixed maturities arising during the period — 6 35 Reclassification adjustments for net gains included in net income (10,072 ) (12,462 ) (29,267 ) Change in net unrealized gains (losses) on investments 362,397 99,943 (137,092 ) Change in foreign currency translation adjustments 28 1,037 408 Change in net actuarial pension loss 1,284 (4,192 ) (88 ) Total $ 363,709 $ 96,788 $ (136,772 ) The following table presents the details of amounts reclassified from accumulated other comprehensive income into income , by component. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Unrealized holding gains on available-for-sale securities: Other-than-temporary impairment losses $ (7,589 ) $ (18,355 ) $ (44,481 ) Net realized investment gains, excluding other-than-temporary impairment losses 41,957 64,345 154,230 Total before taxes 34,368 45,990 109,749 Income taxes (10,072 ) (12,462 ) (29,267 ) Reclassification of unrealized holding gains, net of taxes $ 24,296 $ 33,528 $ 80,482 Net actuarial pension loss: Underwriting, acquisition and insurance expenses $ (3,815 ) $ (1,951 ) $ (2,662 ) Income taxes 648 351 532 Reclassification of net actuarial pension loss, net of taxes $ (3,167 ) $ (1,600 ) $ (2,130 ) |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements FASB ASC 820-10, Fair Value Measurements and Disclosures, establishes a three-level hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). If the inputs used to measure the assets or liabilities fall within different levels of the hierarchy, the classification is based on the lowest level input that is significant to the fair value measurement of the asset or liability. Classification of assets and liabilities within the hierarchy considers the markets in which the assets and liabilities are traded and the reliability and transparency of the assumptions used to determine fair value. The hierarchy requires the use of observable market data when available. The levels of the hierarchy are defined as follows: Level 1 - Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities traded in active markets. Level 2 - Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability and market-corroborated inputs. Level 3 - Inputs to the valuation methodology are unobservable for the asset or liability and are significant to the fair value measurement. In accordance with FASB ASC 820, the Company determines fair value based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In determining fair value, the Company uses various methods, including the market, income and cost approaches. The Company uses valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. The following section describes the valuation methodologies used by the Company to measure assets and liabilities at fair value, including an indication of the level within the fair value hierarchy in which each asset or liability is generally classified. Investments available-for-sale. Investments available-for-sale are recorded at fair value on a recurring basis and include fixed maturities, equity securities and short-term investments. Short-term investments include certificates of deposit, commercial paper, discount notes and treasury bills with original maturities of one year or less. Fair value for investments available-for-sale is determined by the Company after considering various sources of information, including information provided by a third party pricing service. The pricing service provides prices for substantially all of the Company's fixed maturities and equity securities. In determining fair value, the Company generally does not adjust the prices obtained from the pricing service. The Company obtains an understanding of the pricing service's valuation methodologies and related inputs, which include, but are not limited to, reported trades, benchmark yields, issuer spreads, bids, offers, duration, credit ratings, estimated cash flows and prepayment speeds. The Company validates prices provided by the pricing service by reviewing prices from other pricing sources and analyzing pricing data in certain instances. The Company has evaluated the various types of securities in its investment portfolio to determine an appropriate fair value hierarchy level based upon trading activity and the observability of market inputs. Level 1 investments include those traded on an active exchange, such as the New York Stock Exchange. Level 2 investments include U.S. Treasury securities, U.S. government-sponsored enterprises, municipal bonds, foreign government bonds, commercial mortgage-backed securities, residential mortgage-backed securities, asset-backed securities and corporate debt securities. Level 3 investments include the Company's investments in insurance-linked securities funds (the ILS Funds), as further described in note 17 , that are not traded on an active exchange and are valued using unobservable inputs. Fair value for investments available-for-sale is measured based upon quoted prices in active markets, if available. Due to variations in trading volumes and the lack of quoted market prices, fixed maturities are classified as Level 2 investments. The fair value of fixed maturities is normally derived through recent reported trades for identical or similar securities, making adjustments through the reporting date based upon available market observable data described above. If there are no recent reported trades, the fair value of fixed maturities may be derived through the use of matrix pricing or model processes, where future cash flow expectations are developed based upon collateral performance and discounted at an estimated market rate. Significant inputs used to determine the fair value of obligations of states, municipalities and political subdivisions, corporate bonds and obligations of foreign governments include reported trades, benchmark yields, issuer spreads, bids, offers, credit information and estimated cash flows. Significant inputs used to determine the fair value of commercial mortgage-backed securities, residential mortgage-backed securities and asset-backed securities include the type of underlying assets, benchmark yields, prepayment speeds, collateral information, tranche type and volatility, estimated cash flows, credit information, default rates, recovery rates, issuer spreads and the year of issue. Due to the significance of unobservable inputs required in measuring the fair value of the Company's investments in the ILS Funds, these investments are classified as Level 3 within the fair value hierarchy. Changes in fair value of the ILS Funds are included in net realized gains (losses) in net income. The fair value of the securities are derived using their reported net asset value (NAV) as the primary input, as well as other observable and unobservable inputs as deemed necessary by management. Management has obtained an understanding of the inputs, assumptions, process, and controls used to determine NAV, which is calculated by an independent third party. Unobservable inputs to the NAV calculations include assumptions around premium earnings patterns and loss reserve estimates for the underlying securitized reinsurance contracts in which the ILS Funds invest. Significant unobservable inputs used in the valuation of these investments include an adjustment to include the fair value of the equity that was issued by one of the ILS Funds in exchange for notes receivable, rather than cash, which is excluded from NAV. The Company's investments in the ILS Funds are redeemable annually as of January 1 st of each calendar year. The Company's valuation policies and procedures for Level 3 investments are determined by management. Fair value measurements are analyzed quarterly to ensure the change in fair value from prior periods is reasonable relative to management's understanding of the underlying investments, recent market trends and external market data, which includes the price of a comparable security and an insurance-linked security index. Senior long-term debt and other debt. Senior long-term debt and other debt is carried at amortized cost with the estimated fair value disclosed on the consolidated balance sheets. Senior long-term debt and other debt is classified as Level 2 within the fair value hierarchy due to variations in trading volumes and the lack of quoted market prices. Fair value for senior long-term debt and other debt is generally derived through recent reported trades for identical securities, making adjustments through the reporting date, if necessary, based upon available market observable data including U.S. Treasury securities and implied credit spreads. Significant inputs used to determine the fair value of senior long-term debt and other debt include reported trades, benchmark yields, issuer spreads, bids and offers. The following tables present the balances of assets measured at fair value on a recurring basis by level within the fair value hierarchy. December 31, 2017 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets: Investments available-for-sale: Fixed maturities: U.S. Treasury securities $ — $ 160,613 $ — $ 160,613 U.S. government-sponsored enterprises — 363,520 — 363,520 Obligations of states, municipalities and political subdivisions — 4,566,562 — 4,566,562 Foreign governments — 1,489,228 — 1,489,228 Commercial mortgage-backed securities — 1,234,326 — 1,234,326 Residential mortgage-backed securities — 856,168 — 856,168 Asset-backed securities — 34,728 — 34,728 Corporate bonds — 1,235,525 — 1,235,525 Total fixed maturities — 9,940,670 — 9,940,670 Equity securities: Insurance, banks and other financial institutions 1,934,224 — 168,809 2,103,033 Industrial, consumer and all other 3,864,814 — — 3,864,814 Total equity securities 5,799,038 — 168,809 5,967,847 Short-term investments 2,065,749 95,225 — 2,160,974 Total investments available-for-sale $ 7,864,787 $ 10,035,895 $ 168,809 $ 18,069,491 December 31, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets: Investments available-for-sale: Fixed maturities: U.S. Treasury securities $ — $ 258,584 $ — $ 258,584 U.S. government-sponsored enterprises — 423,212 — 423,212 Obligations of states, municipalities and political subdivisions — 4,428,205 — 4,428,205 Foreign governments — 1,463,462 — 1,463,462 Commercial mortgage-backed securities — 1,040,356 — 1,040,356 Residential mortgage-backed securities — 790,946 — 790,946 Asset-backed securities — 27,338 — 27,338 Corporate bonds — 1,459,407 — 1,459,407 Total fixed maturities — 9,891,510 — 9,891,510 Equity securities: Insurance, banks and other financial institutions 1,506,607 — 191,203 1,697,810 Industrial, consumer and all other 3,048,031 — — 3,048,031 Total equity securities 4,554,638 — 191,203 4,745,841 Short-term investments 2,255,898 80,253 — 2,336,151 Total investments available-for-sale $ 6,810,536 $ 9,971,763 $ 191,203 $ 16,973,502 The following table summarizes changes in Level 3 investments measured at fair value on a recurring basis. (dollars in thousands) 2017 2016 Equity securities, beginning of period $ 191,203 $ — Purchases 56,250 195,250 Sales (26,674 ) (25,000 ) Total gains (losses) included in: Net income (loss) (51,970 ) 20,953 Other comprehensive income — — Transfers into Level 3 — — Transfers out of Level 3 — — Equity securities, end of period $ 168,809 $ 191,203 Net unrealized gains (losses) included in net income relating to assets held at December 31, 2017 and 2016 (1) $ (51,970 ) $ 20,953 (1) Included in net realized investment gains (losses) in the consolidated statements of income and comprehensive income. Net realized investment losses for the year ended December 31, 2017 included losses of $52.0 million on the Company's investment in the ILS Funds as a result of a decrease in the NAV of the ILS Funds. There were no transfers into or out of Level 1 and Level 2 during 2017 or 2016 . Except as disclosed in note 2 , the Company did not have any assets or liabilities measured at fair value on a non-recurring basis during the years ended December 31, 2017 and 2016 . |
Reinsurance
Reinsurance | 12 Months Ended |
Dec. 31, 2017 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance | Reinsurance In reinsurance and retrocession transactions, an insurance or reinsurance company transfers, or cedes, all or part of its exposure in return for a portion of the premium. The ceding of insurance does not legally discharge the Company from its primary liability for the full amount of the policies, and the Company will be required to pay the loss and bear collection risk if the reinsurer fails to meet its obligations under the reinsurance or retrocessional agreement. A credit risk exists with ceded reinsurance to the extent that any reinsurer is unable to meet the obligations assumed under the reinsurance or retrocessional contracts. Allowances are established for amounts deemed uncollectible. Within its underwriting operations, the Company uses reinsurance and retrocessional reinsurance to manage its net retention on individual risks and overall exposure to losses while providing it with the ability to offer policies with sufficient limits to meet policyholder needs. The Company evaluates the financial condition of its reinsurers and monitors concentration of credit risk arising from its exposure to individual reinsurers. To further reduce credit exposure to reinsurance recoverable balances, the Company has received collateral, including letters of credit and trust accounts, from certain reinsurers. Collateral related to these reinsurance agreements is available, without restriction, when the Company pays losses covered by the reinsurance agreements. Within the Company's underwriting operations, at December 31, 2017 and 2016 , balances recoverable from the ten largest reinsurers, by group, represented 61% and 67% , respectively, of the reinsurance recoverable on paid and unpaid losses, before considering reinsurance allowances and collateral. At December 31, 2017 , the largest reinsurance balance was due from Fairfax Financial Group and represented 10% of the reinsurance recoverable on paid and unpaid losses, before considering reinsurance allowances and collateral. Within the Company's program services business, acquired as a part of the State National acquisition in November 2017, the Company generally enters into 100% quota share reinsurance agreements whereby the Company cedes to the capacity provider (reinsurer) substantially all of its gross liability under all policies issued by and on behalf of the Company by the GA. The Company remains exposed to the credit risk of the reinsurer, or the risk that one of its reinsurers becomes insolvent or otherwise unable or unwilling to pay policyholder claims. This credit risk is generally mitigated by either selecting well capitalized, highly rated authorized capacity providers or requiring that the capacity provider post substantial collateral to secure the reinsured risks. Within the Company's program services business, at December 31, 2017 , balances recoverable from the ten largest reinsurers, by group, represented 79% of the reinsurance recoverable on paid and unpaid losses, before considering reinsurance allowances and collateral. At December 31, 2017 , the largest reinsurance balance was due from Fosun International Holdings, Ltd and represented 25% of the reinsurance recoverable on paid and unpaid losses, before considering reinsurance allowances and collateral. The following table summarizes the Company's reinsurance allowance for doubtful accounts, all of which is attributable to the Company's underwriting operations. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Reinsurance allowance, beginning of year $ 36,770 $ 59,350 $ 59,813 Additions 2,669 980 5,897 Deductions (5,464 ) (23,560 ) (6,360 ) Reinsurance allowance, end of year $ 33,975 $ 36,770 $ 59,350 Management believes the Company's reinsurance allowance for doubtful accounts is adequate at December 31, 2017 ; however, the deterioration in the credit quality of existing reinsurers or disputes over reinsurance and retrocessional contracts could result in additional charges. The following table summarizes the effect of reinsurance and retrocessional reinsurance on consolidated premiums written and earned. Years Ended December 31, 2017 2016 2015 (dollars in thousands) Written Earned Written Earned Written Earned Direct (1) $ 4,172,467 $ 4,068,622 $ 3,560,635 $ 3,506,687 $ 3,474,510 $ 3,480,297 Assumed (1) 1,334,493 1,287,395 1,236,010 1,176,205 1,158,402 1,194,772 Ceded (1) (1,089,173 ) (1,108,039 ) (795,625 ) (817,022 ) (813,619 ) (851,537 ) Net premiums $ 4,417,787 $ 4,247,978 $ 4,001,020 $ 3,865,870 $ 3,819,293 $ 3,823,532 (1) Written premium includes $252.9 million , $1.0 million and $253.9 million of direct, assumed and ceded premium, respectively, in the Company's program services business in 2017. Earned premium includes $291.3 million , $1.4 million and $292.7 million of direct, assumed and ceded premium, respectively, in the Company's program services business in 2017. All of the premium written and earned in the Company's program services business for the year-ended December 31, 2017 was ceded to third parties. The percentage of ceded earned premiums to gross earned premiums was 21% , 17% and 18% for the years ended December 31, 2017 , 2016 and 2015 , respectively. The percentage of assumed earned premiums to net earned premiums was 30% , 30% and 31% for the years ended December 31, 2017 , 2016 and 2015 , respectively. All of the incurred losses and loss adjustment expenses in the Company's program services business, which totaled $286.1 million were ceded to third parties. Incurred losses and loss adjustment expenses for the Company's underwriting operations were net of ceded incurred losses and loss adjustment expenses of $856.8 million , $362.0 million and $330.7 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. Ceded incurred losses and loss adjustment expenses in 2017 included ceded losses on the 2017 Catastrophes of $490.3 million . See note 9 for information regarding two retroactive reinsurance transactions completed during 2015 to cede portfolios of policies primarily comprised of liabilities arising from A&E exposures. |
Commitments And Contingencies
Commitments And Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies | Commitments and Contingencies a) The Company leases substantially all of its facilities and certain furniture and equipment under noncancelable operating leases with remaining terms up to 17 years. The following table summarizes the Company's minimum annual rental commitments, excluding taxes, insurance and other operating costs payable directly by the Company, for noncancelable operating leases at December 31, 2017 . Years Ending December 31, (dollars in thousands) 2018 $ 53,398 2019 44,820 2020 37,166 2021 33,567 2022 30,356 2023 and thereafter 112,415 Total $ 311,722 Rental expense was $44.6 million , $40.2 million and $44.3 million for the years ended December 31, 2017 , 2016 and 2015 , respectively. b) In October 2010, the Company completed its acquisition of Aspen Holdings, Inc. (Aspen). As part of the consideration for that acquisition, Aspen shareholders received contingent value rights (CVRs), which are currently expected to result in the payment of additional cash consideration to CVR holders. Absent the litigation described below, the final amount to be paid to CVR holders would be determined after December 31, 2017, the CVR maturity date, based on, among other things, adjustments for the development of pre-acquisition loss reserves and loss sensitive profit commissions. The CVR holder representative, Thomas Yeransian, has disputed the Company's estimation of the value of the CVRs. On September 15, 2016, Mr. Yeransian filed a suit alleging, among other things, that the Company is in default under the CVR agreement. The holder representative seeks: $47.3 million in damages, which represents the unadjusted value of the CVRs; plus interest ( $11.6 million through December 31, 2017) and default interest (up to an additional $10.1 million through December 31, 2017, depending on the date any default occurred); and an unspecified amount of punitive damages, costs, and attorneys’ fees. At the initial hearing held February 21, 2017, the court stayed the proceedings and ordered the parties to discuss resolving the dispute pursuant to the independent CVR valuation procedure under the CVR agreement. The parties met on April 5, 2017, but were unsuccessful in reaching agreement on a process for resolving the dispute. The Company subsequently filed a motion to stay the litigation and compel arbitration, and, on July 31, 2017, the court issued an order granting that motion. Mr. Yeransian has filed a motion requesting that the court reconsider that order. Management believes the holder representative’s suit to be without merit and will vigorously defend against it. Further, management believes that any material loss resulting from the holder representative’s suit to be remote and that the contractual contingent consideration payments related to the CVRs will not have a material impact on the Company's liquidity. In addition, contingencies arise in the normal course of the Company's operations and are not expected to have a material impact on the Company's financial condition or results of operations. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Variable Interest Entities | Variable Interest Entities In December 2015, the Company formed MCIM, a wholly owned consolidated subsidiary. MCIM is an insurance-linked securities investment fund manager and insurance manager headquartered in Bermuda. Results attributable to MCIM are included with the Company's other operations, which are not included in a reportable segment. In December 2015, the Company also formed a mutual fund company and reinsurance company, both of which were organized under Bermuda law and are managed by MCIM. The mutual fund company issues multiple classes of nonvoting, redeemable preference shares to investors through its funds (the Funds) and the Funds are primarily invested in nonvoting shares of the reinsurance company. The underwriting results of the reinsurance company are attributed to the Funds through the issuance of nonvoting preference shares. The Funds and the reinsurance company are considered VIEs, as their preference shareholders have no voting rights. MCIM has the power to direct the activities that most significantly impact the economic performance of these entities, but does not have a variable interest in any of the entities. Except as described below, the Company is not the primary beneficiary of the Funds or the reinsurance company, as the Company's involvement is generally limited to that of an investment or insurance manager, receiving fees that are at market and commensurate with the level of effort required. Investment management fees earned by the Company from unconsolidated Funds were $28.7 million and $56.5 million for the years ended December 31, 2017 and 2016 , respectively. The Company is the sole investor in one of the Funds, the Marke l Diversified Fund, and consolidates that fund as its primary beneficiary. As of December 31, 2017 , total assets of the Markel Diversified Fund were $170.3 million and total liabilities were $62.7 million . As of December 31, 2016 , total assets of the Markel Diversified Fund were $166.8 million and total liabilities were $64.6 million . The assets of the Markel Diversified Fund are available for use only by the Markel Diversified Fund, and are not available for use by the Company. Total assets of the Markel Diversified Fund include an investment in one of the unconsolidated Funds totaling $168.2 million as of December 31, 2017 and $165.1 million as of December 31, 2016 , which represents 7% of the outstanding preference shares of that fund as of December 31, 2017 and 6% as of December 31, 2016 . This investment is included in equity securities (available-for-sale) on the Company's consolidated balance sheet. Total liabilities of the Markel Diversified Fund for both periods includes a $62.5 million note payable delivered as part of the consideration provided for its investment. This note payable is included in senior long-term debt and other debt on the Company's consolidated balance sheet. Other than the note payable, any liabilities held by the Markel Diversified Fund have no recourse to the Company's general credit. The Company also holds an investment in CATCo Reinsurance Opportunities Fund Ltd. (CROF), a limited liability closed-end fund listed on the London and Bermuda Stock Exchanges, which is not a VIE. This investment is included in equity securities (available-for-sale) on the Company's consolidated balance sheet. CROF is managed by MCIM and invests substantially all of its assets in one of the unconsolidated Funds. At December 31, 2017 and 2016 , the fair value of the Company's investment in CROF was $20.5 million and $26.3 million , respectively. The Company's exposure to risk from the unconsolidated Funds and reinsurance company is generally limited to its investment and any earned but uncollected fees. The Company has not issued any investment performance guarantees to these VIEs or their investors. As of December 31, 2017 , total investment and insurance assets under management of MCIM for unconsolidated VIEs were $6.0 billion , which includes funds held that will be used to settle claims for incurred losses. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions The Company engages in certain related party transactions in the normal course of business. These transactions are at arm's length and are not material to the Company's consolidated financial statements. See note 17 for a discussion of the Company's related party transactions with unconsolidated VIEs. |
Statutory Financial Information
Statutory Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Statutory Financial Information [Abstract] | |
Statutory Financial Information | Statutory Financial Information a) Statutory capital and surplus and statutory net income (loss) for the Company's insurance subsidiaries as of December 31, 2017 and 2016 and for the years ended December 31, 2017 , 2016 and 2015 , respectively, is summarized below. Statutory Capital and Surplus (dollars in thousands) 2017 2016 United States $ 3,334,303 $ 2,761,454 United Kingdom $ 642,418 $ 670,030 Bermuda $ 1,774,012 $ 2,189,649 Other $ 24,544 $ 24,726 As of December 31, 2017 , the amount of statutory capital and surplus necessary to satisfy regulatory requirements is not significant in relation to actual statutory capital and surplus. Statutory Net Income (Loss) Years Ended December 31, (dollars in thousands) 2017 2016 2015 United States $ 312,828 $ 249,176 $ 291,783 United Kingdom $ (25,785 ) $ 78,033 $ 74,330 Bermuda $ (83,445 ) $ 132,442 $ 185,289 Other $ 127 $ (965 ) $ (3,181 ) The Solvency II Directive that governs the calculation of statutory capital and surplus for the Company's United Kingdom insurance subsidiary does not provide requirements for the calculation of net income. Amounts presented in the table above have been calculated in accordance with United Kingdom GAAP. United States The laws of the domicile states of the Company's U.S. insurance subsidiaries govern the amount of dividends that may be paid to the Company. Generally, statutes in the domicile states of the Company's U.S. insurance subsidiaries require prior approval for payment of extraordinary, as opposed to ordinary, dividends. At December 31, 2017 , the Company's U.S. insurance subsidiaries could pay up to $436.4 million to the Company during the following 12 months under the ordinary dividend regulations. In converting from U.S. statutory accounting principles to U.S. GAAP, typical adjustments include deferral of policy acquisition costs, differences in the calculation of deferred income taxes and the inclusion of net unrealized gains or losses relating to fixed maturities in shareholders' equity. The Company does not use any permitted statutory accounting practices that are different from prescribed statutory accounting practices which impact statutory capital and surplus. United Kingdom The Company's United Kingdom insurance subsidiary, Markel International Insurance Company Limited (MIICL), and its Lloyd's managing agent, Markel Syndicate Management Limited (MSM), are authorized by the Prudential Regulation Authority (PRA) and regulated by both the PRA and the Financial Conduct Authority (FCA). The PRA oversees compliance with established periodic auditing and reporting requirements, minimum solvency margins and individual capital assessment requirements under the Solvency II Directive and imposes dividend restrictions, while both the PRA and the FCA oversee compliance with risk assessment reviews and various other requirements. MIICL is required to give advance notice to the PRA for any dividends from MIICL and any transaction or proposed transaction with a connected or related person. MSM is required to satisfy the solvency requirements of Lloyd's. In addition, the Company's United Kingdom subsidiaries must comply with the United Kingdom Companies Act of 2006, which provides that dividends may only be paid out of profits available for that purpose. As of December 31, 2017 , earnings of the Company's United Kingdom subsidiaries, to the extent not previously taxed in the United States, are considered reinvested indefinitely for U.S. income tax purposes and will not be made available for distributions to the holding company. See note 8 for further discussion of the effect of U.S. income tax regulations on the Company's foreign subsidiaries. Bermuda The Company's Bermuda insurance subsidiary, Markel Bermuda Limited (Markel Bermuda), is subject to enhanced capital requirements in addition to minimum solvency and liquidity requirements. The enhanced capital requirement is determined by reference to a risk-based capital model that determines a control threshold for statutory capital and surplus by taking into account the risk characteristics of different aspects of the insurer's business. At December 31, 2017 , Markel Bermuda satisfied both the enhanced capital requirements and the minimum solvency and liquidity requirements. Under the Bermuda Insurance Act, Markel Bermuda is prohibited from paying or declaring dividends during a fiscal year if it is in breach of its enhanced capital requirement, solvency margin or minimum liquidity ratio or if the declaration or payment of the dividend would cause a breach of those requirements. If an insurer fails to meet its solvency margin or minimum liquidity ratio on the last day of any financial year, it is prohibited from declaring or paying any dividends during the next financial year without the approval of the Bermuda Monetary Authority (BMA). Further, Markel Bermuda is prohibited from declaring or paying, in any financial year, dividends of more than 25% of its total statutory capital and surplus as set forth in its previous year's statutory balance sheet unless at least seven days before payment of those dividends it files with the BMA an affidavit stating that it will continue to meet its solvency margin and minimum liquidity ratio. Markel Bermuda must obtain the BMA's prior approval for a reduction by 15% or more of the total statutory capital as set forth in its previous year's financial statements. In addition, as a long-term insurer, Markel Bermuda may not declare or pay a dividend to any person other than a policyholder unless the value of the assets in its long-term business fund, as certified by Markel Bermuda's approved actuary, exceeds the liabilities of its long-term business. The amount of the dividend cannot exceed the aggregate of that excess and any other funds legally available for the payment of the dividend. As of December 31, 2017 , Markel Bermuda could pay up to $443.5 million during the following 12 months without making any additional filings with the BMA. Other Jurisdictions The Company's other foreign subsidiaries are subject to capital and solvency requirements in their respective jurisdictions of domicile that govern their ability to declare and pay dividends. As of December 31, 2017 , earnings of the Company's foreign subsidiaries, to the extent not previously taxed in the United States, are considered reinvested indefinitely for U.S. income tax purposes and will not be made available for distributions to the holding company. b) Lloyd's sets the corporate members' required capital annually based on each syndicates' business plans, rating environment, reserving environment and input arising from Lloyd's discussions with, inter alia, regulatory and rating agencies. Such required capital is referred to as Funds at Lloyd's (FAL), and comprises cash and investments. The amount of cash and investments held as FAL as of December 31, 2017 w as $868.0 million . The amount which the Company provides as FAL is not available for distribution to the holding company. The Company's c orporate members may also be required to maintain funds under the control of Lloyd's in excess of their capital requirements and such funds also may not be available for distribution to the holding company. |
Segment Reporting Disclosures
Segment Reporting Disclosures | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | |
