(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Title of each class | Trading symbol | Name of each exchange on which registered | ||||||
RENAISSANCERE HOLDINGS LTD. | ||||||||||||||
Date: | By: | /s/ Robert Qutub | ||||||||||||
July 25, 2022 | Robert Qutub | |||||||||||||
Executive Vice President and Chief Financial Officer |
Net Loss Attributable to Common Shareholders per Diluted Common Share: $(7.53) Operating Income Available to Common Shareholders per Diluted Common Share*: $5.51 | ||||||||
Underwriting Income $316.4M | Fee Income $34.3M | Net Investment Income $107.2M | ||||||
Change in Book Value per Common Share: (6.4)% Change in Tangible Book Value per Common Share Plus Change in Accum. Dividends*: (6.4)% |
Kevin J. O’Donnell, President and Chief Executive Officer, said, “We reported a strong quarter, with continuing top line growth and solid operating profitability demonstrating the power of our diversified platform. Our financial results were driven by strong performance across both underwriting segments, a significant increase in net investment income and an expanding Capital Partners business. We are pleased with our 18.4% annualized operating return on average common equity during the quarter, and are confident that our consistent strategy, leadership in a strengthening market and robust capital position will enable us to continue maximizing shareholder value.” |
Consolidated Financial Results |
Consolidated Highlights | ||||||||||||||
Three months ended June 30 | ||||||||||||||
(in thousands, except per share amounts and percentages) | 2022 | 2021 | ||||||||||||
Gross premiums written | $ | 2,464,639 | $ | 2,094,158 | ||||||||||
Net premiums written | 1,863,616 | 1,512,292 | ||||||||||||
Underwriting income (loss) | 316,386 | 328,976 | ||||||||||||
Combined ratio | 78.3 | % | 72.4 | % | ||||||||||
Net Income (Loss) | ||||||||||||||
Available (Attributable) to common shareholders | (324,913) | 456,818 | ||||||||||||
Available (Attributable) to common shareholders per diluted common share | $ | (7.53) | $ | 9.35 | ||||||||||
Operating Income (Loss) (1) | ||||||||||||||
Available (Attributable) to common shareholders | 238,132 | 278,050 | ||||||||||||
Available (Attributable) to common shareholders per diluted common share | $ | 5.51 | $ | 5.64 | ||||||||||
Book value per common share | $ | 113.69 | $ | 139.35 | ||||||||||
Change in book value per share | (6.4) | % | 6.3 | % | ||||||||||
Tangible book value per common share plus accumulated dividends (1) | $ | 132.05 | $ | 156.55 | ||||||||||
Change in tangible book value per common share plus change in accumulated dividends (1) | (6.4)% | 6.7% | ||||||||||||
Return on average common equity - annualized | (25.1)% | 27.6% | ||||||||||||
Operating return on average common equity - annualized (1) | 18.4% | 16.8% |
Three Drivers of Profit: Underwriting, Fee and Investment Income |
Property Segment | ||||||||||||||||||||
Three months ended June 30 | Q/Q Change | |||||||||||||||||||
(in thousands, except percentages) | 2022 | 2021 | ||||||||||||||||||
Gross premiums written | $ | 1,218,321 | $ | 1,183,556 | 2.9% | |||||||||||||||
Net premiums written | 887,975 | 803,335 | 10.5% | |||||||||||||||||
Underwriting income (loss) | 264,463 | 315,122 | ||||||||||||||||||
Underwriting Ratios | ||||||||||||||||||||
Net claims and claim expense ratio - current accident year | 33.2 | % | 26.4 | % | 6.8 | pts | ||||||||||||||
Net claims and claim expense ratio - prior accident years | (5.6) | % | (9.1) | % | 3.5 | pts | ||||||||||||||
Net claims and claim expense ratio - calendar year | 27.6 | % | 17.3 | % | 10.3 | pts | ||||||||||||||
Underwriting expense ratio | 30.0 | % | 26.5 | % | 3.5 | pts | ||||||||||||||
Combined ratio | 57.6 | % | 43.8 | % | 13.8 | pts |
Casualty and Specialty Segment | ||||||||||||||||||||
Three months ended June 30 | Q/Q Change | |||||||||||||||||||
(in thousands, except percentages) | 2022 | 2021 | ||||||||||||||||||
Gross premiums written | $ | 1,246,318 | $ | 910,602 | 36.9% | |||||||||||||||
Net premiums written | 975,641 | 708,957 | 37.6% | |||||||||||||||||
Underwriting income (loss) | 51,923 | 13,854 | ||||||||||||||||||
Underwriting Ratios | ||||||||||||||||||||
Net claims and claim expense ratio - current accident year | 65.1 | % | 67.0 | % | (1.9) | pts | ||||||||||||||
Net claims and claim expense ratio - prior accident years | (0.9) | % | (0.1) | % | (0.8) | pts | ||||||||||||||
Net claims and claim expense ratio - calendar year | 64.2 | % | 66.9 | % | (2.7) | pts | ||||||||||||||
Underwriting expense ratio | 29.6 | % | 30.9 | % | (1.3) | pts | ||||||||||||||
Combined ratio | 93.8 | % | 97.8 | % | (4.0) | pts |
Fee Income | ||||||||||||||||||||
Three months ended June 30 | Q/Q Change | |||||||||||||||||||
(in thousands, except percentages) | 2022 | 2021 | ||||||||||||||||||
Total management fee income | $ | 30,707 | $ | 31,970 | $ | (1,263) | ||||||||||||||
Total performance fee income (loss) (1) | 3,548 | 14,187 | (10,639) | |||||||||||||||||
Total fee income | $ | 34,255 | $ | 46,157 | $ | (11,902) |
Investment Results | ||||||||||||||||||||
Three months ended June 30 | Q/Q Change | |||||||||||||||||||
(in thousands, except percentages) | 2022 | 2021 | ||||||||||||||||||
Net investment income | $ | 107,211 | $ | 80,925 | $ | 26,286 | ||||||||||||||
Net realized and unrealized gains (losses) on investments | (654,107) | 191,018 | (845,125) | |||||||||||||||||
Total investment result | $ | (546,896) | $ | 271,943 | $ | (818,839) | ||||||||||||||
Total investment return - annualized | (10.1) | % | 5.2 | % | (15.3) | pts |
Other Items of Note |
Conference Call Details and Additional Information |
INVESTOR CONTACT: RenaissanceRe Holdings Ltd. Keith McCue Senior Vice President, Finance & Investor Relations (441) 239-4830 | MEDIA CONTACT: RenaissanceRe Holdings Ltd. Hayden Kenny Vice President, Investor Relations & Communications (441) 239-4946 or Kekst CNC Dawn Dover (212) 521-4800 |
RenaissanceRe Holdings Ltd. | |||||||||||||||||||||||
Summary Consolidated Statements of Operations | |||||||||||||||||||||||
(in thousands of United States Dollars, except per share amounts and percentages) | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Revenues | |||||||||||||||||||||||
Gross premiums written | $ | 2,464,639 | $ | 2,094,158 | $ | 5,407,603 | $ | 4,746,600 | |||||||||||||||
Net premiums written | $ | 1,863,616 | $ | 1,512,292 | $ | 4,028,833 | $ | 3,336,375 | |||||||||||||||
Decrease (increase) in unearned premiums | (407,233) | (319,502) | (1,086,025) | (989,749) | |||||||||||||||||||
Net premiums earned | 1,456,383 | 1,192,790 | 2,942,808 | 2,346,626 | |||||||||||||||||||
Net investment income | 107,211 | 80,925 | 190,902 | 160,729 | |||||||||||||||||||
Net foreign exchange gains (losses) | (50,821) | 3,234 | (66,307) | (19,554) | |||||||||||||||||||
Equity in earnings (losses) of other ventures | 7,383 | 8,732 | 993 | 3,174 | |||||||||||||||||||
Other income (loss) | 923 | 586 | 2,116 | 2,757 | |||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (654,107) | 191,018 | (1,327,124) | (154,545) | |||||||||||||||||||
Total revenues | 866,972 | 1,477,285 | 1,743,388 | 2,339,187 | |||||||||||||||||||
Expenses | |||||||||||||||||||||||
Net claims and claim expenses incurred | 706,239 | 520,021 | 1,547,972 | 1,387,072 | |||||||||||||||||||
Acquisition expenses | 361,238 | 285,590 | 737,745 | 552,824 | |||||||||||||||||||
Operational expenses | 72,520 | 58,203 | 140,427 | 113,514 | |||||||||||||||||||
Corporate expenses | 12,352 | 10,125 | 24,854 | 20,530 | |||||||||||||||||||
Interest expense | 11,895 | 11,833 | 23,850 | 23,745 | |||||||||||||||||||
Total expenses | 1,164,244 | 885,772 | 2,474,848 | 2,097,685 | |||||||||||||||||||
Income (loss) before taxes | (297,272) | 591,513 | (731,460) | 241,502 | |||||||||||||||||||
Income tax benefit (expense) | 30,534 | (13,862) | 67,241 | 5,654 | |||||||||||||||||||
Net income (loss) | (266,738) | 577,651 | (664,219) | 247,156 | |||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests | (49,331) | (113,544) | (37,419) | (66,694) | |||||||||||||||||||
Net income (loss) attributable to RenaissanceRe | (316,069) | 464,107 | (701,638) | 180,462 | |||||||||||||||||||
Dividends on preference shares | (8,844) | (7,289) | (17,688) | (14,578) | |||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | (324,913) | $ | 456,818 | $ | (719,326) | $ | 165,884 | |||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share – basic | $ | (7.53) | $ | 9.36 | $ | (16.64) | $ | 3.36 | |||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share – diluted | $ | (7.53) | $ | 9.35 | $ | (16.64) | $ | 3.35 | |||||||||||||||
Operating (loss) income (attributable) available to RenaissanceRe common shareholders per common share - diluted (1) | $ | 5.51 | $ | 5.64 | $ | 8.99 | $ | 5.73 | |||||||||||||||
Average shares outstanding - basic | 43,170 | 48,163 | 43,264 | 48,871 | |||||||||||||||||||
Average shares outstanding - diluted | 43,170 | 48,226 | 43,264 | 48,940 | |||||||||||||||||||
Net claims and claim expense ratio | 48.5 | % | 43.6 | % | 52.6 | % | 59.1 | % | |||||||||||||||
Underwriting expense ratio | 29.8 | % | 28.8 | % | 29.8 | % | 28.4 | % | |||||||||||||||
Combined ratio | 78.3 | % | 72.4 | % | 82.4 | % | 87.5 | % | |||||||||||||||
Return on average common equity - annualized | (25.1) | % | 27.6 | % | (26.6) | % | 4.9 | % | |||||||||||||||
Operating return on average common equity - annualized (1) | 18.4 | % | 16.8 | % | 14.4 | % | 8.4 | % |
RenaissanceRe Holdings Ltd. | |||||||||||
Summary Consolidated Balance Sheets | |||||||||||
(in thousands of United States Dollars, except per share amounts) | |||||||||||
June 30, 2022 | December 31, 2021 | ||||||||||
Assets | (Unaudited) | (Audited) | |||||||||
Fixed maturity investments trading, at fair value | $ | 13,085,367 | $ | 13,507,131 | |||||||
Short term investments, at fair value | 4,429,483 | 5,298,385 | |||||||||
Equity investments trading, at fair value | 692,747 | 546,016 | |||||||||
Other investments, at fair value | 2,314,232 | 1,993,059 | |||||||||
Investments in other ventures, under equity method | 75,979 | 98,068 | |||||||||
Total investments | 20,597,808 | 21,442,659 | |||||||||
Cash and cash equivalents | 1,398,095 | 1,859,019 | |||||||||
Premiums receivable | 5,408,217 | 3,781,542 | |||||||||
Prepaid reinsurance premiums | 1,354,565 | 854,722 | |||||||||
Reinsurance recoverable | 4,206,459 | 4,268,669 | |||||||||
Accrued investment income | 75,302 | 55,740 | |||||||||
Deferred acquisition costs and value of business acquired | 1,089,426 | 849,160 | |||||||||
Receivable for investments sold | 279,442 | 380,442 | |||||||||
Other assets | 384,436 | 224,053 | |||||||||
Goodwill and other intangible assets | 240,647 | 243,496 | |||||||||
Total assets | $ | 35,034,397 | $ | 33,959,502 | |||||||
Liabilities, Noncontrolling Interests and Shareholders’ Equity | |||||||||||
Liabilities | |||||||||||
Reserve for claims and claim expenses | $ | 13,442,806 | $ | 13,294,630 | |||||||
Unearned premiums | 5,117,217 | 3,531,213 | |||||||||
Debt | 1,169,393 | 1,168,353 | |||||||||
Reinsurance balances payable | 4,385,834 | 3,860,963 | |||||||||
Payable for investments purchased | 517,753 | 1,170,568 | |||||||||
Other liabilities | 309,938 | 755,441 | |||||||||
Total liabilities | 24,942,941 | 23,781,168 | |||||||||
Redeemable noncontrolling interests | 4,352,797 | 3,554,053 | |||||||||
Shareholders’ Equity | |||||||||||
Preference shares | 750,000 | 750,000 | |||||||||
Common shares | 43,881 | 44,445 | |||||||||
Additional paid-in capital | 479,085 | 608,121 | |||||||||
Accumulated other comprehensive income (loss) | (15,168) | (10,909) | |||||||||
Retained earnings | 4,480,861 | 5,232,624 | |||||||||
Total shareholders’ equity attributable to RenaissanceRe | 5,738,659 | 6,624,281 | |||||||||
Total liabilities, noncontrolling interests and shareholders’ equity | $ | 35,034,397 | $ | 33,959,502 | |||||||
Book value per common share | $ | 113.69 | $ | 132.17 |
RenaissanceRe Holdings Ltd. | |||||||||||||||||||||||
Supplemental Financial Data - Segment Information | |||||||||||||||||||||||
(in thousands of United States Dollars, except percentages) | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three months ended June 30, 2022 | |||||||||||||||||||||||
Property | Casualty and Specialty | Other | Total | ||||||||||||||||||||
Gross premiums written | $ | 1,218,321 | $ | 1,246,318 | $ | — | $ | 2,464,639 | |||||||||||||||
Net premiums written | $ | 887,975 | $ | 975,641 | $ | — | $ | 1,863,616 | |||||||||||||||
Net premiums earned | $ | 623,581 | $ | 832,802 | $ | — | $ | 1,456,383 | |||||||||||||||
Net claims and claim expenses incurred | 171,924 | 534,315 | — | 706,239 | |||||||||||||||||||
Acquisition expenses | 137,567 | 223,671 | — | 361,238 | |||||||||||||||||||
Operational expenses | 49,627 | 22,893 | — | 72,520 | |||||||||||||||||||
