Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2016 | Oct. 26, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | AMSF | |
Entity Registrant Name | AMERISAFE INC | |
Entity Central Index Key | 1,018,979 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 19,230,135 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Investments: | ||
Fixed maturity securities—held-to-maturity, at amortized cost (fair value $620,781 and $662,276 in 2016 and 2015, respectively) | $ 601,314 | $ 645,164 |
Fixed maturity securities—available-for-sale, at fair value (cost $460,497 and $376,109 in 2016 and 2015, respectively) | 470,620 | 380,022 |
Equity securities—available-for-sale, at fair value (cost $0, in 2016 and 2015) | 32 | 31 |
Short-term investments | 11,494 | 7,718 |
Other investments | 12,174 | 12,217 |
Total investments | 1,095,634 | 1,045,152 |
Cash and cash equivalents | 86,612 | 69,481 |
Amounts recoverable from reinsurers | 102,815 | 91,077 |
Premiums receivable, net of allowance | 200,987 | 185,364 |
Deferred income taxes | 28,278 | 29,905 |
Accrued interest receivable | 11,948 | 11,685 |
Property and equipment, net | 6,387 | 6,181 |
Deferred policy acquisition costs | 20,363 | 20,412 |
Other assets | 47,154 | 42,788 |
Total assets | 1,600,178 | 1,502,045 |
Liabilities: | ||
Reserves for loss and loss adjustment expenses | 736,276 | 718,033 |
Unearned premiums | 175,773 | 167,983 |
Reinsurance premiums payable | 154 | |
Amounts held for others | 55,946 | 49,790 |
Policyholder deposits | 48,781 | 48,380 |
Insurance-related assessments | 35,875 | 32,329 |
Federal income tax payable | 2,810 | 911 |
Accounts payable and other liabilities | 32,905 | 30,484 |
Payable for investments purchased | 2,069 | |
Total liabilities | 1,090,435 | 1,048,064 |
Shareholders' equity: | ||
Voting—$0.01 par value authorized shares—50,000,000 in 2016 and 2015; 20,488,385 and 20,388,396 shares issued and 19,230,135 and 19,130,146 shares outstanding in 2016 and 2015, respectively | 204 | 203 |
Additional paid-in capital | 208,009 | 204,688 |
Treasury stock at cost (1,258,250 shares in 2016 and 2015) | (22,370) | (22,370) |
Accumulated earnings | 317,304 | 268,873 |
Accumulated other comprehensive income, net | 6,596 | 2,587 |
Total shareholders’ equity | 509,743 | 453,981 |
Total liabilities and shareholders’ equity | $ 1,600,178 | $ 1,502,045 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Statement Of Financial Position [Abstract] | ||
Fixed maturity securities, fair value | $ 620,781 | $ 662,276 |
Fixed maturity securities, cost | 460,497 | 376,109 |
Equity securities, cost | $ 0 | $ 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares issued | 20,488,385 | 20,388,396 |
Common stock, shares outstanding | 19,230,135 | 19,130,146 |
Treasury stock, shares | 1,258,250 | 1,258,250 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Revenues | ||||
Gross premiums written | $ 88,837 | $ 91,061 | $ 292,443 | $ 297,872 |
Ceded premiums written | (2,945) | (4,232) | (8,046) | (9,317) |
Net premiums written | 85,892 | 86,829 | 284,397 | 288,555 |
Net premiums earned | 89,918 | 90,504 | 276,607 | 280,860 |
Net investment income | 8,006 | 6,923 | 20,251 | 20,646 |
Net realized gains (losses) on investments | 181 | 40 | 974 | (2,518) |
Fee and other income | 101 | 3 | 272 | 206 |
Total revenues | 98,206 | 97,470 | 298,104 | 299,194 |
Expenses | ||||
Loss and loss adjustment expenses incurred | 50,526 | 48,942 | 146,413 | 166,252 |
Underwriting and certain other operating costs | 8,104 | 9,293 | 25,325 | 26,043 |
Commissions | 6,362 | 6,696 | 19,731 | 20,606 |
Salaries and benefits | 6,298 | 6,278 | 18,403 | 18,070 |
Policyholder dividends | 889 | 371 | 3,195 | 1,024 |
Total expenses | 72,179 | 71,580 | 213,067 | 231,995 |
Income before income taxes | 26,027 | 25,890 | 85,037 | 67,199 |
Income tax expense | 8,131 | 7,950 | 26,245 | 19,810 |
Net income | 17,896 | 17,940 | 58,792 | 47,389 |
Net income available to common shareholders | $ 17,896 | $ 17,940 | $ 58,792 | $ 47,389 |
Earnings per share | ||||
Basic | $ 0.94 | $ 0.95 | $ 3.08 | $ 2.51 |
Diluted | $ 0.93 | $ 0.94 | $ 3.06 | $ 2.48 |
Shares used in computing earnings per share | ||||
Basic | 19,121,947 | 18,968,718 | 19,092,298 | 18,911,675 |
Diluted | 19,190,191 | 19,096,259 | 19,186,398 | 19,088,140 |
Cash dividends declared per common share | $ 0.18 | $ 0.15 | $ 0.54 | $ 0.45 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 17,896 | $ 17,940 | $ 58,792 | $ 47,389 |
Other comprehensive income: | ||||
Unrealized gain (loss) on securities, net of tax | (1,713) | 1,308 | 4,009 | 550 |
Comprehensive income | $ 16,183 | $ 19,248 | $ 62,801 | $ 47,939 |
Condensed Consolidated Stateme6
Condensed Consolidated Statement of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-In Capital [Member] | Accumulated Earnings [Member] | Accumulated Other Comprehensive Income [Member] |
Beginning Balance at Dec. 31, 2014 | $ 2,810 | |||||
Comprehensive income | $ 47,939 | |||||
Common stock issued upon exercise of options, Shares | 156,850 | |||||
Ending Balance at Sep. 30, 2015 | 3,360 | |||||
Beginning Balance at Jun. 30, 2015 | 2,052 | |||||
Comprehensive income | $ 19,248 | |||||
Ending Balance at Sep. 30, 2015 | 3,360 | |||||
Beginning Balance at Dec. 31, 2015 | $ 453,981 | $ 203 | $ (22,370) | $ 204,688 | $ 268,873 | 2,587 |
Beginning Balance, Shares at Dec. 31, 2015 | 20,388,396 | 20,388,396 | ||||
Treasury Stock Beginning Balance, Shares at Dec. 31, 2015 | (1,258,250) | (1,258,250) | ||||
Comprehensive income | $ 62,801 | 58,792 | 4,009 | |||
Common stock issued upon exercise of options | $ 837 | $ 1 | 836 | |||
Common stock issued upon exercise of options, Shares | 68,879 | 68,879 | ||||
Tax benefit from share-based payments | $ 976 | 976 | ||||
Restricted common stock issued | 603 | 603 | ||||
Restricted common stock issued, Shares | 31,110 | |||||
Share-based compensation | 906 | 906 | ||||
Dividends to shareholders | (10,361) | (10,361) | ||||
Ending Balance at Sep. 30, 2016 | $ 509,743 | $ 204 | $ (22,370) | 208,009 | 317,304 | 6,596 |
Ending Balance, Shares at Sep. 30, 2016 | 20,488,385 | 20,488,385 | ||||
Treasury Stock Ending Balance, Shares at Sep. 30, 2016 | (1,258,250) | (1,258,250) | ||||
Beginning Balance at Jun. 30, 2016 | 8,309 | |||||
Comprehensive income | $ 16,183 | |||||
Ending Balance at Sep. 30, 2016 | $ 509,743 | $ 204 | $ (22,370) | $ 208,009 | $ 317,304 | $ 6,596 |
Ending Balance, Shares at Sep. 30, 2016 | 20,488,385 | 20,488,385 | ||||
Treasury Stock Ending Balance, Shares at Sep. 30, 2016 | (1,258,250) | (1,258,250) |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Operating activities | ||
Net income | $ 58,792 | $ 47,389 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 884 | 1,030 |
Net amortization of investments | 12,306 | 12,295 |
Deferred income taxes | (532) | (752) |
Net realized (gains) losses on investments | (959) | 2,518 |
Net realized losses on disposal of assets | 1 | 24 |
Share-based compensation | 1,143 | 691 |
Changes in operating assets and liabilities: | ||
Premiums receivable, net | (15,623) | (15,169) |
Accrued interest receivable | (263) | (571) |
Deferred policy acquisition costs | 49 | (1,440) |
Amounts held by others | 1,016 | (27,847) |
Other assets | (2,929) | (1,712) |
Reserves for loss and loss adjustment expenses | 18,243 | 33,108 |
Unearned premiums | 7,790 | 7,694 |
Reinsurance balances | (11,892) | (5,773) |
Amounts held for others and policyholder deposits | 6,557 | 5,682 |
Accounts payable and other liabilities | 8,285 | 5,555 |
Net cash provided by operating activities | 82,868 | 62,722 |
Investing activities | ||
Purchases of investments held-to-maturity | (102,830) | (145,771) |
Purchases of investments available-for-sale | (161,482) | (114,406) |
Purchases of short-term investments | (12,132) | (7,000) |
Proceeds from maturities of investments held-to-maturity | 136,896 | 115,656 |
Proceeds from sales and maturities of investments available-for-sale | 75,470 | 70,652 |
Proceeds from sales and maturities of short-term investments | 8,033 | 33,341 |
Purchases of property and equipment | (1,091) | (759) |
Net cash used in investing activities | (57,136) | (48,287) |
Financing activities | ||
Proceeds from stock option exercises | 837 | 1,277 |
Tax benefit from share-based payments | 976 | 1,795 |
Dividends to shareholders | (10,414) | (8,564) |
Net cash used in financing activities | (8,601) | (5,492) |
Change in cash and cash equivalents | 17,131 | 8,943 |
Cash and cash equivalents at beginning of period | 69,481 | 90,956 |
