Safety Insurance (SAFT) 10-Q 6 May 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2016	May. 03, 2016
Document and Entity Information
Entity Registrant Name	SAFETY INSURANCE GROUP INC
Entity Central Index Key	1,172,052
Document Type	10-Q
Document Period End Date	Mar. 31, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		15,158,327
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Investments: Securities available for sale:
Fixed maturities, at fair value (amortized cost: $1,059,661 and $1,063,971)	$ 1,091,263	$ 1,081,637
Equity securities, at fair value (cost: $101,335 and $102,541)	111,122	110,204
Other invested assets	17,572	17,602
Total investments	1,219,957	1,209,443
Cash and cash equivalents	35,940	47,494
Accounts receivable, net of allowance for doubtful accounts	178,671	178,567
Receivable for securities sold	89	260
Accrued investment income	9,374	8,922
Taxes recoverable	14,182	15,497
Receivable from reinsurers related to paid loss and loss adjustment expenses	27,807	40,972
Receivable from reinsurers related to unpaid loss and loss adjustment expenses	77,075	68,261
Ceded unearned premiums	24,345	23,222
Deferred policy acquisition costs	68,404	68,937
Deferred income taxes		4,430
Equity and deposits in pools	23,373	23,558
Other assets	15,013	14,306
Total assets	1,694,230	1,703,869
Liabilities
Loss and loss adjustment expense reserves	549,901	553,977
Unearned premium reserves	403,083	401,961
Accounts payable and accrued liabilities	46,593	53,722
Payable for securities purchased	2,181	8,607
Payable to reinsurers	11,586	11,547
Deferred income taxes	1,298
Other liabilities	21,257	29,556
Total liabilities	$ 1,035,899	$ 1,059,370
Commitments and contingencies (Note 7)
Shareholders' equity
Common stock: $0.01 par value; 30,000,000 shares authorized; 17,427,897 and 17,373,643 shares issued	$ 174	$ 174
Additional paid-in capital	181,173	179,896
Accumulated other comprehensive income, net of taxes	26,903	16,464
Retained earnings	533,916	531,800
Treasury Stock, at cost: 2,279,570 shares	(83,835)	(83,835)
Total shareholders' equity	658,331	644,499
Total liabilities and shareholders' equity	$ 1,694,230	$ 1,703,869

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Consolidated Balance Sheets
Fixed maturity securities, Cost or Amortized Cost	$ 1,059,661	$ 1,063,971
Equity securities, at cost	$ 101,335	$ 102,541
Common stock par value (in dollars per share)	$ 0.01	$ 0.01
Common stock shares authorized	30,000,000	30,000,000
Common stock shares issued	17,427,897	17,373,643
Treasury stock shares	2,279,570	2,279,570

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Revenues
Net earned premiums	$ 185,654	$ 182,564
Net investment income	9,627	10,557
Earnings from partnership investments	878
Net realized (losses) gains on investments	(323)	411
Net impairment losses on investments	(292)	0
Finance and other service income	4,285	4,507
Total revenue	199,829	198,039
Expenses
Losses and loss adjustment expenses	125,979	208,324
Underwriting, operating and related expenses	55,957	52,097
Interest expense	22	22
Total expenses	181,958	260,443
Income (loss) before income taxes	17,871	(62,404)
Income tax expense (credit)	5,201	(27,333)
Net income (loss)	$ 12,670	$ (35,071)
Earnings (loss) per weighted average common share:
Basic (in dollars per share)	$ 0.84	$ (2.37)
Diluted (in dollars per share)	0.84	(2.37)
Cash dividends paid per common share (in dollars per share)	$ 0.70	$ 0.70
Number of shares used in computing earnings (loss) per share:
Basic (in shares)	14,903,958	14,824,132
Diluted (in shares)	14,936,017	14,824,132

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 12,670	$ (35,071)
Other comprehensive income, net of tax:
Unrealized holding gains during the period, net of income tax expense of $5,508 and $1,893 .	10,229	3,515
Reclassification adjustment for losses or gains included in net income, net of income tax benefit (expense) of $113 and ($144).	210	(267)
Unrealized gains on securities available for sale	10,439	3,248
Comprehensive income (loss)	$ 23,109	$ (31,823)

Consolidated Statements of Com6

Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Consolidated Statements of Comprehensive Income
Tax (benefit) expense on unrealized holding (losses) gains during the period	$ 5,508	$ 1,893
Tax benefit (expense) on reclassification adjustment for gains included in net income	$ 113	$ (144)

