Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Mar. 03, 2014 | Jun. 30, 2013 | |
Document And Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Registrant Name | 'FIRST ACCEPTANCE CORP /DE/ | ' | ' |
Entity Central Index Key | '0001017907 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 40,980,606 | ' |
Entity Public Float | ' | ' | $25,923,413 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Investments, available-for-sale at fair value (amortized cost of $126,873 and $130,342, respectively) | $130,248 | $139,046 |
Cash and cash equivalents | 72,033 | 59,104 |
Premiums and fees receivable, net of allowance of $311 and $306, respectively | 46,228 | 45,286 |
Limited partnership interests | 7,513 | ' |
Other assets | 6,471 | 6,190 |
Property and equipment, net | 3,512 | 4,656 |
Deferred acquisition costs | 2,902 | 3,221 |
Identifiable intangible assets | 4,800 | 4,800 |
TOTAL ASSETS | 273,707 | 262,303 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ' | ' |
Loss and loss adjustment expense reserves | 84,286 | 79,260 |
Unearned premiums and fees | 55,983 | 55,092 |
Debentures payable | 40,301 | 40,261 |
Other liabilities | 16,205 | 14,897 |
Total liabilities | 196,775 | 189,510 |
Stockholders' equity: | ' | ' |
Preferred stock, $.01 par value, 10,000 shares authorized | ' | ' |
Common stock, $.01 par value, 75,000 shares authorized; 40,983 and 40,962 shares issued and outstanding, respectively | 410 | 410 |
Additional paid-in capital | 456,993 | 456,705 |
Accumulated other comprehensive income | 3,375 | 8,704 |
Accumulated deficit | -383,846 | -393,026 |
Total stockholders' equity | 76,932 | 72,793 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $273,707 | $262,303 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, except Per Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Amortized cost of investments | $126,873 | $130,342 |
Allowance for premiums and fees receivable | $311 | $306 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 10,000 | 10,000 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 75,000 | 75,000 |
Common stock, shares issued | 40,983 | 40,983 |
Common stock, shares outstanding | 40,962 | 40,962 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations and Comprehensive Income (Loss) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Revenues: | ' | ' | ' | ' |
Premiums earned | $80,637 | $199,700 | $185,644 | $173,041 |
Commission and fee income | 14,769 | 35,125 | 32,574 | 29,483 |
Investment income | 3,930 | 5,716 | 6,599 | 8,395 |
Net realized gains (losses) on investments, available-for-sale (includes $(29), $3,242, $(232) and $(185), respectively, of accumulated other comprehensive income reclassifications for unrealized gains (losses)) | -232 | -29 | 3,242 | -185 |
Total revenues | 99,104 | 240,512 | 228,059 | 210,734 |
Costs and expenses: | ' | ' | ' | ' |
Losses and loss adjustment expenses | 65,753 | 142,839 | 148,223 | 129,167 |
Insurance operating expenses | 38,154 | 82,822 | 82,127 | 77,822 |
Other operating expenses | 494 | 987 | 922 | 1,369 |
Litigation settlement | ' | ' | ' | -9 |
Stock-based compensation | 171 | 243 | 604 | 998 |
Depreciation and amortization | 751 | 2,053 | 2,203 | 1,605 |
Interest expense | 1,980 | 1,738 | 3,025 | 3,930 |
Goodwill and intangible assets impairment | 21,090 | ' | ' | 52,434 |
Total costs and expenses | 128,393 | 230,682 | 237,104 | 267,316 |
Income (loss) before income taxes | -29,289 | 9,830 | -9,045 | -56,582 |
Provision (benefit) for income taxes (includes $(10), $1,135, $(81) and $(65), respectively, of income tax expense from reclassification items) | 148 | 650 | -5 | 198 |
Net income (loss) | -29,437 | 9,180 | -9,040 | -56,780 |
Net income (loss) per share: | ' | ' | ' | ' |
Basic | ($0.62) | $0.22 | ($0.22) | ($1.18) |
Diluted | ($0.62) | $0.22 | ($0.22) | ($1.18) |
Number of shares used to calculate net income (loss) per share: | ' | ' | ' | ' |
Basic | 47,707 | 40,930 | 40,861 | 48,171 |
Diluted | 47,707 | 41,092 | 40,861 | 48,171 |
Reconciliation of net income (loss) to comprehensive income (loss): | ' | ' | ' | ' |
Net income (loss) | -29,437 | 9,180 | -9,040 | -56,780 |
Net unrealized change on investments | 735 | -5,329 | -1,546 | 872 |
Comprehensive income (loss) | -28,702 | 3,851 | -10,586 | -55,908 |
Detail of net realized gains (losses) on investments, available-for-sale: | ' | ' | ' | ' |
Net realized gains (losses) on sales and redemptions | -105 | 32 | 3,265 | 228 |
Other-than-temporary impairment ("OTTI") charges | -49 | ' | ' | -22 |
Non-credit portion included in other comprehensive income (loss) | 12 | ' | ' | 2 |
OTTI charges reclassified from other comprehensive income (loss) | -90 | -61 | -23 | -393 |
OTTI charges recognized in net income (loss) | -127 | -61 | -23 | -413 |
Net realized gains (losses) on investments, available-for-sale | ($232) | ($29) | $3,242 | ($185) |
Consolidated_Statements_of_Ope1
Consolidated Statements of Operations and Comprehensive Income (Loss) (Parenthetical) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Income Statement [Abstract] | ' | ' | ' | ' |
Accumulated other comprehensive income reclassifications for unrealized gains (losses) | ($232) | ($29) | $3,242 | ($185) |
Income tax expense from reclassification items | ($81) | ($10) | $1,135 | ($65) |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Deficit [Member] |
In Thousands | ||||||
Beginning balance at Jun. 30, 2010 | $177,190 | $485 | $465,831 | ' | $8,643 | ($297,769) |
Beginning balance, Shares at Jun. 30, 2010 | ' | 48,509 | ' | ' | ' | ' |
Net income | -56,780 | ' | ' | ' | ' | -56,780 |
Net unrealized change on investments (net of tax of $0) | 872 | ' | ' | ' | 872 | ' |
Forfeitures and repurchases of restricted common stock, Value | -108 | -1 | -107 | ' | ' | ' |
Forfeitures and repurchases of restricted common stock, Shares | ' | -88 | ' | ' | ' | ' |
Stock-based compensation, Value | 998 | ' | 998 | ' | ' | ' |
Stock-based compensation, Shares | ' | 5 | ' | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan, Value | 56 | 1 | 55 | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan, Shares | ' | 32 | ' | ' | ' | ' |
Ending balance at Jun. 30, 2011 | 122,228 | 485 | 466,777 | ' | 9,515 | -354,549 |
Ending balance, Shares at Jun. 30, 2011 | ' | 48,458 | ' | ' | ' | ' |
Net income | -29,437 | ' | ' | ' | ' | -29,437 |
Net unrealized change on investments (net of tax of $0) | 735 | ' | ' | ' | 735 | ' |
Forfeitures and repurchases of restricted common stock, Value | -3 | -1 | -2 | ' | ' | ' |
Forfeitures and repurchases of restricted common stock, Shares | ' | -22 | ' | ' | ' | ' |
Stock-based compensation, Value | 171 | ' | 171 | ' | ' | ' |
Stock-based compensation, Shares | ' | 5 | ' | ' | ' | ' |
Purchase of treasury stock, at cost | -10,988 | ' | ' | -10,988 | ' | ' |
Retirement of treasury stock, at cost | ' | -75 | -10,913 | 10,988 | ' | ' |
Retirement of treasury stock, at cost, Shares | ' | -7,531 | ' | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan, Value | 23 | ' | 23 | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan, Shares | ' | 18 | ' | ' | ' | ' |
Ending balance at Dec. 31, 2011 | 82,729 | 409 | 456,056 | ' | 10,250 | -383,986 |
Ending balance, Shares at Dec. 31, 2011 | ' | 40,928 | ' | ' | ' | ' |
Net income | -9,040 | ' | ' | ' | ' | -9,040 |
Net unrealized change on investments (net of tax of $0) | -1,546 | ' | ' | ' | -1,546 | ' |
Forfeitures and repurchases of restricted common stock, Value | -6 | ' | -6 | ' | ' | ' |
Forfeitures and repurchases of restricted common stock, Shares | ' | -6 | ' | ' | ' | ' |
Stock-based compensation, Value | 604 | ' | 604 | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan, Value | 52 | 1 | 51 | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan, Shares | ' | 40 | ' | ' | ' | ' |
Ending balance at Dec. 31, 2012 | 72,793 | 410 | 456,705 | ' | 8,704 | -393,026 |
Ending balance, Shares at Dec. 31, 2012 | 40,962 | 40,962 | ' | ' | ' | ' |
Net income | 9,180 | ' | ' | ' | ' | 9,180 |
Net unrealized change on investments (net of tax of $0) | -5,329 | ' | ' | ' | -5,329 | ' |
Forfeitures and repurchases of restricted common stock, Value | -7 | -1 | -6 | ' | ' | ' |
Forfeitures and repurchases of restricted common stock, Shares | ' | -19 | ' | ' | ' | ' |
Stock-based compensation, Value | 243 | ' | 243 | ' | ' | ' |
Stock-based compensation, Shares | ' | 5 | ' | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan, Value | 52 | 1 | 51 | ' | ' | ' |
Issuance of shares under Employee Stock Purchase Plan, Shares | ' | 35 | ' | ' | ' | ' |
Ending balance at Dec. 31, 2013 | $76,932 | $410 | $456,993 | ' | $3,375 | ($383,846) |
Ending balance, Shares at Dec. 31, 2013 | 40,962 | 40,983 | ' | ' | ' | ' |
Consolidated_Statements_of_Sto1
Consolidated Statements of Stockholders' Equity (Parenthetical) (Accumulated Other Comprehensive Income (Loss) [Member], USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Accumulated Other Comprehensive Income (Loss) [Member] | ' | ' | ' | ' |
Tax on unrealized change on investments | $0 | $0 | $0 | $0 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Cash flows from operating activities: | ' | ' | ' | ' |
Net income (loss) | ($29,437) | $9,180 | ($9,040) | ($56,780) |
Adjustments to reconcile net income (loss) to cash used in operating activities: | ' | ' | ' | ' |
Depreciation and amortization | 751 | 2,053 | 2,203 | 1,605 |
Stock-based compensation | 171 | 243 | 604 | 998 |
Deferred income taxes | 2 | -2 | 3 | -98 |
Goodwill and intangible assets impairment | 21,090 | ' | ' | 52,434 |
Other-than-temporary impairment on investment securities | 127 | 61 | 23 | 413 |
Net realized (gains) losses on sales and redemptions of investments | 105 | -32 | -3,265 | -228 |
Investment income and equity in earnings from limited partnership interests | ' | -399 | ' | ' |
Other | 134 | 280 | 330 | 397 |
Change in: | ' | ' | ' | ' |
Premiums and fees receivable | -824 | -937 | -3,915 | 817 |
Loss and loss adjustment expense reserves | 1,012 | 5,026 | 9,824 | -4,774 |
Unearned premiums and fees | -308 | 891 | 4,628 | -1,791 |
Litigation settlement | ' | ' | ' | -46 |
Other | -149 | 1,391 | 2,409 | 884 |
Net cash provided by (used in) operating activities | -7,326 | 17,755 | 3,804 | -6,169 |
Cash flows from investing activities: | ' | ' | ' | ' |
Purchases of investments, available-for-sale | ' | -18,616 | -33,174 | -13,324 |
Purchases of limited partnership interests | ' | -7,139 | ' | ' |
Maturities and redemptions of investments, available-for-sale | 14,315 | 21,769 | 41,969 | 23,260 |
Sales of investments, available-for-sale | ' | ' | 26,343 | ' |
Capital expenditures | -1,533 | -914 | -3,603 | -620 |
Other | -4 | 23 | -1 | -2 |
Net cash provided by (used in) investing activities | 12,778 | -4,877 | 31,534 | 9,314 |
Cash flows from financing activities: | ' | ' | ' | ' |
Net proceeds from issuance of common stock | 23 | 51 | 52 | 56 |
Purchase of treasury stock | -10,988 | ' | ' | ' |
Other | -41 | ' | -37 | -80 |
Net cash provided by (used in) financing activities | -11,006 | 51 | 15 | -24 |
Net change in cash and cash equivalents | -5,554 | 12,929 | 35,353 | 3,121 |
Cash and cash equivalents, beginning of period | 29,305 | 59,104 | 23,751 | 26,184 |
Cash and cash equivalents, end of period | $23,751 | $72,033 | $59,104 | $29,305 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Summary of Significant Accounting Policies | ' | ||||||||||||||||
1 | Summary of Significant Accounting Policies | ||||||||||||||||
General | |||||||||||||||||
First Acceptance Corporation (the “Company”) is a holding company based in Nashville, Tennessee with operating subsidiaries whose primary operations include the selling, servicing and underwriting of non-standard personal automobile insurance and related products. The Company writes non-standard personal automobile insurance in 12 states and is licensed as an insurer in 13 additional states. The Company issues policies of insurance through three wholly-owned subsidiaries: First Acceptance Insurance Company, Inc., First Acceptance Insurance Company of Georgia, Inc. and First Acceptance Insurance Company of Tennessee, Inc. (collectively, the “Insurance Companies”). | |||||||||||||||||
Change in Fiscal Year | |||||||||||||||||
On November 15, 2011, the Company’s Board of Directors approved a change in the Company’s fiscal year end from June 30 to December 31, effective December 31, 2011. Unless otherwise noted, all references to “years” or “fiscal” refer to the twelve-month fiscal year, which prior to July 1, 2011 ended on June 30. As a result of this change, the consolidated financial statements include the Company’s financial results for the six month transition period of July 1, 2011 to December 31, 2011. | |||||||||||||||||
The following table presents certain comparative transition period financial information (in thousands, except per share data). | |||||||||||||||||
Year Ended | Six Months Ended | ||||||||||||||||
December 31, | December 31, | ||||||||||||||||
2012 | 2011 | 2011 | 2010 | ||||||||||||||
(unaudited) | (unaudited) | ||||||||||||||||
Revenues: | |||||||||||||||||
Premiums earned | $ | 185,644 | $ | 167,224 | $ | 80,637 | $ | 86,454 | |||||||||
Commission and fee income | 32,574 | 29,911 | 14,769 | 14,341 | |||||||||||||
Investment income | 6,599 | 8,064 | 3,930 | 4,261 | |||||||||||||
Net realized gains (losses) on investments, available-for-sale | 3,242 | (161 | ) | (232 | ) | (256 | ) | ||||||||||
228,059 | 205,038 | 99,104 | 104,800 | ||||||||||||||
Costs and expenses: | |||||||||||||||||
Losses and loss adjustment expenses | 148,223 | 129,525 | 65,753 | 65,395 | |||||||||||||
Insurance operating expenses | 82,127 | 79,075 | 38,154 | 36,896 | |||||||||||||
Other operating expenses | 922 | 1,181 | 494 | 678 | |||||||||||||
Stock-based compensation | 604 | 804 | 171 | 365 | |||||||||||||
Depreciation and amortization | 2,203 | 1,415 | 751 | 941 | |||||||||||||
Interest expense | 3,025 | 3,928 | 1,980 | 1,982 | |||||||||||||
Goodwill impairment | — | 73,524 | 21,090 | — | |||||||||||||
237,104 | 289,452 | 128,393 | 106,257 | ||||||||||||||
Loss before income taxes | (9,045 | ) | (84,414 | ) | (29,289 | ) | (1,457 | ) | |||||||||
Provision for income taxes | (5 | ) | 105 | 148 | 241 | ||||||||||||
Net loss | $ | (9,040 | ) | $ | (84,519 | ) | $ | (29,437 | ) | $ | (1,698 | ) | |||||
Basic and diluted net loss per share | $ | (0.22 | ) | $ | (1.76 | ) | $ | (0.62 | ) | $ | (0.04 | ) | |||||
Basis of Consolidation and Reporting | |||||||||||||||||
The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries which are all wholly owned. The accounts of First Acceptance Statutory Trust I (“FAST I”) are not consolidated since it does not meet the requirements for consolidation of FASB ASC 810, Consolidation (see Note 10). These financial statements have been prepared in conformity with U.S. generally accepted accounting principles. All intercompany accounts and transactions have been eliminated in consolidation. Certain reclassifications have been made to the prior year’s consolidated financial statements to conform with the current year presentation. | |||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. It also requires disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported revenues and expenses during the period. Actual results could differ from those estimates. | |||||||||||||||||
Investments | |||||||||||||||||
Investments, available-for-sale at fair value, include bonds with fixed principal payment schedules and mortgage-backed securities which are amortized using the retrospective method. These securities and investments in the mutual funds are carried at fair value with the corresponding unrealized appreciation or depreciation, net of deferred income taxes, reported in other comprehensive income. | |||||||||||||||||
Premiums and discounts on collateralized mortgage obligations (“CMOs”) are amortized over a period based on estimated future principal payments, including prepayments. Prepayment assumptions are reviewed periodically and adjusted to reflect actual prepayments and changes in expectations. The most significant determinants of prepayments are the difference between interest rates on the underlying mortgages and the current mortgage loan rates and the structure of the security. Other factors affecting prepayments include the size, type and age of underlying mortgages, the geographic location of the mortgaged properties and the credit worthiness of the borrowers. Variations from anticipated prepayments will affect the life and yield of these securities. | |||||||||||||||||
Investment securities are exposed to various risks such as interest rate, market and credit risk. Fair values of securities fluctuate based on changing market conditions. Significant changes in market conditions could materially affect portfolio value in the near term. Management reviews investments for impairment on a quarterly basis. Fair values of investments are based on prices quoted in the most active market for each security. If quoted prices are not available, fair value is estimated based on the fair value of comparable securities, discounted cash flow models or similar methods. Any decline in the fair value of any available-for-sale security below cost that is deemed to be other-than-temporary would result in a reduction in the amortized cost of the security. | |||||||||||||||||
If management can assert that it does not intend to sell an impaired fixed maturity security and it is more likely than not that it will not have to sell the security before recovery of its amortized cost basis, then an entity must separate other-than-temporary impairments (“OTTI”) into the following two components: (i) the amount related to credit losses (charged against income) and (ii) the amount related to all other factors (recorded in other comprehensive income). The credit-related portion of an OTTI is measured by comparing a security’s amortized cost to the present value of its current expected cash flows discounted at its effective yield prior to the impairment charge. If management intends to sell an impaired security, or it is more likely than not that it will be required to sell the security before recovery, an impairment charge is required to reduce the amortized cost of that security to fair value. | |||||||||||||||||
Realized gains and losses on sales and redemptions of securities are computed based on specific identification. | |||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||
Cash and cash equivalents consist of bank demand deposits and highly-liquid investments. All investments with maturities of three months or less at the date of purchase are considered cash equivalents. | |||||||||||||||||
Limited Partnership Interests | |||||||||||||||||
Limited partnership interests are recorded at net asset value or the equity method of accounting if the Company is deemed to have significant influence as a result of its ownership percentage. Based on the underlying investments of the limited partnerships, their carrying value approximates fair value. Valuations are based upon the GAAP financial statements of the partnerships which are required to be audited annually. | |||||||||||||||||
Revenue Recognition | |||||||||||||||||
Insurance premiums earned include policy and renewal fees and are recognized on a pro-rata basis over the respective terms of the policies. Written premiums are recorded as of the effective date of the policies for the full policy premium, although most policyholders elect to pay on a monthly installment basis. Premiums and fees are generally collected in advance of providing risk coverage, minimizing the Company’s exposure to credit risk. Premiums receivable are recorded net of an estimated allowance for uncollectible amounts. | |||||||||||||||||
Commission and fee income includes installment fees recognized when billed, commissions and fees from ancillary products recognized on a pro-rata basis over the respective terms of the contracts, and commissions and related policy fees, written for third-party insurance companies, recognized, at the date the customer is initially billed or as of the effective date of the insurance policy, whichever is later. | |||||||||||||||||
Income Taxes | |||||||||||||||||
Income taxes are accounted for under the liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | |||||||||||||||||
A valuation allowance for the deferred tax asset is established based upon management’s estimate of whether it is more likely than not that the Company would not realize tax benefits in future periods to the full extent available. Changes in the valuation allowance are recognized in income during the period in which the circumstances that cause such a change in management’s estimate occur. | |||||||||||||||||
The Company accounts for income tax uncertainties under the provisions of FASB ASC 740, Income Taxes. The Company has recognized no additional liability or reduction in deferred tax assets for unrecognized tax benefits at December 31, 2013 and 2012. Any interest and penalties incurred in connection with income taxes are recorded as a component of the provision for income taxes. The Company is generally not subject to U.S. federal, state or local income tax examinations by tax authorities for taxable years prior to 2009. | |||||||||||||||||
Property and Equipment | |||||||||||||||||
Property and equipment are initially recorded at cost. Depreciation is provided over the estimated useful lives of the assets (generally ranging from three to seven years) using the straight-line method. Leasehold improvements are amortized over the shorter of the lives of the respective leases or the service lives of the improvements. Repairs and maintenance are charged to expense as incurred. Equipment under capitalized lease obligations is stated at the present value of the minimum lease payments at the beginning of the lease term. | |||||||||||||||||
Foreclosed Real Estate Held for Sale | |||||||||||||||||
Foreclosed real estate held for sale is recorded at the lower of cost or fair value less estimated costs to sell. The Company periodically reviews its portfolio of foreclosed real estate held for sale using current information including (i) independent appraisals, (ii) general economic factors affecting the area where the property is located, (iii) recent sales activity and asking prices for comparable properties and (iv) costs to sell and/or develop that would serve to lower the expected proceeds from the disposal of the real estate. Gains (losses) realized on liquidation are recorded directly to operations and included in revenues. Foreclosed real estate held for sale assets of $0.8 million at December 31, 2013 and 2012 are included within other assets in the accompanying consolidated balance sheets. | |||||||||||||||||
Deferred Acquisition Costs | |||||||||||||||||
Deferred acquisition costs include premium taxes and other variable underwriting and direct sales costs incurred in connection with writing successful new and renewal business. These costs are deferred and amortized over the policy period in which the related premiums are earned, to the extent that such costs are deemed recoverable from future unearned premiums and anticipated investment income. Advertising costs are expensed when incurred and are not a part of deferred acquisition costs. Amortization expense for the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011 was $11.1 million, $11.4 million, $5.5 million and $12.8 million, respectively, and are included within insurance operating expenses in the accompanying consolidated statements of operations and comprehensive income (loss). | |||||||||||||||||
Goodwill and Other Identifiable Intangible Assets | |||||||||||||||||
Goodwill and other identifiable intangible assets are attributable to the Company’s insurance operations and were initially recorded at their estimated fair values at the date of acquisition. Goodwill and other intangible assets, primarily comprised of trade names, having an indefinite useful life are not amortized for financial statement purposes. The Company performs required annual impairment tests of its goodwill and intangible assets as of June 30th of each fiscal year. In the event that facts and circumstances indicate that the goodwill and other identifiable intangible assets may be impaired, an interim impairment test would be required. Intangible assets with finite lives have been fully amortized over their useful lives. | |||||||||||||||||
The goodwill impairment test is a two-step process that requires management to make judgments in determining what assumptions to use in the calculation. The first step of the process consists of estimating the fair value of each reporting unit based on valuation techniques, including a discounted cash flow model using revenue and profit forecasts and recent industry transaction and trading multiples of the Company’s peers, and comparing those estimated fair values with the carrying values of the assets and liabilities of the reporting unit, which includes the allocated goodwill. If the estimated fair value is less than the carrying value, a second step is performed to compute the amount of the impairment, if any, by determining an “implied fair value” of goodwill. The determination of the “implied fair value” of goodwill of a reporting unit requires the Company to allocate the estimated fair value of the reporting unit to the assets and liabilities of the reporting unit. Any unallocated fair value represents the “implied fair value” of goodwill, which is compared to its corresponding carrying value. | |||||||||||||||||
The Company recorded non-cash, pre-tax goodwill impairment charges in fiscal years 2009 and 2011 and the six months ended December 31, 2011 of $68.0 million, $50.9 million and $21.1 million, respectively. These charges were primarily as a result of the adverse impact of the difficult economic conditions on the Company’s customers and business and the resulting decline in the Company’s share price during the fourth quarter of fiscal year 2009, unfavorable industry transaction multiples and trading trends during fiscal 2011 and the adverse impact of operating losses, the decline in the Company’s common stock trading prices, and the negotiated price of separate stock transactions with former executive officers that represented a significant percentage of the Company’s shares outstanding during the second quarter of the six months ended December 31, 2011. These goodwill impairment charges resulted in no remaining goodwill on the Company’s consolidated balance sheet at December 31, 2011 and did not have a materially adverse impact on the continuing operations, liquidity, or statutory surplus of the Company. | |||||||||||||||||