Cash and cash equivalents at end of period | $ 86,612 | $ 99,899 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2016 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | Note 1. Basis of Presentation AMERISAFE, Inc. (the “Company”) is an insurance holding company incorporated in the state of Texas. The accompanying unaudited condensed consolidated financial statements include the accounts of AMERISAFE and its subsidiaries: American Interstate Insurance Company (“AIIC”) and its insurance subsidiaries, Silver Oak Casualty, Inc. (“SOCI”) and American Interstate Insurance Company of Texas (“AIICTX”), Amerisafe Risk Services, Inc. (“RISK”) and Amerisafe General Agency, Inc. (“AGAI”). AIIC and SOCI are property and casualty insurance companies organized under the laws of the state of Nebraska. AIICTX is a property and casualty insurance company organized under the laws of the state of Texas. RISK, a wholly owned subsidiary of the Company, is a claims and safety service company currently servicing only affiliated insurance companies. AGAI, a wholly owned subsidiary of the Company, is a general agent for the Company. AGAI sells insurance, which is underwritten by AIIC, SOCI and AIICTX, as well as by nonaffiliated insurance carriers. The assets and operations of AGAI are not significant to that of the Company and its consolidated subsidiaries. The terms “AMERISAFE,” the “Company,” “we,” “us” or “our” refer to AMERISAFE, Inc. and its consolidated subsidiaries, as the context requires. The Company provides workers’ compensation insurance for small to mid-sized employers engaged in hazardous industries, principally construction, trucking, manufacturing, agriculture and oil and gas. Assets and revenues of AIIC represent at least 95% of comparable consolidated amounts of the Company for each of 2016 and 2015. In the opinion of management of the Company, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting of normal recurring accruals) necessary to present fairly the financial position, the results of operations and cash flows for the periods presented. The unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q under the Securities Exchange Act of 1934 and therefore do not include all information and footnotes to be in conformity with accounting principles generally accepted in the United States (“GAAP”). The results for the interim periods are not necessarily indicative of the results of operations that may be expected for the year. The unaudited condensed consolidated financial statements contained herein should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2015. The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. In May 2015, the FASB issued Accounting Standards Update No. 2015-07, Fair Value Measurements (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) Certain prior year amounts have been reclassified to conform with the current year presentation. |
Stock Options and Restricted St
Stock Options and Restricted Stock | 9 Months Ended |
Sep. 30, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Options and Restricted Stock | Note 2. Stock Options and Restricted Stock As of September 30, 2016, the Company has three equity incentive plans: the AMERISAFE 2005 Equity Incentive Plan (the “2005 Incentive Plan”), the AMERISAFE 2010 Non-Employee Director Restricted Stock Plan (the “2010 Restricted Stock Plan”) and the AMERISAFE 2012 Equity and Incentive Compensation Plan (the “2012 Incentive Plan”). The 2005 Incentive Plan expired on October 27, 2015. No grants will be made under the 2005 Incentive Plan after October 27, 2015 but all grants made on or prior to such date will continue in effect thereafter subject to the terms and conditions of the 2005 Incentive Plan. See Note 12 to our consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2015 for additional information regarding the Company’s incentive plans. During the nine months ended September 30, 2016, the Company granted 27,077 and 5,952 shares of restricted common stock to executive officers and non-employee directors, respectively. The market value of the restricted shares granted totaled $1.9 million. During the nine months ended September 30, 2015, the Company granted 50,461 and 7,112 shares of restricted common stock to executive officers and non-employee directors, respectively. The market value of the restricted shares granted totaled $2.6 million. During the nine months ended September 30, 2016, options to purchase 68,879 shares of common stock were exercised. During the nine months ended September 30, 2015, options to purchase 156,850 shares of common stock were exercised. In connection with these exercises, the Company received $0.8 million and $1.3 million of stock option proceeds, respectively. The Company recognized share-based compensation expense of $0.4 million in the quarter ended September 30, 2016 compared to $0.3 for the same period of 2015. The Company recognized share-based compensation expense of $1.1 million in the nine months ended September 30, 2016 and $0.7 million for the same period of 2015. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 3. Earnings Per Share The Company computes earnings per share (“EPS”) in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 260, Earnings Per Share Basic EPS is calculated by dividing income available to common shareholders by the weighted-average number of common shares outstanding during the period. The diluted EPS calculation includes potential common shares assumed issued under the treasury stock method, which reflects the potential dilution that would occur if any outstanding options or warrants were exercised or restricted stock becomes vested, and includes the “if converted” method for participating securities if the effect is dilutive. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands, except share and per share amounts) Basic EPS Net income available to common shareholders - basic $ 17,896 $ 17,940 $ 58,792 $ 47,389 Basic weighted average common shares 19,121,947 18,968,718 19,092,298 18,911,675 Basic earnings per common share $ 0.94 $ 0.95 $ 3.08 $ 2.51 Diluted EPS Net income available to common shareholders - diluted $ 17,896 $ 17,940 $ 58,792 $ 47,389 Diluted weighted average common shares: Weighted average common shares 19,121,947 18,968,718 19,092,298 18,911,675 Stock options and performance shares 68,244 127,541 94,100 176,465 Diluted weighted average common shares 19,190,191 19,096,259 19,186,398 19,088,140 Diluted earnings per common share $ 0.93 $ 0.94 $ 3.06 $ 2.48 |
Investments
Investments | 9 Months Ended |
Sep. 30, 2016 | |
Investments Debt And Equity Securities [Abstract] | |
Investments | Note 4. Investments The gross unrealized gains and losses on, and the amortized cost and fair value of, those investments classified as held-to-maturity at September 30, 2016 are summarized as follows: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) States and political subdivisions $ 418,155 $ 15,675 $ (96 ) $ 433,734 Corporate bonds 158,042 1,698 (81 ) 159,659 Commercial mortgage-backed securities 290 — — 290 U.S. agency-based mortgage-backed securities 10,943 1,193 — 12,136 U.S. Treasury securities and obligations of U.S. government agencies 11,863 986 (1 ) 12,848 Asset-backed securities 2,021 158 (65 ) 2,114 Totals $ 601,314 $ 19,710 $ (243 ) $ 620,781 The gross unrealized gains and losses on, and the cost or amortized cost and fair value of, those investments classified as available-for-sale at September 30, 2016 are summarized as follows: Cost or Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) Fixed maturity: States and political subdivisions $ 188,689 $ 8,450 $ (359 ) $ 196,780 Corporate bonds 197,167 2,259 (214 ) 199,212 U.S. agency-based mortgage-backed securities 12,026 51 (797 ) 11,280 U.S. Treasury securities and obligations of U.S. government agencies 62,615 821 (88 ) 63,348 Total fixed maturity 460,497 11,581 (1,458 ) 470,620 Other investments 10,000 2,174 — 12,174 Equity securities — 32 — 32 Totals $ 470,497 $ 13,787 $ (1,458 ) $ 482,826 The gross unrealized gains and losses on, and the amortized cost and fair value of, those investments classified as held-to-maturity at December 31, 2015 are summarized as follows: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) States and political subdivisions $ 408,447 $ 15,352 $ (45 ) $ 423,754 Corporate bonds 171,224 159 (810 ) 170,573 Commercial mortgage-backed securities 37,494 204 (15 ) 37,683 U.S. agency-based mortgage-backed securities 13,223 1,249 (1 ) 14,471 U.S. Treasury securities and obligations of U.S. government agencies 12,487 897 (4 ) 13,380 Asset-backed securities 2,289 202 (76 ) 2,415 Totals $ 645,164 $ 18,063 $ (951 ) $ 662,276 The gross unrealized gains and losses on, and the cost or amortized cost and fair value of, those investments classified as available-for-sale at December 31, 2015 are summarized as follows: Cost or Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) Fixed maturity: States and political subdivisions $ 164,684 $ 6,942 $ (207 ) $ 171,419 Corporate bonds 202,537 253 (1,486 ) 201,304 U.S. agency-based mortgage-backed securities 8,888 4 (1,593 ) 7,299 Total fixed maturity 376,109 7,199 (3,286 ) 380,022 Other investments 10,000 2,217 — 12,217 Equity securities — 31 — 31 Totals $ 386,109 $ 9,447 $ (3,286 ) $ 392,270 A summary of the amortized cost and fair value of investments in fixed maturity securities, classified as held-to-maturity at September 30, 2016, by contractual maturity, is as follows: Maturity Amortized Cost Fair Value (in thousands) Within one year $ 95,695 $ 96,339 After one year through five years 302,699 311,060 After five years through ten years 107,854 113,247 After ten years 81,812 85,595 U.S. agency-based mortgage-backed securities 290 290 Commercial mortgage-backed securities 10,943 12,136 Asset-backed securities 2,021 2,114 Totals $ 601,314 $ 620,781 A summary of the amortized cost and fair value of investments in fixed maturity securities, classified as available-for-sale at September 30, 2016, by contractual maturity, is as follows: Maturity Amortized Cost Fair Value (in thousands) Within one year $ 68,399 $ 68,884 After one year through five years 213,596 216,619 After five years through ten years 38,679 39,845 After ten years 127,797 133,992 U.S. agency-based mortgage-backed securities 12,026 11,280 Totals $ 460,497 $ 470,620 The following table summarizes the fair value and gross unrealized losses on securities, aggregated by major investment category and length of time that the individual securities have been in a continuous unrealized loss position: Less Than 12 Months 12 Months or Greater Total Fair Value of Investments with Unrealized Losses Gross Unrealized Losses Fair Value of Investments with Unrealized Losses Gross Unrealized Losses Fair Value of Investments with Unrealized Losses Gross Unrealized Losses (in thousands) September 30, 2016 Held-to-Maturity Fixed maturity securities: States and political subdivisions $ 23,075 $ 96 $ — $ — $ 23,075 $ 96 Corporate bonds 9,696 55 3,173 26 12,869 81 U.S. Treasury securities and obligations