Segment Reporting Disclosures | Segment Reporting Disclosures The Company monitors and reports its ongoing underwriting operations in the following three segments: U.S. Insurance, International Insurance and Reinsurance. In determining how to aggregate and monitor its underwriting results, the Company considers many factors, including the geographic location and regulatory environment of the insurance entity underwriting the risk, the nature of the insurance product sold, the type of account written and the type of customer served. The U.S. Insurance segment includes all direct business and facultative reinsurance placements written by the Company's insurance subsidiaries domiciled in the United States. The International Insurance segment includes all direct business and facultative reinsurance placements written by the Company's insurance subsidiaries domiciled outside of the United States, including the Company's syndicate at Lloyd's of London. The Reinsurance segment includes all treaty reinsurance written across the Company. Results for lines of business discontinued prior to, or in conjunction with, acquisitions, including results attributable to the run-off of life and annuity reinsurance business, are reported in the Other Insurance (Discontinued Lines) segment. All investing activities related to the Company's insurance operations are included in the Investing segment. In addition to it's underwriting operations, the Company also has various other insurance-related and non-insurance operations. These other operations include the Company's Markel Ventures operations, which primarily consist of controlling interests in various businesses that operate outside of the specialty insurance marketplace. The Company's other operations also include the results of the Company's legal and professional consulting services, and, effective December 8, 2015, the results of the Company's investment management services attributable to MCIM. Effective November 17, 2017, the Company's other operations also include the results of the program services business acquired as part of the State National transaction. For purposes of segment reporting, while presented separately in the Company's segment disclosures, none of these other operations are considered a reportable segment. The following table summarizes the Company's gross written premiums by country. Gross written premiums are attributed to individual countries based upon location of risk or cedent. Years Ended December 31, (dollars in thousands) 2017 % of Total 2016 % of Total 2015 % of Total United States $ 4,163,753 79 % $ 3,691,840 77 % $ 3,519,487 76 % United Kingdom 374,941 7 358,348 7 414,941 9 Canada 132,018 3 125,444 3 115,191 2 Other countries 582,395 11 621,013 13 583,293 13 Total Underwriting 5,253,107 100 % 4,796,645 100 % 4,632,912 100 % United States - Program Services 253,853 — — Total $ 5,506,960 $ 4,796,645 $ 4,632,912 Most of the Company's gross written premiums are placed through insurance and reinsurance brokers. During the years ended December 31, 2017 , 2016 and 2015 , the top three independent brokers accounted for 27% , 28% and 27% of gross premiums written in the Company's underwriting segments. During the years ended December 31, 2017 , 2016 and 2015 , the top three independent brokers accounted for 35% , 40% and 42% , respectively, of gross premiums written in the International Insurance segment and 78% , 75% and 68% , respectively, of gross premiums written in the Reinsurance segment. Segment profit for the Investing segment is measured by net investment income and net realized investment gains or losses. Segment profit or loss for each of the Company's underwriting segments is measured by underwriting profit or loss. The property and casualty insurance industry commonly defines underwriting profit or loss as earned premiums net of losses and loss adjustment expenses and underwriting, acquisition and insurance expenses. Underwriting profit or loss does not replace operating income or net income computed in accordance with U.S. GAAP as a measure of profitability. Underwriting profit or loss provides a basis for management to evaluate the Company's underwriting performance. Segment profit or loss for the Company's underwriting segments also includes other revenues and other expenses, primarily related to the run-off of managing general agent operations that were discontinued in conjunction with acquisitions. Other revenues and other expenses in the Other Insurance (Discontinued Lines) segment are comprised of the results attributable to the run-off of life and annuity reinsurance business. For management reporting purposes, the Company allocates assets to its underwriting, investing and other operations. Underwriting assets are all assets not specifically allocated to the Investing segment or to the Company's other operations. Underwriting and investing assets are not allocated to the U.S. Insurance, International Insurance, Reinsurance or Other Insurance (Discontinued Lines) segments since the Company does not manage its assets by underwriting segment. The Company does not allocate capital expenditures for long-lived assets to any of its underwriting segments for management reporting purposes. a) The following tables summarize the Company's segment disclosures. Year Ended December 31, 2017 (dollars in thousands) U.S. Insurance International Insurance Reinsurance Other Insurance (Discontinued Lines) Investing Other Consolidated Gross premium volume $ 2,885,279 $ 1,255,922 $ 1,112,101 $ (195 ) $ — $ 253,853 $ 5,506,960 Net written premiums 2,432,477 1,007,319 978,160 (169 ) — — 4,417,787 Earned premiums 2,364,121 949,912 934,114 (169 ) — — 4,247,978 Losses and loss adjustment expenses: Current accident year (1,648,427 ) (793,917 ) (924,879 ) — — — (3,367,223 ) Prior accident years 301,939 198,688 (7,803 ) 8,459 — 179 501,462 Amortization of policy acquisition costs (502,217 ) (173,253 ) (218,883 ) — — — (894,353 ) Other operating expenses (395,472 ) (215,028 ) (81,766 ) (795 ) — — (693,061 ) Underwriting profit (loss) 119,944 (33,598 ) (299,217 ) 7,495 — 179 (205,197 ) Net investment income — — — — 405,709 — 405,709 Net realized investment losses — — — — (5,303 ) — (5,303 ) Other revenues 3,419 5,886 417 2,022 — 1,401,531 1,413,275 Other expenses (1,093 ) (7,388 ) — (28,218 ) — (1,271,281 ) (1,307,980 ) Total profit (loss) $ 122,270 $ (35,100 ) $ (298,800 ) $ (18,701 ) $ 400,406 $ 130,429 $ 300,504 Amortization of intangible assets (80,758 ) Interest expense (132,451 ) Income before income taxes $ 87,295 U.S. GAAP combined ratio (1) 95 % 104 % 132 % NM (2) NM (2) 105 % (1) The U.S. GAAP combined ratio is a measure of underwriting performance and represents the relationship of incurred losses, loss adjustment expenses and underwriting, acquisition and insurance expenses to earned premiums. (2) NM — Ratio is not meaningful. Year Ended December 31, 2016 (dollars in thousands) U.S. Insurance International Insurance Reinsurance Other Insurance (Discontinued Lines) Investing Other Consolidated Gross premium volume $ 2,635,266 $ 1,119,815 $ 1,041,055 $ 509 $ — $ — $ 4,796,645 Net written premiums 2,237,163 864,494 898,728 635 — — 4,001,020 Earned premiums 2,175,332 853,512 836,264 762 — — 3,865,870 Losses and loss adjustment expenses: Current accident year (1,403,589 ) (605,837 ) (546,476 ) — — — (2,555,902 ) Prior accident years 204,881 164,713 125,514 10,050 — — 505,158 Amortization of policy acquisition costs (446,649 ) (146,117 ) (189,455 ) — — — (782,221 ) Other operating expenses (377,230 ) (219,066 ) (119,012 ) (1,061 ) — — (716,369 ) Underwriting profit 152,745 47,205 106,835 9,751 — — 316,536 Net investment income — — — — 373,230 — 373,230 Net realized investment gains — — — — 65,147 — 65,147 Other revenues 7,143 5,560 — 1,891 — 1,293,185 1,307,779 Other expenses (15,407 ) (5,712 ) — (26,504 ) — (1,142,620 ) (1,190,243 ) Total profit (loss) $ 144,481 $ 47,053 $ 106,835 $ (14,862 ) $ 438,377 $ 150,565 $ 872,449 Amortization of intangible assets (68,533 ) Interest expense (129,896 ) Loss on early extinguishment of debt (44,100 ) Income before income taxes $ 629,920 U.S. GAAP combined ratio (1) 93 % 94 % 87 % NM (2) 92 % (1) The U.S. GAAP combined ratio is a measure of underwriting performance and represents the relationship of incurred losses, loss adjustment expenses and underwriting, acquisition and insurance expenses to earned premiums. (2) NM — Ratio is not meaningful. Year Ended December 31, 2015 (dollars in thousands) U.S. Insurance International Insurance Reinsurance Other Insurance (Discontinued Lines) Investing Other Consolidated Gross premium volume $ 2,504,096 $ 1,164,866 $ 965,374 $ (1,424 ) $ — $ — $ 4,632,912 Net written premiums 2,106,490 888,214 824,324 265 — — 3,819,293 Earned premiums 2,105,212 879,426 838,543 351 — — 3,823,532 Losses and loss adjustment expenses: Current accident year (1,367,159 ) (638,144 ) (561,242 ) — — — (2,566,545 ) Prior accident years 298,967 248,834 97,860 (17,861 ) — — 627,800 Amortization of policy acquisition costs (420,289 ) (142,657 ) (182,018 ) — — — (744,964 ) Other operating expenses (378,563 ) (221,758 ) (106,863 ) (2,932 ) — — (710,116 ) Underwriting profit (loss) 238,168 125,701 86,280 (20,442 ) — — 429,707 Net investment income — — — — 353,213 — 353,213 Net realized investment gains — — — — 106,480 — 106,480 Other revenues 3,331 7,790 593 617 — 1,074,427 1,086,758 Other expenses (3,902 ) (5,717 ) (1,419 ) (29,057 ) — (1,006,710 ) (1,046,805 ) Total profit (loss) $ 237,597 $ 127,774 $ 85,454 $ (48,882 ) $ 459,693 $ 67,717 $ 929,353 Amortization of intangible assets (68,947 ) Interest expense (118,301 ) Income before income taxes $ 742,105 U.S. GAAP combined ratio (1) 89 % 86 % 90 % NM (2) 89 % (1) The U.S. GAAP combined ratio is a measure of underwriting performance and represents the relationship of incurred losses, loss adjustment expenses and underwriting, acquisition and insurance expenses to earned premiums. (2) NM — Ratio is not meaningful. b) The following table summarizes deferred policy acquisition costs, unearned premiums and unpaid losses and loss adjustment expenses. (dollars in thousands) Deferred Policy Acquisition Costs Unearned Premiums Unpaid Losses and Loss Adjustment Expenses December 31, 2017 U.S. Insurance $ 212,102 $ 1,324,591 $ 4,331,541 International Insurance 74,678 530,740 3,379,969 Reinsurance 178,789 690,565 3,248,070 Other Insurance (Discontinued Lines) — — 429,270 Total Underwriting 465,569 2,545,896 11,388,850 Program Services — 762,883 2,195,431 Total $ 465,569 $ 3,308,779 $ 13,584,281 December 31, 2016 U.S. Insurance $ 176,348 $ 1,166,914 $ 3,849,541 International Insurance 51,948 445,183 3,062,725 Reinsurance 164,114 651,741 2,661,209 Other Insurance (Discontinued Lines) — — 542,187 Total $ 392,410 $ 2,263,838 $ 10,115,662 c) The following table summarizes earned premiums by major product grouping. Years Ended December 31, (dollars in thousands) 2017 2016 2015 U.S. Insurance: General liability $ 642,283 $ 563,908 $ 522,358 Professional liability 333,758 328,597 324,230 Property 273,735 270,026 264,232 Personal lines 367,073 364,843 325,811 Programs 273,954 263,783 277,829 Workers compensation 319,679 301,126 281,954 Other 153,639 83,049 108,798 Total U.S. Insurance 2,364,121 2,175,332 2,105,212 International Insurance: General liability 122,673 111,291 124,198 Professional liability 295,120 272,010 268,637 Property 91,778 87,294 85,152 Marine and energy 276,134 242,070 262,307 Other 164,207 140,847 139,132 Total International Insurance 949,912 853,512 879,426 Reinsurance: Property 321,178 288,771 265,373 Casualty 351,457 327,383 315,027 Auto 28,700 65,363 102,227 Other 232,779 154,747 155,916 Total Reinsurance 934,114 836,264 838,543 Other Insurance (Discontinued Lines) (169 ) 762 351 Total earned premiums $ 4,247,978 $ 3,865,870 $ 3,823,532 The Company does not manage products at this level of aggregation. The Company offers a diverse portfolio of products and manages these products in logical groupings within each operating segment. d) The following table reconciles segment assets to the Company's consolidated balance sheets. December 31, (dollars in thousands) 2017 2016 2015 Segment assets: Investing $ 20,317,160 $ 19,029,584 $ 18,056,947 Underwriting 6,828,048 5,397,696 5,385,126 Total segment assets 27,145,208 24,427,280 23,442,073 Other operations 5,659,808 1,448,019 1,497,042 Total assets $ 32,805,016 $ 25,875,299 $ 24,939,115 e) Beginning in 2018, the Company will monitor and report its operations in the following four segments: Insurance, Reinsurance, Investing and Markel Ventures. The Insurance segment will include all direct business and facultative placements written on a global basis across the Company, which currently are included in the U.S. Insurance and International Insurance segments. The Reinsurance segment will remain unchanged. Results for lines of business discontinued prior to, or in conjunction with, acquisitions will continue to be excluded from these segments but will no longer be considered a reportable segment. All investing activities related to the Company's insurance operations will continue to be included in the Investing segment. The Markel Ventures segment will include results attributable to the Company's Markel Ventures operations, which previously were not considered a reportable segment. Historically, the Company’s chief operating decision maker monitored and assessed the performance of each Markel Ventures business separately with no single business being individually significant. Following the continued growth in the Company’s Markel Ventures operations, effective in the first quarter of 2018, the chief operating decision maker reviews and assesses Markel Ventures’ performance in the aggregate. The Company’s other operations, which include legal and professional consulting services, investment management services, program services business and the run-off underwriting operations discontinued prior to, or in conjunction with, acquisitions will be monitored and reported separately from the Company’s four reportable segments. |
Other Revenues And Other Expens
Other Revenues And Other Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Other Income and Expenses [Abstract] | |
Other Revenues And Other Expenses | Other Revenues and Other Expenses The following table summarizes the components of other revenues and other expenses. Years Ended December 31, 2017 2016 2015 (dollars in thousands) Other Revenues Other Expenses Other Revenues Other Expenses Other Revenues Other Expenses Markel Ventures: Manufacturing $ 742,591 $ 650,491 $ 784,745 $ 675,620 $ 755,802 $ 677,054 Markel Ventures: Non-Manufacturing 590,689 535,352 429,704 396,323 291,714 301,004 Investment management 28,740 52,636 56,455 46,190 — — Program services 15,328 6,508 — — — — Managing general agent operations 8,821 5,803 12,703 21,119 10,202 9,619 Life and annuity 2,022 28,218 1,891 26,504 617 29,057 Other 25,084 28,972 22,281 24,487 28,423 30,071 Total 1,413,275 1,307,980 1,307,779 1,190,243 1,086,758 1,046,805 The Company's Markel Ventures operations primarily consist of controlling interests in various businesses that operate outside of the specialty insurance marketplace and are viewed by management as separate and distinct from the Company's insurance operations. While each of the businesses is operated independently from one another, management aggregates financial results into two industry groups: manufacturing and non-manufacturing. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2017 | |
Defined Benefit Plan [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans a) The Company maintains defined contribution plans for employees of its United States insurance operations in accordance with Section 401(k) of the U.S. Internal Revenue Code of 1986. Employees of the Company's Markel Ventures subsidiaries are provided post-retirement benefits under separate plans. The Company also provides various defined contribution plans for employees of its international insurance and other operations, which are in line with local market terms and conditions of employment. Expenses relating to the Company's defined contribution plans, including the defined contribution plans of State National effective November 17, 2017, were $36.7 million , $30.1 million and $27.7 million in 2017 , 2016 and 2015 , respectively. b) The Terra Nova Pension Plan is a defined benefit plan which covers certain employees in the Company's international insurance operations who meet the eligibility conditions set out in the plan. The plan has been closed to new participants since 2001. The cost of providing pensions for employees is charged to earnings over the average working life of employees according to actuarial recommendations. Final benefits are based on the employee's years of credited service and the higher of pensionable compensation received in the calendar year preceding retirement or the best average pensionable compensation received in any three consecutive years in the ten years preceding retirement. Effective April 1, 2012, employees are no longer accruing benefits for future service in the Terra Nova Pension Plan. The Company uses December 31 as the measurement date for the Terra Nova Pension Plan. The following table summarizes the funded status of the Terra Nova Pension Plan and the amounts recognized on the accompanying consolidated balance sheets of the Company. Years Ended December 31, (dollars in thousands) 2017 2016 Change in projected benefit obligation: Projected benefit obligation at beginning of period $ 178,618 $ 170,005 Interest cost 5,016 6,113 Benefits paid (5,644 ) (3,322 ) Actuarial loss 4,985 38,485 Effect of foreign currency rate changes 16,142 (32,663 ) Projected benefit obligation at end of year $ 199,117 $ 178,618 Change in plan assets: Fair value of plan assets at beginning of period $ 175,644 $ 186,727 Actual gain on plan assets 16,902 22,367 Employer contributions 3,393 3,577 Benefits paid (5,644 ) (3,322 ) Effect of foreign currency rate changes 16,275 (33,705 ) Fair value of plan assets at end of year $ 206,570 $ 175,644 Funded status of the plan $ 7,453 $ (2,974 ) Net actuarial pension loss 77,567 85,110 Total $ 85,020 $ 82,136 Net actuarial pension loss is recognized as a component of accumulated other comprehensive income, net of taxes. The asset or liability for pension benefits, also referred to as the funded status of the plan, at December 31, 2017 and 2016 was included in other assets on the consolidated balance sheets. The following table presents the changes in plan assets and projected benefit obligation recognized in accumulated other comprehensive income. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Net actuarial gain (loss) $ 3,728 $ (25,243 ) $ (3,102 ) Settlement loss recognized — — 343 Amortization of: Net actuarial loss 3,815 1,951 2,319 Tax benefit (expense) (1,284 ) 4,192 88 Total other comprehensive income (loss) $ 6,259 $ (19,100 ) $ (352 ) The following table summarizes the components of net periodic benefit income (loss) and the weighted average assumptions for the Terra Nova Pension Plan. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Components of net periodic benefit income (loss): Interest cost $ 5,016 $ 6,113 $ 6,645 Expected return on plan assets (8,189 ) (9,124 ) (11,496 ) Amortization of net actuarial pension loss 3,815 1,951 2,319 Settlement loss recognized — — 343 Net periodic benefit income (loss) $ 642 $ (1,060 ) $ (2,189 ) Weighted average assumptions as of December 31: Discount rate 2.6 % 2.7 % 4.0 % Expected return on plan assets 4.5 % 4.5 % 5.4 % Rate of compensation increase 3.0 % 3.0 % 2.9 % The projected benefit obligation and the net periodic benefit income (loss) are determined by independent actuaries using assumptions provided by the Company. In determining the discount rate, the Company uses the current yield on high-quality, fixed maturity investments that have maturities corresponding to the anticipated timing of estimated defined benefit payments. The decrease in the weighted average discount rate from 2015 to 2016 is due to a decrease in the yields on securities used to determine the discount rate during 2016. The expected return on plan assets is estimated based upon the anticipated average yield on plan assets using asset return assumptions for each asset class, and the cross-correlations between the asset classes, over a specified projection horizon . The decrease in the weighted average expected return on plan assets from 2015 to 2016 is due to changes in market conditions during 2016 that impacted projected returns. The rate of compensation increase is based upon historical experience and management's expectation of future compensation. Management's discount rate and rate of compensation increase assumptions at December 31, 2017 were used to calculate the Company's projected benefit obligation. Management's discount rate, expected return on plan assets and rate of compensation increase assumptions at December 31, 2016 were used to calculate the net periodic benefit income for 2017 . The Company estimates that net periodic benefit cost in 2018 will include an expense of $3.1 million resulting fr om the amortization of the net actuarial pension loss included as a component of accumulated other comprehensive income at December 31, 2017 . The fair values of each of the plan's assets are measured using quoted prices in active markets for identical assets, which represent Level 1 inputs within the fair value hierarchy established in FASB ASC 820-10. The following table summarizes the fair value of plan assets as of December 31, 2017 and 2016 . December 31, (dollars in thousands) 2017 2016 Plan assets: Fixed maturity index funds $ 110,936 $ 103,218 Equity security index funds 95,452 72,419 Cash and cash equivalents 182 7 Total $ 206,570 $ 175,644 The Company's target asset allocation for t he plan is 47% equity securities and 53% fixed maturities. At December 31, 2017 , the actual allocation of assets in the plan was 46% equity securities and 54% fixed maturities. At December 31, 2016 , the actual allocation of assets in the plan was 41% equity securities and 59% fixed maturities. Investments are managed by a third party inve stment manager. Equity securities are invested in an index fund where 30% is indexed to United Kingdom equities and 70% is indexed to other mar kets. Assets are also invested in a mutual fund with a diversified global portfolio of equities, investment grade debt, property and cash. The primary objective of investing in these funds is to earn rates of return that are consistently in excess of inflation. Investing in equity securities, historically, has provided rates of return that are higher than investments in fixed maturities. Fixed maturity investments are allocated between five mutual funds; two index funds that include United Kingdom government securities, one index fund that includes securities issued by other foreign governments, one mutual fund that includes investment grade corporate bonds from the United Kingdom and foreign markets and one index fund that includes United Kingdom corporate securities. The assets in these funds are invested to meet the Company's obligations for current pensioners and those individuals nearing retirement. The plan does not invest in the Company's common shares. At December 31, 2017 and 2016 , the fair value of plan assets exceeded the plan's accum ulated benefit obligation of $195.1 million and $175.1 million , respectively. The Company expects to make plan contributions of $3.5 million in 2018 . The benefits expected to be paid in each year from 2018 to 2022 ar e $3.0 million , $3.1 million , $3.1 million , $3.2 million and $3.3 million , respectively. The aggregate benefits expected to be paid in the five years from 2023 to 2027 are $17.6 million . The expected benefits to be paid are based on the same assumptions used to measure the Company's projected benefit obligation at December 31, 2017 . |
Markel Corporation (Parent Comp
Markel Corporation (Parent Company Only) Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Markel Corporation (Parent Company Only) Financial Information | Markel Corporation (Parent Company Only) Financial Information The following parent company only condensed financial information reflects the financial position, results of operations and cash flows of Markel Corporation. CONDENSED BALANCE SHEETS December 31, 2017 2016 (dollars in thousands) ASSETS Investments, available-for-sale, at estimated fair value: Fixed maturities (amortized cost of $533,183 in 2017 and $51,181 in 2016) $ 532,438 $ 52,234 Equity securities (cost of $402,694 in 2017 and $203,708 in 2016) 646,060 367,156 Short-term investments (estimated fair value approximates cost) 1,159,323 1,729,400 Total Investments 2,337,821 2,148,790 Cash and cash equivalents 349,347 369,641 Restricted cash and cash equivalents 1,419 1,013 Receivables 18,684 20,477 Investments in consolidated subsidiaries 9,510,215 8,107,450 Notes receivable from subsidiaries 140,110 60,110 Income taxes receivable 5,704 — Other assets 121,233 97,364 Total Assets $ 12,484,533 $ 10,804,845 LIABILITIES AND SHAREHOLDERS' EQUITY Senior long-term debt $ 2,537,331 $ 1,944,171 Notes payable to subsidiaries 285,000 285,000 Income taxes payable — 25,240 Net deferred tax liability 84,507 25,902 Other liabilities 73,547 63,605 Total Liabilities 2,980,385 2,343,918 Total Shareholders' Equity 9,504,148 8,460,927 Total Liabilities and Shareholders' Equity $ 12,484,533 $ 10,804,845 CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME Years Ended December 31, 2017 2016 2015 (dollars in thousands) REVENUES Net investment income $ 21,076 $ 9,561 $ 2,565 Dividends on common stock of consolidated subsidiaries 895,920 349,622 187,496 Net realized investment gains: Other-than-temporary impairment losses — (98 ) (3,455 ) Net realized investment gains, excluding other-than-temporary impairment losses 3,383 1,166 75,000 Net realized investment gains 3,383 1,068 71,545 Total Revenues 920,379 360,251 261,606 EXPENSES Interest expense 122,151 116,013 95,620 Loss on early extinguishment of debt — 44,100 — Other expenses 11,708 13,076 11,287 Total Expenses 133,859 173,189 106,907 Income Before Equity in Undistributed Earnings of Consolidated Subsidiaries and Income Taxes 786,520 187,062 154,699 Equity in undistributed earnings of consolidated subsidiaries (469,365 ) 196,615 407,489 Income tax benefit (78,114 ) (72,012 ) (20,584 ) Net Income to Shareholders $ 395,269 $ 455,689 $ 582,772 OTHER COMPREHENSIVE INCOME (LOSS) TO SHAREHOLDERS Change in net unrealized gains on investments, net of taxes: Net holding gains (losses) arising during the period $ 52,277 $ 37,045 $ (41,861 ) Consolidated subsidiaries' net holding gains (losses) arising during the period 735,062 238,616 (198,309 ) Consolidated subsidiaries' change in unrealized other-than-temporary impairment losses on fixed maturities arising during the period — 35 160 Reclassification adjustments for net gains included in net income to shareholders (1,513 ) (558 ) (45,273 ) Consolidated subsidiaries' reclassification adjustments for net gains included in net income to shareholders (22,783 ) (32,970 ) (35,209 ) Change in net unrealized gains on investments, net of taxes 763,043 242,168 (320,492 ) Change in foreign currency translation adjustments, net of taxes (2,260 ) (1,326 ) 2,970 Consolidated subsidiaries' change in foreign currency translation adjustments, net of taxes 12,663 (10,384 ) (32,175 ) Consolidated subsidiaries' change in net actuarial pension loss, net of taxes 6,259 (19,100 ) (352 ) Total Other Comprehensive Income (Loss) to Shareholders 779,705 211,358 (350,049 ) Comprehensive Income to Shareholders $ 1,174,974 $ 667,047 $ 232,723 CONDENSED STATEMENTS OF CASH FLOWS Years Ended December 31, 2017 2016 2015 (dollars in thousands) OPERATING ACTIVITIES Net income to shareholders $ 395,269 $ 455,689 $ 582,772 Adjustments to reconcile net income to shareholders to net cash provided by operating activities (166,132 ) (120,564 ) (464,193 ) Net Cash Provided By Operating Activities 229,137 335,125 118,579 INVESTING ACTIVITIES Proceeds from sales of fixed maturities and equity securities 20,562 1,831 100,633 Proceeds from maturities, calls and prepayments of fixed maturities 64,705 11,960 24,945 Cost of fixed maturities and equity securities purchased (765,602 ) (29,110 ) (55,656 ) Net change in short-term investments 579,261 (970,364 ) 9,956 Securities received from subsidiaries as dividends, repayment of notes receivable and return of capital 862,554 238,975 — Securities provided to subsidiaries for issuance of notes receivable and capital contributions (99,942 ) — — Return of capital from subsidiaries 45,225 21,021 — Decrease (increase) in notes receivable due from subsidiaries (58 ) 92,530 — Capital contributions to subsidiaries (270,623 ) — (228,578 ) Acquisitions, net of cash acquired (1,153,683 ) — — Cost of equity method investments (10,633 ) (3,100 ) (13,164 ) Additions to property and equipment — (584 ) (305 ) Other 6,972 (3,207 ) (376 ) Net Cash Used By Investing Activities (721,262 ) (640,048 ) (162,545 ) FINANCING ACTIVITIES Additions to senior long-term debt 592,923 493,149 — Increase in notes payable to subsidiaries — — 285,000 Repayment and retirement of senior long-term debt — (183,343 ) (2,000 ) Premiums and fees related to early extinguishment of debt — (43,691 ) — Repurchases of common stock (110,838 ) (51,142 ) (31,491 ) Issuance of common stock 552 4,623 4,752 Purchase of noncontrolling interests (8,970 ) — — Other (1,430 ) (4,960 ) 3,985 Net Cash Provided By Financing Activities 472,237 214,636 260,246 Increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents (19,888 ) (90,287 ) 216,280 Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year 370,654 460,941 244,661 CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS AT END OF YEAR $ 350,766 $ 370,654 $ 460,941 |
Quarterly Financial Information
Quarterly Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information | Quarterly Financial Information (unaudited) The following table presents the unaudited quarterly results of consolidated operations for 2017 , 2016 and 2015 . Quarters Ended (dollars in thousands, except per share amounts) Mar. 31 June 30 Sept. 30 Dec. 31 2017 Operating revenues $ 1,411,751 $ 1,481,493 $ 1,506,148 $ 1,662,267 Net income (loss) 71,040 151,427 (261,035 ) 439,326 Net income (loss) to shareholders 69,869 149,660 (259,141 ) 434,881 Comprehensive income (loss) to shareholders 223,239 342,357 (19,869 ) 629,247 Net income (loss) per share: Basic $ 3.91 $ 10.34 $ (18.82 ) $ 30.48 Diluted 3.90 10.31 (18.82 ) 30.39 Common stock price ranges: High $ 992.00 $ 996.38 $ 1,086.68 $ 1,157.30 Low 887.40 936.95 963.79 1,054.20 2016 Operating revenues $ 1,376,182 $ 1,375,937 $ 1,431,282 $ 1,428,625 Net income 163,646 80,673 83,421 132,703 Net income to shareholders 160,370 78,797 83,796 132,726 Comprehensive income (loss) to shareholders 396,994 209,942 89,161 (29,050 ) Net income per share: Basic $ 11.21 $ 5.44 $ 5.62 $ 9.14 Diluted 11.15 5.41 5.60 9.11 Common stock price ranges: High $ 895.03 $ 989.18 $ 961.78 $ 931.94 Low 805.03 880.01 909.84 811.05 2015 Operating revenues $ 1,302,154 $ 1,304,605 $ 1,342,764 $ 1,420,460 Net income 194,006 92,453 104,410 198,273 Net income to shareholders 190,992 91,369 102,519 197,892 Comprehensive income (loss) to shareholders 281,807 (132,925 ) (51,143 ) 134,984 Net income per share: Basic $ 13.57 $ 6.76 $ 7.43 $ 14.23 Diluted 13.49 6.72 7.39 14.14 Common stock price ranges: High $ 783.50 $ 821.00 $ 898.08 $ 937.91 Low 660.05 736.96 775.00 791.97 |
Summary Of Significant Accoun31
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation. The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) and include the accounts of Markel Corporation and its consolidated subsidiaries, as well as any variable interest entities (VIEs) that meet the requirements for consolidation (the Company). All significant intercompany balances and transactions have been eliminated in consolidation. The Company consolidates the results of its Markel Ventures subsidiaries on a one-month lag. Certain prior year amounts have been reclassified to conform to the current presentation. |
Use of Estimates | Use of Estimates. The preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingent assets and liabilities. Management periodically reviews its estimates and assumptions. Quarterly reviews include evaluating the adequacy of reserves for unpaid losses and loss adjustment expenses, life and annuity reinsurance benefit reserves, litigation contingencies, the reinsurance allowance for doubtful accounts and income tax liabilities, as well as analyzing the recoverability of deferred tax assets, estimating reinsurance premiums written and earned and evaluating the investment portfolio for other-than-temporary declines in estimated fair value. Estimates and assumptions for goodwill and intangible assets are reviewed in conjunction with an acquisition, and goodwill and indefinite-lived intangible assets are reassessed at least annually for impairment. Actual results may differ materially from the estimates and assumptions used in preparing the consolidated financial statements. |
Investments | Investments. Available-for-sale investments are recorded at estimated fair value. Unrealized gains and losses on investments, net of income taxes, are included in accumulated other comprehensive income in shareholders' equity. The Company completes a detailed analysis each quarter to assess whether the decline in the fair value of any investment below its cost basis is deemed other-than-temporary. Premiums and discounts are amortized or accreted over the lives of the related fixed maturities as an adjustment to the yield using the effective interest method. Dividend and interest income are recognized when earned. Realized investment gains or losses are included in earnings. Realized gains or losses from sales of investments are derived using the first-in, first-out method. The Company also has certain investments in equity securities that are recorded at estimated fair value with changes in unrealized gains and losses recorded in net income. These investments totaled $168.8 million as of December 31, 2017 and are included in equity securities in the consolidated balance sheets. Investments accounted for under the equity method of accounting are recorded at cost within other assets on the consolidated balance sheets and subsequently increased or decreased by the Company's proportionate share of the net income or loss of the investee. The Company records its proportionate share of net income or loss of the investee in net investment income (loss). The Company records its proportionate share of other comprehensive income or loss of the investee as a component of other comprehensive income (loss). Dividends or other equity distributions in excess of the Company's cumulative equity in earnings of the investee are recorded as as a reduction of the investment. The Company reviews equity method investments for impairment when events or circumstances indicate that a decline in the fair value of the investment below its carrying value is other-than-temporary. |
Cash and Cash Equivalents | Cash and Cash Equivalents. The Company considers all investments with original maturities of 90 days or less to be cash equivalents. The carrying value of the Company's cash and cash equivalents and restricted cash and cash equivalents approximates fair value. |
Restricted Cash and Cash Equivalents | Restricted Cash and Cash Equivalents. Cash and cash equivalents that are restricted as to withdrawal or use are recorded as restricted cash and cash equivalents. The carrying value of the Company’s restricted cash and cash equivalents approximates fair value. |
Receivables | Receivables. Receivables include amounts receivable from agents, brokers and insureds, which represent premiums that are both currently due and amounts not yet due on insurance and reinsurance policies. Premiums for insurance policies are generally due at inception. Premiums for reinsurance policies generally become due over the period of coverage based on the policy terms. The Company monitors the credit risk associated with premiums receivable, taking into consideration the fact that in certain instances credit risk may be reduced by the Company's right to offset loss obligations or unearned premiums against premiums receivable. Amounts deemed uncollectible are charged to net income in the period they are determined. Changes in the estimate of reinsurance premiums written will result in an adjustment to premiums receivable in the period they are determined. |
Reinsurance Recoverables | Reinsurance Recoverables. Amounts recoverable from reinsurers are estimated in a manner consistent with the claim liability associated with the reinsured business. Allowances are established for amounts deemed uncollectible and reinsurance recoverables are recorded net of these allowances. The Company evaluates the financial condition of its reinsurers and monitors concentration risk to minimize its exposure to significant losses from individual reinsurers. |
Deferred Policy Acquisition Costs | Deferred Policy Acquisition Costs. Costs directly related to the acquisition of insurance premiums are deferred and amortized over the related policy period, generally one year . The Company only defers acquisition costs incurred that are related directly to the successful acquisition of new or renewal insurance contracts, including commissions to agents and brokers and premium taxes. Commissions received related to reinsurance premiums ceded are netted against broker commissions in determining acquisition costs eligible for deferral. To the extent that future policy revenues on existing policies are not adequate to cover related costs and expenses, deferred policy acquisition costs are charged to earnings. The Company does not consider anticipated investment income in determining whether a premium deficiency exists. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets. Goodwill and intangible assets are recorded as a result of business acquisitions. Goodwill represents the excess of the amount paid to acquire a business over the net fair value of assets acquired and liabilities assumed at the date of acquisition. Indefinite-lived and other intangible assets are recorded at fair value as of the acquisition date. The determination of the fair value of certain assets acquired and liabilities assumed involves significant judgment and the use of valuation models and other estimates, which require assumptions that are inherently subjective. Goodwill and indefinite-lived intangible assets are tested for impairment at least annually. The Company completes an annual test during the fourth quarter of each year based upon the results of operations through September 30. Intangible assets with definite lives are amortized using the straight-line method over their estimated useful lives, generally five to 20 years , and are reviewed for impairment when events or circumstances indicate that their carrying value may not be recoverable. |
Property and Equipment | Property and Equipment. Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization of property and equipment are calculated using the straight-line method over the estimated useful lives (generally, the lower of the life of the lease or the estimated useful life for leasehold improvements, ten to 40 years for buildings, seven to 40 years for land improvements, three to ten years for furniture and equipment and three to 25 years for other property and equipment ). |
Redeemable Noncontrolling Interests | Redeemable Noncontrolling Interests. The Company owns controlling interests in various companies through its Markel Ventures operations. In some cases, the Company has the option to acquire the remaining equity interests, and the remaining equity interests have the option to sell their interests to the Company, in the future. The redemption value of the remaining equity interests is generally based on the respective company's earnings in specified periods preceding the redemption date. The redeemable noncontrolling interests generally become redeemable through 2022. The Company recognizes changes in the redemption value that exceed the carrying value of redeemable noncontrolling interests to retained earnings as if the balance sheet date were also the redemption date. Changes in the redemption value also result in an adjustment to net income to shareholders in the calculation of basic and diluted net income per share. The change in the redemption value of redeemable noncontrolling interests in 2017 , 2016 and 2015 resulted in an adjustment to retained earnings of a decrease of $33.7 million , a decrease of $15.5 million , and an increase of $4.1 million , respectively. |
Income Taxes | Income Taxes. The Company records deferred income taxes to reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in years in which those temporary differences are expected to be recovered or settled. Deferred tax assets are reduced by a valuation allowance when management believes it is more likely than not that some, or all, of the deferred tax assets will not be realized. The Company recognizes the tax benefit from an uncertain tax position taken or expected to be taken in income tax returns only if it is more likely than not that the tax position will be sustained upon examination by tax authorities, based on the technical merits of the position. Tax positions that meet the more likely than not threshold are then measured using a probability weighted approach, whereby the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement is recognized. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. |
