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LOSS AND LOSS ADJUSTMENT EXPENSE RESERVES
 6 Months Ended
Jun. 30, 2026
Insurance [Abstract]  
LOSS AND LOSS ADJUSTMENT EXPENSE RESERVES LOSS AND LOSS ADJUSTMENT EXPENSE RESERVES
The following provides a reconciliation of the beginning and ending reserve balances for loss and LAE, net of reinsurance:
Six Months Ended June 30,
20262025
(dollars in millions)
Gross loss and LAE reserves, January 1$483.6 $413.2 
Reinsurance recoverable on unpaid losses(25.4)(48.0)
Net loss and LAE reserves, January 1458.2 365.2 
Net incurred loss and LAE related to:
Current year494.6 452.9 
Prior years(28.5)(14.0)
Total incurred466.1 438.9 
Net paid loss and LAE related to:
Current year222.4 205.9
Prior years231.6 189.7
Total paid454.0 395.6 
Net loss and LAE reserves, June 30
470.3 408.5 
Plus reinsurance recoverable on unpaid losses18.9 36.0 
Gross loss and LAE reserves, June 30
$489.2 $444.5 
Net incurred losses and LAE attributable to prior accident years was a decrease of $28.5 million and $14.0 million for the six months ended June 30, 2026 and 2025, respectively. For the six months ended June 30, 2026, the development of incurred losses and LAE related to prior periods was primarily driven by lower-than-expected reported losses and LAE from accident year 2025 on both liability and physical damage coverages and the identification of additional subrogation opportunities resulting from model improvements. For the six months ended June 30, 2025, the development of incurred losses and LAE related to prior periods was primarily driven by lower-than-expected reported losses and LAE from accident year 2024 on both liability and physical damage coverages.