of U.S. government agencies 637 1 — — 637 1 Asset-backed securities — — 1,221 65 1,221 65 Total held-to-maturity securities 33,408 152 4,394 91 37,802 243 Available-for Sale Fixed maturity securities: States and political subdivisions $ 22,147 $ 328 $ 4,746 $ 31 $ 26,893 $ 359 Corporate bonds 7,673 9 7,900 205 15,573 214 U.S. agency-based mortgage-backed securities — — 6,930 797 6,930 797 U.S. Treasury securities and obligations of U.S. government agencies 3,266 88 — — 3,266 88 Total available-for-sale securities 33,086 425 19,576 1,033 52,662 1,458 Total $ 66,494 $ 577 $ 23,970 $ 1,124 $ 90,464 $ 1,701 Less Than 12 Months 12 Months or Greater Total Fair Value of Investments with Unrealized Losses Gross Unrealized Losses Fair Value of Investments with Unrealized Losses Gross Unrealized Losses Fair Value of Investments with Unrealized Losses Gross Unrealized Losses (in thousands) December 31, 2015 Held-to-Maturity Fixed maturity securities: States and political subdivisions $ 24,068 $ 45 $ — $ — $ 24,068 $ 45 Corporate bonds 128,436 687 18,139 123 146,575 810 Commercial mortgage-backed securities 9,784 15 — — 9,784 15 U.S. agency-based mortgage-backed securities 18 — 28 1 46 1 U.S. Treasury securities and obligations of U.S. government agencies 2,980 4 — — 2,980 4 Asset-backed securities — — 1,389 76 1,389 76 Total held-to-maturity securities 165,286 751 19,556 200 184,842 951 Available-for Sale Fixed maturity securities: States and political subdivisions $ 6,560 $ 9 $ 4,439 $ 198 $ 10,999 $ 207 Corporate bonds 141,857 1,475 4,216 11 146,073 1,486 U.S. agency-based mortgage-backed securities 434 37 6,794 1,556 7,228 1,593 Total available-for-sale securities 148,851 1,521 15,449 1,765 164,300 3,286 Total $ 314,137 $ 2,272 $ 35,005 $ 1,965 $ 349,142 $ 4,237 At September 30, 2016, the Company held 73 individual fixed maturity securities that were in an unrealized loss position, of which 19 individual fixed maturity securities were in a continuous unrealized loss position for longer than 12 months. The Company holds investments in a limited partnership hedge fund accounted for under the equity method. The carrying value of this investment is $12.2 million at September 30, 2016. Investment income is recognized as it is earned. The discount or premium on fixed maturity securities is amortized using the “constant yield” method. Anticipated prepayments, where applicable, are considered when determining the amortization of premiums or discounts. Realized investment gains and losses are determined using the specific identification method. We regularly review our investment portfolio to evaluate the necessity of recording impairment losses for other-than-temporary declines in the fair value of specific investments. We consider various factors in determining if a decline in the fair value of an individual security is other-than-temporary. The key factors we consider are: • any reduction or elimination of preferred dividends, or nonpayment of scheduled principal or interest payments; • the financial condition and near-term prospects of the issuer of the applicable security, including any specific events that may affect its operations or earnings; • how long and by how much the fair value of the security has been below its cost or amortized cost; • any downgrades of the security by a rating agency; • our intent not to sell the security for a sufficient time period for it to recover its value; • the likelihood of being forced to sell the security before the recovery of its value; and • an evaluation as to whether there are any credit losses on debt securities. We reviewed all securities with unrealized losses in accordance with the impairment policy described above. The Company determined that the unrealized losses in the fixed maturity securities portfolio related primarily to changes in market interest rates since the date of purchase, current conditions in the capital markets and the impact of those conditions on market liquidity and prices generally. We expect to recover the carrying value of these securities as it is not more likely than not that we will be required to sell the securities before the recovery of the amortized cost basis. During the nine months ended September 30, 2016, there were no impairment losses recognized for other-than-temporary declines in the fair value of our investments compared to $2.7 million for the same period in 2015. Net realized gains in the nine months ended September 30, 2016 were $1.0 million resulting from the sale of fixed maturity securities classified as available-for-sale. Net realized losses in the nine months ended September 30, 2015 were $2.5 million resulting from an impairment loss of $2.7 million recognized for the other-than-temporary decline in the fair value of four fixed maturity securities offset by $0.2 million in gains on called fixed maturity securities. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 5. Income Taxes In accordance with FASB ASC Topic 740, “Income Taxes,” we provide for the recognition and measurement of deferred income tax benefits based on the likelihood of their realization in future years. As of September 30, 2016, the Company had no material unrecognized tax benefits and no adjustments to liabilities or operations were required. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. There were no uncertain tax positions recognized for the periods ended September 30, 2016 and 2015. Tax years 2012 through 2015 are subject to examination by the federal and state taxing authorities. |
Comprehensive Income and Accumu
Comprehensive Income and Accumulated Other Comprehensive Income | 9 Months Ended |
Sep. 30, 2016 | |
Equity [Abstract] | |
Comprehensive Income and Accumulated Other Comprehensive Income | Note 6. Comprehensive Income and Accumulated Other Comprehensive Income Comprehensive income was $16.2 million for the three months ended September 30, 2016, compared to $19.2 million for the three months ended September 30, 2015. Comprehensive income was $62.8 million for the nine months ended September 30, 2016, compared to $47.9 million for the same period in 2015. The difference between net income as reported and comprehensive income was due to changes in unrealized gains and losses, net of tax on available-for-sale securities. Comprehensive income includes net income plus unrealized gains (losses) on our available-for-sale investment securities, net of tax. In reporting comprehensive income on a net basis in the statement of income, we used a 35 percent tax rate. The following table illustrates the changes in the balance of each component of accumulated other comprehensive income for each period presented in the interim financial statements. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands) Beginning balance $ 8,309 $ 2,052 $ 2,587 $ 2,810 Other comprehensive income (loss) before reclassification (1,589 ) 1,400 4,286 (188 ) Amounts reclassified from accumulated other comprehensive income (124 ) (92 ) (277 ) 738 Net current period other comprehensive income (loss) (1,713 ) 1,308 4,009 550 Ending balance $ 6,596 $ 3,360 $ 6,596 $ 3,360 The sale or other-than-temporary impairment of an available-for-sale security results in amounts being reclassified from accumulated other comprehensive income to current period net income. The effects of reclassifications out of accumulated other comprehensive income by the respective line items of net income are presented in the following table. Component of Accumulated Other Comprehensive Income Three Months Ended September 30, Nine Months Ended September 30, Affected line item in the statement of income 2016 2015 2016 2015 (in thousands) Unrealized gains on available-for-sale securities $ 191 $ 142 $ 426 $ 464 Net realized gains (losses) on investments Other-than-temporary impairment — — — (1,600 ) Net realized gains (losses) on investments 191 142 426 (1,136 ) Income before income taxes (67 ) (50 ) (149 ) 398 Income tax expense $ 124 $ 92 $ 277 $ (738 ) Net income |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 7. Fair Value Measurements The Company carries available-for-sale securities at fair value in our consolidated financial statements and determines fair value measurements and disclosure in accordance with FASB ASC Topic 820, Fair Value Measurements and Disclosures. The Company determines the fair values of its financial instruments based on the fair value hierarchy established in ASC Topic 820, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard defines fair value, describes three levels of inputs that may be used to measure fair value, and expands disclosures about fair value measurements. Fair value is defined in ASC Topic 820 as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is the price to sell an asset or transfer a liability and, therefore, represents an exit price, not an entry price. Fair value is the exit price in the principal market (or, if lacking a principal market, the most advantageous market) in which the reporting entity would transact. Fair value is a market-based measurement, not an entity-specific measurement, and, as such, is determined based on the assumptions that market participants would use in pricing the asset or liability. The exit price objective of a fair value measurement applies regardless of the reporting entity’s intent and/or ability to sell the asset or transfer the liability at the measurement date. ASC Topic 820 requires the use of valuation techniques that are consistent with the market approach, the income approach and/or the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. The income approach uses valuation techniques to convert future amounts, such as cash flows or earnings, to a single present value amount on a discounted basis. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset, also known as current replacement cost. Valuation techniques used to measure fair value are to be consistently applied. In ASC Topic 820, inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability, including assumptions about risk, for example, the risk inherent in a particular valuation technique used to measure fair value (such as a pricing model) and/or the risk inherent in the inputs to the valuation technique. Inputs may be observable or unobservable: • Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. • Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. Valuation techniques used to measure fair value are intended to maximize the use of observable inputs and minimize the use of unobservable inputs. ASC Topic 820 establishes a fair value hierarchy that prioritizes the use of inputs used in valuation techniques into the following three levels: • Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. • Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability, or inputs that are derived principally from or corroborated by observable market data. • Level 3 inputs are unobservable inputs for the asset or liability. Unobservable inputs are to be used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. In general, fair value is based upon quoted market prices, where available. If such quoted market prices are not available, fair value is based upon internally developed models that primarily use, as inputs, observable market-based parameters. The fair values of the Company’s investments are based upon prices provided by an independent pricing service. The Company has reviewed these prices for reasonableness and has not adjusted any prices received from the independent provider. Securities reported at fair value utilizing Level 1 inputs represent assets whose fair value is determined based upon observable unadjusted quoted market prices for identical assets in active markets. Level 2 securities represent assets whose fair value is determined using observable market information such as previous day trade prices, quotes from less active markets or quoted prices of securities with similar characteristics. There were no transfers between Level 1 and Level 2 during the nine months ended September 30, 2016. At September 30, 2016, assets and liabilities measured at fair value on a recurring basis are summarized below: September 30, 2016 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (in thousands) Financial instruments carried at fair value, classified as a part of: Securities available for sale—equity: Domestic common stock $ 32 $ — $ — $ 32 Securities available for sale—fixed maturity: States and political subdivisions — 196,780 — 196,780 Corporate bonds — 199,212 — 199,212 U.S. agency-based mortgage-backed securities — 11,280 — 11,280 U.S. Treasury securities 63,348 — — 63,348 Total securities available for sale—fixed maturity 63,348 407,272 — 470,620 Total available for sale $ 63,380 $ 407,272 $ — $ 470,652 At September 30, 2016, assets and liabilities measured at amortized cost are summarized below: September 30, 2016 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (in thousands) Securities held-to-maturity—fixed maturity States and political subdivisions $ — $ 433,734 $ — $ 433,734 Corporate bonds — 159,659 — 159,659 Commercial mortgage-backed securities — 290 — 290 U.S. agency-based mortgage-backed securities — 12,136 — 12,136 U.S. Treasury securities 7,029 — — 7,029 Obligations of U.S. government agencies — 5,819 — 5,819 Asset-backed securities — 2,114 — 2,114 Total held-to-maturity $ 7,029 $ 613,752 $ — $ 620,781 At December 31, 2015, assets and liabilities measured at fair value on a recurring basis are summarized below: December 31, 2015 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (in thousands) Financial instruments carried at fair value, classified as part of: Securities available for sale—equity: Domestic common stock $ 31 $ — $ — $ 31 Securities available for sale—fixed maturity: States and political subdivisions — 171,419 — 171,419 Corporate bonds — 201,304 — 201,304 U.S. agency-based mortgage-backed securities — 7,299 — 7,299 Total available for sale—fixed maturity $ — $ 380,022 $ — $ 380,022 Total available for sale $ 31 $ 380,022 $ — $ 380,053 At December 31, 2015, assets and liabilities measured at amortized cost are summarized below: December 31, 2015 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (in thousands) Securities held-to-maturity—fixed maturity: States and political subdivisions $ — $ 423,754 $ — $ 423,754 Corporate bonds — 170,573 — 170,573 Commercial mortgage-backed securities — 37,683 — 37,683 U.S. agency-based mortgage-backed securities — 14,471 — 14,471 U.S. Treasury securities 7,599 — — 7,599 Obligations of U.S. government agencies — 5,781 — 5,781 Asset-backed securities — 2,415 — 2,415 Total held-to-maturity $ 7,599 $ 654,677 $ — $ 662,276 The Company determines fair value amounts for financial instruments using available third-party market information. When such information is not available, the Company determines the fair value amounts using appropriate valuation methodologies. Nonfinancial instruments such as real estate, property and equipment, deferred policy acquisition costs, deferred income taxes and loss and loss adjustment expense reserves are excluded from the fair value disclosure. Cash and Cash Equivalents —The carrying amounts reported in the accompanying consolidated balance sheets for these financial instruments approximate their fair values, which are characterized as Level 1 assets. Investments —The fair values for fixed maturity and equity securities are based on prices obtained from an independent pricing service. Equity and treasury securities are characterized as Level 1 assets, as their fair values are based on quoted prices in active markets. Fixed maturity securities, other than treasury securities, are characterized as Level 2 assets, as their fair values are determined using observable market inputs. Short Term Investments —The carrying amounts reported in the accompanying consolidated balance sheets for these financial instruments approximate their fair values. These securities are characterized as Level 2 assets in the fair value hierarchy. Other Investments —Other investments consist of a limited partnership (“LP”) interest that is accounted for under the equity method valued using the net asset value provided by the general partner of the LP, which approximates the fair value of the interest. The LP’s objective is to generate absolute returns by investing long and short in publicly-traded global securities. Redemptions are allowed monthly following a 60-day notice with no lock up periods. The Company has no unfunded commitments related to the LP. The following table summarizes the carrying values and corresponding fair values for financial instruments: As of September 30, 2016 As of December 31, 2015 Carrying Amount Fair Value Carrying Amount Fair Value (in thousands) Assets: Fixed maturity securities—held-to-maturity $ 601,314 $ 620,781 $ 645,164 $ 662,276 Fixed maturity securities—available-for-sale 470,620 470,620 380,022 380,022 Equity securities 32 32 31 31 Cash and cash equivalents 86,612 86,612 69,481 69,481 Short-term investments 11,494 11,494 7,718 7,718 Other investments 12,174 12,174 12,217 12,217 |
Treasury Stock
Treasury Stock | 9 Months Ended |
Sep. 30, 2016 | |
Equity [Abstract] | |
Treasury Stock | Note 8. Treasury Stock The Company’s Board of Directors initiated a share repurchase program in February 2010. In October 2016, the Board reauthorized this program with a limit of $25.0 million. Unless reauthorized, the program will expire on December 31, 2017. There were no shares repurchased under this program in the nine months ended September 30, 2016. Since the beginning of this plan, the Company has repurchased a total of 1,258,250 shares for $22.4 million, or an average price of $17.78, including commissions. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 9. Commitments and Contingencies In February 2015, the Company was notified of an adverse verdict against its subsidiary, American Interstate Insurance Company, related to a 2009 workers’ compensation claim in the State of Iowa. The verdict was for $25.3 million, of which $0.3 million was for actual damages and $25.0 million was awarded for punitive damages. American Interstate is appealing both the verdict and the damage awards. The Company has posted an appeal bond in the amount of $27.8 million, as required by law. The Company maintains reinsurance against catastrophic losses, including court ordered judgments. As of September 30, 2016, the Company’s total reserve for the claim was $2.5 million. The $2.5 million reserve does not include payments that the Company has previously paid in this case. The payments, plus the $2.5 million reserve, total $5.4 million. The Company’s retention is $5.0 million before its reinsurance providers are obligated to reimburse the Company for additional costs. The Company presently believes that the reserve amount, together with its reinsurance coverage, is adequate to satisfy this claim. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 10. Subsequent Events On October 25, 2016, the Company’s Board of Directors declared a quarterly cash dividend of $0.18 per share payable on December 29, 2016 to shareholders of record as of December 15, 2016. The Board considers the payment of a regular cash dividend each calendar quarter. On October 25, 2016, the Company’s Board of Directors declared an extraordinary cash dividend of $3.25 per share payable on December 29, 2016 to shareholders of record on December 15, 2016. On October 25, 2016, the Company’s Board of Directors reauthorized the share repurchase program with a limit of $25.0 million. |
Fair Value Measurements (Polici