Indefinite-lived intangible assets primarily consist of acquired trademarks and trade names. In measuring the fair value for these intangible assets, the Company utilizes the relief-from-royalty method. This method assumes that trademarks and trade names have value to the extent that their owner is relieved of the obligation to pay royalties for the benefits received from them. This method requires the Company to estimate the future revenue for the related brands, the appropriate royalty rate and the weighted average cost of capital. As a result of decisions made by management during the fourth quarter of fiscal year 2011 regarding entity-wide branding initiatives, the Company recognized a non-cash, pre-tax impairment charge of $1.6 million related to trade name intangible assets. This non-cash impairment charge did not have a materially adverse impact on the continuing operations, liquidity, or statutory surplus of the Company. | |||||||||||||||||
The Company’s evaluation includes multiple assumptions that may change over time. If unfavorable events or trends occur, further identifiable intangible assets impairment charges may become necessary that could have a materially adverse impact on the Company’s results of operations in the period in which the write-off occurs. | |||||||||||||||||
The Company follows the guidelines of ASU 2011-08, Intangibles — Goodwill and Other (Topic 350), which allows companies to waive comparing the fair value of a reporting unit to its carrying amount in assessing the recoverability of goodwill if, based on qualitative factors, it is more likely than not that the fair value of a reporting unit is greater than its carrying amount. | |||||||||||||||||
Loss and Loss Adjustment Expense Reserves | |||||||||||||||||
Loss and loss adjustment expense reserves are undiscounted and represent case-basis estimates of reported losses and estimates based on certain actuarial assumptions regarding the past experience of reported losses, including an estimate of losses incurred but not reported. Management believes that the loss and loss adjustment reserves are adequate to cover the ultimate associated liability. However, such estimates may be more or less than the amount ultimately paid when the claims are finally settled. | |||||||||||||||||
Recent Accounting Pronouncements | |||||||||||||||||
In October 2010, the FASB issued Accounting Standards Update (“ASU”) No. 2010-26, Accounting for Costs Associated with Acquiring or Renewing Insurance Contracts (a consensus of the FASB Emerging Issues Task Force) (Topic 944), which clarifies what costs should be deferred by insurance companies when issuing or renewing insurance contracts. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2011. The Company adopted this standard on a prospective basis on January 1, 2012 and, in connection therewith, recognized additional expense of $0.4 million over the first six months of 2012, consistent with the Company’s insurance policy terms and estimated deferred acquisition costs amortization period. | |||||||||||||||||
In May 2011, the FASB issued ASU No. 2011-04, Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs, which amends certain measurement and disclosure requirements related to fair value measurements to improve consistency with international reporting standards. The Company adopted the provisions of this guidance in the quarter ended March 31, 2012. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations. | |||||||||||||||||
In June 2011, the FASB issued ASU No. 2011-05, Presentation of Comprehensive Income, which requires a company to present components of net income and other comprehensive income in one continuous statement or in two separate, but consecutive statements. There are no changes to the components that are recognized in net income or other comprehensive income under current GAAP. The Company adopted the provisions of this guidance in the quarter ended March 31, 2012. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations, other than the presentation thereof. | |||||||||||||||||
In September 2011, the FASB issued ASU 2011-08, Intangibles — Goodwill and Other (Topic 350), which allows companies to waive comparing the fair value of a reporting unit to its carrying amount in assessing the recoverability of goodwill if, based on qualitative factors, it is more likely than not that the fair value of a reporting unit is greater than its carrying amount. The Company adopted the provisions of this guidance in the quarter ended March 31, 2012. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations. | |||||||||||||||||
In July 2012, the FASB issued ASU 2012-02, Intangibles — Goodwill and Other (Topic 350), which allows companies to waive comparing the fair value of indefinite-lived intangible assets to their carrying amounts in assessing the recoverability of these assets if, based on qualitative factors, it is more likely than not that the fair value of the indefinite-lived intangible assets is greater than their carrying amounts. The Company early adopted the provisions of this guidance in the quarter ended June 30, 2012. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations. | |||||||||||||||||
In February 2013, the FASB issued ASU No. 2013-02, Presentation of Comprehensive Income, which requires a company to provide information about the amounts reclassified out of accumulated other comprehensive income by component. There are no changes to the components that are recognized in net income or other comprehensive income under current GAAP. The Company adopted the provisions of this guidance in the quarter ended March 31, 2013. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations, other than the presentation thereof. | |||||||||||||||||
Supplemental Cash Flow Information | |||||||||||||||||
During the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011, the Company paid $0.5 million, $0.2 million, $0.1 million and $0.3 million, respectively, in income taxes and $1.7 million, $3.0 million, $2.0 million and $3.9 million, respectively, in interest. | |||||||||||||||||
Basic and Diluted Net Income (Loss) Per Share | |||||||||||||||||
Basic net income (loss) per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of common shares, while diluted net income (loss) per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of such common shares and dilutive share equivalents. Dilutive share equivalents result from the assumed exercise of employee stock options and vesting of restricted common stock and are calculated using the treasury stock method. |
Fair_Value
Fair Value | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value | ' | ||||||||||||||||
2 | Fair Value | ||||||||||||||||
Fair value is the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements are generally based upon observable and unobservable inputs. Observable inputs are based on market data from independent sources, while unobservable inputs reflect the Company’s view of market assumptions in the absence of observable market information. All assets and liabilities that are carried at fair value are classified and disclosed in one of the following categories: | |||||||||||||||||
Level 1- | Quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||
Level 2- | Quoted market prices for similar assets or liabilities in active markets; quoted prices by independent pricing services for identical or similar assets or liabilities in markets that are not active; and valuations, using models or other valuation techniques, that use observable market data. All significant inputs are observable, or derived from observable information in the marketplace, or are supported by observable levels at which transactions are executed in the market place. | ||||||||||||||||
Level 3- | Instruments that use non-binding broker quotes or model driven valuations that do not have observable market data or those that are estimated based on an ownership interest to which a proportionate share of net assets is attributed. | ||||||||||||||||
The Company categorizes valuation methods used in its identifiable intangible assets impairment tests as Level 3. To determine the fair value of acquired trademarks and trade names, the Company uses the relief-from-royalty method, which requires the Company to estimate the future revenue for the related brands, the appropriate royalty rate and the weighted average cost of capital. The Company also categorizes valuation methods used to fair value its investments in limited partnerships as Level 3, since these investments have redemption and transfer restrictions and are therefore not readily marketable. | |||||||||||||||||
Fair Value of Financial Instruments | |||||||||||||||||
The carrying values and fair values of certain of the Company’s financial instruments were as follows (in thousands). | |||||||||||||||||
December 31, 2013 | December 31, 2012 | ||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||
Value | Value | Value | Value | ||||||||||||||
Assets: | |||||||||||||||||
Investments, available-for-sale | $ | 130,248 | $ | 130,248 | $ | 139,046 | $ | 139,046 | |||||||||
Limited partnership interests | 7,513 | 7,513 | — | — | |||||||||||||
Liabilities: | |||||||||||||||||
Debentures payable | 40,301 | 15,006 | 40,261 | 12,723 | |||||||||||||
The fair values as presented represent the Company’s best estimates and may not be substantiated by comparisons to independent markets. The fair value of the debentures payable is categorized as Level 3, since it was based on current market rates offered for debt with similar risks and maturities an unobservable input categorized as Level 3. Carrying values of certain financial instruments, such as cash and cash equivalents and premiums and fees receivable, approximate fair value due to the short-term nature of the instruments and are not required to be disclosed. Therefore, the aggregate of the fair values presented in the preceding table does not purport to represent the Company’s underlying value. | |||||||||||||||||
The Company holds available-for-sale investments and limited partnership interests, which are carried at either net asset value or under the equity method which approximate fair value. The following tables present the fair-value measurements for each major category of assets that are measured on a recurring basis (in thousands). | |||||||||||||||||
Total | Fair Value Measurements Using | ||||||||||||||||
December 31, 2013 | Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||
Assets | (Level 2) | ||||||||||||||||
(Level 1) | |||||||||||||||||
Fixed maturities, available-for-sale: | |||||||||||||||||
U.S. government and agencies | $ | 12,485 | $ | 12,485 | $ | — | $ | — | |||||||||
State | 736 | — | 736 | — | |||||||||||||
Political subdivisions | 612 | — | 612 | — | |||||||||||||
Revenue and assessment | 14,658 | — | 14,658 | — | |||||||||||||
Corporate bonds | 73,325 | — | 73,325 | — | |||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||
Agency backed | 7,514 | — | 7,514 | — | |||||||||||||
Non-agency backed – residential | 4,660 | — | 4,660 | — | |||||||||||||
Non-agency backed – commercial | 3,943 | — | 3,943 | — | |||||||||||||
Redeemable preferred stocks | 1,578 | 1,578 | — | — | |||||||||||||
Total fixed maturities, available-for-sale | 119,511 | 14,063 | 105,448 | — | |||||||||||||
Mutual fund, available-for-sale | 10,737 | 10,737 | — | — | |||||||||||||
Total investments, available-for-sale | 130,248 | 24,800 | 105,448 | — | |||||||||||||
Limited partnership interests | 7,513 | — | — | 7,513 | |||||||||||||
Cash and cash equivalents | 72,033 | 72,033 | — | — | |||||||||||||
Total | $ | 209,794 | $ | 96,833 | $ | 105,448 | $ | 7,513 | |||||||||
Total | Fair Value Measurements Using | ||||||||||||||||
December 31, 2012 | Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||
Assets | (Level 2) | ||||||||||||||||
(Level 1) | |||||||||||||||||
Fixed maturities, available-for-sale: | |||||||||||||||||
U.S. government and agencies | $ | 12,110 | $ | 12,110 | $ | — | $ | — | |||||||||
State | 4,111 | — | 4,111 | — | |||||||||||||
Political subdivisions | 790 | — | 790 | — | |||||||||||||
Revenue and assessment | 17,996 | — | 17,996 | — | |||||||||||||
Corporate bonds | 71,537 | — | 71,537 | — | |||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||
Agency backed | 11,870 | — | 11,870 | — | |||||||||||||
Non-agency backed – residential | 5,472 | — | 5,472 | — | |||||||||||||
Non-agency backed – commercial | 5,109 | — | 5,109 | — | |||||||||||||
Redeemable preferred stock | 1,718 | 1,718 | — | — | |||||||||||||
Total fixed maturities, available-for-sale | 130,713 | 13,828 | 116,885 | — | |||||||||||||
Mutual funds, available-for-sale | 8,333 | 8,333 | — | — | |||||||||||||
Total investments, available-for-sale | 139,046 | 22,161 | 116,885 | — | |||||||||||||
Cash and cash equivalents | 59,104 | 59,104 | — | — | |||||||||||||
Total | $ | 198,150 | $ | 81,265 | $ | 116,885 | $ | — | |||||||||
The fair values of the Company’s investments are determined by management after taking into consideration available sources of data. All of the portfolio valuations classified as Level 1 or Level 2 in the above tables are priced exclusively by utilizing the services of independent pricing sources using observable market data. The Level 2 classified security valuations are obtained from a single independent pricing service. The Level 3 classified securities in the table above consist of limited partnership interests for which fair value is estimated based on the Company’s ownership interest in partners’ capital. There were no transfers between Level 1 and Level 2 for years ended December 31, 2013 and 2012. The Company’s policy is to recognize transfers between levels at the end of the reporting period based on specific identification. The Company has not made any adjustments to the prices obtained from the independent pricing sources. | |||||||||||||||||
The Company has reviewed the pricing techniques and methodologies of the independent pricing service for Level 2 investments and believes that its policies adequately consider market activity, either based on specific transactions for the security valued or based on modeling of securities with similar credit quality, duration, yield and structure that were recently traded. The Company monitored security-specific valuation trends and has made inquiries with the pricing service about material changes or the absence of expected changes to understand the underlying factors and inputs and to validate the reasonableness of the pricing. | |||||||||||||||||
Based on the above categorization, there were no Level 3 classified security valuations at December 31, 2012 and 2011 and June 30, 2011, nor any transfers into or out of Level 3 during these periods. The following table represents the quantitative disclosure for those assets classified as Level 3 during the year ended December 31, 2013 (in thousands). | |||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||
Significant Unobservable Inputs (Level 3) | |||||||||||||||||
Limited partnership interests | Total | ||||||||||||||||
carried at | |||||||||||||||||
Net asset value | Equity method | ||||||||||||||||
Balance at December 31, 2012 | $ | — | $ | — | $ | — | |||||||||||
Gains or losses (realized or unrealized) included in net income (loss) | 200 | 199 | 399 | ||||||||||||||
Investments and capital calls | 3,139 | 4,000 | 7,139 | ||||||||||||||
Distributions received | (25 | ) | — | (25 | ) | ||||||||||||
Transfers into and out of Level 3 | — | — | — | ||||||||||||||
Balance at December 31, 2013 | $ | 3,314 | $ | 4,199 | $ | 7,513 | |||||||||||
Investments
Investments | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Investments Debt And Equity Securities [Abstract] | ' | ||||||||||||||||||||||||||||||||
Investments | ' | ||||||||||||||||||||||||||||||||
3 | Investments | ||||||||||||||||||||||||||||||||
Investments, Available-for-Sale | |||||||||||||||||||||||||||||||||
The following tables summarize the Company’s investment securities (in thousands). | |||||||||||||||||||||||||||||||||
December 31, 2013 | Amortized | Gross | Gross | Fair | |||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||
U.S. government and agencies | $ | 12,006 | $ | 495 | $ | (16 | ) | $ | 12,485 | ||||||||||||||||||||||||
State | 697 | 39 | — | 736 | |||||||||||||||||||||||||||||
Political subdivisions | 601 | 11 | — | 612 | |||||||||||||||||||||||||||||
Revenue and assessment | 14,050 | 619 | (11 | ) | 14,658 | ||||||||||||||||||||||||||||
Corporate bonds | 73,461 | 2,127 | (2,263 | ) | 73,325 | ||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Agency backed | 7,113 | 401 | — | 7,514 | |||||||||||||||||||||||||||||
Non-agency backed – residential | 4,181 | 480 | (1 | ) | 4,660 | ||||||||||||||||||||||||||||
Non-agency backed – commercial | 3,363 | 580 | — | 3,943 | |||||||||||||||||||||||||||||
Redeemable preferred stock | 1,500 | 78 | — | 1,578 | |||||||||||||||||||||||||||||
Total fixed maturities, available-for-sale | 116,972 | 4,830 | (2,291 | ) | 119,511 | ||||||||||||||||||||||||||||
Mutual funds, available-for-sale | 9,901 | 836 | — | 10,737 | |||||||||||||||||||||||||||||
$ | 126,873 | $ | 5,666 | $ | (2,291 | ) | $ | 130,248 | |||||||||||||||||||||||||
December 31, 2012 | Amortized | Gross | Gross | Fair | |||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||
U.S. government and agencies | $ | 11,202 | $ | 908 | $ | — | $ | 12,110 | |||||||||||||||||||||||||
State | 3,994 | 117 | — | 4,111 | |||||||||||||||||||||||||||||
Political subdivisions | 753 | 37 | — | 790 | |||||||||||||||||||||||||||||
Revenue and assessment | 16,449 | 1,553 | (6 | ) | 17,996 | ||||||||||||||||||||||||||||
Corporate bonds | 68,114 | 3,669 | (246 | ) | 71,537 | ||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Agency backed | 11,079 | 791 | — | 11,870 | |||||||||||||||||||||||||||||
Non-agency backed – residential | 5,098 | 472 | (98 | ) | 5,472 | ||||||||||||||||||||||||||||
Non-agency backed – commercial | 4,652 | 457 | — | 5,109 | |||||||||||||||||||||||||||||
Redeemable preferred stock | 1,500 | 218 | — | 1,718 | |||||||||||||||||||||||||||||
Total fixed maturities, available-for-sale | 122,841 | 8,222 | (350 | ) | 130,713 | ||||||||||||||||||||||||||||
Mutual fund, available-for-sale | 7,501 | 832 | — | 8,333 | |||||||||||||||||||||||||||||
$ | 130,342 | $ | 9,054 | $ | (350 | ) | $ | 139,046 | |||||||||||||||||||||||||
The following tables set forth the scheduled maturities of the Company’s fixed maturity securities based on their fair values (in thousands). Actual maturities may differ from contractual maturities because certain securities may be called or prepaid by the issuers. | |||||||||||||||||||||||||||||||||
December 31, 2013 | Securities | Securities | Securities | All | |||||||||||||||||||||||||||||
with | with | with No | Fixed | ||||||||||||||||||||||||||||||
Unrealized | Unrealized | Unrealized | Maturity | ||||||||||||||||||||||||||||||
Gains | Losses | Gains or | Securities | ||||||||||||||||||||||||||||||
Losses | |||||||||||||||||||||||||||||||||
One year or less | $ | 14,305 | $ | — | $ | — | $ | 14,305 | |||||||||||||||||||||||||
After one through five years | 25,667 | 10,888 | — | 36,555 | |||||||||||||||||||||||||||||
After five through ten years | 20,445 | 22,836 | — | 43,281 | |||||||||||||||||||||||||||||
After ten years | 3,667 | 4,008 | — | 7,675 | |||||||||||||||||||||||||||||
No single maturity date | 17,506 | 189 | — | 17,695 | |||||||||||||||||||||||||||||
$ | 81,590 | $ | 37,921 | $ | — | $ | 119,511 | ||||||||||||||||||||||||||
December 31, 2012 | Securities | Securities | Securities | All | |||||||||||||||||||||||||||||
with | with | with No | Fixed | ||||||||||||||||||||||||||||||
Unrealized | Unrealized | Unrealized | Maturity | ||||||||||||||||||||||||||||||
Gains | Losses | Gains or | Securities | ||||||||||||||||||||||||||||||
Losses | |||||||||||||||||||||||||||||||||
One year or less | $ | 9,380 | $ | — | $ | 5 | $ | 9,385 | |||||||||||||||||||||||||
After one through five years | 34,460 | 11,518 | — | 45,978 | |||||||||||||||||||||||||||||
After five through ten years | 25,230 | 15,181 | — | 40,411 | |||||||||||||||||||||||||||||
After ten years | 10,770 | — | — | 10,770 | |||||||||||||||||||||||||||||
No single maturity date | 23,833 | 336 | — | 24,169 | |||||||||||||||||||||||||||||
$ | 103,673 | $ | 27,035 | $ | 5 | $ | 130,713 | ||||||||||||||||||||||||||
The fair value and gross unrealized losses of investments, available-for-sale, by the length of time that individual securities have been in a continuous unrealized loss position follows (in thousands). | |||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total Gross | |||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
December 31, 2013 | Fair | Gross | Fair | Gross | Losses | ||||||||||||||||||||||||||||
Value | Unrealized | Value | Unrealized | ||||||||||||||||||||||||||||||
Losses | Losses | ||||||||||||||||||||||||||||||||
U.S. government and agencies | $ | 988 | $ | (16 | ) | $ | — | $ | — | $ | (16 | ) | |||||||||||||||||||||
State | — | — | — | — | — | ||||||||||||||||||||||||||||
Political subdivisions | — | — | — | — | — | ||||||||||||||||||||||||||||
Revenue and assessment | 983 | (11 | ) | — | — | (11 | ) | ||||||||||||||||||||||||||
Corporate bonds | 21,781 | (993 | ) | 13,980 | (1,270 | ) | (2,263 | ) | |||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Agency backed | — | — | — | — | — | ||||||||||||||||||||||||||||
Non-agency backed – residential | 189 | (1 | ) | — | — | (1 | ) | ||||||||||||||||||||||||||
Non-agency backed – commercial | — | — | — | — | — | ||||||||||||||||||||||||||||
Redeemable preferred stock | — | — | — | — | — | ||||||||||||||||||||||||||||
Total fixed maturities, available-for-sale | 23,941 | (1,021 | ) | 13,980 | (1,270 | ) | (2,291 | ) | |||||||||||||||||||||||||
Mutual fund, available-for-sale | — | — | — | — | — | ||||||||||||||||||||||||||||
$ | 23,941 | $ | (1,021 | ) | $ | 13,980 | $ | (1,270 | ) | $ | (2,291 | ) | |||||||||||||||||||||
Less than 12 months | 12 months or longer | Total Gross | |||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
December 31, 2012 | Fair | Gross | Fair | Gross | Losses | ||||||||||||||||||||||||||||
Value | Unrealized | Value | Unrealized | ||||||||||||||||||||||||||||||
Losses | Losses | ||||||||||||||||||||||||||||||||
U.S. government and agencies | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||||
State | — | — | — | — | — | ||||||||||||||||||||||||||||
Political subdivisions | — | — | — | — | — | ||||||||||||||||||||||||||||
Revenue and assessment | 702 | (6 | ) | — | — | (6 | ) | ||||||||||||||||||||||||||
Corporate bonds | 25,997 | (246 | ) | — | — | (246 | ) | ||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Agency backed | — | — | — | — | — | ||||||||||||||||||||||||||||
Non-agency backed – residential | 124 | (20 | ) | 212 | (78 | ) | (98 | ) | |||||||||||||||||||||||||
Non-agency backed – commercial | — | — | — | — | — | ||||||||||||||||||||||||||||
Redeemable preferred stock | — | — | — | — | — | ||||||||||||||||||||||||||||
Total fixed maturities, available-for-sale | 26,823 | (272 | ) | 212 | (78 | ) | (350 | ) | |||||||||||||||||||||||||
Mutual fund, available-for-sale | — | — | — | — | — | ||||||||||||||||||||||||||||
$ | 26,823 | $ | (272 | ) | $ | 212 | $ | (78 | ) | $ | (350 | ) | |||||||||||||||||||||
The following table reflects the number of fixed maturity securities with gross unrealized gains and losses. Gross unrealized losses are further segregated by the length of time that individual securities have been in a continuous unrealized loss position. | |||||||||||||||||||||||||||||||||
Gross Unrealized Losses | Gross | ||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
At: | Less than | Greater | Gains | ||||||||||||||||||||||||||||||
or equal to | than 12 | ||||||||||||||||||||||||||||||||
12 months | months | ||||||||||||||||||||||||||||||||
December 31, 2013 | 12 | 7 | 83 | ||||||||||||||||||||||||||||||
December 31, 2012 | 13 | 1 | 108 | ||||||||||||||||||||||||||||||
The following tables reflect the fair value and gross unrealized losses of those fixed maturity securities in a continuous unrealized loss position for greater than 12 months. Gross unrealized losses are further segregated by the percentage of amortized cost (in thousands, except number of securities). | |||||||||||||||||||||||||||||||||
Gross Unrealized Losses | Number | Fair | Gross | ||||||||||||||||||||||||||||||
of | Value | Unrealized | |||||||||||||||||||||||||||||||
at December 31, 2013: | Securities | Losses | |||||||||||||||||||||||||||||||
Less than or equal to 10% | 7 | $ | 13,980 | $ | (1,270 | ) | |||||||||||||||||||||||||||
Greater than 10% | — | — | — | ||||||||||||||||||||||||||||||
7 | $ | 13,980 | $ | (1,270 | ) | ||||||||||||||||||||||||||||
Gross Unrealized Losses | Number | Fair | Gross | ||||||||||||||||||||||||||||||
of | Value | Unrealized | |||||||||||||||||||||||||||||||
at December 31, 2012: | Securities | Losses | |||||||||||||||||||||||||||||||
Less than or equal to 10% | — | $ | — | $ | — | ||||||||||||||||||||||||||||
Greater than 10% | 1 | 212 | (78 | ) | |||||||||||||||||||||||||||||
1 | $ | 212 | $ | (78 | ) | ||||||||||||||||||||||||||||
The following tables set forth the amount of gross unrealized losses by current severity (as compared to amortized cost) and length of time that individual securities have been in a continuous unrealized loss position (in thousands). | |||||||||||||||||||||||||||||||||
Fair Value of | Gross | Severity of Gross Unrealized Losses | |||||||||||||||||||||||||||||||
Securities | Unrealized | ||||||||||||||||||||||||||||||||
with Gross | Losses | ||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
Length of Gross Unrealized Losses at December 31, 2013: | Losses | Less | 5% to | Greater | |||||||||||||||||||||||||||||
than 5% | 10% | than | |||||||||||||||||||||||||||||||
10% | |||||||||||||||||||||||||||||||||
Less than or equal to: | |||||||||||||||||||||||||||||||||
Three months | $ | 6,417 | $ | (40 | ) | $ | (40 | ) | $ | — | $ | — | |||||||||||||||||||||
Six months | 1,653 | (129 | ) | — | (129 | ) | — | ||||||||||||||||||||||||||
Nine months | 15,871 | (852 | ) | (153 | ) | (699 | ) | — | |||||||||||||||||||||||||
Twelve months | — | — | — | — | — | ||||||||||||||||||||||||||||
Greater than twelve months | 13,980 | (1,270 | ) | (85 | ) | (1,185 | ) | — | |||||||||||||||||||||||||
Total | $ | 37,921 | $ | (2,291 | ) | $ | (278 | ) | $ | (2,013 | ) | $ | — | ||||||||||||||||||||
Fair Value of | Gross | Severity of Gross Unrealized Losses | |||||||||||||||||||||||||||||||
Securities | Unrealized | ||||||||||||||||||||||||||||||||
with Gross | Losses | ||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
Length of Gross Unrealized Losses at December 31, 2012: | Losses | Less | 5% to | Greater | |||||||||||||||||||||||||||||
than 5% | 10% | than | |||||||||||||||||||||||||||||||
10% | |||||||||||||||||||||||||||||||||
Less than or equal to: | |||||||||||||||||||||||||||||||||
Three months | $ | 26,121 | $ | (266 | ) | $ | (246 | ) | $ | — | $ | (20 | ) | ||||||||||||||||||||
Six months | — | — | — | — | — | ||||||||||||||||||||||||||||