Underwriting income (loss) | $ | 264,463 | $ | 51,923 | $ | — | 316,386 | ||||||||||||||||
Net investment income | 107,211 | 107,211 | |||||||||||||||||||||
Net foreign exchange gains (losses) | (50,821) | (50,821) | |||||||||||||||||||||
Equity in earnings of other ventures | 7,383 | 7,383 | |||||||||||||||||||||
Other income (loss) | 923 | 923 | |||||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (654,107) | (654,107) | |||||||||||||||||||||
Corporate expenses | (12,352) | (12,352) | |||||||||||||||||||||
Interest expense | (11,895) | (11,895) | |||||||||||||||||||||
Income (loss) before taxes and redeemable noncontrolling interests | (297,272) | ||||||||||||||||||||||
Income tax benefit (expense) | 30,534 | 30,534 | |||||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests | (49,331) | (49,331) | |||||||||||||||||||||
Dividends on preference shares | (8,844) | (8,844) | |||||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | (324,913) | |||||||||||||||||||||
Net claims and claim expenses incurred – current accident year | $ | 206,976 | $ | 542,220 | $ | — | $ | 749,196 | |||||||||||||||
Net claims and claim expenses incurred – prior accident years | (35,052) | (7,905) | — | (42,957) | |||||||||||||||||||
Net claims and claim expenses incurred – total | $ | 171,924 | $ | 534,315 | $ | — | $ | 706,239 | |||||||||||||||
Net claims and claim expense ratio – current accident year | 33.2 | % | 65.1 | % | 51.4 | % | |||||||||||||||||
Net claims and claim expense ratio – prior accident years | (5.6) | % | (0.9) | % | (2.9) | % | |||||||||||||||||
Net claims and claim expense ratio – calendar year | 27.6 | % | 64.2 | % | 48.5 | % | |||||||||||||||||
Underwriting expense ratio | 30.0 | % | 29.6 | % | 29.8 | % | |||||||||||||||||
Combined ratio | 57.6 | % | 93.8 | % | 78.3 | % | |||||||||||||||||
Three months ended June 30, 2021 | |||||||||||||||||||||||
Property | Casualty and Specialty | Other | Total | ||||||||||||||||||||
Gross premiums written | $ | 1,183,556 | $ | 910,602 | $ | — | $ | 2,094,158 | |||||||||||||||
Net premiums written | $ | 803,335 | $ | 708,957 | $ | — | $ | 1,512,292 | |||||||||||||||
Net premiums earned | $ | 560,397 | $ | 632,393 | $ | — | $ | 1,192,790 | |||||||||||||||
Net claims and claim expenses incurred | 97,150 | 422,871 | — | 520,021 | |||||||||||||||||||
Acquisition expenses | 109,238 | 176,352 | — | 285,590 | |||||||||||||||||||
Operational expenses | 38,887 | 19,316 | — | 58,203 | |||||||||||||||||||
Underwriting income (loss) | $ | 315,122 | $ | 13,854 | $ | — | 328,976 | ||||||||||||||||
Net investment income | 80,925 | 80,925 | |||||||||||||||||||||
Net foreign exchange gains (losses) | 3,234 | 3,234 | |||||||||||||||||||||
Equity in earnings of other ventures | 8,732 | 8,732 | |||||||||||||||||||||
Other income (loss) | 586 | 586 | |||||||||||||||||||||
Net realized and unrealized gains (losses) on investments | 191,018 | 191,018 | |||||||||||||||||||||
Corporate expenses | (10,125) | (10,125) | |||||||||||||||||||||
Interest expense | (11,833) | (11,833) | |||||||||||||||||||||
Income (loss) before taxes and redeemable noncontrolling interests | 591,513 | ||||||||||||||||||||||
Income tax benefit (expense) | (13,862) | (13,862) | |||||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests | (113,544) | (113,544) | |||||||||||||||||||||
Dividends on preference shares | (7,289) | (7,289) | |||||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | 456,818 | |||||||||||||||||||||
Net claims and claim expenses incurred – current accident year | $ | 148,133 | $ | 423,917 | $ | — | $ | 572,050 | |||||||||||||||
Net claims and claim expenses incurred – prior accident years | (50,983) | (1,046) | — | (52,029) | |||||||||||||||||||
Net claims and claim expenses incurred – total | $ | 97,150 | $ | 422,871 | $ | — | $ | 520,021 | |||||||||||||||
Net claims and claim expense ratio – current accident year | 26.4 | % | 67.0 | % | 48.0 | % | |||||||||||||||||
Net claims and claim expense ratio – prior accident years | (9.1) | % | (0.1) | % | (4.4) | % | |||||||||||||||||
Net claims and claim expense ratio – calendar year | 17.3 | % | 66.9 | % | 43.6 | % | |||||||||||||||||
Underwriting expense ratio | 26.5 | % | 30.9 | % | 28.8 | % | |||||||||||||||||
Combined ratio | 43.8 | % | 97.8 | % | 72.4 | % |
RenaissanceRe Holdings Ltd. | |||||||||||||||||||||||
Supplemental Financial Data - Segment Information | |||||||||||||||||||||||
(in thousands of United States Dollars, except percentages) | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Six months ended June 30, 2022 | |||||||||||||||||||||||
Property | Casualty and Specialty | Other | Total | ||||||||||||||||||||
Gross premiums written | $ | 2,561,829 | $ | 2,845,774 | $ | — | $ | 5,407,603 | |||||||||||||||
Net premiums written | $ | 1,778,141 | $ | 2,250,692 | $ | — | $ | 4,028,833 | |||||||||||||||
Net premiums earned | $ | 1,242,172 | $ | 1,700,636 | $ | — | $ | 2,942,808 | |||||||||||||||
Net claims and claim expenses incurred | 431,685 | 1,116,287 | — | 1,547,972 | |||||||||||||||||||
Acquisition expenses | 264,663 | 473,082 | — | 737,745 | |||||||||||||||||||
Operational expenses | 96,559 | 43,868 | — | 140,427 | |||||||||||||||||||
Underwriting income (loss) | $ | 449,265 | $ | 67,399 | $ | — | 516,664 | ||||||||||||||||
Net investment income | 190,902 | 190,902 | |||||||||||||||||||||
Net foreign exchange gain (loss) | (66,307) | (66,307) | |||||||||||||||||||||
Equity in earnings of other ventures | 993 | 993 | |||||||||||||||||||||
Other income (loss) | 2,116 | 2,116 | |||||||||||||||||||||
Net realized and unrealized gain (loss) on investments | (1,327,124) | (1,327,124) | |||||||||||||||||||||
Corporate expenses | (24,854) | (24,854) | |||||||||||||||||||||
Interest expense | (23,850) | (23,850) | |||||||||||||||||||||
Income (loss) before taxes and redeemable noncontrolling interests | (731,460) | ||||||||||||||||||||||
Income tax benefit (expense) | 67,241 | 67,241 | |||||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests | (37,419) | (37,419) | |||||||||||||||||||||
Dividends on preference shares | (17,688) | (17,688) | |||||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | (719,326) | |||||||||||||||||||||
Net claims and claim expenses incurred – current accident year | $ | 483,495 | $ | 1,125,267 | $ | — | $ | 1,608,762 | |||||||||||||||
Net claims and claim expenses incurred – prior accident years | (51,810) | (8,980) | — | (60,790) | |||||||||||||||||||
Net claims and claim expenses incurred – total | $ | 431,685 | $ | 1,116,287 | $ | — | $ | 1,547,972 | |||||||||||||||
Net claims and claim expense ratio – current accident year | 38.9 | % | 66.2 | % | 54.7 | % | |||||||||||||||||
Net claims and claim expense ratio – prior accident years | (4.1) | % | (0.6) | % | (2.1) | % | |||||||||||||||||
Net claims and claim expense ratio – calendar year | 34.8 | % | 65.6 | % | 52.6 | % | |||||||||||||||||
Underwriting expense ratio | 29.0 | % | 30.4 | % | 29.8 | % | |||||||||||||||||
Combined ratio | 63.8 | % | 96.0 | % | 82.4 | % | |||||||||||||||||
Six months ended June 30, 2021 | |||||||||||||||||||||||
Property | Casualty and Specialty | Other | Total | ||||||||||||||||||||
Gross premiums written | $ | 2,800,375 | $ | 1,946,225 | $ | — | $ | 4,746,600 | |||||||||||||||
Net premiums written | $ | 1,811,795 | $ | 1,524,580 | $ | — | $ | 3,336,375 | |||||||||||||||
Net premiums earned | $ | 1,165,563 | $ | 1,181,063 | $ | — | $ | 2,346,626 | |||||||||||||||
Net claims and claim expenses incurred | 595,982 | 791,090 | — | 1,387,072 | |||||||||||||||||||
Acquisition expenses | 221,992 | 330,832 | — | 552,824 | |||||||||||||||||||
Operational expenses | 74,262 | 39,252 | — | 113,514 | |||||||||||||||||||
Underwriting income (loss) | $ | 273,327 | $ | 19,889 | $ | — | 293,216 | ||||||||||||||||
Net investment income | 160,729 | 160,729 | |||||||||||||||||||||
Net foreign exchange gain (loss) | (19,554) | (19,554) | |||||||||||||||||||||
Equity in earnings of other ventures | 3,174 | 3,174 | |||||||||||||||||||||
Other income (loss) | 2,757 | 2,757 | |||||||||||||||||||||
Net realized and unrealized gain (loss) on investments | (154,545) | (154,545) | |||||||||||||||||||||
Corporate expenses | (20,530) | (20,530) | |||||||||||||||||||||
Interest expense | (23,745) | (23,745) | |||||||||||||||||||||
Income (loss) before taxes and redeemable noncontrolling interests | 241,502 | ||||||||||||||||||||||
Income tax benefit (expense) | 5,654 | 5,654 | |||||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests | (66,694) | (66,694) | |||||||||||||||||||||
Dividends on preference shares | (14,578) | (14,578) | |||||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | 165,884 | |||||||||||||||||||||
Net claims and claim expenses incurred – current accident year | $ | 652,127 | $ | 796,006 | $ | — | $ | 1,448,133 | |||||||||||||||
Net claims and claim expenses incurred – prior accident years | (56,145) | (4,916) | — | (61,061) | |||||||||||||||||||
Net claims and claim expenses incurred – total | $ | 595,982 | $ | 791,090 | $ | — | $ | 1,387,072 | |||||||||||||||
Net claims and claim expense ratio – current accident year | 55.9 | % | 67.4 | % | 61.7 | % | |||||||||||||||||
Net claims and claim expense ratio – prior accident years | (4.8) | % | (0.4) | % | (2.6) | % | |||||||||||||||||
Net claims and claim expense ratio – calendar year | 51.1 | % | 67.0 | % | 59.1 | % | |||||||||||||||||
Underwriting expense ratio | 25.4 | % | 31.3 | % | 28.4 | % | |||||||||||||||||
Combined ratio | 76.5 | % | 98.3 | % | 87.5 | % |
RenaissanceRe Holdings Ltd. | |||||||||||||||||||||||
Supplemental Financial Data - Gross Premiums Written | |||||||||||||||||||||||
(in thousands of United States Dollars) | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Property Segment | |||||||||||||||||||||||
Catastrophe | $ | 803,333 | $ | 761,323 | $ | 1,689,424 | $ | 1,892,448 | |||||||||||||||
Other property | 414,988 | 422,232 | 872,405 | 907,927 | |||||||||||||||||||
Property segment gross premiums written | $ | 1,218,321 | $ | 1,183,555 | $ | 2,561,829 | $ | 2,800,375 | |||||||||||||||
Casualty and Specialty Segment | |||||||||||||||||||||||
General casualty (1) | $ | 322,733 | $ | 286,686 | $ | 802,875 | $ | 629,856 | |||||||||||||||
Professional liability (2) | 448,801 | 306,387 | 998,520 | 620,759 | |||||||||||||||||||
Financial lines (3) | 219,480 | 86,175 | 478,584 | 230,561 | |||||||||||||||||||
Other (4) | 255,304 | 231,354 | 565,795 | 465,049 | |||||||||||||||||||
Casualty and Specialty segment gross premiums written | $ | 1,246,318 | $ | 910,602 | $ | 2,845,774 | $ | 1,946,225 |
(1) | Includes automobile liability, casualty clash, employer’s liability, umbrella or excess casualty, workers’ compensation and general liability. | ||||
(2) | Includes directors and officers, medical malpractice, and professional indemnity. | ||||
(3) | Includes financial guaranty, mortgage guaranty, political risk, surety and trade credit. | ||||
(4) | Includes accident and health, agriculture, aviation, cyber, energy, marine, satellite and terrorism. Lines of business such as regional multi-line and whole account may have characteristics of various other classes of business, and are allocated accordingly. |
RenaissanceRe Holdings Ltd. | |||||||||||||||||||||||
Supplemental Financial Data - Total Investment Result | |||||||||||||||||||||||
(in thousands of United States Dollars, except percentages) | |||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Fixed maturity investments trading | $ | 76,547 | $ | 59,510 | $ | 138,964 | $ | 122,443 | |||||||||||||||
Short term investments | 4,397 | 782 | 5,533 | 1,355 | |||||||||||||||||||
Equity investments trading | 4,516 | 1,626 | 7,270 | 3,117 | |||||||||||||||||||
Other investments | |||||||||||||||||||||||
Catastrophe bonds | 20,235 | 16,681 | 37,595 | 31,149 | |||||||||||||||||||
Other | 6,894 | 9,339 | 12,446 | 13,140 | |||||||||||||||||||
Cash and cash equivalents | (95) | 159 | (136) | 261 | |||||||||||||||||||
112,494 | 88,097 | 201,672 | 171,465 | ||||||||||||||||||||
Investment expenses | (5,283) | (7,172) | (10,770) | (10,736) | |||||||||||||||||||
Net investment income | 107,211 | 80,925 | 190,902 | 160,729 | |||||||||||||||||||
Net investment income return - annualized | 2.1 | % | 1.5 | % | 1.8 | % | 1.5 | % | |||||||||||||||
Net realized and unrealized gains (losses) on: | |||||||||||||||||||||||
Fixed maturity investments trading | (436,974) | 97,176 | (1,022,303) | (179,444) | |||||||||||||||||||
Investments-related derivatives | (66,078) | (9,329) | (106,366) | 5,532 | |||||||||||||||||||
Equity investments trading | (91,512) | 65,566 | (140,201) | (2,356) | |||||||||||||||||||
Other investments | |||||||||||||||||||||||
Catastrophe bonds | (24,660) | 2 | (32,921) | (19,081) | |||||||||||||||||||