Fair Value Measurements (Policies) | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | The Company carries available-for-sale securities at fair value in our consolidated financial statements and determines fair value measurements and disclosure in accordance with FASB ASC Topic 820, Fair Value Measurements and Disclosures. The Company determines the fair values of its financial instruments based on the fair value hierarchy established in ASC Topic 820, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard defines fair value, describes three levels of inputs that may be used to measure fair value, and expands disclosures about fair value measurements. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Calculation of Basic and Diluted Earnings Per Share | The diluted EPS calculation includes potential common shares assumed issued under the treasury stock method, which reflects the potential dilution that would occur if any outstanding options or warrants were exercised or restricted stock becomes vested, and includes the “if converted” method for participating securities if the effect is dilutive. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands, except share and per share amounts) Basic EPS Net income available to common shareholders - basic $ 17,896 $ 17,940 $ 58,792 $ 47,389 Basic weighted average common shares 19,121,947 18,968,718 19,092,298 18,911,675 Basic earnings per common share $ 0.94 $ 0.95 $ 3.08 $ 2.51 Diluted EPS Net income available to common shareholders - diluted $ 17,896 $ 17,940 $ 58,792 $ 47,389 Diluted weighted average common shares: Weighted average common shares 19,121,947 18,968,718 19,092,298 18,911,675 Stock options and performance shares 68,244 127,541 94,100 176,465 Diluted weighted average common shares 19,190,191 19,096,259 19,186,398 19,088,140 Diluted earnings per common share $ 0.93 $ 0.94 $ 3.06 $ 2.48 |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Gross Unrealized Gains and Losses and Amortized Cost and Fair Value of Investments Classified as Held-to-maturity | The gross unrealized gains and losses on, and the amortized cost and fair value of, those investments classified as held-to-maturity at September 30, 2016 are summarized as follows: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) States and political subdivisions $ 418,155 $ 15,675 $ (96 ) $ 433,734 Corporate bonds 158,042 1,698 (81 ) 159,659 Commercial mortgage-backed securities 290 — — 290 U.S. agency-based mortgage-backed securities 10,943 1,193 — 12,136 U.S. Treasury securities and obligations of U.S. government agencies 11,863 986 (1 ) 12,848 Asset-backed securities 2,021 158 (65 ) 2,114 Totals $ 601,314 $ 19,710 $ (243 ) $ 620,781 The gross unrealized gains and losses on, and the amortized cost and fair value of, those investments classified as held-to-maturity at December 31, 2015 are summarized as follows: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) States and political subdivisions $ 408,447 $ 15,352 $ (45 ) $ 423,754 Corporate bonds 171,224 159 (810 ) 170,573 Commercial mortgage-backed securities 37,494 204 (15 ) 37,683 U.S. agency-based mortgage-backed securities 13,223 1,249 (1 ) 14,471 U.S. Treasury securities and obligations of U.S. government agencies 12,487 897 (4 ) 13,380 Asset-backed securities 2,289 202 (76 ) 2,415 Totals $ 645,164 $ 18,063 $ (951 ) $ 662,276 |
Gross Unrealized Gains and Losses and Cost or Amortized Cost and Fair Value of Investments Classified as Available-for-sale | The gross unrealized gains and losses on, and the cost or amortized cost and fair value of, those investments classified as available-for-sale at September 30, 2016 are summarized as follows: Cost or Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) Fixed maturity: States and political subdivisions $ 188,689 $ 8,450 $ (359 ) $ 196,780 Corporate bonds 197,167 2,259 (214 ) 199,212 U.S. agency-based mortgage-backed securities 12,026 51 (797 ) 11,280 U.S. Treasury securities and obligations of U.S. government agencies 62,615 821 (88 ) 63,348 Total fixed maturity 460,497 11,581 (1,458 ) 470,620 Other investments 10,000 2,174 — 12,174 Equity securities — 32 — 32 Totals $ 470,497 $ 13,787 $ (1,458 ) $ 482,826 The gross unrealized gains and losses on, and the cost or amortized cost and fair value of, those investments classified as available-for-sale at December 31, 2015 are summarized as follows: Cost or Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value (in thousands) Fixed maturity: States and political subdivisions $ 164,684 $ 6,942 $ (207 ) $ 171,419 Corporate bonds 202,537 253 (1,486 ) 201,304 U.S. agency-based mortgage-backed securities 8,888 4 (1,593 ) 7,299 Total fixed maturity 376,109 7,199 (3,286 ) 380,022 Other investments 10,000 2,217 — 12,217 Equity securities — 31 — 31 Totals $ 386,109 $ 9,447 $ (3,286 ) $ 392,270 |
Investment Securities Continuous Unrealized Loss Position | The following table summarizes the fair value and gross unrealized losses on securities, aggregated by major investment category and length of time that the individual securities have been in a continuous unrealized loss position: Less Than 12 Months 12 Months or Greater Total Fair Value of Investments with Unrealized Losses Gross Unrealized Losses Fair Value of Investments with Unrealized Losses Gross Unrealized Losses Fair Value of Investments with Unrealized Losses Gross Unrealized Losses (in thousands) September 30, 2016 Held-to-Maturity Fixed maturity securities: States and political subdivisions $ 23,075 $ 96 $ — $ — $ 23,075 $ 96 Corporate bonds 9,696 55 3,173 26 12,869 81 U.S. Treasury securities and obligations of U.S. government agencies 637 1 — — 637 1 Asset-backed securities — — 1,221 65 1,221 65 Total held-to-maturity securities 33,408 152 4,394 91 37,802 243 Available-for Sale Fixed maturity securities: States and political subdivisions $ 22,147 $ 328 $ 4,746 $ 31 $ 26,893 $ 359 Corporate bonds 7,673 9 7,900 205 15,573 214 U.S. agency-based mortgage-backed securities — — 6,930 797 6,930 797 U.S. Treasury securities and obligations of U.S. government agencies 3,266 88 — — 3,266 88 Total available-for-sale securities 33,086 425 19,576 1,033 52,662 1,458 Total $ 66,494 $ 577 $ 23,970 $ 1,124 $ 90,464 $ 1,701 Less Than 12 Months 12 Months or Greater Total Fair Value of Investments with Unrealized Losses Gross Unrealized Losses Fair Value of Investments with Unrealized Losses Gross Unrealized Losses Fair Value of Investments with Unrealized Losses Gross Unrealized Losses (in thousands) December 31, 2015 Held-to-Maturity Fixed maturity securities: States and political subdivisions $ 24,068 $ 45 $ — $ — $ 24,068 $ 45 Corporate bonds 128,436 687 18,139 123 146,575 810 Commercial mortgage-backed securities 9,784 15 — — 9,784 15 U.S. agency-based mortgage-backed securities 18 — 28 1 46 1 U.S. Treasury securities and obligations of U.S. government agencies 2,980 4 — — 2,980 4 Asset-backed securities — — 1,389 76 1,389 76 Total held-to-maturity securities 165,286 751 19,556 200 184,842 951 Available-for Sale Fixed maturity securities: States and political subdivisions $ 6,560 $ 9 $ 4,439 $ 198 $ 10,999 $ 207 Corporate bonds 141,857 1,475 4,216 11 146,073 1,486 U.S. agency-based mortgage-backed securities 434 37 6,794 1,556 7,228 1,593 Total available-for-sale securities 148,851 1,521 15,449 1,765 164,300 3,286 Total $ 314,137 $ 2,272 $ 35,005 $ 1,965 $ 349,142 $ 4,237 |
Held-to-Maturity Securities [Member] | |
Summary of Amortized Cost and Fair Value of Investments in Fixed Maturity Securities, by Contractual Maturity | A summary of the amortized cost and fair value of investments in fixed maturity securities, classified as held-to-maturity at September 30, 2016, by contractual maturity, is as follows: Maturity Amortized Cost Fair Value (in thousands) Within one year $ 95,695 $ 96,339 After one year through five years 302,699 311,060 After five years through ten years 107,854 113,247 After ten years 81,812 85,595 U.S. agency-based mortgage-backed securities 290 290 Commercial mortgage-backed securities 10,943 12,136 Asset-backed securities 2,021 2,114 Totals $ 601,314 $ 620,781 |
Available-for-Sale Securities [Member] | |
Summary of Amortized Cost and Fair Value of Investments in Fixed Maturity Securities, by Contractual Maturity | A summary of the amortized cost and fair value of investments in fixed maturity securities, classified as available-for-sale at September 30, 2016, by contractual maturity, is as follows: Maturity Amortized Cost Fair Value (in thousands) Within one year $ 68,399 $ 68,884 After one year through five years 213,596 216,619 After five years through ten years 38,679 39,845 After ten years 127,797 133,992 U.S. agency-based mortgage-backed securities 12,026 11,280 Totals $ 460,497 $ 470,620 |
Comprehensive Income and Accu21
Comprehensive Income and Accumulated Other Comprehensive Income (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Equity [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Income (AOCI) | The following table illustrates the changes in the balance of each component of accumulated other comprehensive income for each period presented in the interim financial statements. Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (in thousands) Beginning balance $ 8,309 $ 2,052 $ 2,587 $ 2,810 Other comprehensive income (loss) before reclassification (1,589 ) 1,400 4,286 (188 ) Amounts reclassified from accumulated other comprehensive income (124 ) (92 ) (277 ) 738 Net current period other comprehensive income (loss) (1,713 ) 1,308 4,009 550 Ending balance $ 6,596 $ 3,360 $ 6,596 $ 3,360 |
