Form: 8-K

Current report filing

April 28, 2021

Documents



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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. Segment Underwriting Results
c. Property Segment - Catastrophe and Other Property Underwriting Results
d. Gross Premiums Written
e. Reserves for Claims and Claim Expenses
f. Paid to Incurred Analysis
Managed Joint Ventures and Fee Income
a. Fee Income
b. Noncontrolling Interests
c. DaVinciRe Holdings Ltd. and Subsidiary Consolidated Statements of Operations
Investments
a. Total Investment Result
b. Investment Portfolio - Composition
c. Investment Portfolio - Fixed Maturity Investments
d. Investment Portfolio - Weighted Average Yield to Maturity and Credit Rating
e. Retained Investment Information
Other Items
a. Earnings per Share
Comments on Regulation G
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RenaissanceRe Holdings Ltd.
Basis of Presentation
RenaissanceRe Holdings Ltd. (the "Company" or "RenaissanceRe") is a global provider of reinsurance and insurance. The Company provides property, casualty and specialty reinsurance and certain insurance solutions to customers, principally through intermediaries. Established in 1993, the Company has offices in Bermuda, Australia, Ireland, Singapore, Switzerland, the United Kingdom and the United States.
This financial supplement includes certain financial measures that are not calculated in accordance with generally accepted accounting principles in the U.S ("GAAP") including “operating (loss) income (attributable) available to RenaissanceRe common shareholders,” “operating (loss) income (attributable) available to RenaissanceRe common shareholders per common share - diluted,” “operating return on average common equity - annualized,” “tangible book value per common share,” “tangible book value per common share plus accumulated dividends," "retained investment result" and "retained fixed maturity and short term investments, at fair value." A reconciliation of such measures to the most comparable GAAP figures in accordance with Regulation G is presented in the attached supplemental financial data. See pages 19 through 23 for "Comments on Regulation G."
Cautionary Statement under “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995; Statements made in this financial supplement contain information about the Company's future business prospects. These statements may be considered “forward-looking.” These statements are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by such forward-looking statements. For further information regarding cautionary statements and factors affecting future results, please refer to RenaissanceRe Holdings Ltd.'s filings with the U.S. Securities and Exchange Commission, including its Annual Reports on Form 10-K and its Quarterly Reports on Form 10-Q.
All information contained herein is unaudited. Unless otherwise noted, amounts are in thousands of United States Dollars, except for share and per share amounts and ratio information. Certain prior period comparatives have been reclassified to conform to the current presentation. This supplement is being provided for informational purposes only. It should be read in conjunction with documents filed by RenaissanceRe with the U.S. Securities and Exchange Commission, including its Annual Reports on Form 10-K and its Quarterly Reports on Form 10-Q. Please refer to the Company's website at www.renre.com for further information about RenaissanceRe.
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Financial Highlights
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Highlights
Gross premiums written $ 2,652,442  $ 935,514  $ 1,143,058  $ 1,701,872  $ 2,025,721 
Underwriting (loss) income $ (35,760) $ (151,655) $ (206,072) $ 217,137  $ 64,079 
Net investment income $ 79,804  $ 81,717  $ 83,543  $ 89,305  $ 99,473 
Net realized and unrealized (losses) gains on investments (345,563) 258,745  224,208  448,390  (110,707)
Total investment result
 $ (265,759) $ 340,462  $ 307,751  $ 537,695  $ (11,234)
Net (loss) income (attributable) available to RenaissanceRe common shareholders $ (290,934) $ 189,812  $ 47,799  $ 575,845  $ (81,974)
Operating income (loss) available (attributable) to RenaissanceRe common shareholders (1)
$ 4,395  $ (77,122) $ (131,724) $ 190,076  $ 33,410 
Per share data
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share - basic $ (5.87) $ 3.75  $ 0.94  $ 12.64  $ (1.89)
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share - diluted $ (5.87) $ 3.74  $ 0.94  $ 12.63  $ (1.89)
Operating income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted (1)
$ 0.09  $ (1.59) $ (2.64) $ 4.06  $ 0.76 
Book value per common share $ 131.15  $ 138.46  $ 135.13  $ 134.27  $ 117.15 
Tangible book value per common share (1)
$ 125.73  $ 133.09  $ 129.60  $ 128.71  $ 110.69 
Tangible book value per common share plus accumulated dividends (1)
$ 148.17  $ 155.17  $ 151.33  $ 150.09  $ 131.72 
Change in tangible book value per common share plus change in accumulated dividends (1)
(5.3) % 3.0  % 1.0  % 16.6  % (2.6) %
Financial ratios
 Combined ratio 103.1  % 114.7  % 120.6  % 78.5  % 93.0  %
 Return on average common equity - annualized (17.1) % 10.9  % 2.8  % 38.5  % (6.3) %
 Operating return on average common equity - annualized (1)
0.3  % (4.4) % (7.7) % 12.7  % 2.6  %
 Total investment return - annualized (4.9) % 6.6  % 6.2  % 11.8  % (0.1) %
(1)    See "Comments on Regulation G" for a reconciliation of non-GAAP financial measures.
                 
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Summary Consolidated Financial Statements
Consolidated Statements of Operations
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Revenues
Gross premiums written $ 2,652,442  $ 935,514  $ 1,143,058  $ 1,701,872  $ 2,025,721 
Net premiums written $ 1,824,083  $ 746,311  $ 899,411  $ 1,180,803  $ 1,269,808 
(Increase) decrease in unearned premiums (670,247) 282,774  100,772  (170,707) (356,710)
Net premiums earned 1,153,836  1,029,085  1,000,183  1,010,096  913,098 
Net investment income 79,804  81,717  83,543  89,305  99,473 
Net foreign exchange (losses) gains (22,788) 23,270  17,426  (7,195) (5,728)
Equity in (losses) earnings of other ventures (5,558) (1,868) 5,457  9,041  4,564 
Other income (loss) 2,171  4,374  1,476  (1,201) (4,436)
Net realized and unrealized (losses) gains on investments (345,563) 258,745  224,208  448,390  (110,707)
Total revenues 861,902  1,395,323  1,332,293  1,548,436  896,264 
Expenses
Net claims and claim expenses incurred 867,051  901,353  942,030  510,272  570,954 
Acquisition expenses 267,234  238,283  215,180  233,610  210,604 
Operational expenses 55,311  41,104  49,045  49,077  67,461 
Corporate expenses 10,405  21,031  48,050  11,898  15,991 
Interest expense 11,912  11,841  11,843  11,842  14,927 
Total expenses 1,211,913  1,213,612  1,266,148  816,699  879,937 
(Loss) income before taxes (350,011) 181,711  66,145  731,737  16,327 
Income tax benefit (expense) 19,516  9,923  8,244  (29,875) 8,846 
Net (loss) income (330,495) 191,634  74,389  701,862  25,173 
Net loss (income) attributable to redeemable noncontrolling interests 46,850  5,467  (19,301) (118,728) (98,091)
Net (loss) income attributable to RenaissanceRe (283,645) 197,101  55,088  583,134  (72,918)
Dividends on preference shares (7,289) (7,289) (7,289) (7,289) (9,056)
Net (loss) income (attributable) available to RenaissanceRe common shareholders $ (290,934) $ 189,812  $ 47,799  $ 575,845  $ (81,974)
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share - basic $ (5.87) $ 3.75  $ 0.94  $ 12.64  $ (1.89)
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share - diluted $ (5.87) $ 3.74  $ 0.94  $ 12.63  $ (1.89)
Operating income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted (1)
$ 0.09  $ (1.59) $ (2.64) $ 4.06  $ 0.76 
Return on average common equity - annualized
 (17.1) % 10.9  % 2.8  % 38.5  % (6.3) %
Operating return on average common equity - annualized (1)
0.3  % (4.4) % (7.7) % 12.7  % 2.6  %
                 