Other | (34,883) | 37,603 | (25,333) | 40,804 | |||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (654,107) | 191,018 | (1,327,124) | (154,545) | |||||||||||||||||||
Total investment result | $ | (546,896) | $ | 271,943 | $ | (1,136,222) | $ | 6,184 | |||||||||||||||
Total investment return - annualized | (10.1) | % | 5.2 | % | (10.5) | % | 0.1 | % |
Comments on Regulation G |
Three months ended | Six months ended | ||||||||||||||||||||||
(in thousands of United States Dollars, except per share amounts and percentages) | June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | |||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | (324,913) | $ | 456,818 | $ | (719,326) | $ | 165,884 | |||||||||||||||
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds | 629,447 | (191,016) | 1,294,203 | 135,464 | |||||||||||||||||||
Adjustment for net foreign exchange losses (gains) | 50,821 | (3,234) | 66,307 | 19,554 | |||||||||||||||||||
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK | — | — | — | 135 | |||||||||||||||||||
Adjustment for income tax expense (benefit) (1) | (42,726) | 11,786 | (84,600) | (8,179) | |||||||||||||||||||
Adjustment for net income (loss) attributable to redeemable noncontrolling interests (2) | (74,497) | 3,696 | (166,507) | (30,413) | |||||||||||||||||||
Operating income (loss) available (attributable) to RenaissanceRe common shareholders | $ | 238,132 | $ | 278,050 | $ | 390,077 | $ | 282,445 | |||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted | $ | (7.53) | $ | 9.35 | $ | (16.64) | $ | 3.35 | |||||||||||||||
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds | 14.58 | (3.96) | 29.91 | 2.77 | |||||||||||||||||||
Adjustment for net foreign exchange losses (gains) | 1.18 | (0.07) | 1.53 | 0.40 | |||||||||||||||||||
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK | — | — | — | — | |||||||||||||||||||
Adjustment for income tax expense (benefit) (1) | (0.99) | 0.24 | (1.96) | (0.17) | |||||||||||||||||||
Adjustment for net income (loss) attributable to redeemable noncontrolling interests (2) | (1.73) | 0.08 | (3.85) | (0.62) | |||||||||||||||||||
Operating income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted | $ | 5.51 | $ | 5.64 | $ | 8.99 | $ | 5.73 | |||||||||||||||
Return on average common equity - annualized | (25.1) | % | 27.6 | % | (26.6) | % | 4.9 | % | |||||||||||||||
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds | 48.7 | % | (11.5) | % | 47.8 | % | 4.0 | % | |||||||||||||||
Adjustment for net foreign exchange losses (gains) | 3.9 | % | (0.2) | % | 2.5 | % | 0.6 | % | |||||||||||||||
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK | — | % | — | % | — | % | — | % | |||||||||||||||
Adjustment for income tax expense (benefit) (1) | (3.3) | % | 0.7 | % | (3.1) | % | (0.2) | % | |||||||||||||||
Adjustment for net income (loss) attributable to redeemable noncontrolling interests (2) | (5.8) | % | 0.2 | % | (6.2) | % | (0.9) | % | |||||||||||||||
Operating return on average common equity - annualized | 18.4 | % | 16.8 | % | 14.4 | % | 8.4 | % |
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 | June 30, 2021 | |||||||||||||||||||||||||
Book value per common share | $ | 113.69 | $ | 121.44 | $ | 132.17 | $ | 128.91 | $ | 139.35 | |||||||||||||||||||
Adjustment for goodwill and other intangibles (1) | (5.90) | (5.89) | (5.90) | (5.67) | (5.60) | ||||||||||||||||||||||||
Tangible book value per common share | 107.79 | 115.55 | 126.27 | 123.24 | 133.75 | ||||||||||||||||||||||||
Adjustment for accumulated dividends | 24.26 | 23.89 | 23.52 | 23.16 | 22.80 | ||||||||||||||||||||||||
Tangible book value per common share plus accumulated dividends | $ | 132.05 | $ | 139.44 | $ | 149.79 | $ | 146.40 | $ | 156.55 | |||||||||||||||||||
Quarterly change in book value per common share | (6.4) | % | (8.1) | % | 2.5 | % | (7.5) | % | 6.3 | % | |||||||||||||||||||
Quarterly change in tangible book value per common share plus change in accumulated dividends | (6.4) | % | (8.2) | % | 2.8 | % | (7.6) | % | 6.7 | % | |||||||||||||||||||
Year to date change in book value per common share | (14.0) | % | (8.1) | % | (4.5) | % | (6.9) | % | 0.6 | % | |||||||||||||||||||
Year to date change in tangible book value per common share plus change in accumulated dividends | (14.0) | % | (8.2) | % | (4.0) | % | (6.6) | % | 1.0 | % |
RenaissanceRe Holdings Ltd. | ||
Contents |
Page | |||||||||||
Basis of Presentation | |||||||||||
Financial Highlights | |||||||||||
Summary Consolidated Financial Statements | |||||||||||
a. | Consolidated Statements of Operations | ||||||||||
b. | Consolidated Balance Sheets | ||||||||||
Underwriting and Reserves | |||||||||||
a. | Consolidated Segment Underwriting Results | ||||||||||
b. | Consolidated and Segment Underwriting Results - Five Quarter Trend | ||||||||||
c. | Property Segment - Catastrophe and Other Property Underwriting Results | ||||||||||
d. | Gross Premiums Written | ||||||||||
e. | Net Premiums Written | ||||||||||
f. | Net Premiums Earned | ||||||||||
g. | Reserves for Claims and Claim Expenses | ||||||||||
h. | Paid to Incurred Analysis | ||||||||||
Managed Joint Ventures and Fee Income | |||||||||||
a. | Fee Income | ||||||||||
b. | Fee income - Five Quarter Trend | ||||||||||
c. | Noncontrolling Interests | ||||||||||
d. | DaVinciRe Holdings Ltd. and Subsidiary Consolidated Statements of Operations | ||||||||||
Investments | |||||||||||
a. | Total Investment Result | ||||||||||
b. | Investments Composition | ||||||||||
c. | Managed Investments - Credit Rating | ||||||||||
d. | Retained Investments - Credit Rating | ||||||||||
Other Items | |||||||||||
a. | Earnings per Share | ||||||||||
Comments on Regulation G |
RenaissanceRe Holdings Ltd. | ||
Basis of Presentation |
i |
RenaissanceRe Holdings Ltd. | |||||||||||||||||||||||
Financial Highlights | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | (324,913) | $ | 456,818 | $ | (719,326) | $ | 165,884 | |||||||||||||||
Operating income (loss) available (attributable) to RenaissanceRe common shareholders (1) | $ | 238,132 | $ | 278,050 | $ | 390,077 | $ | 282,445 | |||||||||||||||
Underwriting income | |||||||||||||||||||||||
Gross premiums written | $ | 2,464,639 | $ | 2,094,158 | $ | 5,407,603 | $ | 4,746,600 | |||||||||||||||
Net premiums written | 1,863,616 | 1,512,292 | 4,028,833 | 3,336,375 | |||||||||||||||||||
Underwriting income (loss) | 316,386 | 328,976 | 516,664 | 293,216 | |||||||||||||||||||
Net claims and claim expense ratio: | |||||||||||||||||||||||
Current accident year | 51.4 | % | 48.0 | % | 54.7 | % | 61.7 | % | |||||||||||||||
Prior accident years | (2.9) | % | (4.4) | % | (2.1) | % | (2.6) | % | |||||||||||||||
Calendar year | 48.5 | % | 43.6 | % | 52.6 | % | 59.1 | % | |||||||||||||||
Acquisition expense ratio | 24.8 | % | 23.9 | % | 25.0 | % | 23.6 | % | |||||||||||||||
Operating expense ratio | 5.0 | % | 4.9 | % | 4.8 | % | 4.8 | % | |||||||||||||||
Combined ratio | 78.3 | % | 72.4 | % | 82.4 | % | 87.5 | % | |||||||||||||||
Fee income | |||||||||||||||||||||||
Management fee income | $ | 30,707 | $ | 31,970 | $ | 57,929 | $ | 60,494 | |||||||||||||||
Performance fee income | 3,548 | 14,187 | 4,676 | 9,652 | |||||||||||||||||||
Total fee income | $ | 34,255 | $ | 46,157 | $ | 62,605 | $ | 70,146 | |||||||||||||||
Investment Results - Managed | |||||||||||||||||||||||
Net investment income | $ | 107,211 | $ | 80,925 | $ | 190,902 | $ | 160,729 | |||||||||||||||
Net realized and unrealized gains (losses) on investments | (654,107) | 191,018 | (1,327,124) | (154,545) | |||||||||||||||||||
Total investment result | $ | (546,896) | $ | 271,943 | $ | (1,136,222) | $ | 6,184 | |||||||||||||||
Total investment return - annualized | (10.1) | % | 5.2 | % | (10.5) | % | 0.1 | % | |||||||||||||||
Investment Results - Retained (1) | |||||||||||||||||||||||
Net investment income | $ | 74,983 | $ | 62,982 | $ | 137,658 | $ | 125,580 | |||||||||||||||
Net realized and unrealized gains (losses) on investments | (576,071) | 187,391 | (1,160,694) | (131,297) | |||||||||||||||||||
Total investment result | $ | (501,088) | $ | 250,373 | $ | (1,023,036) | $ | (5,717) | |||||||||||||||
Total investment return - annualized | (13.6) | % | 7.4 | % | (13.9) | % | (0.1) | % | |||||||||||||||
1 |
Financial Highlights - Per Share Data & ROE | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - basic | $ | (7.53) | $ | 9.36 | $ | (16.64) | $ | 3.36 | |||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted | $ | (7.53) | $ | 9.35 | $ | (16.64) | $ | 3.35 | |||||||||||||||
Operating income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted (1) | $ | 5.51 | $ | 5.64 | $ | 8.99 | $ | 5.73 | |||||||||||||||
Book value per common share | $ | 113.69 | $ | 139.35 | $ | 113.69 | $ | 139.35 | |||||||||||||||
Tangible book value per common share (1) | $ | 107.79 | $ | 133.75 | $ | 107.79 | $ | 133.75 | |||||||||||||||
Tangible book value per common share plus accumulated dividends (1) | $ | 132.05 | $ | 156.55 | $ | 132.05 | $ | 156.55 | |||||||||||||||
Change in tangible book value per common share plus change in accumulated dividends (1) | (6.4) | % | 6.7 | % | (14.0) | % | 1.0 | % | |||||||||||||||
Average shares outstanding - basic | 43,170 | 48,163 | 43,264 | 48,871 | |||||||||||||||||||
Average shares outstanding - diluted | 43,170 | 48,226 | 43,264 | 48,940 | |||||||||||||||||||
Return on average common equity - annualized | (25.1) | % | 27.6 | % | (26.6) | % | 4.9 | % | |||||||||||||||
Operating return on average common equity - annualized (1) | 18.4 | % | 16.8 | % | 14.4 | % | 8.4 | % |
2 |
Summary Consolidated Financial Statements | |||||||||||||||||||||||
Consolidated Statements of Operations | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Revenues | |||||||||||||||||||||||
Gross premiums written | $ | 2,464,639 | $ | 2,094,158 | $ | 5,407,603 | $ | 4,746,600 | |||||||||||||||
Net premiums written | $ | 1,863,616 | $ | 1,512,292 | $ | 4,028,833 | $ | 3,336,375 | |||||||||||||||
Decrease (increase) in unearned premiums | (407,233) | (319,502) | (1,086,025) | (989,749) | |||||||||||||||||||
Net premiums earned | 1,456,383 | 1,192,790 | 2,942,808 | 2,346,626 | |||||||||||||||||||
Net investment income | 107,211 | 80,925 | 190,902 | 160,729 | |||||||||||||||||||
Net foreign exchange gains (losses) | (50,821) | 3,234 | (66,307) | (19,554) | |||||||||||||||||||
Equity in earnings (losses) of other ventures | 7,383 | 8,732 | 993 | 3,174 | |||||||||||||||||||
Other income (loss) | 923 | 586 | 2,116 | 2,757 | |||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (654,107) | 191,018 | (1,327,124) | (154,545) | |||||||||||||||||||
Total revenues | 866,972 | 1,477,285 | 1,743,388 | 2,339,187 | |||||||||||||||||||
Expenses | |||||||||||||||||||||||
Net claims and claim expenses incurred | 706,239 | 520,021 | 1,547,972 | 1,387,072 | |||||||||||||||||||
Acquisition expenses | 361,238 | 285,590 | 737,745 | 552,824 | |||||||||||||||||||
Operational expenses | 72,520 | 58,203 | 140,427 | 113,514 | |||||||||||||||||||
Corporate expenses | 12,352 | 10,125 | 24,854 | 20,530 | |||||||||||||||||||
Interest expense | 11,895 | 11,833 | 23,850 | 23,745 | |||||||||||||||||||
Total expenses | 1,164,244 | 885,772 | 2,474,848 | 2,097,685 | |||||||||||||||||||
Income (loss) before taxes | (297,272) | 591,513 | (731,460) | 241,502 | |||||||||||||||||||
Income tax benefit (expense) | 30,534 | (13,862) | 67,241 | 5,654 | |||||||||||||||||||
Net income (loss) | (266,738) | 577,651 | (664,219) | 247,156 | |||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests | (49,331) | (113,544) | (37,419) | (66,694) | |||||||||||||||||||
Net income (loss) attributable to RenaissanceRe | (316,069) | 464,107 | (701,638) | 180,462 | |||||||||||||||||||
Dividends on preference shares | (8,844) | (7,289) | (17,688) | (14,578) | |||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | (324,913) | $ | 456,818 | $ | (719,326) | $ | 165,884 | |||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - basic | $ | (7.53) | $ | 9.36 | $ | (16.64) | $ | 3.36 | |||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted | $ | (7.53) | $ | 9.35 | $ | (16.64) | $ | 3.35 | |||||||||||||||
Operating income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted (1) | $ | 5.51 | $ | 5.64 | $ | 8.99 | $ | 5.73 | |||||||||||||||
Return on average common equity - annualized | (25.1) | % | 27.6 | % | (26.6) | % | 4.9 | % | |||||||||||||||
Operating return on average common equity - annualized (1) | 18.4 | % | 16.8 | % | 14.4 | % | 8.4 | % |
3 |
Summary Consolidated Financial Statements | |||||||||||
Consolidated Balance Sheets | |||||||||||
June 30, 2022 | December 31, 2021 | ||||||||||
Assets | |||||||||||
Fixed maturity investments trading, at fair value – amortized cost $13,749,254 at June 30, 2022 (December 31, 2021 – $13,552,579) | $ | 13,085,367 | $ | 13,507,131 | |||||||
Short term investments, at fair value | 4,429,483 | 5,298,385 | |||||||||