Consolidated Statements of Chan

Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income, Net of Taxes	Retained Earnings	Treasury Stock	Total
Balance at Dec. 31, 2014	$ 173	$ 175,583	$ 28,715	$ 587,647	$ (83,835)	$ 708,283
Net income (loss)				(35,071)		(35,071)
Unrealized gains on securities available for sale, net of deferred federal income taxes			3,248			3,248
Restricted share awards issued	1	246				247
Recognition of employee share-based compensation, net of deferred federal income taxes		659				659
Exercise of options, net of federal income taxes		109				109
Dividends paid and accrued				(10,468)		(10,468)
Balance at Mar. 31, 2015	174	176,597	31,963	542,108	(83,835)	667,007
Balance at Dec. 31, 2015	174	179,896	16,464	531,800	(83,835)	644,499
Net income (loss)				12,670		12,670
Unrealized gains on securities available for sale, net of deferred federal income taxes			10,439			10,439
Restricted share awards issued		280				280
Recognition of employee share-based compensation, net of deferred federal income taxes		746				746
Exercise of options, net of federal income taxes		251				251
Dividends paid and accrued				(10,554)		(10,554)
Balance at Mar. 31, 2016	$ 174	$ 181,173	$ 26,903	$ 533,916	$ (83,835)	$ 658,331

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Cash flows from operating activities:
Net income (loss)	$ 12,670	$ (35,071)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization, net	3,041	2,608
Provision (credit) for deferred income taxes	107	(5,492)
Net realized losses (gains) on investments	323	(411)
Net impairment losses on investments	292	0
Earnings from partnership investments	(878)
Changes in assets and liabilities:
Accounts receivable	(104)	(1,636)
Accrued investment income	(452)	235
Receivable from reinsurers	4,351	(50,724)
Ceded unearned premiums	(1,123)	(1,750)
Deferred policy acquisition costs	533	54
Taxes recoverable	1,315	(25,815)
Other assets	327	(2,928)
Loss and loss adjustment expense reserves	(4,076)	88,001
Unearned premium reserves	1,122	4,475
Accounts payable and accrued liabilities	(7,035)	(21,154)
Payable to reinsurers	39	2,058
Other liabilities	(8,299)	37,477
Net cash provided by (used for) operating activities	2,153	(10,073)
Cash flows from investing activities:
Fixed maturities purchased	(60,517)	(64,505)
Equity securities purchased	(3,925)	(16,353)
Other invested assets purchased	(1,730)	(7)
Proceeds from sales and paydowns of fixed maturities	15,489	18,478
Proceeds from maturities, redemptions, and calls of fixed maturities	41,043	50,480
Proceeds from sales of equity securities	5,337	15,996
Proceeds from other invested assets redeemed	2,656
Fixed assets purchased	(1,664)	(815)
Net cash (used for) provided by investing activities	(3,311)	3,274
Cash flows from financing activities:
Proceeds from stock options exercised	257	107
Excess tax (expense) benefit from stock options exercised		2
Excess tax (expense) benefit from stock options exercised	(6)
Dividends paid to shareholders	(10,647)	(10,493)
Net cash used for financing activities	(10,396)	(10,384)
Net decrease in cash and cash equivalents	(11,554)	(17,183)
Cash and cash equivalents at beginning of year	47,494	42,455
Cash and cash equivalents at end of year	$ 35,940	$ 25,272