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Summary Consolidated Financial Statements
Consolidated Balance Sheets
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Assets
Fixed maturity investments trading, at fair value $ 13,309,234  $ 13,506,503  $ 13,391,318  $ 12,495,135  $ 11,045,801 
Short term investments, at fair value 5,091,143  4,993,735  5,158,961  5,570,804  5,263,242 
Equity investments trading, at fair value 503,137  702,617  547,381  470,087  360,444 
Other investments, at fair value 1,379,056  1,256,948  1,122,683  1,093,338  1,058,714 
Investments in other ventures, under equity method 91,362  98,373  98,990  94,285  90,396 
Total investments 20,373,932  20,558,176  20,319,333  19,723,649  17,818,597 
Cash and cash equivalents 1,286,661  1,736,813  1,287,378  1,185,844  896,216 
Premiums receivable 3,928,122  2,894,631  3,337,120  3,519,965  3,105,441 
Prepaid reinsurance premiums 1,229,716  823,582  1,082,270  1,266,203  1,151,926 
Reinsurance recoverable 3,160,667  2,926,010  2,883,808  2,774,358  2,765,583 
Accrued investment income 62,573  66,743  71,947  70,004  73,496 
Deferred acquisition costs and value of business acquired 786,941  633,521  697,346  734,286  739,875 
Receivable for investments sold 841,156  568,293  752,936  648,458  341,786 
Other assets 318,249  363,170  306,265  298,396  312,523 
Goodwill and other intangibles 248,080  249,641  257,437  258,591  260,076 
Total assets $ 32,236,097  $ 30,820,580  $ 30,995,840  $ 30,479,754  $ 27,465,519 
Liabilities, Noncontrolling Interests and Shareholders' Equity
Liabilities
Reserve for claims and claim expenses $ 10,953,383  $ 10,381,138  $ 9,900,615  $ 9,365,469  $ 9,406,707 
Unearned premiums 3,833,155  2,763,599  3,276,156  3,549,641  3,245,914 
Debt 1,136,783  1,136,265  1,135,740  1,135,216  1,134,695 
Reinsurance balances payable 4,254,645  3,488,352  3,915,804  4,094,027  3,775,375 
Payable for investments purchased 1,133,787  1,132,538  1,597,893  1,259,116  636,136 
Other liabilities 436,437  970,121  391,494  342,014  351,320 
Total liabilities 21,748,190  19,872,013  20,217,702  19,745,483  18,550,147 
Redeemable noncontrolling interests 3,409,570  3,388,319  3,387,317  3,387,099  3,231,846 
Shareholders' Equity
Preference shares 525,000  525,000  525,000  525,000  525,000 
Common shares 49,970  50,811  50,810  50,811  44,034 
Additional paid-in capital 1,450,627  1,623,206  1,615,328  1,602,738  502,608 
Accumulated other comprehensive loss (12,382) (12,642) (2,083) (3,066) (1,664)
Retained earnings 5,065,122  5,373,873  5,201,766  5,171,689  4,613,548 
Total shareholders' equity attributable to RenaissanceRe 7,078,337  7,560,248  7,390,821  7,347,172  5,683,526 
Total liabilities, noncontrolling interests and shareholders' equity $ 32,236,097  $ 30,820,580  $ 30,995,840  $ 30,479,754  $ 27,465,519 
Book value per common share $ 131.15  $ 138.46  $ 135.13  $ 134.27  $ 117.15 
                 
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Underwriting and Reserves
Consolidated Segment Underwriting Results
Three months ended March 31, 2021
Property Casualty and Specialty Total
Gross premiums written $ 1,616,819  $ 1,035,623  $ 2,652,442 
Net premiums written $ 1,008,460  $ 815,623  $ 1,824,083 
Net premiums earned $ 605,166  $ 548,670  $ 1,153,836 
Net claims and claim expenses incurred 498,832  368,219  867,051 
Acquisition expenses 112,754  154,480  267,234 
Operational expenses 35,375  19,936  55,311 
Underwriting (loss) income $ (41,795) $ 6,035  $ (35,760)
Net claims and claim expenses incurred - current accident year $ 503,994  $ 372,089  $ 876,083 
Net claims and claim expenses incurred - prior accident years (5,162) (3,870) (9,032)
Net claims and claim expenses incurred - total $ 498,832  $ 368,219  $ 867,051 
Net claims and claim expense ratio - current accident year 83.3  % 67.8  % 75.9  %
Net claims and claim expense ratio - prior accident years (0.9) % (0.7) % (0.8) %
Net claims and claim expense ratio - calendar year 82.4  % 67.1  % 75.1  %
Underwriting expense ratio 24.5  % 31.8  % 28.0  %
Combined ratio 106.9  % 98.9  % 103.1  %
Three months ended March 31, 2020
Property Casualty and Specialty Total
Gross premiums written $ 1,220,526  $ 805,195  $ 2,025,721 
Net premiums written $ 674,581  $ 595,227  $ 1,269,808 
Net premiums earned $ 421,335  $ 491,763  $ 913,098 
Net claims and claim expenses incurred 144,745  426,209  570,954 
Acquisition expenses 85,351  125,253  210,604 
Operational expenses 44,007  23,454  67,461 
Underwriting income (loss) $ 147,232  $ (83,153) $ 64,079 
Net claims and claim expenses incurred - current accident year $ 130,844  $ 426,210  $ 557,054 
Net claims and claim expenses incurred - prior accident years 13,901  (1) 13,900 
Net claims and claim expenses incurred - total $ 144,745  $ 426,209  $ 570,954 
Net claims and claim expense ratio - current accident year 31.1  % 86.7  % 61.0  %
Net claims and claim expense ratio - prior accident years 3.3  % —  % 1.5  %
Net claims and claim expense ratio - calendar year 34.4  % 86.7  % 62.5  %
Underwriting expense ratio 30.7  % 30.2  % 30.5  %
Combined ratio 65.1  % 116.9  % 93.0  %