Unpaid Losses and Loss Adjustment Expenses | Unpaid Losses and Loss Adjustment Expenses. Unpaid losses and loss adjustment expenses on the Company's property and casualty insurance business are based on evaluations of reported claims and estimates for losses and loss adjustment expenses incurred but not reported. Estimates for losses and loss adjustment expenses incurred but not reported are based on reserve development studies, among other things. Recorded reserves are estimates, and the ultimate liability may be greater or less than the estimates. |
Life and Annuity Benefits | Life and Annuity Benefits. The Company previously acquired a block of long duration reinsurance contracts for life and annuity benefits which subject the Company to mortality, longevity and morbidity risks. The assumptions used to determine policy benefit reserves are generally locked-in for the life of the contract unless an unlocking event occurs. To the extent existing policy reserves, together with the present value of future gross premiums and expected investment income earned thereon, are not adequate to cover the present value of future benefits, settlement and maintenance costs, the locked-in assumptions are revised to current best estimate assumptions and a charge to earnings for life and annuity benefits is recognized at that time. Because of the assumptions and estimates used in establishing reserves for life and annuity benefit obligations and the long-term nature of these reinsurance contracts, the ultimate liability may be greater or less than the estimates. Results attributable to the run-off of life and annuity reinsurance business are included in other revenues and other expenses in the Company's consolidated statements of income and comprehensive income and as part of the Company's Other Insurance (Discontinued Lines) segment. |
Revenue Recognition | Revenue Recognition. Property and Casualty Premiums Insurance premiums are generally earned on a pro rata basis over the policy period, typically one year . The cost of reinsurance ceded is initially recorded as prepaid reinsurance premiums and is amortized over the reinsurance contract period in proportion to the amount of insurance protection provided. Premiums ceded are netted against premiums written. Assumed reinsurance premiums are recorded at the inception of each contract based upon contract terms and information received from cedents and brokers and are earned on a pro rata basis over the coverage period, or for multi-year contracts, in proportion with the underlying risk exposure to the extent there is variability in the exposure through the coverage period. Changes in reinsurance premium estimates are expected and may result in significant adjustments in any period. These estimates change over time as additional information regarding changes in underlying exposures is obtained. Any subsequent differences arising on such estimates are recorded as premiums written in the period they are determined and are earned on a pro rata basis over the coverage period. The Company uses the periodic method to account for assumed reinsurance from foreign reinsurers. The Company's foreign reinsurers provide sufficient information to record foreign assumed business in the same manner as the Company records assumed business from United States reinsurers. Certain contracts that the Company writes provide for reinstatement of coverage. Reinstatement premiums are the premiums for the restoration of the insurance or reinsurance limit of a contract to its full amount after a loss occurrence by the insured or reinsured. The Company accrues for reinstatement premiums resulting from losses recorded. Such accruals are based upon contractual terms and management judgment is involved with respect to the amount of losses recorded. Changes in estimates of losses recorded on contracts with reinstatement premium features will result in changes in reinstatement premiums based on contractual terms. Reinstatement premiums are recognized at the time losses are recorded and are earned on a pro rata basis over the coverage period. Other Revenues Other revenues primarily relate to the Company's Markel Ventures operations and consist of revenues from the sale of manufactured products and service revenues. Revenues from manufactured products are generally recognized at the time title transfers to the customer, which typically occurs at the point of shipment or delivery to the customer, depending on the terms of the sales arrangement. Revenues from services are generally recognized as the services are performed. Services provided pursuant to a contract are recognized either over the contract period or upon completion of the elements specified in the contract, depending on the terms of the contract. Investment management fee income is recognized over the period in which investment management services are provided and is calculated and billed monthly based on the net asset value of the accounts managed. Performance fee arrangements entitle the Company to participate, on a fixed-percentage basis, in any net income generated in excess of an agreed-upon threshold as established by the underlying investment management agreements. In general, net income is calculated at the end of each calendar year and performance fees are payable annually. Following the preferred method identified in the Accounting Standards Codification (ASC) Topic 605, Revenue Recognition , such performance fee income is recorded at the conclusion of the contractual performance period, when all contingencies are resolved. Program services fees received in exchange for providing access to the U.S. property and casualty insurance market are based on the gross premiums written on behalf of general agent and capacity provider clients. Program services fees are earned in a manner consistent with the recognition of the gross premiums earned on the underlying insurance policies, generally on a pro rata basis over the terms of the underlying policies reinsured. |
Program Services | Program Services. In connection with the program services business, the Company enters into contractual agreements with both the producing general agents and the reinsurers, whereby the general agents and reinsurers are typically obligated to each other for payment of insurance amounts, including premiums, commissions and losses. To the extent these funds are not the obligation of the Company and are settled directly between the general agent and the reinsurer, no receivables or payables are recorded for these amounts. All obligations of the Company's insurance subsidiaries owed to or on behalf of their policyholders are recorded by the Company and, to the extent appropriate, offsetting reinsurance recoverables are recorded. |
Stock-based Compensation | Stock-based Compensation. Stock-based compensation expense is generally recognized as part of underwriting, acquisition and insurance expenses over the requisite service period. Stock-based compensation expense, net of taxes, was $11.9 million i n 2017 , $14.3 million in 2016 and $16.3 million in 2015 . See note 12 . |
Foreign Currency Translation | Foreign Currency Translation. The functional currencies of the Company's foreign operations are the currencies in which the majority of their business is transacted. Assets and liabilities of foreign operations are translated into the United States Dollar using the exchange rates in effect at the balance sheet date. Revenues and expenses of foreign operations are translated using the average exchange rate for the period. Gains or losses from translating the financial statements of foreign operations denominated in a functional currency are included, net of taxes, in shareholders' equity as a component of accumulated other comprehensive income. Gains and losses arising from transactions denominated in a foreign currency other than a functional currency are included in net income. The Company manages its exposure to foreign currency risk primarily by matching assets, other than goodwill and intangible assets, and liabilities denominated in the same currency. To the extent that assets and liabilities in foreign currencies are not matched, the Company is exposed to foreign currency risk. For functional currencies, the related exchange rate fluctuations are reflected in other comprehensive income. The cumulative foreign currency translation adjustment, net of taxes, was a loss of $74.0 million and $84.4 million at December 31, 2017 and 2016 , respectively. |
Derivative Financial Instruments | Derivative Financial Instruments. Derivative instruments, including derivative instruments resulting from hedging activities, are measured at fair value and recognized as either assets or liabilities on the consolidated balance sheets. The changes in fair value of derivatives are recognized in earnings unless the derivative is designated as a hedge and qualifies for hedge accounting. The Company's foreign currency forward contracts are generally designated and qualify as hedges of a net investment in a foreign operation. The effective portion of the change in fair value resulting from these hedges is reported in currency translation adjustments as part of other comprehensive income. The ineffective portion of the change in fair value is recognized in earnings. |
Comprehensive Income | Comprehensive Income. Comprehensive income represents all changes in equity that result from recognized transactions and other economic events during the period. Other comprehensive income refers to revenues, expenses, gains and losses that under U.S. GAAP are included in comprehensive income but excluded from net income, such as unrealized gains or losses on investments, foreign currency translation adjustments and changes in net actuarial pension loss. |
Net Income Per Share | Net Income Per Share. Basic net income per share is computed by dividing adjusted net income to shareholders by the weighted average number of common shares outstanding during the year. Diluted net income per share is computed by dividing adjusted net income to shareholders by the weighted average number of common shares and dilutive potential common shares outstanding during the year. See note 12 (b). |
Variable Interest Entities | Variable Interest Entities. The Company determines whether it has relationships with entities defined as VIEs in accordance with ASC Topic 810, Consolidation . Under this guidance, a VIE is consolidated by the variable interest holder that is determined to be the primary beneficiary. An entity in which the Company holds a variable interest is a VIE if any of the following conditions exist: (a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) as a group, the holders of equity investment at risk lack either the direct or indirect ability through voting rights or similar rights to make decisions about an entity's activities that most significantly impact the entity's economic performance or the obligation to absorb the expected losses or right to receive the expected residual returns, or (c) the voting rights of some investors are disproportionate to their obligation to absorb the expected losses of the entity, their rights to receive the expected residual returns of the entity, or both and substantially all of the entity's activities either involve or are conducted on behalf of an investor with disproportionately few voting rights. The primary beneficiary is defined as the variable interest holder that is determined to have the controlling financial interest as a result of having both (a) the power to direct the activities of a VIE that most significantly impact the economic performance of the VIE and (b) the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. The Company determines whether an entity is a VIE at the inception of its variable interest in the entity and upon the occurrence of certain reconsideration events. The Company continually reassesses whether it is the primary beneficiary of VIEs in which it holds a variable interest. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements. Effective January 1, 2017, the Company early adopted Accounting Standards Update (ASU) No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which is intended to reduce diversity in practice in how certain transactions are classified in the statement of cash flows. Some of the topics covered by the ASU include the classification of debt prepayment and extinguishment costs, contingent consideration payments made after a business combination and distributions from equity method investees. Upon adoption of this ASU, the Company made an accounting policy election to use the cumulative earnings approach for presenting distributions received from equity method investees, which is consistent with its existing approach. Under this approach, distributions up to the amount of cumulative equity in earnings recognized will be treated as returns on investment and presented in operating activities and those in excess of that amount will be treated as returns of investment and presented in financing activities. The provisions of ASU No. 2016-15 were adopted on a retrospective basis and did not impact the Company's financial position, results of operations or cash flows. Effective January 1, 2017, the Company early adopted ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. The ASU requires that amounts generally described as restricted cash and restricted cash equivalents be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The Company previously presented changes in restricted cash and restricted cash equivalents on the statements of cash flows as an investing activity. The Company generally describes amounts held in trust or on deposit to support underwriting activities as well as amounts pledged as security for letters of credit as restricted cash or restricted cash equivalents. The provisions of ASU No. 2016-18 were adopted on a retrospective basis and did not impact the Company's financial position, results of operations or total comprehensive income. As a result of adoption of this ASU, investing cash inflows of $93.4 million in 2016 and $62.3 million in 2015 were attributed to the change in restricted cash and were reclassified out of investing activities. The Company's statements of cash flows now include restricted cash and restricted cash equivalents in the beginning-of-period and end-of-period total amounts for cash, cash equivalents, restricted cash and restricted cash equivalents. Effective January 1, 2017, the Company early adopted ASU No. 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment . The ASU eliminates Step 2 of the goodwill impairment test, which is performed by estimating the fair value of individual assets and liabilities of the reporting unit to calculate the implied fair value of goodwill. Instead, an entity will record a goodwill impairment charge based on the excess of a reporting unit's carrying value over its estimated fair value, not to exceed the carrying amount of goodwill. The provisions of ASU No. 2017-04 were adopted on a prospective basis and did not have an impact on the Company's financial position, results of operations or cash flows. In May 2014, the Financial Accounting Standards Board (FASB) issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) , which creates a new comprehensive revenue recognition standard that will serve as a single source of revenue guidance for all companies in all industries. The guidance applies to all companies that either enter into contracts with customers to transfer goods or services or enter into contracts for the transfer of nonfinancial assets, unless those contracts are within the scope of other standards, such as insurance contracts. ASU No. 2014-09's core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies will need to use more judgment and make more estimates than under the current guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. Several ASUs have also been issued as amendments to ASU No. 2014-09 and will be evaluated and adopted in conjunction with ASU No. 2014-09. ASU No. 2014-09 becomes effective for the Company during the first quarter of 2018 and will be applied using the modified retrospective method, whereby the cumulative effect of adoption for ongoing contracts will be recognized as an adjustment to retained earnings at the date of initial application. The adjustment to retained earnings at January 1, 2018 will not be material. The adoption of this ASU will not impact the Company's insurance premium revenues or revenues from its investment portfolio, which totale d 77% of c onsolidated revenues for the year ended December 31, 2017, but will impact certain of the Company's other revenues, which are comprised of a diverse portfolio of contracts across various industries. Based on the Company’s evaluation of the impacted revenue streams, which was completed in 2017, the timing of the recognition of revenue and related costs will change with respect to certain contracts with customers, none of which will have a material effect on the consolidated financial statements. For instance, revenues and costs for certain contracts will be recognized over time rather than when the product or service is delivered, as is the current practice. The Company also will provide additional disclosures in the notes to consolidated financial statements as required under the new guidance. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments (Topic 825): Recognition and Measurement of Financial Assets and Financial Liabilities . The ASU significantly changes the income statement impact of equity investments and the recognition of changes in fair value of financial liabilities attributable to an entity's own credit risk when the fair value option is elected. The ASU requires equity instruments that do not result in consolidation and are not accounted for under the equity method to be measured at fair value and to recognize any changes in fair value in net income rather than other comprehensive income. ASU No. 2016-01 becomes effective for the Company during the first quarter of 2018 and will be applied using a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal year of adoption. As of December 31, 2017 , accumulated other comprehensive income included $3.3 billion of net unrealized gains on equity securities, which will be reclassified to retained earnings on January 1, 2018. As of December 31, 2017 , accumulated other comprehensive income was net of deferred income taxes on net unrealized gains on equity securities of $1.1 billion . The Company is still assessing the impact of ASU No. 2018-02, as discussed below, on deferred taxes included in accumulated other comprehensive income and has not determined the amount of deferred income taxes on net unrealized gains on equity securities that will be reclassified to retained earnings on January 1, 2018. The provisions related to equity investments without a readily determinable fair value will be applied prospectively to equity investments as of the adoption date. Adoption of this ASU is not expected have a material impact on the Company's financial position, cash flows, or total comprehensive income, but will have a material impact on the Company's results of operations as changes in fair value of equity instruments will be presented in net income rather than other comprehensive income. See note 3(f) for details regarding the change in net unrealized gains on equity securities included in other comprehensive income for the years ended December 31, 2017 , 2016 and 2015 . In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) . The ASU requires lessees to record most leases on their balance sheets as a lease liability with a corresponding right-of-use asset, but continue to recognize the related leasing expense within net income. ASU No. 2016-02 becomes effective for the Company during the first quarter of 2019 and will be applied using a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements. See note 16 for details regarding the Company's minimum annual rental commitments payable directly by the Company for noncancelable operating leases at December 31, 2017, which will be subject to this new guidance. The calculation of the lease liability and right-of-use asset requires further analysis of the underlying leases to determine which portions of the underlying lease payments are required to be included in the calculation. Adoption of this standard will impact the Company’s consolidated balance sheets but is not expected to have a material impact on the Company’s results of operations or cash flows. The Company is currently evaluating ASU No. 2016-02 to determine the magnitude of the impact that adopting this standard will have on its consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. The ASU replaces the current incurred loss model used to measure impairment losses with an expected loss model for trade, reinsurance, and other receivables as well as financial instruments measured at amortized cost. For available-for-sale debt securities, which are measured at fair value, the ASU requires entities to record impairments as an allowance, rather than a reduction of the amortized cost, as is currently required under the other-than-temporary impairment model. ASU No. 2016-13 becomes effective for the Company during the first quarter of 2020 and will be applied using a modified retrospective approach through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The Company is currently evaluating ASU No. 2016-13 to determine the potential impact that adopting this standard will have on its consolidated financial statements. Application of the new expected loss model for measuring impairment losses will not impact the Company's investment portfolio, all of which is considered available-for-sale, but will impact the Company's other financial assets, including its reinsurance recoverables. Upon adoption of this ASU, any impairment losses on the Company's available-for-sale debt securities will be recorded as an allowance, subject to reversal, rather than as a reduction in amortized cost. In February 2018, the FASB issued ASU No. 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. The ASU provides an option to reclassify tax effects that are stranded in accumulated other comprehensive income as a result of enactment of the Tax Cuts and Jobs Act (TCJA) in December 2017, to retained earnings. U.S. GAAP currently requires the effects of changes in tax rates and laws on deferred tax balances to be recorded as a component of income tax expense in the period of enactment, even if the assets and liabilities relate to items of accumulated other comprehensive income. See note 8 for further discussion of the impact of the TCJA recorded in the fourth quarter of 2017. ASU No. 2018-02 becomes effective for the Company during the first quarter of 2019 and can be applied in the period of adoption or retrospectively to each period in which the effect of the TCJA was recognized. Early adoption is permitted. The Company is currently evaluating ASU No. 2018-02 to determine the potential impact that adopting this standard will have on its consolidated financial statements. The following ASU's relate to topics relevant to the Company's operations and were adopted effective January 1, 2017. These ASU's did not have a material impact on the Company’s financial position, results of operations or cash flows: • ASU No. 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory • ASU No. 2016-07, Investments - Equity Method and Joint Ventures (Topic 323): Simplifying the Transition to the Equity Method of Accounting • ASU No. 2016-17, Consolidation (Topic 810): Interests Held through Related Parties That Are under Common Control • ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business The following ASU’s relate to topics relevant to the Company's operations and are not yet effective. These ASU's are not expected to have a material impact on the Company's financial position, results of operations or cash flows: • ASU No. 2016-16, Income Taxes (Topic 740): Intra-entity Transfers of Assets Other Than Inventory • ASU No. 2017-07, Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost • ASU No. 2017-08, Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities • ASU No. 2017-09, Stock Compensation (Topic 718): Scope of Modification Accounting |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Summary Of Fair Value Of Assets Acquired And Liabilities Assumed | The following table summarizes the provisional fair values of the assets acquired and liabilities assumed at the acquisition date. (dollars in thousands) ASSETS Investments $ 395,940 Cash and cash equivalents 77,302 Restricted cash and cash equivalents 25,545 Receivables 147,256 Prepaid reinsurance premiums 808,331 Reinsurance recoverable on paid and unpaid losses 2,075,734 Other assets 83,721 LIABILITIES Unpaid losses and loss adjustment expenses 2,086,621 Unearned premiums 825,529 Payables to insurance and reinsurance companies 122,203 Senior long-term debt and other debt 44,500 Other liabilities 370,551 Net assets 164,425 Goodwill 370,375 Intangible assets 384,000 Acquisition date fair value $ 918,800 |
Summary Of Net Intangible Assets Acquired | The following table summarizes the provisional intangible assets recorded in connection with the acquisition, and as of December 31, 2017. (dollars in thousands) Amount Economic Useful Life Customer relationships $ 302,000 13 years Trade names 23,000 13 years Technology 27,000 Nine years Insurance licenses 32,000 Indefinite Intangible assets, before amortization, as of the Acquisition Date 384,000 Amortization (from the Acquisition Date through December 31, 2017) 4,797 Net intangible assets as of December 31, 2017 $ 379,203 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Available-For-Sale Investments | The following tables summarize the Company's available-for-sale investments. Commercial and residential mortgage-backed securities include securities issued by U.S. government-sponsored enterprises and U.S. government agencies. December 31, 2017 (dollars in thousands) Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Unrealized Other- Than-Temporary Impairment Losses Estimated Fair Value Fixed maturities: U.S. Treasury securities $ 162,378 $ 54 $ (1,819 ) $ — $ 160,613 U.S. government-sponsored enterprises 352,455 11,883 (818 ) — 363,520 Obligations of states, municipalities and political subdivisions 4,381,358 193,120 (7,916 ) — 4,566,562 Foreign governments 1,341,628 150,010 (2,410 ) — 1,489,228 Commercial mortgage-backed securities 1,244,777 6,108 (16,559 ) — 1,234,326 Residential mortgage-backed securities 846,916 14,115 (4,863 ) — 856,168 Asset-backed securities 34,942 8 (222 ) — 34,728 Corporate bonds 1,186,699 51,563 (2,737 ) — 1,235,525 Total fixed maturities 9,551,153 426,861 (37,344 ) — 9,940,670 Equity securities: Insurance, banks and other financial institutions 899,324 1,209,162 (5,453 ) — 2,103,033 Industrial, consumer and all other 1,768,337 2,110,959 (14,482 ) — 3,864,814 Total equity securities 2,667,661 3,320,121 (19,935 ) — 5,967,847 Short-term investments 2,161,017 26 (69 ) — 2,160,974 Investments, available-for-sale $ 14,379,831 $ 3,747,008 $ (57,348 ) $ — $ 18,069,491 December 31, 2016 (dollars in thousands) Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Unrealized Other- Than-Temporary Impairment Losses Estimated Fair Value Fixed maturities: U.S. Treasury securities $ 259,379 $ 99 $ (894 ) $ — $ 258,584 U.S. government-sponsored enterprises 418,457 9,083 (4,328 ) — 423,212 Obligations of states, municipalities and political subdivisions 4,324,332 145,678 (41,805 ) — 4,428,205 Foreign governments 1,306,324 159,291 (2,153 ) — 1,463,462 Commercial mortgage-backed securities 1,055,947 3,953 (19,544 ) — 1,040,356 Residential mortgage-backed securities 779,503 18,749 (5,048 ) (2,258 ) 790,946 Asset-backed securities 27,494 2 (158 ) — 27,338 Corporate bonds 1,420,298 49,146 (9,364 ) (673 ) 1,459,407 Total fixed maturities 9,591,734 386,001 (83,294 ) (2,931 ) 9,891,510 Equity securities: Insurance, banks and other financial institutions 846,343 857,063 (5,596 ) — 1,697,810 Industrial, consumer and all other 1,635,105 1,421,080 (8,154 ) — 3,048,031 Total equity securities 2,481,448 2,278,143 (13,750 ) — 4,745,841 Short-term investments 2,336,100 57 (6 ) — 2,336,151 Investments, available-for-sale $ 14,409,282 $ 2,664,201 $ (97,050 ) $ (2,931 ) $ 16,973,502 |
Summary Of Gross Unrealized Investment Losses By Length Of Time That Securities Have Continuously Been In An Unrealized Loss Position | December 31, 2016 Less than 12 months 12 months or longer Total (dollars in thousands) Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Fixed maturities: U.S. Treasury securities $ 122,950 $ (894 ) $ — $ — $ 122,950 $ (894 ) U.S. government-sponsored enterprises 220,333 (4,324 ) 7,618 (4 ) 227,951 (4,328 ) Obligations of states, municipalities and political subdivisions 1,004,947 (37,685 ) 31,723 (4,120 ) 1,036,670 (41,805 ) Foreign governments 68,887 (2,145 ) 5,005 (8 ) 73,892 (2,153 ) Commercial mortgage-backed securities 749,889 (19,091 ) 29,988 (453 ) 779,877 (19,544 ) Residential mortgage-backed securities 181,557 (4,987 ) 79,936 (2,319 ) 261,493 (7,306 ) Asset-backed securities 14,501 (106 ) 5,869 (52 ) 20,370 (158 ) Corporate bonds 494,573 (8,357 ) 93,790 (1,680 ) 588,363 (10,037 ) Total fixed maturities 2,857,637 (77,589 ) 253,929 (8,636 ) 3,111,566 (86,225 ) Equity securities: Insurance, banks and other financial institutions 8,808 (410 ) 37,973 (5,186 ) 46,781 (5,596 ) Industrial, consumer and all other 98,406 (4,772 ) 29,650 (3,382 ) 128,056 (8,154 ) Total equity securities 107,214 (5,182 ) 67,623 (8,568 ) 174,837 (13,750 ) Short-term investments 504,211 (6 ) — — 504,211 (6 ) Total $ 3,469,062 $ (82,777 ) $ 321,552 $ (17,204 ) $ 3,790,614 $ (99,981 ) The following tables summarize gross unrealized investment losses by the length of time that securities have continuously been in an unrealized loss position. December 31, 2017 Less than 12 months 12 months or longer Total (dollars in thousands) Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Estimated Fair Value Gross Unrealized Holding and Other-Than- Temporary Impairment Losses Fixed maturities: U.S. Treasury securities $ 78,756 $ (659 ) $ 78,298 $ (1,160 ) $ 157,054 $ (1,819 ) U.S. government-sponsored enterprises 11,593 (79 ) 89,194 (739 ) 100,787 (818 ) Obligations of states, municipalities and political subdivisions 80,654 (789 ) 404,814 (7,127 ) 485,468 (7,916 ) Foreign governments 31,752 (452 ) 63,406 (1,958 ) 95,158 (2,410 ) Commercial mortgage-backed securities 253,936 (1,980 ) 481,216 (14,579 ) 735,152 (16,559 ) Residential mortgage-backed securities 157,508 (1,345 ) 148,960 (3,518 ) 306,468 (4,863 ) Asset-backed securities 14,263 (123 ) 15,165 (99 ) 29,428 (222 ) Corporate bonds 149,345 (863 ) 187,754 (1,874 ) 337,099 (2,737 ) Total fixed maturities 777,807 (6,290 ) 1,468,807 (31,054 ) 2,246,614 (37,344 ) Equity securities: Insurance, banks and other financial institutions 60,848 (4,843 ) 1,291 (610 ) 62,139 (5,453 ) Industrial, consumer and all other 78,552 (11,798 ) 11,243 (2,684 ) 89,795 (14,482 ) Total equity securities 139,400 (16,641 ) 12,534 (3,294 ) 151,934 (19,935 ) Short-term investments 369,104 (69 ) — — 369,104 (69 ) Total $ 1,286,311 $ (23,000 ) $ 1,481,341 $ (34,348 ) $ 2,767,652 $ (57,348 ) |
Schedule Of Amortized Cost And Estimated Fair Value Of Fixed Maturities By Contractual Maturity | The amortized cost and estimated fair value of fixed maturities at December 31, 2017 are shown below by contractual maturity. (dollars in thousands) Amortized Cost Estimated Fair Value Due in one year or less $ 288,292 $ 289,171 Due after one year through five years 1,297,635 1,334,823 Due after five years through ten years 1,671,171 1,744,280 Due after ten years 4,167,420 4,447,174 7,424,518 7,815,448 Commercial mortgage-backed securities 1,244,777 1,234,326 Residential mortgage-backed securities 846,916 856,168 Asset-backed securities 34,942 34,728 Total fixed maturities $ 9,551,153 $ 9,940,670 |
Components Of Net Investment Income | The following table presents the components of net investment income. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Interest: Municipal bonds (tax-exempt) $ 87,768 $ 88,654 $ 93,580 Municipal bonds (taxable) 70,771 65,749 57,550 Other taxable bonds 145,085 144,752 138,763 Short-term investments, including overnight deposits 26,772 11,177 5,223 Dividends on equity securities 82,096 70,577 74,705 Income (loss) from equity method investments 11,076 6,852 (262 ) Other (828 ) 2,676 651 422,740 390,437 370,210 Investment expenses (17,031 ) (17,207 ) (16,997 ) Net investment income $ 405,709 $ 373,230 $ 353,213 |
Summary Of Net Realized Investment Gains (Losses) And The Change In Net Unrealized Gains On Investments | The following table presents net realized investment gains (losses) and the change in net unrealized gains on investments. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Realized gains: Sales of fixed maturities $ 5,525 $ 5,160 $ 3,073 Sales of equity securities 40,113 70,177 156,987 Other 6,644 1,415 8,103 Total realized gains 52,282 76,752 168,163 Realized losses: Sales of fixed maturities (1,983 ) (704 ) (4,598 ) Sales of equity securities (1,830 ) (6,988 ) (1,232 ) Other-than-temporary impairments (7,589 ) (18,355 ) (44,481 ) Other (1,295 ) (2,349 ) (486 ) Total realized losses (12,697 ) (28,396 ) (50,797 ) Gains (losses) on securities measured at fair value through net income (44,888 ) 16,791 (10,886 ) Net realized investment gains (losses) $ (5,303 ) $ 65,147 $ 106,480 Change in net unrealized gains on investments included in other comprehensive income (loss): Fixed maturities $ 89,741 $ (56,534 ) $ (137,435 ) Equity securities 1,035,793 398,752 (320,277 ) Short-term investments (94 ) (107 ) 128 Net increase (decrease) $ 1,125,440 $ 342,111 $ (457,584 ) |
Summary of Other-Than-Temporary Impairment Losses Recognized In Net Income And In Net Realized Investment Gains (Losses) By Investment Type | The following table presents other-than-temporary impairment losses recognized in net income and included in net realized investment gains (losses) by investment type. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Fixed maturities: Corporate bonds $ (328 ) $ — $ — Total fixed maturities (328 ) — — Equity securities: Insurance, banks and other financial institutions (604 ) (7,586 ) (9,835 ) Industrial, consumer and all other (6,657 ) (10,769 ) (34,646 ) Total equity securities (7,261 ) (18,355 ) (44,481 ) Total $ (7,589 ) $ (18,355 ) $ (44,481 ) |
Components Of Restricted Assets | The following table presents the components of restricted assets. December 31, (dollars in thousands) 2017 2016 Restricted assets held in trust or on deposit to support underwriting activities $ 4,624,998 $ 4,059,336 Investments and cash and cash equivalents pledged as security for letters of credit 349,462 355,616 Total $ 4,974,460 $ 4,414,952 |
Schedule Of Restricted Assets | Total restricted assets are included on the Company's consolidated balance sheets as follows. December 31, (dollars in thousands) 2017 2016 Investments, available-for-sale $ 4,672,073 $ 4,068,535 Restricted cash and cash equivalents 302,387 346,417 Total $ 4,974,460 $ 4,414,952 |
Receivables (Tables)
Receivables (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Components Of Receivables | The following table presents the components of receivables. December 31, (dollars in thousands) 2017 2016 Amounts receivable from agents, brokers and insureds $ 1,281,366 $ 1,102,538 Trade accounts receivable 181,666 123,341 Insurance proceeds receivable 39,196 — Program services fees receivable 22,767 — Employee stock loans receivable (see note 12(c)) 18,499 20,171 Investment management and performance fees receivable 5,796 38,735 Other 31,938 10,122 1,581,228 1,294,907 Allowance for doubtful receivables (13,775 ) (11,910 ) Receivables $ 1,567,453 $ 1,282,997 |
Deferred Policy Acquisition C35
Deferred Policy Acquisition Costs (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Deferred Policy Acquisition Costs Disclosures [Abstract] | |
Amounts Of Policy Acquisition Costs Deferred And Amortized | The following table presents the amounts of policy acquisition costs deferred and amortized. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Balance, beginning of year $ 392,410 $ 352,756 $ 353,410 Policy acquisition costs deferred 964,755 823,840 752,324 Amortization of policy acquisition costs (894,353 ) (782,221 ) (744,964 ) Foreign currency movements 2,757 (1,965 ) (8,014 ) Deferred policy acquisition costs $ 465,569 $ 392,410 $ 352,756 |
Components Of Underwriting, Acquisition And Insurance Expenses | The following table presents the components of underwriting, acquisition and insurance expenses. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Amortization of policy acquisition costs $ 894,353 $ 782,221 $ 744,964 Other operating expenses 693,061 716,369 710,116 Underwriting, acquisition and insurance expenses $ 1,587,414 $ 1,498,590 $ 1,455,080 |
Property And Equipment (Tables)
Property And Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Components Of Property And Equipment | The following table presents the components of property and equipment, which are included in other assets on the consolidated balance sheets. December 31, (dollars in thousands) 2017 2016 Land $ 66,885 $ 56,783 Buildings 119,729 76,159 Leasehold improvements 98,246 95,898 Land improvements 89,444 74,040 Furniture and equipment 341,450 301,146 Other 196,465 162,385 912,219 766,411 Accumulated depreciation and amortization (410,602 ) (354,009 ) Property and equipment $ 501,617 $ 412,402 |