Nine months | — | — | — | — | — | ||||||||||||||||||||||||||||
Twelve months | 702 | (6 | ) | (6 | ) | — | — | ||||||||||||||||||||||||||
Greater than twelve months | 212 | (78 | ) | — | — | (78 | ) | ||||||||||||||||||||||||||
Total | $ | 27,035 | $ | (350 | ) | $ | (252 | ) | $ | — | $ | (98 | ) | ||||||||||||||||||||
Limited Partnership Interests | |||||||||||||||||||||||||||||||||
Limited partnership interests consist of investments in three funds that invest in small balance distressed secured loans, securities and international equity and distressed corporate financing opportunities, respectively. These investments have redemption and transfer restrictions, however, the Company does not intend to sell these limited partnership interests, and it is more likely than not that the Company will not be required to sell them before the expiration of such restrictions. At December 31, 2013, the Company had unfunded commitments of $2.4 million to these limited partnerships. | |||||||||||||||||||||||||||||||||
Net earnings from limited partnership interests is recorded in investment income in the consolidated statements of operations and comprehensive income (loss). | |||||||||||||||||||||||||||||||||
Restrictions | |||||||||||||||||||||||||||||||||
At December 31, 2013, fixed maturities and cash equivalents with a fair value and amortized cost of $5.3 million were on deposit with various insurance departments as a requirement of doing business in those states. Cash equivalents with a fair value and amortized cost of $9.4 million were on deposit with another insurance company as collateral for an assumed reinsurance contract. | |||||||||||||||||||||||||||||||||
Investment Income and Net Realized Gains and Losses | |||||||||||||||||||||||||||||||||
The major categories of investment income follow (in thousands). | |||||||||||||||||||||||||||||||||
Year Ended | Six Months | Year | |||||||||||||||||||||||||||||||
December 31, | Ended | Ended | |||||||||||||||||||||||||||||||
December 31, | June 30, | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||||||||||||||||||
Fixed maturities, available-for-sale | $ | 5,037 | $ | 6,513 | $ | 3,897 | $ | 8,296 | |||||||||||||||||||||||||
Mutual funds, available-for-sale | 766 | 613 | 290 | 625 | |||||||||||||||||||||||||||||
Limited partnership interests | 200 | — | — | — | |||||||||||||||||||||||||||||
Equity in earnings of limited partnership interest | 199 | — | — | — | |||||||||||||||||||||||||||||
Other | 90 | 92 | 59 | 125 | |||||||||||||||||||||||||||||
Investment expenses | (576 | ) | (619 | ) | (316 | ) | (651 | ) | |||||||||||||||||||||||||
$ | 5,716 | $ | 6,599 | $ | 3,930 | $ | 8,395 | ||||||||||||||||||||||||||
The components of net realized gains (losses) on investments, available-for-sale at fair value follow (in thousands). | |||||||||||||||||||||||||||||||||
Year Ended | Six Months | Year | |||||||||||||||||||||||||||||||
December 31, | Ended | Ended | |||||||||||||||||||||||||||||||
December 31, | June 30, | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||||||||||||||||||
Gains | $ | 100 | $ | 3,296 | $ | 15 | $ | 231 | |||||||||||||||||||||||||
Losses | (68 | ) | (31 | ) | (120 | ) | (3 | ) | |||||||||||||||||||||||||
Other-than-temporary impairment | (61 | ) | (23 | ) | (127 | ) | (413 | ) | |||||||||||||||||||||||||
$ | (29 | ) | $ | 3,242 | $ | (232 | ) | $ | (185 | ) | |||||||||||||||||||||||
Realized gains and losses on sales and redemptions are computed based on specific identification. The non-credit related portion of OTTI is included in other comprehensive income (loss). The amounts of non-credit OTTI for securities still owned was $0.9 million for non-agency backed residential CMOs and $0.2 million for non-agency backed commercial at December 31, 2013, and $1.0 million for non-agency backed residential CMOs and $0.2 million for non-agency backed commercial CMOs at December 31, 2012 and 2011. | |||||||||||||||||||||||||||||||||
Other-Than-Temporary Impairment | |||||||||||||||||||||||||||||||||
The Company separates OTTI into the following two components: (i) the amount related to credit losses, which is recognized in the consolidated statement of operations and comprehensive income (loss) and (ii) the amount related to all other factors, which is recorded in other comprehensive income (loss). The credit-related portion of an OTTI is measured by comparing a security’s amortized cost to the present value of its current expected cash flows discounted at its effective yield prior to the impairment charge. | |||||||||||||||||||||||||||||||||
The determination of whether unrealized losses are “other-than-temporary” requires judgment based on subjective as well as objective factors. The Company routinely monitors its investment portfolio for changes in fair value that might indicate potential impairments and performs detailed reviews on such securities. Changes in fair value are evaluated to determine the extent to which such changes are attributable to (i) fundamental factors specific to the issuer or (ii) market-related factors such as interest rates or sector declines. | |||||||||||||||||||||||||||||||||
Securities with declines attributable to issuer-specific fundamentals are reviewed to identify all available evidence to estimate the potential for impairment. Resources used include historical financial data included in filings with the United States Securities and Exchange Commission (“SEC”) for corporate bonds and performance data regarding the underlying loans for CMOs. Securities with declines attributable solely to market or sector declines where the Company does not intend to sell the security and it is more likely than not that the Company will not be required to sell the security before the full recovery of its amortized cost basis are not deemed to be other-than-temporarily impaired. | |||||||||||||||||||||||||||||||||
The issuer-specific factors considered in reaching the conclusion that securities with declines are not other-than-temporary include (i) the extent and duration of the decline in fair value, including the duration of any significant decline in value, (ii) whether the security is current as to payments of principal and interest, (iii) a valuation of any underlying collateral, (iv) current and future conditions and trends for both the business and its industry, (v) changes in cash flow assumptions for CMOs and (vi) rating agency actions. Based on these factors, the Company makes a determination as to the probability of recovering principal and interest on the security. | |||||||||||||||||||||||||||||||||
The number and amount of securities for which the Company has recognized OTTI charges in net income (loss) are presented in the following tables (in thousands, except for the number of securities). | |||||||||||||||||||||||||||||||||
Year Ended December 2013, | Six Months Ended | Year Ended June 30, | |||||||||||||||||||||||||||||||
December 31 | 2011 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||
Number | OTTI | Number | OTTI | Number | OTTI | Number | OTTI | ||||||||||||||||||||||||||
of | of | of | of | ||||||||||||||||||||||||||||||
Securities | Securities | Securities | Securities | ||||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Non-agency backed – residential | 1 | $ | (61 | ) | 2 | $ | (8 | ) | 3 | $ | (127 | ) | 5 | $ | (119 | ) | |||||||||||||||||
Non-agency backed – commercial | — | — | 1 | (15 | ) | 1 | (12 | ) | 5 | (296 | ) | ||||||||||||||||||||||
1 | (61 | ) | 3 | (23 | ) | 4 | (139 | ) | 10 | (415 | ) | ||||||||||||||||||||||
Portion of loss recognized in accumulated other comprehensive income (loss) | — | — | 12 | 2 | |||||||||||||||||||||||||||||
Net OTTI recognized in net income (loss) | $ | (61 | ) | $ | (23 | ) | $ | (127 | ) | $ | (413 | ) | |||||||||||||||||||||
The following is a progression of the credit-related portion of OTTI on investments owned at December 31, 2013, 2012 and 2011and June 30, 2011 (in thousands). | |||||||||||||||||||||||||||||||||
Six Months | Year Ended | ||||||||||||||||||||||||||||||||
Ended | June 30, | ||||||||||||||||||||||||||||||||
Year Ended December 31, | December 31, | 2011 | |||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||
Beginning balance | $ | (2,666 | ) | $ | (3,425 | ) | $ | (3,343 | ) | $ | (3,301 | ) | |||||||||||||||||||||
Additional credit impairments on: | |||||||||||||||||||||||||||||||||
Previously impaired securities | (61 | ) | (23 | ) | (127 | ) | (413 | ) | |||||||||||||||||||||||||
Securities without previous impairments | — | — | — | — | |||||||||||||||||||||||||||||
(61 | ) | (23 | ) | (127 | ) | (413 | ) | ||||||||||||||||||||||||||
Reductions for securities sold (realized) | 95 | 782 | 45 | 371 | |||||||||||||||||||||||||||||
$ | (2,632 | ) | $ | (2,666 | ) | $ | (3,425 | ) | $ | (3,343 | ) | ||||||||||||||||||||||
The Company believes that the remaining securities having unrealized losses at December 31, 2013 were not other-than-temporarily impaired. The Company also does not intend to sell any of these securities and it is more likely than not that the Company will not be required to sell any of these securities before the recovery of their amortized cost basis. |
Reinsurance
Reinsurance | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Insurance [Abstract] | ' | ||||||||||||||||||||||||||||||||
Reinsurance | ' | ||||||||||||||||||||||||||||||||
4 | Reinsurance | ||||||||||||||||||||||||||||||||
Total premiums written and earned are summarized as follows (in thousands). | |||||||||||||||||||||||||||||||||
Year Ended December 31, | Six Months Ended | Year Ended June 30, | |||||||||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||||||||||||||||||
Written | Earned | Written | Earned | Written | Earned | Written | Earned | ||||||||||||||||||||||||||
Direct | $ | 177,376 | $ | 176,588 | $ | 168,990 | $ | 164,715 | $ | 71,325 | $ | 71,503 | $ | 152,356 | $ | 153,368 | |||||||||||||||||
Assumed | 23,768 | 23,313 | 21,517 | 21,121 | 9,245 | 9,222 | 19,435 | 19,844 | |||||||||||||||||||||||||
Ceded | (201 | ) | (201 | ) | (192 | ) | (192 | ) | (88 | ) | (88 | ) | (171 | ) | (171 | ) | |||||||||||||||||
Total | $ | 200,943 | $ | 199,700 | $ | 190,315 | $ | 185,644 | $ | 80,482 | $ | 80,637 | $ | 171,620 | $ | 173,041 | |||||||||||||||||
Assumed business represents private-passenger non-standard automobile insurance premiums in Texas written through a program with a county mutual insurance company and assumed by the Company through 100% quota-share reinsurance. The percentages of premiums assumed to net premiums written for the year ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the years ended June 30, 2011 were 12%, 11%, 11% and 11%, respectively. | |||||||||||||||||||||||||||||||||
In August 2010, the Insurance Companies began utilizing excess-of-loss reinsurance with an unaffiliated reinsurer to limit their exposure to losses under liability coverages for policies issued with limits greater than the minimum statutory requirements. In November 2013, this excess-of-loss reinsurance was expanded to include higher liability limits on tenant homeowner policies. Although the reinsurance agreements contractually obligate the reinsurer to reimburse the Company for their share of losses, they do not discharge the primary liability of the Company, which remains contingently liable in the event the reinsurer is unable to meet their contractual obligations. | |||||||||||||||||||||||||||||||||
At December 31, 2013, the Insurance Companies had unsecured aggregate reinsurance receivables of $0.3 million. | |||||||||||||||||||||||||||||||||
Ceded premiums earned and reinsurance recoveries on losses and loss adjustment expenses were as follows (in thousands): | |||||||||||||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
Ceded premiums earned | $ | 201 | $ | 192 | |||||||||||||||||||||||||||||
Reinsurance recoveries on losses and loss adjustment expenses | $ | 285 | $ | 163 |
StockBased_Compensation_Plans
Stock-Based Compensation Plans | 12 Months Ended | ||||||||||||||
Dec. 31, 2013 | |||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||
Stock-Based Compensation Plans | ' | ||||||||||||||
5 | Stock-Based Compensation Plans | ||||||||||||||
Employee Stock-Based Incentive Plan | |||||||||||||||
The Company has issued stock options (“Stock Option Awards”) and restricted common stock (“Restricted Stock Awards”) to employees and directors under its Amended and Restated First Acceptance Corporation 2002 Long Term Incentive Plan (the “Plan”) and accounts for such issuances in accordance with FASB ASC 718, Compensation – Stock Compensation. At December 31, 2013, there were 6,140,307 shares remaining available for issuance under the Plan. Stock Option Awards are generally granted with an exercise price equal to or greater than the market price of the Company’s stock at the date of grant. Stock Option Awards expire over five or ten years from the date of grant and vest in designated installments over four or five years through January 2016, while the Restricted Stock Awards vest in designated installments through November 2014. Certain awards provide for accelerated vesting if there is a change in control (as defined in the Plan). | |||||||||||||||
On January 31, 2012, the Compensation Committee of the Board of Directors of the Company awarded two executive officers Stock Option Awards to purchase 750,000 and 75,000 shares of the Company’s common stock at an exercise price of $1.45 per share and vest 40% and 20%, respectively, upon grant with the remainder vesting in equal installments over three and four years, respectively. Additionally, these Stock Option Awards expire on January 31, 2017. Compensation expense related to these Stock Option Awards was $0.5 million, of which $0.3 million was amortized through December 2012 and the remaining $0.2 million will be amortized through January 2016. The fair value of these Stock Option Awards was estimated at the grant date using the Black-Scholes option pricing model with an expected volatility of 73%, a risk-free interest rate of 0.71%, a dividend yield rate of zero, and a five-year expected term. Based on the calculation using the Black-Scholes option pricing model, the grant date fair value of options granted was $0.63 per share. Expected volatility is based on the historical volatility in the price of the Company’s common stock since April 2004. The risk-free interest rate is the five-year Treasury rate, based on the term of the options. The dividend yield assumption is based on our history and expectation of dividend payments on common stock. The expected term represents the period of time that these Stock Option Awards are expected to remain outstanding. | |||||||||||||||
Compensation expense related to Stock Option Awards is calculated under the fair value method and is recorded on a straight-line basis over the vesting period. There were no Stock Option Awards granted during the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011. At December 31, 2013, the weighted average remaining contractual life of options outstanding and exercisable/vested is approximately 4.2 years and 4.1 years, respectively. | |||||||||||||||
A summary of the activity for the Company’s Stock Option Awards is presented below (in thousands, except per share data). | |||||||||||||||
Options | Exercise | Weighted | Aggregate | ||||||||||||
Price | Average | Intrinsic | |||||||||||||
Exercise | Value | ||||||||||||||
Price | |||||||||||||||
Options outstanding at June 30, 2010 | 4,561 | $3.00-$8.13 | $ | 3.06 | |||||||||||
Forfeited | (61 | ) | $3.04 | $ | 3.04 | ||||||||||
Options outstanding at June 30, 2011 | 4,500 | $3.00-$8.13 | $ | 3.06 | |||||||||||
Forfeited | — | — | — | ||||||||||||
Options outstanding at December 31, 2011 | 4,500 | $3.00-$8.13 | $ | 3.06 | |||||||||||
Granted | 825 | $1.45 | $ | 1.45 | |||||||||||
Forfeited | (3,730 | ) | $3.00-$3.04 | $ | 3 | ||||||||||
Options outstanding at December 31, 2012 | 1,595 | $1.45-$8.13 | $ | 2.38 | |||||||||||
Forfeited | (358 | ) | $3.04 | $ | 3.04 | ||||||||||
Options outstanding at December 31, 2013 | 1,237 | $1.45-$8.13 | $ | 2.19 | $ | 677 | |||||||||
Options exercisable/vested at December 31, 2013 | 892 | $ | 2.47 | $ | 394 | ||||||||||
A summary of the activity for the Company’s Restricted Stock Awards is presented below (in thousands, except per share data). | |||||||||||||||
Restricted | Weighted | ||||||||||||||
Stock | Average | ||||||||||||||
Awards | Grant Date | ||||||||||||||
Fair Value | |||||||||||||||
Restricted Stock Awards outstanding at June 30, 2010 | 472 | $ | 2.48 | ||||||||||||
Vested | (307 | ) | $ | 2.6 | |||||||||||
Forfeited | (29 | ) | $ | 2.51 | |||||||||||
Restricted Stock Awards outstanding at June 30, 2011 | 136 | $ | 2.3 | ||||||||||||
Vested | (21 | ) | $ | 2.13 | |||||||||||
Forfeited | (20 | ) | $ | 2.2 | |||||||||||
Restricted Stock Awards outstanding at December 31, 2011 | 95 | $ | 2.36 | ||||||||||||
Vested | (34 | ) | $ | 2.36 | |||||||||||
Forfeited | (1 | ) | $ | 2.5 | |||||||||||
Restricted Stock Awards outstanding at December 31, 2012 | 60 | $ | 2.35 | ||||||||||||
Vested | (29 | ) | $ | 2.38 | |||||||||||
Forfeited | (14 | ) | $ | 2.36 | |||||||||||
Restricted Stock Awards outstanding at December 31, 2013 | 17 | $ | 2.29 | ||||||||||||
In the table above, the number of shares vested includes 71,286 shares surrendered by the employees to the Company for payment of minimum tax withholding obligations. Shares of stock withheld for purposes of satisfying minimum tax withholding obligations are again available for issuance under the Plan. | |||||||||||||||
There were no Restricted Stock Awards granted during the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011. The aggregate fair values of Restricted Stock Awards vested during the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the years ended June 30, 2011 were $0.1 million, $0.1 million, $44 thousand and $0.8 million, respectively, at the date of vesting. Expected future compensation expense related to the issuance of Restricted Stock Awards is $51 thousand, which will be amortized through November 2014. | |||||||||||||||
Employee Stock Purchase Plan | |||||||||||||||
The Company’s Board of Directors adopted the First Acceptance Corporation Employee Stock Purchase Plan (“ESPP”) whereby eligible employees may purchase shares of the Company’s common stock at a price equal to the lower of the closing market price on the first or last trading day of a six-month period. ESPP participants can authorize payroll deductions, administered through an independent plan custodian, of up to 15% of their salary to purchase semi-annually (June 30 and December 31) up to $25,000 of the Company’s common stock during each calendar year. The Company has reserved 400,000 shares of common stock for issuance under the ESPP. Employees purchased approximately 35,000, 40,000, 18,000, and 32,000 shares during the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011, respectively. Compensation expense attributable to subscriptions to purchase shares under the ESPP was $7,000, $11,000, $2,000 and $8,000 for the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011, respectively. At December 31, 2013, 118,269 shares remain available for issuance under the ESPP. |
Employee_Benefit_Plan
Employee Benefit Plan | 12 Months Ended | |
Dec. 31, 2013 | ||
Compensation And Retirement Disclosure [Abstract] | ' | |
Employee Benefit Plan | ' | |
6 | Employee Benefit Plan | |
The Company sponsors a defined contribution retirement plan (“401k Plan”) under Section 401(k) of the Internal Revenue Code. The 401k Plan covers substantially all employees who meet specified service requirements. Under the 401k Plan, the Company may, at its discretion, match 100% of the first 3% of an employee’s salary plus 50% of the next 2% up to the maximum allowed by the Internal Revenue Code. The Company’s contributions to the 401k Plan for the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011 were $0.6 million, $0.6 million, $0.3 million and $0.6 million, respectively, and are included within insurance operating expenses in the accompanying consolidated statements of operations and comprehensive income (loss). |
Property_and_Equipment
Property and Equipment | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||
Property and Equipment | ' | ||||||||
7 | Property and Equipment | ||||||||
The components of property and equipment are as follows (in thousands). | |||||||||
December 31, | |||||||||
2013 | 2012 | ||||||||
Furniture and equipment | $ | 9,736 | $ | 9,008 | |||||
Leasehold improvements | 4,999 | 4,880 | |||||||
Capitalized leases | 238 | 238 | |||||||
Aircraft | 190 | 190 | |||||||
15,163 | 14,316 | ||||||||
Less: Accumulated depreciation | (11,651 | ) | (9,660 | ) | |||||
Property and equipment, net | $ | 3,512 | $ | 4,656 | |||||
Depreciation and amortization expense related to property and equipment was $2.1 million, $2.2 million, $0.8 million and $1.6 million for the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the years ended June 30, 2011, respectively. Included within the leasehold improvements category at December 31, 2013 above are capitalized assets totaling $0.1 million not yet in service. These assets are related to the Company’s strategic investments in its retail stores. |
Lease_Commitments
Lease Commitments | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Leases [Abstract] | ' | ||||
Lease Commitments | ' | ||||
8 | Lease Commitments | ||||
The Company is committed under various operating lease agreements for office space. Certain lease agreements contain renewal options and rent escalation clauses. Rental expense for the year ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the years ended June 30, 2011 was $9.2 million, $9.5 million, $4.8 million and $9.9 million, respectively, and is included within insurance operating expenses in the accompanying consolidated statements of operations and comprehensive income (loss). Future minimum lease payments under these agreements follow (in thousands). | |||||
Year Ending December 31, | Amount | ||||
2014 | $ | 6,915 | |||
2015 | 5,051 | ||||
2016 | 2,447 | ||||
2017 | 692 | ||||
2018 | 299 | ||||
Thereafter | 576 | ||||
Total | $ | 15,980 | |||
Losses_and_Loss_Adjustment_Exp
Losses and Loss Adjustment Expenses Incurred and Paid | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Insurance [Abstract] | ' | ||||||||||||||||
Losses and Loss Adjustment Expenses Incurred and Paid | ' | ||||||||||||||||
9 | Losses and Loss Adjustment Expenses Incurred and Paid | ||||||||||||||||
Information regarding the reserve for unpaid losses and LAE is as follows (in thousands). | |||||||||||||||||
Year Ended December 31, | Six Months | Year | |||||||||||||||
Ended | Ended | ||||||||||||||||
December 31, | June 30, | ||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Liability for unpaid losses and LAE at beginning of period, gross | $ | 79,260 | $ | 69,436 | $ | 68,424 | $ | 73,198 | |||||||||
Reinsurance balances receivable | (260 | ) | (187 | ) | (133 | ) | (46 | ) | |||||||||
Liability for unpaid losses and LAE at beginning of period, net | 79,000 | 69,249 | 68,291 | 73,152 | |||||||||||||
Add: Provision for losses and LAE: | |||||||||||||||||
Current period | 145,877 | 144,207 | 60,162 | 130,888 | |||||||||||||
Prior periods | (3,038 | ) | 4,016 | 5,591 | (1,721 | ) | |||||||||||
Net losses and LAE incurred | 142,839 | 148,223 | 65,753 | 129,167 | |||||||||||||
Less: Losses and LAE paid: | |||||||||||||||||
Current period | 88,726 | 89,157 | 32,022 | 84,736 | |||||||||||||
Prior periods | 49,132 | 49,315 | 32,773 | 49,292 | |||||||||||||
Net losses and LAE paid | 137,858 | 138,472 | 64,795 | 134,028 | |||||||||||||
Liability for unpaid losses and LAE at end of period, net | 83,981 | 79,000 | 69,249 | 68,291 | |||||||||||||
Reinsurance balances receivable | 305 | 260 | 187 | 133 | |||||||||||||
Liability for unpaid losses and LAE at end of period, gross | $ | 84,286 | $ | 79,260 | $ | 69,436 | $ | 68,424 | |||||||||
The favorable change in the estimate of unpaid losses and loss adjustment expenses of $3.0 million for the year ended December 31, 2013 was primarily related to bodily injury claims occurring in accident years 2010 through 2012, partially offset by unfavorable loss and loss adjustment expense development on Florida personal injury protection claims. | |||||||||||||||||
The unfavorable change in the estimate of unpaid losses and loss adjustment expenses of $4.0 million for the year ended December 31, 2012 was primarily due to higher than expected severity with Florida personal injury protection claims and with Georgia bodily injury claims in older accident periods, and unfavorable loss adjustment expense development that was primarily related to higher than expected legal expenses for bodily injury claims for accident years 2010 and prior. | |||||||||||||||||
The unfavorable change in the estimate of unpaid losses and loss adjustment expenses of $5.6 million for the six months ended December 31, 2011 was primarily related to the strengthening of loss adjustment expense reserves for prior accident periods and included amounts related to the settlement of claims for extra-contractual damages. | |||||||||||||||||
The favorable change in the estimate of unpaid losses and loss adjustment expenses of $1.7 million for the year ended June 30, 2011 was due to lower than anticipated severity of accidents occurring during the fiscal 2009 and 2010 accident years, specifically in bodily injury coverage in Texas, Tennessee and South Carolina and physical damage coverages in Georgia, partially offset by higher loss adjustment expenses specific to bodily injury and Florida no-fault coverages. |
Debentures_Payable
Debentures Payable | 12 Months Ended | |
Dec. 31, 2013 | ||
Debt Disclosure [Abstract] | ' | |
Debentures Payable | ' | |
10 | Debentures Payable | |
In June 2007, First Acceptance Statutory Trust I (“FAST I”), a wholly-owned unconsolidated subsidiary trust of the Company, issued 40,000 shares of preferred securities at $1,000 per share to outside investors and 1,240 shares of common securities to the Company, also at $1,000 per share. FAST I used the proceeds from the sale of the preferred securities to purchase $41.2 million of junior subordinated debentures from the Company. The sole assets of FAST I are $41.2 million of junior subordinated debentures issued by the Company. The debentures will mature on July 30, 2037 and are redeemable by the Company in whole or in part beginning on July 30, 2012, at which time the preferred securities are callable. The debentures paid a fixed rate of 9.277% until July 30, 2012, after which the rate became variable (Three-Month LIBOR plus 375 basis points, resetting quarterly). The interest rate related to the debentures was 3.986% for the period from November 2013 to January 2014 and in February 2014 reset to the same rate through April 2014. | ||