Equity investments trading, at fair value | 692,747 | 546,016 | |||||||||
Other investments, at fair value | 2,314,232 | 1,993,059 | |||||||||
Investments in other ventures, under equity method | 75,979 | 98,068 | |||||||||
Total investments | 20,597,808 | 21,442,659 | |||||||||
Cash and cash equivalents | 1,398,095 | 1,859,019 | |||||||||
Premiums receivable | 5,408,217 | 3,781,542 | |||||||||
Prepaid reinsurance premiums | 1,354,565 | 854,722 | |||||||||
Reinsurance recoverable | 4,206,459 | 4,268,669 | |||||||||
Accrued investment income | 75,302 | 55,740 | |||||||||
Deferred acquisition costs and value of business acquired | 1,089,426 | 849,160 | |||||||||
Receivable for investments sold | 279,442 | 380,442 | |||||||||
Other assets | 384,436 | 224,053 | |||||||||
Goodwill and other intangibles | 240,647 | 243,496 | |||||||||
Total assets | $ | 35,034,397 | $ | 33,959,502 | |||||||
Liabilities, Noncontrolling Interests and Shareholders' Equity | |||||||||||
Liabilities | |||||||||||
Reserve for claims and claim expenses | $ | 13,442,806 | $ | 13,294,630 | |||||||
Unearned premiums | 5,117,217 | 3,531,213 | |||||||||
Debt | 1,169,393 | 1,168,353 | |||||||||
Reinsurance balances payable | 4,385,834 | 3,860,963 | |||||||||
Payable for investments purchased | 517,753 | 1,170,568 | |||||||||
Other liabilities | 309,938 | 755,441 | |||||||||
Total liabilities | 24,942,941 | 23,781,168 | |||||||||
Redeemable noncontrolling interests | 4,352,797 | 3,554,053 | |||||||||
Shareholders' Equity | |||||||||||
Preference shares: $1.00 par value – 30,000 shares issued and outstanding at June 30, 2022 (December 31, 2021 – 30,000) | 750,000 | 750,000 | |||||||||
Common shares: $1.00 par value – 43,881,035 shares issued and outstanding at June 30, 2022 (December 31, 2021 – 44,444,831) | 43,881 | 44,445 | |||||||||
Additional paid-in capital | 479,085 | 608,121 | |||||||||
Accumulated other comprehensive loss | (15,168) | (10,909) | |||||||||
Retained earnings | 4,480,861 | 5,232,624 | |||||||||
Total shareholders' equity attributable to RenaissanceRe | 5,738,659 | 6,624,281 | |||||||||
Total liabilities, noncontrolling interests and shareholders' equity | $ | 35,034,397 | $ | 33,959,502 | |||||||
Book value per common share | $ | 113.69 | $ | 132.17 |
4 |
Underwriting and Reserves | |||||||||||||||||||||||||||||||||||
Consolidated Segment Underwriting Results | |||||||||||||||||||||||||||||||||||
Three months ended June 30, 2022 | Three months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||
Property | Casualty and Specialty | Total | Property | Casualty and Specialty | Total | ||||||||||||||||||||||||||||||
Gross premiums written | $ | 1,218,321 | $ | 1,246,318 | $ | 2,464,639 | $ | 1,183,556 | $ | 910,602 | $ | 2,094,158 | |||||||||||||||||||||||
Net premiums written | $ | 887,975 | $ | 975,641 | $ | 1,863,616 | $ | 803,335 | $ | 708,957 | $ | 1,512,292 | |||||||||||||||||||||||
Net premiums earned | $ | 623,581 | $ | 832,802 | $ | 1,456,383 | $ | 560,397 | $ | 632,393 | $ | 1,192,790 | |||||||||||||||||||||||
Net claims and claim expenses incurred | 171,924 | 534,315 | 706,239 | 97,150 | 422,871 | 520,021 | |||||||||||||||||||||||||||||
Acquisition expenses | 137,567 | 223,671 | 361,238 | 109,238 | 176,352 | 285,590 | |||||||||||||||||||||||||||||
Operational expenses | 49,627 | 22,893 | 72,520 | 38,887 | 19,316 | 58,203 | |||||||||||||||||||||||||||||
Underwriting income (loss) | $ | 264,463 | $ | 51,923 | $ | 316,386 | $ | 315,122 | $ | 13,854 | $ | 328,976 | |||||||||||||||||||||||
Net claims and claim expenses incurred: | |||||||||||||||||||||||||||||||||||
Current accident year | $ | 206,976 | $ | 542,220 | $ | 749,196 | $ | 148,133 | $ | 423,917 | $ | 572,050 | |||||||||||||||||||||||
Prior accident years | (35,052) | (7,905) | (42,957) | (50,983) | (1,046) | (52,029) | |||||||||||||||||||||||||||||
Total | $ | 171,924 | $ | 534,315 | $ | 706,239 | $ | 97,150 | $ | 422,871 | $ | 520,021 | |||||||||||||||||||||||
Net claims and claim expense ratio: | |||||||||||||||||||||||||||||||||||
Current accident year | 33.2 | % | 65.1 | % | 51.4 | % | 26.4 | % | 67.0 | % | 48.0 | % | |||||||||||||||||||||||
Prior accident years | (5.6) | % | (0.9) | % | (2.9) | % | (9.1) | % | (0.1) | % | (4.4) | % | |||||||||||||||||||||||
Calendar year | 27.6 | % | 64.2 | % | 48.5 | % | 17.3 | % | 66.9 | % | 43.6 | % | |||||||||||||||||||||||
Acquisition expense ratio | 22.0 | % | 26.9 | % | 24.8 | % | 19.5 | % | 27.9 | % | 23.9 | % | |||||||||||||||||||||||
Operating expense ratio | 8.0 | % | 2.7 | % | 5.0 | % | 6.9 | % | 3.1 | % | 4.9 | % | |||||||||||||||||||||||
Combined ratio | 57.6 | % | 93.8 | % | 78.3 | % | 43.8 | % | 97.8 | % | 72.4 | % | |||||||||||||||||||||||
5 |
Underwriting and Reserves | |||||||||||||||||||||||||||||||||||
Consolidated Segment Underwriting Results | |||||||||||||||||||||||||||||||||||
Six months ended June 30, 2022 | Six months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||
Property | Casualty and Specialty | Total | Property | Casualty and Specialty | Total | ||||||||||||||||||||||||||||||
Gross premiums written | $ | 2,561,829 | $ | 2,845,774 | $ | 5,407,603 | $ | 2,800,375 | $ | 1,946,225 | $ | 4,746,600 | |||||||||||||||||||||||
Net premiums written | $ | 1,778,141 | $ | 2,250,692 | $ | 4,028,833 | $ | 1,811,795 | $ | 1,524,580 | $ | 3,336,375 | |||||||||||||||||||||||
Net premiums earned | $ | 1,242,172 | $ | 1,700,636 | $ | 2,942,808 | $ | 1,165,563 | $ | 1,181,063 | $ | 2,346,626 | |||||||||||||||||||||||
Net claims and claim expenses incurred | 431,685 | 1,116,287 | 1,547,972 | 595,982 | 791,090 | 1,387,072 | |||||||||||||||||||||||||||||
Acquisition expenses | 264,663 | 473,082 | 737,745 | 221,992 | 330,832 | 552,824 | |||||||||||||||||||||||||||||
Operational expenses | 96,559 | 43,868 | 140,427 | 74,262 | 39,252 | 113,514 | |||||||||||||||||||||||||||||
Underwriting income (loss) | $ | 449,265 | $ | 67,399 | $ | 516,664 | $ | 273,327 | $ | 19,889 | $ | 293,216 | |||||||||||||||||||||||
Net claims and claim expenses incurred: | |||||||||||||||||||||||||||||||||||
Current accident year | $ | 483,495 | $ | 1,125,267 | $ | 1,608,762 | $ | 652,127 | $ | 796,006 | $ | 1,448,133 | |||||||||||||||||||||||
Prior accident years | (51,810) | (8,980) | (60,790) | (56,145) | (4,916) | (61,061) | |||||||||||||||||||||||||||||
Total | $ | 431,685 | $ | 1,116,287 | $ | 1,547,972 | $ | 595,982 | $ | 791,090 | $ | 1,387,072 | |||||||||||||||||||||||
Net claims and claim expense ratio: | |||||||||||||||||||||||||||||||||||
Current accident year | 38.9 | % | 66.2 | % | 54.7 | % | 55.9 | % | 67.4 | % | 61.7 | % | |||||||||||||||||||||||
Prior accident years | (4.1) | % | (0.6) | % | (2.1) | % | (4.8) | % | (0.4) | % | (2.6) | % | |||||||||||||||||||||||
Calendar year | 34.8 | % | 65.6 | % | 52.6 | % | 51.1 | % | 67.0 | % | 59.1 | % | |||||||||||||||||||||||
Acquisition expense ratio | 21.2 | % | 27.8 | % | 25.0 | % | 19.0 | % | 28.0 | % | 23.6 | % | |||||||||||||||||||||||
Operating expense ratio | 7.8 | % | 2.6 | % | 4.8 | % | 6.4 | % | 3.3 | % | 4.8 | % | |||||||||||||||||||||||
Combined ratio | 63.8 | % | 96.0 | % | 82.4 | % | 76.5 | % | 98.3 | % | 87.5 | % | |||||||||||||||||||||||
6 |
Underwriting and Reserves | |||||||||||||||||||||||||||||
Consolidated Underwriting Results - Five Quarter Trend | |||||||||||||||||||||||||||||
Total | |||||||||||||||||||||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 | June 30, 2021 | |||||||||||||||||||||||||
Gross premiums written | $ | 2,464,639 | $ | 2,942,964 | $ | 1,313,018 | $ | 1,774,180 | $ | 2,094,158 | |||||||||||||||||||
Net premiums written | $ | 1,863,616 | $ | 2,165,217 | $ | 1,116,560 | $ | 1,486,440 | $ | 1,512,292 | |||||||||||||||||||
Net premiums earned | $ | 1,456,383 | $ | 1,486,425 | $ | 1,341,290 | $ | 1,506,265 | $ | 1,192,790 | |||||||||||||||||||
Net claims and claim expenses incurred | 706,239 | 841,733 | 690,970 | 1,798,045 | 520,021 | ||||||||||||||||||||||||
Acquisition expenses | 361,238 | 376,507 | 333,986 | 328,048 | 285,590 | ||||||||||||||||||||||||
Operational expenses | 72,520 | 67,907 | 39,673 | 58,997 | 58,203 | ||||||||||||||||||||||||
Underwriting income (loss) | $ | 316,386 | $ | 200,278 | $ | 276,661 | $ | (678,825) | $ | 328,976 | |||||||||||||||||||
Net claims and claim expenses incurred: | |||||||||||||||||||||||||||||
Current accident year | $ | 749,196 | $ | 859,566 | $ | 731,729 | $ | 1,945,695 | $ | 572,050 | |||||||||||||||||||
Prior accident years | (42,957) | (17,833) | (40,759) | (147,650) | (52,029) | ||||||||||||||||||||||||
Total | $ | 706,239 | $ | 841,733 | $ | 690,970 | $ | 1,798,045 | $ | 520,021 | |||||||||||||||||||
Net claims and claim expense ratio: | |||||||||||||||||||||||||||||
Current accident year | 51.4 | % | 57.8 | % | 54.6 | % | 129.2 | % | 48.0 | % | |||||||||||||||||||
Prior accident years | (2.9) | % | (1.2) | % | (3.1) | % | (9.8) | % | (4.4) | % | |||||||||||||||||||
Calendar year | 48.5 | % | 56.6 | % | 51.5 | % | 119.4 | % | 43.6 | % | |||||||||||||||||||
Acquisition expense ratio | 24.8 | % | 25.3 | % | 24.9 | % | 21.8 | % | 23.9 | % | |||||||||||||||||||
Operating expense ratio | 5.0 | % | 4.6 | % | 3.0 | % | 3.9 | % | 4.9 | % | |||||||||||||||||||
Combined ratio | 78.3 | % | 86.5 | % | 79.4 | % | 145.1 | % | 72.4 | % |
7 |
Underwriting and Reserves | |||||||||||||||||||||||||||||
Property Underwriting Results - Five Quarter Trend | |||||||||||||||||||||||||||||
Property | |||||||||||||||||||||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 | June 30, 2021 | |||||||||||||||||||||||||
Gross premiums written | $ | 1,218,321 | $ | 1,343,508 | $ | 384,657 | $ | 773,692 | $ | 1,183,556 | |||||||||||||||||||
Net premiums written | $ | 887,975 | $ | 890,166 | $ | 375,112 | $ | 681,095 | $ | 803,335 | |||||||||||||||||||
Net premiums earned | $ | 623,581 | $ | 618,591 | $ | 626,359 | $ | 816,376 | $ | 560,397 | |||||||||||||||||||
Net claims and claim expenses incurred | 171,924 | 259,761 | 243,356 | 1,323,678 | 97,150 | ||||||||||||||||||||||||
Acquisition expenses | 137,567 | 127,096 | 131,007 | 134,179 | 109,238 | ||||||||||||||||||||||||
Operational expenses | 49,627 | 46,932 | 28,898 | 40,448 | 38,887 | ||||||||||||||||||||||||
Underwriting income (loss) | $ | 264,463 | $ | 184,802 | $ | 223,098 | $ | (681,929) | $ | 315,122 | |||||||||||||||||||
Net claims and claim expenses incurred: | |||||||||||||||||||||||||||||
Current accident year | $ | 206,976 | $ | 276,519 | $ | 274,649 | $ | 1,469,613 | $ | 148,133 | |||||||||||||||||||
Prior accident years | (35,052) | (16,758) | (31,293) | (145,935) | (50,983) | ||||||||||||||||||||||||
Total | $ | 171,924 | $ | 259,761 | $ | 243,356 | $ | 1,323,678 | $ | 97,150 | |||||||||||||||||||
Net claims and claim expense ratio: | |||||||||||||||||||||||||||||
Current accident year | 33.2 | % | 44.7 | % | 43.8 | % | 180.0 | % | 26.4 | % | |||||||||||||||||||
Prior accident years | (5.6) | % | (2.7) | % | (4.9) | % | (17.9) | % | (9.1) | % | |||||||||||||||||||
Calendar year | 27.6 | % | 42.0 | % | 38.9 | % | 162.1 | % | 17.3 | % | |||||||||||||||||||
Acquisition expense ratio | 22.0 | % | 20.5 | % | 20.9 | % | 16.4 | % | 19.5 | % | |||||||||||||||||||
Operating expense ratio | 8.0 | % | 7.6 | % | 4.6 | % | 5.0 | % | 6.9 | % | |||||||||||||||||||
Combined ratio | 57.6 | % | 70.1 | % | 64.4 | % | 183.5 | % | 43.8 | % | |||||||||||||||||||
8 |
Underwriting and Reserves | |||||||||||||||||||||||||||||
Casualty and Specialty Underwriting Results - Five Quarter Trend | |||||||||||||||||||||||||||||
Casualty and Specialty | |||||||||||||||||||||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 | June 30, 2021 | |||||||||||||||||||||||||
Gross premiums written | $ | 1,246,318 | $ | 1,599,456 | $ | 928,361 | $ | 1,000,488 | $ | 910,602 | |||||||||||||||||||
Net premiums written | $ | 975,641 | $ | 1,275,051 | $ | 741,448 | $ | 805,345 | $ | 708,957 | |||||||||||||||||||
Net premiums earned | $ | 832,802 | $ | 867,834 | $ | 714,931 | $ | 689,889 | $ | 632,393 | |||||||||||||||||||
Net claims and claim expenses incurred | 534,315 | 581,972 | 447,614 | 474,367 | 422,871 | ||||||||||||||||||||||||
Acquisition expenses | 223,671 | 249,411 | 202,979 | 193,869 | 176,352 | ||||||||||||||||||||||||
Operational expenses | 22,893 | 20,975 | 10,775 | 18,549 | 19,316 | ||||||||||||||||||||||||
Underwriting income (loss) | $ | 51,923 | $ | 15,476 | $ | 53,563 | $ | 3,104 | $ | 13,854 | |||||||||||||||||||
Net claims and claim expenses incurred: | |||||||||||||||||||||||||||||
Current accident year | $ | 542,220 | $ | 583,047 | $ | 457,080 | $ | 476,082 | $ | 423,917 | |||||||||||||||||||
Prior accident years | (7,905) | (1,075) | (9,466) | (1,715) | (1,046) | ||||||||||||||||||||||||
Total | $ | 534,315 | $ | 581,972 | $ | 447,614 | $ | 474,367 | $ | 422,871 | |||||||||||||||||||
Net claims and claim expense ratio: | |||||||||||||||||||||||||||||