Goodwill And Intangible Assets
Goodwill And Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Components Of Goodwill | The following table presents the components of goodwill by reportable segment. (dollars in thousands) U.S. Insurance International Insurance Reinsurance Other (1) Total January 1, 2016 $ 280,579 $ 397,993 $ 122,745 $ 366,527 $ 1,167,844 Impairment loss — — — (18,723 ) (18,723 ) Foreign currency movements and other adjustments — (5,809 ) — (1,064 ) (6,873 ) December 31, 2016 (2) $ 280,579 $ 392,184 $ 122,745 $ 346,740 $ 1,142,248 Acquisitions (see note 2) 93,123 — — 533,612 626,735 Foreign currency movements and other adjustments — 5,935 — 2,546 8,481 December 31, 2017 (2) $ 373,702 $ 398,119 $ 122,745 $ 882,898 $ 1,777,464 (1) Amounts included in Other above are related to the Company's other operations, which are not included in a reportable segment. (2) Goodwill is net of accumulated impairment losses of $47.3 million as of December 31, 2017 and 2016 , included in Other. |
Components Of Intangible Assets | The following table presents the components of intangible assets with a net carrying amount. December 31, 2017 2016 (dollars in thousands) Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Customer relationships $ 938,536 $ (156,725 ) $ 460,327 $ (119,376 ) Broker relationships 183,514 (68,273 ) 183,092 (56,888 ) Trade names 163,736 (39,057 ) 100,966 (29,745 ) Investment management agreements 98,000 (14,000 ) 98,000 (7,000 ) Agent relationships 92,000 (4,042 ) — — Technology 84,242 (35,106 ) 54,408 (28,220 ) Insurance licenses 70,185 — 30,185 — Lloyd's syndicate capacity 12,000 — 12,000 — Other 42,959 (12,288 ) 34,172 (9,379 ) Total $ 1,685,172 $ (329,491 ) $ 973,150 $ (250,608 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Components Of Income Before Income Taxes | Income before income taxes includes the following components. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Domestic operations $ 337,704 $ 288,905 $ 323,954 Foreign operations (250,409 ) 341,015 418,151 Income before income taxes $ 87,295 $ 629,920 $ 742,105 |
Components Of Income Tax Expense (Benefit) | Income tax expense (benefit) includes the following components. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Current: Domestic $ (19,255 ) $ 57,916 $ 44,406 Foreign 29,882 48,203 118,235 Total current tax expense 10,627 106,119 162,641 Deferred: Domestic (222,427 ) 19,991 9,415 Foreign (101,663 ) 43,367 (19,093 ) Total deferred tax expense (benefit) (324,090 ) 63,358 (9,678 ) Income tax expense (benefit) $ (313,463 ) $ 169,477 $ 152,963 |
Components of TCJA Related Net Tax Benefit | Year Ended (dollars in thousands) December 31, 2017 Tax rate change on net unrealized gains on investments $ (401,538 ) Tax rate change on other temporary differences - Markel Ventures (provisional) (37,129 ) Tax rate change on other temporary differences - Other operations (provisional) 69,268 Tax on deemed repatriation of foreign earnings (provisional) 29,500 Total $ (339,899 ) |
Reconciliations Of United States Corporate Income Tax Rate To Effective Tax Rate On Income Before Income Taxes | The following table presents a reconciliation of income taxes computed using the U.S. corporate tax rate to the Company's income tax expense (benefit). Years Ended December 31, 2017 2016 2015 Income taxes at U.S. corporate tax rate $ 30,553 35 % $ 220,472 35 % $ 259,737 35 % Increase (decrease) resulting from: TCJA (339,899 ) (389 ) — — — — Tax-exempt investment income (41,565 ) (48 ) (39,710 ) (6 ) (40,483 ) (5 ) Tax credits (10,236 ) (12 ) (13,294 ) (2 ) (56,409 ) (8 ) Stock based compensation (9,001 ) (10 ) (5,411 ) (1 ) — — Foreign operations 54,920 63 4,672 1 (10,766 ) (1 ) Other 1,765 2 2,748 — 884 — Income tax expense (benefit) $ (313,463 ) (359 )% $ 169,477 27 % $ 152,963 21 % |
Components Of Domestic And Foreign Deferred Tax Assets And Liabilities | The following table presents the components of domestic and foreign deferred tax assets and liabilities. December 31, (dollars in thousands) 2017 2016 Assets: Unpaid losses and loss adjustment expenses $ 144,761 $ 181,303 Life and annuity benefits 77,945 135,075 Unearned premiums recognized for income tax purposes 74,282 121,852 Tax credit carryforwards 48,938 23,037 Net operating loss carryforwards 29,252 26,743 Accrued incentive compensation 23,167 67,719 Other differences between financial reporting and tax bases 60,995 64,177 Total gross deferred tax assets 459,340 619,906 Less valuation allowance (25,225 ) (18,781 ) Total gross deferred tax assets, net of allowance 434,115 601,125 Liabilities: Investments 603,523 664,950 Amortization of goodwill and other intangible assets 171,681 102,631 Deferred policy acquisition costs 90,826 128,302 Other differences between financial reporting and tax bases 73,664 35,727 Total gross deferred tax liabilities 939,694 931,610 Net deferred tax liability $ 505,579 $ 330,485 |
Unpaid Losses And Loss Adjust39
Unpaid Losses And Loss Adjustment Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Liability for Unpaid Claims and Claims Adjustment Expense, Incurred Claims [Abstract] | |
Reconciliation Of Consolidated Reserves For Losses And Loss Adjustment Expenses | The following table presents a reconciliation of consolidated beginning and ending reserves for losses and loss adjustment expenses. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Net reserves for losses and loss adjustment expenses, beginning of year $ 8,108,717 $ 8,235,288 $ 8,535,483 Foreign currency movements 110,079 (129,692 ) (134,173 ) Adjusted net reserves for losses and loss adjustment expenses, beginning of year 8,218,796 8,105,596 8,401,310 Incurred losses and loss adjustment expenses: Current accident year 3,367,223 2,555,902 2,566,545 Prior accident years (497,627 ) (493,495 ) (627,800 ) Total incurred losses and loss adjustment expenses 2,869,596 2,062,407 1,938,745 Payments: Current accident year 671,112 532,140 486,551 Prior accident years 1,513,580 1,529,206 1,423,286 Total payments 2,184,692 2,061,346 1,909,837 Effect of foreign currency rate changes 3,752 2,060 (17,281 ) Net reserves for losses and loss adjustment expenses of acquired insurance companies 57,493 — — Reinsurance recoverable on retroactive reinsurance transactions — — (177,649 ) Net reserves for losses and loss adjustment expenses, end of year 8,964,945 8,108,717 8,235,288 Reinsurance recoverable on unpaid losses 4,619,336 2,006,945 2,016,665 Gross reserves for losses and loss adjustment expenses, end of year $ 13,584,281 $ 10,115,662 $ 10,251,953 |
Ultimate Incurred Losses And Cumulative Paid Losses And Allocated Loss Adjustment Expenses, Net Of Reinsurance | The tables below also include claim frequency information, by accident year, for each of the segments presented. The Company defines a claim as a single claim incident, per policy, which may include multiple claimants and multiple coverages on a single policy. Claim counts include claims closed without a payment as well as claims where the Company is monitoring to determine if an exposure exists, even if a reserve has not been established. In 2013, the Company completed the acquisition of Alterra, the results of which are included in each of the Company's reportable segments. Ultimate incurred losses and loss adjustment expenses, net of reinsurance for the year ended December 31, 2013 include outstanding liabilities for losses and loss adjustment expenses of Alterra as of the acquisition date, by accident year and not in any prior periods. Pre-acquisition data is not available by segment and accident year as a result of changes to the historical Alterra product line reporting structure that impacted each of the Company's reportable segments and the impact of significant intercompany reinsurance contracts. Additionally, Alterra reserves were historically determined on a policy year basis and pre-acquisition data does not exist in a format that can be used to determine accident year and segment. Following the acquisition, ongoing business attributable to Alterra was integrated with the Company's other insurance operations and is not separately tracked. U.S. Insurance Segment Ultimate Incurred Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Total of Incurred-but-Not-Reported Liabilities, Net of Reinsurance Cumulative Number of Reported Claims Unaudited Year Ended December 31, (in thousands) Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 December 31, 2017 2012 $ 949,141 $ 985,721 $ 924,138 $ 924,621 $ 909,237 $ 891,641 $ 88,973 107 2013 1,130,681 1,105,927 1,042,100 1,009,438 996,204 124,412 66 2014 1,278,116 1,140,685 1,116,093 1,088,667 193,049 57 2015 1,285,411 1,211,389 1,136,033 305,158 57 2016 1,319,731 1,224,207 476,971 59 2017 1,572,585 911,675 67 Total $ 6,909,337 Cumulative Paid Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Unaudited Year Ended December 31, Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 2012 $ 193,708 $ 401,773 $ 546,635 $ 644,658 $ 728,802 $ 763,455 2013 222,890 443,392 594,558 725,782 799,385 2014 264,697 487,068 650,118 770,490 2015 260,121 514,497 660,699 2016 278,650 523,226 2017 336,553 Total $ 3,853,808 All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance 289,191 Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance $ 3,344,720 Reinsurance Segment Ultimate Incurred Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Total of Incurred-but-Not-Reported Liabilities, Net of Reinsurance Unaudited Year Ended December 31, (in thousands) Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 December 31, 2017 2012 $ 73,177 $ 553,865 $ 511,264 $ 489,767 $ 460,002 $ 458,643 $ 82,453 2013 591,730 583,775 553,046 538,223 549,500 129,940 2014 580,964 571,056 541,967 587,525 159,911 2015 530,245 516,568 535,936 247,838 2016 531,083 541,645 285,157 2017 910,948 563,757 Total $ 3,584,197 Cumulative Paid Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Unaudited Year Ended December 31, Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 2012 $ 4,127 $ 64,982 $ 129,633 $ 185,315 $ 233,284 $ 265,833 2013 71,983 156,903 212,106 271,598 304,797 2014 98,241 159,221 229,572 278,786 2015 64,130 135,132 210,289 2016 80,026 171,547 2017 158,420 Total $ 1,389,672 All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance 757,569 Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance $ 2,952,094 International Insurance Segment Ultimate Incurred Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Total of Incurred-but-Not-Reported Liabilities, Net of Reinsurance Cumulative Number of Reported Claims Unaudited Year Ended December 31, (in thousands) Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 December 31, 2017 2012 $ 428,711 $ 633,511 $ 573,945 $ 511,144 $ 493,563 $ 477,855 $ 58,151 19 2013 614,829 598,638 492,290 460,978 439,992 128,109 18 2014 594,055 566,049 522,778 491,882 117,588 18 2015 508,159 510,035 460,851 119,232 22 2016 562,190 573,593 142,890 22 2017 765,959 427,823 21 Total $ 3,210,132 Cumulative Paid Losses and Allocated Loss Adjustment Expenses, Net of Reinsurance Unaudited Year Ended December 31, Years Ended December 31, Accident Year 2012 2013 2014 2015 2016 2017 2012 $ 40,545 $ 168,322 $ 237,084 $ 297,752 $ 329,766 $ 360,164 2013 49,426 130,088 187,671 227,922 243,043 2014 68,464 174,294 249,408 297,887 2015 63,564 153,418 219,574 2016 94,926 232,921 2017 103,780 Total $ 1,457,369 All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance 482,546 Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance $ 2,235,309 |
Average Annual Percentage Payout Of Incurred Losses By Age (in Years), Net Of Reinsurance | The following table presents supplementary information about average historical claims duration as of December 31, 2017 based on the cumulative incurred and paid losses and allocated loss adjustment expenses presented above. Average Annual Percentage Payout of Incurred Losses by Age (in Years), Net of Reinsurance Unaudited 1 2 3 4 5 6 U.S. Insurance 22.6 % 21.7 % 14.8 % 11.7 % 8.4 % 3.9 % International Insurance 12.9 % 22.2 % 14.3 % 10.6 % 5.1 % 6.4 % Reinsurance 12.5 % 13.8 % 12.5 % 10.4 % 8.3 % 7.1 % |
Reconciliation Of Net Incurred And Paid Loss Development Tables, By Segment, To The Liability For Losses And Loss Adjustment Expenses In The Consolidated Balance Sheet | The following table reconciles the net incurred and paid loss development tables, by segment, to the liability for losses and loss adjustment expenses in the consolidated balance sheet. (dollars in thousands) December 31, 2017 Net outstanding liabilities U.S. Insurance $ 3,344,720 International Insurance 2,235,309 Reinsurance 2,952,094 Other Insurance (Discontinued Lines) 246,365 Program Services 2,441 Liabilities for unpaid losses and loss adjustment expenses, net of reinsurance 8,780,929 Reinsurance recoverable on unpaid losses U.S. Insurance 827,113 International Insurance 1,091,785 Reinsurance 341,168 Other Insurance (Discontinued Lines) 166,281 Program Services 2,192,989 Total reinsurance recoverable on unpaid losses 4,619,336 Unallocated loss adjustment expenses 230,016 Unamortized fair value adjustments (46,000 ) 184,016 Total gross liability for unpaid losses and loss adjustment expenses $ 13,584,281 |
Reconciliation Of Asbestos And Environmental Reserves For Losses And Loss Adjustment Expenses | The following table provides a reconciliation of beginning and ending A&E reserves for losses and loss adjustment expenses, which are a component of consolidated unpaid losses and loss adjustment expenses. Amounts included in the following table are presented before consideration of reinsurance allowances. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Net reserves for A&E losses and loss adjustment expenses, beginning of year $ 111,604 $ 132,869 $ 287,723 Commutations and other 6,827 — — Adjusted net reserves for A&E losses and loss adjustment expenses, beginning of year 118,431 132,869 287,723 Incurred losses and loss adjustment expenses 659 (5,277 ) 25,415 Payments (14,429 ) (15,988 ) (20,628 ) Reinsurance recoverable on retroactive reinsurance transactions — — (159,641 ) Net reserves for A&E losses and loss adjustment expenses, end of year 104,661 111,604 132,869 Reinsurance recoverable on unpaid losses 169,866 212,300 253,756 Gross reserves for A&E losses and loss adjustment expenses, end of year $ 274,527 $ 323,904 $ 386,625 |
Life And Annuity Benefits (Tabl
Life And Annuity Benefits (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Liability for Future Policy Benefits [Abstract] | |
Schedule Of Life And Annuity Benefits | The following table presents life and annuity benefits. December 31, (dollars in thousands) 2017 2016 Life $ 127,208 $ 131,768 Annuities 885,984 849,226 Accident and health 58,920 68,660 Total $ 1,072,112 $ 1,049,654 |
Senior Long-Term Debt And Oth41
Senior Long-Term Debt And Other Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Summary Of Senior Long-Term Debt And Other Debt | The following table summarizes the Company's senior long-term debt and other debt. December 31, (dollars in thousands) 2017 2016 7.20% unsecured senior notes, due April 14, 2017, interest payable semi-annually, net of unamortized premium of $0 in 2017 and $417 in 2016 $ — $ 91,046 7.125% unsecured senior notes, due September 30, 2019, interest payable semi-annually, net of unamortized discount of $332 in 2017 and $522 in 2016 234,411 234,183 6.25% unsecured senior notes, due September 30, 2020, interest payable semi-annually, net of unamortized premium of $26,618 in 2017 and $35,717 in 2016 376,616 385,714 5.35% unsecured senior notes, due June 1, 2021, interest payable semi-annually, net of unamortized discount of $706 in 2017 and $912 in 2016 249,176 248,957 4.90% unsecured senior notes, due July 1, 2022, interest payable semi-annually, net of unamortized discount of $1,257 in 2017 and $1,536 in 2016 348,540 348,215 3.625% unsecured senior notes, due March 30, 2023, interest payable semi-annually, net of unamortized discount of $1,056 in 2017 and $1,257 in 2016 248,749 248,508 3.50% unsecured senior notes, due November 1, 2027, interest payable semi-annually, net of unamortized discount of $2,558 in 2017 296,728 — 7.35% unsecured senior notes, due August 15, 2034, interest payable semi-annually, net of unamortized discount of $1,143 in 2017 and $1,212 in 2016 128,642 128,570 5.0% unsecured senior notes, due March 30, 2043, interest payable semi-annually, net of unamortized discount of $5,655 in 2017 and $5,879 in 2016 244,033 243,796 5.0% unsecured senior notes, due April 5, 2046, interest payable semi-annually, net of unamortized discount of $6,909 in 2017 and $7,154 in 2016 492,219 491,943 4.30% unsecured senior notes, due November 1, 2047, interest payable semi-annually, net of unamortized discount of $4,451 in 2017 294,834 — Other debt, at various interest rates ranging from 1.7% to 6.1% 185,282 153,597 Senior long-term debt and other debt $ 3,099,230 $ 2,574,529 |
Summary Of Future Principal Payments Due At Maturity On Senior Long-Term Debt And Other Debt | The following table summarizes the future principal payments due at maturity on senior long-term debt and other debt as of December 31, 2017 . Years Ending December 31, (dollars in thousands) 2018 $ 86,312 2019 239,765 2020 355,074 2021 277,072 2022 357,245 2023 and thereafter 1,785,340 Total principal payments $ 3,100,808 Net unamortized premium 2,552 Net unamortized debt issuance costs (4,130 ) Senior long-term debt and other debt $ 3,099,230 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Stockholders' Equity Note [Abstract] | |
Schedule Of Net Income Per Share | Net income per share was determined by dividing adjusted net income to shareholders by the applicable weighted average shares outstanding. Basic shares outstanding include restricted stock units that are no longer subject to any contingencies for issuance, but for which the corresponding shares have not been issued. Diluted net income per share is computed by dividing adjusted net income to shareholders by the weighted average number of common shares and dilutive potential common shares outstanding during the year. Average closing common stock market prices are used to calculate the dilutive effect attributable to restricted stock. Years Ended December 31, (in thousands, except per share amounts) 2017 2016 2015 Net income to shareholders $ 395,269 $ 455,689 $ 582,772 Adjustment of redeemable noncontrolling interests (33,738 ) (15,472 ) 4,144 Adjusted net income to shareholders $ 361,531 $ 440,217 $ 586,916 Basic common shares outstanding 13,964 14,013 13,978 Dilutive potential common shares from conversion of options 1 4 9 Dilutive potential common shares from conversion of restricted stock 41 61 74 Diluted shares outstanding 14,006 14,078 14,061 Basic net income per share $ 25.89 $ 31.41 $ 41.99 Diluted net income per share $ 25.81 $ 31.27 $ 41.74 |
Summary Of Nonvested Share-Based Awards | The following table summarizes nonvested share-based awards. Number of Awards Weighted Average Grant-Date Fair Value Nonvested awards at January 1, 2017 65,618 $ 634.71 Granted 12,888 979.23 Vested (46,988 ) 612.54 Nonvested awards at December 31, 2017 31,518 $ 808.63 |
Other Comprehensive Income (L43
Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Comprehensive Income (Loss), Tax [Abstract] | |
Change In Accumulated Other Comprehensive Income By Component, Net Of Taxes And Noncontrolling Interests | The following table presents the change in accumulated other comprehensive income by component, net of taxes and noncontrolling interests. (dollars in thousands) Unrealized Holding Gains on Available-for- Sale Securities Foreign Currency Net Actuarial Pension Loss Total December 31, 2014 $ 1,793,254 $ (43,491 ) $ (45,206 ) $ 1,704,557 Other comprehensive loss before reclassifications (240,010 ) (29,205 ) (2,482 ) (271,697 ) Amounts reclassified from accumulated other comprehensive income (80,482 ) — 2,130 (78,352 ) Total other comprehensive loss (320,492 ) (29,205 ) (352 ) (350,049 ) December 31, 2015 $ 1,472,762 $ (72,696 ) $ (45,558 ) $ 1,354,508 Other comprehensive income (loss) before reclassifications 275,696 (11,710 ) (20,700 ) 243,286 Amounts reclassified from accumulated other comprehensive income (33,528 ) — 1,600 (31,928 ) Total other comprehensive income (loss) 242,168 (11,710 ) (19,100 ) 211,358 December 31, 2016 $ 1,714,930 $ (84,406 ) $ (64,658 ) $ 1,565,866 Other comprehensive income before reclassifications 787,339 10,403 3,092 800,834 Amounts reclassified from accumulated other comprehensive income (24,296 ) — 3,167 (21,129 ) Total other comprehensive income 763,043 10,403 6,259 779,705 December 31, 2017 $ 2,477,973 $ (74,003 ) $ (58,399 ) $ 2,345,571 |
Summary Of Tax Expense (Benefit) Of Other Comprehensive Income (Loss) | The following table summarizes the tax expense (benefit) associated with each component of other comprehensive income (loss). Years Ended December 31, (dollars in thousands) 2017 2016 2015 Change in net unrealized gains on investments: Net holding gains (losses) arising during the period $ 372,469 $ 112,399 $ (107,860 ) Change in unrealized other-than-temporary impairment losses on fixed maturities arising during the period — 6 35 Reclassification adjustments for net gains included in net income (10,072 ) (12,462 ) (29,267 ) Change in net unrealized gains (losses) on investments 362,397 99,943 (137,092 ) Change in foreign currency translation adjustments 28 1,037 408 Change in net actuarial pension loss 1,284 (4,192 ) (88 ) Total $ 363,709 $ 96,788 $ (136,772 ) |
Reclassifications From Accumulated Other Comprehensive Income Into Income, By Component | The following table presents the details of amounts reclassified from accumulated other comprehensive income into income , by component. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Unrealized holding gains on available-for-sale securities: Other-than-temporary impairment losses $ (7,589 ) $ (18,355 ) $ (44,481 ) Net realized investment gains, excluding other-than-temporary impairment losses 41,957 64,345 154,230 Total before taxes 34,368 45,990 109,749 Income taxes (10,072 ) (12,462 ) (29,267 ) Reclassification of unrealized holding gains, net of taxes $ 24,296 $ 33,528 $ 80,482 Net actuarial pension loss: Underwriting, acquisition and insurance expenses $ (3,815 ) $ (1,951 ) $ (2,662 ) Income taxes 648 351 532 Reclassification of net actuarial pension loss, net of taxes $ (3,167 ) $ (1,600 ) $ (2,130 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Balances Of Assets Measured At Fair Value On A Recurring Basis | The following tables present the balances of assets measured at fair value on a recurring basis by level within the fair value hierarchy. December 31, 2017 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets: Investments available-for-sale: Fixed maturities: U.S. Treasury securities $ — $ 160,613 $ — $ 160,613 U.S. government-sponsored enterprises — 363,520 — 363,520 Obligations of states, municipalities and political subdivisions — 4,566,562 — 4,566,562 Foreign governments — 1,489,228 — 1,489,228 Commercial mortgage-backed securities — 1,234,326 — 1,234,326 Residential mortgage-backed securities — 856,168 — 856,168 Asset-backed securities — 34,728 — 34,728 Corporate bonds — 1,235,525 — 1,235,525 Total fixed maturities — 9,940,670 — 9,940,670 Equity securities: Insurance, banks and other financial institutions 1,934,224 — 168,809 2,103,033 Industrial, consumer and all other 3,864,814 — — 3,864,814 Total equity securities 5,799,038 — 168,809 5,967,847 Short-term investments 2,065,749 95,225 — 2,160,974 Total investments available-for-sale $ 7,864,787 $ 10,035,895 $ 168,809 $ 18,069,491 December 31, 2016 (dollars in thousands) Level 1 Level 2 Level 3 Total Assets: Investments available-for-sale: Fixed maturities: U.S. Treasury securities $ — $ 258,584 $ — $ 258,584 U.S. government-sponsored enterprises — 423,212 — 423,212 Obligations of states, municipalities and political subdivisions — 4,428,205 — 4,428,205 Foreign governments — 1,463,462 — 1,463,462 Commercial mortgage-backed securities — 1,040,356 — 1,040,356 Residential mortgage-backed securities — 790,946 — 790,946 Asset-backed securities — 27,338 — 27,338 Corporate bonds — 1,459,407 — 1,459,407 Total fixed maturities — 9,891,510 — 9,891,510 Equity securities: Insurance, banks and other financial institutions 1,506,607 — 191,203 1,697,810 Industrial, consumer and all other 3,048,031 — — 3,048,031 Total equity securities 4,554,638 — 191,203 4,745,841 Short-term investments 2,255,898 80,253 — 2,336,151 Total investments available-for-sale $ 6,810,536 $ 9,971,763 $ 191,203 $ 16,973,502 |
Summary Of Changes In Level 3 Investments Measured At Fair Value On A Recurring Basis | The following table summarizes changes in Level 3 investments measured at fair value on a recurring basis. (dollars in thousands) 2017 2016 Equity securities, beginning of period $ 191,203 $ — Purchases 56,250 195,250 Sales (26,674 ) (25,000 ) Total gains (losses) included in: Net income (loss) (51,970 ) 20,953 Other comprehensive income — — Transfers into Level 3 — — Transfers out of Level 3 — — Equity securities, end of period $ 168,809 $ 191,203 Net unrealized gains (losses) included in net income relating to assets held at December 31, 2017 and 2016 (1) $ (51,970 ) $ 20,953 (1) Included in net realized investment gains (losses) in the consolidated statements of income and comprehensive income. |
Reinsurance (Tables)
Reinsurance (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance Allowance For Doubtful Accounts | The following table summarizes the Company's reinsurance allowance for doubtful accounts, all of which is attributable to the Company's underwriting operations. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Reinsurance allowance, beginning of year $ 36,770 $ 59,350 $ 59,813 Additions 2,669 980 5,897 Deductions (5,464 ) (23,560 ) (6,360 ) Reinsurance allowance, end of year $ 33,975 $ 36,770 $ 59,350 |
Effect Of Reinsurance And Retrocessional Reinsurance On Consolidated Premiums Written And Earned | The following table summarizes the effect of reinsurance and retrocessional reinsurance on consolidated premiums written and earned. Years Ended December 31, 2017 2016 2015 (dollars in thousands) Written Earned Written Earned Written Earned Direct (1) $ 4,172,467 $ 4,068,622 $ 3,560,635 $ 3,506,687 $ 3,474,510 $ 3,480,297 Assumed (1) 1,334,493 1,287,395 1,236,010 1,176,205 1,158,402 1,194,772 Ceded (1) (1,089,173 ) (1,108,039 ) (795,625 ) (817,022 ) (813,619 ) (851,537 ) Net premiums $ 4,417,787 $ 4,247,978 $ 4,001,020 $ 3,865,870 $ 3,819,293 $ 3,823,532 (1) Written premium includes $252.9 million , $1.0 million and $253.9 million of direct, assumed and ceded premium, respectively, in the Company's program services business in 2017. Earned premium includes $291.3 million , $1.4 million and $292.7 million of direct, assumed and ceded premium, respectively, in the Company's program services business in 2017. |
Commitments And Contingencies (
Commitments And Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Minimum Annual Rental Commitments | The following table summarizes the Company's minimum annual rental commitments, excluding taxes, insurance and other operating costs payable directly by the Company, for noncancelable operating leases at December 31, 2017 . Years Ending December 31, (dollars in thousands) 2018 $ 53,398 2019 44,820 2020 37,166 2021 33,567 2022 30,356 2023 and thereafter 112,415 Total $ 311,722 |
Statutory Financial Informati47
Statutory Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Statutory Financial Information [Abstract] | |
Actual Statutory Capital And Surplus | Statutory capital and surplus and statutory net income (loss) for the Company's insurance subsidiaries as of December 31, 2017 and 2016 and for the years ended December 31, 2017 , 2016 and 2015 , respectively, is summarized below. Statutory Capital and Surplus (dollars in thousands) 2017 2016 United States $ 3,334,303 $ 2,761,454 United Kingdom $ 642,418 $ 670,030 Bermuda $ 1,774,012 $ 2,189,649 Other $ 24,544 $ 24,726 |
Statutory Net Income (Loss) | Statutory Net Income (Loss) Years Ended December 31, (dollars in thousands) 2017 2016 2015 United States $ 312,828 $ 249,176 $ 291,783 United Kingdom $ (25,785 ) $ 78,033 $ 74,330 Bermuda $ (83,445 ) $ 132,442 $ 185,289 Other $ 127 $ (965 ) $ (3,181 ) |
Segment Reporting Disclosures (
Segment Reporting Disclosures (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting, Disclosure of Entity's Reportable Segments [Abstract] | |
Summary Of Gross Written Premiums By Country | The following table summarizes the Company's gross written premiums by country. Gross written premiums are attributed to individual countries based upon location of risk or cedent. Years Ended December 31, (dollars in thousands) 2017 % of Total 2016 % of Total 2015 % of Total United States $ 4,163,753 79 % $ 3,691,840 77 % $ 3,519,487 76 % United Kingdom 374,941 7 358,348 7 414,941 9 Canada 132,018 3 125,444 3 115,191 2 Other countries 582,395 11 621,013 13 583,293 13 Total Underwriting 5,253,107 100 % 4,796,645 100 % 4,632,912 100 % United States - Program Services 253,853 — — Total $ 5,506,960 $ 4,796,645 $ 4,632,912 |
Company's Segment Disclosures | The following tables summarize the Company's segment disclosures. Year Ended December 31, 2017 (dollars in thousands) U.S. Insurance International Insurance Reinsurance Other Insurance (Discontinued Lines) Investing Other Consolidated Gross premium volume $ 2,885,279 $ 1,255,922 $ 1,112,101 $ (195 ) $ — $ 253,853 $ 5,506,960 Net written premiums 2,432,477 1,007,319 978,160 (169 ) — — 4,417,787 Earned premiums 2,364,121 949,912 934,114 (169 ) — — 4,247,978 Losses and loss adjustment expenses: Current accident year (1,648,427 ) (793,917 ) (924,879 ) — — — (3,367,223 ) Prior accident years 301,939 198,688 (7,803 ) 8,459 — 179 501,462 Amortization of policy acquisition costs (502,217 ) (173,253 ) (218,883 ) — — — (894,353 ) Other operating expenses (395,472 ) (215,028 ) (81,766 ) (795 ) — — (693,061 ) Underwriting profit (loss) 119,944 (33,598 ) (299,217 ) 7,495 — 179 (205,197 ) Net investment income — — — — 405,709 — 405,709 Net realized investment losses — — — — (5,303 ) — (5,303 ) Other revenues 3,419 5,886 417 2,022 — 1,401,531 1,413,275 Other expenses (1,093 ) (7,388 ) — (28,218 ) — (1,271,281 ) (1,307,980 ) Total profit (loss) $ 122,270 $ (35,100 ) $ (298,800 ) $ (18,701 ) $ 400,406 $ 130,429 $ 300,504 Amortization of intangible assets (80,758 ) Interest expense (132,451 ) Income before income taxes $ 87,295 U.S. GAAP combined ratio (1) 95 % 104 % 132 % NM (2) NM (2) 105 % (1) The U.S. GAAP combined ratio is a measure of underwriting performance and represents the relationship of incurred losses, loss adjustment expenses and underwriting, acquisition and insurance expenses to earned premiums. (2) NM — Ratio is not meaningful. Year Ended December 31, 2016 (dollars in thousands) U.S. Insurance International Insurance Reinsurance Other Insurance (Discontinued Lines) Investing Other Consolidated Gross premium volume $ 2,635,266 $ 1,119,815 $ 1,041,055 $ 509 $ — $ — $ 4,796,645 Net written premiums 2,237,163 864,494 898,728 635 — — 4,001,020 Earned premiums 2,175,332 853,512 836,264 762 — — 3,865,870 Losses and loss adjustment expenses: Current accident year (1,403,589 ) (605,837 ) (546,476 ) — — — (2,555,902 ) Prior accident years 204,881 164,713 125,514 10,050 — — 505,158 Amortization of policy acquisition costs (446,649 ) (146,117 ) (189,455 ) — — — (782,221 ) Other operating expenses (377,230 ) (219,066 ) (119,012 ) (1,061 ) — — (716,369 ) Underwriting profit 152,745 47,205 106,835 9,751 — — 316,536 Net investment income — — — — 373,230 — 373,230 Net realized investment gains — — — — 65,147 — 65,147 Other revenues 7,143 5,560 — 1,891 — 1,293,185 1,307,779 Other expenses (15,407 ) (5,712 ) — (26,504 ) — (1,142,620 ) (1,190,243 ) Total profit (loss) $ 144,481 $ 47,053 $ 106,835 $ (14,862 ) $ 438,377 $ 150,565 $ 872,449 Amortization of intangible assets (68,533 ) Interest expense (129,896 ) Loss on early extinguishment of debt (44,100 ) Income before income taxes $ 629,920 U.S. GAAP combined ratio (1) 93 % 94 % 87 % NM (2) 92 % (1) The U.S. GAAP combined ratio is a measure of underwriting performance and represents the relationship of incurred losses, loss adjustment expenses and underwriting, acquisition and insurance expenses to earned premiums. (2) NM — Ratio is not meaningful. Year Ended December 31, 2015 (dollars in thousands) U.S. Insurance International Insurance Reinsurance Other Insurance (Discontinued Lines) Investing Other Consolidated Gross premium volume $ 2,504,096 $ 1,164,866 $ 965,374 $ (1,424 ) $ — $ — $ 4,632,912 Net written premiums 2,106,490 888,214 824,324 265 — — 3,819,293 Earned premiums 2,105,212 879,426 838,543 351 — — 3,823,532 Losses and loss adjustment expenses: Current accident year (1,367,159 ) (638,144 ) (561,242 ) — — — (2,566,545 ) Prior accident years 298,967 248,834 97,860 (17,861 ) — — 627,800 Amortization of policy acquisition costs (420,289 ) (142,657 ) (182,018 ) — — — (744,964 ) Other operating expenses (378,563 ) (221,758 ) (106,863 ) (2,932 ) — — (710,116 ) Underwriting profit (loss) 238,168 125,701 86,280 (20,442 ) — — 429,707 Net investment income — — — — 353,213 — 353,213 Net realized investment gains — — — — 106,480 — 106,480 Other revenues 3,331 7,790 593 617 — 1,074,427 1,086,758 Other expenses (3,902 ) (5,717 ) (1,419 ) (29,057 ) — (1,006,710 ) (1,046,805 ) Total profit (loss) $ 237,597 $ 127,774 $ 85,454 $ (48,882 ) $ 459,693 $ 67,717 $ 929,353 Amortization of intangible assets (68,947 ) Interest expense (118,301 ) Income before income taxes $ 742,105 U.S. GAAP combined ratio (1) 89 % 86 % 90 % NM (2) 89 % (1) The U.S. GAAP combined ratio is a measure of underwriting performance and represents the relationship of incurred losses, loss adjustment expenses and underwriting, acquisition and insurance expenses to earned premiums. (2) NM — Ratio is not meaningful. |
Summary Of Deferred Policy Acquisition Costs, Unearned Premiums And Unpaid Losses And Loss Adjustment Expenses | The following table summarizes deferred policy acquisition costs, unearned premiums and unpaid losses and loss adjustment expenses. (dollars in thousands) Deferred Policy Acquisition Costs Unearned Premiums Unpaid Losses and Loss Adjustment Expenses December 31, 2017 U.S. Insurance $ 212,102 $ 1,324,591 $ 4,331,541 International Insurance 74,678 530,740 3,379,969 Reinsurance 178,789 690,565 3,248,070 Other Insurance (Discontinued Lines) — — 429,270 Total Underwriting 465,569 2,545,896 11,388,850 Program Services — 762,883 2,195,431 Total $ 465,569 $ 3,308,779 $ 13,584,281 December 31, 2016 U.S. Insurance $ 176,348 $ 1,166,914 $ 3,849,541 International Insurance 51,948 445,183 3,062,725 Reinsurance 164,114 651,741 2,661,209 Other Insurance (Discontinued Lines) — — 542,187 Total $ 392,410 $ 2,263,838 $ 10,115,662 |
Summary Of Segment Earned Premiums By Product | The following table summarizes earned premiums by major product grouping. Years Ended December 31, (dollars in thousands) 2017 2016 2015 U.S. Insurance: General liability $ 642,283 $ 563,908 $ 522,358 Professional liability 333,758 328,597 324,230 Property 273,735 270,026 264,232 Personal lines 367,073 364,843 325,811 Programs 273,954 263,783 277,829 Workers compensation 319,679 301,126 281,954 Other 153,639 83,049 108,798 Total U.S. Insurance 2,364,121 2,175,332 2,105,212 International Insurance: General liability 122,673 111,291 124,198 Professional liability 295,120 272,010 268,637 Property 91,778 87,294 85,152 Marine and energy 276,134 242,070 262,307 Other 164,207 140,847 139,132 Total International Insurance 949,912 853,512 879,426 Reinsurance: Property 321,178 288,771 265,373 Casualty 351,457 327,383 315,027 Auto 28,700 65,363 102,227 Other 232,779 154,747 155,916 Total Reinsurance 934,114 836,264 838,543 Other Insurance (Discontinued Lines) (169 ) 762 351 Total earned premiums $ 4,247,978 $ 3,865,870 $ 3,823,532 |
Reconciliation Of Segment Assets To The Company's Consolidated Balance Sheets | The following table reconciles segment assets to the Company's consolidated balance sheets. December 31, (dollars in thousands) 2017 2016 2015 Segment assets: Investing $ 20,317,160 $ 19,029,584 $ 18,056,947 Underwriting 6,828,048 5,397,696 5,385,126 Total segment assets 27,145,208 24,427,280 23,442,073 Other operations 5,659,808 1,448,019 1,497,042 Total assets $ 32,805,016 $ 25,875,299 $ 24,939,115 |
Other Revenues And Other Expe49
Other Revenues And Other Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Income and Expenses [Abstract] | |
Summary Of Other Revenues And Other Expenses By Component | The following table summarizes the components of other revenues and other expenses. Years Ended December 31, 2017 2016 2015 (dollars in thousands) Other Revenues Other Expenses Other Revenues Other Expenses Other Revenues Other Expenses Markel Ventures: Manufacturing $ 742,591 $ 650,491 $ 784,745 $ 675,620 $ 755,802 $ 677,054 Markel Ventures: Non-Manufacturing 590,689 535,352 429,704 396,323 291,714 301,004 Investment management 28,740 52,636 56,455 46,190 — — Program services 15,328 6,508 — — — — Managing general agent operations 8,821 5,803 12,703 21,119 10,202 9,619 Life and annuity 2,022 28,218 1,891 26,504 617 29,057 Other 25,084 28,972 22,281 24,487 28,423 30,071 Total 1,413,275 1,307,980 1,307,779 1,190,243 1,086,758 1,046,805 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Defined Benefit Plan [Abstract] | |