Reclassification Out of Accumulated Other Comprehensive Income | The effects of reclassifications out of accumulated other comprehensive income by the respective line items of net income are presented in the following table. Component of Accumulated Other Comprehensive Income Three Months Ended September 30, Nine Months Ended September 30, Affected line item in the statement of income 2016 2015 2016 2015 (in thousands) Unrealized gains on available-for-sale securities $ 191 $ 142 $ 426 $ 464 Net realized gains (losses) on investments Other-than-temporary impairment — — — (1,600 ) Net realized gains (losses) on investments 191 142 426 (1,136 ) Income before income taxes (67 ) (50 ) (149 ) 398 Income tax expense $ 124 $ 92 $ 277 $ (738 ) Net income |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis | At September 30, 2016, assets and liabilities measured at fair value on a recurring basis are summarized below: September 30, 2016 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (in thousands) Financial instruments carried at fair value, classified as a part of: Securities available for sale—equity: Domestic common stock $ 32 $ — $ — $ 32 Securities available for sale—fixed maturity: States and political subdivisions — 196,780 — 196,780 Corporate bonds — 199,212 — 199,212 U.S. agency-based mortgage-backed securities — 11,280 — 11,280 U.S. Treasury securities 63,348 — — 63,348 Total securities available for sale—fixed maturity 63,348 407,272 — 470,620 Total available for sale $ 63,380 $ 407,272 $ — $ 470,652 At December 31, 2015, assets and liabilities measured at fair value on a recurring basis are summarized below: December 31, 2015 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (in thousands) Financial instruments carried at fair value, classified as part of: Securities available for sale—equity: Domestic common stock $ 31 $ — $ — $ 31 Securities available for sale—fixed maturity: States and political subdivisions — 171,419 — 171,419 Corporate bonds — 201,304 — 201,304 U.S. agency-based mortgage-backed securities — 7,299 — 7,299 Total available for sale—fixed maturity $ — $ 380,022 $ — $ 380,022 Total available for sale $ 31 $ 380,022 $ — $ 380,053 |
Schedule of Assets and Liabilities Measured at Amortized Cost | At September 30, 2016, assets and liabilities measured at amortized cost are summarized below: September 30, 2016 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (in thousands) Securities held-to-maturity—fixed maturity States and political subdivisions $ — $ 433,734 $ — $ 433,734 Corporate bonds — 159,659 — 159,659 Commercial mortgage-backed securities — 290 — 290 U.S. agency-based mortgage-backed securities — 12,136 — 12,136 U.S. Treasury securities 7,029 — — 7,029 Obligations of U.S. government agencies — 5,819 — 5,819 Asset-backed securities — 2,114 — 2,114 Total held-to-maturity $ 7,029 $ 613,752 $ — $ 620,781 At December 31, 2015, assets and liabilities measured at amortized cost are summarized below: December 31, 2015 Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (in thousands) Securities held-to-maturity—fixed maturity: States and political subdivisions $ — $ 423,754 $ — $ 423,754 Corporate bonds — 170,573 — 170,573 Commercial mortgage-backed securities — 37,683 — 37,683 U.S. agency-based mortgage-backed securities — 14,471 — 14,471 U.S. Treasury securities 7,599 — — 7,599 Obligations of U.S. government agencies — 5,781 — 5,781 Asset-backed securities — 2,415 — 2,415 Total held-to-maturity $ 7,599 $ 654,677 $ — $ 662,276 |
Summary of Carrying Values and Corresponding Fair Values for Financial Instruments | The following table summarizes the carrying values and corresponding fair values for financial instruments: As of September 30, 2016 As of December 31, 2015 Carrying Amount Fair Value Carrying Amount Fair Value (in thousands) Assets: Fixed maturity securities—held-to-maturity $ 601,314 $ 620,781 $ 645,164 $ 662,276 Fixed maturity securities—available-for-sale 470,620 470,620 380,022 380,022 Equity securities 32 32 31 31 Cash and cash equivalents 86,612 86,612 69,481 69,481 Short-term investments 11,494 11,494 7,718 7,718 Other investments 12,174 12,174 12,217 12,217 |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | ||
Percentage of comparable consolidated amounts | 95.00% | 95.00% |
Stock Options and Restricted 24
Stock Options and Restricted Stock - Additional Information (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2016USD ($)Incentive_Planshares | Sep. 30, 2015USD ($)shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of equity incentive plans | Incentive_Plan | 3 | |||
Stock options exercised, Shares | 68,879 | 156,850 | ||
Proceeds from stock option exercises | $ | $ 837 | $ 1,277 | ||
Share-based compensation expense | $ | $ 400 | $ 300 | $ 1,100 | 700 |
Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Market value of restricted shares granted | $ | $ 2,600 | |||
Restricted Stock Units (RSUs) [Member] | Executive Officers [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted common stock granted | 50,461 | |||
Restricted Stock Units (RSUs) [Member] | Non-employee Directors [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted common stock granted | 7,112 | |||
2005 Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Plan expiration date | Oct. 27, 2015 | |||
2012 Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Market value of restricted shares granted | $ | $ 1,900 | |||
2012 Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Executive Officers [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted common stock granted | 27,077 | |||
2012 Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Non-employee Directors [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted common stock granted | 5,952 |
Earnings Per Share - Calculatio
Earnings Per Share - Calculation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Earnings Per Share Basic [Abstract] | ||||
Net income available to common shareholders - basic | $ 17,896 | $ 17,940 | $ 58,792 | $ 47,389 |
Basic weighted average common shares | 19,121,947 | 18,968,718 | 19,092,298 | 18,911,675 |
Basic earnings per common share | $ 0.94 | $ 0.95 | $ 3.08 | $ 2.51 |
Net income available to common shareholders - diluted | $ 17,896 | $ 17,940 | $ 58,792 | $ 47,389 |
Weighted average common shares | 19,121,947 | 18,968,718 | 19,092,298 | 18,911,675 |
Stock options and performance shares | 68,244 | 127,541 | 94,100 | 176,465 |
Diluted weighted average common shares | 19,190,191 | 19,096,259 | 19,186,398 | 19,088,140 |
Diluted earnings per common share | $ 0.93 | $ 0.94 | $ 3.06 | $ 2.48 |
Investments - Gross Unrealized
Investments - Gross Unrealized Gains and Losses and Amortized Cost and Fair Value of Investments Classified as Held-to-Maturity (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Investment [Line Items] | ||
Held-to-Maturity, Amortized Cost | $ 601,314 | $ 645,164 |
Held-to-Maturity, Gross Unrealized Gains | 19,710 | 18,063 |
Held-to-Maturity, Gross Unrealized Losses | (243) | (951) |
Held-to-Maturity, Fair Value | 620,781 | 662,276 |
States and Political Subdivisions [Member] | ||
Investment [Line Items] | ||
Held-to-Maturity, Amortized Cost | 418,155 | 408,447 |
Held-to-Maturity, Gross Unrealized Gains | 15,675 | 15,352 |
Held-to-Maturity, Gross Unrealized Losses | (96) | (45) |
Held-to-Maturity, Fair Value | 433,734 | 423,754 |
Corporate Bonds [Member] | ||
Investment [Line Items] | ||
Held-to-Maturity, Amortized Cost | 158,042 | 171,224 |
Held-to-Maturity, Gross Unrealized Gains | 1,698 | 159 |
Held-to-Maturity, Gross Unrealized Losses | (81) | (810) |
Held-to-Maturity, Fair Value | 159,659 | 170,573 |
Commercial Mortgage-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-Maturity, Amortized Cost | 290 | 37,494 |
Held-to-Maturity, Gross Unrealized Gains | 204 | |
Held-to-Maturity, Gross Unrealized Losses | (15) | |
Held-to-Maturity, Fair Value | 290 | 37,683 |
U.S. Agency-Based Mortgage-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-Maturity, Amortized Cost | 10,943 | 13,223 |
Held-to-Maturity, Gross Unrealized Gains | 1,193 | 1,249 |
Held-to-Maturity, Gross Unrealized Losses | (1) | |
Held-to-Maturity, Fair Value | 12,136 | 14,471 |
U.S. Treasury Securities and Obligations of U.S. Government Agencies [Member] | ||
Investment [Line Items] | ||
Held-to-Maturity, Amortized Cost | 11,863 | 12,487 |
Held-to-Maturity, Gross Unrealized Gains | 986 | 897 |
Held-to-Maturity, Gross Unrealized Losses | (1) | (4) |
Held-to-Maturity, Fair Value | 12,848 | 13,380 |
Asset-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-Maturity, Amortized Cost | 2,021 | 2,289 |
Held-to-Maturity, Gross Unrealized Gains | 158 | 202 |
Held-to-Maturity, Gross Unrealized Losses | (65) | (76) |
Held-to-Maturity, Fair Value | $ 2,114 | $ 2,415 |
Investments - Gross Unrealize27
Investments - Gross Unrealized Gains and Losses and Cost or Amortized Cost and Fair Value of Investments Classified as Available-for-Sale (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Investment [Line Items] | ||
Available-for-Sale, Cost or Amortized Cost | $ 470,497 | $ 386,109 |
Available-for-Sale, Gross Unrealized Gains | 13,787 | 9,447 |
Available-for-Sale, Gross Unrealized Losses | (1,458) | (3,286) |
Available-for-Sale, Fair Value | 482,826 | 392,270 |
Other Investments [Member] | ||
Investment [Line Items] | ||
Available-for-Sale, Cost or Amortized Cost | 10,000 | 10,000 |
Available-for-Sale, Gross Unrealized Gains | 2,174 | 2,217 |
Available-for-Sale, Fair Value | 12,174 | 12,217 |
Total Fixed Maturity [Member] | ||
Investment [Line Items] | ||
Available-for-Sale, Cost or Amortized Cost | 460,497 | 376,109 |
Available-for-Sale, Gross Unrealized Gains | 11,581 | 7,199 |
Available-for-Sale, Gross Unrealized Losses | (1,458) | (3,286) |
Available-for-Sale, Fair Value | 470,620 | 380,022 |
States and Political Subdivisions [Member] | ||
Investment [Line Items] | ||
Available-for-Sale, Cost or Amortized Cost | 188,689 | 164,684 |
Available-for-Sale, Gross Unrealized Gains | 8,450 | 6,942 |
Available-for-Sale, Gross Unrealized Losses | (359) | (207) |