Basis of Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2016
Basis of Presentation
Basis of Presentation	1. Basis of Presentation The consolidated financial statements have been prepared on the basis of accounting principles generally accepted in the United States of America (“GAAP”). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from these estimates. The consolidated financial statements include Safety Insurance Group, Inc. and its subsidiaries (the “Company”). The subsidiaries consist of Safety Insurance Company, Safety Indemnity Insurance Company, Safety Property and Casualty Insurance Company, Safety Asset Management Corporation (“SAMC”), and Safety Management Corporation, which is SAMC’s holding company. All intercompany transactions have been eliminated. The financial information as of March 31 , 2016 and 2015 is unaudited; however, in the opinion of the Company, the information includes all adjustments, consisting only of normal recurring adjustments, necessary for a fair presentation of the financial condition, results of operations, and cash flows for the periods. The financial information as of December 31 , 2015 is derived from the audited financial statements included in the Company's 2015 annual report on Form 10-K filed with the SEC on February 26, 2016. These unaudited interim consolidated financial statements may not be indicative of financial results for the full year and should be read in conjunction with the audited financial statements included in the Company’s annual report on Form 10-K filed with the U.S. Securities and Exchange Commission (“SEC”) on February 26, 2016. The Company is a leading provider of property and casualty insurance focused primarily on the Massachusetts market. The Company’s principal product line is automobile insurance. The Company operates through its insurance company subsidiaries, Safety Insurance Company, Safety Indemnity Insurance Company, and Safety Property and Casualty Insurance Company (together referred to as the “Insurance Subsidiaries”). The Insurance Subsidiaries began writing private passenger automobile and homeowners insurance in New Hampshire during 2008, personal umbrella insurance in New Hampshire during 2009, and commercial automobile insurance in New Hampshire during 2011. The Insurance Subsidiaries began writing all of these lines of business in Maine during 2016.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	3 Months Ended
	Mar. 31, 2016
Recent Accounting Pronouncements
Recent Accounting Pronouncements	2. Recent Accounting Pronouncements In March 2016, the Financial Accounting Standards Board ( “ FASB ” ) issued Accounting Standards Update ( “ ASU ” ) 2016-09, Compensation-Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting . This ASC update requires all excess tax benefits and tax deficiencies to be recognized as income tax expense or benefit in the income statement, and be treated as discreet items in the reporting period in which they occur. Additionally, excess tax benefits will be classified with other income tax cash flows as an operating activity and cash paid by an employer when directly withholding shares for tax withholding purposes will be classified as a financing activity. Awards that are used to settle employee tax liabilities will be allowed to qualify for equity classification for withholdings up to the maximum statutory tax rates in applicable jurisdictions. Regarding forfeitures, a company can make an entity-wide accounting policy election to either continue estimating the number of awards that are expected to vest or account for forfeitures when they occur. The updated guidance is effective for annual periods beginning after December 15, 2016 and interim periods within those annual periods. Early adoption is permitted. The impact of the adoption of ASU 2016-01 to the Company’s financial position and results of operations is currently being evaluated. In January 2016, the FASB issued ASU 2016-01, Financial Instruments-Overall (Subtopic 825-10), Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”). The amendments in this ASU update address certain aspects of recognition, measurement, presentation and disclosure of financial instruments. ASU 2016-01: (1) requires equity investments (except those accounted for under the equity method or those that result in the consolidation of the investee) to be measured at fair value with changes in the fair value recognized in net income; (2) simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment; (3) requires the use of the exit price notion when measuring the fair value of financial instruments for disclosure purposes; and (4) requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or the notes to the financial statements. These amendments are effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The impact of the adoption of ASU 2016-01 to the Company’s financial position and results of operations is currently being evaluated. In May 2015, the FASB issued ASU 2015-09, Disclosures about Short-Duration Contracts (“ASU 2015-09”) . ASU 2015-09 requires companies that issue short duration contracts to disclose additional information, including: (i) incurred and paid claims development tables; (ii) frequency and severity of claims; and (iii) information about material changes in judgments made in calculating the liability for unpaid claim adjustment expenses, including reasons for the change and the effects on the financial statements. ASU 2015-09 is effective for annual periods beginning after December 15, 2015, and interim periods within annual periods beginning after December 15, 2016. The amendments in ASU 2015-09 should be applied retrospectively by providing comparative disclosures for each period presented, except for those requirements that apply only to the current period. As the requirements of this literature are disclosure only, the application of this guidance will not impact our financial condition, results of operations or cash flows. In May 2015, the FASB issued ASU 2015-07, Fair Value Measurement Disclosures for Investments in Certain Entities that Calculate Net Asset Value per Share (or Its Equivalent) (“ASU 2015-07”). ASU 2015-07 removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the net asset value per share practical expedient. The reporting entity should continue to disclose information on investments for which fair value is measured at net asset value (or its equivalent) as a practical expedient to help users understand the nature and risks of the investments and whether the investments, if sold, are probable of being sold at amounts different from net asset value. ASU 2015-07 is effective for fiscal years begi nning after December 31, 2015. The Company’s adoption of ASU 2015-07 did n ot have a material impact on the Company’s financial position, results of operations or cash flows. In April 2015, the FASB issued ASU No. 2015-03, Imputation of Interest (“ASU 2015-03”) . ASU 2015-03 simplifies the presentation of debt issuance costs as the amendments in this update require that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of debt liability, consistent with debt discounts or premiums. The recognition and measurement guidance for debt issuance costs are not affected by the amendments in this update. ASU 2015-03 is effective for annual and interim reporting periods beginning after December 15, 2015. The standard requires a retrospective approach where the balance sheet of each individual period presented should be adjusted to reflect the period-specific effects of applying the new guidance. The standard also requires compliance with applicable disclosures for a change in an accounting principle. The Company’s adoption of ASU 2015-03 had no impact on the Company’s financial position, results of operations or cash flows. In August 2014, the FASB issued ASU No. 2014-15, “ Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosures of Uncertainties about an Entity’s Ability as a Going Concern” (“ASU 2014-15”) . ASU 2014-15 provides guidance on determining when and how to disclose going concern uncertainties in the financial statements, and requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued. ASU 2014-15 is effective for annual periods ending after December 15, 2016 and interim periods thereafter. Early adoption is permitted. The Company does not expect the adoption of ASU 2014-15 to have any impact on its financial position, results of operations, or cash flows. In June 2014, the FASB issued ASU No. 2014-12, "Compensation—Stock Compensation (Topic 718): Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved After the Requisite Service Period" ("ASU 2014-12”), which revises the accounting treatment for stock compensation tied to performance targets. ASU 2014-12 is effective for calendar years beginning after December 15, 2015. The impact of adoption was not material to the Company’s financial position, results of operations or cash flows. In May 2014, the FASB issued as final, ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)” which supersedes virtually all existing revenue recognition guidance under GAAP. The update's core principle is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The update is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2017 and allows early adoption. ASU 2014-09 allows for the use of either the retrospective or modified retrospective approach of adoption. The Company does not expect the adoption of ASU 2014-09 to have a material impact on its financial position, results of operations, or cash flows.