                 
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Underwriting and Reserves
Segment Underwriting Results
Three months ended
Property Segment March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Gross premiums written $ 1,616,819  $ 308,315  $ 427,765  $ 1,042,536  $ 1,220,526 
Net premiums written $ 1,008,460  $ 279,773  $ 378,708  $ 704,138  $ 674,581 
Net premiums earned $ 605,166  $ 507,141  $ 516,623  $ 491,116  $ 421,335 
Net claims and claim expenses incurred 498,832  536,218  590,979  164,005  144,745 
Acquisition expenses 112,754  75,032  98,545  94,772  85,351 
Operational expenses 35,375  26,160  33,724  31,656  44,007 
Underwriting (loss) income $ (41,795) $ (130,269) $ (206,625) $ 200,683  $ 147,232 
Net claims and claim expenses incurred - current accident year $ 503,994  $ 661,711  $ 629,827  $ 170,614  $ 130,844 
Net claims and claim expenses incurred - prior accident years (5,162) (125,493) (38,848) (6,608) 13,901 
Net claims and claim expenses incurred - total $ 498,832  $ 536,218  $ 590,979  $ 164,006  $ 144,745 
Net claims and claim expense ratio - current accident year 83.3  % 130.4  % 121.9  % 34.7  % 31.1  %
Net claims and claim expense ratio - prior accident years (0.9) % (24.7) % (7.5) % (1.3) % 3.3  %
Net claims and claim expense ratio - calendar year 82.4  % 105.7  % 114.4  % 33.4  % 34.4  %
Underwriting expense ratio 24.5  % 20.0  % 25.6  % 25.7  % 30.7  %
Combined ratio 106.9  % 125.7  % 140.0  % 59.1  % 65.1  %
Three months ended
Casualty and Specialty Segment March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Gross premiums written $ 1,035,623  $ 627,199  $ 715,293  $ 659,336  $ 805,195 
Net premiums written $ 815,623  $ 466,538  $ 520,703  $ 476,665  $ 595,227 
Net premiums earned $ 548,670  $ 521,944  $ 483,560  $ 518,980  $ 491,763 
Net claims and claim expenses incurred 368,219  365,135  351,052  346,266  426,209 
Acquisition expenses 154,480  163,251  116,636  138,837  125,253 
Operational expenses 19,936  14,945  15,319  17,422  23,454 
Underwriting income (loss) $ 6,035  $ (21,387) $ 553  $ 16,455  $ (83,153)
Net claims and claim expenses incurred - current accident year $ 372,089  $ 368,071  $ 366,080  $ 355,064  $ 426,210 
Net claims and claim expenses incurred - prior accident years (3,870) (2,936) (15,028) (8,798) (1)
Net claims and claim expenses incurred - total $ 368,219  $ 365,135  $ 351,052  $ 346,266  $ 426,209 
Net claims and claim expense ratio - current accident year 67.8  % 70.5  % 75.7  % 68.4  % 86.7  %
Net claims and claim expense ratio - prior accident years (0.7) % (0.5) % (3.1) % (1.7) % —  %
Net claims and claim expense ratio - calendar year 67.1  % 70.0  % 72.6  % 66.7  % 86.7  %
Underwriting expense ratio 31.8  % 34.1  % 27.3  % 30.1  % 30.2  %
Combined ratio 98.9  % 104.1  % 99.9  % 96.8  % 116.9  %

                 
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Underwriting and Reserves
Property Segment - Catastrophe and Other Property Underwriting Results
Three months ended March 31, 2021 Three months ended March 31, 2020
Catastrophe Other Property Total Catastrophe Other Property Total
Gross premiums written $ 1,131,125  $ 485,694  $ 1,616,819  $ 936,190  $ 284,336  $ 1,220,526 
Net premiums written $ 660,120  $ 348,340  $ 1,008,460  $ 477,457  $ 197,124  $ 674,581 
Net premiums earned $ 340,980  $ 264,186  $ 605,166  $ 220,655  $ 200,680  $ 421,335 
Net claims and claim expenses incurred 334,011  164,821  498,832  (2,201) 146,946  144,745 
Acquisition expenses 41,378  71,376  112,754  28,707  56,644  85,351 
Operational expenses 28,366  7,009  35,375  35,545  8,462  44,007 
Underwriting (loss) income $ (62,775) $ 20,980  $ (41,795) $ 158,604  $ (11,372) $ 147,232 
Net claims and claim expenses incurred - current accident year $ 338,475  $ 165,519  $ 503,994  $ 23,382  $ 107,462  $ 130,844 
Net claims and claim expenses incurred - prior accident years (4,464) (698) (5,162) (25,583) 39,484  13,901 
Net claims and claim expenses incurred - total $ 334,011  $ 164,821  $ 498,832  $ (2,201) $ 146,946  $ 144,745 
Net claims and claim expense ratio - current accident year 99.3  % 62.7  % 83.3  % 10.6  % 53.5  % 31.1  %
Net claims and claim expense ratio - prior accident years (1.3) % (0.3) % (0.9) % (11.6) % 19.7  % 3.3  %
Net claims and claim expense ratio - calendar year 98.0  % 62.4  % 82.4  % (1.0) % 73.2  % 34.4  %
Underwriting expense ratio 20.4  % 29.7  % 24.5  % 29.1  % 32.5  % 30.7  %
Combined ratio 118.4  % 92.1  % 106.9  % 28.1  % 105.7  % 65.1  %

                 
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Underwriting and Reserves
Gross Premiums Written
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Property Segment
Catastrophe $ 1,131,125  $ 59,120  $ 179,689  $ 711,786  $ 936,190 
Other property 485,694  249,195  248,076  330,750  284,336 
Property segment gross premiums written
 $ 1,616,819  $ 308,315  $ 427,765  $ 1,042,536  $ 1,220,526 
Casualty and Specialty Segment
General casualty (1)
$ 343,170  $ 190,996  $ 260,265  $ 206,666  $ 246,667 
Professional liability (2)
314,372  207,437  175,459  222,737  230,487 
Financial lines (3)
144,386  122,023  143,455  101,635  147,079 
Other (4)
233,695  106,743  136,114  128,298  180,962 
Casualty and Specialty segment gross premiums written
 $ 1,035,623  $ 627,199  $ 715,293  $ 659,336  $ 805,195 
(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.




                 
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Underwriting and Reserves
Reserves for Claims and Claim Expenses
Case Reserves Additional Case Reserves IBNR Total
March 31, 2021
Property $ 1,292,683  $ 1,333,734  $ 2,145,953  $ 4,772,370 
Casualty and Specialty 1,801,362  147,822  4,231,829  6,181,013 
Total $ 3,094,045  $ 1,481,556  $ 6,377,782  $ 10,953,383 
December 31, 2020
Property $ 1,127,909  $ 1,617,003  $ 1,627,541  $ 4,372,453 
Casualty and Specialty 1,651,150  133,843  4,223,692  6,008,685 
Total $ 2,779,059  $ 1,750,846  $ 5,851,233  $ 10,381,138 
September 30, 2020
Property $ 1,037,858  $ 1,752,260  $ 1,238,478  $ 4,028,596 
Casualty and Specialty 1,625,554  123,001  4,123,464  5,872,019 
Total $ 2,663,412  $ 1,875,261  $ 5,361,942  $ 9,900,615 
June 30, 2020
Property $ 1,095,843  $ 1,650,244  $ 842,395  $ 3,588,482 
Casualty and Specialty 1,682,299  127,588  3,967,100  5,776,987 
Total $ 2,778,142  $ 1,777,832  $ 4,809,495  $ 9,365,469 
March 31, 2020
Property $ 1,096,170  $ 1,707,754  $ 958,827  $ 3,762,751 
Casualty and Specialty 1,644,402  105,505  3,894,049  5,643,956 
Total $ 2,740,572  $ 1,813,259  $ 4,852,876  $ 9,406,707 
                 
