We make estimates with respect to the potential impairment of financial instruments and recognize expected credit losses as an allowance rather than impairments as credit losses are incurred. We have established allowances for expected credit losses with respect to held-to-maturity debt securities and reinsurance receivable.

Held-to-Maturity Fixed-Maturity Securities

For held-to-maturity debt securities, we make estimates concerning expected credit losses at an aggregated level rather than monitoring individual debt securities for credit losses. We establish an allowance for expected credit losses based on an ongoing review of securities held, historical loss data, changes in issuer credit standing and other relevant factors. We utilize a probability-of-default methodology, which reflects current and forecasted economic conditions, to estimate the allowance for expected credit losses and recognize changes to the allowance in our results of operations.

The following table presents the balances for fixed maturities classified as held-to-maturity, net of the allowance for expected credit losses, at June 30, 2026 and 2025 and changes in the allowance for expected credit losses for the three and six months ended June 30, 2026 and 2025.

Reinsurance Receivable

For reinsurance receivable, we establish an allowance for expected credit losses based upon our ongoing review of amounts outstanding, historical loss data, changes in reinsurer credit standing and other relevant factors. We utilize a probability-of-default methodology, which reflects current and forecasted economic conditions, to estimate the allowance for expected credit losses and recognize changes to the allowance in our results of operations.

The following table presents the balances for reinsurance receivable, net of the allowance for expected credit losses, at June 30, 2026 and 2025 and changes in the allowance for expected credit losses for the three and six months ended June 30, 2026 and 2025.

		At and For the Three Months Ended June 30, 2026								At and For the Three Months Ended June 30, 2025
		Reinsurance Receivable, Net of Allowance for Expected Credit Losses				Allowance for Expected Credit Losses				Reinsurance Receivable, Net of Allowance for Expected Credit Losses				Allowance for Expected Credit Losses
		(in thousands)
Balance at beginning of period		$	418,091			$	402			$	403,382			$	434
Current period change for expected credit losses							(11	)							(102	)
Balance at end of period		$	413,119			$	391			$	411,125			$	332

		At and For the Six Months Ended June 30, 2026								At and For the Six Months Ended June 30, 2025
		Reinsurance Receivable, Net of Allowance for Expected Credit Losses				Allowance for Expected Credit Losses				Reinsurance Receivable, Net of Allowance for Expected Credit Losses				Allowance for Expected Credit Losses
		(in thousands)
Balance at beginning of period		$	398,582			$	375			$	420,742			$	391
Current period change for expected credit losses							16								(59	)
Balance at end of period		$	413,119			$	391			$	411,125			$	332