The obligations of the Company under the junior subordinated debentures represent full and unconditional guarantees by the Company of FAST I’s obligations for the preferred securities. Dividends on the preferred securities are cumulative, payable quarterly in arrears and are deferrable at the Company’s option for up to five years. The dividends on these securities, which have not been deferred, are the same as the interest on the debentures. The Company cannot pay dividends on its common stock during such deferments. | ||
The debentures are classified as debentures payable in the Company’s consolidated balance sheets and the interest paid on these debentures is classified as interest expense in the consolidated statements of operations and comprehensive income (loss). At December 31, 2013, the unamortized debt discount of $0.9 million is being amortized to interest expense over the term of the debentures. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||
Income Taxes | ' | ||||||||||||||||
11 | Income Taxes | ||||||||||||||||
The provision (benefit) for income taxes consisted of the following (in thousands). | |||||||||||||||||
Six Months | Year | ||||||||||||||||
Ended | Ended | ||||||||||||||||
Year Ended December 31, | December 31, | June 30, | |||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Federal: | |||||||||||||||||
Current | $ | 175 | $ | — | $ | — | $ | — | |||||||||
Deferred | (4 | ) | — | — | — | ||||||||||||
171 | — | — | — | ||||||||||||||
State: | |||||||||||||||||
Current | 476 | (8 | ) | 146 | 296 | ||||||||||||
Deferred | 3 | 3 | 2 | (98 | ) | ||||||||||||
479 | (5 | ) | 148 | 198 | |||||||||||||
$ | 650 | $ | (5 | ) | $ | 148 | $ | 198 | |||||||||
The provision (benefit) for income taxes differs from the amounts computed by applying the statutory federal corporate tax rate of 35% to income (loss) before income taxes as a result of the following (in thousands). | |||||||||||||||||
Year Ended December 31, | Six Months | Year | |||||||||||||||
Ended | Ended | ||||||||||||||||
December 31, | June 30, | ||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Provision (benefit) for income taxes at statutory rate | $ | 3,440 | $ | (3,166 | ) | $ | (10,251 | ) | $ | (19,804 | ) | ||||||
Tax effect of: | |||||||||||||||||
Tax-exempt investment income | (27 | ) | (18 | ) | (2 | ) | (15 | ) | |||||||||
Change in the beginning of the period balance of the valuation allowance for deferred tax assets allocated to federal income taxes | (4,277 | ) | 580 | 4,670 | 4,761 | ||||||||||||
Net operating loss carryforward expirations | — | 1 | — | 735 | |||||||||||||
Goodwill and identifiable intangible assets | — | — | 5,545 | 14,084 | |||||||||||||
Stock-based compensation | 1,133 | 2,552 | 30 | 248 | |||||||||||||
State income taxes, net of federal income tax benefit and valuation allowance | 479 | (5 | ) | 148 | 198 | ||||||||||||
Other | (98 | ) | 51 | 8 | (9 | ) | |||||||||||
$ | 650 | $ | (5 | ) | $ | 148 | $ | 198 | |||||||||
The tax effects of temporary differences that give rise to the net deferred tax assets and liabilities are presented below (in thousands). | |||||||||||||||||
December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Deferred tax assets: | |||||||||||||||||
Net operating loss carryforwards | $ | 9,949 | $ | 13,091 | |||||||||||||
Stock option compensation | 516 | 1,704 | |||||||||||||||
Unearned premiums and loss and loss adjustment expense reserves | 4,898 | 4,980 | |||||||||||||||
Goodwill and identifiable intangible assets | 6,311 | 7,341 | |||||||||||||||
Alternative minimum tax (“AMT”) credit carryforwards | 1,784 | 1,612 | |||||||||||||||
Accrued expenses and other nondeductible items | 1,182 | 495 | |||||||||||||||
Other | 1,875 | 3,456 | |||||||||||||||
26,515 | 32,679 | ||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||
Deferred acquisition costs | (1,016 | ) | (1,127 | ) | |||||||||||||
Identifiable intangible assets | (1,872 | ) | (1,872 | ) | |||||||||||||
Net unrealized change on investments | (1,181 | ) | (3,046 | ) | |||||||||||||
Other | — | — | |||||||||||||||
(4,069 | ) | (6,045 | ) | ||||||||||||||
Total net deferred tax asset | 22,446 | 26,634 | |||||||||||||||
Less: Valuation allowance | (24,224 | ) | (28,413 | ) | |||||||||||||
Net deferred tax liability | $ | (1,778 | ) | $ | (1,779 | ) | |||||||||||
The Company had a valuation allowance of $24.2 million and $28.4 million at December 31, 2013 and 2012, respectively, to reduce deferred tax assets to the amount that is more likely than not to be realized. The change in the total valuation allowance for the year ended December 31, 2013 was a decrease of $4.2 million. For the year ended December 31, 2013, the change in the valuation allowance included decreases of $1.9 million related to the unrealized change on investments included in other comprehensive income (loss) and was net of the utilization of $8.6 million in NOL carryforwards. | |||||||||||||||||
In assessing the realization of deferred tax assets, management considered whether it was more likely than not that some portion or all of the deferred tax assets will not be realized. The Company is required to assess whether a valuation allowance should be established against the Company’s net deferred tax assets based on the consideration of all available evidence using a more likely than not standard. In making such judgments, significant weight is given to evidence that can be objectively verified. In assessing the Company’s ability to support the realizability of its deferred tax assets, management considered both positive and negative evidence. The Company placed greater weight on historical results than on the Company’s outlook for future profitability and established a deferred tax valuation allowance at December 31, 2013 and 2012, respectively. The deferred tax valuation allowance may be adjusted in future periods if management determines that it is more likely than not that some portion or all of the deferred tax assets will be realized. In the event the deferred tax valuation allowance is adjusted, the Company would record an income tax benefit for the adjustment. | |||||||||||||||||
The change in the total valuation allowance for the year ended December 31, 2012 was an increase of $1.2 million. For the year ended December 31, 2012, the change in the calculation allowance included increases of $0.5 million related to the unrealized change on investments included in other comprehensive income (loss). The change in the total valuation allowance for the six months ended December 31, 2011 was an increase of $5.1 million. For the six months ended December 31, 2011, the change in the valuation allowance included reductions of $0.3 million related to the unrealized change on investments included in other comprehensive income (loss) and increases of $0.7 million related to deferred state income taxes. The change in the total valuation allowance for the year ended June 30, 2011 was an increase of $5.2 million. For the year ended June 30, 2011, the change in the valuation allowance included reductions of $0.3 million related to the unrealized change on investments included in other comprehensive income (loss) and increases of $0.8 million related to deferred state income taxes. | |||||||||||||||||
At December 31, 2013, the Company had gross state NOL carryforwards of $7.8 million that begin to expire in 2020. At December 31, 2013, the Company had gross NOL carryforwards for federal income tax purposes of $28.4 million and AMT credit carryforwards of $1.8 million that have no expiration date, which are available to offset future federal taxable income. On a tax-effected basis, all remaining federal and substantially all state NOL carryforwards at December 31, 2013 have been fully reserved for through a valuation allowance. The gross federal NOL carryforwards of $28.4 million will expire in 2029 through 2032. |
Net_Income_Loss_Per_Share
Net Income (Loss) Per Share | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Net Income (Loss) Per Share | ' | ||||||||||||||||
12 | Net Income (Loss) Per Share | ||||||||||||||||
Basic EPS are computed using the weighted average number of shares outstanding. Diluted EPS are computed using the weighted average number of shares outstanding adjusted for the incremental shares attributed to outstanding securities with a right to purchase or convert into common stock. | |||||||||||||||||
The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands, except per share data). | |||||||||||||||||
Year Ended | Six Months | Year | |||||||||||||||
December 31, | Ended | Ended | |||||||||||||||
December 31, | June 30, | ||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Net income (loss) | $ | 9,180 | $ | (9,040 | ) | $ | (29,437 | ) | $ | (56,780 | ) | ||||||
Weighted average common basic shares | 40,930 | 40,861 | 47,707 | 48,171 | |||||||||||||
Effect of dilutive securities | 162 | — | — | — | |||||||||||||
Weighted average common dilutive shares | 41,092 | 40,861 | 47,707 | 48,171 | |||||||||||||
Basic net income (loss) per share | $ | 0.22 | $ | (0.22 | ) | $ | (0.62 | ) | $ | (1.18 | ) | ||||||
Diluted net income (loss) per share | $ | 0.22 | $ | (0.22 | ) | $ | (0.62 | ) | $ | (1.18 | ) | ||||||
For the year ended December 31, 2013, the computation of diluted net income per share included 17 thousand shares of unvested restricted common stock and exercisable options to purchase approximately 0.9 million shares that had a dilutive effect of 145 thousand shares. | |||||||||||||||||
For each of the year ended December 31, 2012, the six months ended December 31, 2011 and the year ended June 30, 2011, the computation of diluted net loss per share did not include approximately 0.1 million shares of unvested restricted common stock as their inclusion would have been anti-dilutive. Options to purchase 1.6 million, 4.5 million and 4.5 million shares for the year ended December 31, 2012, the six months ended December 31, 2011 and the year ended June 30, 2011, respectively, were not included in the computation of diluted net income (loss) per share as their exercise prices were in excess of the average stock prices for the periods presented. |
Concentrations_of_Credit_Risk
Concentrations of Credit Risk | 12 Months Ended | |
Dec. 31, 2013 | ||
Risks And Uncertainties [Abstract] | ' | |
Concentrations of Credit Risk | ' | |
13 | Concentrations of Credit Risk | |
At December 31, 2013, the Company had certain concentrations of credit risk with several financial institutions in the form of cash and cash equivalents, which amounted to $72.0 million. For purposes of evaluating credit risk, the stability of financial institutions conducting business with the Company, the amount of collateral posted and the amount of available Federal Deposit Insurance Corporation insurance is periodically reviewed. If the financial institutions failed to completely perform under terms of the financial instruments, the exposure for credit loss would be the amount of the financial instruments less amounts covered by regulatory insurance. | ||
The Company primarily transacts business either directly with its policyholders or through independently-owned insurance agencies in Tennessee who exclusively write non-standard personal automobile insurance policies on behalf of the Company. Direct policyholders make payments directly to the Company. Balances due from policyholders are generally secured by the related unearned premium. The Company requires a down payment at the time the policy is originated and subsequent scheduled payments are monitored in order to prevent the Company from providing coverage beyond the date for which payment has been received. If subsequent payments are not made timely, the policy is generally canceled at no loss to the Company. Policyholders whose premiums are written through the independent agencies make their payments to these agencies that in turn remit these payments to the Company. Balances due to the Company resulting from premium payments made to these agencies are unsecured. |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended | |
Dec. 31, 2013 | ||
Related Party Transactions [Abstract] | ' | |
Related Party Transactions | ' | |
14 | Related Party Transactions | |
Certain of the Company’s executives are covered by employment agreements covering, among other items, base compensation, incentive-bonus determinations and payments in the event of termination or a change in control of the Company. | ||
During the six months ended December 31, 2011, the Company repurchased an aggregate of 481,205 shares from two former executive officers of the Company in separately negotiated transactions for an aggregate price of $0.8 million. All repurchased shares were subsequently retired. | ||
On December 23, 2011, the Company and Stephen J. Harrison entered into a Mutual Separation and Release Agreement (“Separation Agreement”) that included the resignation of Stephen J. Harrison from all positions with the Company, including as a member of the Board of Directors and the Chief Executive Officer of the Company. In connection with the Separation Agreement, on December 23, 2011, the Company repurchased 7,049,515 shares of Company common stock beneficially owned by Mr. Harrison for an aggregate price of $10.2 million, or $1.45 per share. All repurchased shares were subsequently retired. |
Severance
Severance | 12 Months Ended | |
Dec. 31, 2013 | ||
Text Block [Abstract] | ' | |
Severance | ' | |
15 | Severance | |
During the year ended June 30, 2011, the Company incurred charges of $1.7 million for severance for former employees of the Company. The fiscal year 2011 charge was comprised of $1.3 million in accrued severance and benefits and $0.4 million in non-cash charges related to the vesting of certain unvested stock options and restricted common stock. Severance and benefits charges are included in insurance operating expenses and the non-cash charges related to the vesting of stock options and restricted common stock are included within stock-based compensation expense in the consolidated statements of operations and comprehensive income (loss). The insurance operations segment includes the accrued severance and benefits charges, and the real estate and corporate segment includes the accelerated vesting charges. |
Litigation
Litigation | 12 Months Ended | |
Dec. 31, 2013 | ||
Commitments And Contingencies Disclosure [Abstract] | ' | |
Litigation | ' | |
16 | Litigation | |
The Company is named as a defendant in various lawsuits, arising in the ordinary course of business, generally relating to its insurance operations. All legal actions relating to claims made under insurance policies are considered by the Company in establishing its loss and loss adjustment expense reserves. The Company also faces lawsuits from time to time that seek damages beyond policy limits, commonly known as bad faith claims, as well as class action and individual lawsuits that involve issues arising in the course of the Company’s business. The Company continually evaluates potential liabilities and reserves for litigation of these types using the criteria established by FASB ASC 450, Contingencies (“FASB ASC 450”). Pursuant to FASB ASC 450, reserves for a loss may only be recognized if the likelihood of occurrence is probable and the amount can be reasonably estimated. If a loss, while not probable, is judged to be reasonably possible, management will disclose, if it can be estimated, a possible range of loss or state that an estimate cannot be made. Management evaluates each legal action and records reserves for losses as warranted by establishing a reserve in its consolidated balance sheets in loss and loss adjustment expense reserves for bad faith claims and in other liabilities for other lawsuits. Amounts incurred are recorded in the Company’s consolidated statements of operations and comprehensive income (loss) in losses and loss adjustment expenses for bad faith claims and in insurance operating expenses for other lawsuits unless otherwise disclosed. | ||
In January 2014, the Company became the subject of litigation filed in the U.S. District Court for the Middle District of Tennessee alleging certain improper employment law practices. The case is in its infancy, and the Company’s position in this case has not yet been fully developed. Therefore, an estimate of the ultimate impact of this litigation on the Company, if any, cannot be made at this time. |
Segment_Information
Segment Information | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Information | ' | ||||||||||||||||
17 | Segment Information | ||||||||||||||||
The Company operates in two business segments with its primary focus being the selling, servicing and underwriting of non-standard personal automobile insurance. The real estate and corporate segment consists of the activities related to the disposition of foreclosed real estate held for sale, interest expense associated with all debt and other general corporate overhead expenses. | |||||||||||||||||
The following table presents selected financial data by business segment (in thousands). | |||||||||||||||||
Year Ended December 31, | Six Months | Year | |||||||||||||||
Ended | Ended | ||||||||||||||||
December 31, | June 30, | ||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Revenues: | |||||||||||||||||
Insurance | $ | 240,460 | $ | 227,966 | $ | 99,039 | $ | 210,618 | |||||||||
Real estate and corporate | 52 | 93 | 65 | 116 | |||||||||||||
Consolidated total | $ | 240,512 | $ | 228,059 | $ | 99,104 | $ | 210,734 | |||||||||
Income (loss) before income taxes: | |||||||||||||||||
Insurance | $ | 12,748 | $ | (4,588 | ) | $ | (26,711 | ) | $ | (50,407 | ) | ||||||
Real estate and corporate | (2,918 | ) | (4,457 | ) | (2,578 | ) | (6,175 | ) | |||||||||
Consolidated total | $ | 9,830 | $ | (9,045 | ) | $ | (29,289 | ) | $ | (56,582 | ) | ||||||
December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Total assets: | |||||||||||||||||
Insurance | $ | 262,869 | $ | 256,670 | |||||||||||||
Real estate and corporate | 10,838 | 5,633 | |||||||||||||||
Consolidated total | $ | 273,707 | $ | 262,303 | |||||||||||||
Statutory_Financial_Informatio
Statutory Financial Information and Accounting Policies | 12 Months Ended | |
Dec. 31, 2013 | ||
Text Block [Abstract] | ' | |
Statutory Financial Information and Accounting Policies | ' | |
18 | Statutory Financial Information and Accounting Policies | |
The statutory-basis financial statements of the Insurance Companies are prepared in accordance with accounting practices prescribed or permitted by the Department of Insurance in each respective state of domicile. Each state of domicile requires that insurance companies domiciled in the state prepare their statutory-basis financial statements in accordance with the National Association of Insurance Commissioners Accounting Practices and Procedures Manual subject to any deviations prescribed or permitted by the insurance commissioner in each state of domicile. The Insurance Companies are required to report their risk-based capital (“RBC”) each December 31. Failure to maintain an adequate RBC could subject the Insurance Companies to regulatory action and could restrict the payment of dividends. At December 31, 2013, the RBC levels of the Insurance Companies did not subject them to any regulatory action. | ||
At December 31, 2013 and 2012, on an unaudited consolidated statutory basis, the capital and surplus of the Insurance Companies was $95.0 million and $89.6 million, respectively. For the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the fiscal year ended June 30, 2011, consolidated statutory net income (loss) of the Insurance Companies was $4.2 million, $(12.7) million, $(9.0) million and $(5.9) million, respectively. | ||
The maximum amount of dividends which can be paid by First Acceptance Insurance Company, Inc. (“FAIC”) to the Company, without the prior approval of the Texas insurance commissioner, is limited to the greater of 10% of statutory capital and surplus at December 31st of the next preceding year or net income for the year. In addition, dividends may only be paid from unassigned funds (surplus) and an insurance company’s remaining surplus must be both reasonable in relation to its outstanding liabilities and adequate to its financial needs. At December 31, 2013, FAIC could pay $0.9 million in ordinary dividends to the Company without prior regulatory approval due to a negative earned surplus position. |
Selected_Quarterly_Financial_D
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||
Selected Quarterly Financial Data (Unaudited) | ' | ||||||||||||||||
19 | Selected Quarterly Financial Data (unaudited) | ||||||||||||||||
Interim results are not necessarily indicative of fiscal year performance because of the impact of seasonal and short-term variations. Selected quarterly financial data is summarized as follows (in thousands, except per share data). | |||||||||||||||||
Total | Income (Loss) | Net Income | Basic and | ||||||||||||||
Revenues | before | (Loss) | Diluted Net | ||||||||||||||
Income Taxes | Income (Loss) | ||||||||||||||||
per Share | |||||||||||||||||
Year Ended December 31, 2013: | |||||||||||||||||
December 31, 2013 | $ | 59,152 | $ | 3,363 | $ | 3,158 | $ | 0.07 | |||||||||
September 30, 2013 | 59,578 | 2,096 | 1,932 | 0.05 | |||||||||||||
June 30, 2013 | 62,493 | 2,254 | 2,066 | 0.05 | |||||||||||||
March 31, 2013 | 59,289 | 2,117 | 2,024 | 0.05 | |||||||||||||
Year Ended December 31, 2012: | |||||||||||||||||
December 31, 2012 | $ | 55,079 | $ | 175 | $ | 96 | $ | 0 | |||||||||
September 30, 2012 | 59,568 | 3,378 | 3,279 | 0.08 | |||||||||||||
June 30, 2012 | 57,945 | (4,470 | ) | (4,208 | ) | (0.10 | ) | ||||||||||
March 31, 2012 | 55,467 | (8,128 | ) | (8,207 | ) | (0.20 | ) | ||||||||||
Income before income taxes for the quarter ended December 31, 2013 of $3.4 million included $2.6 million of favorable development in the Company’s estimate of unpaid loss and loss adjustment expenses. Income before income taxes for the quarter ended December 31, 2012 of $0.2 million included $4.0 million of unfavorable development in the Company’s estimate of unpaid loss and loss adjustment expenses. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
General | ' | ||||||||||||||||
General | |||||||||||||||||
First Acceptance Corporation (the “Company”) is a holding company based in Nashville, Tennessee with operating subsidiaries whose primary operations include the selling, servicing and underwriting of non-standard personal automobile insurance and related products. The Company writes non-standard personal automobile insurance in 12 states and is licensed as an insurer in 13 additional states. The Company issues policies of insurance through three wholly-owned subsidiaries: First Acceptance Insurance Company, Inc., First Acceptance Insurance Company of Georgia, Inc. and First Acceptance Insurance Company of Tennessee, Inc. (collectively, the “Insurance Companies”). | |||||||||||||||||
Change in Fiscal Year | ' | ||||||||||||||||
Change in Fiscal Year | |||||||||||||||||
On November 15, 2011, the Company’s Board of Directors approved a change in the Company’s fiscal year end from June 30 to December 31, effective December 31, 2011. Unless otherwise noted, all references to “years” or “fiscal” refer to the twelve-month fiscal year, which prior to July 1, 2011 ended on June 30. As a result of this change, the consolidated financial statements include the Company’s financial results for the six month transition period of July 1, 2011 to December 31, 2011. | |||||||||||||||||
The following table presents certain comparative transition period financial information (in thousands, except per share data). | |||||||||||||||||
Year Ended | Six Months Ended | ||||||||||||||||
December 31, | December 31, | ||||||||||||||||
2012 | 2011 | 2011 | 2010 | ||||||||||||||
(unaudited) | (unaudited) | ||||||||||||||||
Revenues: | |||||||||||||||||
Premiums earned | $ | 185,644 | $ | 167,224 | $ | 80,637 | $ | 86,454 | |||||||||
Commission and fee income | 32,574 | 29,911 | 14,769 | 14,341 | |||||||||||||
Investment income | 6,599 | 8,064 | 3,930 | 4,261 | |||||||||||||
Net realized gains (losses) on investments, available-for-sale | 3,242 | (161 | ) | (232 | ) | (256 | ) | ||||||||||
228,059 | 205,038 | 99,104 | 104,800 | ||||||||||||||
Costs and expenses: | |||||||||||||||||
Losses and loss adjustment expenses | 148,223 | 129,525 | 65,753 | 65,395 | |||||||||||||
Insurance operating expenses | 82,127 | 79,075 | 38,154 | 36,896 | |||||||||||||
Other operating expenses | 922 | 1,181 | 494 | 678 | |||||||||||||
Stock-based compensation | 604 | 804 | 171 | 365 | |||||||||||||
Depreciation and amortization | 2,203 | 1,415 | 751 | 941 | |||||||||||||
Interest expense | 3,025 | 3,928 | 1,980 | 1,982 | |||||||||||||
Goodwill impairment | — | 73,524 | 21,090 | — | |||||||||||||
237,104 | 289,452 | 128,393 | 106,257 | ||||||||||||||
Loss before income taxes | (9,045 | ) | (84,414 | ) | (29,289 | ) | (1,457 | ) | |||||||||
Provision for income taxes | (5 | ) | 105 | 148 | 241 | ||||||||||||
Net loss | $ | (9,040 | ) | $ | (84,519 | ) | $ | (29,437 | ) | $ | (1,698 | ) | |||||
Basic and diluted net loss per share | $ | (0.22 | ) | $ | (1.76 | ) | $ | (0.62 | ) | $ | (0.04 | ) | |||||
Basis of Consolidation and Reporting | ' | ||||||||||||||||
Basis of Consolidation and Reporting | |||||||||||||||||
The accompanying consolidated financial statements include the accounts of the Company and its subsidiaries which are all wholly owned. The accounts of First Acceptance Statutory Trust I (“FAST I”) are not consolidated since it does not meet the requirements for consolidation of FASB ASC 810, Consolidation (see Note 10). These financial statements have been prepared in conformity with U.S. generally accepted accounting principles. All intercompany accounts and transactions have been eliminated in consolidation. Certain reclassifications have been made to the prior year’s consolidated financial statements to conform with the current year presentation. | |||||||||||||||||
Use of Estimates | ' | ||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. It also requires disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported revenues and expenses during the period. Actual results could differ from those estimates. | |||||||||||||||||
Investments | ' | ||||||||||||||||
Investments | |||||||||||||||||
Investments, available-for-sale at fair value, include bonds with fixed principal payment schedules and mortgage-backed securities which are amortized using the retrospective method. These securities and investments in the mutual funds are carried at fair value with the corresponding unrealized appreciation or depreciation, net of deferred income taxes, reported in other comprehensive income. | |||||||||||||||||