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Underwriting and Reserves
Paid to Incurred Analysis
Three months ended March 31, 2021 Three months ended March 31, 2020
Gross Recoveries Net Gross Recoveries Net
Reserve for claims and claim expenses, beginning of period $ 10,381,138  $ 2,926,010  $ 7,455,128  $ 9,384,349  $ 2,791,297  $ 6,593,052 
Incurred claims and claim expenses
Current year 1,221,981  345,898  876,083  790,010  232,956  557,054 
Prior years 28,265  37,297  (9,032) (42,295) (56,195) 13,900 
Total incurred claims and claim expenses 1,250,246  383,195  867,051  747,715  176,761  570,954 
Paid claims and claim expenses
Current year 18,069  3,318  14,751  34,310  3,109  31,201 
Prior years 622,819  136,331  486,488  635,378  199,092  436,286 
Total paid claims and claim expenses 640,888  139,649  501,239  669,688  202,201  467,487 
Foreign exchange (1)
(37,113) (8,889) (28,224) (55,669) (274) (55,395)
Reserve for claims and claim expenses, end of period $ 10,953,383  $ 3,160,667  $ 7,792,716  $ 9,406,707  $ 2,765,583  $ 6,641,124 
(1)    Reflects the impact of the foreign exchange revaluation of the net reserve for claims and claim expenses denominated in non-U.S. dollars as at the balance sheet date.

                 
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Managed Joint Ventures and Fee Income
Fee Income
The table below reflects the total fee income earned through third-party capital management as well as various joint ventures and certain structured retrocession agreements to which the Company is a party. Joint ventures include DaVinciRe Holdings Ltd. ("DaVinciRe"), Top Layer Reinsurance Ltd., Vermeer Reinsurance Ltd. ("Vermeer") and certain entities investing in Langhorne Holdings LLC. Managed funds include RenaissanceRe Upsilon Fund Ltd. and RenaissanceRe Medici Fund Ltd. ("Medici"). Structured reinsurance products and other include certain other vehicles and reinsurance contracts which transfer risk to capital.
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Management fee income
Joint ventures
$ 11,128  $ 8,458  $ 13,070  $ 12,190  $ 11,781 
Structured reinsurance products and other
 8,774  8,830  8,785  8,739  8,597 
Managed funds
8,622  9,490  8,610  6,508  6,418 
Total management fee income
 28,524  26,778  30,465  27,437  26,796 
Performance fee income (loss)
Joint ventures
1,556  (1,984) (1,842) 6,165  7,828 
Structured reinsurance products and other
 (1,293) 1,570  (10,414) 7,994  8,375 
Managed funds
(4,798) 9,542  175  3,914  2,363 
Total performance fee (loss) income (1)
(4,535) 9,128  (12,081) 18,073  18,566 
Total fee income $ 23,989  $ 35,906  $ 18,384  $ 45,510  $ 45,362 
(1)     Performance fees are based on the performance of the individual vehicles or products, and may be negative in a particular period if, for example, large losses occur, which can potentially result in no performance fees or the reversal of previously accrued performance fees.



                 
10
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Managed Joint Ventures and Fee Income
Noncontrolling Interests
The Company consolidates the results of certain of its joint ventures and managed capital vehicles, namely, DaVinciRe, Medici and Vermeer (collectively, the "Consolidated Managed Joint Ventures"), on its consolidated balance sheets and statements of operations. Redeemable noncontrolling interests on the Company's consolidated balance sheets represents the portion of the net assets of the Consolidated Managed Joint Ventures attributable to third-party investors in these Consolidated Managed Joint Ventures. Net (income) loss attributable to redeemable noncontrolling interests on the Company's consolidated statements of operations represents the portion of the (income) loss associated with the Consolidated Managed Joint Ventures included on the Company's consolidated statements of operations that is attributable to third-party investors in these Consolidated Managed Joint Ventures.
A summary of the redeemable noncontrolling interests on the Company's consolidated statements of operations is set forth below:
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Redeemable noncontrolling interest - DaVinciRe
 $ 39,934  $ 32,993  $ 26,616  $ (88,374) $ (84,906)
Redeemable noncontrolling interest - Medici
 13,443  (13,534) (33,963) (13,151) 4,678 
Redeemable noncontrolling interest - Vermeer
 (6,527) (13,992) (11,954) (17,203) (17,863)
Net loss (income) attributable to redeemable noncontrolling interests (1)
$ 46,850  $ 5,467  $ (19,301) $ (118,728) $ (98,091)
(1) A negative number in the table above represents net income earned by the Consolidated Managed Joint Ventures allocated to third-party investors. Conversely, a positive number represents net losses incurred by the Consolidated Managed Joint Ventures allocated to third-party investors.
A summary of the Company’s redeemable noncontrolling interests on its consolidated balance sheets is set forth below:
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Redeemable noncontrolling interest - DaVinciRe $ 1,555,714  $ 1,560,693  $ 1,594,683  $ 1,621,300  $ 1,533,085 
Redeemable noncontrolling interest - Medici 737,702  717,999  696,999  682,118  677,283 
Redeemable noncontrolling interest - Vermeer 1,116,154  1,109,627  1,095,635  1,083,681  1,021,478 
Redeemable noncontrolling interests $ 3,409,570  $ 3,388,319  $ 3,387,317  $ 3,387,099  $ 3,231,846 

A summary of the redeemable noncontrolling economic ownership of third parties in the Consolidated Managed Joint Ventures is set forth below:
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
DaVinciRe 71.3  % 78.6  % 78.6  % 78.6  % 78.6  %
Medici 84.6  % 84.3  % 88.5  % 88.6  % 88.8  %
Vermeer 100.0  % 100.0  % 100.0  % 100.0  % 100.0  %