Available-for-Sale, Fair Value | 196,780 | 171,419 |
Corporate Bonds [Member] | ||
Investment [Line Items] | ||
Available-for-Sale, Cost or Amortized Cost | 197,167 | 202,537 |
Available-for-Sale, Gross Unrealized Gains | 2,259 | 253 |
Available-for-Sale, Gross Unrealized Losses | (214) | (1,486) |
Available-for-Sale, Fair Value | 199,212 | 201,304 |
U.S. Agency-Based Mortgage-Backed Securities [Member] | ||
Investment [Line Items] | ||
Available-for-Sale, Cost or Amortized Cost | 12,026 | 8,888 |
Available-for-Sale, Gross Unrealized Gains | 51 | 4 |
Available-for-Sale, Gross Unrealized Losses | (797) | (1,593) |
Available-for-Sale, Fair Value | 11,280 | 7,299 |
U.S. Treasury Securities and Obligations of U.S. Government Agencies [Member] | ||
Investment [Line Items] | ||
Available-for-Sale, Cost or Amortized Cost | 62,615 | |
Available-for-Sale, Gross Unrealized Gains | 821 | |
Available-for-Sale, Gross Unrealized Losses | (88) | |
Available-for-Sale, Fair Value | 63,348 | |
Equity Securities [Member] | ||
Investment [Line Items] | ||
Available-for-Sale, Gross Unrealized Gains | 32 | 31 |
Available-for-Sale, Fair Value | $ 32 | $ 31 |
Investments - Summary of Amorti
Investments - Summary of Amortized Cost and Fair Value of Investments in Fixed Maturity Securities, Classified as Held-to-Maturity (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Investment [Line Items] | ||
Within one year, Amortized Cost Basis | $ 95,695 | |
After one year through five years, Amortized Cost Basis | 302,699 | |
After five years through ten years, Amortized Cost Basis | 107,854 | |
After ten years, Amortized Cost Basis | 81,812 | |
Held-to-Maturity, Amortized Cost | 601,314 | $ 645,164 |
Within one year, Fair Value | 96,339 | |
After one year through five years, Fair Value | 311,060 | |
After five years through ten years, Fair Value | 113,247 | |
After ten years, Fair Value | 85,595 | |
Total, Fair Value | 620,781 | $ 662,276 |
U.S. Agency-Based Mortgage-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-maturity, Amortized Cost Basis | 290 | |
Held-to-maturity, Fair Value | 290 | |
Commercial Mortgage-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-maturity, Amortized Cost Basis | 10,943 | |
Held-to-maturity, Fair Value | 12,136 | |
Asset-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-maturity, Amortized Cost Basis | 2,021 | |
Held-to-maturity, Fair Value | $ 2,114 |
Investments - Summary of Amor29
Investments - Summary of Amortized Cost and Fair Value of Investments in Fixed Maturity Securities, Classified as Available-for-Sale (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Investment [Line Items] | ||
Within one year, Amortized Cost Basis | $ 68,399 | |
After one year through five years, Amortized Cost Basis | 213,596 | |
After five years through ten years, Amortized Cost Basis | 38,679 | |
After ten years, Amortized Cost Basis | 127,797 | |
Total , Amortized Cost Basis | 460,497 | $ 376,109 |
Within one year, Fair Value | 68,884 | |
After one year through five years, Fair Value | 216,619 | |
After five years through ten years, Fair Value | 39,845 | |
After ten years, Fair Value | 133,992 | |
Total, Fair Value | 470,620 | $ 380,022 |
U.S. Agency-Based Mortgage-Backed Securities [Member] | ||
Investment [Line Items] | ||
Available-for-sale securities, Amortized Cost Basis | 12,026 | |
Available-for-sale securities, Fair value | $ 11,280 |
Investments - Investment Securi
Investments - Investment Securities Continuous Unrealized Loss Position (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Investment [Line Items] | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $ 33,408 | $ 165,286 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less Than Twelve Months, Accumulated Loss | 152 | 751 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 4,394 | 19,556 |
Held-to-maturity Securities, Continuous Unrealized Loss Position Twelve Months Or Longer, Accumulated Loss | 91 | 200 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value | 37,802 | 184,842 |
Held-to-maturity Securities, Gross Unrealized Losses | 243 | 951 |
Available-for Sale, Fair value of Investments with Unrealized Losses, Less Than 12 Months | 33,086 | 148,851 |
Available-for Sale, Gross Unrealized Losses, Less Than 12 Months | 425 | 1,521 |
Available-for Sale, Fair Value of Investments with Unrealized Losses, 12 Months or Greater | 19,576 | 15,449 |
Available-for Sale, Gross Unrealized Losses, 12 Months or Greater | 1,033 | 1,765 |
Available-for Sale, Fair Value of Investments with Unrealized Losses, Total | 52,662 | 164,300 |
Available-for Sale, Gross Unrealized Losses, Total | 1,458 | 3,286 |
Fair Value of Investments with Unrealized Losses, Less Than 12 months | 66,494 | 314,137 |
Gross Unrealized Loss, Less Than 12 Months | 577 | 2,272 |
Fair Value of Investments with Unrealized Losses, 12 Months or Greater | 23,970 | 35,005 |
Gross Unrealized Losses, 12 Months or Greater | 1,124 | 1,965 |
Fair Value of Investments with Unrealized Losses, Total | 90,464 | 349,142 |
Gross Unrealized Losses, Total | 1,701 | 4,237 |
States and Political Subdivisions [Member] | ||
Investment [Line Items] | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 23,075 | 24,068 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less Than Twelve Months, Accumulated Loss | 96 | 45 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value | 23,075 | 24,068 |
Held-to-maturity Securities, Gross Unrealized Losses | 96 | 45 |
Available-for Sale, Fair value of Investments with Unrealized Losses, Less Than 12 Months | 22,147 | 6,560 |
Available-for Sale, Gross Unrealized Losses, Less Than 12 Months | 328 | 9 |
Available-for Sale, Fair Value of Investments with Unrealized Losses, 12 Months or Greater | 4,746 | 4,439 |
Available-for Sale, Gross Unrealized Losses, 12 Months or Greater | 31 | 198 |
Available-for Sale, Fair Value of Investments with Unrealized Losses, Total | 26,893 | 10,999 |
Available-for Sale, Gross Unrealized Losses, Total | 359 | 207 |
Corporate Bonds [Member] | ||
Investment [Line Items] | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 9,696 | 128,436 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less Than Twelve Months, Accumulated Loss | 55 | 687 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 3,173 | 18,139 |
Held-to-maturity Securities, Continuous Unrealized Loss Position Twelve Months Or Longer, Accumulated Loss | 26 | 123 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value | 12,869 | 146,575 |
Held-to-maturity Securities, Gross Unrealized Losses | 81 | 810 |
Available-for Sale, Fair value of Investments with Unrealized Losses, Less Than 12 Months | 7,673 | 141,857 |
Available-for Sale, Gross Unrealized Losses, Less Than 12 Months | 9 | 1,475 |
Available-for Sale, Fair Value of Investments with Unrealized Losses, 12 Months or Greater | 7,900 | 4,216 |
Available-for Sale, Gross Unrealized Losses, 12 Months or Greater | 205 | 11 |
Available-for Sale, Fair Value of Investments with Unrealized Losses, Total | 15,573 | 146,073 |
Available-for Sale, Gross Unrealized Losses, Total | 214 | 1,486 |
Commercial Mortgage-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 9,784 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less Than Twelve Months, Accumulated Loss | 15 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value | 9,784 | |
Held-to-maturity Securities, Gross Unrealized Losses | 15 | |
U.S. Agency-Based Mortgage-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 18 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 28 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position Twelve Months Or Longer, Accumulated Loss | 1 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value | 46 | |
Held-to-maturity Securities, Gross Unrealized Losses | 1 | |
Available-for Sale, Fair value of Investments with Unrealized Losses, Less Than 12 Months | 434 | |
Available-for Sale, Gross Unrealized Losses, Less Than 12 Months | 37 | |
Available-for Sale, Fair Value of Investments with Unrealized Losses, 12 Months or Greater | 6,930 | 6,794 |
Available-for Sale, Gross Unrealized Losses, 12 Months or Greater | 797 | 1,556 |
Available-for Sale, Fair Value of Investments with Unrealized Losses, Total | 6,930 | 7,228 |
Available-for Sale, Gross Unrealized Losses, Total | 797 | 1,593 |
Asset-Backed Securities [Member] | ||
Investment [Line Items] | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,221 | 1,389 |
Held-to-maturity Securities, Continuous Unrealized Loss Position Twelve Months Or Longer, Accumulated Loss | 65 | 76 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value | 1,221 | 1,389 |
Held-to-maturity Securities, Gross Unrealized Losses | 65 | 76 |
U.S. Treasury Securities and Obligations of U.S. Government Agencies [Member] | ||
Investment [Line Items] | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 637 | 2,980 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less Than Twelve Months, Accumulated Loss | 1 | 4 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value | 637 | 2,980 |
Held-to-maturity Securities, Gross Unrealized Losses | 1 | $ 4 |
Available-for Sale, Fair value of Investments with Unrealized Losses, Less Than 12 Months | 3,266 | |
Available-for Sale, Gross Unrealized Losses, Less Than 12 Months | 88 | |
Available-for Sale, Fair Value of Investments with Unrealized Losses, Total | 3,266 | |
Available-for Sale, Gross Unrealized Losses, Total | $ 88 |
Investments - Additional Inform
Investments - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016USD ($)Security | Sep. 30, 2015USD ($) | Sep. 30, 2016USD ($)Security | Sep. 30, 2015USD ($)Security | |
Investments Schedule [Abstract] | ||||
Individual fixed maturity held in unrealized loss position | Security | 73 | 73 | ||
