Company: AFGC
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001042046-25-000011
Chunk: 78

Company: AMERICAN FINANCIAL GROUP INC
Filing Date: 2025-02-25
Form: 10-K
Item: Item 1
Chunk 78
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 of payables to reinsurers) at December 31, 2024: Everest Reinsurance Company, Hannover Rueck SE, Munich Reinsurance America, Inc., Swiss Reinsurance America Corporation and Transatlantic Reinsurance Company. No other reinsurers exceeded 5% of AFG’s property and casualty reinsurance recoverable.

The following table presents (by type of coverage) the amount of each loss above the specified retention covered by treaty reinsurance programs in AFG’s U.S.-based property and casualty insurance operations (in millions) as of January 1, 2025:

Reinsurance CoverageAFG Maximum Loss (b)Primary RetentionCoverage AmountAFG Participation (a)%$U.S.-based operations:California Workers’ Compensation$2 $148 1 %$1 $3 Summit Workers’ Compensation6 34 5 %2 8 Other Workers’ Compensation2 48 3 %1 3 Commercial Umbrella2 48 13 %6 8 Property — General10 40 — %— 10 Property — Catastrophe70 205 — %— 70 

(a)Includes the participation of AFG’s internal reinsurance program.

(b)Maximum loss per event for claims up to reinsurance coverage limit.

In addition to the coverage shown above, AFG reinsures its multi-peril crop insurance (“MPCI”) business through the Federal Crop Insurance Corporation (“FCIC”) based on the Standard Reinsurance Agreement (“SRA”). AFG can elect the desired retention of risk on a state-by-state, county, crop or plan basis according to the SRA. The SRA also includes an additional fixed percentage quota share cede. AFG typically reinsures 10% to 20% of MPCI gross written premiums with the FCIC. AFG also purchases quota share reinsurance on its crop business in the private market. This quota share provides for a ceding commission to AFG and a profit-sharing provision. During both 2024 and 2023, AFG reinsured 50% of its crop premiums not reinsured by the FCIC in the private market and purchased stop loss protection coverage for the remaining portion of the business. In 2025, AFG expects to continue to reinsure 50% of the premiums not reinsured by the FCIC in the private market.

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The balance sheet caption “Recoverables from reinsurers” included approximately