Funded Status Of The Terra Nova Pension Plan | The following table summarizes the funded status of the Terra Nova Pension Plan and the amounts recognized on the accompanying consolidated balance sheets of the Company. Years Ended December 31, (dollars in thousands) 2017 2016 Change in projected benefit obligation: Projected benefit obligation at beginning of period $ 178,618 $ 170,005 Interest cost 5,016 6,113 Benefits paid (5,644 ) (3,322 ) Actuarial loss 4,985 38,485 Effect of foreign currency rate changes 16,142 (32,663 ) Projected benefit obligation at end of year $ 199,117 $ 178,618 Change in plan assets: Fair value of plan assets at beginning of period $ 175,644 $ 186,727 Actual gain on plan assets 16,902 22,367 Employer contributions 3,393 3,577 Benefits paid (5,644 ) (3,322 ) Effect of foreign currency rate changes 16,275 (33,705 ) Fair value of plan assets at end of year $ 206,570 $ 175,644 Funded status of the plan $ 7,453 $ (2,974 ) Net actuarial pension loss 77,567 85,110 Total $ 85,020 $ 82,136 |
Schedule of Defined Benefit Plan Amounts Recognized in Accumulated Other Comprehensive Income | The following table presents the changes in plan assets and projected benefit obligation recognized in accumulated other comprehensive income. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Net actuarial gain (loss) $ 3,728 $ (25,243 ) $ (3,102 ) Settlement loss recognized — — 343 Amortization of: Net actuarial loss 3,815 1,951 2,319 Tax benefit (expense) (1,284 ) 4,192 88 Total other comprehensive income (loss) $ 6,259 $ (19,100 ) $ (352 ) |
Schedule Of Net Periodic Benefit Income And Weighted Average Assumptions | The following table summarizes the components of net periodic benefit income (loss) and the weighted average assumptions for the Terra Nova Pension Plan. Years Ended December 31, (dollars in thousands) 2017 2016 2015 Components of net periodic benefit income (loss): Interest cost $ 5,016 $ 6,113 $ 6,645 Expected return on plan assets (8,189 ) (9,124 ) (11,496 ) Amortization of net actuarial pension loss 3,815 1,951 2,319 Settlement loss recognized — — 343 Net periodic benefit income (loss) $ 642 $ (1,060 ) $ (2,189 ) Weighted average assumptions as of December 31: Discount rate 2.6 % 2.7 % 4.0 % Expected return on plan assets 4.5 % 4.5 % 5.4 % Rate of compensation increase 3.0 % 3.0 % 2.9 % |
Summary Of Fair Value Of Plan Assets | The following table summarizes the fair value of plan assets as of December 31, 2017 and 2016 . December 31, (dollars in thousands) 2017 2016 Plan assets: Fixed maturity index funds $ 110,936 $ 103,218 Equity security index funds 95,452 72,419 Cash and cash equivalents 182 7 Total $ 206,570 $ 175,644 |
Markel Corporation (Parent Co51
Markel Corporation (Parent Company Only) Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Schedule Of Condensed Balance Sheets | CONDENSED BALANCE SHEETS December 31, 2017 2016 (dollars in thousands) ASSETS Investments, available-for-sale, at estimated fair value: Fixed maturities (amortized cost of $533,183 in 2017 and $51,181 in 2016) $ 532,438 $ 52,234 Equity securities (cost of $402,694 in 2017 and $203,708 in 2016) 646,060 367,156 Short-term investments (estimated fair value approximates cost) 1,159,323 1,729,400 Total Investments 2,337,821 2,148,790 Cash and cash equivalents 349,347 369,641 Restricted cash and cash equivalents 1,419 1,013 Receivables 18,684 20,477 Investments in consolidated subsidiaries 9,510,215 8,107,450 Notes receivable from subsidiaries 140,110 60,110 Income taxes receivable 5,704 — Other assets 121,233 97,364 Total Assets $ 12,484,533 $ 10,804,845 LIABILITIES AND SHAREHOLDERS' EQUITY Senior long-term debt $ 2,537,331 $ 1,944,171 Notes payable to subsidiaries 285,000 285,000 Income taxes payable — 25,240 Net deferred tax liability 84,507 25,902 Other liabilities 73,547 63,605 Total Liabilities 2,980,385 2,343,918 Total Shareholders' Equity 9,504,148 8,460,927 Total Liabilities and Shareholders' Equity $ 12,484,533 $ 10,804,845 |
Schedule Of Condensed Statements Of Income And Comprehensive Income | CONDENSED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME Years Ended December 31, 2017 2016 2015 (dollars in thousands) REVENUES Net investment income $ 21,076 $ 9,561 $ 2,565 Dividends on common stock of consolidated subsidiaries 895,920 349,622 187,496 Net realized investment gains: Other-than-temporary impairment losses — (98 ) (3,455 ) Net realized investment gains, excluding other-than-temporary impairment losses 3,383 1,166 75,000 Net realized investment gains 3,383 1,068 71,545 Total Revenues 920,379 360,251 261,606 EXPENSES Interest expense 122,151 116,013 95,620 Loss on early extinguishment of debt — 44,100 — Other expenses 11,708 13,076 11,287 Total Expenses 133,859 173,189 106,907 Income Before Equity in Undistributed Earnings of Consolidated Subsidiaries and Income Taxes 786,520 187,062 154,699 Equity in undistributed earnings of consolidated subsidiaries (469,365 ) 196,615 407,489 Income tax benefit (78,114 ) (72,012 ) (20,584 ) Net Income to Shareholders $ 395,269 $ 455,689 $ 582,772 OTHER COMPREHENSIVE INCOME (LOSS) TO SHAREHOLDERS Change in net unrealized gains on investments, net of taxes: Net holding gains (losses) arising during the period $ 52,277 $ 37,045 $ (41,861 ) Consolidated subsidiaries' net holding gains (losses) arising during the period 735,062 238,616 (198,309 ) Consolidated subsidiaries' change in unrealized other-than-temporary impairment losses on fixed maturities arising during the period — 35 160 Reclassification adjustments for net gains included in net income to shareholders (1,513 ) (558 ) (45,273 ) Consolidated subsidiaries' reclassification adjustments for net gains included in net income to shareholders (22,783 ) (32,970 ) (35,209 ) Change in net unrealized gains on investments, net of taxes 763,043 242,168 (320,492 ) Change in foreign currency translation adjustments, net of taxes (2,260 ) (1,326 ) 2,970 Consolidated subsidiaries' change in foreign currency translation adjustments, net of taxes 12,663 (10,384 ) (32,175 ) Consolidated subsidiaries' change in net actuarial pension loss, net of taxes 6,259 (19,100 ) (352 ) Total Other Comprehensive Income (Loss) to Shareholders 779,705 211,358 (350,049 ) Comprehensive Income to Shareholders $ 1,174,974 $ 667,047 $ 232,723 |
Schedule Of Condensed Statements Of Cash Flows | CONDENSED STATEMENTS OF CASH FLOWS Years Ended December 31, 2017 2016 2015 (dollars in thousands) OPERATING ACTIVITIES Net income to shareholders $ 395,269 $ 455,689 $ 582,772 Adjustments to reconcile net income to shareholders to net cash provided by operating activities (166,132 ) (120,564 ) (464,193 ) Net Cash Provided By Operating Activities 229,137 335,125 118,579 INVESTING ACTIVITIES Proceeds from sales of fixed maturities and equity securities 20,562 1,831 100,633 Proceeds from maturities, calls and prepayments of fixed maturities 64,705 11,960 24,945 Cost of fixed maturities and equity securities purchased (765,602 ) (29,110 ) (55,656 ) Net change in short-term investments 579,261 (970,364 ) 9,956 Securities received from subsidiaries as dividends, repayment of notes receivable and return of capital 862,554 238,975 — Securities provided to subsidiaries for issuance of notes receivable and capital contributions (99,942 ) — — Return of capital from subsidiaries 45,225 21,021 — Decrease (increase) in notes receivable due from subsidiaries (58 ) 92,530 — Capital contributions to subsidiaries (270,623 ) — (228,578 ) Acquisitions, net of cash acquired (1,153,683 ) — — Cost of equity method investments (10,633 ) (3,100 ) (13,164 ) Additions to property and equipment — (584 ) (305 ) Other 6,972 (3,207 ) (376 ) Net Cash Used By Investing Activities (721,262 ) (640,048 ) (162,545 ) FINANCING ACTIVITIES Additions to senior long-term debt 592,923 493,149 — Increase in notes payable to subsidiaries — — 285,000 Repayment and retirement of senior long-term debt — (183,343 ) (2,000 ) Premiums and fees related to early extinguishment of debt — (43,691 ) — Repurchases of common stock (110,838 ) (51,142 ) (31,491 ) Issuance of common stock 552 4,623 4,752 Purchase of noncontrolling interests (8,970 ) — — Other (1,430 ) (4,960 ) 3,985 Net Cash Provided By Financing Activities 472,237 214,636 260,246 Increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents (19,888 ) (90,287 ) 216,280 Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year 370,654 460,941 244,661 CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS AT END OF YEAR $ 350,766 $ 370,654 $ 460,941 |
Quarterly Financial Informati52
Quarterly Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Results Of Consolidated Operations | The following table presents the unaudited quarterly results of consolidated operations for 2017 , 2016 and 2015 . Quarters Ended (dollars in thousands, except per share amounts) Mar. 31 June 30 Sept. 30 Dec. 31 2017 Operating revenues $ 1,411,751 $ 1,481,493 $ 1,506,148 $ 1,662,267 Net income (loss) 71,040 151,427 (261,035 ) 439,326 Net income (loss) to shareholders 69,869 149,660 (259,141 ) 434,881 Comprehensive income (loss) to shareholders 223,239 342,357 (19,869 ) 629,247 Net income (loss) per share: Basic $ 3.91 $ 10.34 $ (18.82 ) $ 30.48 Diluted 3.90 10.31 (18.82 ) 30.39 Common stock price ranges: High $ 992.00 $ 996.38 $ 1,086.68 $ 1,157.30 Low 887.40 936.95 963.79 1,054.20 2016 Operating revenues $ 1,376,182 $ 1,375,937 $ 1,431,282 $ 1,428,625 Net income 163,646 80,673 83,421 132,703 Net income to shareholders 160,370 78,797 83,796 132,726 Comprehensive income (loss) to shareholders 396,994 209,942 89,161 (29,050 ) Net income per share: Basic $ 11.21 $ 5.44 $ 5.62 $ 9.14 Diluted 11.15 5.41 5.60 9.11 Common stock price ranges: High $ 895.03 $ 989.18 $ 961.78 $ 931.94 Low 805.03 880.01 909.84 811.05 2015 Operating revenues $ 1,302,154 $ 1,304,605 $ 1,342,764 $ 1,420,460 Net income 194,006 92,453 104,410 198,273 Net income to shareholders 190,992 91,369 102,519 197,892 Comprehensive income (loss) to shareholders 281,807 (132,925 ) (51,143 ) 134,984 Net income per share: Basic $ 13.57 $ 6.76 $ 7.43 $ 14.23 Diluted 13.49 6.72 7.39 14.14 Common stock price ranges: High $ 783.50 $ 821.00 $ 898.08 $ 937.91 Low 660.05 736.96 775.00 791.97 |
Summary Of Significant Accoun53
Summary Of Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounting Policies [Abstract] | |||
Investments in equity securities recorded at estimated fair value with changes in unrealized gains and losses recorded in net income | $ 168,800 | ||
Deferred policy acquisition cost amortization period | 1 year | ||
Adjustment of redeemable noncontrolling interests | $ (33,738) | $ (15,472) | $ 4,144 |
Tax benefit greater than 50% | 50.00% | ||
Insurance premiums revenue recognition period | 1 year | ||
Stock-based compensation expense, net of taxes | $ 11,900 | 14,300 | $ 16,300 |
Cumulative foreign currency translation loss | $ (74,000) | $ (84,400) |
Summary of Significant Accoun54
Summary of Significant Accounting Policies (Cash and Cash Equivalents) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Maximum [Member] | Cash And Cash Equivalents [Member] | |
Cash and Cash Equivalents [Line Items] | |
Investment maturity period | 90 days |
Summary of Significant Accoun55
Summary of Significant Accounting Policies (Goodwill and Intangible Assets) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Minimum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, estimated useful life | 5 years |
Maximum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible assets, estimated useful life | 20 years |
Summary of Significant Accoun56
Summary of Significant Accounting Policies (Property and Equipment) (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Building [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, estimated useful life | 10 years |
Building [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, estimated useful life | 40 years |
Land Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, estimated useful life | 7 years |
Land Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, estimated useful life | 40 years |
Furniture and Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, estimated useful life | 3 years |
Furniture and Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, estimated useful life | 10 years |
Other Property And Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, estimated useful life | 3 years |
Other Property And Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment, estimated useful life | 25 years |
Summary Of Significant Accoun57
Summary Of Significant Accounting Policies (Recent Accounting Pronouncements) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Deferred Tax Liabilities, Other Comprehensive Income | $ 603,523 | $ 664,950 | |
Accounting Standards Update 2016-18 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Change in restricted cash reclassified out of investing activities | $ 93,400 | $ 62,300 | |
Accounting Standards Update 2014-09 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Insurance premium revenues and investment portfolio revenues as a percentage of consolidated revenues | 77.00% | ||
Accounting Standards Update 2016-01 [Member] | Equity Securities [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accumulated Other Comprehensive Income (Loss) | $ 3,300,000 | ||
Deferred Tax Liabilities, Other Comprehensive Income | $ 1,100,000 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | Nov. 17, 2017 | Aug. 31, 2017 | Apr. 30, 2017 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||||
Definite-lived intangible assets, weighted-average amortization period | 14 years | |||||
Agent Relationships [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Definite-lived intangible assets, weighted-average amortization period | 15 years | |||||
Customer Relationships [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Definite-lived intangible assets, weighted-average amortization period | 14 years | |||||
Trade Names [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Definite-lived intangible assets, weighted-average amortization period | 11 years | |||||
SureTec Financial Corp [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total purchase consideration | $ 246,900 | |||||
Cash consideration | 225,600 | |||||
Goodwill recognized | 70,400 | |||||
Goodwill, tax deductible | 0 | |||||
Intangible assets | 103,000 | |||||
SureTec Financial Corp [Member] | Agent Relationships [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Finite-lived intangible assets | $ 92,000 | |||||
Definite-lived intangible assets, weighted-average amortization period | 15 years | |||||
State National Companies, Inc. [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total purchase consideration | $ 918,800 | |||||
Cash consideration | 918,800 | |||||
Goodwill recognized | 370,375 | |||||
Goodwill, tax deductible | 0 | |||||
Intangible assets | $ 384,000 | |||||
Percentage acquired | 100.00% | |||||
Cash State National stockholders will receive for each outstanding share of State National common stock | $ 21 | |||||
Unpaid losses and loss adjustment expenses acquired, adjustment to fair value | $ 64,500 | |||||
Unpaid losses and loss adjustment expenses, weighted average amortization period, years | 3 years | |||||
Unpaid losses and loss adjustment expenses, unamortized fair value adjustment | $ 57,700 | |||||
Deferred ceding fees acquired, adjustment to fair value | $ 28,300 | |||||
Deferred ceding fees, weighted average amortization period, years | 1 year | |||||
Deferred ceding fees, unamortized fair value adjustment | 19,300 | |||||
State National Companies, Inc. [Member] | Customer Relationships [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Finite-lived intangible assets | $ 302,000 | |||||
Definite-lived intangible assets, weighted-average amortization period | 13 years | |||||
State National Companies, Inc. [Member] | Trade Names [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Finite-lived intangible assets | $ 23,000 | |||||
Definite-lived intangible assets, weighted-average amortization period | 13 years | |||||
Costa Farms [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total purchase consideration | $ 417,200 | |||||
Cash consideration | 387,900 | |||||
Goodwill recognized | 186,200 | |||||
Intangible assets | $ 192,000 | |||||
Percentage acquired | 81.00% | |||||
Redeemable non-controlling interests | $ 66,600 | |||||
Costa Farms [Member] | Customer Relationships [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Finite-lived intangible assets | $ 161,000 | |||||
Definite-lived intangible assets, weighted-average amortization period | 17 years | |||||
Costa Farms [Member] | Trade Names [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Finite-lived intangible assets | $ 31,000 | |||||
Definite-lived intangible assets, weighted-average amortization period | 9 years | |||||
CapTech Ventures Inc [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total purchase consideration | $ 60,600 | |||||
Goodwill recognized | 50,600 | |||||
Goodwill, tax deductible | 0 | |||||
Finite-lived intangible assets | $ 49,200 | |||||
Definite-lived intangible assets, weighted-average amortization period | 14 years | |||||
Percentage acquired | 80.00% | |||||
Redeemable non-controlling interests | $ 13,800 | |||||
Markel CATCo IM [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Total purchase consideration | 205,700 | |||||
Cash consideration | 205,700 | |||||
Goodwill recognized | 91,900 | |||||
Goodwill, tax deductible | 91,900 | |||||
Finite-lived intangible assets | $ 113,000 | |||||
Definite-lived intangible assets, weighted-average amortization period | 14 years | |||||
Estimated amount of performance and retention bonus payments | 122,000 | |||||
Compensation expense recognized for performance and retention bonuses | $ 38,100 | $ 33,200 |
Acquisitions (Summary Of Fair V
Acquisitions (Summary Of Fair Value Of Assets Acquired And Liabilities Assumed) (Details) - State National Companies, Inc. [Member] $ in Thousands | Nov. 17, 2017USD ($) |
ASSETS | |
Investments | $ 395,940 |
Cash and cash equivalents | 77,302 |
Restricted cash and cash equivalents | 25,545 |
Receivables | 147,256 |
Prepaid reinsurance premiums | 808,331 |
Reinsurance recoverables on paid and unpaid losses | 2,075,734 |
Other assets | 83,721 |
LIABILITIES | |
Unpaid losses and loss adjustment expenses | 2,086,621 |
Unearned premiums | 825,529 |
Payables to insurance and reinsurance companies | 122,203 |
Senior long-term debt and other debt | 44,500 |
Other liabilities | 370,551 |
Net assets | 164,425 |
Goodwill | 370,375 |
Intangible assets | 384,000 |
Acquisition date fair value | $ 918,800 |
Acquisitions (Summary Of Net In
Acquisitions (Summary Of Net Intangible Assets Acquired) (Details) - USD ($) $ in Thousands | Nov. 17, 2017 | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Economic useful lives of finite-lived intangible assets, years | 14 years | ||||
Amortization (from the Acquisition Date through December 31, 2017) | $ 80,758 | $ 68,533 | $ 68,947 | ||
Net intangible assets as of December 31, 2017 | $ 1,355,681 | $ 1,355,681 | $ 722,542 | ||
Customer Relationships [Member] | |||||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Economic useful lives of finite-lived intangible assets, years | 14 years | ||||
Trade Names [Member] | |||||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Economic useful lives of finite-lived intangible assets, years | 11 years | ||||
Technology [Member] | |||||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Economic useful lives of finite-lived intangible assets, years | 9 years | ||||
State National Companies, Inc. [Member] | |||||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets, before amortization, as of the Acquisition Date | $ 384,000 | ||||
Amortization (from the Acquisition Date through December 31, 2017) | 4,797 | ||||
Net intangible assets as of December 31, 2017 | $ 379,203 | $ 379,203 | |||
State National Companies, Inc. [Member] | Insurance Licenses [Member] | |||||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Indefinite-lived intangible assets | $ 32,000 | ||||
Economic useful lives of indefinite-lived intangible assets, years | Indefinite | ||||
State National Companies, Inc. [Member] | Customer Relationships [Member] | |||||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Finite-lived intangible assets | $ 302,000 | ||||
Economic useful lives of finite-lived intangible assets, years | 13 years | ||||
State National Companies, Inc. [Member] | Trade Names [Member] | |||||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Finite-lived intangible assets | $ 23,000 | ||||
Economic useful lives of finite-lived intangible assets, years | 13 years | ||||
State National Companies, Inc. [Member] | Technology [Member] | |||||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | |||||
Finite-lived intangible assets | $ 27,000 | ||||
Economic useful lives of finite-lived intangible assets, years | 9 years |
Investments (Narrative) (Detail
Investments (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($)securities | Dec. 31, 2016USD ($)securities | Dec. 31, 2015USD ($) | |
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities in unrealized loss position, number of positions | securities | 739 | 654 | |
Available-for-sale securities, estimated fair value | $ 2,767,652 | $ 3,790,614 | |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | $ (57,348) | $ (99,981) | |
Number of available-for-sale securities positions in a continuous unrealized loss position for one year or longer at period end | securities | 272 | 109 | |
Available-for-sale securities, estimated fair value, 12 months or longer | $ 1,481,341 | $ 321,552 | |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | $ (34,348) | (17,204) | |
Estimated average duration of fixed maturities | 6 years 6 months | ||
Cumulative credit loss recognized in income | $ 0 | $ 10,700 | $ 10,700 |
Percentage threshold of shareholders' equity used to define concentration of investments | 10.00% | 10.00% | |
Ten largest equity holdings | $ 2,500,000 | ||
Ten largest equity holdings, percentage of equity portfolio | 41.00% | ||
Investments in property and casualty | $ 1,100,000 | ||
Investments in property and casualty, percentage of equity portfolio | 19.00% | ||
Berkshire Hathaway Inc. [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Investments in property and casualty | $ 623,800 | ||
Fixed Maturities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, estimated fair value | 2,246,614 | $ 3,111,566 | |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | $ (37,344) | $ (86,225) | |
Number of available-for-sale securities positions in a continuous unrealized loss position for one year or longer at period end | securities | 258 | 93 | |
Available-for-sale securities, estimated fair value, 12 months or longer | $ 1,468,807 | $ 253,929 | |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (31,054) | (8,636) | |
Equity Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Available-for-sale securities, estimated fair value | 151,934 | 174,837 | |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | $ (19,935) | $ (13,750) | |
Number of available-for-sale securities positions in a continuous unrealized loss position for one year or longer at period end | securities | 14 | 16 | |
Available-for-sale securities, estimated fair value, 12 months or longer | $ 12,534 | $ 67,623 | |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | $ (3,294) | $ (8,568) |
Investments (Available-For-Sale
Investments (Available-For-Sale Investments) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | $ 14,379,831 | $ 14,409,282 |
Available-for-sale investments, gross unrealized holding gains | 3,747,008 | 2,664,201 |
Available-for-sale investments, gross unrealized holding losses | (57,348) | (97,050) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | (2,931) |
Available-for-sale investments, estimated fair value | 18,069,491 | 16,973,502 |
U.S. Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 162,378 | 259,379 |
Available-for-sale investments, gross unrealized holding gains | 54 | 99 |
Available-for-sale investments, gross unrealized holding losses | (1,819) | (894) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 160,613 | 258,584 |
U.S. Government-Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 352,455 | 418,457 |
Available-for-sale investments, gross unrealized holding gains | 11,883 | 9,083 |
Available-for-sale investments, gross unrealized holding losses | (818) | (4,328) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 363,520 | 423,212 |
Obligations Of States, Municipalities And Political Subdivisions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 4,381,358 | 4,324,332 |
Available-for-sale investments, gross unrealized holding gains | 193,120 | 145,678 |
Available-for-sale investments, gross unrealized holding losses | (7,916) | (41,805) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 4,566,562 | 4,428,205 |
Foreign Governments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 1,341,628 | 1,306,324 |
Available-for-sale investments, gross unrealized holding gains | 150,010 | 159,291 |
Available-for-sale investments, gross unrealized holding losses | (2,410) | (2,153) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 1,489,228 | 1,463,462 |
Commercial Mortgage-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 1,244,777 | 1,055,947 |
Available-for-sale investments, gross unrealized holding gains | 6,108 | 3,953 |
Available-for-sale investments, gross unrealized holding losses | (16,559) | (19,544) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 1,234,326 | 1,040,356 |
Residential Mortgage-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 846,916 | 779,503 |
Available-for-sale investments, gross unrealized holding gains | 14,115 | 18,749 |
Available-for-sale investments, gross unrealized holding losses | (4,863) | (5,048) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | (2,258) |
Available-for-sale investments, estimated fair value | 856,168 | 790,946 |
Asset-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 34,942 | 27,494 |
Available-for-sale investments, gross unrealized holding gains | 8 | 2 |
Available-for-sale investments, gross unrealized holding losses | (222) | (158) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 34,728 | 27,338 |
Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 1,186,699 | 1,420,298 |
Available-for-sale investments, gross unrealized holding gains | 51,563 | 49,146 |
Available-for-sale investments, gross unrealized holding losses | (2,737) | (9,364) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | (673) |
Available-for-sale investments, estimated fair value | 1,235,525 | 1,459,407 |
Total Fixed Maturities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 9,551,153 | 9,591,734 |
Available-for-sale investments, gross unrealized holding gains | 426,861 | 386,001 |
Available-for-sale investments, gross unrealized holding losses | (37,344) | (83,294) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | (2,931) |
Available-for-sale investments, estimated fair value | 9,940,670 | 9,891,510 |
Insurance, Banks And Other Financial Institutions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 899,324 | 846,343 |
Available-for-sale investments, gross unrealized holding gains | 1,209,162 | 857,063 |
Available-for-sale investments, gross unrealized holding losses | (5,453) | (5,596) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 2,103,033 | 1,697,810 |
Industrial, Consumer And All Other [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 1,768,337 | 1,635,105 |
Available-for-sale investments, gross unrealized holding gains | 2,110,959 | 1,421,080 |
Available-for-sale investments, gross unrealized holding losses | (14,482) | (8,154) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 3,864,814 | 3,048,031 |
Total Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 2,667,661 | 2,481,448 |
Available-for-sale investments, gross unrealized holding gains | 3,320,121 | 2,278,143 |
Available-for-sale investments, gross unrealized holding losses | (19,935) | (13,750) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | 5,967,847 | 4,745,841 |
Short-Term Investments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments, amortized cost | 2,161,017 | 2,336,100 |
Available-for-sale investments, gross unrealized holding gains | 26 | 57 |
Available-for-sale investments, gross unrealized holding losses | (69) | (6) |
Available-for-sale investments, unrealized other-than-temporary impairment losses | 0 | 0 |
Available-for-sale investments, estimated fair value | $ 2,160,974 | $ 2,336,151 |
Investments (Summary Of Gross U
Investments (Summary Of Gross Unrealized Investment Losses By Length Of Time That Securities Have Continuously Been In An Unrealized Loss Position) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | $ 1,286,311 | $ 3,469,062 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (23,000) | (82,777) |
Available-for-sale securities, estimated fair value, 12 months or longer | 1,481,341 | 321,552 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (34,348) | (17,204) |
Available-for-sale securities, estimated fair value | 2,767,652 | 3,790,614 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (57,348) | (99,981) |
U.S. Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 78,756 | 122,950 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (659) | (894) |
Available-for-sale securities, estimated fair value, 12 months or longer | 78,298 | 0 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (1,160) | 0 |
Available-for-sale securities, estimated fair value | 157,054 | 122,950 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (1,819) | (894) |
U.S. Government-Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 11,593 | 220,333 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (79) | (4,324) |
Available-for-sale securities, estimated fair value, 12 months or longer | 89,194 | 7,618 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (739) | (4) |
Available-for-sale securities, estimated fair value | 100,787 | 227,951 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (818) | (4,328) |
Obligations Of States, Municipalities And Political Subdivisions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 80,654 | 1,004,947 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (789) | (37,685) |
Available-for-sale securities, estimated fair value, 12 months or longer | 404,814 | 31,723 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (7,127) | (4,120) |
Available-for-sale securities, estimated fair value | 485,468 | 1,036,670 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (7,916) | (41,805) |
Foreign Governments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 31,752 | 68,887 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (452) | (2,145) |
Available-for-sale securities, estimated fair value, 12 months or longer | 63,406 | 5,005 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (1,958) | (8) |
Available-for-sale securities, estimated fair value | 95,158 | 73,892 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (2,410) | (2,153) |
Commercial Mortgage-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 253,936 | 749,889 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (1,980) | (19,091) |
Available-for-sale securities, estimated fair value, 12 months or longer | 481,216 | 29,988 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (14,579) | (453) |
Available-for-sale securities, estimated fair value | 735,152 | 779,877 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (16,559) | (19,544) |
Residential Mortgage-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 157,508 | 181,557 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (1,345) | (4,987) |
Available-for-sale securities, estimated fair value, 12 months or longer | 148,960 | 79,936 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (3,518) | (2,319) |
Available-for-sale securities, estimated fair value | 306,468 | 261,493 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (4,863) | (7,306) |
Asset-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 14,263 | 14,501 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (123) | (106) |
Available-for-sale securities, estimated fair value, 12 months or longer | 15,165 | 5,869 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (99) | (52) |
Available-for-sale securities, estimated fair value | 29,428 | 20,370 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (222) | (158) |
Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 149,345 | 494,573 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (863) | (8,357) |
Available-for-sale securities, estimated fair value, 12 months or longer | 187,754 | 93,790 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (1,874) | (1,680) |
Available-for-sale securities, estimated fair value | 337,099 | 588,363 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (2,737) | (10,037) |
Total Fixed Maturities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 777,807 | 2,857,637 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (6,290) | (77,589) |
Available-for-sale securities, estimated fair value, 12 months or longer | 1,468,807 | 253,929 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (31,054) | (8,636) |
Available-for-sale securities, estimated fair value | 2,246,614 | 3,111,566 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (37,344) | (86,225) |
Insurance, Banks And Other Financial Institutions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 60,848 | 8,808 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (4,843) | (410) |
Available-for-sale securities, estimated fair value, 12 months or longer | 1,291 | 37,973 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (610) | (5,186) |
Available-for-sale securities, estimated fair value | 62,139 | 46,781 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (5,453) | (5,596) |
Industrial, Consumer And All Other [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 78,552 | 98,406 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (11,798) | (4,772) |
Available-for-sale securities, estimated fair value, 12 months or longer | 11,243 | 29,650 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (2,684) | (3,382) |
Available-for-sale securities, estimated fair value | 89,795 | 128,056 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (14,482) | (8,154) |
Total Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 139,400 | 107,214 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (16,641) | (5,182) |
Available-for-sale securities, estimated fair value, 12 months or longer | 12,534 | 67,623 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | (3,294) | (8,568) |
Available-for-sale securities, estimated fair value | 151,934 | 174,837 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | (19,935) | (13,750) |
Short-Term Investments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, estimated fair value, less than 12 months | 369,104 | 504,211 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, less than 12 months | (69) | (6) |
Available-for-sale securities, estimated fair value, 12 months or longer | 0 | 0 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses, 12 months or longer | 0 | 0 |
Available-for-sale securities, estimated fair value | 369,104 | 504,211 |
Available-for-sale securities, gross unrealized holding and other-than-temporary impairment losses | $ (69) | $ (6) |
Investments (Schedule Of Amorti
Investments (Schedule Of Amortized Cost And Estimated Fair Value Of Fixed Maturities By Contractual Maturity) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Due in one year or less, amortized cost | $ 288,292 | |
Due after one year through five years, amortized cost | 1,297,635 | |
Due after five years through ten years, amortized cost | 1,671,171 | |
Due after ten years, amortized cost | 4,167,420 | |
Amortized cost, sub-total | 7,424,518 | |
Fixed maturities, amortized cost | 9,551,153 | $ 9,591,734 |
Due in one year or less, estimated fair value | 289,171 | |
Due after one year through five years, estimated fair value | 1,334,823 | |
Due after five years through ten years, estimated fair value | 1,744,280 | |
Due after ten years, estimated fair value | 4,447,174 | |
Estimated fair value, sub-total | 7,815,448 | |
Fixed maturities, estimated fair value | 9,940,670 | $ 9,891,510 |
Commercial Mortgage-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 1,244,777 | |
Estimated fair value | 1,234,326 | |
Residential Mortgage-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 846,916 | |
Estimated fair value | 856,168 | |
Asset-Backed Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 34,942 | |
Estimated fair value | $ 34,728 |
Investments (Components Of Net
Investments (Components Of Net Investment Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | |||
Municipal bonds (tax-exempt) | $ 87,768 | $ 88,654 | $ 93,580 |
Short-term investments, including overnight deposits | 26,772 | 11,177 | 5,223 |
Dividends on equity securities | 82,096 | 70,577 | 74,705 |
Income (loss) from equity method investments | 11,076 | 6,852 | (262) |
Other | (828) | 2,676 | 651 |
Total investment income | 422,740 | 390,437 | 370,210 |
Investment expenses | (17,031) | (17,207) | (16,997) |
Net investment income | 405,709 | 373,230 | 353,213 |
Taxable Municipal Bonds [Member] | |||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | |||
Taxable bonds | 70,771 | 65,749 | 57,550 |
Other Taxable Bonds [Member] | |||