                 
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Managed Joint Ventures and Fee Income
DaVinciRe Holdings Ltd. and Subsidiary Consolidated Statements of Operations
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Revenues
Gross premiums written $ 342,033  $ 21,996  $ 77,866  $ 222,306  $ 255,640 
Net premiums written $ 315,476  $ 22,266  $ 78,025  $ 177,116  $ 241,641 
(Increase) decrease in unearned premiums (154,894) 120,081  62,486  (58,172) (135,933)
Net premiums earned 160,582  142,347  140,511  118,944  105,708 
Net investment income 8,261  8,848  9,339  11,557  15,087 
Net foreign exchange (losses) gains (590) 149  (511) 8  (1,180)
Net realized and unrealized (losses) gains on investments (26,798) 3,436  5,439  34,674  18,529 
Total revenues 141,455  154,780  154,778  165,183  138,144 
Expenses
Net claims and claim expenses incurred 167,543  184,787  171,271  9,829  (13,726)
Acquisition expenses 16,317  3,138  2,384  29,208  30,112 
Operational and corporate expenses 11,706  6,955  13,123  11,862  11,889 
Interest expense 1,858  1,859  1,859  1,859  1,858 
Total expenses 197,424  196,739  188,637  52,758  30,133 
(Loss) income before taxes (55,969) (41,959) (33,859) 112,425  108,011 
Income tax (expense) benefit —  (12) —  (2) 2 
Net (loss) income (attributable) available to DaVinciRe common shareholders $ (55,969) $ (41,971) $ (33,859) $ 112,423  $ 108,013 
Net claims and claim expenses incurred - current accident year
 $ 181,716  $ 209,903  $ 196,188  $ 14,728  $ 4,967 
Net claims and claim expenses incurred - prior accident years
 (14,173) (25,116) (24,917) (4,899) (18,693)
Net claims and claim expenses incurred - total
 $ 167,543  $ 184,787  $ 171,271  $ 9,829  $ (13,726)
Net claims and claim expense ratio - current accident year
 113.2  % 147.5  % 139.6  % 12.4  % 4.7  %
Net claims and claim expense ratio - prior accident years
 (8.9) % (17.7) % (17.7) % (4.1) % (17.7) %
Net claims and claim expense ratio - calendar year
 104.3  % 129.8  % 121.9  % 8.3  % (13.0) %
Underwriting expense ratio
 17.5  % 7.1  % 11.0  % 34.5  % 39.7  %
Combined ratio
 121.8  % 136.9  % 132.9  % 42.8  % 26.7  %
                 
12
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RenaissanceRe Holdings Ltd.
Investments
Total Investment Result
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Fixed maturity investments trading
 $ 62,933  $ 66,912  $ 68,022  $ 69,943  $ 73,338 
Short term investments
 573  1,047  1,611  6,049  12,092 
Equity investments trading
 1,491  1,628  1,559  1,666  1,551 
Other investments
Catastrophe bonds 14,468  13,500  13,626  13,519  14,139 
Other 3,801  4,083  2,598  1,107  1,629 
Cash and cash equivalents
 102  192  441  837  1,504 
83,368  87,362  87,857  93,121  104,253 
Investment expenses
 (3,564) (5,645) (4,314) (3,816) (4,780)
Net investment income
 79,804  81,717  83,543  89,305  99,473 
Net realized and unrealized (losses) gains on:
Fixed maturity investments trading (1)
(261,759) 90,132  78,348  322,711  101,221 
Equity investments trading (1)
(67,922) 154,306  119,622  113,506  (151,882)
Other investments
Catastrophe bonds (19,083) (9,742) 12,611  4,452  (14,352)
Other 3,201  24,049  13,627  7,721  (45,694)
Net realized and unrealized (losses) gains on investments (345,563) 258,745  224,208  448,390  (110,707)
Total investment result
 $ (265,759) $ 340,462  $ 307,751  $ 537,695  $ (11,234)
Total investment return - annualized
 (4.9) % 6.6  % 6.2  % 11.8  % (0.1) %
(1)    Net realized and unrealized (losses) gains on fixed maturity investments trading includes the impacts of interest rate futures, interest rate swaps, credit default swaps and total return swaps. Net realized and unrealized (losses) gains on equity investments trading includes the impact of equity futures.
                 
13
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Investments
Investment Portfolio - Composition
Type of Investment March 31, 2021 December 31, 2020 September 30, 2020 June 30, 2020 March 31, 2020
U.S. treasuries $ 5,107,878  25.1  % $ 4,960,409  24.1  % $ 4,350,971  21.4  % $ 4,258,675  21.6  % $ 3,915,130  22.0  %
Agencies 227,184  1.1  % 368,032  1.8  % 437,681  2.1  % 505,038  2.6  % 537,490  3.1  %
Non-U.S. government 518,162  2.5  % 491,531  2.4  % 568,960  2.8  % 584,206  3.0  % 635,282  3.6  %
Non-U.S. government-backed corporate 335,662  1.6  % 338,014  1.6  % 401,449  2.0  % 314,833  1.6  % 283,577  1.6  %
Corporate 4,289,072  21.1  % 4,261,025  20.7  % 4,655,765  22.9  % 4,428,553  22.5  % 3,259,780  18.3  %
Agency mortgage-backed 957,563  4.7  % 1,113,792  5.4  % 1,086,474  5.3  % 985,851  5.0  % 1,056,272  5.9  %
Non-agency mortgage-backed 272,529  1.3  % 291,444  1.4  % 293,953  1.4  % 276,300  1.4  % 275,026  1.6  %
Commercial mortgage-backed 713,044  3.5  % 791,272  3.8  % 788,995  3.9  % 591,238  3.0  % 540,502  3.0  %
Asset-backed 888,140  4.4  % 890,984  4.3  % 807,070  4.0  % 550,441  2.8  % 542,742  3.1  %
Total fixed maturity investments, at fair value 13,309,234  65.3  % 13,506,503  65.5  % 13,391,318  65.8  % 12,495,135  63.5  % 11,045,801  62.2  %
Short term investments, at fair value 5,091,143  25.0  % 4,993,735  24.3  % 5,158,961  25.4  % 5,570,804  28.2  % 5,263,242  29.4  %
Total consolidated fixed maturity and short term investments, at fair value
 18,400,377  90.3  % 18,500,238  89.8  % 18,550,279  91.2  % 18,065,939  91.7  % 16,309,043  91.6  %
Equity investments trading, at fair value 503,137  2.5  % 702,617  3.4  % 547,381  2.7  % 470,087  2.4  % 360,444  2.0  %
Other investments, at fair value 1,379,056  6.8  % 1,256,948  6.2  % 1,122,683  5.5  % 1,093,338  5.5  % 1,058,714  5.9  %
Total managed investment portfolio 20,282,570  99.6  % 20,459,803  99.4  % 20,220,343  99.4  % 19,629,364  99.6  % 17,728,201  99.5  %
Investments in other ventures, under equity method 91,362  0.4  % 98,373  0.6  % 98,990  0.6  % 94,285  0.4  % 90,396  0.5  %
Total investments $ 20,373,932  100.0  % $ 20,558,176  100.0  % $ 20,319,333  100.0  % $ 19,723,649  100.0  % $ 17,818,597  100.0  %
                 