Premiums and discounts on collateralized mortgage obligations (“CMOs”) are amortized over a period based on estimated future principal payments, including prepayments. Prepayment assumptions are reviewed periodically and adjusted to reflect actual prepayments and changes in expectations. The most significant determinants of prepayments are the difference between interest rates on the underlying mortgages and the current mortgage loan rates and the structure of the security. Other factors affecting prepayments include the size, type and age of underlying mortgages, the geographic location of the mortgaged properties and the credit worthiness of the borrowers. Variations from anticipated prepayments will affect the life and yield of these securities. | |||||||||||||||||
Investment securities are exposed to various risks such as interest rate, market and credit risk. Fair values of securities fluctuate based on changing market conditions. Significant changes in market conditions could materially affect portfolio value in the near term. Management reviews investments for impairment on a quarterly basis. Fair values of investments are based on prices quoted in the most active market for each security. If quoted prices are not available, fair value is estimated based on the fair value of comparable securities, discounted cash flow models or similar methods. Any decline in the fair value of any available-for-sale security below cost that is deemed to be other-than-temporary would result in a reduction in the amortized cost of the security. | |||||||||||||||||
If management can assert that it does not intend to sell an impaired fixed maturity security and it is more likely than not that it will not have to sell the security before recovery of its amortized cost basis, then an entity must separate other-than-temporary impairments (“OTTI”) into the following two components: (i) the amount related to credit losses (charged against income) and (ii) the amount related to all other factors (recorded in other comprehensive income). The credit-related portion of an OTTI is measured by comparing a security’s amortized cost to the present value of its current expected cash flows discounted at its effective yield prior to the impairment charge. If management intends to sell an impaired security, or it is more likely than not that it will be required to sell the security before recovery, an impairment charge is required to reduce the amortized cost of that security to fair value. | |||||||||||||||||
Realized gains and losses on sales and redemptions of securities are computed based on specific identification. | |||||||||||||||||
Cash and Cash Equivalents | ' | ||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||
Cash and cash equivalents consist of bank demand deposits and highly-liquid investments. All investments with maturities of three months or less at the date of purchase are considered cash equivalents. | |||||||||||||||||
Limited Partnership Interests | ' | ||||||||||||||||
Limited Partnership Interests | |||||||||||||||||
Limited partnership interests are recorded at net asset value or the equity method of accounting if the Company is deemed to have significant influence as a result of its ownership percentage. Based on the underlying investments of the limited partnerships, their carrying value approximates fair value. Valuations are based upon the GAAP financial statements of the partnerships which are required to be audited annually. | |||||||||||||||||
Revenue Recognition | ' | ||||||||||||||||
Revenue Recognition | |||||||||||||||||
Insurance premiums earned include policy and renewal fees and are recognized on a pro-rata basis over the respective terms of the policies. Written premiums are recorded as of the effective date of the policies for the full policy premium, although most policyholders elect to pay on a monthly installment basis. Premiums and fees are generally collected in advance of providing risk coverage, minimizing the Company’s exposure to credit risk. Premiums receivable are recorded net of an estimated allowance for uncollectible amounts. | |||||||||||||||||
Commission and fee income includes installment fees recognized when billed, commissions and fees from ancillary products recognized on a pro-rata basis over the respective terms of the contracts, and commissions and related policy fees, written for third-party insurance companies, recognized, at the date the customer is initially billed or as of the effective date of the insurance policy, whichever is later. | |||||||||||||||||
Income Taxes | ' | ||||||||||||||||
Income Taxes | |||||||||||||||||
Income taxes are accounted for under the liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | |||||||||||||||||
A valuation allowance for the deferred tax asset is established based upon management’s estimate of whether it is more likely than not that the Company would not realize tax benefits in future periods to the full extent available. Changes in the valuation allowance are recognized in income during the period in which the circumstances that cause such a change in management’s estimate occur. | |||||||||||||||||
The Company accounts for income tax uncertainties under the provisions of FASB ASC 740, Income Taxes. The Company has recognized no additional liability or reduction in deferred tax assets for unrecognized tax benefits at December 31, 2013 and 2012. Any interest and penalties incurred in connection with income taxes are recorded as a component of the provision for income taxes. The Company is generally not subject to U.S. federal, state or local income tax examinations by tax authorities for taxable years prior to 2009. | |||||||||||||||||
Property and Equipment | ' | ||||||||||||||||
Property and Equipment | |||||||||||||||||
Property and equipment are initially recorded at cost. Depreciation is provided over the estimated useful lives of the assets (generally ranging from three to seven years) using the straight-line method. Leasehold improvements are amortized over the shorter of the lives of the respective leases or the service lives of the improvements. Repairs and maintenance are charged to expense as incurred. Equipment under capitalized lease obligations is stated at the present value of the minimum lease payments at the beginning of the lease term. | |||||||||||||||||
Foreclosed Real Estate Held for Sale | ' | ||||||||||||||||
Foreclosed Real Estate Held for Sale | |||||||||||||||||
Foreclosed real estate held for sale is recorded at the lower of cost or fair value less estimated costs to sell. The Company periodically reviews its portfolio of foreclosed real estate held for sale using current information including (i) independent appraisals, (ii) general economic factors affecting the area where the property is located, (iii) recent sales activity and asking prices for comparable properties and (iv) costs to sell and/or develop that would serve to lower the expected proceeds from the disposal of the real estate. Gains (losses) realized on liquidation are recorded directly to operations and included in revenues. Foreclosed real estate held for sale assets of $0.8 million at December 31, 2013 and 2012 are included within other assets in the accompanying consolidated balance sheets. | |||||||||||||||||
Deferred Acquisition Costs | ' | ||||||||||||||||
Deferred Acquisition Costs | |||||||||||||||||
Deferred acquisition costs include premium taxes and other variable underwriting and direct sales costs incurred in connection with writing successful new and renewal business. These costs are deferred and amortized over the policy period in which the related premiums are earned, to the extent that such costs are deemed recoverable from future unearned premiums and anticipated investment income. Advertising costs are expensed when incurred and are not a part of deferred acquisition costs. Amortization expense for the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011 was $11.1 million, $11.4 million, $5.5 million and $12.8 million, respectively, and are included within insurance operating expenses in the accompanying consolidated statements of operations and comprehensive income (loss). | |||||||||||||||||
Goodwill and Other Identifiable Intangible Assets | ' | ||||||||||||||||
Goodwill and Other Identifiable Intangible Assets | |||||||||||||||||
Goodwill and other identifiable intangible assets are attributable to the Company’s insurance operations and were initially recorded at their estimated fair values at the date of acquisition. Goodwill and other intangible assets, primarily comprised of trade names, having an indefinite useful life are not amortized for financial statement purposes. The Company performs required annual impairment tests of its goodwill and intangible assets as of June 30th of each fiscal year. In the event that facts and circumstances indicate that the goodwill and other identifiable intangible assets may be impaired, an interim impairment test would be required. Intangible assets with finite lives have been fully amortized over their useful lives. | |||||||||||||||||
The goodwill impairment test is a two-step process that requires management to make judgments in determining what assumptions to use in the calculation. The first step of the process consists of estimating the fair value of each reporting unit based on valuation techniques, including a discounted cash flow model using revenue and profit forecasts and recent industry transaction and trading multiples of the Company’s peers, and comparing those estimated fair values with the carrying values of the assets and liabilities of the reporting unit, which includes the allocated goodwill. If the estimated fair value is less than the carrying value, a second step is performed to compute the amount of the impairment, if any, by determining an “implied fair value” of goodwill. The determination of the “implied fair value” of goodwill of a reporting unit requires the Company to allocate the estimated fair value of the reporting unit to the assets and liabilities of the reporting unit. Any unallocated fair value represents the “implied fair value” of goodwill, which is compared to its corresponding carrying value. | |||||||||||||||||
The Company recorded non-cash, pre-tax goodwill impairment charges in fiscal years 2009 and 2011 and the six months ended December 31, 2011 of $68.0 million, $50.9 million and $21.1 million, respectively. These charges were primarily as a result of the adverse impact of the difficult economic conditions on the Company’s customers and business and the resulting decline in the Company’s share price during the fourth quarter of fiscal year 2009, unfavorable industry transaction multiples and trading trends during fiscal 2011 and the adverse impact of operating losses, the decline in the Company’s common stock trading prices, and the negotiated price of separate stock transactions with former executive officers that represented a significant percentage of the Company’s shares outstanding during the second quarter of the six months ended December 31, 2011. These goodwill impairment charges resulted in no remaining goodwill on the Company’s consolidated balance sheet at December 31, 2011 and did not have a materially adverse impact on the continuing operations, liquidity, or statutory surplus of the Company. | |||||||||||||||||
Indefinite-lived intangible assets primarily consist of acquired trademarks and trade names. In measuring the fair value for these intangible assets, the Company utilizes the relief-from-royalty method. This method assumes that trademarks and trade names have value to the extent that their owner is relieved of the obligation to pay royalties for the benefits received from them. This method requires the Company to estimate the future revenue for the related brands, the appropriate royalty rate and the weighted average cost of capital. As a result of decisions made by management during the fourth quarter of fiscal year 2011 regarding entity-wide branding initiatives, the Company recognized a non-cash, pre-tax impairment charge of $1.6 million related to trade name intangible assets. This non-cash impairment charge did not have a materially adverse impact on the continuing operations, liquidity, or statutory surplus of the Company. | |||||||||||||||||
The Company’s evaluation includes multiple assumptions that may change over time. If unfavorable events or trends occur, further identifiable intangible assets impairment charges may become necessary that could have a materially adverse impact on the Company’s results of operations in the period in which the write-off occurs. | |||||||||||||||||
The Company follows the guidelines of ASU 2011-08, Intangibles — Goodwill and Other (Topic 350), which allows companies to waive comparing the fair value of a reporting unit to its carrying amount in assessing the recoverability of goodwill if, based on qualitative factors, it is more likely than not that the fair value of a reporting unit is greater than its carrying amount. | |||||||||||||||||
Loss and Loss Adjustment Expense Reserves | ' | ||||||||||||||||
Loss and Loss Adjustment Expense Reserves | |||||||||||||||||
Loss and loss adjustment expense reserves are undiscounted and represent case-basis estimates of reported losses and estimates based on certain actuarial assumptions regarding the past experience of reported losses, including an estimate of losses incurred but not reported. Management believes that the loss and loss adjustment reserves are adequate to cover the ultimate associated liability. However, such estimates may be more or less than the amount ultimately paid when the claims are finally settled. | |||||||||||||||||
Recent Accounting Pronouncements | ' | ||||||||||||||||
Recent Accounting Pronouncements | |||||||||||||||||
In October 2010, the FASB issued Accounting Standards Update (“ASU”) No. 2010-26, Accounting for Costs Associated with Acquiring or Renewing Insurance Contracts (a consensus of the FASB Emerging Issues Task Force) (Topic 944), which clarifies what costs should be deferred by insurance companies when issuing or renewing insurance contracts. This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning on or after December 15, 2011. The Company adopted this standard on a prospective basis on January 1, 2012 and, in connection therewith, recognized additional expense of $0.4 million over the first six months of 2012, consistent with the Company’s insurance policy terms and estimated deferred acquisition costs amortization period. | |||||||||||||||||
In May 2011, the FASB issued ASU No. 2011-04, Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs, which amends certain measurement and disclosure requirements related to fair value measurements to improve consistency with international reporting standards. The Company adopted the provisions of this guidance in the quarter ended March 31, 2012. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations. | |||||||||||||||||
In June 2011, the FASB issued ASU No. 2011-05, Presentation of Comprehensive Income, which requires a company to present components of net income and other comprehensive income in one continuous statement or in two separate, but consecutive statements. There are no changes to the components that are recognized in net income or other comprehensive income under current GAAP. The Company adopted the provisions of this guidance in the quarter ended March 31, 2012. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations, other than the presentation thereof. | |||||||||||||||||
In September 2011, the FASB issued ASU 2011-08, Intangibles — Goodwill and Other (Topic 350), which allows companies to waive comparing the fair value of a reporting unit to its carrying amount in assessing the recoverability of goodwill if, based on qualitative factors, it is more likely than not that the fair value of a reporting unit is greater than its carrying amount. The Company adopted the provisions of this guidance in the quarter ended March 31, 2012. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations. | |||||||||||||||||
In July 2012, the FASB issued ASU 2012-02, Intangibles — Goodwill and Other (Topic 350), which allows companies to waive comparing the fair value of indefinite-lived intangible assets to their carrying amounts in assessing the recoverability of these assets if, based on qualitative factors, it is more likely than not that the fair value of the indefinite-lived intangible assets is greater than their carrying amounts. The Company early adopted the provisions of this guidance in the quarter ended June 30, 2012. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations. | |||||||||||||||||
In February 2013, the FASB issued ASU No. 2013-02, Presentation of Comprehensive Income, which requires a company to provide information about the amounts reclassified out of accumulated other comprehensive income by component. There are no changes to the components that are recognized in net income or other comprehensive income under current GAAP. The Company adopted the provisions of this guidance in the quarter ended March 31, 2013. The adoption of this guidance did not have an impact on the Company’s financial position or results of operations, other than the presentation thereof. | |||||||||||||||||
Supplemental Cash Flow Information | ' | ||||||||||||||||
Supplemental Cash Flow Information | |||||||||||||||||
During the years ended December 31, 2013 and 2012, the six months ended December 31, 2011 and the year ended June 30, 2011, the Company paid $0.5 million, $0.2 million, $0.1 million and $0.3 million, respectively, in income taxes and $1.7 million, $3.0 million, $2.0 million and $3.9 million, respectively, in interest. | |||||||||||||||||
Basic and Diluted Net Income (Loss) Per Share | ' | ||||||||||||||||
Basic and Diluted Net Income (Loss) Per Share | |||||||||||||||||
Basic net income (loss) per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of common shares, while diluted net income (loss) per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of such common shares and dilutive share equivalents. Dilutive share equivalents result from the assumed exercise of employee stock options and vesting of restricted common stock and are calculated using the treasury stock method. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Schedule of Changes in Result of Operations Due to Change in Fiscal Year | ' | ||||||||||||||||
The following table presents certain comparative transition period financial information (in thousands, except per share data). | |||||||||||||||||
Year Ended | Six Months Ended | ||||||||||||||||
December 31, | December 31, | ||||||||||||||||
2012 | 2011 | 2011 | 2010 | ||||||||||||||
(unaudited) | (unaudited) | ||||||||||||||||
Revenues: | |||||||||||||||||
Premiums earned | $ | 185,644 | $ | 167,224 | $ | 80,637 | $ | 86,454 | |||||||||
Commission and fee income | 32,574 | 29,911 | 14,769 | 14,341 | |||||||||||||
Investment income | 6,599 | 8,064 | 3,930 | 4,261 | |||||||||||||
Net realized gains (losses) on investments, available-for-sale | 3,242 | (161 | ) | (232 | ) | (256 | ) | ||||||||||
228,059 | 205,038 | 99,104 | 104,800 | ||||||||||||||
Costs and expenses: | |||||||||||||||||
Losses and loss adjustment expenses | 148,223 | 129,525 | 65,753 | 65,395 | |||||||||||||
Insurance operating expenses | 82,127 | 79,075 | 38,154 | 36,896 | |||||||||||||
Other operating expenses | 922 | 1,181 | 494 | 678 | |||||||||||||
Stock-based compensation | 604 | 804 | 171 | 365 | |||||||||||||
Depreciation and amortization | 2,203 | 1,415 | 751 | 941 | |||||||||||||
Interest expense | 3,025 | 3,928 | 1,980 | 1,982 | |||||||||||||
Goodwill impairment | — | 73,524 | 21,090 | — | |||||||||||||
237,104 | 289,452 | 128,393 | 106,257 | ||||||||||||||
Loss before income taxes | (9,045 | ) | (84,414 | ) | (29,289 | ) | (1,457 | ) | |||||||||
Provision for income taxes | (5 | ) | 105 | 148 | 241 | ||||||||||||
Net loss | $ | (9,040 | ) | $ | (84,519 | ) | $ | (29,437 | ) | $ | (1,698 | ) | |||||
Basic and diluted net loss per share | $ | (0.22 | ) | $ | (1.76 | ) | $ | (0.62 | ) | $ | (0.04 | ) | |||||
Fair_Value_Tables
Fair Value (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Presentation of Carrying Values and Fair Values of Certain of Company's Financial Instruments | ' | ||||||||||||||||
The carrying values and fair values of certain of the Company’s financial instruments were as follows (in thousands). | |||||||||||||||||
December 31, 2013 | December 31, 2012 | ||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||
Value | Value | Value | Value | ||||||||||||||
Assets: | |||||||||||||||||
Investments, available-for-sale | $ | 130,248 | $ | 130,248 | $ | 139,046 | $ | 139,046 | |||||||||
Limited partnership interests | 7,513 | 7,513 | — | — | |||||||||||||
Liabilities: | |||||||||||||||||
Debentures payable | 40,301 | 15,006 | 40,261 | 12,723 | |||||||||||||
Presentation of Fair-Value Measurements for Each Major Category of Assets Measured on a Recurring Basis | ' | ||||||||||||||||
The following tables present the fair-value measurements for each major category of assets that are measured on a recurring basis (in thousands). | |||||||||||||||||
Total | Fair Value Measurements Using | ||||||||||||||||
December 31, 2013 | Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||
Assets | (Level 2) | ||||||||||||||||
(Level 1) | |||||||||||||||||
Fixed maturities, available-for-sale: | |||||||||||||||||
U.S. government and agencies | $ | 12,485 | $ | 12,485 | $ | — | $ | — | |||||||||
State | 736 | — | 736 | — | |||||||||||||
Political subdivisions | 612 | — | 612 | — | |||||||||||||
Revenue and assessment | 14,658 | — | 14,658 | — | |||||||||||||
Corporate bonds | 73,325 | — | 73,325 | — | |||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||
Agency backed | 7,514 | — | 7,514 | — | |||||||||||||
Non-agency backed – residential | 4,660 | — | 4,660 | — | |||||||||||||
Non-agency backed – commercial | 3,943 | — | 3,943 | — | |||||||||||||
Redeemable preferred stocks | 1,578 | 1,578 | — | — | |||||||||||||
Total fixed maturities, available-for-sale | 119,511 | 14,063 | 105,448 | — | |||||||||||||
Mutual fund, available-for-sale | 10,737 | 10,737 | — | — | |||||||||||||
Total investments, available-for-sale | 130,248 | 24,800 | 105,448 | — | |||||||||||||
Limited partnership interests | 7,513 | — | — | 7,513 | |||||||||||||
Cash and cash equivalents | 72,033 | 72,033 | — | — | |||||||||||||
Total | $ | 209,794 | $ | 96,833 | $ | 105,448 | $ | 7,513 | |||||||||
Total | Fair Value Measurements Using | ||||||||||||||||
December 31, 2012 | Quoted Prices | Significant | Significant | ||||||||||||||
in Active | Other | Unobservable | |||||||||||||||
Markets for | Observable | Inputs | |||||||||||||||
Identical | Inputs | (Level 3) | |||||||||||||||
Assets | (Level 2) | ||||||||||||||||
(Level 1) | |||||||||||||||||
Fixed maturities, available-for-sale: | |||||||||||||||||
U.S. government and agencies | $ | 12,110 | $ | 12,110 | $ | — | $ | — | |||||||||
State | 4,111 | — | 4,111 | — | |||||||||||||
Political subdivisions | 790 | — | 790 | — | |||||||||||||
Revenue and assessment | 17,996 | — | 17,996 | — | |||||||||||||
Corporate bonds | 71,537 | — | 71,537 | — | |||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||
Agency backed | 11,870 | — | 11,870 | — | |||||||||||||
Non-agency backed – residential | 5,472 | — | 5,472 | — | |||||||||||||
Non-agency backed – commercial | 5,109 | — | 5,109 | — | |||||||||||||
Redeemable preferred stock | 1,718 | 1,718 | — | — | |||||||||||||
Total fixed maturities, available-for-sale | 130,713 | 13,828 | 116,885 | — | |||||||||||||
Mutual funds, available-for-sale | 8,333 | 8,333 | — | — | |||||||||||||
Total investments, available-for-sale | 139,046 | 22,161 | 116,885 | — | |||||||||||||
Cash and cash equivalents | 59,104 | 59,104 | — | — | |||||||||||||
Total | $ | 198,150 | $ | 81,265 | $ | 116,885 | $ | — | |||||||||
Quantitative Disclosure for Assets Classified as Level 3 | ' | ||||||||||||||||
The following table represents the quantitative disclosure for those assets classified as Level 3 during the year ended December 31, 2013 (in thousands). | |||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||
Significant Unobservable Inputs (Level 3) | |||||||||||||||||
Limited partnership interests | Total | ||||||||||||||||
carried at | |||||||||||||||||
Net asset value | Equity method | ||||||||||||||||
Balance at December 31, 2012 | $ | — | $ | — | $ | — | |||||||||||
Gains or losses (realized or unrealized) included in net income (loss) | 200 | 199 | 399 | ||||||||||||||
Investments and capital calls | 3,139 | 4,000 | 7,139 | ||||||||||||||
Distributions received | (25 | ) | — | (25 | ) | ||||||||||||
Transfers into and out of Level 3 | — | — | — | ||||||||||||||
Balance at December 31, 2013 | $ | 3,314 | $ | 4,199 | $ | 7,513 | |||||||||||
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Investments Debt And Equity Securities [Abstract] | ' | ||||||||||||||||||||||||||||||||
Summary of Company's Investment Securities | ' | ||||||||||||||||||||||||||||||||
The following tables summarize the Company’s investment securities (in thousands). | |||||||||||||||||||||||||||||||||
December 31, 2013 | Amortized | Gross | Gross | Fair | |||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||
U.S. government and agencies | $ | 12,006 | $ | 495 | $ | (16 | ) | $ | 12,485 | ||||||||||||||||||||||||
State | 697 | 39 | — | 736 | |||||||||||||||||||||||||||||
Political subdivisions | 601 | 11 | — | 612 | |||||||||||||||||||||||||||||
Revenue and assessment | 14,050 | 619 | (11 | ) | 14,658 | ||||||||||||||||||||||||||||
Corporate bonds | 73,461 | 2,127 | (2,263 | ) | 73,325 | ||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Agency backed | 7,113 | 401 | — | 7,514 | |||||||||||||||||||||||||||||
Non-agency backed – residential | 4,181 | 480 | (1 | ) | 4,660 | ||||||||||||||||||||||||||||
Non-agency backed – commercial | 3,363 | 580 | — | 3,943 | |||||||||||||||||||||||||||||
Redeemable preferred stock | 1,500 | 78 | — | 1,578 | |||||||||||||||||||||||||||||
Total fixed maturities, available-for-sale | 116,972 | 4,830 | (2,291 | ) | 119,511 | ||||||||||||||||||||||||||||
Mutual funds, available-for-sale | 9,901 | 836 | — | 10,737 | |||||||||||||||||||||||||||||
$ | 126,873 | $ | 5,666 | $ | (2,291 | ) | $ | 130,248 | |||||||||||||||||||||||||
December 31, 2012 | Amortized | Gross | Gross | Fair | |||||||||||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | ||||||||||||||||||||||||||||||
Gains | Losses | ||||||||||||||||||||||||||||||||
U.S. government and agencies | $ | 11,202 | $ | 908 | $ | — | $ | 12,110 | |||||||||||||||||||||||||
State | 3,994 | 117 | — | 4,111 | |||||||||||||||||||||||||||||
Political subdivisions | 753 | 37 | — | 790 | |||||||||||||||||||||||||||||
Revenue and assessment | 16,449 | 1,553 | (6 | ) | 17,996 | ||||||||||||||||||||||||||||
Corporate bonds | 68,114 | 3,669 | (246 | ) | 71,537 | ||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Agency backed | 11,079 | 791 | — | 11,870 | |||||||||||||||||||||||||||||