Schedule of Investment Income, Reported Amounts, by Category [Line Items] | |||
Taxable bonds | $ 145,085 | $ 144,752 | $ 138,763 |
Investments (Summary Of Net Rea
Investments (Summary Of Net Realized Investment Gains And The Change In Net Unrealized Gains On Investments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Gain (Loss) on Investments [Line Items] | |||
Realized gains | $ 52,282 | $ 76,752 | $ 168,163 |
Realized losses | (12,697) | (28,396) | (50,797) |
Other-than-temporary impairment losses recognized in net income | (7,589) | (18,355) | (44,481) |
Gains (losses) on securities measured at fair value through net income | (44,888) | 16,791 | (10,886) |
Net realized investment gains (losses) | (5,303) | 65,147 | 106,480 |
Change in net unrealized gains on investments included in other comprehensive income (loss) | 1,125,440 | 342,111 | (457,584) |
Sales Of Fixed Maturities [Member] | |||
Gain (Loss) on Investments [Line Items] | |||
Realized gains | 5,525 | 5,160 | 3,073 |
Realized losses | (1,983) | (704) | (4,598) |
Sales Of Equity Securities [Member] | |||
Gain (Loss) on Investments [Line Items] | |||
Realized gains | 40,113 | 70,177 | 156,987 |
Realized losses | (1,830) | (6,988) | (1,232) |
Other [Member] | |||
Gain (Loss) on Investments [Line Items] | |||
Realized gains | 6,644 | 1,415 | 8,103 |
Realized losses | (1,295) | (2,349) | (486) |
Fixed Maturities [Member] | |||
Gain (Loss) on Investments [Line Items] | |||
Other-than-temporary impairment losses recognized in net income | (328) | 0 | 0 |
Change in net unrealized gains on investments included in other comprehensive income (loss) | 89,741 | (56,534) | (137,435) |
Equity Securities [Member] | |||
Gain (Loss) on Investments [Line Items] | |||
Other-than-temporary impairment losses recognized in net income | (7,261) | (18,355) | (44,481) |
Change in net unrealized gains on investments included in other comprehensive income (loss) | 1,035,793 | 398,752 | (320,277) |
Short-Term Investments [Member] | |||
Gain (Loss) on Investments [Line Items] | |||
Change in net unrealized gains on investments included in other comprehensive income (loss) | $ (94) | $ (107) | $ 128 |
Investments (Summary Of Other-T
Investments (Summary Of Other-Than-Temporary Impairment Losses Recognized In Net Income And In Net Realized Investment Gains By Investment Type) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Other-than-temporary impairment losses recognized in net income | $ (7,589) | $ (18,355) | $ (44,481) |
Corporate Bonds [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Other-than-temporary impairment losses recognized in net income | (328) | 0 | 0 |
Fixed Maturities [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Other-than-temporary impairment losses recognized in net income | (328) | 0 | 0 |
Insurance, Banks And Other Financial Institutions [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Other-than-temporary impairment losses recognized in net income | (604) | (7,586) | (9,835) |
Industrial, Consumer And All Other [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Other-than-temporary impairment losses recognized in net income | (6,657) | (10,769) | (34,646) |
Equity Securities [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Other-than-temporary impairment losses recognized in net income | $ (7,261) | $ (18,355) | $ (44,481) |
Investments Investments (Compon
Investments Investments (Components Of Restricted Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Components Of Restricted Assets [Line Items] | ||
Restricted assets | $ 4,974,460 | $ 4,414,952 |
Held In Trust Or On Deposit [Member] | ||
Components Of Restricted Assets [Line Items] | ||
Restricted assets | 4,624,998 | 4,059,336 |
Cash And Cash Equivalents And Securities Pledged As Collateral [Member] | ||
Components Of Restricted Assets [Line Items] | ||
Restricted assets | $ 349,462 | $ 355,616 |
Investments (Schedule Of Restri
Investments (Schedule Of Restricted Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Investments, Debt and Equity Securities [Abstract] | ||
Investments, available-for-sale | $ 4,672,073 | $ 4,068,535 |
Restricted cash and cash equivalents | 302,387 | 346,417 |
Total | $ 4,974,460 | $ 4,414,952 |
Receivables (Components Of Rece
Receivables (Components Of Receivables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Receivables [Abstract] | ||
Amounts receivable from agents, brokers and insureds | $ 1,281,366 | $ 1,102,538 |
Trade accounts receivable | 181,666 | 123,341 |
Insurance proceeds receivable | 39,196 | 0 |
Program services fees receivable | 22,767 | 0 |
Employee stock loans receivable (see note 12(c)) | 18,499 | 20,171 |
Investment management and performance fees receivable | 5,796 | 38,735 |
Other | 31,938 | 10,122 |
Receivables, gross | 1,581,228 | 1,294,907 |
Allowance for doubtful receivables | (13,775) | (11,910) |
Receivables | $ 1,567,453 | $ 1,282,997 |
Deferred Policy Acquisition C71
Deferred Policy Acquisition Costs (Amounts Of Policy Acquisition Costs Deferred And Amortized) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | |||
Balance, beginning of year | $ 392,410 | $ 352,756 | $ 353,410 |
Policy acquisition costs deferred | 964,755 | 823,840 | 752,324 |
Amortization of policy acquisition costs | (894,353) | (782,221) | (744,964) |
Foreign currency movements | 2,757 | (1,965) | (8,014) |
Deferred policy acquisition costs | $ 465,569 | $ 392,410 | $ 352,756 |
Deferred Policy Acquisition C72
Deferred Policy Acquisition Costs (Components Of Underwriting, Acquisition And Insurance Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Deferred Policy Acquisition Costs Disclosures [Abstract] | |||
Amortization of policy acquisition costs | $ 894,353 | $ 782,221 | $ 744,964 |
Other operating expenses | 693,061 | 716,369 | 710,116 |
Underwriting, acquisition and insurance expenses | $ 1,587,414 | $ 1,498,590 | $ 1,455,080 |
Property And Equipment (Compone
Property And Equipment (Components Of Property And Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |||
Land | $ 66,885 | $ 56,783 | |
Buildings | 119,729 | 76,159 | |
Leasehold improvements | 98,246 | 95,898 | |
Land improvements | 89,444 | 74,040 | |
Furniture and equipment | 341,450 | 301,146 | |
Other | 196,465 | 162,385 | |
Property and equipment, gross | 912,219 | 766,411 | |
Accumulated depreciation and amortization | (410,602) | (354,009) | |
Property and equipment | 501,617 | 412,402 | |
Depreciation and amortization expense of property and equipment | $ 71,600 | $ 64,800 | $ 64,200 |
Goodwill And Intangible Asset74
Goodwill And Intangible Assets (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Goodwill And Intangible Assets [Line Items] | |||
Goodwill impairment | $ 0 | $ (18,723) | |
Carrying value following impairment charge | 1,777,464 | 1,142,248 | $ 1,167,844 |
Amortization of intangible assets | 80,758 | 68,533 | $ 68,947 |
Estimated amortization of intangible assets for 2018 | 117,600 | ||
Estimated amortization of intangible assets for 2019 | 110,900 | ||
Estimated amortization of intangible assets for 2020 | 103,100 | ||
Estimated amortization of intangible assets for 2021 | 101,400 | ||
Estimated amortization of intangible assets for 2022 | 98,200 | ||
Indefinite-lived intangible assets | 88,200 | 48,200 | |
Intangible assets acquired during period | 703,800 | ||
Amortizable intangible assets acquired | $ 663,800 | ||
Definite-lived intangible assets, weighted-average amortization period | 14 years | ||
Markel Ventures Operations [Member] | Industrial Manufacturing [Member] | |||
Goodwill And Intangible Assets [Line Items] | |||
Goodwill impairment | (18,700) | ||
Carrying value following impairment charge | $ 0 | ||
Customer Relationships [Member] | |||
Goodwill And Intangible Assets [Line Items] | |||
Definite-lived intangible assets, weighted-average amortization period | 14 years | ||
Trade Names [Member] | |||
Goodwill And Intangible Assets [Line Items] | |||
Definite-lived intangible assets, weighted-average amortization period | 11 years | ||
Agent Relationships [Member] | |||
Goodwill And Intangible Assets [Line Items] | |||
Definite-lived intangible assets, weighted-average amortization period | 15 years | ||
Technology [Member] | |||
Goodwill And Intangible Assets [Line Items] | |||
Definite-lived intangible assets, weighted-average amortization period | 9 years | ||
Other Intangible Assets [Member] | |||
Goodwill And Intangible Assets [Line Items] | |||
Definite-lived intangible assets, weighted-average amortization period | 9 years |
Goodwill And Intangible Asset75
Goodwill And Intangible Assets (Components Of Goodwill) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | |||
Goodwill [Line Items] | ||||
Goodwill, beginning balance | $ 1,142,248 | $ 1,167,844 | ||
Impairment loss | 0 | (18,723) | ||
Foreign currency movements and other adjustments | 8,481 | (6,873) | ||
Acquisitions (see note 2) | 626,735 | |||
Goodwill, ending balance | 1,777,464 | 1,142,248 | ||
U.S. Insurance [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill, beginning balance | 280,579 | 280,579 | ||
Impairment loss | 0 | |||
Foreign currency movements and other adjustments | 0 | 0 | ||
Acquisitions (see note 2) | 93,123 | |||
Goodwill, ending balance | 373,702 | 280,579 | ||
International Insurance [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill, beginning balance | 392,184 | 397,993 | ||
Impairment loss | 0 | |||
Foreign currency movements and other adjustments | 5,935 | (5,809) | ||
Acquisitions (see note 2) | 0 | |||
Goodwill, ending balance | 398,119 | 392,184 | ||
Reinsurance [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill, beginning balance | 122,745 | 122,745 | ||
Impairment loss | 0 | |||
Foreign currency movements and other adjustments | 0 | 0 | ||
Acquisitions (see note 2) | 0 | |||
Goodwill, ending balance | 122,745 | 122,745 | ||
Other [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill, beginning balance | [1] | 346,740 | [2] | 366,527 |
Impairment loss | [1] | (18,723) | ||
Foreign currency movements and other adjustments | [1] | 2,546 | (1,064) | |
Acquisitions (see note 2) | [1] | 533,612 | ||
Goodwill, ending balance | [1],[2] | 882,898 | 346,740 | |
Accumulated impairment losses | [2] | $ 47,300 | $ 47,300 | |
[1] | Amounts included in Other above are related to the Company's other operations, which are not included in a reportable segment. | |||
[2] | Goodwill is net of accumulated impairment losses of $47.3 million as of December 31, 2017 and 2016, included in Other. |
Goodwill And Intangible Asset76
Goodwill And Intangible Assets (Components Of Intangible Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | $ 1,685,172 | $ 973,150 |
Intangible assets, accumulated amortization | (329,491) | (250,608) |
Customer Relationships [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 938,536 | 460,327 |
Intangible assets, accumulated amortization | (156,725) | (119,376) |
Broker Relationships [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 183,514 | 183,092 |
Intangible assets, accumulated amortization | (68,273) | (56,888) |
Trade Names [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 163,736 | 100,966 |
Intangible assets, accumulated amortization | (39,057) | (29,745) |
Investment Management Agreements [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 98,000 | 98,000 |
Intangible assets, accumulated amortization | (14,000) | (7,000) |
Agent Relationships [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 92,000 | 0 |
Intangible assets, accumulated amortization | (4,042) | 0 |
Technology [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 84,242 | 54,408 |
Intangible assets, accumulated amortization | (35,106) | (28,220) |
Insurance Licenses [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 70,185 | 30,185 |
Intangible assets, accumulated amortization | 0 | 0 |
Lloyd's Syndicate Capacity [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 12,000 | 12,000 |
Intangible assets, accumulated amortization | 0 | 0 |
Other [Member] | ||
Schedule of Indefinite-Lived And Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross carrying amount | 42,959 | 34,172 |
Intangible assets, accumulated amortization | $ (12,288) | $ (9,379) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Line Items] | |||
Income tax payments | $ 70,200 | $ 142,200 | $ 132,500 |
Income taxes payable | 51,300 | 46,400 | |
Income taxes receivable | 64,300 | 5,400 | |
One-time tax benefit as a result of the TCJA | 339,899 | 0 | $ 0 |
Tax credit carryforwards | $ 48,938 | 23,037 | |
Tax credit, expiration date | Dec. 31, 2024 | ||
Net operating loss carryforwards | $ 15,100 | ||
Estimated gross deferred tax assets including net operating losses realized through generating taxable income or reversal of existing temporary differences attributable to gross deferred tax liabilities | 434,100 | ||
Valuation allowance | (25,225) | $ (18,781) | |
Provision for deferred U.S. income taxes | 0 | ||
Unrealized gains on investments held by the company's foreign insurance operations | $ 630,000 | ||
Earliest Tax Year [Member] | |||
Income Tax Disclosure [Line Items] | |||
Operating loss carryforwards, expiration date | Dec. 31, 2028 | ||
Latest Tax Year [Member] | |||
Income Tax Disclosure [Line Items] | |||
Operating loss carryforwards, expiration date | Dec. 31, 2030 | ||
Certain Branch Operations In Europe And Wholly Owned Subsidiary In Brazil [Member] | |||
Income Tax Disclosure [Line Items] | |||
Net operating loss carryforwards | $ 105,200 | ||
Certain Branch Operations In Europe And Wholly Owned Subsidiary In Brazil [Member] | Earliest Tax Year [Member] | |||
Income Tax Disclosure [Line Items] | |||
Operating loss carryforwards, expiration date | Dec. 31, 2020 | ||
Certain Branch Operations In Europe And Wholly Owned Subsidiary In Brazil [Member] | Latest Tax Year [Member] | |||
Income Tax Disclosure [Line Items] | |||
Operating loss carryforwards, expiration date | Dec. 31, 2026 | ||
Certain Branch Operations In Europe And Wholly Owned Subsidiary In Brazil [Member] | Subject To Expiration [Member] | |||
Income Tax Disclosure [Line Items] | |||
Net operating loss carryforwards | $ 26,900 |
Income Taxes (Components Of Inc
Income Taxes (Components Of Income Before Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Domestic operations | $ 337,704 | $ 288,905 | $ 323,954 |
Foreign operations | (250,409) | 341,015 | 418,151 |
Income Before Income Taxes | $ 87,295 | $ 629,920 | $ 742,105 |
Income Taxes (Components Of I79
Income Taxes (Components Of Income Tax Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Domestic, current | $ (19,255) | $ 57,916 | $ 44,406 |
Foreign, current | 29,882 | 48,203 | 118,235 |
Total current tax expense | 10,627 | 106,119 | 162,641 |
Domestic, deferred | (222,427) | 19,991 | 9,415 |
Foreign, deferred | (101,663) | 43,367 | (19,093) |
Total deferred tax expense (benefit) | (324,090) | 63,358 | (9,678) |
Income tax expense (benefit) | $ (313,463) | $ 169,477 | $ 152,963 |
Income Taxes Components Of TCJA
Income Taxes Components Of TCJA Related Net Tax Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Line Items] | |||
Tax rate change on net unrealized gains on investments | $ (401,538) | ||
Tax on deemed repatriation of foreign earnings (provisional) | 29,500 | ||
TCJA | (339,899) | $ 0 | $ 0 |
Markel Ventures Operations [Member] | |||
Income Tax Disclosure [Line Items] | |||
Tax rate change on other temporary differences (provisional) | (37,129) | ||
Other [Member] | |||
Income Tax Disclosure [Line Items] | |||
Tax rate change on other temporary differences (provisional) | $ 69,268 |
Income Taxes (Reconciliations O
Income Taxes (Reconciliations Of United States Corporate Income Tax Rate To Effective Tax Rate On Income Before Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
United States corporate tax rate amount | $ 30,553 | $ 220,472 | $ 259,737 |
United States corporate tax rate percent | 35.00% | 35.00% | 35.00% |
TCJA amount | $ (339,899) | $ 0 | $ 0 |
TCJA percent | (389.00%) | (0.00%) | (0.00%) |
Tax-exempt investment income amount | $ (41,565) | $ (39,710) | $ (40,483) |
Tax-exempt investment income percent | (48.00%) | (6.00%) | (5.00%) |
Tax credits amount | $ (10,236) | $ (13,294) | $ (56,409) |
Tax credits percent | (12.00%) | (2.00%) | (8.00%) |
Stock based compensation amount | $ (9,001) | $ (5,411) | $ 0 |
Stock based compensation percent | (10.00%) | (1.00%) | 0.00% |
Foreign operations amount | $ 54,920 | $ 4,672 | $ (10,766) |
Foreign operations percent | 63.00% | 1.00% | (1.00%) |
Other amount | $ 1,765 | $ 2,748 | $ 884 |
Other percent | 2.00% | 0.00% | 0.00% |
Income tax expense (benefit) | $ (313,463) | $ 169,477 | $ 152,963 |
Income tax expense (benefit) percent | (359.00%) | 27.00% | 21.00% |
Income Taxes (Components Of Dom
Income Taxes (Components Of Domestic And Foreign Deferred Tax Assets And Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Income Tax Disclosure [Abstract] | ||
Unpaid losses and loss adjustment expenses | $ 144,761 | $ 181,303 |
Life and annuity benefits | 77,945 | 135,075 |
Unearned premiums recognized for income tax purposes | 74,282 | 121,852 |
Tax credit carryforwards | 48,938 | 23,037 |
Net operating loss carryforwards | 29,252 | 26,743 |
Accrued incentive compensation | 23,167 | 67,719 |
Other differences between financial reporting and tax bases | 60,995 | 64,177 |
Total gross deferred tax assets | 459,340 | 619,906 |
Less valuation allowance | (25,225) | (18,781) |
Total gross deferred tax assets, net of allowance | 434,115 | 601,125 |
Investments | 603,523 | 664,950 |
Amortization of goodwill and other intangible assets | 171,681 | 102,631 |
Deferred policy acquisition costs | 90,826 | 128,302 |
Other differences between financial reporting and tax bases | 73,664 | 35,727 |
Total gross deferred tax liabilities | 939,694 | 931,610 |
Net deferred tax liability | $ 505,579 | $ 330,485 |
Unpaid Losses And Loss Adjust83
Unpaid Losses And Loss Adjustment Expenses (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Mar. 31, 2017 | Oct. 30, 2015 | Mar. 09, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ceded reserves for losses and loss adjustment expenses on asbestos and environmental policies transferred to a third party by way of a Part VII transfer | $ 69,100 | ||||||||
Deferred gain related to the completion of the Part VII transfer | $ (3,900) | ||||||||
Adverse (favorable) development related to the commutation of a property and casualty deposit contract | $ (11,700) | ||||||||
Net reserves for losses and loss adjustment expenses of acquired insurance companies | 57,493 | 0 | $ 0 | ||||||
Net losses and loss adjustment expenses | 3,367,223 | 2,555,902 | 2,566,545 | ||||||
Adverse (favorable) development on prior years' loss reserves | $ (497,627) | (493,495) | (627,800) | ||||||
Previous ogden discount rate percent | 2.50% | ||||||||
Current ogden discount rate percent | 0.75% | ||||||||
Prior years' adverse (favorable) development on asbestos and environmental exposures | $ 659 | $ (5,277) | 25,415 | ||||||
Loss on retrospective reinsurance transaction recognized in losses and loss adjustment expenses | 7,100 | ||||||||
Increase in asbestos and environmental prior years’ loss reserves following the retroactive reinsurance transaction | 15,000 | ||||||||
IBNR reserves as a percentage of total unpaid losses and loss adjustment expenses | 64.00% | 67.00% | |||||||
Asbestos-related reserves, gross loss incurred | $ 274,527 | $ 323,904 | 386,625 | ||||||
Asbestos-related reserves, net loss incurred | 104,661 | 111,604 | 132,869 | $ 287,723 | |||||
Asbestos and environmental net reserves for reported claims | 92,000 | ||||||||
Asbestos and environmental reserves incurred but not reported, net | 12,700 | ||||||||
Liability for asbestos and environmental claims, net claims paid since inception | 626,400 | ||||||||
Reinsurance recoverable on retroactive reinsurance transactions attributable to A&E exposures | 0 | 0 | 159,641 | ||||||
Liability for asbestos and environmental claims, net litigation paid since inception | 96,200 | ||||||||
Reinsurance recoverable on retroactive reinsurance transactions | 0 | 0 | 177,649 | ||||||
U.S. Insurance [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Net losses and loss adjustment expenses | 1,648,427 | 1,403,589 | 1,367,159 | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 6,909,337 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 3,853,808 | ||||||||
U.S. Insurance [Member] | 2012 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 891,641 | 909,237 | 924,621 | 924,138 | $ 985,721 | $ 949,141 | |||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 763,455 | 728,802 | 644,658 | 546,635 | 401,773 | 193,708 | |||
Cumulative number of reported claims | 107 | ||||||||
U.S. Insurance [Member] | 2012 Accident Year [Member] | Alterra [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 97,400 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 22,600 | ||||||||
U.S. Insurance [Member] | 2013 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | $ 996,204 | 1,009,438 | 1,042,100 | 1,105,927 | 1,130,681 | ||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 799,385 | 725,782 | 594,558 | 443,392 | 222,890 | ||||
Cumulative number of reported claims | 66 | ||||||||
U.S. Insurance [Member] | 2013 Accident Year [Member] | Alterra [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 149,900 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 23,200 | ||||||||
U.S. Insurance [Member] | 2017 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | $ 1,572,585 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 336,553 | ||||||||
Cumulative number of reported claims | 67 | ||||||||
International Insurance [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Net losses and loss adjustment expenses | $ 793,917 | 605,837 | 638,144 | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 3,210,132 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 1,457,369 | ||||||||
International Insurance [Member] | 2012 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 477,855 | 493,563 | 511,144 | 573,945 | 633,511 | 428,711 | |||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 360,164 | 329,766 | 297,752 | 237,084 | 168,322 | 40,545 | |||
Cumulative number of reported claims | 19 | ||||||||
International Insurance [Member] | 2012 Accident Year [Member] | Alterra [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 159,900 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 14,200 | ||||||||
International Insurance [Member] | 2013 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | $ 439,992 | 460,978 | 492,290 | 598,638 | 614,829 | ||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 243,043 | 227,922 | 187,671 | 130,088 | 49,426 | ||||
Cumulative number of reported claims | 18 | ||||||||
International Insurance [Member] | 2013 Accident Year [Member] | Alterra [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 163,900 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 6,300 | ||||||||
International Insurance [Member] | 2017 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | $ 765,959 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 103,780 | ||||||||
Cumulative number of reported claims | 21 | ||||||||
International Insurance [Member] | 2012 To 2017 Accident Years [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Percentage of cumulative incurred losses and allocated loss adjustment expenses, net of reinsurance from managing agents | 5.00% | ||||||||
Reinsurance [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Net losses and loss adjustment expenses | $ 924,879 | 546,476 | 561,242 | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 3,584,197 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 1,389,672 | ||||||||
Reinsurance [Member] | 2012 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 458,643 | 460,002 | 489,767 | 511,264 | 553,865 | 73,177 | |||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 265,833 | 233,284 | 185,315 | 129,633 | 64,982 | $ 4,127 | |||
Reinsurance [Member] | 2012 Accident Year [Member] | Alterra [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 478,300 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 53,100 | ||||||||
Reinsurance [Member] | 2013 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 549,500 | 538,223 | 553,046 | 583,775 | 591,730 | ||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 304,797 | 271,598 | 212,106 | $ 156,903 | 71,983 | ||||
Reinsurance [Member] | 2013 Accident Year [Member] | Alterra [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 540,900 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 69,300 | ||||||||
Reinsurance [Member] | 2017 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 910,948 | ||||||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 158,420 | ||||||||
Impact Of Retroactive Reinsurance Transactions On Reserve Volatility [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Liability for asbestos and environmental claims net incurred loss annual claim review | (82,700) | ||||||||
Asbestos [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Asbestos-related reserves, gross loss incurred | 210,700 | ||||||||
Asbestos-related reserves, net loss incurred | 84,400 | ||||||||
Gen Liab Prof Liab Personal Lines And Workers Comp US Segment Prof Liab Gen Liab And Marine And Energy Intl Segment Property Reins Segment [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Adverse (favorable) development on prior years' loss reserves | (414,100) | ||||||||
Ogden Rate Change [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Adverse (favorable) development on prior years' loss reserves | $ 85,000 | ||||||||
Long Tail Casualty U.S. And Intl Marine And Energy Intl And Property U.S. And Reinsurance [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Adverse (favorable) development on prior years' loss reserves | (418,000) | ||||||||
Development On Specified Medical And Medical Malpractice [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Adverse (favorable) development on prior years' loss reserves | $ 71,200 | ||||||||
General Liability Workers Comp Inland Marine Brokerage Property U.S. And General Liability Professional Liability And Marine And Energy Intl Segment [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Adverse (favorable) development on prior years' loss reserves | $ (375,800) | ||||||||
Personal Lines [Member] | U.S. Insurance [Member] | 2012 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Cumulative number of reported claims | 66 | ||||||||
Personal Lines [Member] | U.S. Insurance [Member] | 2013 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Cumulative number of reported claims | 17 | ||||||||
Personal Lines [Member] | U.S. Insurance [Member] | 2017 Accident Year [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Cumulative number of reported claims | 10 | ||||||||
2017 Catastrophes [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Net losses and loss adjustment expenses, net of assumed reinstatement premiums | $ 565,300 | ||||||||
Net losses and loss adjustment expenses | 585,400 | ||||||||
Net assumed reinstatement premiums | 20,100 | ||||||||
Reinsurance recoverables | $ 490,300 | ||||||||
March 9, 2015 [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Total payment under retrospective reinsurance transaction on ceded asbestos and environmental policies | $ 89,000 | ||||||||
Cash paid at closing under retrospective reinsurance transaction on ceded asbestos and environmental policies | $ 69,900 | ||||||||
October 30, 2015 [Member] | |||||||||
Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||||||
Total payment under retrospective reinsurance transaction on ceded asbestos and environmental policies | $ 86,500 | ||||||||
Cumulative amount of reserves for losses and loss adjustment expenses on ceded asbestos and environmental policies | 173,400 | ||||||||
Cumulative reserves for losses and loss adjustment expenses on ceded asbestos and environmental policies, net of retention | 76,400 | ||||||||
Loss on retrospective reinsurance transaction | $ 10,100 |
Unpaid Losses And Loss Adjust84
Unpaid Losses And Loss Adjustment Expenses (Reconciliation Of Consolidated Reserves For Losses And Loss Adjustment Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Liability for Unpaid Claims and Claims Adjustment Expense, Incurred Claims [Abstract] | |||
Net reserves for losses and loss adjustment expenses, beginning of year | $ 8,108,717 | $ 8,235,288 | $ 8,535,483 |
Foreign currency movements | 110,079 | (129,692) | (134,173) |
Adjusted net reserves for losses and loss adjustment expenses, beginning of year | 8,218,796 | 8,105,596 | 8,401,310 |
Incurred losses and loss adjustment expenses, current accident year | 3,367,223 | 2,555,902 | 2,566,545 |
Incurred losses and loss adjustment expenses, prior accident years | (497,627) | (493,495) | (627,800) |
Total incurred losses and loss adjustment expenses | 2,869,596 | 2,062,407 | 1,938,745 |
Payments, current accident year | 671,112 | 532,140 | 486,551 |
Payments, prior accident years | 1,513,580 | 1,529,206 | 1,423,286 |
Total payments | 2,184,692 | 2,061,346 | 1,909,837 |
Effect of foreign currency rate changes | 3,752 | 2,060 | (17,281) |
Net reserves for losses and loss adjustment expenses of acquired insurance companies | 57,493 | 0 | 0 |
Reinsurance recoverable on retroactive reinsurance transactions | 0 | 0 | (177,649) |
Net reserves for losses and loss adjustment expenses, end of year | 8,964,945 | 8,108,717 | 8,235,288 |
Reinsurance recoverable on unpaid losses | 4,619,336 | 2,006,945 | 2,016,665 |
Gross reserves for losses and loss adjustment expenses, end of year | $ 13,584,281 | $ 10,115,662 | $ 10,251,953 |
Unpaid Losses And Loss Adjust85
Unpaid Losses And Loss Adjustment Expenses (Ultimate Incurred Losses And Cumulative Paid Losses And Allocated Loss Adjustment Expenses, Net Of Reinsurance) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Claims Development [Line Items] | ||||||
Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance | $ 8,780,929 | |||||
U.S. Insurance [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 6,909,337 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 3,853,808 | |||||
All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance | 289,191 | |||||
Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance | 3,344,720 | |||||
U.S. Insurance [Member] | 2012 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 891,641 | $ 909,237 | $ 924,621 | $ 924,138 | $ 985,721 | $ 949,141 |
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 88,973 | |||||
Cumulative number of reported claims | 107 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 763,455 | 728,802 | 644,658 | 546,635 | 401,773 | 193,708 |
U.S. Insurance [Member] | 2013 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 996,204 | 1,009,438 | 1,042,100 | 1,105,927 | 1,130,681 | |
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 124,412 | |||||
Cumulative number of reported claims | 66 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 799,385 | 725,782 | 594,558 | 443,392 | 222,890 | |
U.S. Insurance [Member] | 2014 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 1,088,667 | 1,116,093 | 1,140,685 | 1,278,116 | ||
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 193,049 | |||||
Cumulative number of reported claims | 57 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 770,490 | 650,118 | 487,068 | 264,697 | ||
U.S. Insurance [Member] | 2015 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 1,136,033 | 1,211,389 | 1,285,411 | |||
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 305,158 | |||||
Cumulative number of reported claims | 57 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 660,699 | 514,497 | 260,121 | |||
U.S. Insurance [Member] | 2016 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 1,224,207 | 1,319,731 | ||||
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 476,971 | |||||
Cumulative number of reported claims | 59 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 523,226 | 278,650 | ||||
U.S. Insurance [Member] | 2017 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 1,572,585 | |||||
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 911,675 | |||||
Cumulative number of reported claims | 67 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 336,553 | |||||
International Insurance [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 3,210,132 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 1,457,369 | |||||
All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance | 482,546 | |||||
Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance | 2,235,309 | |||||
International Insurance [Member] | 2012 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 477,855 | 493,563 | 511,144 | 573,945 | 633,511 | 428,711 |
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 58,151 | |||||
Cumulative number of reported claims | 19 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 360,164 | 329,766 | 297,752 | 237,084 | 168,322 | 40,545 |
International Insurance [Member] | 2013 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 439,992 | 460,978 | 492,290 | 598,638 | 614,829 | |
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 128,109 | |||||
Cumulative number of reported claims | 18 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 243,043 | 227,922 | 187,671 | 130,088 | 49,426 | |
International Insurance [Member] | 2014 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 491,882 | 522,778 | 566,049 | 594,055 | ||
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 117,588 | |||||
Cumulative number of reported claims | 18 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 297,887 | 249,408 | 174,294 | 68,464 | ||
International Insurance [Member] | 2015 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 460,851 | 510,035 | 508,159 | |||
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 119,232 | |||||
Cumulative number of reported claims | 22 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 219,574 | 153,418 | 63,564 | |||
International Insurance [Member] | 2016 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 573,593 | 562,190 | ||||
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 142,890 | |||||
Cumulative number of reported claims | 22 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 232,921 | 94,926 | ||||
International Insurance [Member] | 2017 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 765,959 | |||||
Total of incurred-but-not-reported liabilities, net of reinsurance | $ 427,823 | |||||
Cumulative number of reported claims | 21 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 103,780 | |||||
Reinsurance [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 3,584,197 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 1,389,672 | |||||
All outstanding liabilities for unpaid losses and loss adjustment expenses before 2012, net of reinsurance | 757,569 | |||||
Total liabilities for unpaid losses and loss adjustment expenses, net of reinsurance | 2,952,094 | |||||
Reinsurance [Member] | 2012 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 458,643 | 460,002 | 489,767 | 511,264 | 553,865 | 73,177 |
Total of incurred-but-not-reported liabilities, net of reinsurance | 82,453 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 265,833 | 233,284 | 185,315 | 129,633 | 64,982 | $ 4,127 |
Reinsurance [Member] | 2013 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 549,500 | 538,223 | 553,046 | 583,775 | 591,730 | |
Total of incurred-but-not-reported liabilities, net of reinsurance | 129,940 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 304,797 | 271,598 | 212,106 | 156,903 | $ 71,983 | |
Reinsurance [Member] | 2014 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 587,525 | 541,967 | 571,056 | 580,964 | ||
Total of incurred-but-not-reported liabilities, net of reinsurance | 159,911 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 278,786 | 229,572 | 159,221 | $ 98,241 | ||
Reinsurance [Member] | 2015 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 535,936 | 516,568 | 530,245 | |||
Total of incurred-but-not-reported liabilities, net of reinsurance | 247,838 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 210,289 | 135,132 | $ 64,130 | |||
Reinsurance [Member] | 2016 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 541,645 | 531,083 | ||||
Total of incurred-but-not-reported liabilities, net of reinsurance | 285,157 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | 171,547 | $ 80,026 | ||||
Reinsurance [Member] | 2017 Accident Year [Member] | ||||||
Claims Development [Line Items] | ||||||
Ultimate incurred losses and allocated loss adjustment expenses, net of reinsurance | 910,948 | |||||
Total of incurred-but-not-reported liabilities, net of reinsurance | 563,757 | |||||
Cumulative paid losses and allocated loss adjustment expenses, net of reinsurance | $ 158,420 |
Unpaid Losses And Loss Adjust86
Unpaid Losses And Loss Adjustment Expenses (Average Annual Percentage Payout Of Incurred Losses By Age (in Years), Net Of Reinsurance) (Details) | Dec. 31, 2017 |
U.S. Insurance [Member] | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred losses in year 1 | 22.60% |
Average annual percentage payout of incurred losses in year 2 | 21.70% |
Average annual percentage payout of incurred losses in year 3 | 14.80% |
Average annual percentage payout of incurred losses in year 4 | 11.70% |
Average annual percentage payout of incurred losses in year 5 | 8.40% |
Average annual percentage payout of incurred losses in year 6 | 3.90% |
