Company: L
Filing Date: 2025-08-04
Form Type: 10-Q
Source: 0000060086-25-000166
Chunk: 92

Company: LOEWS CORP
Filing Date: 2025-08-04
Form: 10-Q
Item: Part I, Item 8
Chunk 92
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 general liability and professional liability claims. Claim and claim adjustment expense reserves are also maintained for structured settlement obligations. In developing the claim and claim adjustment expense reserve estimates for structured settlement obligations, actuaries review mortality experience on an annual basis. Adjustments to prior year reserve estimates, if necessary, are reflected in the results of operations in the period that the need for such adjustments is determined. There can be no assurance that the ultimate cost for insurance losses will not exceed current estimates.Catastrophes are an inherent risk of the property and casualty insurance business and have contributed to material period-to-period fluctuations in the Company’s results of operations and/or equity. Catastrophe losses, net of reinsurance, of $62 million and $82 million for the three months ended June 30, 2025 and 2024 and $159 million and $170 million for the six months ended June 30, 2025 and 2024 were recorded, driven by severe weather related events.

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Liability for Unpaid Claim and Claim Adjustment ExpensesThe following table presents a reconciliation between beginning and ending claim and claim adjustment expense reserves.Six Months Ended June 3020252024(In millions)     Reserves, beginning of year:  Gross$24,976 $23,304 Ceded5,713 5,141 Net reserves, beginning of year19,263 18,163  Net incurred claim and claim adjustment expenses:Provision for insured events of current year3,309 3,039 Increase (decrease) in provision for insured events of prior years189 19 Amortization of discount20 20 Total net incurred (a)3,518 3,078  Net payments attributable to:Current year events(316)(308)Prior year events(2,391)(2,259)Total net payments(2,707)(2,567) Foreign currency translation adjustment and other199 (58) Net reserves, end of period20,273 18,616 Ceded reserves, end of period5,930 5,358 Gross reserves, end of period$26,203 $23,974 (a)Total net incurred does not agree to Insurance claims and policyholders’ benefits as reflected on the Consolidated Condensed Statements of Operations due to amounts related to retroactive reinsurance deferred gain accounting, uncollectible reinsurance and benefit expenses related to future policy benefits and policyholders’ dividends, which are not reflected in the