Current accident year | 65.1 | % | 67.2 | % | 63.9 | % | 69.0 | % | 67.0 | % | |||||||||||||||||||
Prior accident years | (0.9) | % | (0.1) | % | (1.3) | % | (0.2) | % | (0.1) | % | |||||||||||||||||||
Calendar year | 64.2 | % | 67.1 | % | 62.6 | % | 68.8 | % | 66.9 | % | |||||||||||||||||||
Acquisition expense ratio | 26.9 | % | 28.7 | % | 28.4 | % | 28.1 | % | 27.9 | % | |||||||||||||||||||
Operating expense ratio | 2.7 | % | 2.4 | % | 1.5 | % | 2.7 | % | 3.1 | % | |||||||||||||||||||
Combined ratio | 93.8 | % | 98.2 | % | 92.5 | % | 99.6 | % | 97.8 | % |
9 |
Underwriting and Reserves | |||||||||||||||||||||||||||||||||||
Property Segment - Catastrophe and Other Property Underwriting Results | |||||||||||||||||||||||||||||||||||
Three months ended June 30, 2022 | Three months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||
Catastrophe | Other Property | Total | Catastrophe | Other Property | Total | ||||||||||||||||||||||||||||||
Gross premiums written | $ | 803,333 | $ | 414,988 | $ | 1,218,321 | $ | 761,323 | $ | 422,233 | $ | 1,183,556 | |||||||||||||||||||||||
Net premiums written | $ | 498,504 | $ | 389,471 | $ | 887,975 | $ | 403,272 | $ | 400,063 | $ | 803,335 | |||||||||||||||||||||||
Net premiums earned | $ | 279,770 | $ | 343,811 | $ | 623,581 | $ | 272,309 | $ | 288,088 | $ | 560,397 | |||||||||||||||||||||||
Net claims and claim expenses incurred | (3,748) | 175,672 | 171,924 | (34,068) | 131,218 | 97,150 | |||||||||||||||||||||||||||||
Acquisition expenses | 37,634 | 99,933 | 137,567 | 32,103 | 77,135 | 109,238 | |||||||||||||||||||||||||||||
Operational expenses | 40,392 | 9,235 | 49,627 | 30,610 | 8,277 | 38,887 | |||||||||||||||||||||||||||||
Underwriting income (loss) | $ | 205,492 | $ | 58,971 | $ | 264,463 | $ | 243,664 | $ | 71,458 | $ | 315,122 | |||||||||||||||||||||||
Net claims and claim expenses incurred: | |||||||||||||||||||||||||||||||||||
Current accident year | $ | 28,553 | $ | 178,423 | $ | 206,976 | $ | 16,573 | $ | 131,560 | $ | 148,133 | |||||||||||||||||||||||
Prior accident years | (32,301) | (2,751) | (35,052) | (50,641) | (342) | (50,983) | |||||||||||||||||||||||||||||
Total | $ | (3,748) | $ | 175,672 | $ | 171,924 | $ | (34,068) | $ | 131,218 | $ | 97,150 | |||||||||||||||||||||||
Net claims and claim expense ratio: | |||||||||||||||||||||||||||||||||||
Current accident year | 10.2 | % | 51.9 | % | 33.2 | % | 6.1 | % | 45.7 | % | 26.4 | % | |||||||||||||||||||||||
Prior accident years | (11.5) | % | (0.8) | % | (5.6) | % | (18.6) | % | (0.2) | % | (9.1) | % | |||||||||||||||||||||||
Calendar year | (1.3) | % | 51.1 | % | 27.6 | % | (12.5) | % | 45.5 | % | 17.3 | % | |||||||||||||||||||||||
Acquisition expense ratio | 13.4 | % | 29.1 | % | 22.0 | % | 11.8 | % | 26.8 | % | 19.5 | % | |||||||||||||||||||||||
Operating expense ratio | 14.4 | % | 2.7 | % | 8.0 | % | 11.2 | % | 2.9 | % | 6.9 | % | |||||||||||||||||||||||
Combined ratio | 26.5 | % | 82.8 | % | 57.6 | % | 10.5 | % | 75.2 | % | 43.8 | % | |||||||||||||||||||||||
10 |
Underwriting and Reserves | |||||||||||||||||||||||||||||||||||
Property Segment - Catastrophe and Other Property Underwriting Results | |||||||||||||||||||||||||||||||||||
Six months ended June 30, 2022 | Six months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||
Catastrophe | Other Property | Total | Catastrophe | Other Property | Total | ||||||||||||||||||||||||||||||
Gross premiums written | $ | 1,689,424 | $ | 872,405 | $ | 2,561,829 | $ | 1,892,448 | $ | 907,927 | $ | 2,800,375 | |||||||||||||||||||||||
Net premiums written | $ | 1,100,291 | $ | 677,850 | $ | 1,778,141 | $ | 1,063,392 | $ | 748,403 | $ | 1,811,795 | |||||||||||||||||||||||
Net premiums earned | $ | 558,767 | $ | 683,405 | $ | 1,242,172 | $ | 613,289 | $ | 552,274 | $ | 1,165,563 | |||||||||||||||||||||||
Net claims and claim expenses incurred | 71,507 | 360,178 | 431,685 | 299,943 | 296,039 | 595,982 | |||||||||||||||||||||||||||||
Acquisition expenses | 72,442 | 192,221 | 264,663 | 73,481 | 148,511 | 221,992 | |||||||||||||||||||||||||||||
Operational expenses | 78,534 | 18,025 | 96,559 | 58,976 | 15,286 | 74,262 | |||||||||||||||||||||||||||||
Underwriting income (loss) | $ | 336,284 | $ | 112,981 | $ | 449,265 | $ | 180,889 | $ | 92,438 | $ | 273,327 | |||||||||||||||||||||||
Net claims and claim expenses incurred: | |||||||||||||||||||||||||||||||||||
Current accident year | $ | 132,118 | $ | 351,377 | $ | 483,495 | $ | 355,048 | $ | 297,079 | $ | 652,127 | |||||||||||||||||||||||
Prior accident years | (60,611) | 8,801 | (51,810) | (55,105) | (1,040) | (56,145) | |||||||||||||||||||||||||||||
Total | $ | 71,507 | $ | 360,178 | $ | 431,685 | $ | 299,943 | $ | 296,039 | $ | 595,982 | |||||||||||||||||||||||
Net claims and claim expense ratio: | |||||||||||||||||||||||||||||||||||
Current accident year | 23.6 | % | 51.4 | % | 38.9 | % | 57.9 | % | 53.8 | % | 55.9 | % | |||||||||||||||||||||||
Prior accident years | (10.8) | % | 1.3 | % | (4.1) | % | (9.0) | % | (0.2) | % | (4.8) | % | |||||||||||||||||||||||
Calendar year | 12.8 | % | 52.7 | % | 34.8 | % | 48.9 | % | 53.6 | % | 51.1 | % | |||||||||||||||||||||||
Acquisition expense ratio | 12.9 | % | 28.2 | % | 21.2 | % | 12.0 | % | 26.9 | % | 19.0 | % | |||||||||||||||||||||||
Operating expense ratio | 14.1 | % | 2.6 | % | 7.8 | % | 9.6 | % | 2.8 | % | 6.4 | % | |||||||||||||||||||||||
Combined ratio | 39.8 | % | 83.5 | % | 63.8 | % | 70.5 | % | 83.3 | % | 76.5 | % |
11 |
Underwriting and Reserves | |||||||||||||||||||||||
Gross Premiums Written | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Property Segment | |||||||||||||||||||||||
Catastrophe | $ | 803,552 | $ | 755,970 | $ | 1,666,549 | $ | 1,793,057 | |||||||||||||||
Catastrophe - gross reinstatement premiums | (219) | 5,353 | 22,875 | 99,391 | |||||||||||||||||||
Total catastrophe gross premiums written | $ | 803,333 | $ | 761,323 | $ | 1,689,424 | $ | 1,892,448 | |||||||||||||||
Other property | 413,035 | 423,725 | 868,447 | 906,924 | |||||||||||||||||||
Other property - gross reinstatement premiums | 1,954 | (1,493) | 3,958 | 1,003 | |||||||||||||||||||
Total other property gross premiums written | $ | 414,989 | $ | 422,232 | $ | 872,405 | $ | 907,927 | |||||||||||||||
Property segment gross premiums written | $ | 1,218,322 | $ | 1,183,555 | $ | 2,561,829 | $ | 2,800,375 | |||||||||||||||
Casualty and Specialty Segment | |||||||||||||||||||||||
General casualty (1) | $ | 322,733 | $ | 286,686 | $ | 802,875 | $ | 629,856 | |||||||||||||||
Professional liability (2) | 448,801 | 306,387 | 998,520 | 620,759 | |||||||||||||||||||
Financial lines (3) | 219,480 | 86,175 | 478,584 | 230,561 | |||||||||||||||||||
Other (4) | 255,304 | 231,354 | 565,795 | 465,049 | |||||||||||||||||||
Casualty and Specialty segment gross premiums written | $ | 1,246,318 | $ | 910,602 | $ | 2,845,774 | $ | 1,946,225 | |||||||||||||||
(1) | Includes automobile liability, casualty clash, employer’s liability, umbrella or excess casualty, workers’ compensation and general liability. | ||||
(2) | Includes directors and officers, medical malpractice, and professional indemnity. | ||||
(3) | Includes financial guaranty, mortgage guaranty, political risk, surety and trade credit. | ||||
(4) | Includes accident and health, agriculture, aviation, cyber, energy, marine, satellite and terrorism. Lines of business such as regional multi-line and whole account may have characteristics of various other classes of business, and are allocated accordingly. |
12 |
Underwriting and Reserves | |||||||||||||||||||||||
Net Premiums Written | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Property Segment | |||||||||||||||||||||||
Catastrophe | $ | 497,531 | $ | 397,857 | $ | 1,078,123 | $ | 970,692 | |||||||||||||||
Catastrophe - net reinstatement premiums | 973 | 5,415 | 22,168 | 92,700 | |||||||||||||||||||
Total catastrophe net premiums written | $ | 498,504 | $ | 403,272 | $ | 1,100,291 | $ | 1,063,392 | |||||||||||||||
Other property | 388,013 | 401,983 | 674,122 | 747,834 | |||||||||||||||||||
Other property - net reinstatement premiums | 1,458 | (1,921) | 3,728 | 569 | |||||||||||||||||||
Total other property net premiums written | $ | 389,471 | $ | 400,062 | $ | 677,850 | $ | 748,403 | |||||||||||||||
Property segment net premiums written | $ | 887,975 | $ | 803,334 | $ | 1,778,141 | $ | 1,811,795 | |||||||||||||||
Casualty and Specialty Segment | |||||||||||||||||||||||
General casualty (1) | $ | 268,076 | $ | 234,950 | $ | 672,352 | $ | 519,540 | |||||||||||||||
Professional liability (2) | 355,072 | 236,660 | 787,228 | 483,014 | |||||||||||||||||||
Financial lines (3) | 152,696 | 59,860 | 333,126 | 156,775 | |||||||||||||||||||
Other (4) | 199,797 | 177,487 | 457,986 | 365,252 | |||||||||||||||||||
Casualty and Specialty segment net premiums written | $ | 975,641 | $ | 708,957 | $ | 2,250,692 | 1,524,580 |
(1) | Includes automobile liability, casualty clash, employer’s liability, umbrella or excess casualty, workers’ compensation and general liability. | ||||
(2) | Includes directors and officers, medical malpractice, and professional indemnity. | ||||
(3) | Includes financial guaranty, mortgage guaranty, political risk, surety and trade credit. | ||||
(4) | Includes accident and health, agriculture, aviation, cyber, energy, marine, satellite and terrorism. Lines of business such as regional multi-line and whole account may have characteristics of various other classes of business, and are allocated accordingly. |
13 |
Underwriting and Reserves | |||||||||||||||||||||||
Net Premiums Earned | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Property Segment | |||||||||||||||||||||||
Catastrophe | $ | 278,797 | $ | 266,894 | $ | 536,599 | $ | 520,589 | |||||||||||||||
Catastrophe - net reinstatement premiums | 973 | 5,415 | 22,168 | 92,700 | |||||||||||||||||||
Total catastrophe net premiums earned | $ | 279,770 | $ | 272,309 | $ | 558,767 | $ | 613,289 | |||||||||||||||
Other property | 342,354 | 290,009 | 679,677 | 551,705 | |||||||||||||||||||
Other property - net reinstatement premiums | 1,458 | (1,921) | 3,728 | 569 | |||||||||||||||||||
Total other property net premiums earned | $ | 343,812 | $ | 288,088 | $ | 683,405 | $ | 552,274 | |||||||||||||||
Property segment net premiums earned | $ | 623,582 | $ | 560,397 | $ | 1,242,172 | $ | 1,165,563 | |||||||||||||||
Casualty and Specialty Segment | |||||||||||||||||||||||
General casualty (1) | $ | 285,526 | $ | 212,400 | $ | 576,281 | $ | 396,882 | |||||||||||||||
Professional liability (2) | 272,403 | 192,111 | 583,640 | 362,631 | |||||||||||||||||||
Financial lines (3) | 86,652 | 81,003 | 170,491 | 165,697 | |||||||||||||||||||
Other (4) | 188,221 | 146,879 | 370,224 | 255,853 | |||||||||||||||||||
Casualty and Specialty segment net premiums earned | $ | 832,802 | $ | 632,393 | $ | 1,700,636 | $ | 1,181,063 |
(1) | Includes automobile liability, casualty clash, employer’s liability, umbrella or excess casualty, workers’ compensation and general liability. | ||||
(2) | Includes directors and officers, medical malpractice, and professional indemnity. | ||||
(3) | Includes financial guaranty, mortgage guaranty, political risk, surety and trade credit. | ||||
(4) | Includes accident and health, agriculture, aviation, cyber, energy, marine, satellite and terrorism. Lines of business such as regional multi-line and whole account may have characteristics of various other classes of business, and are allocated accordingly. |
14 |
Underwriting and Reserves | |||||||||||||||||||||||
Reserves for Claims and Claim Expenses | |||||||||||||||||||||||
Case Reserves | Additional Case Reserves | IBNR | Total | ||||||||||||||||||||
June 30, 2022 | |||||||||||||||||||||||
Property | $ | 1,867,749 | $ | 1,863,120 | $ | 2,168,573 | $ | 5,899,442 | |||||||||||||||
Casualty and Specialty | 1,875,398 | 147,793 | 5,520,173 | 7,543,364 | |||||||||||||||||||
Total | $ | 3,743,147 | $ | 2,010,913 | $ | 7,688,746 | $ | 13,442,806 | |||||||||||||||
December 31, 2021 | |||||||||||||||||||||||
Property | $ | 1,555,210 | $ | 1,996,760 | $ | 2,825,718 | $ | 6,377,688 | |||||||||||||||
Casualty and Specialty | 1,784,334 | 128,065 | 5,004,543 | 6,916,942 | |||||||||||||||||||
Total | $ | 3,339,544 | $ | 2,124,825 | $ | 7,830,261 | $ | 13,294,630 | |||||||||||||||
15 |
Underwriting and Reserves | |||||||||||||||||||||||||||||||||||
Paid to Incurred Analysis | |||||||||||||||||||||||||||||||||||
Three months ended June 30, 2022 | Three months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||
Gross | Recoveries | Net | Gross | Recoveries | Net | ||||||||||||||||||||||||||||||
Reserve for claims and claim expenses, beginning of period | $ | 13,510,304 | $ | 4,319,490 | $ | 9,190,814 | $ | 10,953,383 | $ | 3,160,667 | $ | 7,792,716 | |||||||||||||||||||||||
Incurred claims and claim expenses | |||||||||||||||||||||||||||||||||||
Current year | 883,768 | 134,572 | 749,196 | 697,608 | 125,558 | 572,050 | |||||||||||||||||||||||||||||