Non-agency backed – residential | 5,098 | 472 | (98 | ) | 5,472 | ||||||||||||||||||||||||||||
Non-agency backed – commercial | 4,652 | 457 | — | 5,109 | |||||||||||||||||||||||||||||
Redeemable preferred stock | 1,500 | 218 | — | 1,718 | |||||||||||||||||||||||||||||
Total fixed maturities, available-for-sale | 122,841 | 8,222 | (350 | ) | 130,713 | ||||||||||||||||||||||||||||
Mutual fund, available-for-sale | 7,501 | 832 | — | 8,333 | |||||||||||||||||||||||||||||
$ | 130,342 | $ | 9,054 | $ | (350 | ) | $ | 139,046 | |||||||||||||||||||||||||
Scheduled Maturities of the Company's Fixed Maturity Securities Based on their Fair Values | ' | ||||||||||||||||||||||||||||||||
The following tables set forth the scheduled maturities of the Company’s fixed maturity securities based on their fair values (in thousands). Actual maturities may differ from contractual maturities because certain securities may be called or prepaid by the issuers. | |||||||||||||||||||||||||||||||||
December 31, 2013 | Securities | Securities | Securities | All | |||||||||||||||||||||||||||||
with | with | with No | Fixed | ||||||||||||||||||||||||||||||
Unrealized | Unrealized | Unrealized | Maturity | ||||||||||||||||||||||||||||||
Gains | Losses | Gains or | Securities | ||||||||||||||||||||||||||||||
Losses | |||||||||||||||||||||||||||||||||
One year or less | $ | 14,305 | $ | — | $ | — | $ | 14,305 | |||||||||||||||||||||||||
After one through five years | 25,667 | 10,888 | — | 36,555 | |||||||||||||||||||||||||||||
After five through ten years | 20,445 | 22,836 | — | 43,281 | |||||||||||||||||||||||||||||
After ten years | 3,667 | 4,008 | — | 7,675 | |||||||||||||||||||||||||||||
No single maturity date | 17,506 | 189 | — | 17,695 | |||||||||||||||||||||||||||||
$ | 81,590 | $ | 37,921 | $ | — | $ | 119,511 | ||||||||||||||||||||||||||
December 31, 2012 | Securities | Securities | Securities | All | |||||||||||||||||||||||||||||
with | with | with No | Fixed | ||||||||||||||||||||||||||||||
Unrealized | Unrealized | Unrealized | Maturity | ||||||||||||||||||||||||||||||
Gains | Losses | Gains or | Securities | ||||||||||||||||||||||||||||||
Losses | |||||||||||||||||||||||||||||||||
One year or less | $ | 9,380 | $ | — | $ | 5 | $ | 9,385 | |||||||||||||||||||||||||
After one through five years | 34,460 | 11,518 | — | 45,978 | |||||||||||||||||||||||||||||
After five through ten years | 25,230 | 15,181 | — | 40,411 | |||||||||||||||||||||||||||||
After ten years | 10,770 | — | — | 10,770 | |||||||||||||||||||||||||||||
No single maturity date | 23,833 | 336 | — | 24,169 | |||||||||||||||||||||||||||||
$ | 103,673 | $ | 27,035 | $ | 5 | $ | 130,713 | ||||||||||||||||||||||||||
Fair Value and Gross Unrealized Losses of Investments, Available-for-Sale, by the Length of Time | ' | ||||||||||||||||||||||||||||||||
The fair value and gross unrealized losses of investments, available-for-sale, by the length of time that individual securities have been in a continuous unrealized loss position follows (in thousands). | |||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total Gross | |||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
December 31, 2013 | Fair | Gross | Fair | Gross | Losses | ||||||||||||||||||||||||||||
Value | Unrealized | Value | Unrealized | ||||||||||||||||||||||||||||||
Losses | Losses | ||||||||||||||||||||||||||||||||
U.S. government and agencies | $ | 988 | $ | (16 | ) | $ | — | $ | — | $ | (16 | ) | |||||||||||||||||||||
State | — | — | — | — | — | ||||||||||||||||||||||||||||
Political subdivisions | — | — | — | — | — | ||||||||||||||||||||||||||||
Revenue and assessment | 983 | (11 | ) | — | — | (11 | ) | ||||||||||||||||||||||||||
Corporate bonds | 21,781 | (993 | ) | 13,980 | (1,270 | ) | (2,263 | ) | |||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Agency backed | — | — | — | — | — | ||||||||||||||||||||||||||||
Non-agency backed – residential | 189 | (1 | ) | — | — | (1 | ) | ||||||||||||||||||||||||||
Non-agency backed – commercial | — | — | — | — | — | ||||||||||||||||||||||||||||
Redeemable preferred stock | — | — | — | — | — | ||||||||||||||||||||||||||||
Total fixed maturities, available-for-sale | 23,941 | (1,021 | ) | 13,980 | (1,270 | ) | (2,291 | ) | |||||||||||||||||||||||||
Mutual fund, available-for-sale | — | — | — | — | — | ||||||||||||||||||||||||||||
$ | 23,941 | $ | (1,021 | ) | $ | 13,980 | $ | (1,270 | ) | $ | (2,291 | ) | |||||||||||||||||||||
Less than 12 months | 12 months or longer | Total Gross | |||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
December 31, 2012 | Fair | Gross | Fair | Gross | Losses | ||||||||||||||||||||||||||||
Value | Unrealized | Value | Unrealized | ||||||||||||||||||||||||||||||
Losses | Losses | ||||||||||||||||||||||||||||||||
U.S. government and agencies | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||||
State | — | — | — | — | — | ||||||||||||||||||||||||||||
Political subdivisions | — | — | — | — | — | ||||||||||||||||||||||||||||
Revenue and assessment | 702 | (6 | ) | — | — | (6 | ) | ||||||||||||||||||||||||||
Corporate bonds | 25,997 | (246 | ) | — | — | (246 | ) | ||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Agency backed | — | — | — | — | — | ||||||||||||||||||||||||||||
Non-agency backed – residential | 124 | (20 | ) | 212 | (78 | ) | (98 | ) | |||||||||||||||||||||||||
Non-agency backed – commercial | — | — | — | — | — | ||||||||||||||||||||||||||||
Redeemable preferred stock | — | — | — | — | — | ||||||||||||||||||||||||||||
Total fixed maturities, available-for-sale | 26,823 | (272 | ) | 212 | (78 | ) | (350 | ) | |||||||||||||||||||||||||
Mutual fund, available-for-sale | — | — | — | — | — | ||||||||||||||||||||||||||||
$ | 26,823 | $ | (272 | ) | $ | 212 | $ | (78 | ) | $ | (350 | ) | |||||||||||||||||||||
Number of Fixed Maturity Securities with Gross Unrealized Gains and Losses | ' | ||||||||||||||||||||||||||||||||
The following table reflects the number of fixed maturity securities with gross unrealized gains and losses. Gross unrealized losses are further segregated by the length of time that individual securities have been in a continuous unrealized loss position. | |||||||||||||||||||||||||||||||||
Gross Unrealized Losses | Gross | ||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
At: | Less than | Greater | Gains | ||||||||||||||||||||||||||||||
or equal to | than 12 | ||||||||||||||||||||||||||||||||
12 months | months | ||||||||||||||||||||||||||||||||
December 31, 2013 | 12 | 7 | 83 | ||||||||||||||||||||||||||||||
December 31, 2012 | 13 | 1 | 108 | ||||||||||||||||||||||||||||||
Fair Value and Gross Unrealized Losses of Fixed Maturity Securities in Continuous Unrealized Loss Position for Greater than 12 Months | ' | ||||||||||||||||||||||||||||||||
The following tables reflect the fair value and gross unrealized losses of those fixed maturity securities in a continuous unrealized loss position for greater than 12 months. Gross unrealized losses are further segregated by the percentage of amortized cost (in thousands, except number of securities). | |||||||||||||||||||||||||||||||||
Gross Unrealized Losses | Number | Fair | Gross | ||||||||||||||||||||||||||||||
of | Value | Unrealized | |||||||||||||||||||||||||||||||
at December 31, 2013: | Securities | Losses | |||||||||||||||||||||||||||||||
Less than or equal to 10% | 7 | $ | 13,980 | $ | (1,270 | ) | |||||||||||||||||||||||||||
Greater than 10% | — | — | — | ||||||||||||||||||||||||||||||
7 | $ | 13,980 | $ | (1,270 | ) | ||||||||||||||||||||||||||||
Gross Unrealized Losses | Number | Fair | Gross | ||||||||||||||||||||||||||||||
of | Value | Unrealized | |||||||||||||||||||||||||||||||
at December 31, 2012: | Securities | Losses | |||||||||||||||||||||||||||||||
Less than or equal to 10% | — | $ | — | $ | — | ||||||||||||||||||||||||||||
Greater than 10% | 1 | 212 | (78 | ) | |||||||||||||||||||||||||||||
1 | $ | 212 | $ | (78 | ) | ||||||||||||||||||||||||||||
Gross Unrealized Losses by Current Severity and Length of Time that Individual Securities have been in Continuous Unrealized Loss Position | ' | ||||||||||||||||||||||||||||||||
The following tables set forth the amount of gross unrealized losses by current severity (as compared to amortized cost) and length of time that individual securities have been in a continuous unrealized loss position (in thousands). | |||||||||||||||||||||||||||||||||
Fair Value of | Gross | Severity of Gross Unrealized Losses | |||||||||||||||||||||||||||||||
Securities | Unrealized | ||||||||||||||||||||||||||||||||
with Gross | Losses | ||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
Length of Gross Unrealized Losses at December 31, 2013: | Losses | Less | 5% to | Greater | |||||||||||||||||||||||||||||
than 5% | 10% | than | |||||||||||||||||||||||||||||||
10% | |||||||||||||||||||||||||||||||||
Less than or equal to: | |||||||||||||||||||||||||||||||||
Three months | $ | 6,417 | $ | (40 | ) | $ | (40 | ) | $ | — | $ | — | |||||||||||||||||||||
Six months | 1,653 | (129 | ) | — | (129 | ) | — | ||||||||||||||||||||||||||
Nine months | 15,871 | (852 | ) | (153 | ) | (699 | ) | — | |||||||||||||||||||||||||
Twelve months | — | — | — | — | — | ||||||||||||||||||||||||||||
Greater than twelve months | 13,980 | (1,270 | ) | (85 | ) | (1,185 | ) | — | |||||||||||||||||||||||||
Total | $ | 37,921 | $ | (2,291 | ) | $ | (278 | ) | $ | (2,013 | ) | $ | — | ||||||||||||||||||||
Fair Value of | Gross | Severity of Gross Unrealized Losses | |||||||||||||||||||||||||||||||
Securities | Unrealized | ||||||||||||||||||||||||||||||||
with Gross | Losses | ||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||
Length of Gross Unrealized Losses at December 31, 2012: | Losses | Less | 5% to | Greater | |||||||||||||||||||||||||||||
than 5% | 10% | than | |||||||||||||||||||||||||||||||
10% | |||||||||||||||||||||||||||||||||
Less than or equal to: | |||||||||||||||||||||||||||||||||
Three months | $ | 26,121 | $ | (266 | ) | $ | (246 | ) | $ | — | $ | (20 | ) | ||||||||||||||||||||
Six months | — | — | — | — | — | ||||||||||||||||||||||||||||
Nine months | — | — | — | — | — | ||||||||||||||||||||||||||||
Twelve months | 702 | (6 | ) | (6 | ) | — | — | ||||||||||||||||||||||||||
Greater than twelve months | 212 | (78 | ) | — | — | (78 | ) | ||||||||||||||||||||||||||
Total | $ | 27,035 | $ | (350 | ) | $ | (252 | ) | $ | — | $ | (98 | ) | ||||||||||||||||||||
Major Categories of Investment Income | ' | ||||||||||||||||||||||||||||||||
The major categories of investment income follow (in thousands). | |||||||||||||||||||||||||||||||||
Year Ended | Six Months | Year | |||||||||||||||||||||||||||||||
December 31, | Ended | Ended | |||||||||||||||||||||||||||||||
December 31, | June 30, | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||||||||||||||||||
Fixed maturities, available-for-sale | $ | 5,037 | $ | 6,513 | $ | 3,897 | $ | 8,296 | |||||||||||||||||||||||||
Mutual funds, available-for-sale | 766 | 613 | 290 | 625 | |||||||||||||||||||||||||||||
Limited partnership interests | 200 | — | — | — | |||||||||||||||||||||||||||||
Equity in earnings of limited partnership interest | 199 | — | — | — | |||||||||||||||||||||||||||||
Other | 90 | 92 | 59 | 125 | |||||||||||||||||||||||||||||
Investment expenses | (576 | ) | (619 | ) | (316 | ) | (651 | ) | |||||||||||||||||||||||||
$ | 5,716 | $ | 6,599 | $ | 3,930 | $ | 8,395 | ||||||||||||||||||||||||||
Components of Net Realized Gains (Losses) on Investments, Available-For-Sale at Fair Value | ' | ||||||||||||||||||||||||||||||||
The components of net realized gains (losses) on investments, available-for-sale at fair value follow (in thousands). | |||||||||||||||||||||||||||||||||
Year Ended December 31, | Six Months | Year | |||||||||||||||||||||||||||||||
Ended | Ended | ||||||||||||||||||||||||||||||||
December 31, | June 30, | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||||||||||||||||||
Gains | $ | 100 | $ | 3,296 | $ | 15 | $ | 231 | |||||||||||||||||||||||||
Losses | (68 | ) | (31 | ) | (120 | ) | (3 | ) | |||||||||||||||||||||||||
Other-than-temporary impairment | (61 | ) | (23 | ) | (127 | ) | (413 | ) | |||||||||||||||||||||||||
$ | (29 | ) | $ | 3,242 | $ | (232 | ) | $ | (185 | ) | |||||||||||||||||||||||
Number and Amount of Securities for which Company has Recognized OTTI Charges in Net Income (Loss) | ' | ||||||||||||||||||||||||||||||||
The number and amount of securities for which the Company has recognized OTTI charges in net income (loss) are presented in the following tables (in thousands, except for the number of securities). | |||||||||||||||||||||||||||||||||
Year Ended December 2013, | Six Months Ended | Year Ended June 30, | |||||||||||||||||||||||||||||||
December 31 | 2011 | ||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||
Number | OTTI | Number | OTTI | Number | OTTI | Number | OTTI | ||||||||||||||||||||||||||
of | of | of | of | ||||||||||||||||||||||||||||||
Securities | Securities | Securities | Securities | ||||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||
Non-agency backed – residential | 1 | $ | (61 | ) | 2 | $ | (8 | ) | 3 | $ | (127 | ) | 5 | $ | (119 | ) | |||||||||||||||||
Non-agency backed – commercial | — | — | 1 | (15 | ) | 1 | (12 | ) | 5 | (296 | ) | ||||||||||||||||||||||
1 | (61 | ) | 3 | (23 | ) | 4 | (139 | ) | 10 | (415 | ) | ||||||||||||||||||||||
Portion of loss recognized in accumulated other comprehensive income (loss) | — | — | 12 | 2 | |||||||||||||||||||||||||||||
Net OTTI recognized in net income (loss) | $ | (61 | ) | $ | (23 | ) | $ | (127 | ) | $ | (413 | ) | |||||||||||||||||||||
Progression of Credit-Related Portion of OTTI on Investments | ' | ||||||||||||||||||||||||||||||||
The following is a progression of the credit-related portion of OTTI on investments owned at December 31, 2013, 2012 and 2011and June 30, 2011 (in thousands). | |||||||||||||||||||||||||||||||||
Six Months | Year Ended | ||||||||||||||||||||||||||||||||
Ended | June 30, | ||||||||||||||||||||||||||||||||
Year Ended December 31, | December 31, | 2011 | |||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||||||||||||||
Beginning balance | $ | (2,666 | ) | $ | (3,425 | ) | $ | (3,343 | ) | $ | (3,301 | ) | |||||||||||||||||||||
Additional credit impairments on: | |||||||||||||||||||||||||||||||||
Previously impaired securities | (61 | ) | (23 | ) | (127 | ) | (413 | ) | |||||||||||||||||||||||||
Securities without previous impairments | — | — | — | — | |||||||||||||||||||||||||||||
(61 | ) | (23 | ) | (127 | ) | (413 | ) | ||||||||||||||||||||||||||
Reductions for securities sold (realized) | 95 | 782 | 45 | 371 | |||||||||||||||||||||||||||||
$ | (2,632 | ) | $ | (2,666 | ) | $ | (3,425 | ) | $ | (3,343 | ) | ||||||||||||||||||||||
Reinsurance_Tables
Reinsurance (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Insurance [Abstract] | ' | ||||||||||||||||||||||||||||||||
Effects of Reinsurance Premium Written and Earned | ' | ||||||||||||||||||||||||||||||||
Total premiums written and earned are summarized as follows (in thousands). | |||||||||||||||||||||||||||||||||
Year Ended December 31, | Six Months Ended | Year Ended June 30, | |||||||||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||||||||||||||||||
Written | Earned | Written | Earned | Written | Earned | Written | Earned | ||||||||||||||||||||||||||
Direct | $ | 177,376 | $ | 176,588 | $ | 168,990 | $ | 164,715 | $ | 71,325 | $ | 71,503 | $ | 152,356 | $ | 153,368 | |||||||||||||||||
Assumed | 23,768 | 23,313 | 21,517 | 21,121 | 9,245 | 9,222 | 19,435 | 19,844 | |||||||||||||||||||||||||
Ceded | (201 | ) | (201 | ) | (192 | ) | (192 | ) | (88 | ) | (88 | ) | (171 | ) | (171 | ) | |||||||||||||||||
Total | $ | 200,943 | $ | 199,700 | $ | 190,315 | $ | 185,644 | $ | 80,482 | $ | 80,637 | $ | 171,620 | $ | 173,041 | |||||||||||||||||
Ceded Premiums Earned and Reinsurance Recoveries on Losses and Loss Adjustment Expenses | ' | ||||||||||||||||||||||||||||||||
Ceded premiums earned and reinsurance recoveries on losses and loss adjustment expenses were as follows (in thousands): | |||||||||||||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
Ceded premiums earned | $ | 201 | $ | 192 | |||||||||||||||||||||||||||||
Reinsurance recoveries on losses and loss adjustment expenses | $ | 285 | $ | 163 |
StockBased_Compensation_Plans_
Stock-Based Compensation Plans (Tables) | 12 Months Ended | ||||||||||||||
Dec. 31, 2013 | |||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||
Summary of the Activity for the Company's Stock Option Awards | ' | ||||||||||||||
A summary of the activity for the Company’s Stock Option Awards is presented below (in thousands, except per share data). | |||||||||||||||
Options | Exercise | Weighted | Aggregate | ||||||||||||
Price | Average | Intrinsic | |||||||||||||
Exercise | Value | ||||||||||||||
Price | |||||||||||||||
Options outstanding at June 30, 2010 | 4,561 | $3.00-$8.13 | $ | 3.06 | |||||||||||
Forfeited | (61 | ) | $3.04 | $ | 3.04 | ||||||||||
Options outstanding at June 30, 2011 | 4,500 | $3.00-$8.13 | $ | 3.06 | |||||||||||
Forfeited | — | — | — | ||||||||||||
Options outstanding at December 31, 2011 | 4,500 | $3.00-$8.13 | $ | 3.06 | |||||||||||
Granted | 825 | $1.45 | $ | 1.45 | |||||||||||
Forfeited | (3,730 | ) | $3.00-$3.04 | $ | 3 | ||||||||||
Options outstanding at December 31, 2012 | 1,595 | $1.45-$8.13 | $ | 2.38 | |||||||||||
Forfeited | (358 | ) | $3.04 | $ | 3.04 | ||||||||||
Options outstanding at December 31, 2013 | 1,237 | $1.45-$8.13 | $ | 2.19 | $ | 677 | |||||||||
Options exercisable/vested at December 31, 2013 | 892 | $ | 2.47 | $ | 394 | ||||||||||
Summary of the Activity for the Company's Restricted Stock Awards | ' | ||||||||||||||
A summary of the activity for the Company’s Restricted Stock Awards is presented below (in thousands, except per share data). | |||||||||||||||
Restricted | Weighted | ||||||||||||||
Stock | Average | ||||||||||||||
Awards | Grant Date | ||||||||||||||
Fair Value | |||||||||||||||
Restricted Stock Awards outstanding at June 30, 2010 | 472 | $ | 2.48 | ||||||||||||
Vested | (307 | ) | $ | 2.6 | |||||||||||
Forfeited | (29 | ) | $ | 2.51 | |||||||||||
Restricted Stock Awards outstanding at June 30, 2011 | 136 | $ | 2.3 | ||||||||||||
Vested | (21 | ) | $ | 2.13 | |||||||||||
Forfeited | (20 | ) | $ | 2.2 | |||||||||||
Restricted Stock Awards outstanding at December 31, 2011 | 95 | $ | 2.36 | ||||||||||||
Vested | (34 | ) | $ | 2.36 | |||||||||||
Forfeited | (1 | ) | $ | 2.5 | |||||||||||
Restricted Stock Awards outstanding at December 31, 2012 | 60 | $ | 2.35 | ||||||||||||
Vested | (29 | ) | $ | 2.38 | |||||||||||
Forfeited | (14 | ) | $ | 2.36 | |||||||||||
Restricted Stock Awards outstanding at December 31, 2013 | 17 | $ | 2.29 | ||||||||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||
Components of Property and Equipment | ' | ||||||||
The components of property and equipment are as follows (in thousands). | |||||||||
December 31, | |||||||||
2013 | 2012 | ||||||||
Furniture and equipment | $ | 9,736 | $ | 9,008 | |||||
Leasehold improvements | 4,999 | 4,880 | |||||||
Capitalized leases | 238 | 238 | |||||||
Aircraft | 190 | 190 | |||||||
15,163 | 14,316 | ||||||||
Less: Accumulated depreciation | (11,651 | ) | (9,660 | ) | |||||
Property and equipment, net | $ | 3,512 | $ | 4,656 | |||||
Lease_Commitments_Tables
Lease Commitments (Tables) | 12 Months Ended | ||||
Dec. 31, 2013 | |||||
Leases [Abstract] | ' | ||||
Summary of Future Minimum Lease Payments | ' | ||||
Future minimum lease payments under these agreements follow (in thousands). | |||||
Year Ending December 31, | Amount | ||||
2014 | $ | 6,915 | |||
2015 | 5,051 | ||||
2016 | 2,447 | ||||
2017 | 692 | ||||
2018 | 299 | ||||
Thereafter | 576 | ||||
Total | $ | 15,980 | |||
Losses_and_Loss_Adjustment_Exp1
Losses and Loss Adjustment Expenses Incurred and Paid (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Insurance [Abstract] | ' | ||||||||||||||||
Information Regarding the Reserve for Unpaid Losses and LAE | ' | ||||||||||||||||
Information regarding the reserve for unpaid losses and LAE is as follows (in thousands). | |||||||||||||||||
Year Ended December 31, | Six Months | Year | |||||||||||||||
Ended | Ended | ||||||||||||||||
December 31, | June 30, | ||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Liability for unpaid losses and LAE at beginning of period, gross | $ | 79,260 | $ | 69,436 | $ | 68,424 | $ | 73,198 | |||||||||
Reinsurance balances receivable | (260 | ) | (187 | ) | (133 | ) | (46 | ) | |||||||||
Liability for unpaid losses and LAE at beginning of period, net | 79,000 | 69,249 | 68,291 | 73,152 | |||||||||||||
Add: Provision for losses and LAE: | |||||||||||||||||
Current period | 145,877 | 144,207 | 60,162 | 130,888 | |||||||||||||
Prior periods | (3,038 | ) | 4,016 | 5,591 | (1,721 | ) | |||||||||||
Net losses and LAE incurred | 142,839 | 148,223 | 65,753 | 129,167 | |||||||||||||
Less: Losses and LAE paid: | |||||||||||||||||
Current period | 88,726 | 89,157 | 32,022 | 84,736 | |||||||||||||
Prior periods | 49,132 | 49,315 | 32,773 | 49,292 | |||||||||||||
Net losses and LAE paid | 137,858 | 138,472 | 64,795 | 134,028 | |||||||||||||
Liability for unpaid losses and LAE at end of period, net | 83,981 | 79,000 | 69,249 | 68,291 | |||||||||||||
Reinsurance balances receivable | 305 | 260 | 187 | 133 | |||||||||||||
Liability for unpaid losses and LAE at end of period, gross | $ | 84,286 | $ | 79,260 | $ | 69,436 | $ | 68,424 | |||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||
Provision (Benefit) for Income Taxes | ' | ||||||||||||||||
The provision (benefit) for income taxes consisted of the following (in thousands). | |||||||||||||||||
Six Months | Year | ||||||||||||||||
Ended | Ended | ||||||||||||||||
Year Ended December 31, | December 31, | June 30, | |||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Federal: | |||||||||||||||||
Current | $ | 175 | $ | — | $ | — | $ | — | |||||||||
Deferred | (4 | ) | — | — | — | ||||||||||||
171 | — | — | — | ||||||||||||||
State: | |||||||||||||||||
Current | 476 | (8 | ) | 146 | 296 | ||||||||||||
Deferred | 3 | 3 | 2 | (98 | ) | ||||||||||||
479 | (5 | ) | 148 | 198 | |||||||||||||
$ | 650 | $ | (5 | ) | $ | 148 | $ | 198 | |||||||||
Provision (Benefit) for Income Taxes Differs from Amounts Computed by Applying Statutory Federal Corporate Tax Rate | ' | ||||||||||||||||
The provision (benefit) for income taxes differs from the amounts computed by applying the statutory federal corporate tax rate of 35% to income (loss) before income taxes as a result of the following (in thousands). | |||||||||||||||||
Year Ended December 31, | Six Months | Year | |||||||||||||||
Ended | Ended | ||||||||||||||||
December 31, | June 30, | ||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Provision (benefit) for income taxes at statutory rate | $ | 3,440 | $ | (3,166 | ) | $ | (10,251 | ) | $ | (19,804 | ) | ||||||
Tax effect of: | |||||||||||||||||
Tax-exempt investment income | (27 | ) | (18 | ) | (2 | ) | (15 | ) | |||||||||
Change in the beginning of the period balance of the valuation allowance for deferred tax assets allocated to federal income taxes | (4,277 | ) | 580 | 4,670 | 4,761 | ||||||||||||
Net operating loss carryforward expirations | — | 1 | — | 735 | |||||||||||||
Goodwill and identifiable intangible assets | — | — | 5,545 | 14,084 | |||||||||||||
Stock-based compensation | 1,133 | 2,552 | 30 | 248 | |||||||||||||
State income taxes, net of federal income tax benefit and valuation allowance | 479 | (5 | ) | 148 | 198 | ||||||||||||
Other | (98 | ) | 51 | 8 | (9 | ) | |||||||||||
$ | 650 | $ | (5 | ) | $ | 148 | $ | 198 | |||||||||
Summary of Net Deferred Tax Assets and Liabilities | ' | ||||||||||||||||
The tax effects of temporary differences that give rise to the net deferred tax assets and liabilities are presented below (in thousands). | |||||||||||||||||
December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Deferred tax assets: | |||||||||||||||||
Net operating loss carryforwards | $ | 9,949 | $ | 13,091 | |||||||||||||
Stock option compensation | 516 | 1,704 | |||||||||||||||
Unearned premiums and loss and loss adjustment expense reserves | 4,898 | 4,980 | |||||||||||||||
Goodwill and identifiable intangible assets | 6,311 | 7,341 | |||||||||||||||
Alternative minimum tax (“AMT”) credit carryforwards | 1,784 | 1,612 | |||||||||||||||
Accrued expenses and other nondeductible items | 1,182 | 495 | |||||||||||||||
Other | 1,875 | 3,456 | |||||||||||||||
26,515 | 32,679 | ||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||
Deferred acquisition costs | (1,016 | ) | (1,127 | ) | |||||||||||||
Identifiable intangible assets | (1,872 | ) | (1,872 | ) | |||||||||||||
Net unrealized change on investments | (1,181 | ) | (3,046 | ) | |||||||||||||
Other | — | — | |||||||||||||||
(4,069 | ) | (6,045 | ) | ||||||||||||||
Total net deferred tax asset | 22,446 | 26,634 | |||||||||||||||
Less: Valuation allowance | (24,224 | ) | (28,413 | ) | |||||||||||||
Net deferred tax liability | $ | (1,778 | ) | $ | (1,779 | ) | |||||||||||
Net_Income_Loss_Per_Share_Tabl
Net Income (Loss) Per Share (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Computation of Basic and Diluted Net Income (Loss) Per Share | ' | ||||||||||||||||
The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands, except per share data). | |||||||||||||||||
Year Ended | Six Months | Year | |||||||||||||||
December 31, | Ended | Ended | |||||||||||||||
December 31, | June 30, | ||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Net income (loss) | $ | 9,180 | $ | (9,040 | ) | $ | (29,437 | ) | $ | (56,780 | ) | ||||||
Weighted average common basic shares | 40,930 | 40,861 | 47,707 | 48,171 | |||||||||||||
Effect of dilutive securities | 162 | — | — | — | |||||||||||||
Weighted average common dilutive shares | 41,092 | 40,861 | 47,707 | 48,171 | |||||||||||||
Basic net income (loss) per share | $ | 0.22 | $ | (0.22 | ) | $ | (0.62 | ) | $ | (1.18 | ) | ||||||
Diluted net income (loss) per share | $ | 0.22 | $ | (0.22 | ) | $ | (0.62 | ) | $ | (1.18 | ) | ||||||
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Selected Financial Data by Business Segment | ' | ||||||||||||||||
The following table presents selected financial data by business segment (in thousands). | |||||||||||||||||
Year Ended December 31, | Six Months | Year | |||||||||||||||
Ended | Ended | ||||||||||||||||
December 31, | June 30, | ||||||||||||||||
2013 | 2012 | 2011 | 2011 | ||||||||||||||
Revenues: | |||||||||||||||||
Insurance | $ | 240,460 | $ | 227,966 | $ | 99,039 | $ | 210,618 | |||||||||
Real estate and corporate | 52 | 93 | 65 | 116 | |||||||||||||
Consolidated total | $ | 240,512 | $ | 228,059 | $ | 99,104 | $ | 210,734 | |||||||||
Income (loss) before income taxes: | |||||||||||||||||
Insurance | $ | 12,748 | $ | (4,588 | ) | $ | (26,711 | ) | $ | (50,407 | ) | ||||||
Real estate and corporate | (2,918 | ) | (4,457 | ) | (2,578 | ) | (6,175 | ) | |||||||||
