Company: AXS-PE
Filing Date: 2025-10-29
Form Type: 10-Q
Source: 0001214816-25-000181
Chunk: 45

Company: AXIS CAPITAL HOLDINGS LTD
Filing Date: 2025-10-29
Form: 10-Q
Item: Item 1
Chunk 45
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's beginning and ending gross reserve for losses and loss expenses and net reserve for unpaid losses and loss expenses:Nine months ended September 30,20252024Gross reserve for losses and loss expenses, beginning of period$17,218,929 $16,434,018 Less reinsurance recoverable on unpaid losses and loss expenses, beginning of period(6,840,897)(6,323,083)Net reserve for unpaid losses and loss expenses, beginning of period10,378,032 10,110,935 Net incurred losses and loss expenses related to:Current year2,486,226 2,334,543 Prior years(57,112)(8,011) 2,429,114 2,326,532 Net paid losses and loss expenses related to:Current year(279,444)(308,581)Prior years(2,068,518)(1,769,278) (2,347,962)(2,077,859)Foreign exchange and other(1,505,957)124,792 Net reserve for unpaid losses and loss expenses, end of period8,953,227 10,484,400 Reinsurance recoverable on unpaid losses and loss expenses, end of period9,043,009 6,810,929 Gross reserve for losses and loss expenses, end of period$17,996,236 $17,295,329 On April 24, 2025, the Company completed a loss portfolio transfer reinsurance agreement with Cavello Bay Reinsurance Limited, a wholly-owned subsidiary of Enstar Group Limited ("Enstar") which was deemed to have met the established criteria for retroactive reinsurance accounting (refer to Note 14 'Related Party Transactions'). At September 30, 2025, foreign exchange and other included an increase in reinsurance recoverable on unpaid losses of $1.9 billion related to this transaction.At September 30, 2025, net reserves for losses and loss expenses included estimated amounts for numerous catastrophe events. The magnitude and complexity of losses arising from certain of these events inherently increase the level of uncertainty and, therefore, the level of management judgment involved in arriving at estimated net reserves for losses and loss expenses. These events include California Wildfires in 2025, Hurricane Milton and Hurricane Helene in 2024. As a result, actual losses for these events may ultimately differ materially from current estimates. During the nine months ended September 30,