Prior years | (84,550) | (41,593) | (42,957) | (31,502) | 20,527 | (52,029) | |||||||||||||||||||||||||||||
Total incurred claims and claim expenses | 799,218 | 92,979 | 706,239 | 666,106 | 146,085 | 520,021 | |||||||||||||||||||||||||||||
Paid claims and claim expenses | |||||||||||||||||||||||||||||||||||
Current year | 25,808 | 2,474 | 23,334 | 54,904 | 4,377 | 50,527 | |||||||||||||||||||||||||||||
Prior years | 690,613 | 169,439 | 521,174 | 626,860 | 117,522 | 509,338 | |||||||||||||||||||||||||||||
Total paid claims and claim expenses | 716,421 | 171,913 | 544,508 | 681,764 | 121,899 | 559,865 | |||||||||||||||||||||||||||||
Foreign exchange (1) | (150,295) | (34,097) | (116,198) | 7,017 | 2,785 | 4,232 | |||||||||||||||||||||||||||||
Reserve for claims and claim expenses, end of period | $ | 13,442,806 | $ | 4,206,459 | $ | 9,236,347 | $ | 10,944,742 | $ | 3,187,638 | $ | 7,757,104 | |||||||||||||||||||||||
Six months ended June 30, 2022 | Six months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||
Gross | Recoveries | Net | Gross | Recoveries | Net | ||||||||||||||||||||||||||||||
Reserve for claims and claim expenses, beginning of period | $ | 13,294,630 | $ | 4,268,669 | $ | 9,025,961 | $ | 10,381,138 | $ | 2,926,010 | $ | 7,455,128 | |||||||||||||||||||||||
Incurred claims and claim expenses | |||||||||||||||||||||||||||||||||||
Current year | 1,903,364 | 294,602 | 1,608,762 | 1,919,589 | 471,456 | 1,448,133 | |||||||||||||||||||||||||||||
Prior years | (86,591) | (25,801) | (60,790) | (3,237) | 57,824 | (61,061) | |||||||||||||||||||||||||||||
Total incurred claims and claim expenses | 1,816,773 | 268,801 | 1,547,972 | 1,916,352 | 529,280 | 1,387,072 | |||||||||||||||||||||||||||||
Paid claims and claim expenses | |||||||||||||||||||||||||||||||||||
Current year | 45,584 | 4,460 | 41,124 | 72,973 | 7,695 | 65,278 | |||||||||||||||||||||||||||||
Prior years | 1,421,938 | 291,959 | 1,129,979 | 1,249,679 | 253,853 | 995,826 | |||||||||||||||||||||||||||||
Total paid claims and claim expenses | 1,467,522 | 296,419 | 1,171,103 | 1,322,652 | 261,548 | 1,061,104 | |||||||||||||||||||||||||||||
Foreign exchange (1) | (201,075) | (34,592) | (166,483) | (30,096) | (6,104) | (23,992) | |||||||||||||||||||||||||||||
Reserve for claims and claim expenses, end of period | $ | 13,442,806 | $ | 4,206,459 | $ | 9,236,347 | $ | 10,944,742 | $ | 3,187,638 | $ | 7,757,104 |
16 |
Managed Joint Ventures and Fee Income | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fee Income | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Management fee income | |||||||||||||||||||||||
Joint ventures | $ | 17,703 | $ | 14,741 | $ | 31,098 | $ | 25,869 | |||||||||||||||
Structured reinsurance products and other | 6,649 | 8,677 | 13,873 | 17,451 | |||||||||||||||||||
Managed funds | 6,355 | 8,552 | 12,958 | 17,174 | |||||||||||||||||||
Total management fee income | 30,707 | 31,970 | 57,929 | 60,494 | |||||||||||||||||||
Performance fee income (loss) | |||||||||||||||||||||||
Joint ventures | 1,037 | 7,347 | 934 | 8,903 | |||||||||||||||||||
Structured reinsurance products and other | 2,486 | 2,581 | 3,420 | 1,288 | |||||||||||||||||||
Managed funds | 25 | 4,259 | 322 | (539) | |||||||||||||||||||
Total performance fee income (loss) (1) | 3,548 | 14,187 | 4,676 | 9,652 | |||||||||||||||||||
Total fee income | $ | 34,255 | $ | 46,157 | $ | 62,605 | $ | 70,146 |
Three months ended | Six months ended | ||||||||||||||||||||||
Fee income contributing to: | June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | |||||||||||||||||||
Underwriting income (loss) (1) | $ | 12,751 | $ | 19,239 | $ | 24,912 | $ | 29,769 | |||||||||||||||
Earnings from equity method investments (2) | 27 | 17 | 50 | 33 | |||||||||||||||||||
Redeemable noncontrolling interests (3) | 21,477 | 26,901 | 37,642 | 40,344 | |||||||||||||||||||
Total fee income | $ | 34,255 | $ | 46,157 | $ | 62,604 | $ | 70,146 | |||||||||||||||
17 |
Managed Joint Ventures and Fee Income | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fee Income - Five Quarter Trend | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Three months ended | |||||||||||||||||||||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 | June 30, 2021 | |||||||||||||||||||||||||
Management fee income | |||||||||||||||||||||||||||||
Joint ventures | $ | 17,703 | $ | 13,395 | $ | 8,603 | $ | 8,602 | $ | 14,741 | |||||||||||||||||||
Structured reinsurance products and other | 6,649 | 7,224 | 8,542 | 8,646 | 8,677 | ||||||||||||||||||||||||
Managed funds | 6,355 | 6,603 | 7,578 | 6,606 | 8,552 | ||||||||||||||||||||||||
Total management fee income | 30,707 | 27,222 | 24,723 | 23,854 | 31,970 | ||||||||||||||||||||||||
Performance fee income (loss) | |||||||||||||||||||||||||||||
Joint ventures | 1,037 | (103) | 2,352 | 2,980 | 7,347 | ||||||||||||||||||||||||
Structured reinsurance products and other | 2,486 | 934 | 2,392 | 1,237 | 2,581 | ||||||||||||||||||||||||
Managed funds | 25 | 296 | 555 | 264 | 4,259 | ||||||||||||||||||||||||
Total performance fee income (loss) (1) | 3,548 | 1,127 | 5,299 | 4,481 | 14,187 | ||||||||||||||||||||||||
Total fee income | $ | 34,255 | $ | 28,349 | $ | 30,022 | $ | 28,335 | $ | 46,157 |
Three months ended | |||||||||||||||||||||||||||||
Fee income contributing to: | June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 | June 30, 2021 | ||||||||||||||||||||||||
Underwriting income (loss) (1) | $ | 12,751 | $ | 12,161 | $ | 18,074 | $ | 19,444 | $ | 19,239 | |||||||||||||||||||
Earnings from equity method investments (2) | 27 | 23 | — | 17 | 17 | ||||||||||||||||||||||||
Redeemable noncontrolling interests (3) | 21,477 | 16,165 | 11,948 | 8,874 | 26,901 | ||||||||||||||||||||||||
Total fee income | $ | 34,255 | $ | 28,349 | $ | 30,022 | $ | 28,335 | $ | 46,157 | |||||||||||||||||||
18 |
Managed Joint Ventures and Fee Income | |||||||||||||||||||||||||||||||||||||||||
Noncontrolling Interests | |||||||||||||||||||||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Redeemable noncontrolling interests - DaVinciRe | $ | (58,822) | $ | (84,266) | $ | (33,499) | $ | (44,332) | |||||||||||||||
Redeemable noncontrolling interests - Medici | 26,887 | (11,989) | 32,174 | 1,454 | |||||||||||||||||||
Redeemable noncontrolling interests - Vermeer | (22,937) | (17,289) | (41,635) | (23,816) | |||||||||||||||||||
Redeemable noncontrolling interests - Fontana | 5,541 | — | 5,541 | — | |||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests (1) | $ | (49,331) | $ | (113,544) | $ | (37,419) | $ | (66,694) |
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Operating (income) loss attributable to redeemable noncontrolling interests (2) | $ | (123,828) | $ | (109,848) | $ | (203,926) | $ | (97,107) | |||||||||||||||
Non-Operating (income) loss attributable to redeemable noncontrolling interests | 74,497 | (3,696) | 166,507 | 30,413 | |||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests (1) | $ | (49,331) | $ | (113,544) | $ | (37,419) | $ | (66,694) | |||||||||||||||
19 |
Managed Joint Ventures and Fee Income | |||||||||||||||||||||||||||||||||||||||||
Noncontrolling Interests | |||||||||||||||||||||||||||||||||||||||||
June 30, 2022 | December 31, 2021 | ||||||||||
Redeemable noncontrolling interests - DaVinciRe | $ | 1,762,677 | $ | 1,499,451 | |||||||
Redeemable noncontrolling interests - Medici | 1,052,560 | 856,820 | |||||||||
Redeemable noncontrolling interests - Vermeer | 1,269,417 | 1,197,782 | |||||||||
Redeemable noncontrolling interests - Fontana | 268,143 | — | |||||||||
Redeemable noncontrolling interests | $ | 4,352,797 | $ | 3,554,053 |
June 30, 2022 | December 31, 2021 | ||||||||||
DaVinciRe | 66.2 | % | 71.3 | % | |||||||
Medici | 87.0 | % | 85.3 | % | |||||||
Vermeer | 100.0 | % | 100.0 | % | |||||||
Fontana | 68.4 | % | — | % |
20 |
Managed Joint Ventures and Fee Income | |||||||||||||||||||||||
DaVinciRe Holdings Ltd. and Subsidiary Consolidated Statements of Operations | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Revenues | |||||||||||||||||||||||
Gross premiums written | $ | 307,002 | $ | 243,627 | $ | 732,317 | $ | 585,660 | |||||||||||||||
Net premiums written | $ | 275,753 | $ | 205,907 | $ | 674,942 | $ | 521,383 | |||||||||||||||
Decrease (increase) in unearned premiums | (101,648) | (69,833) | (334,806) | (224,727) | |||||||||||||||||||
Net premiums earned | 174,105 | 136,074 | 340,136 | 296,656 | |||||||||||||||||||
Net investment income | 17,015 | 7,118 | 25,983 | 15,379 | |||||||||||||||||||
Net foreign exchange gains (losses) | 585 | 597 | 997 | 7 | |||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (76,020) | 4,389 | (193,671) | (22,409) | |||||||||||||||||||
Total revenues | 115,685 | 148,178 | 173,445 | 289,633 | |||||||||||||||||||
Expenses | |||||||||||||||||||||||
Net claims and claim expenses incurred | (17,016) | (19,754) | 40,843 | 147,789 | |||||||||||||||||||
Acquisition expenses | 22,673 | 31,593 | 42,255 | 47,910 | |||||||||||||||||||
Operational and corporate expenses | 19,438 | 16,377 | 34,504 | 28,083 | |||||||||||||||||||
Interest expense | 1,858 | 1,858 | 3,716 | 3,716 | |||||||||||||||||||
Total expenses | 26,953 | 30,074 | 121,318 | 227,498 | |||||||||||||||||||
Income (loss) before taxes | 88,732 | 118,104 | 52,127 | 62,135 | |||||||||||||||||||
Income tax benefit (expense) | — | (1) | — | (1) | |||||||||||||||||||
Net income (loss) available (attributable) to DaVinciRe common shareholders | $ | 88,732 | $ | 118,103 | $ | 52,127 | $ | 62,134 | |||||||||||||||
Net claims and claim expenses incurred - current accident year | $ | 22,533 | $ | 8,270 | $ | 90,668 | $ | 189,986 | |||||||||||||||
Net claims and claim expenses incurred - prior accident years | (39,549) | (28,024) | (49,825) | (42,197) | |||||||||||||||||||
Net claims and claim expenses incurred - total | $ | (17,016) | $ | (19,754) | $ | 40,843 | $ | 147,789 | |||||||||||||||
Net claims and claim expense ratio - current accident year | 12.9 | % | 6.1 | % | 26.7 | % | 64.0 | % | |||||||||||||||
Net claims and claim expense ratio - prior accident years | (22.7) | % | (20.6) | % | (14.7) | % | (14.2) | % | |||||||||||||||
Net claims and claim expense ratio - calendar year | (9.8) | % | (14.5) | % | 12.0 | % | 49.8 | % | |||||||||||||||
Underwriting expense ratio | 24.2 | % | 35.2 | % | 22.6 | % | 25.6 | % | |||||||||||||||
Combined ratio | 14.4 | % | 20.7 | % | 34.6 | % | 75.4 | % |
21 |
Investments | |||||||||||||||||||||||
Total Investment Result | |||||||||||||||||||||||
Managed (1) | Retained (2) | ||||||||||||||||||||||
Three months ended | Three months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Fixed maturity investments trading | $ | 76,547 | $ | 59,510 | $ | 63,294 | $ | 53,679 | |||||||||||||||
Short term investments | 4,397 | 782 | 1,461 | 601 | |||||||||||||||||||
Equity investments trading | 4,516 | 1,626 | 4,516 | 1,626 | |||||||||||||||||||
Other investments | |||||||||||||||||||||||
Catastrophe bonds | 20,235 | 16,681 | 2,986 | 3,521 | |||||||||||||||||||
Other | 6,894 | 9,339 | 6,894 | 9,339 | |||||||||||||||||||
Cash and cash equivalents | (95) | 159 | (99) | 174 | |||||||||||||||||||
112,494 | 88,097 | 79,052 | 68,940 | ||||||||||||||||||||
Investment expenses | (5,283) | (7,172) | (4,069) | (5,958) | |||||||||||||||||||
Net investment income | $ | 107,211 | $ | 80,925 | $ | 74,983 | $ | 62,982 | |||||||||||||||
Net investment income return - annualized | 2.1 | % | 1.5 | % | 2.2 | % | 1.8 | % | |||||||||||||||
Net realized and unrealized gains (losses) on: | |||||||||||||||||||||||
Fixed maturity investments trading | (436,974) | 97,176 | (378,897) | 93,742 | |||||||||||||||||||
Investments-related derivatives | (66,078) | (9,329) | (67,359) | (8,930) | |||||||||||||||||||
Equity investments trading | (91,512) | 65,566 | (91,467) | 65,470 | |||||||||||||||||||
Other investments | |||||||||||||||||||||||
Catastrophe bonds | (24,660) | 2 | (3,465) | (494) | |||||||||||||||||||
Other | (34,883) | 37,603 | (34,883) | 37,603 | |||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (654,107) | 191,018 | (576,071) | 187,391 | |||||||||||||||||||
Total investment result | $ | (546,896) | $ | 271,943 | $ | (501,088) | $ | 250,373 | |||||||||||||||
Average invested assets | $ | 20,724,513 | $ | 21,396,100 | $ | 13,941,090 | $ | 13,969,913 | |||||||||||||||
Total investment return - annualized | (10.1) | % | 5.2 | % | (13.6) | % | 7.4 | % |
22 |
Investments | |||||||||||||||||||||||
Total Investment Result | |||||||||||||||||||||||
Managed (1) | Retained (2) | ||||||||||||||||||||||
Six months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Fixed maturity investments trading | $ | 138,964 | $ | 122,443 | $ | 118,968 | $ | 110,429 | |||||||||||||||
Short term investments | 5,533 | 1,355 | 2,103 | 877 | |||||||||||||||||||
Equity investments trading | 7,270 | 3,117 | 7,270 | 3,117 | |||||||||||||||||||