Consolidated total | $ | 9,830 | $ | (9,045 | ) | $ | (29,289 | ) | $ | (56,582 | ) | ||||||
December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Total assets: | |||||||||||||||||
Insurance | $ | 262,869 | $ | 256,670 | |||||||||||||
Real estate and corporate | 10,838 | 5,633 | |||||||||||||||
Consolidated total | $ | 273,707 | $ | 262,303 | |||||||||||||
Selected_Quarterly_Financial_D1
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||
Selected Quarterly Financial Data | ' | ||||||||||||||||
Selected quarterly financial data is summarized as follows (in thousands, except per share data). | |||||||||||||||||
Total | Income (Loss) | Net Income | Basic and | ||||||||||||||
Revenues | before | (Loss) | Diluted Net | ||||||||||||||
Income Taxes | Income (Loss) | ||||||||||||||||
per Share | |||||||||||||||||
Year Ended December 31, 2013: | |||||||||||||||||
December 31, 2013 | $ | 59,152 | $ | 3,363 | $ | 3,158 | $ | 0.07 | |||||||||
September 30, 2013 | 59,578 | 2,096 | 1,932 | 0.05 | |||||||||||||
June 30, 2013 | 62,493 | 2,254 | 2,066 | 0.05 | |||||||||||||
March 31, 2013 | 59,289 | 2,117 | 2,024 | 0.05 | |||||||||||||
Year Ended December 31, 2012: | |||||||||||||||||
December 31, 2012 | $ | 55,079 | $ | 175 | $ | 96 | $ | 0 | |||||||||
September 30, 2012 | 59,568 | 3,378 | 3,279 | 0.08 | |||||||||||||
June 30, 2012 | 57,945 | (4,470 | ) | (4,208 | ) | (0.10 | ) | ||||||||||
March 31, 2012 | 55,467 | (8,128 | ) | (8,207 | ) | (0.20 | ) |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | 6 Months Ended | 3 Months Ended | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 | Jun. 30, 2009 | Jun. 30, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 |
State | ASU 2010-26 [Member] | Trade Names [Member] | Minimum [Member] | Maximum [Member] | ||||||
Indefinite-lived Intangible Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of states in which company writes non-standard personal automobile insurance | ' | 12 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of states in which company is licensed as an insurer | ' | 13 | ' | ' | ' | ' | ' | ' | ' | ' |
Original maturities period of highly liquid investments | ' | '3 months | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated useful lives of the assets | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '7 years |
Foreclosed real estate held for sale assets | ' | $0.80 | $0.80 | ' | ' | ' | ' | ' | ' | ' |
Amortization expenses | 5.5 | 11.1 | 11.4 | ' | 12.8 | ' | ' | ' | ' | ' |
Goodwill impairment charges | 21.1 | ' | ' | 50.9 | ' | 68 | ' | ' | ' | ' |
Intangible assets impairment charges | ' | ' | ' | ' | ' | ' | ' | 1.6 | ' | ' |
Additional amortization expense on deferred acquisition costs | ' | ' | ' | ' | ' | ' | 0.4 | ' | ' | ' |
Income taxes | 0.1 | 0.5 | 0.2 | ' | 0.3 | ' | ' | ' | ' | ' |
Interest expense | $2 | $1.70 | $3 | ' | $3.90 | ' | ' | ' | ' | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Schedule of Changes in Result of Operations Due to Change in Fiscal Year (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 |
Revenues: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premiums earned | ' | ' | ' | ' | ' | ' | ' | ' | $80,637 | $86,454 | $199,700 | $185,644 | $167,224 | $173,041 |
Commission and fee income | ' | ' | ' | ' | ' | ' | ' | ' | 14,769 | 14,341 | 35,125 | 32,574 | 29,911 | 29,483 |
Investment income | ' | ' | ' | ' | ' | ' | ' | ' | 3,930 | 4,261 | 5,716 | 6,599 | 8,064 | 8,395 |
Net realized gains (losses) on investments, available-for-sale | ' | ' | ' | ' | ' | ' | ' | ' | -232 | -256 | -29 | 3,242 | -161 | -185 |
Total revenues | 59,152 | 59,578 | 62,493 | 59,289 | 55,079 | 59,568 | 57,945 | 55,467 | 99,104 | 104,800 | 240,512 | 228,059 | 205,038 | 210,734 |
Costs and expenses: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Losses and loss adjustment expenses | ' | ' | ' | ' | ' | ' | ' | ' | 65,753 | 65,395 | 142,839 | 148,223 | 129,525 | 129,167 |
Insurance operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | 38,154 | 36,896 | 82,822 | 82,127 | 79,075 | 77,822 |
Other operating expenses | ' | ' | ' | ' | ' | ' | ' | ' | 494 | 678 | 987 | 922 | 1,181 | 1,369 |
Stock-based compensation | ' | ' | ' | ' | ' | ' | ' | ' | 171 | 365 | 243 | 604 | 804 | 998 |
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 751 | 941 | 2,053 | 2,203 | 1,415 | 1,605 |
Interest expense | ' | ' | ' | ' | ' | ' | ' | ' | 1,980 | 1,982 | 1,738 | 3,025 | 3,928 | 3,930 |
Goodwill impairment | ' | ' | ' | ' | ' | ' | ' | ' | 21,090 | ' | ' | ' | 73,524 | 52,434 |
Total costs and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 128,393 | 106,257 | 230,682 | 237,104 | 289,452 | 267,316 |
Loss before income taxes | 3,363 | 2,096 | 2,254 | 2,117 | 175 | 3,378 | -4,470 | -8,128 | -29,289 | -1,457 | 9,830 | -9,045 | -84,414 | -56,582 |
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 148 | 241 | 650 | -5 | 105 | 198 |
Net income (loss) | $3,158 | $1,932 | $2,066 | $2,024 | $96 | $3,279 | ($4,208) | ($8,207) | ($29,437) | ($1,698) | $9,180 | ($9,040) | ($84,519) | ($56,780) |
Basic and diluted net loss per share | $0.07 | $0.05 | $0.05 | $0.05 | $0 | $0.08 | ($0.10) | ($0.20) | ($0.62) | ($0.04) | ' | ($0.22) | ($1.76) | ' |
Fair_Value_Presentation_of_Car
Fair Value - Presentation of Carrying Values and Fair Values of Certain of Company's Financial Instruments (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets: | ' | ' |
Investments, available-for-sale | $130,248 | $139,046 |
Carrying Value [Member] | ' | ' |
Assets: | ' | ' |
Investments, available-for-sale | 130,248 | 139,046 |
Limited partnership interests | 7,513 | ' |
Liabilities: | ' | ' |
Debentures payable | 40,301 | 40,261 |
Fair Value [Member] | ' | ' |
Assets: | ' | ' |
Investments, available-for-sale | 130,248 | 139,046 |
Limited partnership interests | 7,513 | ' |
Liabilities: | ' | ' |
Debentures payable | $15,006 | $12,723 |
Fair_Value_Presentation_of_Fai
Fair Value - Presentation of Fair-Value Measurements for Each Major Category of Assets Measured on Recurring Basis (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 |
In Thousands, unless otherwise specified | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | $130,248 | $139,046 | ' | ' |
Limited partnership interests | 7,513 | ' | ' | ' |
Fair Value Measurements Using [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 130,248 | 139,046 | ' | ' |
Limited partnership interests | 7,513 | ' | ' | ' |
Cash and cash equivalents | 72,033 | 59,104 | ' | ' |
Total | 209,794 | 198,150 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 119,511 | 130,713 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | U.S. Government and Agencies [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 12,485 | 12,110 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | State [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 736 | 4,111 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | Political Subdivisions [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 612 | 790 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | Revenue and Assessment [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 14,658 | 17,996 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | Corporate Bonds [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 73,325 | 71,537 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | Agency Backed [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 7,514 | 11,870 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | Non-Agency Backed - Residential [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 4,660 | 5,472 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | Non-Agency Backed - Commercial [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 3,943 | 5,109 | ' | ' |
Fair Value Measurements Using [Member] | Debt Securities [Member] | Redeemable Preferred Stock [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 1,578 | 1,718 | ' | ' |
Fair Value Measurements Using [Member] | Equity Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Mutual fund, available-for-sale | 10,737 | 8,333 | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 24,800 | 22,161 | ' | ' |
Limited partnership interests | ' | ' | ' | ' |
Cash and cash equivalents | 72,033 | 59,104 | ' | ' |
Total | 96,833 | 81,265 | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 14,063 | 13,828 | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | U.S. Government and Agencies [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 12,485 | 12,110 | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | State [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Political Subdivisions [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Revenue and Assessment [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Corporate Bonds [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Agency Backed [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Non-Agency Backed - Residential [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Non-Agency Backed - Commercial [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Redeemable Preferred Stock [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 1,578 | 1,718 | ' | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value Measurements Using [Member] | Equity Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Mutual fund, available-for-sale | 10,737 | 8,333 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 105,448 | 116,885 | ' | ' |
Limited partnership interests | ' | ' | ' | ' |
Cash and cash equivalents | ' | ' | ' | ' |
Total | 105,448 | 116,885 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 105,448 | 116,885 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | U.S. Government and Agencies [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | State [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 736 | 4,111 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Political Subdivisions [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 612 | 790 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Revenue and Assessment [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 14,658 | 17,996 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Corporate Bonds [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 73,325 | 71,537 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Agency Backed [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 7,514 | 11,870 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Non-Agency Backed - Residential [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 4,660 | 5,472 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Non-Agency Backed - Commercial [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 3,943 | 5,109 | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Redeemable Preferred Stock [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Other Observable Inputs (Level 2) [Member] | Fair Value Measurements Using [Member] | Equity Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Mutual fund, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | 0 | 0 | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Limited partnership interests | 7,513 | ' | ' | ' |
Cash and cash equivalents | ' | ' | ' | ' |
Total | 7,513 | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | U.S. Government and Agencies [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | State [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Political Subdivisions [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Revenue and Assessment [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Corporate Bonds [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Agency Backed [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Non-Agency Backed - Residential [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Non-Agency Backed - Commercial [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Debt Securities [Member] | Redeemable Preferred Stock [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Total fixed maturities, available-for-sale | ' | ' | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | Fair Value Measurements Using [Member] | Equity Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Mutual fund, available-for-sale | ' | ' | ' | ' |
Fair_Value_Additional_Informat
Fair Value - Additional Information (Detail) (USD $) | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Transfers between level 1 and level 2 | $0 | $0 | ' | ' |
Fair value measurements transfers into or out of Level 3 | ' | 0 | 0 | 0 |
Investments, available-for-sale | 130,248,000 | 139,046,000 | ' | ' |
Significant Unobservable Inputs (Level 3) [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Investments, available-for-sale | $0 | $0 | $0 | $0 |
Fair_Value_Quantitative_Disclo
Fair Value - Quantitative Disclosure for Assets Classified as Level 3 (Detail) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Balance at December 31, 2012 | ' |
Gains or losses (realized or unrealized) included in net income (loss) | 399 |
Investments and capital calls | 7,139 |
Distributions received | -25 |
Transfers into and out of Level 3 | ' |
Balance at December 31, 2013 | 7,513 |
Net Asset Value [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Balance at December 31, 2012 | ' |
Gains or losses (realized or unrealized) included in net income (loss) | 200 |
Investments and capital calls | 3,139 |
Distributions received | -25 |
Transfers into and out of Level 3 | ' |
Balance at December 31, 2013 | 3,314 |
Equity Method [Member] | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' |
Balance at December 31, 2012 | ' |
Gains or losses (realized or unrealized) included in net income (loss) | 199 |
Investments and capital calls | 4,000 |
Distributions received | ' |
Transfers into and out of Level 3 | ' |
Balance at December 31, 2013 | $4,199 |
Investments_Summary_of_Company
Investments - Summary of Company's Investment Securities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investment Securities [Line Items] | ' | ' |
Amortized Cost | $116,972 | $122,841 |
Gross Unrealized Gains | 4,830 | 8,222 |
Gross Unrealized Losses | -2,291 | -350 |
Fair Value | 119,511 | 130,713 |
Mutual Fund Amortized Cost | 9,901 | 7,501 |
Mutual Fund Gross Unrealized Gains | 836 | 832 |
Mutual Fund Gross Unrealized Losses | ' | ' |
Mutual Fund Fair value | 10,737 | 8,333 |
Total Amortized Cost | 126,873 | 130,342 |
Total Gross Unrealized Gains | 5,666 | 9,054 |
Total Gross Unrealized Losses | -2,291 | -350 |
Total Fair Value | 130,248 | 139,046 |
U.S. Government and Agencies [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 12,006 | 11,202 |
Gross Unrealized Gains | 495 | 908 |
Gross Unrealized Losses | -16 | ' |
Fair Value | 12,485 | 12,110 |
State [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 697 | 3,994 |
Gross Unrealized Gains | 39 | 117 |
Gross Unrealized Losses | ' | ' |
Fair Value | 736 | 4,111 |
Political Subdivisions [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 601 | 753 |
Gross Unrealized Gains | 11 | 37 |
Gross Unrealized Losses | ' | ' |
Fair Value | 612 | 790 |
Revenue and Assessment [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 14,050 | 16,449 |
Gross Unrealized Gains | 619 | 1,553 |
Gross Unrealized Losses | -11 | -6 |
Fair Value | 14,658 | 17,996 |
Corporate Bonds [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 73,461 | 68,114 |
Gross Unrealized Gains | 2,127 | 3,669 |
Gross Unrealized Losses | -2,263 | -246 |
Fair Value | 73,325 | 71,537 |
Agency Backed [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 7,113 | 11,079 |
Gross Unrealized Gains | 401 | 791 |
Gross Unrealized Losses | ' | ' |
Fair Value | 7,514 | 11,870 |
Non-Agency Backed - Residential [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 4,181 | 5,098 |
Gross Unrealized Gains | 480 | 472 |
Gross Unrealized Losses | -1 | -98 |
Fair Value | 4,660 | 5,472 |
Non-Agency Backed - Commercial [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 3,363 | 4,652 |
Gross Unrealized Gains | 580 | 457 |
Gross Unrealized Losses | ' | ' |
Fair Value | 3,943 | 5,109 |
Redeemable Preferred Stock [Member] | ' | ' |
Investment Securities [Line Items] | ' | ' |
Amortized Cost | 1,500 | 1,500 |
Gross Unrealized Gains | 78 | 218 |
Gross Unrealized Losses | ' | ' |
Fair Value | $1,578 | $1,718 |
Investments_Scheduled_Maturiti
Investments - Scheduled Maturities of Company's Fixed Maturity Securities Based on their Fair Values (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investments Debt And Equity Securities [Abstract] | ' | ' |
Securities with Unrealized Gains, One year or less | $14,305 | $9,380 |
Securities with Unrealized Gains, After one through five years | 25,667 | 34,460 |
Securities with Unrealized Gains, After five through ten years | 20,445 | 25,230 |
Securities with Unrealized Gains, After ten years | 3,667 | 10,770 |
Securities with Unrealized Gains, No single maturity date | 17,506 | 23,833 |
Securities with Unrealized Gains, Total | 81,590 | 103,673 |
Securities with Unrealized Losses, One year or less | ' | ' |
Securities with Unrealized Losses, After one through five years | 10,888 | 11,518 |
Securities with Unrealized Losses, After five through ten years | 22,836 | 15,181 |
Securities with Unrealized Losses, After ten years | 4,008 | ' |
Securities with Unrealized Losses, No single maturity date | 189 | 336 |
Securities with Unrealized Losses, Total | 37,921 | 27,035 |
Securities with No Unrealized Gains or Losses, One year or less | ' | 5 |
Securities with No Unrealized Gains or Losses, After one through five years | ' | ' |
Securities with No Unrealized Gains or Losses, After five through ten years | ' | ' |
Securities with No Unrealized Gains or Losses, After ten years | ' | ' |
Securities with No Unrealized Gains or Losses, No single maturity date | ' | ' |
Securities with No Unrealized Gains or Losses, Total | ' | 5 |
All Fixed Maturity Securities, One year or less | 14,305 | 9,385 |
All Fixed Maturity Securities, After one through five years | 36,555 | 45,978 |
All Fixed Maturity Securities, After five through ten years | 43,281 | 40,411 |
All Fixed Maturity Securities, After ten years | 7,675 | 10,770 |
All Fixed Maturity Securities, No single maturity date | 17,695 | 24,169 |
All Fixed Maturity Securities, Total | $119,511 | $130,713 |
Investments_Fair_Value_and_Gro
Investments - Fair Value and Gross Unrealized Losses of Investments, Available-for-Sale, by the Length of Time (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | $23,941 | $26,823 |
Less than 12 months, Gross Unrealized Losses | -1,021 | -272 |
12 months or longer, Fair value | 13,980 | 212 |
12 months or longer, Gross Unrealized Losses | -1,270 | -78 |
Total Gross Unrealized Losses | -2,291 | -350 |
U.S. Government and Agencies [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | 988 | ' |
Less than 12 months, Gross Unrealized Losses | -16 | ' |
12 months or longer, Fair value | ' | ' |
12 months or longer, Gross Unrealized Losses | ' | ' |
Total Gross Unrealized Losses | -16 | ' |
State [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | ' | ' |
Less than 12 months, Gross Unrealized Losses | ' | ' |
12 months or longer, Fair value | ' | ' |
12 months or longer, Gross Unrealized Losses | ' | ' |
Total Gross Unrealized Losses | ' | ' |
Political Subdivisions [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | ' | ' |
Less than 12 months, Gross Unrealized Losses | ' | ' |
12 months or longer, Fair value | ' | ' |
12 months or longer, Gross Unrealized Losses | ' | ' |
Total Gross Unrealized Losses | ' | ' |
Revenue and Assessment [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | 983 | 702 |
Less than 12 months, Gross Unrealized Losses | -11 | -6 |
12 months or longer, Fair value | ' | ' |
12 months or longer, Gross Unrealized Losses | ' | ' |
Total Gross Unrealized Losses | -11 | -6 |
Corporate Bonds [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | 21,781 | 25,997 |
Less than 12 months, Gross Unrealized Losses | -993 | -246 |
12 months or longer, Fair value | 13,980 | ' |
12 months or longer, Gross Unrealized Losses | -1,270 | ' |
Total Gross Unrealized Losses | -2,263 | -246 |
Agency Backed [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | ' | ' |
Less than 12 months, Gross Unrealized Losses | ' | ' |
12 months or longer, Fair value | ' | ' |
12 months or longer, Gross Unrealized Losses | ' | ' |
Total Gross Unrealized Losses | ' | ' |
Non-Agency Backed - Residential [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | 189 | 124 |
Less than 12 months, Gross Unrealized Losses | -1 | -20 |
12 months or longer, Fair value | ' | 212 |
12 months or longer, Gross Unrealized Losses | ' | -78 |
Total Gross Unrealized Losses | -1 | -98 |
Non-Agency Backed - Commercial [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | ' | ' |
Less than 12 months, Gross Unrealized Losses | ' | ' |
12 months or longer, Fair value | ' | ' |
12 months or longer, Gross Unrealized Losses | ' | ' |
Total Gross Unrealized Losses | ' | ' |
Redeemable Preferred Stock [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | ' | ' |
Less than 12 months, Gross Unrealized Losses | ' | ' |
12 months or longer, Fair value | ' | ' |
12 months or longer, Gross Unrealized Losses | ' | ' |
Total Gross Unrealized Losses | ' | ' |
Mutual Fund, Available-for-Sale [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Less than 12 months, Fair value | ' | ' |
Less than 12 months, Gross Unrealized Losses | ' | ' |
12 months or longer, Fair value | ' | ' |
12 months or longer, Gross Unrealized Losses | ' | ' |
Total Gross Unrealized Losses | ' | ' |
Investments_Number_of_Fixed_Ma
Investments - Number of Fixed Maturity Securities with Gross Unrealized Gains and Losses (Detail) | Dec. 31, 2013 | Dec. 31, 2012 |
Security | Security | |
Investments Debt And Equity Securities [Abstract] | ' | ' |
Gross Unrealized Losses Less than or equal to 12 months | 12 | 13 |
Gross Unrealized Losses Greater than 12 months | 7 | 1 |
Gross Unrealized Gains | 83 | 108 |
Investments_Fair_Value_and_Gro1
Investments - Fair Value and Gross Unrealized Losses of Fixed Maturity Securities in Continuous Unrealized Loss Position for Greater than 12 Months (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | Security | Security |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Number of Securities | 7 | 1 |
Fair Value | $13,980 | $212 |
Gross Unrealized Losses | -1,270 | -78 |
Less Than or Equal to 10% [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Number of Securities | 7 | ' |
Fair Value | 13,980 | ' |
Gross Unrealized Losses | -1,270 | ' |
Greater Than 10% [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Number of Securities | ' | 1 |
Fair Value | ' | 212 |
Gross Unrealized Losses | ' | ($78) |
Investments_Gross_Unrealized_L
Investments - Gross Unrealized Losses by Current Severity and Length of Time that Individual Securities have been in Continuous Unrealized Loss Position (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investment Maturity Date [Line Items] | ' | ' |
Fair Value of Securities with Gross Unrealized Losses | $37,921 | $27,035 |
Gross Unrealized Losses | -2,291 | -350 |
Less Than 5% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | -278 | -252 |
5% to 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | -2,013 | ' |
Greater Than 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | -98 |
Three Months [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Fair Value of Securities with Gross Unrealized Losses | 6,417 | 26,121 |
Gross Unrealized Losses | -40 | -266 |
Three Months [Member] | Less Than 5% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | -40 | -246 |
Three Months [Member] | 5% to 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | ' |
Three Months [Member] | Greater Than 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | -20 |
Six Months [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Fair Value of Securities with Gross Unrealized Losses | 1,653 | ' |
Gross Unrealized Losses | -129 | ' |
Six Months [Member] | Less Than 5% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | ' |
Six Months [Member] | 5% to 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | -129 | ' |
Six Months [Member] | Greater Than 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | ' |
Nine Months [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Fair Value of Securities with Gross Unrealized Losses | 15,871 | ' |
Gross Unrealized Losses | -852 | ' |
Nine Months [Member] | Less Than 5% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | -153 | ' |
Nine Months [Member] | 5% to 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | -699 | ' |
Nine Months [Member] | Greater Than 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | ' |
Twelve Months[Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Fair Value of Securities with Gross Unrealized Losses | ' | 702 |
Gross Unrealized Losses | ' | -6 |
Twelve Months[Member] | Less Than 5% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | -6 |
Twelve Months[Member] | 5% to 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | ' |
Twelve Months[Member] | Greater Than 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | ' |
Greater Than 12 Months [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Fair Value of Securities with Gross Unrealized Losses | 13,980 | 212 |
Gross Unrealized Losses | -1,270 | -78 |
Greater Than 12 Months [Member] | Less Than 5% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | -85 | ' |
Greater Than 12 Months [Member] | 5% to 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | -1,185 | ' |
Greater Than 12 Months [Member] | Greater Than 10% [Member] | ' | ' |
Investment Maturity Date [Line Items] | ' | ' |
Gross Unrealized Losses | ' | ($78) |
Investments_Additional_Informa
Investments - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Number of investment funds | ' | 3 | ' |
Unfunded commitments | ' | $2.40 | ' |
Fixed maturities and cash equivalents on deposit with various insurance departments at fair value and amortized cost | ' | 5.3 | ' |
Cash equivalents on deposit with another insurance company at fair value and amortized cost | ' | 9.4 | ' |
Collateralized Mortgage Obligations [Member] | Non-Agency Backed - Residential [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Non credit other than temporary impairment for securities | 1 | 0.9 | 1 |
Collateralized Mortgage Obligations [Member] | Non-Agency Backed - Commercial [Member] | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' |
Non credit other than temporary impairment for securities | $0.20 | $0.20 | $0.20 |
Investments_Major_Categories_o
Investments - Major Categories of Investment Income (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Net Investment Income [Line Items] | ' | ' | ' | ' |
Investment expenses | ($316) | ($576) | ($619) | ($651) |
Investment income | 3,930 | 5,716 | 6,599 | 8,395 |