14
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Investments
Investment Portfolio - Fixed Maturity Investments
Credit Quality of Fixed Maturity Investments March 31, 2021 December 31, 2020 September 30, 2020 June 30, 2020 March 31, 2020
AAA $ 1,859,370  14.0  % $ 1,915,147  14.2  % $ 1,972,894  14.7  % $ 1,392,417  11.1  % $ 1,590,824  14.4  %
AA 7,022,443  52.8  % 7,210,622  53.4  % 6,721,098  50.2  % 6,670,927  53.4  % 6,212,689  56.3  %
A 1,504,569  11.3  % 1,485,463  11.0  % 1,777,861  13.3  % 1,864,066  14.9  % 1,491,504  13.5  %
BBB 1,509,280  11.3  % 1,538,681  11.4  % 1,648,049  12.3  % 1,433,297  11.5  % 915,375  8.3  %
Non-investment grade and not rated 1,413,572  10.6  % 1,356,590  10.0  % 1,271,416  9.5  % 1,134,428  9.1  % 835,409  7.5  %
Total fixed maturity investments, at fair value $ 13,309,234  100.0  % $ 13,506,503  100.0  % $ 13,391,318  100.0  % $ 12,495,135  100.0  % $ 11,045,801  100.0  %
Maturity Profile of Fixed Maturity Investments
Due in less than one year $ 572,443  4.3  % $ 637,418  4.7  % $ 621,610  4.6  % $ 638,686  5.1  % $ 723,397  6.5  %
Due after one through five years 5,569,638  41.9  % 5,391,122  39.9  % 5,749,128  43.0  % 5,513,103  44.1  % 5,039,456  45.7  %
Due after five through ten years 3,786,423  28.4  % 3,806,564  28.2  % 3,374,898  25.2  % 3,312,749  26.6  % 2,612,031  23.7  %
Due after ten years 549,453  4.1  % 583,908  4.3  % 669,190  5.0  % 626,768  5.0  % 256,375  2.3  %
Mortgage-backed securities 1,943,137  14.6  % 2,196,507  16.3  % 2,169,422  16.2  % 1,853,388  14.8  % 1,871,800  16.9  %
Asset-backed securities 888,140  6.7  % 890,984  6.6  % 807,070  6.0  % 550,441  4.4  % 542,742  4.9  %
Total fixed maturity investments, at fair value $ 13,309,234  100.0  % $ 13,506,503  100.0  % $ 13,391,318  100.0  % $ 12,495,135  100.0  % $ 11,045,801  100.0  %

                 
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Investments
Investment Portfolio - Weighted Average Yield to Maturity and Credit Rating
Credit Rating (1)
March 31, 2021 Amortized
Cost		 Fair Value Weighted Average Yield to Maturity AAA AA A BBB Non-
Investment
Grade		 Not Rated
Short term investments $ 5,091,143  $ 5,091,143  0.1  % $ 5,070,274  $ 4,686  $ 11,169  $ 2,135  $ 2,703  $ 176 
  100.0  % 99.6  % 0.1  % 0.2  % —  % 0.1  % —  %
Fixed maturity investments
U.S. treasuries 5,134,561  5,107,878  0.7  % —  5,107,878  —  —  —  — 
Agencies
Fannie Mae and Freddie Mac 66,016  63,787  1.3  % —  63,787  —  —  —  — 
Other agencies 165,843  163,397  1.5  % —  163,397  —  —  —  — 
Total agencies 231,859  227,184  1.4  % —  227,184  —  —  —  — 
Non-U.S. government 522,411  518,162  1.0  % 327,980  149,009  17,524  22,068  1,581  — 
Non-U.S. government-backed corporate 337,967  335,662  1.2  % 135,942  173,922  10,848  7,338  5,644  1,968 
Corporate 4,225,023  4,289,072  2.5  % 76,940  161,869  1,446,018  1,410,658  1,137,879  55,708 
Mortgage-backed
Residential mortgage-backed
Agency securities 955,262  957,563  1.7  % —  957,563  —  —  —  — 
Non-agency securities 267,591  272,529  3.0  % 64,642  13,424  2,520  7,170  133,512  51,261 
Total residential mortgage-backed 1,222,853  1,230,092  2.0  % 64,642  970,987  2,520  7,170  133,512  51,261 
Commercial mortgage-backed 699,472  713,044  1.8  % 557,036  120,566  5,392  24,347  2,528  3,175 
Total mortgage-backed 1,922,325  1,943,136  1.9  % 621,678  1,091,553  7,912  31,517  136,040  54,436 
Asset-backed
Collateralized loan obligations 795,020  797,409  1.8  % 612,855  108,905  20,395  37,644  7,993  9,617 
Other 89,819  90,731  0.8  % 83,975  2,123  1,872  55  1,279  1,427 
Total asset-backed 884,839  888,140  1.7  % 696,830  111,028  22,267  37,699  9,272  11,044 
Total securitized assets 2,807,164  2,831,276  1.8  % 1,318,508  1,202,581  30,179  69,216  145,312  65,480 
Total fixed maturity investments 13,258,985  13,309,234  1.6  % 1,859,370  7,022,443  1,504,569  1,509,280  1,290,416  123,156 
  100.0  % 14.0  % 52.8  % 11.3  % 11.3  % 9.7  % 0.9  %
Total consolidated fixed maturity and short term investments, at fair value
 $ 18,350,128  $ 18,400,377  1.2  % $ 6,929,644  $ 7,027,129  $ 1,515,738  $ 1,511,415  $ 1,293,119  $ 123,332 
100.0  % 37.8  % 38.2  % 8.2  % 8.2  % 7.0  % 0.7  %
(1) The credit ratings included in this table are those assigned by Standard & Poor’s Corporation ("S&P"). When ratings provided by S&P were not available, ratings from other nationally recognized rating agencies were used. The Company has grouped short term investments with an A-1+ and A-1 short term issue credit rating as AAA, short term investments with an A-2 short term issue credit rating as AA and short term investments with an A-3 short term issue credit rating as A.
                 
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Investments
Retained Investment Information
“Retained total investment result" is defined as consolidated total investment result less the portion attributable to redeemable noncontrolling interests, certain third-party vehicles and joint ventures.
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Total investment result
Net investment income $ 79,804  $ 81,717  $ 83,543  $ 89,305  $ 99,473 
Net realized and unrealized (losses) gains on investments (345,563) 258,745  224,208  448,390  (110,707)
Total investment result $ (265,759) $ 340,462  $ 307,751  $ 537,695  $ (11,234)
Retained total investment result (1)
Retained net investment income $ 62,598  $ 64,250  $ 64,971  $ 67,189  $ 72,603 
Retained net realized and unrealized (losses) gains on investments (318,688) 258,293  201,699  418,046  (113,261)
Retained total investment result $ (256,090) $ 322,543  $ 266,670  $ 485,235  $ (40,658)
(1)    Includes total investment return, less the portion attributable to redeemable noncontrolling interests, certain third-party vehicles and joint ventures. See "Comments on Regulation G" for a reconciliation of non-GAAP financial measures.
“Retained fixed maturity and short term investments, at fair value" is defined as total consolidated fixed maturity and short term investments, at fair value, less the portion of fixed maturity and short term investments, at fair value attributable to redeemable noncontrolling interests, certain third party vehicles and joint ventures.
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Managed fixed maturity and short term investments portfolio (1)
Total consolidated fixed maturity and short term investments, at fair value $ 18,400,377  $ 18,500,238  $ 18,550,279  $ 18,065,939  $ 16,309,043 
Weighted average yield to maturity of fixed maturity and short term investments 1.2  % 0.9  % 1.0  % 1.1  % 1.5  %
Average duration of fixed maturities and short term investments, in years 2.9  2.9  2.9  2.9  2.8 
Retained fixed maturity and short term investments portfolio (2)
Retained fixed maturity and short term investments, at fair value $ 12,736,000  $ 13,219,754  $ 13,046,376  $ 12,703,423  $ 11,124,214 
Weighted average yield to maturity of retained fixed maturity and short term investments
 1.5  % 1.2  % 1.3  % 1.4  % 1.9  %
Average duration of retained fixed maturities and short term investments, in years 3.7  3.6  3.7  3.7  3.5 
(1)    Includes total consolidated fixed maturity and short term investments, at fair value, as presented on the Company's consolidated balance sheets.
(2)    Includes total consolidated fixed maturity and short term investments, at fair value, less the portion of fixed maturity and short term investments, at fair value attributable to redeemable noncontrolling interests, certain third party vehicles and joint ventures. See "Comments on Regulation G" for a reconciliation of non-GAAP financial measures.
                 
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Other Items
Earnings per Share
Three months ended
(common shares in thousands) March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Numerator:
Net (loss) income (attributable) available to RenaissanceRe common shareholders $ (290,934) $ 189,812  $ 47,799  $ 575,845  $ (81,974)
Amount allocated to participating common shareholders (1)
(129) (2,285) (582) (7,593) (146)
Net (loss) income allocated to RenaissanceRe common shareholders $ (291,063) $ 187,527  $ 47,217  $ 568,252  $ (82,120)
Denominator:
Denominator for basic income per RenaissanceRe common share -
Weighted average common shares 49,579  50,022  50,009  44,939  43,441 
Per common share equivalents of non-vested shares —  89  85  64  — 
Denominator for diluted income (loss) per RenaissanceRe common share -
Adjusted weighted average common shares and assumed conversions 49,579  50,111  50,094  45,003  43,441 
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share - basic $ (5.87) $ 3.75  $ 0.94  $ 12.64  $ (1.89)
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share - diluted $ (5.87) $ 3.74  $ 0.94  $ 12.63  $ (1.89)
(1)    Represents earnings and dividends attributable to holders of unvested shares issued pursuant to the Company's stock compensation plans.
                 
18
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Comments on Regulation G
In addition to the GAAP financial measures set forth in this Financial Supplement, the Company has included certain non-GAAP financial measures within the meaning of Regulation G. The Company has consistently provided these financial measures in previous investor communications and the Company's management believes that these measures are important to investors and other interested persons, and that investors and such other persons benefit from having a consistent basis for comparison between quarters and for comparison with other companies within the industry. These measures may not, however, be comparable to similarly titled measures used by companies outside of the insurance industry. Investors are cautioned not to place undue reliance on these non-GAAP measures in assessing the Company's overall financial performance.
Operating (Loss) Income (Attributable) Available to RenaissanceRe Common Shareholders and Operating Return on Average Common Equity - Annualized
The Company uses “operating (loss) income (attributable) available to RenaissanceRe common shareholders” as a measure to evaluate the underlying fundamentals of its operations and believes it to be a useful measure of its corporate performance. “Operating (loss) income (attributable) available to RenaissanceRe common shareholders” as used herein differs from “net income (loss) available (attributable) to RenaissanceRe common shareholders,” which the Company believes is the most directly comparable GAAP measure, by the exclusion of net realized and unrealized gains and losses on investments, excluding other investments - catastrophe bonds, net foreign exchange gains and losses, corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK, the income tax expense or benefit associated with these adjustments and the portion of these adjustments attributable to the Company's redeemable noncontrolling interests." The Company's management believes that “operating (loss) income (attributable) available to RenaissanceRe common shareholders” is useful to investors because it more accurately measures and predicts the Company's results of operations by removing the variability arising from: fluctuations in the fair value of the Company's fixed maturity investment portfolio, equity investments trading, other investments (excluding catastrophe bonds) and investments-related derivatives; fluctuations in foreign exchange rates; corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK; the associated income tax expense or benefit of these adjustments; and the portion of these adjustments attributable to the Company's redeemable noncontrolling interests. The Company also uses “operating (loss) income (attributable) available to RenaissanceRe common shareholders” to calculate “operating (loss) income (attributable) available to RenaissanceRe common shareholders per common share - diluted” and “operating return on average common equity - annualized.” The following table is a reconciliation of: (1) net income (loss) available (attributable) to RenaissanceRe common shareholders to "operating (loss) income (attributable) available to RenaissanceRe common shareholders"; (2) net income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted to "operating (loss) income (attributable) available to RenaissanceRe common shareholders per common share - diluted"; and (3) return on average common equity - annualized to "operating return on average common equity - annualized." Comparative information for all prior periods has been updated to conform to the current methodology and presentation.



                 
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Comments on Regulation G
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Net (loss) income (attributable) available to RenaissanceRe common shareholders $ (290,934) $ 189,812  $ 47,799  $ 575,845  $ (81,974)
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds
326,480  (268,487) (211,597) (443,938) 96,355 
Adjustment for net foreign exchange losses (gains) 22,788  (23,270) (17,426) 7,195  5,728 
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK (1)
135  7,346  33,916  2,279  4,423 
Adjustment for income tax (benefit) expense (2)
(19,965) 7,723  5,058  21,223  (4,141)
Adjustment for net (loss) income (attributable) available to redeemable noncontrolling interests (3)
(34,109) 9,754  10,526  27,472  13,019 
Operating income (loss) available (attributable) to RenaissanceRe common shareholders $ 4,395  $ (77,122) $ (131,724) $ 190,076  $ 33,410 
Net (loss) income (attributable) available to RenaissanceRe common shareholders per common share - diluted $ (5.87) $ 3.74  $ 0.94  $ 12.63  $ (1.89)
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds
6.59  (5.36) (4.22) (9.86) 2.22 
Adjustment for net foreign exchange losses (gains) 0.46  (0.46) (0.35) 0.16  0.13 
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK (1)
—  0.15  0.68  0.05  0.10 
Adjustment for income tax (benefit) expense (2)
(0.40) 0.15  0.10  0.47  (0.10)
Adjustment for net (loss) income (attributable) available to redeemable noncontrolling interests (3)
(0.69) 0.19  0.21  0.61  0.30 
Operating income (loss) available (attributable) to RenaissanceRe common shareholders per common share - diluted $ 0.09  $ (1.59) $ (2.64) $ 4.06  $ 0.76 
Return on average common equity - annualized (17.1) % 10.9  % 2.8  % 38.5  % (6.3) %
Adjustment for net realized and unrealized losses (gains) on investments, excluding other investments - catastrophe bonds
19.2  % (15.4) % (12.4) % (29.7) % 7.5  %
Adjustment for net foreign exchange losses (gains) 1.4  % (1.3) % (1.0) % 0.5  % 0.4  %
Adjustment for corporate expenses associated with the acquisition of TMR and the subsequent sale of RenaissanceRe UK (1)
—  % 0.4  % 2.0  % 0.2  % 0.3  %
Adjustment for income tax (benefit) expense (2)
(1.2) % 0.4  % 0.3  % 1.4  % (0.3) %
Adjustment for net (loss) income (attributable) available to redeemable noncontrolling interests (3)
(2.0) % 0.6  % 0.6  % 1.8  % 1.0  %
Operating return on average common equity - annualized 0.3  % (4.4) % (7.7) % 12.7  % 2.6  %
(1)    Included in the three months ended September 30, 2020 is the loss on sale of RenaissanceRe UK of $30.2 million.
(2)    Adjustment for income tax expense (benefit) represents the income tax (expense) benefit associated with the adjustments to net income (loss) available (attributable) to RenaissanceRe common shareholders. The income tax impact is estimated by applying the statutory rates of applicable jurisdictions, after consideration of other relevant factors.
(3)    Represents the portion of these adjustments that are attributable to the Company's redeemable noncontrolling interests, including the income tax impact of those adjustments.
                 
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Comments on Regulation G

Tangible Book Value Per Common Share and Tangible Book Value Per Common Share Plus Accumulated Dividends
The Company has included in this Financial Supplement “tangible book value per common share” and “tangible book value per common share plus accumulated dividends.” “Tangible book value per common share” is defined as book value per common share excluding goodwill and intangible assets per share. “Tangible book value per common share plus accumulated dividends” is defined as book value per common share excluding goodwill and intangible assets per share, plus accumulated dividends. The Company's management believes “tangible book value per common share” and “tangible book value per common share plus accumulated dividends” are useful to investors because they provide a more accurate measure of the realizable value of shareholder returns, excluding the impact of goodwill and intangible assets. The following table is a reconciliation of book value per common share to "tangible book value per common share'" and "tangible book value per common share plus accumulated dividends."
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Book value per common share
 $ 131.15  $ 138.46  $ 135.13  $ 134.27  $ 117.15 
Adjustment for goodwill and other intangibles (1)
(5.42) (5.37) (5.53) (5.56) (6.46)
Tangible book value per common share
 125.73  133.09  129.60  128.71  110.69 
Adjustment for accumulated dividends
 22.44  22.08  21.73  21.38  21.03 
Tangible book value per common share plus accumulated dividends
 $ 148.17  $ 155.17  $ 151.33  $ 150.09  $ 131.72 
Quarterly change in book value per common share
 (5.3) % 2.5  % 0.6  % 14.6  % (2.8) %
Quarterly change in tangible book value per common share plus change in accumulated dividends
 (5.3) % 3.0  % 1.0  % 16.6  % (2.6) %
Year to date change in book value per common share (5.3) % 14.9  % 12.1  % 11.4  % (2.8) %
Year to date change in tangible book value per common share plus change in accumulated dividends
 (5.3) % 17.9  % 14.6  % 13.5  % (2.6) %
(1)     At March 31, 2021, December 31, 2020, September 30, 2020, June 30, 2020, and March 31, 2020, goodwill and other intangibles included $22.7 million, $23.0 million, $23.2 million, $23.5 million and $24.2 million, respectively, of goodwill and other intangibles included in investments in other ventures, under equity method.

                 
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Comments on Regulation G
Retained Total Investment Result
The Company has included in this Financial Supplement “retained total investment result.” “Retained total investment result" is defined as consolidated total investment result less the portion attributable to redeemable noncontrolling interests, certain third-party vehicles and joint ventures. “Retained total investment result” differs from consolidated total investment result, which the Company believes is the most directly comparable GAAP measure, due to the exclusion of the investment result attributable to redeemable noncontrolling interests, certain third-party vehicles and joint ventures. The Company's management believes “retained total investment result” is useful to investors and other interested parties because it provides a measure of the portion of the Company's investment result, that impacts the investment result included in net income (loss) available (attributable) to RenaissanceRe common shareholders. The following table is a reconciliation of consolidated total investment result to “retained total investment result.”
Three months ended
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Net investment income
 $ 79,804  $ 81,717  $ 83,543  $ 89,305  99,473 
Adjustment for net investment income attributable to redeemable noncontrolling interests, certain third-party vehicles and joint ventures
 (17,206) (17,467) (18,572) (22,116) $ (26,870)
Retained net investment income
 62,598  64,250  64,971  67,189  72,603 
Net realized and unrealized (losses) gains on investments (345,563) 258,745  224,208  448,390  (110,707)
Adjustment for net realized and unrealized (gains) losses on investments attributable to redeemable noncontrolling interests, certain third-party vehicles and joint ventures 26,875  (452) (22,509) (30,344) (2,554)
Retained net realized and unrealized (losses) gains on investments (318,688) 258,293  201,699  418,046  (113,261)
Total investment result
 (265,759) 340,462  307,751  537,695  (11,234)
Adjustment for investment result attributable to redeemable noncontrolling interests, certain third-party vehicles and joint ventures
 9,669  (17,919) (41,081) (52,460) (29,424)
Retained total investment result
 $ (256,090) $ 322,543  $ 266,670  $ 485,235  $ (40,658)


                 
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Comments on Regulation G
Retained Fixed Maturity and Short Term Investments, at Fair Value
The Company has included in this Financial Supplement “retained fixed maturity and short term investments, at fair value.” “Retained fixed maturity and short term investments, at fair value" is defined as total consolidated fixed maturity and short term investments, at fair value, less the portion of fixed maturity and short term investments, at fair value attributable to redeemable noncontrolling interests, certain third party vehicles and joint ventures. “Retained fixed maturity and short term investments, at fair value” differs from total consolidated fixed maturity and short term investments, at fair value, which the Company believes is the most directly comparable GAAP measure, due to the exclusion of fixed maturity and short term investments, at fair value, attributable to redeemable noncontrolling interests, certain third party vehicles and joint ventures. The Company's management believes “retained fixed maturity and short term investments, at fair value” is useful to investors and other interested parties because it provides a measure of the portion of the Company's fixed maturity and short term investments, at fair value, that impacts the investment result included in net income (loss) available (attributable) to RenaissanceRe common shareholders. The following table is a reconciliation of total consolidated fixed maturity and short term investments, at fair value, to “retained fixed maturity and short term investments, at fair value.”
March 31,
2021		 December 31,
2020		 September 30,
2020		 June 30,
2020		 March 31,
2020
Fixed maturity investments, at fair value $ 13,309,234  $ 13,506,503  $ 13,391,318  $ 12,495,135  $ 11,045,801 
Short term investments, at fair value 5,091,143  4,993,735  5,158,961  5,570,804  5,263,242 
Total consolidated fixed maturity and short term investments, at fair value
 $ 18,400,377  $ 18,500,238  $ 18,550,279  $ 18,065,939  $ 16,309,043 
Adjustment for fixed maturity and short term investments attributable to redeemable noncontrolling interests, certain third-party vehicles and joint ventures
 (5,664,377) (5,280,484) (5,503,903) (5,362,516) (5,184,829)
Retained fixed maturity and short term investments, at fair value
 $ 12,736,000  $ 13,219,754  $ 13,046,376  $ 12,703,423  $ 11,124,214 

                 
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