This excerpt taken from the PNC 10-Q filed May 11, 2009.
CAPTIVE INSURANCE RESERVE
We have six wholly owned captive insurance subsidiaries which provide reinsurance to third-party insurers. These subsidiaries enter into various types of reinsurance agreements with third-party insurers where the subsidiary assumes the risk of loss through either an excess transfer or quota share agreement up to 100% reinsurance. In excess transfer agreements, these subsidiaries assume the risk of loss for an excess layer of coverage up to specified limits, once a defined first loss percentage is met. In quota share agreements, the subsidiaries and third-party insurers share the responsibility for payment of all claims. Reserves were recognized for probable losses on these policies of $309 million at March 31, 2009 and $207 million at December 31, 2008. The aggregate maximum exposure up to the specified limits for all reinsurance contracts was $2.1 billion as of March 31, 2009.