Fixed Maturities, Available-for-Sale [Member] | ' | ' | ' | ' |
Net Investment Income [Line Items] | ' | ' | ' | ' |
Investment income | 3,897 | 5,037 | 6,513 | 8,296 |
Mutual Fund, Available-for-Sale [Member] | ' | ' | ' | ' |
Net Investment Income [Line Items] | ' | ' | ' | ' |
Investment income | 290 | 766 | 613 | 625 |
Limited Partnership Interests [Member] | ' | ' | ' | ' |
Net Investment Income [Line Items] | ' | ' | ' | ' |
Investment income | ' | 200 | ' | ' |
Equity in Earnings of Limited Partnership Interest [Member] | ' | ' | ' | ' |
Net Investment Income [Line Items] | ' | ' | ' | ' |
Investment income | ' | 199 | ' | ' |
Other [Member] | ' | ' | ' | ' |
Net Investment Income [Line Items] | ' | ' | ' | ' |
Investment income | $59 | $90 | $92 | $125 |
Investments_Components_of_Net_
Investments - Components of Net Realized Gains (Losses) on Investments, Available-for-Sale at Fair Value (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 |
Investments Debt And Equity Securities [Abstract] | ' | ' | ' | ' | ' | ' |
Gains | $15 | ' | $100 | $3,296 | ' | $231 |
Losses | -120 | ' | -68 | -31 | ' | -3 |
Other-than-temporary impairment | -127 | ' | -61 | -23 | ' | -413 |
Net realized gains (losses) on investments, available-for-sale | ($232) | ($256) | ($29) | $3,242 | ($161) | ($185) |
Investments_Number_and_Amount_
Investments - Number and Amount of Securities for which Company has Recognized OTTI Charges in Net Income (Loss) (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' |
Other-than-temporary impairment ("OTTI") charges | ($49) | ' | ' | ($22) |
Portion of loss recognized in accumulated other comprehensive income (loss) | 12 | ' | ' | 2 |
Net OTTI recognized in net income (loss) | -127 | -61 | -23 | -413 |
Collateralized Mortgage Obligations [Member] | ' | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' |
Collateralized mortgage obligations by number of securities | 4 | 1 | 3 | 10 |
Other-than-temporary impairment ("OTTI") charges | -139 | -61 | -23 | -415 |
Collateralized Mortgage Obligations [Member] | Non-Agency Backed - Residential [Member] | ' | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' |
Collateralized mortgage obligations by number of securities | 3 | 1 | 2 | 5 |
Other-than-temporary impairment ("OTTI") charges | -127 | -61 | -8 | -119 |
Collateralized Mortgage Obligations [Member] | Non-Agency Backed - Commercial [Member] | ' | ' | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' | ' | ' |
Collateralized mortgage obligations by number of securities | 1 | ' | 1 | 5 |
Other-than-temporary impairment ("OTTI") charges | ($12) | ' | ($15) | ($296) |
Investments_Progression_of_Cre
Investments - Progression of Credit-Related Portion of OTTI on Investments (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Investments Debt And Equity Securities [Abstract] | ' | ' | ' | ' |
Beginning balance | ($3,343) | ($2,666) | ($3,425) | ($3,301) |
Additional credit impairments on: | ' | ' | ' | ' |
Previously impaired securities | -127 | -61 | -23 | -413 |
Securities without previous impairments | ' | ' | ' | ' |
Total additional credit impairments securities | -127 | -61 | -23 | -413 |
Reductions for securities sold (realized) | 45 | 95 | 782 | 371 |
Ending balance | ($3,425) | ($2,632) | ($2,666) | ($3,343) |
Reinsurance_Effects_of_Reinsur
Reinsurance - Effects of Reinsurance Premium Written and Earned (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Insurance [Abstract] | ' | ' | ' | ' |
Direct Written | $71,325 | $177,376 | $168,990 | $152,356 |
Assumed Written | 9,245 | 23,768 | 21,517 | 19,435 |
Ceded Written | -88 | -201 | -192 | -171 |
Written total | 80,482 | 200,943 | 190,315 | 171,620 |
Direct Earned | 71,503 | 176,588 | 164,715 | 153,368 |
Assumed Earned | 9,222 | 23,313 | 21,121 | 19,844 |
Ceded Earned | -88 | -201 | -192 | -171 |
Earned total | $80,637 | $199,700 | $185,644 | $173,041 |
Reinsurance_Additional_Informa
Reinsurance - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Insurance [Abstract] | ' | ' | ' | ' |
Percentage of quota-share reinsurance | ' | 100.00% | ' | ' |
Percentages of premiums | 11.00% | 12.00% | 11.00% | 11.00% |
Unsecured aggregate reinsurance receivables | ' | $0.30 | ' | ' |
Reinsurance_Ceded_Premiums_Ear
Reinsurance - Ceded Premiums Earned and Reinsurance Recoveries on Losses and Loss Adjustment Expenses (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Insurance [Abstract] | ' | ' | ' | ' |
Ceded premiums earned | $88 | $201 | $192 | $171 |
Reinsurance recoveries on losses and loss adjustment expenses | ' | $285 | $163 | ' |
StockBased_Compensation_Plans_1
Stock-Based Compensation Plans - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 | Jun. 30, 2013 | |
Employee | Executive Officer One [Member] | Executive Officer Two [Member] | Stock Options [Member] | Stock Options [Member] | Stock Options [Member] | Stock Options [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | Employee Stock Purchase Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remaining available shares for issuance under the plan | ' | ' | 6,140,307 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Option Awards expiry range | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vest in designated installments over | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Option Awards to purchase shares of the company's common stock | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Option Awards granted | ' | ' | ' | 825,000 | ' | ' | 750,000 | 75,000 | 0 | 0 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise price per share | ' | ' | ' | $1.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting percent of shares | ' | ' | ' | ' | ' | ' | 40.00% | 20.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remainder vesting in equal installments | ' | ' | ' | ' | ' | ' | '3 years | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Option Awards expiration date | ' | ' | ' | 31-Jan-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation expense related to Stock Option | ' | ' | ' | $500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation expense related to Stock Option amortized | ' | ' | ' | 300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remaining Compensation expense amortized through January 2016 | ' | ' | ' | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of Stock Option Awards with expected volatility | ' | ' | ' | 73.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate | ' | ' | ' | 0.71% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Dividend yield rate | ' | ' | ' | 0.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected term | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Value of options granted per share | ' | ' | ' | $0.63 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate, duration | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average remaining contractual life of options outstanding | ' | ' | '4 years 2 months 12 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercisable/vested | ' | ' | '4 years 1 month 6 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares vested | ' | ' | 71,286 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted Stock Awards granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | 0 | ' | ' | ' | ' | ' |
Aggregate fair values of Restricted Stock Awards vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 44,000 | 100,000 | 100,000 | 800,000 | ' | ' | ' | ' | ' |
Expected amortization period | ' | ' | 'Through November 2014 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected future compensation expense related to issuance of Restricted Stock Awards | ' | ' | 51,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of authorize payroll deductions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | ' | ' | 15.00% |
Maximum Amount of outstanding stock to be subscribed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25,000 | ' | ' | ' |
Company reserved shares of common stock for issuance under the ESPP | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400,000 | ' | ' | ' |
Employees purchase shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 18,000 | 35,000 | 40,000 | 32,000 | ' |
Compensation expense to purchase shares under the ESPP | $171,000 | $365,000 | $243,000 | $604,000 | $804,000 | $998,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2,000 | $7,000 | $11,000 | $8,000 | ' |
Shares remain available for issuance under the ESPP | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 118,269 | ' | ' | ' |
StockBased_Compensation_Plans_2
Stock-Based Compensation Plans - Summary of the Activity for the Company's Stock Option Awards (Detail) (USD $) | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 | Dec. 31, 2011 | Dec. 31, 2012 | Dec. 31, 2013 | Jun. 30, 2010 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Minimum [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding, Options, Beginning Balance | 4,500,000 | 1,595,000 | 4,500,000 | 4,561,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, Options | ' | ' | 825,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1.45 | ' |
Granted, Weighted Average Exercise Price | ' | ' | $1.45 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Granted, Aggregate Intrinsic Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited, Options | ' | -358,000 | -3,730,000 | -61,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding, Options, Ending Balance | 4,500,000 | 1,237,000 | 1,595,000 | 4,500,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Options Outstanding, Exercise Price, Beginning Balance | ' | ' | ' | ' | $3 | $3 | $1.45 | $3 | $8.13 | $8.13 | $8.13 | $8.13 |
Options exercisable/vested at December 31, 2013 | ' | 892,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited, Exercise Price | ' | ' | ' | ' | ' | $3 | ' | ' | ' | $3.04 | $3.04 | $3.04 |
Options Outstanding, Exercise Price, Ending Balance | ' | ' | ' | ' | $3 | $1.45 | $1.45 | $3 | $8.13 | $8.13 | $8.13 | $8.13 |
Options outstanding, Weighted Average Exercise Price, Beginning Balance | $3.06 | $2.38 | $3.06 | $3.06 | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited, Weighted Average Exercise Price | ' | $3.04 | $3 | $3.04 | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding, Weighted Average Exercise Price, Ending Balance | $3.06 | $2.19 | $2.38 | $3.06 | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding, Aggregate Intrinsic Value, Beginning Balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options exercisable/vested at December 31, 2013, Weighted Average Exercise Price | ' | $2.47 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Forfeited, Aggregate Intrinsic Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding, Aggregate Intrinsic Value, Ending balance | ' | 677 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options exercisable/vested at December 31, 2012, Aggregate Intrinsic Value | ' | $394 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
StockBased_Compensation_Plans_3
Stock-Based Compensation Plans - Summary of the Activity for the Company's Restricted Stock Awards (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Weighted Average Grant Date Fair Value, Beginning Balance | $2.30 | $2.35 | $2.36 | $2.48 |
Weighted Average Grant Date Fair Value, Vested | $2.13 | $2.38 | $2.36 | $2.60 |
Weighted Average Grant Date Fair Value, Forfeited | $2.20 | $2.36 | $2.50 | $2.51 |
Weighted Average Grant Date Fair Value, Ending Balance | $2.36 | $2.29 | $2.35 | $2.30 |
Restricted Stock Units (RSUs) [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Restricted Stock Awards outstanding, Beginning Balance | 136 | 60 | 95 | 472 |
Vested | -21 | -29 | -34 | -307 |
Forfeited | -20 | -14 | -1 | -29 |
Restricted Stock Awards outstanding, Ending Balance | 95 | 17 | 60 | 136 |
Employee_Benefit_Plan_Addition
Employee Benefit Plan - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Schedule Of Sale Of Subsidiary [Abstract] | ' | ' | ' | ' |
Defined contribution plan employer matching contribution percent for three percent of employee contribution | ' | 100.00% | ' | ' |
Initial employee salary percentage with full employer contribution | ' | 3.00% | ' | ' |
Defined contribution plan employer matching contribution percent for two percent of employee contribution | ' | 50.00% | ' | ' |
Additional employee salary percentage with partly employer contribution | ' | 2.00% | ' | ' |
Company's contributions to Plan | $0.30 | $0.60 | $0.60 | $0.60 |
Property_and_Equipment_Compone
Property and Equipment - Components of Property and Equipment (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | $15,163 | $14,316 |
Less: Accumulated depreciation | -11,651 | -9,660 |
Property and equipment, net | 3,512 | 4,656 |
Furniture and Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 9,736 | 9,008 |
Leasehold Improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 4,999 | 4,880 |
Capitalized Leases [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 238 | 238 |
Aircraft [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | $190 | $190 |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||||
Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 | |
Property Plant And Equipment Useful Life And Values [Abstract] | ' | ' | ' | ' | ' | ' |
Depreciation and amortization expense | $751,000 | $941,000 | $2,053,000 | $2,203,000 | $1,415,000 | $1,605,000 |
Capitalized assets | ' | ' | $100,000 | ' | ' | ' |
Lease_Commitments_Additional_I
Lease Commitments - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Leases [Abstract] | ' | ' | ' | ' |
Rental expense | $4.80 | $9.20 | $9.50 | $9.90 |
Lease_Commitments_Summary_of_F
Lease Commitments - Summary of Future Minimum Lease Payments (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Leases [Abstract] | ' |
2014 | $6,915 |
2015 | 5,051 |
2016 | 2,447 |
2017 | 692 |
2018 | 299 |
Thereafter | 576 |
Total | $15,980 |
Losses_and_Loss_Adjustment_Exp2
Losses and Loss Adjustment Expenses Incurred and Paid - Information Regarding the Reserve for Unpaid Losses and LAE (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Insurance [Abstract] | ' | ' | ' | ' |
Liability for unpaid losses and LAE at beginning of period, gross | $68,424 | $79,260 | $69,436 | $73,198 |
Reinsurance balances receivable, beginning balance | -133 | -260 | -187 | -46 |
Liability for unpaid losses and LAE at beginning of period, net | 68,291 | 79,000 | 69,249 | 73,152 |
Add: Provision for losses and LAE: | ' | ' | ' | ' |
Current period | 60,162 | 145,877 | 144,207 | 130,888 |
Prior periods | 5,591 | -3,038 | 4,016 | -1,721 |
Net losses and LAE incurred | 65,753 | 142,839 | 148,223 | 129,167 |
Less: Losses and LAE paid: | ' | ' | ' | ' |
Current period | 32,022 | 88,726 | 89,157 | 84,736 |
Prior periods | 32,773 | 49,132 | 49,315 | 49,292 |
Net losses and LAE paid | 64,795 | 137,858 | 138,472 | 134,028 |
Liability for unpaid losses and LAE at end of period, net | 69,249 | 83,981 | 79,000 | 68,291 |
Reinsurance balances receivable, ending balance | 187 | 305 | 260 | 133 |
Liability for unpaid losses and LAE at end of period, gross | $69,436 | $84,286 | $79,260 | $68,424 |
Losses_and_Loss_Adjustment_Exp3
Losses and Loss Adjustment Expenses Incurred and Paid - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Insurance [Abstract] | ' | ' | ' | ' |
Unpaid losses and loss adjustment expenses | $5,591 | ($3,038) | $4,016 | ($1,721) |
Debentures_Payable_Additional_
Debentures Payable - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Jul. 30, 2012 |
Debt Instrument [Line Items] | ' | ' |
Preferred stock shares issued by unconsolidated trust | 40,000 | ' |
Common stock shares issued by unconsolidated trust | 1,240 | ' |
Price of preferred and common shares issued by unconsolidated trust | 1,000 | ' |
Proceeds to unconsolidated trust from issuance of junior subordinated debenture sale of preferred stock shares | 41.2 | ' |
Maturity date | 30-Jul-37 | ' |
Interest rate | 3.99% | ' |
Period for deferral of preferred securities dividend | '5 years | ' |
Unamortized debt discount | 0.9 | ' |
Junior Subordinated Debentures [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debentures paid fixed rate | ' | 9.28% |
Variable rate | 'Three-Month LIBOR plus 375 basis points | ' |
Variable rate basis point | 3.75% | ' |
Income_Taxes_Provision_Benefit
Income Taxes - Provision (Benefit) for Income Taxes (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 |
Federal: | ' | ' | ' | ' | ' | ' |
Current | ' | ' | $175 | ' | ' | ' |
Deferred | ' | ' | -4 | ' | ' | ' |
Gross Federal | ' | ' | 171 | ' | ' | ' |
State: | ' | ' | ' | ' | ' | ' |
Current | 146 | ' | 476 | -8 | ' | 296 |
Deferred | 2 | ' | 3 | 3 | ' | -98 |
Gross State | 148 | ' | 479 | -5 | ' | 198 |
Income tax expense (benefit) | $148 | $241 | $650 | ($5) | $105 | $198 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 | |
Income Taxes [Line Items] | ' | ' | ' | ' |
Statutory federal corporate tax rate | ' | 35.00% | ' | ' |
Valuation allowance | ' | $24,224,000 | $28,413,000 | ' |
Change in the total valuation allowance | 5,100,000 | 4,200,000 | 1,200,000 | 5,200,000 |
Change in the valuation allowance included change in unrealized change in investments | 300,000 | 1,900,000 | ' | 300,000 |
Utilization of operating loss carry forwards | ' | 8,600,000 | ' | ' |
Changes in calculation allowance of income tax | ' | ' | 500,000 | ' |
Deferred state income taxes | 700,000 | ' | ' | 800,000 |
Alternative Minimum Tax Credits [Member] | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' |
AMT credit carryforwards | ' | 1,800,000 | ' | ' |
State and Local Jurisdiction [Member] | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' |
Gross Federal NOL carryforwards | ' | 7,800,000 | ' | ' |
NOL carryforwards expire date | ' | '2020 | ' | ' |
Domestic Country [Member] | Maximum [Member] | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' |
Gross Federal NOL carryforwards | ' | $28,400,000 | ' | ' |
NOL carryforwards expire date | ' | '2032 | ' | ' |
Domestic Country [Member] | Minimum [Member] | ' | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' | ' |
NOL carryforwards expire date | ' | '2029 | ' | ' |
Income_Taxes_Provision_Benefit1
Income Taxes - Provision (Benefit) for Income Taxes Differs from Amounts Computed by Applying Statutory Federal Corporate Tax Rate (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' | ' |
Provision (benefit) for income taxes at statutory rate | ($10,251) | ' | $3,440 | ($3,166) | ' | ($19,804) |
Tax effect of: | ' | ' | ' | ' | ' | ' |
Tax-exempt investment income | -2 | ' | -27 | -18 | ' | -15 |
Change in the beginning of the period balance of the valuation allowance for deferred tax assets allocated to federal income taxes | 4,670 | ' | -4,277 | 580 | ' | 4,761 |
Net operating loss carryforward expirations | ' | ' | ' | 1 | ' | 735 |
Goodwill and identifiable intangible assets | 5,545 | ' | ' | ' | ' | 14,084 |
Stock-based compensation | 30 | ' | 1,133 | 2,552 | ' | 248 |
State income taxes, net of federal income tax benefit and valuation allowance | 148 | ' | 479 | -5 | ' | 198 |
Other | 8 | ' | -98 | 51 | ' | -9 |
Income tax expense (benefit) | $148 | $241 | $650 | ($5) | $105 | $198 |
Income_Taxes_Summary_of_Net_De
Income Taxes - Summary of Net Deferred Tax Assets and Liabilities (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ' | ' |
Net operating loss carryforwards | $9,949 | $13,091 |
Stock option compensation | 516 | 1,704 |
Unearned premiums and loss and loss adjustment expense reserves | 4,898 | 4,980 |
Goodwill and identifiable intangible assets | 6,311 | 7,341 |
Alternative minimum tax ("AMT") credit carryforwards | 1,784 | 1,612 |
Accrued expenses and other nondeductible items | 1,182 | 495 |
Other | 1,875 | 3,456 |
Deferred Tax Assets, Gross, Total | 26,515 | 32,679 |
Deferred tax liabilities: | ' | ' |
Deferred acquisition costs | -1,016 | -1,127 |
Identifiable intangible assets | -1,872 | -1,872 |
Net unrealized change on investments | -1,181 | -3,046 |
Other | ' | ' |
Deferred tax liabilities, gross | -4,069 | -6,045 |
Total net deferred tax asset | 22,446 | 26,634 |
Less: Valuation allowance | -24,224 | -28,413 |
Net deferred tax liability | ($1,778) | ($1,779) |
Net_Income_Loss_Per_Share_Comp
Net Income (Loss) Per Share - Computation of Basic and Diluted Net Income (Loss) Per Share (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 |
Earnings Per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income (loss) | $3,158 | $1,932 | $2,066 | $2,024 | $96 | $3,279 | ($4,208) | ($8,207) | ($29,437) | ($1,698) | $9,180 | ($9,040) | ($84,519) | ($56,780) |
Weighted average common basic shares | ' | ' | ' | ' | ' | ' | ' | ' | 47,707 | ' | 40,930 | 40,861 | ' | 48,171 |
Effect of dilutive securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 162 | ' | ' | ' |
Weighted average common dilutive shares | ' | ' | ' | ' | ' | ' | ' | ' | 47,707 | ' | 41,092 | 40,861 | ' | 48,171 |
Basic net income (loss) per share | ' | ' | ' | ' | ' | ' | ' | ' | ($0.62) | ' | $0.22 | ($0.22) | ' | ($1.18) |
Diluted net income (loss) per share | ' | ' | ' | ' | ' | ' | ' | ' | ($0.62) | ' | $0.22 | ($0.22) | ' | ($1.18) |
Net_Income_Loss_Per_Share_Addi
Net Income (Loss) Per Share - Additional Information (Detail) | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 | Jun. 30, 2010 | |
Components Of Income Before Taxes [Line Items] | ' | ' | ' | ' | ' |
Shares included in computation of diluted income per share | ' | 145,000 | ' | ' | ' |
Outstanding options to purchase | 4,500,000 | 1,237,000 | 1,595,000 | 4,500,000 | 4,561,000 |
Unvested restricted common stock yet not included | 100,000 | ' | 100,000 | 100,000 | ' |
Options to purchase yet not included | 4,500,000 | ' | 1,600,000 | 4,500,000 | ' |
Restricted Stock [Member] | ' | ' | ' | ' | ' |
Components Of Income Before Taxes [Line Items] | ' | ' | ' | ' | ' |
Shares included in computation of diluted income per share | ' | 17,000 | ' | ' | ' |
Concentrations_of_Credit_Risk_
Concentrations of Credit Risk - Additional Information (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Risks And Uncertainties [Abstract] | ' |
Cash and cash equivalents | $72 |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Detail) (USD $) | 0 Months Ended | 6 Months Ended | 0 Months Ended |
In Millions, except Share data, unless otherwise specified | Dec. 23, 2011 | Dec. 31, 2011 | Dec. 23, 2011 |
Former Executive Officers [Member] | Former Chief Executive Officer [Member] | ||
Related Party Transaction [Line Items] | ' | ' | ' |
Stock repurchased from former executives and retired during period shares | ' | 481,205 | ' |
Aggregate Price of stock repurchased from former executives and retired during the period | ' | $0.80 | ' |
Shares repurchased from former CEO and retired during the period | ' | ' | 7,049,515 |
Aggregate Price of stock repurchased from former CEO and retired during the period | ' | ' | $10.20 |
Stock repurchased from former executives and retired during period per share | $1.45 | ' | ' |
Severance_Additional_Informati
Severance - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2011 |
Restructuring And Related Activities [Abstract] | ' |
Charges for severance for former employees | $1.70 |
Severance charges related to accrued severance and benefits | 1.3 |
Non-cash charges related to the vesting of certain unvested stock options and restricted common stock | $0.40 |
Segment_Information_Additional
Segment Information - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Segment | |
Segment Reporting [Abstract] | ' |
Number of business segments | 2 |
Segment_Information_Selected_F
Segment Information - Selected Financial Data by Business Segment (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 |
Selected financial data by business segment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues: | $59,152 | $59,578 | $62,493 | $59,289 | $55,079 | $59,568 | $57,945 | $55,467 | $99,104 | $104,800 | $240,512 | $228,059 | $205,038 | $210,734 |
Income (loss) before income taxes: | 3,363 | 2,096 | 2,254 | 2,117 | 175 | 3,378 | -4,470 | -8,128 | -29,289 | -1,457 | 9,830 | -9,045 | -84,414 | -56,582 |
Total assets: | 273,707 | ' | ' | ' | 262,303 | ' | ' | ' | ' | ' | 273,707 | 262,303 | ' | ' |
Insurance [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Selected financial data by business segment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' | ' | ' | ' | 99,039 | ' | 240,460 | 227,966 | ' | 210,618 |
Income (loss) before income taxes: | ' | ' | ' | ' | ' | ' | ' | ' | -26,711 | ' | 12,748 | -4,588 | ' | -50,407 |
Total assets: | 262,869 | ' | ' | ' | 256,670 | ' | ' | ' | ' | ' | 262,869 | 256,670 | ' | ' |
Real Estate and Corporate [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Selected financial data by business segment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' | ' | ' | ' | 65 | ' | 52 | 93 | ' | 116 |
Income (loss) before income taxes: | ' | ' | ' | ' | ' | ' | ' | ' | -2,578 | ' | -2,918 | -4,457 | ' | -6,175 |
Total assets: | $10,838 | ' | ' | ' | $5,633 | ' | ' | ' | ' | ' | $10,838 | $5,633 | ' | ' |
Statutory_Financial_Informatio1
Statutory Financial Information and Accounting Policies - Additional Information (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2011 |
Insurance [Abstract] | ' | ' | ' | ' |
Capital and surplus of the Insurance Companies | ' | $95 | $89.60 | ' |
Statutory net income (loss) of the Insurance Companies | -9 | 4.2 | -12.7 | -5.9 |
Maximum dividends to be paid as a percentage of statutory capital and surplus without the prior approval of the Texas insurance commissioner | ' | 10.00% | ' | ' |
Ordinary dividends received | ' | $0.90 | ' | ' |
Selected_Quarterly_Financial_D2
Selected Quarterly Financial Data (Unaudited) - Selected Quarterly Financial Data (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenues | $59,152 | $59,578 | $62,493 | $59,289 | $55,079 | $59,568 | $57,945 | $55,467 | $99,104 | $104,800 | $240,512 | $228,059 | $205,038 | $210,734 |
Income (Loss) before Income Taxes | 3,363 | 2,096 | 2,254 | 2,117 | 175 | 3,378 | -4,470 | -8,128 | -29,289 | -1,457 | 9,830 | -9,045 | -84,414 | -56,582 |
Net income (loss) | $3,158 | $1,932 | $2,066 | $2,024 | $96 | $3,279 | ($4,208) | ($8,207) | ($29,437) | ($1,698) | $9,180 | ($9,040) | ($84,519) | ($56,780) |
Basic and Diluted Net Income (Loss) per Share | $0.07 | $0.05 | $0.05 | $0.05 | $0 | $0.08 | ($0.10) | ($0.20) | ($0.62) | ($0.04) | ' | ($0.22) | ($1.76) | ' |
Selected_Quarterly_Financial_D3
Selected Quarterly Financial Data (Unaudited) - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2011 | |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income before income taxes | $3,363,000 | $2,096,000 | $2,254,000 | $2,117,000 | $175,000 | $3,378,000 | ($4,470,000) | ($8,128,000) | ($29,289,000) | ($1,457,000) | $9,830,000 | ($9,045,000) | ($84,414,000) | ($56,582,000) |
Prior period losses and LAE paid in current period | $2,600,000 | ' | ' | ' | $4,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |