NAIC Schedule P

Every March 1, each US property and casualty insurer files its Annual Statement in the NAIC format. Schedule P is the part actuaries open first: ten accident years, line by line, laid out identically for the whole market. Part 1 gives, by accident year, earned premium, paid losses and expenses, and remaining reserves, on a direct and assumed, ceded and net basis. Part 2 lines up, at each anniversary, net incurred losses plus defense and cost containment expense (DCC). Part 3 does the same for cumulative paid, Part 4 for bulk and IBNR reserves, Part 5 for claim counts on the lines that require them. Through the 2023 annual statement, short-tail lines showed only two; since the 2024 annual statement (NAIC proposal 2023-16BWG), every line shows ten. Because all of it is public, an analyst can set a competitor's triangle beside their own and see who strengthens reserves year over year and who releases them. Rating agencies and reinsurers do the same. Meyers and Shi built the CAS loss reserving database from it in 2011: six lines, accident years 1988 to 1997. Its lower triangle comes from statements filed later, which lets a method be judged against what was actually paid. The limit lies in the format. Figures are aggregated to the statutory line and follow the ceding strategy. So a commutation, a loss portfolio transfer or a change in the reinsurance program distorts the net triangle without the risk moving, and a merger of entities reads as development. Not to be confused with a company's internal loss development triangle, which is more granular, or with NAIC RBC, which computes capital.