Other investments | |||||||||||||||||||||||
Catastrophe bonds | 37,595 | 31,149 | 5,672 | 6,872 | |||||||||||||||||||
Other | 12,446 | 13,140 | 12,446 | 13,140 | |||||||||||||||||||
Cash and cash equivalents | (136) | 261 | (124) | 280 | |||||||||||||||||||
201,672 | 171,465 | 146,335 | 134,715 | ||||||||||||||||||||
Investment expenses | (10,770) | (10,736) | (8,677) | (9,135) | |||||||||||||||||||
Net investment income | $ | 190,902 | $ | 160,729 | $ | 137,658 | $ | 125,580 | |||||||||||||||
Net investment income return - annualized | 1.8 | % | 1.5 | % | 2.0 | % | 1.8 | % | |||||||||||||||
Net realized and unrealized gains (losses) on: | |||||||||||||||||||||||
Fixed maturity investments trading | (1,022,303) | (179,444) | (883,312) | (165,308) | |||||||||||||||||||
Investments-related derivatives | (106,366) | 5,532 | (107,095) | 7,497 | |||||||||||||||||||
Equity investments trading | (140,201) | (2,356) | (140,207) | (2,468) | |||||||||||||||||||
Other investments | |||||||||||||||||||||||
Catastrophe bonds | (32,921) | (19,081) | (4,747) | (11,822) | |||||||||||||||||||
Other | (25,333) | 40,804 | (25,333) | 40,804 | |||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (1,327,124) | (154,545) | (1,160,694) | (131,297) | |||||||||||||||||||
Total investment result | $ | (1,136,222) | $ | 6,184 | $ | (1,023,036) | $ | (5,717) | |||||||||||||||
Average invested assets | $ | 20,963,895 | $ | 21,471,972 | $ | 14,166,678 | $ | 14,174,123 | |||||||||||||||
Total investment return - annualized | (10.5) | % | 0.1 | % | (13.9) | % | (0.1) | % |
23 |
Investments | ||
Investments Composition |
June 30, 2022 | December 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||
Managed (1) | Retained (2) | Managed (1) | Retained (2) | ||||||||||||||||||||||||||||||||||||||||||||
Type of Investment | Fair Value | Unrealized Gain (Loss) | Fair Value | Unrealized Gain (Loss) | Fair Value | Unrealized Gain (Loss) | Fair Value | Unrealized Gain (Loss) | |||||||||||||||||||||||||||||||||||||||
Fixed maturity investments trading, at fair value | $ | 13,085,367 | $ | (663,887) | $ | 10,647,275 | $ | (581,856) | $ | 13,507,131 | $ | (45,448) | $ | 11,417,402 | $ | (37,677) | |||||||||||||||||||||||||||||||
Short term investments, at fair value | 4,429,483 | — | 994,099 | — | 5,298,385 | — | 1,450,158 | — | |||||||||||||||||||||||||||||||||||||||
Equity investments trading, at fair value | 692,747 | (19,542) | 692,464 | (19,655) | 546,016 | 156,245 | 545,708 | 156,120 | |||||||||||||||||||||||||||||||||||||||
Catastrophe bonds | 1,261,145 | (91,134) | 192,323 | (39,686) | 1,104,034 | (63,665) | 217,493 | (36,249) | |||||||||||||||||||||||||||||||||||||||
Direct private equity investments | 81,610 | (16,531) | 81,610 | (16,531) | 88,373 | (4,768) | 88,373 | (4,768) | |||||||||||||||||||||||||||||||||||||||
Fund investments | 871,477 | 93,929 | 871,477 | 93,929 | 725,802 | 138,045 | 725,803 | 138,046 | |||||||||||||||||||||||||||||||||||||||
Term loans | 100,000 | — | 100,000 | — | 74,850 | — | 74,850 | — | |||||||||||||||||||||||||||||||||||||||
Other investments, at fair value | 2,314,232 | (13,736) | 1,245,410 | 37,712 | 1,993,059 | 69,612 | 1,106,519 | 97,029 | |||||||||||||||||||||||||||||||||||||||
Investments in other ventures, under equity method | 75,979 | — | 75,979 | — | 98,068 | — | 98,068 | — | |||||||||||||||||||||||||||||||||||||||
Total investments | $ | 20,597,808 | $ | (697,165) | $ | 13,655,227 | $ | (563,799) | $ | 21,442,659 | $ | 180,409 | $ | 14,617,855 | $ | 215,472 | |||||||||||||||||||||||||||||||
June 30, 2022 | December 31, 2021 | ||||||||||||||||||||||
Managed (1) | Retained (2) | Managed (1) | Retained (2) | ||||||||||||||||||||
Weighted average yield to maturity of investments (3) | 3.9 | % | 4.1 | % | 1.6 | % | 1.8 | % | |||||||||||||||
Average duration of investments, in years (3) | 2.6 | 3.3 | 2.8 | 3.5 |
24 |
Investments | ||||||||||||||||||||||||||||||||||||||||||||||||||
Managed Investments - Credit Rating (1) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Rating (2) | Investments not subject to credit ratings | |||||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2022 | Fair Value | AAA | AA | A | BBB | Non- Investment Grade | Not Rated | |||||||||||||||||||||||||||||||||||||||||||
Fixed maturity investments trading | ||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. treasuries | $ | 6,012,779 | $ | — | $ | 6,012,779 | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||||||||||||||||
Agencies | 366,752 | 76,180 | 290,572 | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
Non-U.S. government | 450,590 | 239,382 | 186,638 | 7,627 | 15,869 | 1,074 | — | — | ||||||||||||||||||||||||||||||||||||||||||
Corporate (2) | 3,901,805 | 148,871 | 390,286 | 1,318,435 | 1,052,733 | 966,281 | 25,199 | — | ||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 902,508 | 29,672 | 720,158 | 1,623 | 5,730 | 95,299 | 50,026 | — | ||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 443,070 | 340,679 | 66,898 | 9,974 | 13,570 | 4,649 | 7,300 | — | ||||||||||||||||||||||||||||||||||||||||||
Asset-backed | 1,007,863 | 692,876 | 184,764 | 62,510 | 33,277 | 27,447 | 6,989 | — | ||||||||||||||||||||||||||||||||||||||||||
Total fixed maturity investments trading | 13,085,367 | 1,527,660 | 7,852,095 | 1,400,169 | 1,121,179 | 1,094,750 | 89,514 | — | ||||||||||||||||||||||||||||||||||||||||||
Short term investments | 4,429,483 | 4,394,650 | 32,572 | 1,096 | 200 | 75 | 890 | $ | — | |||||||||||||||||||||||||||||||||||||||||
Equity investments trading | ||||||||||||||||||||||||||||||||||||||||||||||||||
Fixed income exchange traded funds (3) | 413,101 | — | — | — | 208,443 | 204,658 | — | — | ||||||||||||||||||||||||||||||||||||||||||
Other equity investments trading | 279,646 | — | — | — | — | — | — | 279,646 | ||||||||||||||||||||||||||||||||||||||||||
Total equity investments trading | 692,747 | — | — | — | 208,443 | 204,658 | — | 279,646 | ||||||||||||||||||||||||||||||||||||||||||
Other investments | ||||||||||||||||||||||||||||||||||||||||||||||||||
Catastrophe bonds | 1,261,145 | — | — | — | — | 1,261,145 | — | — | ||||||||||||||||||||||||||||||||||||||||||
Direct private equity investments | 81,610 | — | — | — | — | — | — | 81,610 | ||||||||||||||||||||||||||||||||||||||||||
Term loans | 100,000 | — | — | 100,000 | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
Fund investments: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Private credit funds | 619,003 | — | — | — | — | — | — | 619,003 | ||||||||||||||||||||||||||||||||||||||||||
Private equity funds | 252,474 | — | — | — | — | — | — | 252,474 | ||||||||||||||||||||||||||||||||||||||||||
Total other investments | 2,314,232 | — | — | 100,000 | — | 1,261,145 | — | 953,087 | ||||||||||||||||||||||||||||||||||||||||||
Investments in other ventures | 75,979 | — | — | — | — | — | — | 75,979 | ||||||||||||||||||||||||||||||||||||||||||
Total investments | $ | 20,597,808 | $ | 5,922,310 | $ | 7,884,667 | $ | 1,501,265 | $ | 1,329,822 | $ | 2,560,628 | $ | 90,404 | $ | 1,308,712 | ||||||||||||||||||||||||||||||||||
100.0 | % | 28.8 | % | 38.3 | % | 7.3 | % | 6.5 | % | 12.4 | % | 0.4 | % | 6.4 | % | |||||||||||||||||||||||||||||||||||
25 |
Investments | ||||||||||||||||||||||||||||||||||||||||||||||||||
Retained Investments - Credit Rating (1) | ||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Rating (2) | Investments not subject to credit ratings | |||||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2022 | Fair Value | AAA | AA | A | BBB | Non- Investment Grade | Not Rated | |||||||||||||||||||||||||||||||||||||||||||
Fixed maturity investments trading | ||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. treasuries | $ | 4,909,359 | $ | — | $ | 4,909,359 | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||||||||||||||||||||||||
Agencies | 297,845 | 61,543 | 236,302 | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
Non-U.S. government | 378,408 | 200,498 | 153,340 | 7,627 | 15,869 | 1,074 | — | — | ||||||||||||||||||||||||||||||||||||||||||
Corporate (3) | 3,118,163 | 117,273 | 301,216 | 1,019,830 | 824,207 | 833,742 | 21,895 | — | ||||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 614,286 | 20,947 | 441,200 | 1,623 | 5,730 | 95,299 | 49,487 | — | ||||||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 364,734 | 267,950 | 62,611 | 8,654 | 13,570 | 4,649 | 7,300 | — | ||||||||||||||||||||||||||||||||||||||||||
Asset-backed | 964,480 | 651,479 | 183,998 | 61,620 | 33,277 | 27,447 | 6,659 | — | ||||||||||||||||||||||||||||||||||||||||||
Total fixed maturity investments trading | 10,647,275 | 1,319,690 | 6,288,026 | 1,099,354 | 892,653 | 962,211 | 85,341 | — | ||||||||||||||||||||||||||||||||||||||||||
Short term investments | 994,099 | 959,244 | 32,594 | 1,096 | 200 | 75 | 890 | — | ||||||||||||||||||||||||||||||||||||||||||
Equity investments trading | ||||||||||||||||||||||||||||||||||||||||||||||||||
Fixed income exchange traded funds (4) | 413,101 | — | — | — | 208,443 | 204,658 | — | — | ||||||||||||||||||||||||||||||||||||||||||
Other equity investments trading | 279,363 | — | — | — | — | — | — | 279,363 | ||||||||||||||||||||||||||||||||||||||||||
Total equity investments trading | 692,464 | — | — | — | 208,443 | 204,658 | — | 279,363 | ||||||||||||||||||||||||||||||||||||||||||
Other investments | ||||||||||||||||||||||||||||||||||||||||||||||||||
Catastrophe bonds | 192,323 | — | — | — | — | 192,323 | — | — | ||||||||||||||||||||||||||||||||||||||||||
Direct private equity investments | 81,610 | — | — | — | — | — | — | 81,610 | ||||||||||||||||||||||||||||||||||||||||||
Term loans | 100,000 | — | — | 100,000 | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||
Fund investments: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Private credit funds | 619,003 | — | — | — | — | — | — | 619,003 | ||||||||||||||||||||||||||||||||||||||||||
Private equity funds | 252,474 | — | — | — | — | — | — | 252,474 | ||||||||||||||||||||||||||||||||||||||||||
Total other investments | 1,245,410 | — | — | 100,000 | — | 192,323 | — | 953,087 | ||||||||||||||||||||||||||||||||||||||||||
Investments in other ventures | 75,979 | — | — | — | — | — | — | 75,979 | ||||||||||||||||||||||||||||||||||||||||||
Total investments | $ | 13,655,227 | $ | 2,278,934 | $ | 6,320,620 | $ | 1,200,450 | $ | 1,101,296 | $ | 1,359,267 | $ | 86,231 | $ | 1,308,429 | ||||||||||||||||||||||||||||||||||
100.0 | % | 16.7 | % | 46.3 | % | 8.8 | % | 8.1 | % | 10.0 | % | 0.6 | % | 9.6 | % | |||||||||||||||||||||||||||||||||||
26 |
Other Items | |||||||||||||||||||||||
Earnings per Share | |||||||||||||||||||||||
Three months ended | Six months ended | ||||||||||||||||||||||
(common shares in thousands) | June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | |||||||||||||||||||
Numerator: | |||||||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | (324,913) | $ | 456,818 | $ | (719,326) | $ | 165,884 | |||||||||||||||
Amount allocated to participating common shareholders (1) | (272) | (5,809) | (507) | (1,864) | |||||||||||||||||||
Net income (loss) allocated to RenaissanceRe common shareholders | $ | (325,185) | $ | 451,009 | $ | (719,833) | $ | 164,020 | |||||||||||||||
Denominator: | |||||||||||||||||||||||
Denominator for basic income (loss) per RenaissanceRe common share - | |||||||||||||||||||||||
Weighted average common shares | 43,170 | 48,163 | 43,264 | 48,871 | |||||||||||||||||||
Per common share equivalents of non-vested shares | — | 63 | — | 69 | |||||||||||||||||||
Denominator for diluted income (loss) per RenaissanceRe common share - | |||||||||||||||||||||||
Adjusted weighted average common shares and assumed conversions | 43,170 | 48,226 | 43,264 | 48,940 | |||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - basic | $ | (7.53) | $ | 9.36 | $ | (16.64) | $ | 3.36 | |||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted | $ | (7.53) | $ | 9.35 | $ | (16.64) | $ | 3.35 | |||||||||||||||
27 |
Comments on Regulation G |
28 |
Comments on Regulation G |
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders | $ | (324,913) | $ | 456,818 | $ | (719,326) | $ | 165,884 | |||||||||||||||
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds | 629,447 | (191,016) | 1,294,203 | 135,464 | |||||||||||||||||||
Adjustment for net foreign exchange losses (gains) | 50,821 | (3,234) | 66,307 | 19,554 | |||||||||||||||||||
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK | — | — | — | 135 | |||||||||||||||||||
Adjustment for income tax expense (benefit) (1) | (42,726) | 11,786 | (84,600) | (8,179) | |||||||||||||||||||
Adjustment for net (loss) income attributable to redeemable noncontrolling interests (2) | (74,497) | 3,696 | (166,507) | (30,413) | |||||||||||||||||||
Operating income (loss) available (attributable) to RenaissanceRe common shareholders | $ | 238,132 | $ | 278,050 | $ | 390,077 | $ | 282,445 | |||||||||||||||