International Insurance [Member] | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred losses in year 1 | 12.90% |
Average annual percentage payout of incurred losses in year 2 | 22.20% |
Average annual percentage payout of incurred losses in year 3 | 14.30% |
Average annual percentage payout of incurred losses in year 4 | 10.60% |
Average annual percentage payout of incurred losses in year 5 | 5.10% |
Average annual percentage payout of incurred losses in year 6 | 6.40% |
Reinsurance [Member] | |
Short-duration Insurance Contracts, Historical Claims Duration [Line Items] | |
Average annual percentage payout of incurred losses in year 1 | 12.50% |
Average annual percentage payout of incurred losses in year 2 | 13.80% |
Average annual percentage payout of incurred losses in year 3 | 12.50% |
Average annual percentage payout of incurred losses in year 4 | 10.40% |
Average annual percentage payout of incurred losses in year 5 | 8.30% |
Average annual percentage payout of incurred losses in year 6 | 7.10% |
Unpaid Losses And Loss Adjust87
Unpaid Losses And Loss Adjustment Expenses (Reconciliation Of Net Incurred And Paid Loss Development Tables, By Segment, To The Liability For Losses And Loss Adjustment Expenses In The Consolidated Balance Sheet) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Liabilities for for unpaid losses and loss adjustment expenses, net of reinsurance | $ 8,780,929 | ||
Reinsurance recoverable on unpaid losses | 4,619,336 | ||
Unallocated loss adjustment expenses | 230,016 | ||
Unamortized fair value adjustments on acquired reserves for losses and loss adjustment expenses | (46,000) | ||
Total reconciling items | 184,016 | ||
Total gross liability for unpaid losses and loss adjustment expenses | 13,584,281 | $ 10,115,662 | $ 10,251,953 |
U.S. Insurance [Member] | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Liabilities for for unpaid losses and loss adjustment expenses, net of reinsurance | 3,344,720 | ||
Reinsurance recoverable on unpaid losses | 827,113 | ||
Total gross liability for unpaid losses and loss adjustment expenses | 4,331,541 | 3,849,541 | |
International Insurance [Member] | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Liabilities for for unpaid losses and loss adjustment expenses, net of reinsurance | 2,235,309 | ||
Reinsurance recoverable on unpaid losses | 1,091,785 | ||
Total gross liability for unpaid losses and loss adjustment expenses | 3,379,969 | 3,062,725 | |
Reinsurance [Member] | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Liabilities for for unpaid losses and loss adjustment expenses, net of reinsurance | 2,952,094 | ||
Reinsurance recoverable on unpaid losses | 341,168 | ||
Total gross liability for unpaid losses and loss adjustment expenses | 3,248,070 | 2,661,209 | |
Other Insurance (Discontinued Lines) [Member] | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Liabilities for for unpaid losses and loss adjustment expenses, net of reinsurance | 246,365 | ||
Reinsurance recoverable on unpaid losses | 166,281 | ||
Total gross liability for unpaid losses and loss adjustment expenses | 429,270 | $ 542,187 | |
Program Services [Member] | |||
Short-duration Insurance Contracts, Reconciliation of Claims Development to Liability [Line Items] | |||
Liabilities for for unpaid losses and loss adjustment expenses, net of reinsurance | 2,441 | ||
Reinsurance recoverable on unpaid losses | 2,192,989 | ||
Total gross liability for unpaid losses and loss adjustment expenses | $ 2,195,431 |
Unpaid Losses And Loss Adjust88
Unpaid Losses And Loss Adjustment Expenses (Reconciliation Of Consolidated A&E Reserves For Losses And Loss Adjustment Expenses) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Liability for Unpaid Claims and Claims Adjustment Expense, Incurred Claims [Abstract] | ||||
Net reserves for A&E losses and loss adjustment expenses, beginning of year | $ 111,604 | $ 132,869 | $ 287,723 | |
Commutations and other | 6,827 | 0 | $ 0 | |
Adjusted net reserves for A&E losses and loss adjustment expenses, beginning of year | 118,431 | 132,869 | 287,723 | |
Incurred losses and loss adjustment expenses | 659 | (5,277) | 25,415 | |
Payments | (14,429) | (15,988) | (20,628) | |
Reinsurance recoverable on retroactive reinsurance transactions | 0 | 0 | (159,641) | |
Net reserves for A&E losses and loss adjustment expenses, end of year | 104,661 | 111,604 | 132,869 | $ 287,723 |
Reinsurance recoverable on unpaid losses | 169,866 | 212,300 | 253,756 | |
Gross reserves for A&E losses and loss adjustment expenses, end of year | $ 274,527 | $ 323,904 | $ 386,625 |
Life And Annuity Benefits (Narr
Life And Annuity Benefits (Narrative) (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Liability for Future Policy Benefits [Abstract] | |
Average reserve valuation rate | 2.30% |
Life and annuity benefits reserve single contract concentration | 33.80% |
Annuities included in life and annuity benefits subject to discretionary withdrawal | $ 0 |
Life And Annuity Benefits (Sche
Life And Annuity Benefits (Schedule Of Life And Annuity Benefits) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Liability for Future Policy Benefits [Abstract] | ||
Life | $ 127,208 | $ 131,768 |
Annuities | 885,984 | 849,226 |
Accident and health | 58,920 | 68,660 |
Total life and annuity benefits | $ 1,072,112 | $ 1,049,654 |
Senior Long-Term Debt And Oth91
Senior Long-Term Debt And Other Debt (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2018 | Jun. 30, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Apr. 30, 2017 | |
Debt Instrument [Line Items] | ||||||
Repayments of assumed debt from business combination | $ 84,300 | |||||
Loss on early extinguishment of debt | 0 | $ 44,100 | $ 0 | |||
Senior long-term debt and other debt | 3,099,230 | 2,574,529 | ||||
Senior long-term debt and other debt, estimated fair value | 3,351,000 | 2,721,000 | ||||
Interest on senior long-term debt and other debt | 141,300 | 135,400 | $ 127,000 | |||
7.20% Unsecured Senior Notes Due April 14, 2017 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Unsecured senior notes, principal outstanding | 90,600 | |||||
Revolving Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility, capacity available | 300,000 | |||||
Line of credit facility, potential increased maximum capacity | $ 500,000 | |||||
Line of credit facility, unused capacity, commitment fee, percent | 0.25% | |||||
Borrowings outstanding under the facility | $ 0 | 0 | ||||
Secured Letters Of Credit [Member] | Revolving Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility, capacity available | $ 200,000 | |||||
Markel Diversified Fund [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Note payable included in total liabilities of the Markel Diversified Fund delivered as part of the consideration provided for its investment | $ 62,500 | |||||
Unsecured Senior Notes [Member] | 6.25% Unsecured Senior Notes Due September 30, 2020 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate | 6.25% | 6.25% | ||||
Unsecured Senior Notes [Member] | 7.20% Unsecured Senior Notes Due April 14, 2017 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate | 7.20% | 7.20% | 7.20% | |||
Unsecured Senior Notes [Member] | 3.50% Unsecured Senior Notes Due November 1, 2027 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate | 3.50% | |||||
Debt instrument, face amount | $ 300,000 | |||||
Net proceeds from issuance of unsecured senior notes | $ 297,400 | |||||
Unsecured Senior Notes [Member] | 4.30% Unsecured Senior Notes Due November 1, 2047 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate | 4.30% | |||||
Debt instrument, face amount | $ 300,000 | |||||
Net proceeds from issuance of unsecured senior notes | $ 295,500 | |||||
Unsecured Senior Notes [Member] | 5.0% Unsecured Senior Notes Due April 5, 2046 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate | 5.00% | 5.00% | 5.00% | |||
Debt instrument, face amount | $ 500,000 | |||||
Net proceeds from issuance of unsecured senior notes | $ 493,100 | |||||
Unsecured Senior Notes [Member] | 7.35% Unsecured Senior Notes Due August 15, 2034 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate | 7.35% | 7.35% | 7.35% | |||
Debt instrument, repurchased face amount | $ 70,200 | |||||
Early repayment of senior debt | $ 95,000 | |||||
Unsecured Senior Notes [Member] | 7.125% Unsecured Senior Notes Due September 30, 2019 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, interest rate | 7.125% | 7.125% | 7.125% | |||
Debt instrument, repurchased face amount | $ 108,800 | |||||
Early repayment of senior debt | $ 126,400 | |||||
Other Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Senior long-term debt and other debt | $ 185,282 | $ 153,597 | ||||
Other Debt [Member] | Markel Diversified Fund [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Note payable included in total liabilities of the Markel Diversified Fund delivered as part of the consideration provided for its investment | 62,500 | |||||
Markel Ventures Operations [Member] | Other Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Senior long-term debt and other debt | $ 78,300 | |||||
Subsequent Event [Member] | Other Debt [Member] | Markel Diversified Fund [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Repayments of Notes Payable | $ 37,500 |
Senior Long-Term Debt And Oth92
Senior Long-Term Debt And Other Debt (Summary Of Senior Long-Term Debt And Other Debt) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Apr. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 |
Debt Instrument [Line Items] | ||||
Senior long-term debt and other debt | $ 3,099,230 | $ 2,574,529 | ||
Unsecured Senior Notes [Member] | 7.20% Unsecured Senior Notes Due April 14, 2017 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 0 | $ 91,046 | ||
Debt instrument, interest rate | 7.20% | 7.20% | 7.20% | |
Debt Instrument, unamortized premium | $ 0 | $ 417 | ||
Unsecured Senior Notes [Member] | 7.125% Unsecured Senior Notes Due September 30, 2019 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 234,411 | $ 234,183 | ||
Debt instrument, interest rate | 7.125% | 7.125% | 7.125% | |
Debt instrument, unamortized discount | $ 332 | $ 522 | ||
Unsecured Senior Notes [Member] | 6.25% Unsecured Senior Notes Due September 30, 2020 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 376,616 | $ 385,714 | ||
Debt instrument, interest rate | 6.25% | 6.25% | ||
Debt Instrument, unamortized premium | $ 26,618 | $ 35,717 | ||
Unsecured Senior Notes [Member] | 5.35% Unsecured Senior Notes Due June 1, 2021 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 249,176 | $ 248,957 | ||
Debt instrument, interest rate | 5.35% | 5.35% | ||
Debt instrument, unamortized discount | $ 706 | $ 912 | ||
Unsecured Senior Notes [Member] | 4.90% Unsecured Senior Notes Due July 1, 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 348,540 | $ 348,215 | ||
Debt instrument, interest rate | 4.90% | 4.90% | ||
Debt instrument, unamortized discount | $ 1,257 | $ 1,536 | ||
Unsecured Senior Notes [Member] | 3.625% Unsecured Senior Notes Due March 30, 2023 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 248,749 | $ 248,508 | ||
Debt instrument, interest rate | 3.625% | 3.625% | ||
Debt instrument, unamortized discount | $ 1,056 | $ 1,257 | ||
Unsecured Senior Notes [Member] | 3.50% Unsecured Senior Notes Due November 1, 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 296,728 | 0 | ||
Debt instrument, interest rate | 3.50% | |||
Debt instrument, unamortized discount | $ 2,558 | |||
Unsecured Senior Notes [Member] | 7.35% Unsecured Senior Notes Due August 15, 2034 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 128,642 | $ 128,570 | ||
Debt instrument, interest rate | 7.35% | 7.35% | 7.35% | |
Debt instrument, unamortized discount | $ 1,143 | $ 1,212 | ||
Unsecured Senior Notes [Member] | 5.0% Unsecured Senior Notes Due March 30, 2043 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 244,033 | $ 243,796 | ||
Debt instrument, interest rate | 5.00% | 5.00% | ||
Debt instrument, unamortized discount | $ 5,655 | $ 5,879 | ||
Unsecured Senior Notes [Member] | 5.0% Unsecured Senior Notes Due April 5, 2046 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 492,219 | $ 491,943 | ||
Debt instrument, interest rate | 5.00% | 5.00% | 5.00% | |
Debt instrument, unamortized discount | $ 6,909 | $ 7,154 | ||
Unsecured Senior Notes [Member] | 4.30% Unsecured Senior Notes Due November 1, 2047 [Member] | ||||
Debt Instrument [Line Items] | ||||
Unsecured senior notes | $ 294,834 | 0 | ||
Debt instrument, interest rate | 4.30% | |||
Debt instrument, unamortized discount | $ 4,451 | |||
Other Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior long-term debt and other debt | $ 185,282 | $ 153,597 | ||
Other Debt [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, interest rate | 1.70% | |||
Other Debt [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, interest rate | 6.10% |
Senior Long-Term Debt And Oth93
Senior Long-Term Debt And Other Debt (Summary Of Future Principal Payments Due At Maturity On Senior Long-Term Debt And Other Debt) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Debt Disclosure [Abstract] | ||
2,018 | $ 86,312 | |
2,019 | 239,765 | |
2,020 | 355,074 | |
2,021 | 277,072 | |
2,022 | 357,245 | |
2023 and thereafter | 1,785,340 | |
Total principal payments | 3,100,808 | |
Net unamortized premium | 2,552 | |
Net unamortized debt issuance costs | (4,130) | |
Senior long-term debt and other debt | $ 3,099,230 | $ 2,574,529 |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock, shares authorized | 50,000,000 | 50,000,000 | |
Common stock, par value | $ 0 | $ 0 | |
Common stock, shares issued | 13,903,526 | 13,954,931 | |
Common stock, shares outstanding | 13,903,526 | 13,954,931 | |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | |
Preferred stock, par value | $ 0 | $ 0 | |
Preferred stock, shares issued | 0 | 0 | |
Preferred stock, shares outstanding | 0 | 0 | |
November 2013 Share Repurchase Program [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Board of Directors approved the repurchase of common stock under a share repurchase program, maximum | $ 300 | ||
Cumulative number of common stock shares repurchased | 183,735 | ||
Cumulative stock repurchased value | $ 158 | ||
2016 Employee Stock Purchase And Bonus Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Bonus calculation percentage based on the value of stocks acquired by employees | 10.00% | ||
Percentage of bonus shares award to loan program participants | 5.00% | ||
Shares authorized under the 2016 Employee Stock Purchase and Bonus Plan | 125,000 | ||
Number of shares available for purchase | 113,690 | ||
Loans outstanding under 2016 Employee Stock Purchase and Bonus Plan | $ 18.5 | $ 20.2 | |
Employee Stock Purchase And Bonus Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares issued under the prior Employee Stock Purchase and Bonus Plan since the effective date of the 2016 Employee Stock Purchase and Bonus Plan | 0 | ||
Number of shares available for purchase | 118,692 | ||
2012 Compensation Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based awards issued under the 2012 Compensation Plan since the effective date of the 2016 Compensation Plan | 0 | ||
2016 Compensation Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares available for future awards | 235,137 | ||
2016 Compensation Plan [Member] | Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of restricted stock units awarded | 12,888 | ||
Number of restricted stock units vested | 46,988 | ||
Weighted average grant-date fair value, share-based awards | $ 979.23 | $ 878.03 | $ 740.80 |
Unrecognized compensation cost related to nonvested share-based awards | $ 7.8 | ||
Weighted average remaining service period of share-based awards | 1 year 6 months | ||
Fair value of the vested share-based awards | $ 28.8 | $ 29.8 | $ 15.8 |
2016 Compensation Plan [Member] | Restricted Stock Units (RSUs) [Member] | Non-Employee Directors [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of restricted stock units awarded | 1,050 | ||
Number of restricted stock units vested | 105 | ||
2016 Compensation Plan [Member] | Restricted Stock Units (RSUs) [Member] | Performance Based [Member] | Associates And Executive Officers [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares of common stock issuable for each vested restricted stock unit | 1 | ||
Number of restricted stock units awarded | 11,339 | ||
Restricted stock awards, vesting period | 3 years | ||
2016 Compensation Plan [Member] | Restricted Stock Units (RSUs) [Member] | Retention And Hiring [Member] | Associates And Executive Officers [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares of common stock issuable for each vested restricted stock unit | 1 | ||
Number of restricted stock units awarded | 499 | ||
Restricted stock units, grant date fair value | $ 0.5 | ||
Restricted stock awards, vesting period | 3 years |
Shareholders' Equity (Schedule
Shareholders' Equity (Schedule Of Net Income Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings Per Share [Line Items] | |||||||||||||||
Net income to shareholders | $ 434,881 | $ (259,141) | $ 149,660 | $ 69,869 | $ 132,726 | $ 83,796 | $ 78,797 | $ 160,370 | $ 197,892 | $ 102,519 | $ 91,369 | $ 190,992 | $ 395,269 | $ 455,689 | $ 582,772 |
Adjustment of redeemable noncontrolling interests | (33,738) | (15,472) | 4,144 | ||||||||||||
Adjusted net income to shareholders | $ 361,531 | $ 440,217 | $ 586,916 | ||||||||||||
Basic common shares outstanding | 13,964 | 14,013 | 13,978 | ||||||||||||
Diluted shares outstanding | 14,006 | 14,078 | 14,061 | ||||||||||||
Basic net income (loss) per share (dollars per share) | $ 30.48 | $ (18.82) | $ 10.34 | $ 3.91 | $ 9.14 | $ 5.62 | $ 5.44 | $ 11.21 | $ 14.23 | $ 7.43 | $ 6.76 | $ 13.57 | $ 25.89 | $ 31.41 | $ 41.99 |
Diluted net income (loss) per share (dollars per share) | $ 30.39 | $ (18.82) | $ 10.31 | $ 3.90 | $ 9.11 | $ 5.60 | $ 5.41 | $ 11.15 | $ 14.14 | $ 7.39 | $ 6.72 | $ 13.49 | $ 25.81 | $ 31.27 | $ 41.74 |
Stock Options [Member] | |||||||||||||||
Earnings Per Share [Line Items] | |||||||||||||||
Dilutive potential common shares | 1 | 4 | 9 | ||||||||||||
Restricted Stock Units (RSUs) [Member] | |||||||||||||||
Earnings Per Share [Line Items] | |||||||||||||||
Dilutive potential common shares | 41 | 61 | 74 |
Shareholders' Equity (Summary O
Shareholders' Equity (Summary Of Nonvested Share-Based Awards) (Details) - 2016 Compensation Plan [Member] - Restricted Stock Units (RSUs) [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Number of awards, nonvested awards, beginning balance | 65,618 | ||
Number of awards, granted | 12,888 | ||
Number of awards, vested | (46,988) | ||
Number of awards, nonvested awards, ending balance | 31,518 | 65,618 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Weighted average grant-date fair value, nonvested awards, beginning balance | $ 634.71 | ||
Weighted average grant-date fair value, granted | 979.23 | $ 878.03 | $ 740.80 |
Weighted average grant-date fair value, vested | 612.54 | ||
Weighted average grant-date fair value, nonvested awards, ending balance | $ 808.63 | $ 634.71 |
Other Comprehensive Income (L97
Other Comprehensive Income (Loss) (Change In Accumulated Other Comprehensive Income By Component, Net Of Taxes And Noncontrolling Interests) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive income, beginning balance | $ 1,565,866 | $ 1,354,508 | $ 1,704,557 |
Other comprehensive income (loss) before reclassifications | 800,834 | 243,286 | (271,697) |
Amounts reclassified from accumulated other comprehensive income | (21,129) | (31,928) | (78,352) |
Total other comprehensive income (loss) | 779,705 | 211,358 | (350,049) |
Accumulated other comprehensive income, ending balance | 2,345,571 | 1,565,866 | 1,354,508 |
Unrealized Holding Gains On Available-For-Sale Securities [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive income, beginning balance | 1,714,930 | 1,472,762 | 1,793,254 |
Other comprehensive income (loss) before reclassifications | 787,339 | 275,696 | (240,010) |
Amounts reclassified from accumulated other comprehensive income | (24,296) | (33,528) | (80,482) |
Total other comprehensive income (loss) | 763,043 | 242,168 | (320,492) |
Accumulated other comprehensive income, ending balance | 2,477,973 | 1,714,930 | 1,472,762 |
Foreign Currency [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive income, beginning balance | (84,406) | (72,696) | (43,491) |
Other comprehensive income (loss) before reclassifications | 10,403 | (11,710) | (29,205) |
Amounts reclassified from accumulated other comprehensive income | 0 | 0 | 0 |
Total other comprehensive income (loss) | 10,403 | (11,710) | (29,205) |
Accumulated other comprehensive income, ending balance | (74,003) | (84,406) | (72,696) |
Net Actuarial Pension Loss [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive income, beginning balance | (64,658) | (45,558) | (45,206) |
Other comprehensive income (loss) before reclassifications | 3,092 | (20,700) | (2,482) |
Amounts reclassified from accumulated other comprehensive income | 3,167 | 1,600 | 2,130 |
Total other comprehensive income (loss) | 6,259 | (19,100) | (352) |
Accumulated other comprehensive income, ending balance | $ (58,399) | $ (64,658) | $ (45,558) |
Other Comprehensive Income (L98
Other Comprehensive Income (Loss) (Schedule Of Tax Expense (Benefit) Of Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Comprehensive Income (Loss), Tax [Abstract] | |||
Net holding gains (losses) arising during the period | $ 372,469 | $ 112,399 | $ (107,860) |
Change in unrealized other-than-temporary impairment losses on fixed maturities arising during the period | 0 | 6 | 35 |
Reclassification adjustments for net gains included in net income | (10,072) | (12,462) | (29,267) |
Change in net unrealized gains (losses) on investments | 362,397 | 99,943 | (137,092) |
Change in foreign currency translation adjustments | 28 | 1,037 | 408 |
Change in net actuarial pension loss | 1,284 | (4,192) | (88) |
Total | $ 363,709 | $ 96,788 | $ (136,772) |
Other Comprehensive Income (L99
Other Comprehensive Income (Loss) (Amounts Reclassified From Accumulated Other Comprehensive Income Into Income, By Component) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reclassification Out Of Accumulated Other Comprehensive Income [Line Items] | |||||||||||||||
Other-than-temporary impairment losses recognized in net income | $ (7,589) | $ (18,355) | $ (44,481) | ||||||||||||
Net realized investment gains, excluding other-than-temporary impairment losses | 2,286 | 83,502 | 150,961 | ||||||||||||
Income before income taxes | 87,295 | 629,920 | 742,105 | ||||||||||||
Income Taxes | 313,463 | (169,477) | (152,963) | ||||||||||||
Underwriting, acquisition and insurance expenses | (1,587,414) | (1,498,590) | (1,455,080) | ||||||||||||
Net income (loss) | $ 439,326 | $ (261,035) | $ 151,427 | $ 71,040 | $ 132,703 | $ 83,421 | $ 80,673 | $ 163,646 | $ 198,273 | $ 104,410 | $ 92,453 | $ 194,006 | 400,758 | 460,443 | 589,142 |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Unrealized Holding Gains On Available-For-Sale Securities [Member] | |||||||||||||||
Reclassification Out Of Accumulated Other Comprehensive Income [Line Items] | |||||||||||||||
Other-than-temporary impairment losses recognized in net income | (7,589) | (18,355) | (44,481) | ||||||||||||
Net realized investment gains, excluding other-than-temporary impairment losses | 41,957 | 64,345 | 154,230 | ||||||||||||
Income before income taxes | 34,368 | 45,990 | 109,749 | ||||||||||||
Income Taxes | (10,072) | (12,462) | (29,267) | ||||||||||||
Net income (loss) | 24,296 | 33,528 | 80,482 | ||||||||||||
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Net Actuarial Pension Loss [Member] | |||||||||||||||
Reclassification Out Of Accumulated Other Comprehensive Income [Line Items] | |||||||||||||||
Income Taxes | 648 | 351 | 532 | ||||||||||||
Underwriting, acquisition and insurance expenses | (3,815) | (1,951) | (2,662) | ||||||||||||
Net income (loss) | $ (3,167) | $ (1,600) | $ (2,130) |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value, level 1 to level 2 transfers, amount | $ 0 | $ 0 |
Fair value, level 2 to level 1 transfers, amount | 0 | 0 |
Assets measured at fair value on a non-recurring basis | 0 | 0 |
Liabilities measured at fair value on a non-recurring basis | 0 | 0 |
Net realized investment gains (losses) | $ 51,970 | $ (20,953) |
Short-Term Investments [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment maturity period | 1 year | |
Investment in ILS Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net realized investment gains (losses) | $ 52,000 |
Fair Value Measurements (Balanc
Fair Value Measurements (Balances Of Assets Measured At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | $ 9,940,670 | $ 9,891,510 |
Equity securities | 5,967,847 | 4,745,841 |
Short-term investments | 2,160,974 | 2,336,151 |
Total investments available-for-sale | 18,069,491 | 16,973,502 |
Fixed Maturities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 9,940,670 | 9,891,510 |
U.S. Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 160,613 | 258,584 |
U.S. Government-Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 363,520 | 423,212 |
Obligations Of States, Municipalities And Political Subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 4,566,562 | 4,428,205 |
Foreign Governments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 1,489,228 | 1,463,462 |
Commercial Mortgage-Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 1,234,326 | 1,040,356 |
Residential Mortgage-Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 856,168 | 790,946 |
Asset-Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 34,728 | 27,338 |
Corporate Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 1,235,525 | 1,459,407 |
Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 5,967,847 | 4,745,841 |
Insurance, Banks And Other Financial Institutions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 2,103,033 | 1,697,810 |
Industrial, Consumer And All Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments available-for-sale | 3,864,814 | 3,048,031 |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 9,940,670 | 9,891,510 |
Equity securities | 5,967,847 | 4,745,841 |
Short-term investments | 2,160,974 | 2,336,151 |
Total investments available-for-sale | 18,069,491 | 16,973,502 |
Fair Value, Measurements, Recurring [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Equity securities | 5,799,038 | 4,554,638 |
Short-term investments | 2,065,749 | 2,255,898 |
Total investments available-for-sale | 7,864,787 | 6,810,536 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 9,940,670 | 9,891,510 |
Equity securities | 0 | 0 |
Short-term investments | 95,225 | 80,253 |
Total investments available-for-sale | 10,035,895 | 9,971,763 |
Fair Value, Measurements, Recurring [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Equity securities | 168,809 | 191,203 |
Short-term investments | 0 | 0 |
Total investments available-for-sale | 168,809 | 191,203 |
Fair Value, Measurements, Recurring [Member] | U.S. Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 160,613 | 258,584 |
Fair Value, Measurements, Recurring [Member] | U.S. Treasury Securities [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | U.S. Treasury Securities [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 160,613 | 258,584 |
Fair Value, Measurements, Recurring [Member] | U.S. Treasury Securities [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | U.S. Government-Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 363,520 | 423,212 |
Fair Value, Measurements, Recurring [Member] | U.S. Government-Sponsored Enterprises [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | U.S. Government-Sponsored Enterprises [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 363,520 | 423,212 |
Fair Value, Measurements, Recurring [Member] | U.S. Government-Sponsored Enterprises [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Obligations Of States, Municipalities And Political Subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 4,566,562 | 4,428,205 |
Fair Value, Measurements, Recurring [Member] | Obligations Of States, Municipalities And Political Subdivisions [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Obligations Of States, Municipalities And Political Subdivisions [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 4,566,562 | 4,428,205 |
Fair Value, Measurements, Recurring [Member] | Obligations Of States, Municipalities And Political Subdivisions [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Foreign Governments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 1,489,228 | 1,463,462 |
Fair Value, Measurements, Recurring [Member] | Foreign Governments [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Foreign Governments [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 1,489,228 | 1,463,462 |
Fair Value, Measurements, Recurring [Member] | Foreign Governments [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 1,234,326 | 1,040,356 |
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 1,234,326 | 1,040,356 |
Fair Value, Measurements, Recurring [Member] | Commercial Mortgage-Backed Securities [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 856,168 | 790,946 |
Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 856,168 | 790,946 |
Fair Value, Measurements, Recurring [Member] | Residential Mortgage-Backed Securities [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 34,728 | 27,338 |
Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 34,728 | 27,338 |
Fair Value, Measurements, Recurring [Member] | Asset-Backed Securities [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Corporate Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 1,235,525 | 1,459,407 |
Fair Value, Measurements, Recurring [Member] | Corporate Bonds [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Corporate Bonds [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 1,235,525 | 1,459,407 |
Fair Value, Measurements, Recurring [Member] | Corporate Bonds [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fixed maturities, estimated fair value | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Insurance, Banks And Other Financial Institutions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 2,103,033 | 1,697,810 |
Fair Value, Measurements, Recurring [Member] | Insurance, Banks And Other Financial Institutions [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 1,934,224 | 1,506,607 |
Fair Value, Measurements, Recurring [Member] | Insurance, Banks And Other Financial Institutions [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Insurance, Banks And Other Financial Institutions [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 168,809 | 191,203 |
Fair Value, Measurements, Recurring [Member] | Industrial, Consumer And All Other [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 3,864,814 | 3,048,031 |
Fair Value, Measurements, Recurring [Member] | Industrial, Consumer And All Other [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 3,864,814 | 3,048,031 |
Fair Value, Measurements, Recurring [Member] | Industrial, Consumer And All Other [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Industrial, Consumer And All Other [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Equity securities | $ 0 | $ 0 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary Of Changes In Level 3 Investments Measured At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | ||
Fair Value Disclosures [Abstract] | |||
Equity securities, beginning of period | $ 191,203 | $ 0 | |
Purchases | 56,250 | 195,250 | |
Sales | (26,674) | (25,000) | |
Total gains included in net income (loss) | (51,970) | 20,953 | |
Total gains included in other comprehensive income | 0 | 0 | |
Transfers into Level 3 | 0 | 0 | |
Transfers out of Level 3 | 0 | 0 | |
Equity securities, end of period | 168,809 | 191,203 | |
Net unrealized gains (losses) included in net income relating to assets held at December 31, 2017 and 2016 | [1] | $ (51,970) | $ 20,953 |
[1] | Included in net realized investment gains (losses) in the consolidated statements of income and comprehensive income. |
Reinsurance (Narrative) (Detail
Reinsurance (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017USD ($)reinsurer | Dec. 31, 2016USD ($)reinsurer | Dec. 31, 2015USD ($) | |
Reinsurance Disclosures [Line Items] | |||
Number of largest company reinsurers | reinsurer | 10 | ||
Percentage of ceded earned premiums to gross earned premiums | 21.00% | 17.00% | 18.00% |
Percentage of assumed earned premiums to net earned premiums | 30.00% | 30.00% | 31.00% |
2017 Catastrophes [Member] | |||
Reinsurance Disclosures [Line Items] | |||
Reinsurance recoverables | $ | $ 490.3 | ||
Underwriting Operations [Member] | |||
Reinsurance Disclosures [Line Items] | |||
Number of largest company reinsurers | reinsurer | 10 | ||
Reinsurance recoverables | $ | $ 856.8 | $ 362 | $ 330.7 |
Underwriting Operations [Member] | Ten Largest Reinsurers [Member] | |||
Reinsurance Disclosures [Line Items] | |||
Recoverable balances as a percentage of the total balance | 61.00% | 67.00% | |
Underwriting Operations [Member] | Fairfax Financial Group [Member] | |||
Reinsurance Disclosures [Line Items] | |||
Recoverable balances as a percentage of the total balance | 10.00% | ||
Program Services [Member] | |||
Reinsurance Disclosures [Line Items] | |||
Number of largest company reinsurers | reinsurer | 10 | ||
Reinsurance recoverables | $ | $ 286.1 | ||
Program Services [Member] | Ten Largest Reinsurers [Member] | |||
Reinsurance Disclosures [Line Items] | |||
Recoverable balances as a percentage of the total balance | 79.00% | ||
Program Services [Member] | Fosun International Holdings, Ltd [Member] | |||
Reinsurance Disclosures [Line Items] | |||
Recoverable balances as a percentage of the total balance | 25.00% |
Reinsurance (Reinsurance Allowa
Reinsurance (Reinsurance Allowance For Doubtful Accounts) (Details) - Allowance For Reinsurance Recoverable [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Reinsurance allowance, beginning of year | $ 36,770 | $ 59,350 | $ 59,813 |
Additions | 2,669 | 980 | 5,897 |
Deductions | (5,464) | (23,560) | (6,360) |
Reinsurance allowance, end of year | $ 33,975 | $ 36,770 | $ 59,350 |
Reinsurance (Effect Of Reinsura
Reinsurance (Effect Of Reinsurance And Retrocessional Reinsurance On Premiums Written And Earned) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Effects of Reinsurance [Line Items] | ||||
Direct premiums written | $ 4,172,467 | [1] | $ 3,560,635 | $ 3,474,510 |
Direct premiums earned | 4,068,622 | [1] | 3,506,687 | 3,480,297 |
Assumed premiums written | 1,334,493 | [1] | 1,236,010 | 1,158,402 |
Assumed premiums earned | 1,287,395 | [1] | 1,176,205 | 1,194,772 |
Ceded premiums written | (1,089,173) | [1] | (795,625) | (813,619) |
Ceded premiums earned | (1,108,039) | [1] | (817,022) | (851,537) |
Net premiums written | 4,417,787 | 4,001,020 | 3,819,293 | |
Net premiums earned | 4,247,978 | $ 3,865,870 | $ 3,823,532 | |
Program Services [Member] | ||||
Effects of Reinsurance [Line Items] | ||||
Direct premiums written | 252,900 | |||
Direct premiums earned | 291,300 | |||
Assumed premiums written | 1,000 | |||
Assumed premiums earned | 1,400 | |||
Ceded premiums written | (253,900) | |||
Ceded premiums earned | $ (292,700) | |||
[1] | Written premium includes $252.9 million, $1.0 million and $253.9 million of direct, assumed and ceded premium, respectively, in the Company's program services business in 2017. Earned premium includes $291.3 million, $1.4 million and $292.7 million of direct, assumed and ceded premium, respectively, in the Company's program services business in 2017. |
Commitments And Contingencie106
Commitments And Contingencies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Loss Contingencies [Line Items] | |||
Maximum remaining term of noncancelable operating leases | 17 years | ||
Rental expense | $ 44.6 | $ 40.2 | $ 44.3 |
Thomas Yeransian v Markel Corporation [Member] | Damages [Member] | |||
Loss Contingencies [Line Items] | |||
Loss contingency, estimate of possible loss | 47.3 | ||
Thomas Yeransian v Markel Corporation [Member] | Interest Expense [Member] | |||
Loss Contingencies [Line Items] | |||
Loss contingency, estimate of possible loss | 11.6 | ||
Thomas Yeransian v Markel Corporation [Member] | Default Interest [Member] | |||
Loss Contingencies [Line Items] | |||
Loss contingency, estimate of possible loss | $ 10.1 |
Commitments And Contingencie107
Commitments And Contingencies (Minimum Annual Rental Commitments) (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,018 | $ 53,398 |
2,019 | 44,820 |
2,020 | 37,166 |
2,021 | 33,567 |
2,022 | 30,356 |
2023 and thereafter | 112,415 |
Total | $ 311,722 |
Variable Interest Entities (Nar
Variable Interest Entities (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Variable Interest Entity [Line Items] | |||
Investment management fees earned by the Company from unconsolidated Funds | $ 1,413,275 | $ 1,307,779 | $ 1,086,758 |
Fair value of the Company's investment in CROF | 5,967,847 | 4,745,841 | |
Total investment and insurance assets under management of MCIM for unconsolidated VIEs | 6,000,000 | ||
Markel Diversified Fund [Member] | |||
Variable Interest Entity [Line Items] | |||
Total assets of the Markel Diversified Fund | 170,300 | 166,800 | |
Total liabilities of the Markel Diversified Fund | 62,700 | 64,600 | |
Investment in one of the unconsolidated funds | $ 168,200 | $ 165,100 | |
Percentage of total assets of the Markel Diversified Fund invested in one of the unconsolidated Funds | 7.00% | 6.00% | |
Note payable included in total liabilities of the Markel Diversified Fund delivered as part of the consideration provided for its investment | $ 62,500 | ||
Investment Management [Member] | |||
Variable Interest Entity [Line Items] | |||
Investment management fees earned by the Company from unconsolidated Funds | $ 28,740 | 56,455 | $ 0 |
CATCo Reinsurance Opportunities Fund Ltd. (CROF) [Member] | |||
Variable Interest Entity [Line Items] | |||
Fair value of the Company's investment in CROF | $ 20,500 | $ 26,300 |
Statutory Financial Informat109
Statutory Financial Information (Narrative) (Details) $ in Millions | Dec. 31, 2017USD ($) |
Statutory Accounting Practices [Line Items] | |
Amount of cash and investments held as funds at Lloyd's | $ 868 |
United States [Member] | |
Statutory Accounting Practices [Line Items] | |
Amount available for dividend payment | 436.4 |
Bermuda [Member] | |
Statutory Accounting Practices [Line Items] | |
Amount available for dividend payment | $ 443.5 |
Statutory Financial Informat110
Statutory Financial Information (Actual Statutory Capital And Surplus) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
United States [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Actual statutory capital and surplus | $ 3,334,303 | $ 2,761,454 |
United Kingdom [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Actual statutory capital and surplus | 642,418 | 670,030 |
Bermuda [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Actual statutory capital and surplus | 1,774,012 | 2,189,649 |
Other Countries [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Actual statutory capital and surplus | $ 24,544 | $ 24,726 |
Statutory Financial Informat111
Statutory Financial Information (Statutory Net Income (Loss)) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
United States [Member] | |||
Statutory Accounting Practices [Line Items] | |||
Statutory net income (loss) | $ 312,828 | $ 249,176 | $ 291,783 |
United Kingdom [Member] | |||
Statutory Accounting Practices [Line Items] | |||
Statutory net income (loss) | (25,785) | 78,033 | 74,330 |
Bermuda [Member] | |||
Statutory Accounting Practices [Line Items] | |||
Statutory net income (loss) | (83,445) | 132,442 | 185,289 |
Other Countries [Member] | |||
Statutory Accounting Practices [Line Items] | |||
Statutory net income (loss) | $ 127 | $ (965) | $ (3,181) |
Segment Reporting Disclosure112
Segment Reporting Disclosures (Narrative) (Details) | Jan. 01, 2018 | Dec. 31, 2017segment | Dec. 31, 2016 | Dec. 31, 2015 |
Revenue, Major Customer [Line Items] | ||||
Number of reportable ongoing underwriting segments | 3 | |||
Underwriting Operations [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Percentage of gross premiums written | 100.00% | 100.00% | 100.00% | |
Top Three Independent Brokers [Member] | Underwriting Operations [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Percentage of gross premiums written | 27.00% | 28.00% | 27.00% | |
Top Three Independent Brokers [Member] | International Insurance [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Percentage of gross premiums written | 35.00% | 40.00% | 42.00% | |
Top Three Independent Brokers [Member] | Reinsurance [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Percentage of gross premiums written | 78.00% | 75.00% | 68.00% | |
Subsequent Event [Member] | ||||
Revenue, Major Customer [Line Items] | ||||
Number of operating segments | 4 |
Segment Reporting Disclosure113
Segment Reporting Disclosures (Summary Of Gross Written Premiums By Country) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||
Gross written premiums | $ 5,506,960 | $ 4,796,645 | $ 4,632,912 |
Underwriting Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Gross written premiums | $ 5,253,107 | $ 4,796,645 | $ 4,632,912 |
Percentage of gross premiums written | 100.00% | 100.00% | 100.00% |
United States [Member] | Underwriting Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Gross written premiums | $ 4,163,753 | $ 3,691,840 | $ 3,519,487 |
Percentage of gross premiums written | 79.00% | 77.00% | 76.00% |
United States [Member] | Program Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Gross written premiums | $ 253,853 | $ 0 | $ 0 |
United Kingdom [Member] | Underwriting Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Gross written premiums | $ 374,941 | $ 358,348 | $ 414,941 |
Percentage of gross premiums written | 7.00% | 7.00% | 9.00% |
Canada [Member] | Underwriting Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Gross written premiums | $ 132,018 | $ 125,444 | $ 115,191 |
Percentage of gross premiums written | 3.00% | 3.00% | 2.00% |
Other Countries [Member] | Underwriting Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Gross written premiums | $ 582,395 | $ 621,013 | $ 583,293 |
Percentage of gross premiums written | 11.00% | 13.00% | 13.00% |
Segment Reporting Disclosure114
Segment Reporting Disclosures (Company's Segment Disclosures) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Segment Reporting Information [Line Items] | ||||
Gross premium volume | $ 5,506,960 | $ 4,796,645 | $ 4,632,912 | |
Net written premiums | 4,417,787 | 4,001,020 | 3,819,293 | |
Earned premiums | 4,247,978 | 3,865,870 | 3,823,532 | |
Losses and loss adjustment expenses, current accident year | (3,367,223) | (2,555,902) | (2,566,545) | |
Losses and loss adjustment expenses, prior accident years | 501,462 | 505,158 | 627,800 | |
Amortization of policy acquisition costs | (894,353) | (782,221) | (744,964) | |
Other operating expenses | (693,061) | (716,369) | (710,116) | |
Underwriting profit (loss) | (205,197) | 316,536 | 429,707 | |
Net investment income | 405,709 | 373,230 | 353,213 | |
Net realized investment gains (losses) | (5,303) | 65,147 | 106,480 | |
Other revenues | 1,413,275 | 1,307,779 | 1,086,758 | |
Other expenses | (1,307,980) | (1,190,243) | (1,046,805) | |
Total profit (loss) | 300,504 | 872,449 | 929,353 | |
Amortization of intangible assets | (80,758) | (68,533) | (68,947) | |
Interest expense | (132,451) | (129,896) | (118,301) | |
Loss on early extinguishment of debt | 0 | (44,100) | 0 | |
Income Before Income Taxes | $ 87,295 | $ 629,920 | $ 742,105 | |
U.S. GAAP combined ratio | [1] | 105.00% | 92.00% | 89.00% |
U.S. Insurance [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gross premium volume | $ 2,885,279 | $ 2,635,266 | $ 2,504,096 | |
Net written premiums | 2,432,477 | 2,237,163 | 2,106,490 | |
Earned premiums | 2,364,121 | 2,175,332 | 2,105,212 | |
Losses and loss adjustment expenses, current accident year | (1,648,427) | (1,403,589) | (1,367,159) | |
Losses and loss adjustment expenses, prior accident years | 301,939 | 204,881 | 298,967 | |
Amortization of policy acquisition costs | (502,217) | (446,649) | (420,289) | |
Other operating expenses | (395,472) | (377,230) | (378,563) | |
Underwriting profit (loss) | 119,944 | 152,745 | 238,168 | |
Net investment income | 0 | 0 | 0 | |
Net realized investment gains (losses) | 0 | 0 | 0 | |
Other revenues | 3,419 | 7,143 | 3,331 | |
Other expenses | (1,093) | (15,407) | (3,902) | |
Total profit (loss) | $ 122,270 | $ 144,481 | $ 237,597 | |
U.S. GAAP combined ratio | [1] | 95.00% | 93.00% | 89.00% |
International Insurance [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gross premium volume | $ 1,255,922 | $ 1,119,815 | $ 1,164,866 | |
Net written premiums | 1,007,319 | 864,494 | 888,214 | |
Earned premiums | 949,912 | 853,512 | 879,426 | |
Losses and loss adjustment expenses, current accident year | (793,917) | (605,837) | (638,144) | |
Losses and loss adjustment expenses, prior accident years | 198,688 | 164,713 | 248,834 | |
Amortization of policy acquisition costs | (173,253) | (146,117) | (142,657) | |
Other operating expenses | (215,028) | (219,066) | (221,758) | |
Underwriting profit (loss) | (33,598) | 47,205 | 125,701 | |
Net investment income | 0 | 0 | 0 | |
Net realized investment gains (losses) | 0 | 0 | 0 | |
Other revenues | 5,886 | 5,560 | 7,790 | |
Other expenses | (7,388) | (5,712) | (5,717) | |
Total profit (loss) | $ (35,100) | $ 47,053 | $ 127,774 | |
U.S. GAAP combined ratio | [1] | 104.00% | 94.00% | 86.00% |
Reinsurance [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gross premium volume | $ 1,112,101 | $ 1,041,055 | $ 965,374 | |
Net written premiums | 978,160 | 898,728 | 824,324 | |
Earned premiums | 934,114 | 836,264 | 838,543 | |
Losses and loss adjustment expenses, current accident year | (924,879) | (546,476) | (561,242) | |
Losses and loss adjustment expenses, prior accident years | (7,803) | 125,514 | 97,860 | |
Amortization of policy acquisition costs | (218,883) | (189,455) | (182,018) | |
Other operating expenses | (81,766) | (119,012) | (106,863) | |
Underwriting profit (loss) | (299,217) | 106,835 | 86,280 | |
Net investment income | 0 | 0 | 0 | |
Net realized investment gains (losses) | 0 | 0 | 0 | |
Other revenues | 417 | 0 | 593 | |
Other expenses | 0 | 0 | (1,419) | |
Total profit (loss) | $ (298,800) | $ 106,835 | $ 85,454 | |
U.S. GAAP combined ratio | [1] | 132.00% | 87.00% | 90.00% |
Other Insurance (Discontinued Lines) [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gross premium volume | $ (195) | $ 509 | $ (1,424) | |
Net written premiums | (169) | 635 | 265 | |
Earned premiums | (169) | 762 | 351 | |
Losses and loss adjustment expenses, current accident year | 0 | 0 | 0 | |
Losses and loss adjustment expenses, prior accident years | 8,459 | 10,050 | (17,861) | |
Amortization of policy acquisition costs | 0 | 0 | 0 | |
Other operating expenses | (795) | (1,061) | (2,932) | |
Underwriting profit (loss) | 7,495 | 9,751 | (20,442) | |
Net investment income | 0 | 0 | 0 | |
Net realized investment gains (losses) | 0 | 0 | 0 | |
Other revenues | 2,022 | 1,891 | 617 | |
Other expenses | (28,218) | (26,504) | (29,057) | |
Total profit (loss) | $ (18,701) | $ (14,862) | $ (48,882) | |
U.S. GAAP combined ratio - not meaniningful | [1],[2] | NM | NM | NM |
Investing [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gross premium volume | $ 0 | $ 0 | $ 0 | |
Net written premiums | 0 | 0 | 0 | |
Earned premiums | 0 | 0 | 0 | |
Losses and loss adjustment expenses, current accident year | 0 | 0 | 0 | |
Losses and loss adjustment expenses, prior accident years | 0 | 0 | 0 | |
Amortization of policy acquisition costs | 0 | 0 | 0 | |
Other operating expenses | 0 | 0 | 0 | |
Underwriting profit (loss) | 0 | 0 | 0 | |
Net investment income | 405,709 | 373,230 | 353,213 | |
Net realized investment gains (losses) | (5,303) | 65,147 | 106,480 | |
Other revenues | 0 | 0 | 0 | |
Other expenses | 0 | 0 | 0 | |
Total profit (loss) | 400,406 | 438,377 | 459,693 | |
Other Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Gross premium volume | 253,853 | 0 | 0 | |
Net written premiums | 0 | 0 | 0 | |
Earned premiums | 0 | 0 | 0 | |
Losses and loss adjustment expenses, current accident year | 0 | 0 | 0 | |
Losses and loss adjustment expenses, prior accident years | 179 | 0 | 0 | |
Amortization of policy acquisition costs | 0 | 0 | 0 | |
Other operating expenses | 0 | 0 | 0 | |
Underwriting profit (loss) | 179 | 0 | 0 | |
Net investment income | 0 | 0 | 0 | |
Net realized investment gains (losses) | 0 | 0 | 0 | |
Other revenues | 1,401,531 | 1,293,185 | 1,074,427 | |
Other expenses | (1,271,281) | (1,142,620) | (1,006,710) | |
Total profit (loss) | $ 130,429 | $ 150,565 | $ 67,717 | |
U.S. GAAP combined ratio - not meaniningful | [1],[2] | NM | ||
[1] | The U.S. GAAP combined ratio is a measure of underwriting performance and represents the relationship of incurred losses, loss adjustment expenses and underwriting, acquisition and insurance expenses to earned premiums. | |||
[2] | NM — Ratio is not meaningful |
Segment Reporting Disclosure115
Segment Reporting Disclosures (Summary Of Deferred Policy Acquisition Costs, Unearned Premiums And Unpaid Losses And Loss Adjustment Expenses) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Segment Reporting Information [Line Items] | ||||
Deferred policy acquisition costs | $ 465,569 | $ 392,410 | $ 352,756 | $ 353,410 |
Unearned premiums | 3,308,779 | 2,263,838 | ||
Unpaid losses and loss adjustment expenses | 13,584,281 | 10,115,662 | $ 10,251,953 | |
U.S. Insurance [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Deferred policy acquisition costs | 212,102 | 176,348 | ||
Unearned premiums | 1,324,591 | 1,166,914 | ||
Unpaid losses and loss adjustment expenses | 4,331,541 | 3,849,541 | ||
International Insurance [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Deferred policy acquisition costs | 74,678 | 51,948 | ||
Unearned premiums | 530,740 | 445,183 | ||
Unpaid losses and loss adjustment expenses | 3,379,969 | 3,062,725 | ||
Reinsurance [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Deferred policy acquisition costs | 178,789 | 164,114 | ||
Unearned premiums | 690,565 | 651,741 | ||
Unpaid losses and loss adjustment expenses | 3,248,070 | 2,661,209 | ||
Other Insurance (Discontinued Lines) [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Deferred policy acquisition costs | 0 | 0 | ||
Unearned premiums | 0 | 0 | ||
Unpaid losses and loss adjustment expenses | 429,270 | $ 542,187 | ||
Underwriting Operations [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Deferred policy acquisition costs | 465,569 | |||
Unearned premiums | 2,545,896 | |||
Unpaid losses and loss adjustment expenses | 11,388,850 | |||
Program Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Deferred policy acquisition costs | 0 | |||
Unearned premiums | 762,883 | |||
Unpaid losses and loss adjustment expenses | $ 2,195,431 |
Segment Reporting Disclosure116
Segment Reporting Disclosures (Summary Of Segment Earned Premiums By Product) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||
Earned premiums | $ 4,247,978 | $ 3,865,870 | $ 3,823,532 |
U.S. Insurance [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 2,364,121 | 2,175,332 | 2,105,212 |
U.S. Insurance [Member] | General Liability [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 642,283 | 563,908 | 522,358 |
U.S. Insurance [Member] | Professional Liability [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 333,758 | 328,597 | 324,230 |
U.S. Insurance [Member] | Property [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 273,735 | 270,026 | 264,232 |
U.S. Insurance [Member] | Personal Lines [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 367,073 | 364,843 | 325,811 |
U.S. Insurance [Member] | Programs [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 273,954 | 263,783 | 277,829 |
U.S. Insurance [Member] | Workers' Compensation [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 319,679 | 301,126 | 281,954 |
U.S. Insurance [Member] | Other Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 153,639 | 83,049 | 108,798 |
International Insurance [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 949,912 | 853,512 | 879,426 |
International Insurance [Member] | General Liability [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 122,673 | 111,291 | 124,198 |
International Insurance [Member] | Professional Liability [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 295,120 | 272,010 | 268,637 |
International Insurance [Member] | Property [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 91,778 | 87,294 | 85,152 |
International Insurance [Member] | Other Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 164,207 | 140,847 | 139,132 |
International Insurance [Member] | Marine And Energy [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 276,134 | 242,070 | 262,307 |
Reinsurance [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 934,114 | 836,264 | 838,543 |
Reinsurance [Member] | Property [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 321,178 | 288,771 | 265,373 |
Reinsurance [Member] | Other Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 232,779 | 154,747 | 155,916 |
Reinsurance [Member] | Casualty [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 351,457 | 327,383 | 315,027 |
Reinsurance [Member] | Auto [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | 28,700 | 65,363 | 102,227 |
Other Insurance (Discontinued Lines) [Member] | |||
Segment Reporting Information [Line Items] | |||
Earned premiums | $ (169) | $ 762 | $ 351 |
Segment Reporting Disclosure117
Segment Reporting Disclosures (Reconciliation Of Segment Assets To The Company's Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Segment Reporting Information [Line Items] | |||
Assets | $ 32,805,016 | $ 25,875,299 | $ 24,939,115 |
Non-Insurance Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Assets | 5,659,808 | 1,448,019 | 1,497,042 |
Segment Assets [Member] | |||
Segment Reporting Information [Line Items] | |||
Assets | 27,145,208 | 24,427,280 | 23,442,073 |
Segment Assets [Member] | Investing [Member] | |||
Segment Reporting Information [Line Items] | |||
Assets | 20,317,160 | 19,029,584 | 18,056,947 |
Segment Assets [Member] | Underwriting Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Assets | $ 6,828,048 | $ 5,397,696 | $ 5,385,126 |
Other Revenues And Other Exp118
Other Revenues And Other Expenses (Summary Of Other Revenues And Other Expenses By Component) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Revenues and Other Expenses [Line Items] | |||
Other revenues | $ 1,413,275 | $ 1,307,779 | $ 1,086,758 |
Other expenses | 1,307,980 | 1,190,243 | 1,046,805 |
Manufacturing [Member] | Markel Ventures Operations [Member] | |||
Other Revenues and Other Expenses [Line Items] | |||
Other revenues | 742,591 | 784,745 | 755,802 |
Other expenses | 650,491 | 675,620 | 677,054 |
Non-Manufacturing [Member] | Markel Ventures Operations [Member] | |||
Other Revenues and Other Expenses [Line Items] | |||
Other revenues | 590,689 | 429,704 | 291,714 |
Other expenses | 535,352 | 396,323 | 301,004 |
Investment Management [Member] | |||
Other Revenues and Other Expenses [Line Items] | |||
Other revenues | 28,740 | 56,455 | 0 |
Other expenses | 52,636 | 46,190 | 0 |
Managing General Agent Operations [Member] | |||
Other Revenues and Other Expenses [Line Items] | |||
Other revenues | 8,821 | 12,703 | 10,202 |
Other expenses | 5,803 | 21,119 | 9,619 |
Life And Annuity [Member] | |||
Other Revenues and Other Expenses [Line Items] | |||
Other revenues | 2,022 | 1,891 | 617 |
Other expenses | 28,218 | 26,504 | 29,057 |
Other Insurance [Member] | |||
Other Revenues and Other Expenses [Line Items] | |||
Other revenues | 25,084 | 22,281 | 28,423 |
Other expenses | 28,972 | 24,487 | 30,071 |
Program Services [Member] | |||
Other Revenues and Other Expenses [Line Items] | |||
Other revenues | 15,328 | 0 | 0 |
Other expenses | $ 6,508 | $ 0 | $ 0 |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017USD ($)fundfunds | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||
Expenses relating to defined contribution plans | $ 36.7 | $ 30.1 | $ 27.7 |
Consecutive number of years | 3 years | ||
Number of years preceding retirement | 10 years | ||
Amortization of the net actuarial pension loss included as a component of accumulated other comprehensive income | $ 3.1 | ||
Percentage of equity securities invested in UK companies | 30.00% | ||
Percentage of equity securities invested in other markets | 70.00% | ||
Number of fixed maturity mutual funds | funds | 5 | ||
Accumulated benefit obligation | $ 195.1 | $ 175.1 | |
Expected plan contributions in 2018 | 3.5 | ||
Expected benefits to be paid in 2018 | 3 | ||
Expected benefits to be paid in 2019 | 3.1 | ||
Expected benefits to be paid in 2020 | 3.1 | ||
Expected benefits to be paid in 2021 | 3.2 | ||
Expected benefits to be paid in 2022 | 3.3 | ||
Aggregate benefits expected to be paid from 2023 to 2027 | $ 17.6 | ||
United Kingdom [Member] | Foreign Governments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of fixed maturity mutual funds | funds | 2 | ||
United Kingdom [Member] | Corporate Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of fixed maturity mutual funds | funds | 1 | ||
Other Foreign Governments [Member] | Foreign Governments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of fixed maturity mutual funds | funds | 1 | ||
United Kingdom And Other Foreign Governments [Member] | Corporate Bond Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Number of fixed maturity mutual funds | fund | 1 | ||
Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target asset allocation, percent | 47.00% | ||
Actual asset allocation, percent | 46.00% | 41.00% | |
Fixed Maturities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target asset allocation, percent | 53.00% | ||
Actual asset allocation, percent | 54.00% | 59.00% |
Employee Benefit Plans (Schedul
Employee Benefit Plans (Schedule Of Amounts Recognized On The Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Projected benefit obligation at beginning of period | $ 178,618 | $ 170,005 | |
Interest cost | 5,016 | 6,113 | $ 6,645 |
Benefits paid | (5,644) | (3,322) | |
Actuarial loss | 4,985 | 38,485 | |
Effect of foreign currency rate changes | 16,142 | (32,663) | |
Projected benefit obligation at end of year | 199,117 | 178,618 | 170,005 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Fair value of plan assets at beginning of period | 175,644 | 186,727 | |
Actual gain on plan assets | 16,902 | 22,367 | |
Employer contributions | 3,393 | 3,577 | |
Benefits paid | (5,644) | (3,322) | |
Effect of foreign currency rate changes | 16,275 | (33,705) | |
Fair value of plan assets at end of year | 206,570 | 175,644 | $ 186,727 |
Funded status of the plan | 7,453 | (2,974) | |
Net actuarial pension loss | 77,567 | 85,110 | |
Total | $ 85,020 | $ 82,136 |
Employee Benefit Plans (Sche121
Employee Benefit Plans (Schedule of Defined Benefit Plan Amounts Recognized in Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Tax benefit (expense) | $ (1,284) | $ 4,192 | $ 88 |
Total other comprehensive income (loss) | 779,705 | 211,358 | (350,049) |
Net Actuarial Pension Loss [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net actuarial gain (loss) | 3,728 | (25,243) | (3,102) |
Settlement loss recognized | 0 | 0 | 343 |
Amortization of net actuarial loss | 3,815 | 1,951 | 2,319 |
Tax benefit (expense) | (1,284) | 4,192 | 88 |
Total other comprehensive income (loss) | $ 6,259 | $ (19,100) | $ (352) |
Employee Benefit Plans (Sche122
Employee Benefit Plans (Schedule Of Net Periodic Benefit Income And Weighted Average Assumptions) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan [Abstract] | |||
Interest cost | $ 5,016 | $ 6,113 | $ 6,645 |
Expected return on plan assets | (8,189) | (9,124) | (11,496) |
Amortization of net actuarial pension loss | 3,815 | 1,951 | 2,319 |
Settlement loss recognized | 0 | 0 | 343 |
Net periodic benefit income (loss) | $ 642 | $ (1,060) | $ (2,189) |
Discount rate | 2.60% | 2.70% | 4.00% |
Expected return on plan assets, percent | 4.50% | 4.50% | 5.40% |
Rate of compensation increase | 3.00% | 3.00% | 2.90% |
Employee Benefit Plans (Summary
Employee Benefit Plans (Summary Of Fair Value Of Plan Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | $ 206,570 | $ 175,644 | $ 186,727 |
Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 206,570 | 175,644 | |
Level 1 [Member] | Fixed Maturities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 110,936 | 103,218 | |
Level 1 [Member] | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | 95,452 | 72,419 | |
Level 1 [Member] | Cash And Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan assets | $ 182 | $ 7 |
Markel Corporation (Parent C124
Markel Corporation (Parent Company Only) Financial Information (Schedule Of Condensed Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Condensed Financial Statements, Captions [Line Items] | |||
Fixed maturities | $ 9,940,670 | $ 9,891,510 | |
Equity securities | 5,967,847 | 4,745,841 | |
Short-term investments (estimated fair value approximates cost) | 2,160,974 | 2,336,151 | |
Total Investments | 18,069,491 | 16,973,502 | |
Cash and cash equivalents | 2,198,459 | 1,738,747 | |
Restricted cash and cash equivalents | 302,387 | 346,417 | |
Income taxes receivable | 64,300 | 5,400 | |
Other assets | 1,223,365 | 904,676 | |
Total Assets | 32,805,016 | 25,875,299 | $ 24,939,115 |
Net deferred tax liability | 505,579 | 330,485 | |
Other liabilities | 1,748,460 | 1,099,200 | |
Total Liabilities | 23,137,166 | 17,334,210 | |
Total Shareholders' Equity | 9,504,148 | 8,460,927 | |
Total liabilities and equity | 32,805,016 | 25,875,299 | |
Parent Company [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Fixed maturities | 532,438 | 52,234 | |
Equity securities | 646,060 | 367,156 | |
Short-term investments (estimated fair value approximates cost) | 1,159,323 | 1,729,400 | |
Total Investments | 2,337,821 | 2,148,790 | |
Cash and cash equivalents | 349,347 | 369,641 | |
Restricted cash and cash equivalents | 1,419 | 1,013 | |
Receivables | 18,684 | 20,477 | |
Investments in consolidated subsidiaries | 9,510,215 | 8,107,450 | |
Notes receivable from subsidiaries | 140,110 | 60,110 | |
Income taxes receivable | 5,704 | 0 | |
Other assets | 121,233 | 97,364 | |
Total Assets | 12,484,533 | 10,804,845 | |
Senior long-term debt | 2,537,331 | 1,944,171 | |
Notes payable to subsidiaries | 285,000 | 285,000 | |
Income taxes payable | 0 | 25,240 | |
Net deferred tax liability | 84,507 | 25,902 | |
Other liabilities | 73,547 | 63,605 | |
Total Liabilities | 2,980,385 | 2,343,918 | |
Total Shareholders' Equity | 9,504,148 | 8,460,927 | |
Total liabilities and equity | $ 12,484,533 | $ 10,804,845 |
Markel Corporation (Parent C125
Markel Corporation (Parent Company Only) Financial Information (Schedule of Condensed Balance Sheets - Parenthetical) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Condensed Financial Statements, Captions [Line Items] | ||
Fixed maturities, amortized cost | $ 9,551,153 | $ 9,591,734 |
Equity securities, cost | 2,667,661 | 2,481,448 |
Parent Company [Member] | ||
Condensed Financial Statements, Captions [Line Items] | ||
Fixed maturities, amortized cost | 533,183 | 51,181 |
Equity securities, cost | $ 402,694 | $ 203,708 |
Markel Corporation (Parent C126
Markel Corporation (Parent Company Only) Financial Information (Schedule Of Condensed Statements Of Income And Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Financial Statements, Captions [Line Items] | |||||||||||||||
Net investment income | $ 405,709 | $ 373,230 | $ 353,213 | ||||||||||||
Other-than-temporary impairment losses | (7,589) | (18,355) | (44,481) | ||||||||||||
Net realized investment gains, excluding other-than-temporary impairment losses | 2,286 | 83,502 | 150,961 | ||||||||||||
Net realized investment gains (losses) | (5,303) | 65,147 | 106,480 | ||||||||||||
Total Operating Revenues | $ 1,662,267 | $ 1,506,148 | $ 1,481,493 | $ 1,411,751 | $ 1,428,625 | $ 1,431,282 | $ 1,375,937 | $ 1,376,182 | $ 1,420,460 | $ 1,342,764 | $ 1,304,605 | $ 1,302,154 | 6,061,659 | 5,612,026 | 5,369,983 |
Interest expense | 132,451 | 129,896 | 118,301 | ||||||||||||
Loss on early extinguishment of debt | 0 | 44,100 | 0 | ||||||||||||
Other expenses | 1,307,980 | 1,190,243 | 1,046,805 | ||||||||||||
Total operating expenses | 5,841,913 | 4,808,110 | 4,509,577 | ||||||||||||
Income tax benefit | (313,463) | 169,477 | 152,963 | ||||||||||||
Net Income to Shareholders | 434,881 | (259,141) | 149,660 | 69,869 | 132,726 | 83,796 | 78,797 | 160,370 | 197,892 | 102,519 | 91,369 | 190,992 | 395,269 | 455,689 | 582,772 |
Net holding gains (losses) arising during the period | 787,339 | 275,661 | (240,170) | ||||||||||||
Reclassification adjustments for net gains included in net income to shareholders | (24,296) | (33,528) | (80,482) | ||||||||||||
Change in net unrealized gains on investments, net of taxes | 763,043 | 242,168 | (320,492) | ||||||||||||
Change in foreign currency translation adjustments, net of taxes | 10,449 | (11,704) | (29,278) | ||||||||||||
Total Other Comprehensive Income (Loss) | 779,751 | 211,364 | (350,122) | ||||||||||||
Comprehensive income to shareholders | $ 629,247 | $ (19,869) | $ 342,357 | $ 223,239 | $ (29,050) | $ 89,161 | $ 209,942 | $ 396,994 | $ 134,984 | $ (51,143) | $ (132,925) | $ 281,807 | 1,174,974 | 667,047 | 232,723 |
Parent Company [Member] | |||||||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||||||
Net investment income | 21,076 | 9,561 | 2,565 | ||||||||||||
Dividends on common stock of consolidated subsidiaries | 895,920 | 349,622 | 187,496 | ||||||||||||
Other-than-temporary impairment losses | 0 | (98) | (3,455) | ||||||||||||
Net realized investment gains, excluding other-than-temporary impairment losses | 3,383 | 1,166 | 75,000 | ||||||||||||
Net realized investment gains (losses) | 3,383 | 1,068 | 71,545 | ||||||||||||
Total Operating Revenues | 920,379 | 360,251 | 261,606 | ||||||||||||
Interest expense | 122,151 | 116,013 | 95,620 | ||||||||||||
Loss on early extinguishment of debt | 0 | 44,100 | 0 | ||||||||||||
Other expenses | 11,708 | 13,076 | 11,287 | ||||||||||||
Total operating expenses | 133,859 | 173,189 | 106,907 | ||||||||||||
Income before equity in undistributed earnings of consolidated subsidiaries and income taxes | 786,520 | 187,062 | 154,699 | ||||||||||||
Equity in undistributed earnings of consolidated subsidiaries | (469,365) | 196,615 | 407,489 | ||||||||||||
Income tax benefit | (78,114) | (72,012) | (20,584) | ||||||||||||
Net Income to Shareholders | 395,269 | 455,689 | 582,772 | ||||||||||||
Net holding gains (losses) arising during the period | 52,277 | 37,045 | (41,861) | ||||||||||||
Consolidated subsidiaries' net holding gains (losses) arising during the period | 735,062 | 238,616 | (198,309) | ||||||||||||
Consolidated subsidiaries' change in unrealized other-than-temporary impairment losses on fixed maturities arising during the period | 0 | 35 | 160 | ||||||||||||
Reclassification adjustments for net gains included in net income to shareholders | (1,513) | (558) | (45,273) | ||||||||||||
Consolidated subsidiaries' reclassification adjustments for net gains included in net income to shareholders | (22,783) | (32,970) | (35,209) | ||||||||||||
Change in net unrealized gains on investments, net of taxes | 763,043 | 242,168 | (320,492) | ||||||||||||
Change in foreign currency translation adjustments, net of taxes | (2,260) | (1,326) | 2,970 | ||||||||||||
Consolidated subsidiaries' change in foreign currency translation adjustments, net of taxes | 12,663 | (10,384) | (32,175) | ||||||||||||
Consolidated subsidiaries' change in net actuarial pension loss, net of taxes | 6,259 | (19,100) | (352) | ||||||||||||
Total Other Comprehensive Income (Loss) | 779,705 | 211,358 | (350,049) | ||||||||||||
Comprehensive income to shareholders | $ 1,174,974 | $ 667,047 | $ 232,723 |
Markel Corporation (Parent C127
Markel Corporation (Parent Company Only) Financial Information (Schedule Of Condensed Statements Of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Financial Statements, Captions [Line Items] | |||||||||||||||
Net income to shareholders | $ 434,881 | $ (259,141) | $ 149,660 | $ 69,869 | $ 132,726 | $ 83,796 | $ 78,797 | $ 160,370 | $ 197,892 | $ 102,519 | $ 91,369 | $ 190,992 | $ 395,269 | $ 455,689 | $ 582,772 |
Net Cash Provided By Operating Activities | 858,529 | 534,623 | 651,151 | ||||||||||||
Proceeds from sales of fixed maturities and equity securities | 577,650 | 365,822 | 538,978 | ||||||||||||
Proceeds from maturities, calls and prepayments of fixed maturities | 1,129,895 | 963,165 | 1,503,616 | ||||||||||||
Cost of fixed maturities and equity securities purchased | (1,176,281) | (2,205,939) | (1,576,254) | ||||||||||||
Net change in short-term investments | 234,743 | (689,194) | (62,124) | ||||||||||||
Acquisitions, net of cash acquired | (1,431,712) | (7,527) | (261,521) | ||||||||||||
Cost of equity method investments | (13,023) | (8,576) | (21,849) | ||||||||||||
Additions to property and equipment | (74,652) | (63,674) | (79,755) | ||||||||||||
Other | 5,570 | (1,348) | (797) | ||||||||||||
Net Cash Provided (Used) By Investing Activities | (744,457) | (1,638,481) | 63,449 | ||||||||||||
Additions to senior long-term debt | 664,657 | 559,300 | 69,797 | ||||||||||||
Premiums and fees related to early extinguishment of debt | 0 | (43,691) | 0 | ||||||||||||
Repurchases of common stock | (110,838) | (51,142) | (31,491) | ||||||||||||
Issuance of common stock | 552 | 4,623 | 4,752 | ||||||||||||
Purchase of noncontrolling interests | (18,334) | (3,167) | (12,474) | ||||||||||||
Other | (6,833) | (15,373) | (1,225) | ||||||||||||
Net Cash Provided (Used) By Financing Activities | 256,315 | 152,019 | (74,211) | ||||||||||||
Increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | 415,682 | (984,977) | 587,747 | ||||||||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year | 2,085,164 | 3,070,141 | 2,482,394 | 2,085,164 | 3,070,141 | 2,482,394 | |||||||||
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS AT END OF YEAR | 2,500,846 | 2,085,164 | 3,070,141 | 2,500,846 | 2,085,164 | 3,070,141 | |||||||||
Parent Company [Member] | |||||||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||||||
Net income to shareholders | 395,269 | 455,689 | 582,772 | ||||||||||||
Adjustments to reconcile net income to shareholders to net cash provided by operating activities | (166,132) | (120,564) | (464,193) | ||||||||||||
Net Cash Provided By Operating Activities | 229,137 | 335,125 | 118,579 | ||||||||||||
Proceeds from sales of fixed maturities and equity securities | 20,562 | 1,831 | 100,633 | ||||||||||||
Proceeds from maturities, calls and prepayments of fixed maturities | 64,705 | 11,960 | 24,945 | ||||||||||||
Cost of fixed maturities and equity securities purchased | (765,602) | (29,110) | (55,656) | ||||||||||||
Net change in short-term investments | 579,261 | (970,364) | 9,956 | ||||||||||||
Securities received from subsidiaries as dividends, repayment of notes receivable and return of capital | 862,554 | 238,975 | 0 | ||||||||||||
Securities provided to subsidiaries for issuance of notes receivable and capital contributions | (99,942) | 0 | 0 | ||||||||||||
Return of capital from subsidiaries | 45,225 | 21,021 | 0 | ||||||||||||
Decrease (increase) in notes receivable due from subsidiaries | (58) | 92,530 | 0 | ||||||||||||
Capital contributions to subsidiaries | (270,623) | 0 | (228,578) | ||||||||||||
Acquisitions, net of cash acquired | (1,153,683) | 0 | 0 | ||||||||||||
Cost of equity method investments | (10,633) | (3,100) | (13,164) | ||||||||||||
Additions to property and equipment | 0 | (584) | (305) | ||||||||||||
Other | 6,972 | (3,207) | (376) | ||||||||||||
Net Cash Provided (Used) By Investing Activities | (721,262) | (640,048) | (162,545) | ||||||||||||
Additions to senior long-term debt | 592,923 | 493,149 | 0 | ||||||||||||
Increase in notes payable to subsidiaries | 0 | 0 | 285,000 | ||||||||||||
Repayment and retirement of senior long-term debt | 0 | (183,343) | (2,000) | ||||||||||||
Premiums and fees related to early extinguishment of debt | 0 | (43,691) | 0 | ||||||||||||
Repurchases of common stock | (110,838) | (51,142) | (31,491) | ||||||||||||
Issuance of common stock | 552 | 4,623 | 4,752 | ||||||||||||
Purchase of noncontrolling interests | (8,970) | 0 | 0 | ||||||||||||
Other | (1,430) | (4,960) | 3,985 | ||||||||||||
Net Cash Provided (Used) By Financing Activities | 472,237 | 214,636 | 260,246 | ||||||||||||
Increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | (19,888) | (90,287) | 216,280 | ||||||||||||
Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year | $ 370,654 | $ 460,941 | $ 244,661 | 370,654 | 460,941 | 244,661 | |||||||||
CASH, CASH EQUIVALENTS, RESTRICTED CASH AND RESTRICTED CASH EQUIVALENTS AT END OF YEAR | $ 350,766 | $ 370,654 | $ 460,941 | $ 350,766 | $ 370,654 | $ 460,941 |
Quarterly Financial Informat128
Quarterly Financial Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||
Operating revenues | $ 1,662,267 | $ 1,506,148 | $ 1,481,493 | $ 1,411,751 | $ 1,428,625 | $ 1,431,282 | $ 1,375,937 | $ 1,376,182 | $ 1,420,460 | $ 1,342,764 | $ 1,304,605 | $ 1,302,154 | $ 6,061,659 | $ 5,612,026 | $ 5,369,983 |
Net income (loss) | 439,326 | (261,035) | 151,427 | 71,040 | 132,703 | 83,421 | 80,673 | 163,646 | 198,273 | 104,410 | 92,453 | 194,006 | 400,758 | 460,443 | 589,142 |
Net income (loss) to shareholders | 434,881 | (259,141) | 149,660 | 69,869 | 132,726 | 83,796 | 78,797 | 160,370 | 197,892 | 102,519 | 91,369 | 190,992 | 395,269 | 455,689 | 582,772 |
Comprehensive income (loss) to shareholders | $ 629,247 | $ (19,869) | $ 342,357 | $ 223,239 | $ (29,050) | $ 89,161 | $ 209,942 | $ 396,994 | $ 134,984 | $ (51,143) | $ (132,925) | $ 281,807 | $ 1,174,974 | $ 667,047 | $ 232,723 |
Basic net income (loss) per share (dollars per share) | $ 30.48 | $ (18.82) | $ 10.34 | $ 3.91 | $ 9.14 | $ 5.62 | $ 5.44 | $ 11.21 | $ 14.23 | $ 7.43 | $ 6.76 | $ 13.57 | $ 25.89 | $ 31.41 | $ 41.99 |
Diluted net income (loss) per share (dollars per share) | 30.39 | (18.82) | 10.31 | 3.90 | 9.11 | 5.60 | 5.41 | 11.15 | 14.14 | 7.39 | 6.72 | 13.49 | $ 25.81 | $ 31.27 | $ 41.74 |
Common stock price, high (dollars per share) | 1,157.30 | 1,086.68 | 996.38 | 992 | 931.94 | 961.78 | 989.18 | 895.03 | 937.91 | 898.08 | 821 | 783.50 | |||
Common stock price, low (dollars per share) | $ 1,054.20 | $ 963.79 | $ 936.95 | $ 887.40 | $ 811.05 | $ 909.84 | $ 880.01 | $ 805.03 | $ 791.97 | $ 775 | $ 736.96 | $ 660.05 |