Individual fixed maturity held in unrealized loss position longer than 12 months | Security | 19 | 19 | ||
Carrying value of investments | $ 12,200,000 | $ 12,200,000 | ||
Impairment losses recognized | 0 | $ 2,700,000 | ||
Net realized gains (losses) on investments | $ 181,000 | $ 40,000 | $ 974,000 | $ (2,518,000) |
Number of fixed maturity securities to be deemed other-than-temporarily impaired | Security | 4 | |||
Net realized gain(loss)outside OTTI | $ 200,000 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | ||
Unrecognized tax benefits | $ 0 | |
Company recognized uncertain tax positions | $ 0 | $ 0 |
Comprehensive Income and Accu33
Comprehensive Income and Accumulated Other Comprehensive Income - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | ||||
Comprehensive income | $ 16,183 | $ 19,248 | $ 62,801 | $ 47,939 |
Comprehensive income tax rate | 35.00% |
Comprehensive Income and Accu34
Comprehensive Income and Accumulated Other Comprehensive Income - Schedule of Changes in Accumulated Other Comprehensive Income (AOCI) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Beginning Balance | $ 453,981 | |||
Ending Balance | $ 509,743 | 509,743 | ||
Accumulated Other Comprehensive Income [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Beginning Balance | 8,309 | $ 2,052 | 2,587 | $ 2,810 |
Other comprehensive income (loss) before reclassification | (1,589) | 1,400 | 4,286 | (188) |
Amounts reclassified from accumulated other comprehensive income | (124) | (92) | (277) | 738 |
Net current period other comprehensive income (loss) | (1,713) | 1,308 | 4,009 | 550 |
Ending Balance | $ 6,596 | $ 3,360 | $ 6,596 | $ 3,360 |
Comprehensive Income and Accu35
Comprehensive Income and Accumulated Other Comprehensive Income - Reclassification Out of Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | |
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Income before income taxes | $ 26,027 | $ 25,890 | $ 85,037 | $ 67,199 |
Income tax expense | (8,131) | (7,950) | (26,245) | (19,810) |
Net income | 17,896 | 17,940 | 58,792 | 47,389 |
Changes in Net Unrealized Gains (Losses) on Investment Securities [Member] | Reclassification Out of Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Unrealized gains on available-for-sale securities | 191 | 142 | 426 | 464 |
Other-than-temporary impairment | (1,600) | |||
Income before income taxes | 191 | 142 | 426 | (1,136) |
Income tax expense | (67) | (50) | (149) | 398 |
Net income | $ 124 | $ 92 | $ 277 | $ (738) |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | $ 482,826 | $ 392,270 |
Equity Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 32 | 31 |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 470,652 | 380,053 |
Fair Value, Measurements, Recurring [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 470,620 | 380,022 |
Fair Value, Measurements, Recurring [Member] | Common Stock [Member] | Equity Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 32 | 31 |
Fair Value, Measurements, Recurring [Member] | States and Political Subdivisions [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 196,780 | 171,419 |
Fair Value, Measurements, Recurring [Member] | Corporate Bonds [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 199,212 | 201,304 |
Fair Value, Measurements, Recurring [Member] | U.S. Agency-Based Mortgage-Backed Securities [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 11,280 | 7,299 |
Fair Value, Measurements, Recurring [Member] | US Treasury Securities [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 63,348 | |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 63,380 | 31 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 63,348 | |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Common Stock [Member] | Equity Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 32 | 31 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | US Treasury Securities [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 63,348 | |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 407,272 | 380,022 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 407,272 | 380,022 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | States and Political Subdivisions [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 196,780 | 171,419 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Corporate Bonds [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | 199,212 | 201,304 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Agency-Based Mortgage-Backed Securities [Member] | Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Available-for-Sale, Fair Value | $ 11,280 | $ 7,299 |
Fair Value Measurements - Sch37
Fair Value Measurements - Schedule of Assets and Liabilities Measured at Amortized Cost (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | $ 620,781 | $ 662,276 |
States and Political Subdivisions [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 433,734 | 423,754 |
Corporate Bonds [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 159,659 | 170,573 |
Commercial Mortgage-Backed Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 290 | 37,683 |
U.S. Agency-Based Mortgage-Backed Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 12,136 | 14,471 |
US Treasury Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 7,029 | 7,599 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 5,819 | 5,781 |
Asset-Backed Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 2,114 | 2,415 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 7,029 | 7,599 |
Fair Value, Inputs, Level 1 [Member] | US Treasury Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 7,029 | 7,599 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 613,752 | 654,677 |
Fair Value, Inputs, Level 2 [Member] | States and Political Subdivisions [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 433,734 | 423,754 |
Fair Value, Inputs, Level 2 [Member] | Corporate Bonds [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 159,659 | 170,573 |
Fair Value, Inputs, Level 2 [Member] | Commercial Mortgage-Backed Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 290 | 37,683 |
Fair Value, Inputs, Level 2 [Member] | U.S. Agency-Based Mortgage-Backed Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 12,136 | 14,471 |
Fair Value, Inputs, Level 2 [Member] | US Government-sponsored Enterprises Debt Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | 5,819 | 5,781 |
Fair Value, Inputs, Level 2 [Member] | Asset-Backed Securities [Member] | ||
Fair Value Measurements Disclosure [Line Items] | ||
Securities held-to-maturity-fixed maturity, Fair Value | $ 2,114 | $ 2,415 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Carrying Values and Corresponding Fair Values for Financial Instruments (Detail) - USD ($) $ in Thousands | Sep. 30, 2016 | Dec. 31, 2015 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed maturity securities-held-to-maturity | $ 620,781 | $ 662,276 |
Fixed maturity securities-held-to-maturity | 601,314 | 645,164 |
Fixed maturity securities-available-for-sale | 470,620 | 380,022 |
Equity securities | 32 | 31 |
Cash and cash equivalents | 86,612 | 69,481 |
Short-term investments | 11,494 | 7,718 |
Other investments | 12,174 | 12,217 |
Carrying Amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fixed maturity securities-held-to-maturity | 601,314 | 645,164 |
Fixed maturity securities-available-for-sale | 470,620 | 380,022 |
Equity securities | 32 | 31 |
Cash and cash equivalents | 86,612 | 69,481 |
Short-term investments | 11,494 | 7,718 |
Other investments | $ 12,174 | $ 12,217 |
Treasury Stock - Additional Inf
Treasury Stock - Additional Information (Detail) - USD ($) | 9 Months Ended | ||
Sep. 30, 2016 | Oct. 25, 2016 | Dec. 31, 2015 | |
Equity, Class of Treasury Stock [Line Items] | |||
Share repurchase program, expiration date | Dec. 31, 2017 | ||
Shares repurchased | 1,258,250 | 1,258,250 | |
Shares repurchased, value | $ 22,400,000 | ||
Shares repurchased, average price | $ 17.78 | ||
Shares repurchased under the program | 0 | ||
Subsequent Event [Member] | |||
Equity, Class of Treasury Stock [Line Items] | |||
Share repurchase program, new limit amount | $ 25,000,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 9 Months Ended |
Feb. 28, 2015 | Sep. 30, 2016 | |
Loss Contingencies [Line Items] | ||
Retention amount | $ 5 | |
American Interstate Insurance Company [Member] | Iowa [Member] | ||
Loss Contingencies [Line Items] | ||
Appeal bond | 27.8 | |
American Interstate Insurance Company [Member] | 2009 Workers' Compensation Claim [Member] | Iowa [Member] | ||
Loss Contingencies [Line Items] | ||
Workers compensation claim, damages awarded | $ 25.3 | |
Workers compensation claims contingency reserves | 2.5 | |
Total amount expensed on workers compensation claim | $ 5.4 | |
American Interstate Insurance Company [Member] | Plaintiff Seeking Actual Damages [Member] | Iowa [Member] | ||
Loss Contingencies [Line Items] | ||
Amount of damages | 0.3 | |
American Interstate Insurance Company [Member] | Plaintiff Seeking Punitive Damages [Member] | Iowa [Member] | ||
Loss Contingencies [Line Items] | ||
Amount of damages | $ 25 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - Subsequent Event [Member] | Oct. 25, 2016USD ($)$ / shares |
Subsequent Event [Line Items] | |
Share repurchase program, new limit amount | $ | $ 25,000,000 |
Dividend Declared [Member] | |
Subsequent Event [Line Items] | |
Cash dividend per share | $ 0.18 |
Date of payment to shareholders entitled to dividends | Dec. 29, 2016 |
Date of record of shareholders entitled to dividends | Dec. 15, 2016 |
Extraordinary Dividend Declared [Member] | |
Subsequent Event [Line Items] | |
Cash dividend per share | $ 3.25 |
Date of payment to shareholders entitled to dividends | Dec. 29, 2016 |
Date of record of shareholders entitled to dividends | Dec. 15, 2016 |