Net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted | $ | (7.53) | $ | 9.35 | $ | (16.64) | $ | 3.35 | |||||||||||||||
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds | 14.58 | (3.96) | 29.91 | 2.77 | |||||||||||||||||||
Adjustment for net foreign exchange losses (gains) | 1.18 | (0.07) | 1.53 | 0.40 | |||||||||||||||||||
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK | — | — | — | — | |||||||||||||||||||
Adjustment for income tax expense (benefit) (1) | (0.99) | 0.24 | (1.96) | (0.17) | |||||||||||||||||||
Adjustment for net (loss) income attributable to redeemable noncontrolling interests (2) | (1.73) | 0.08 | (3.85) | (0.62) | |||||||||||||||||||
Operating income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted | $ | 5.51 | $ | 5.64 | $ | 8.99 | $ | 5.73 | |||||||||||||||
Return on average common equity - annualized | (25.1) | % | 27.6 | % | (26.6) | % | 4.9 | % | |||||||||||||||
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds | 48.7 | % | (11.5) | % | 47.8 | % | 4.0 | % | |||||||||||||||
Adjustment for net foreign exchange losses (gains) | 3.9 | % | (0.2) | % | 2.5 | % | 0.6 | % | |||||||||||||||
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK | — | % | — | % | — | % | — | % | |||||||||||||||
Adjustment for income tax expense (benefit) (1) | (3.3) | % | 0.7 | % | (3.1) | % | (0.2) | % | |||||||||||||||
Adjustment for net (loss) income attributable to redeemable noncontrolling interests (2) | (5.8) | % | 0.2 | % | (6.2) | % | (0.9) | % | |||||||||||||||
Operating return on average common equity - annualized | 18.4 | % | 16.8 | % | 14.4 | % | 8.4 | % |
29 |
Comments on Regulation G |
June 30, 2022 | June 30, 2021 | ||||||||||
Book value per common share | $ | 113.69 | $ | 139.35 | |||||||
Adjustment for goodwill and other intangibles (1) | (5.90) | (5.60) | |||||||||
Tangible book value per common share | 107.79 | 133.75 | |||||||||
Adjustment for accumulated dividends | 24.26 | 22.80 | |||||||||
Tangible book value per common share plus accumulated dividends | $ | 132.05 | $ | 156.55 | |||||||
Quarterly change in book value per common share | (6.4) | % | 6.3 | % | |||||||
Quarterly change in tangible book value per common share plus change in accumulated dividends | (6.4) | % | 6.7 | % | |||||||
Year to date change in book value per common share | (14.0) | % | 0.6 | % | |||||||
Year to date change in tangible book value per common share plus change in accumulated dividends | (14.0) | % | 1.0 | % |
30 |
Comments on Regulation G |
Three months ended June 30, 2022 | Three months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||
Managed (1) | Adjustment (2) | Retained (3) | Managed (1) | Adjustment (2) | Retained (3) | ||||||||||||||||||||||||||||||
Fixed maturity investments trading | $ | 76,547 | $ | (13,253) | $ | 63,294 | $ | 59,510 | $ | (5,831) | $ | 53,679 | |||||||||||||||||||||||
Short term investments | 4,397 | (2,936) | 1,461 | 782 | (181) | 601 | |||||||||||||||||||||||||||||
Equity investments trading | 4,516 | — | 4,516 | 1,626 | — | 1,626 | |||||||||||||||||||||||||||||
Other investments | |||||||||||||||||||||||||||||||||||
Catastrophe bonds | 20,235 | (17,249) | 2,986 | 16,681 | (13,160) | 3,521 | |||||||||||||||||||||||||||||
Other | 6,894 | — | 6,894 | 9,339 | — | 9,339 | |||||||||||||||||||||||||||||
Cash and cash equivalents | (95) | (4) | (99) | 159 | 15 | 174 | |||||||||||||||||||||||||||||
112,494 | (33,442) | 79,052 | 88,097 | (19,157) | 68,940 | ||||||||||||||||||||||||||||||
Investment expenses | (5,283) | 1,214 | (4,069) | (7,172) | 1,214 | (5,958) | |||||||||||||||||||||||||||||
Net investment income | $ | 107,211 | $ | (32,228) | $ | 74,983 | $ | 80,925 | $ | (17,943) | $ | 62,982 | |||||||||||||||||||||||
Net investment income return - annualized | 2.1 | % | 0.1 | % | 2.2 | % | 1.5 | % | 0.3 | % | 1.8 | % | |||||||||||||||||||||||
Net realized and unrealized gains (losses) on: | |||||||||||||||||||||||||||||||||||
Fixed maturity investments trading | (436,974) | 58,077 | (378,897) | 97,176 | (3,434) | 93,742 | |||||||||||||||||||||||||||||
Investments-related derivatives | (66,078) | (1,281) | (67,359) | (9,329) | 399 | (8,930) | |||||||||||||||||||||||||||||
Equity investments trading | (91,512) | 45 | (91,467) | 65,566 | (96) | 65,470 | |||||||||||||||||||||||||||||
Other investments | |||||||||||||||||||||||||||||||||||
Catastrophe bonds | (24,660) | 21,195 | (3,465) | 2 | (496) | (494) | |||||||||||||||||||||||||||||
Other | (34,883) | — | (34,883) | 37,603 | — | 37,603 | |||||||||||||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (654,107) | 78,036 | (576,071) | 191,018 | (3,627) | 187,391 | |||||||||||||||||||||||||||||
Total investment result | $ | (546,896) | $ | 45,808 | $ | (501,088) | $ | 271,943 | $ | (21,570) | $ | 250,373 | |||||||||||||||||||||||
Average invested assets | $ | 20,724,513 | $ | (6,783,423) | $ | 13,941,090 | $ | 21,396,100 | $ | (7,426,187) | $ | 13,969,913 | |||||||||||||||||||||||
Total investment return - annualized | (10.1) | % | (3.5) | % | (13.6) | % | 5.2 | % | 2.2 | % | 7.4 | % |
31 |
Comments on Regulation G |
Six months ended June 30, 2022 | Six months ended June 30, 2021 | ||||||||||||||||||||||||||||||||||
Managed (1) | Adjustment (2) | Retained (3) | Managed (1) | Adjustment (2) | Retained (3) | ||||||||||||||||||||||||||||||
Fixed maturity investments trading | $ | 138,964 | $ | (19,996) | $ | 118,968 | $ | 122,443 | $ | (12,014) | $ | 110,429 | |||||||||||||||||||||||
Short term investments | 5,533 | (3,430) | 2,103 | 1,355 | (478) | 877 | |||||||||||||||||||||||||||||
Equity investments trading | 7,270 | — | 7,270 | 3,117 | — | 3,117 | |||||||||||||||||||||||||||||
Other investments | |||||||||||||||||||||||||||||||||||
Catastrophe bonds | 37,595 | (31,923) | 5,672 | 31,149 | (24,277) | 6,872 | |||||||||||||||||||||||||||||
Other | 12,446 | — | 12,446 | 13,140 | — | 13,140 | |||||||||||||||||||||||||||||
Cash and cash equivalents | (136) | 12 | (124) | 261 | 19 | 280 | |||||||||||||||||||||||||||||
201,672 | (55,337) | 146,335 | 171,465 | (36,750) | 134,715 | ||||||||||||||||||||||||||||||
Investment expenses | (10,770) | 2,093 | (8,677) | (10,736) | 1,601 | (9,135) | |||||||||||||||||||||||||||||
Net investment income | $ | 190,902 | $ | (53,244) | $ | 137,658 | $ | 160,729 | $ | (35,149) | $ | 125,580 | |||||||||||||||||||||||
Net investment income return - annualized | 1.8 | % | 0.2 | % | 2.0 | % | 1.5 | % | 0.3 | % | 1.8 | % | |||||||||||||||||||||||
Net realized and unrealized gains (losses) on: | |||||||||||||||||||||||||||||||||||
Fixed maturity investments trading | (1,022,303) | 138,991 | (883,312) | (179,444) | 14,136 | (165,308) | |||||||||||||||||||||||||||||
Investments-related derivatives | (106,366) | (729) | (107,095) | 5,532 | 1,965 | 7,497 | |||||||||||||||||||||||||||||
Equity investments trading | (140,201) | (6) | (140,207) | (2,356) | (112) | (2,468) | |||||||||||||||||||||||||||||
Other investments | |||||||||||||||||||||||||||||||||||
Catastrophe bonds | (32,921) | 28,174 | (4,747) | (19,081) | 7,259 | (11,822) | |||||||||||||||||||||||||||||
Other | (25,333) | — | (25,333) | 40,804 | — | 40,804 | |||||||||||||||||||||||||||||
Net realized and unrealized gains (losses) on investments | (1,327,124) | 166,430 | (1,160,694) | (154,545) | 23,248 | (131,297) | |||||||||||||||||||||||||||||
Total investment result | $ | (1,136,222) | $ | 113,186 | $ | (1,023,036) | $ | 6,184 | $ | (11,901) | $ | (5,717) | |||||||||||||||||||||||
Average invested assets | $ | 20,963,895 | $ | (6,797,217) | $ | 14,166,678 | $ | 21,471,972 | $ | (7,297,849) | $ | 14,174,123 | |||||||||||||||||||||||
Total investment return - annualized | (10.5) | % | (3.4) | % | (13.9) | % | 0.1 | % | (0.2) | % | (0.1) | % |
32 |
Comments on Regulation G |
June 30, 2022 | December 31, 2021 | ||||||||||||||||||||||||||||||||||
Managed (1) | Adjustment (2) | Retained (3) | Managed (1) | Adjustment (2) | Retained (3) | ||||||||||||||||||||||||||||||
Fixed maturity investments trading | |||||||||||||||||||||||||||||||||||
U.S. treasuries | 6,012,779 | (1,103,420) | 4,909,359 | 6,247,779 | (1,072,776) | 5,175,003 | |||||||||||||||||||||||||||||
Agencies | 366,752 | (68,907) | 297,845 | 361,684 | (58,997) | 302,687 | |||||||||||||||||||||||||||||
Non-U.S. government | 450,590 | (72,182) | 378,408 | 549,613 | (83,792) | 465,821 | |||||||||||||||||||||||||||||
Corporate (4) | 3,901,805 | (783,642) | 3,118,163 | 3,689,286 | (532,730) | 3,156,556 | |||||||||||||||||||||||||||||
Residential mortgage-backed | 902,508 | (288,222) | 614,286 | 955,301 | (222,661) | 732,640 | |||||||||||||||||||||||||||||
Commercial mortgage-backed | 443,070 | (78,336) | 364,734 | 634,925 | (74,577) | 560,348 | |||||||||||||||||||||||||||||
Asset-backed | 1,007,863 | (43,383) | 964,480 | 1,068,543 | (44,196) | 1,024,347 | |||||||||||||||||||||||||||||
Total fixed maturity investments trading | 13,085,367 | (2,438,092) | 10,647,275 | 13,507,131 | (2,089,729) | 11,417,402 | |||||||||||||||||||||||||||||
Short term investments | $ | 4,429,483 | $ | (3,435,384) | $ | 994,099 | $ | 5,298,385 | $ | (3,848,227) | $ | 1,450,158 | |||||||||||||||||||||||
Equity investments trading | |||||||||||||||||||||||||||||||||||
Fixed income exchange traded funds | 413,101 | — | 413,101 | 90,422 | — | 90,422 | |||||||||||||||||||||||||||||
Other equity investments trading | 279,646 | (283) | 279,363 | 455,594 | (308) | 455,286 | |||||||||||||||||||||||||||||
Total equity investments trading | 692,747 | (283) | 692,464 | 546,016 | (308) | 545,708 | |||||||||||||||||||||||||||||
Other investments | |||||||||||||||||||||||||||||||||||
Catastrophe bonds | 1,261,145 | (1,068,822) | 192,323 | 1,104,034 | (886,541) | 217,493 | |||||||||||||||||||||||||||||
Direct private equity investments | 81,610 | — | 81,610 | 88,373 | — | 88,373 | |||||||||||||||||||||||||||||
Term loans | 100,000 | — | 100,000 | 74,850 | — | 74,850 | |||||||||||||||||||||||||||||
Fund investments: | |||||||||||||||||||||||||||||||||||
Private credit funds | 619,003 | — | 619,003 | 473,112 | — | 473,112 | |||||||||||||||||||||||||||||
Private equity funds | 252,474 | — | 252,474 | 241,297 | — | 241,297 | |||||||||||||||||||||||||||||
Hedge funds | — | — | — | 11,393 | 1 | 11,394 | |||||||||||||||||||||||||||||
Total other investments | 2,314,232 | (1,068,822) | 1,245,410 | 1,993,059 | (886,540) | 1,106,519 | |||||||||||||||||||||||||||||
Investments in other ventures | 75,979 | — | 75,979 | 98,068 | — | 98,068 | |||||||||||||||||||||||||||||
Total investments | $ | 20,597,808 | (6,942,581) | $ | 13,655,227 | 21,442,659 | (6,824,804) | 14,617,855 | |||||||||||||||||||||||||||
33 |
Comments on Regulation G |
June 30, 2022 | December 31, 2022 | ||||||||||||||||||||||||||||||||||
Type of Investment | Unrealized Gain (Loss) - Managed (1) | Adjustment (2) | Unrealized Gain (Loss) - Retained (3) | Unrealized Gain (Loss) - Managed (1) | Adjustment (2) | Unrealized Gain (Loss) - Retained (3) | |||||||||||||||||||||||||||||
Fixed maturity investments trading, at fair value | $ | (663,887) | $ | 82,031 | $ | (581,856) | $ | (45,448) | $ | 7,771 | $ | (37,677) | |||||||||||||||||||||||
Equity investments trading, at fair value | (19,542) | $ | (113) | (19,655) | 156,245 | $ | (125) | 156,120 | |||||||||||||||||||||||||||
Catastrophe bonds | (91,134) | $ | 51,448 | (39,686) | (63,665) | $ | 27,416 | (36,249) | |||||||||||||||||||||||||||
Direct private equity investments | (16,531) | $ | — | (16,531) | (4,768) | $ | — | (4,768) | |||||||||||||||||||||||||||
Fund investments | 93,929 | $ | — | 93,929 | 138,045 | $ | 1 | 138,046 | |||||||||||||||||||||||||||
Other investments, at fair value | (13,736) | $ | 51,448 | 37,712 | 69,612 | $ | 27,417 | 97,029 | |||||||||||||||||||||||||||
Total investments | $ | (697,165) | $ | 133,366 | $ | (563,799) | $ | 180,409 | $ | 35,063 | $ | 215,472 |
34 |
Comments on Regulation G |
Three months ended | Six months ended | ||||||||||||||||||||||
June 30, 2022 | June 30, 2021 | June 30, 2022 | June 30, 2021 | ||||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests (1) | $ | (49,331) | $ | (113,544) | $ | (37,419) | $ | (66,694) | |||||||||||||||
Adjustment for the portion of net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds attributable to redeemable noncontrolling interests | 54,227 | (3,131) | 135,618 | 15,989 | |||||||||||||||||||
Adjustment for the portion of net foreign exchange losses (gains) attributable to redeemable noncontrolling interests | 20,270 | (565) | 30,889 | 14,425 | |||||||||||||||||||
Adjustment for non-operating (income) loss attributable to redeemable noncontrolling interests (2) | 74,497 | (3,696) | 166,507 | 30,414 | |||||||||||||||||||
Operating (income) loss attributable to redeemable noncontrolling interests | $ | (123,828) | $ | (109,848) | $ | (203,926) | $ | (97,108) |
35 |