Earnings (loss) per Weighted Av

Earnings (loss) per Weighted Average Common Share	3 Months Ended
	Mar. 31, 2016
Earnings (loss) per Weighted Average Common Share
Earnings (loss) per Weighted Average Common Share	3. Earnings (loss) per Weighted Average Common Share Basic earnings (loss) per weighted average common share (“EPS”) are calculated by dividing net income (loss) by the weighted average number of basic common shares outstanding during the period. Diluted earnings (loss) per share amounts are based on the weighted average number of common shares including non-vested performance stock grants and the net effect of potentially dilutive common stock options. The following table sets forth the computation of basic and diluted EPS for the periods indicated. Three Months Ended March 31, 2016 2015 Earnings attributable to common shareholders - basic and diluted: Net income (loss) from continuing operations $ $ Allocation of income for participating shares — Net income (loss) from continuing operations attributed to common shareholders $ $ Earnings per share denominator - basis and diluted Total weighted average common shares outstanding, including participating shares Less: weighted average participating shares Basic earnings per share denominator Common equivalent shares- stock options — (1) Common equivalent shares- non-vested performance stock grants — (2) Diluted earnings per share denominator Basic earnings (loss) per share $ $ Diluted earnings (loss) per share $ $ Undistributed earnings (loss) attributable to common shareholders - basic and diluted: Net income (loss) from continuing operations attributable to common shareholders -Basic $ $ Dividends declared Undistributed earnings (loss) $ $ Net income (loss) from continuing operations attributable to common shareholders -Diluted $ $ Dividends declared Undistributed earnings (loss) $ $ (1) Excludes 2,228 of common equivalent shares related to stock options because their inclusion would be anti dilutive due to the net loss of the Company. (2) Excludes 96,959 of common equivalent shares related to non-vested performance stock grants because their inclusion would be anti dilutive due to the net loss of the Company Diluted EPS excludes stock options with exercise prices and exercise tax benefits greater than the average market price of the Company’s common stock during the period because their inclusion would be anti-dilutive. There were no anti-dilutive stock options for the three months ended March 31, 2016 . There were 3,456 anti dilutive shares related to non vested performance stock for the three months ended March 31, 2016 .

Share-Based Compensation

Share-Based Compensation	3 Months Ended
	Mar. 31, 2016
Share-Based Compensation
Share-Based Compensation	4. Share-Based Compensation Management Omnibus Incentive Plan Long-term incentive compensation is provided under the Company’s 2002 Management Omnibus Incentive Plan (“the Incentive Plan”) which provides for a variety of share-based compensation awards, including nonqualified stock options, incentive stock options, stock appreciation rights and restricted stock (“RS”) awards. The maximum number of shares of common stock with respect to which awards may be granted is 2,500,000 . The Incentive Plan was amended in March of 2013 to remove "share recycling" plan provisions. Hence, shares of stock covered by an award under the Incentive Plan that are forfeited are no longer available for issuance in connection with 2013 and future grants of awards. At March 31 , 2016 , there were 289,067 shares available for future grant. The Board of Directors and the Compensation Committee intend to issue more awards under the Incentive Plan in the future. Accounting and Reporting for Stock-Based Awards Accounting Standards Codification (“ASC”) 718, Compensation —Stock Compensation requires the Company to measure and recognize the cost of employee services received in exchange for an award of equity instruments. Under the provisions of ASC 718, share-based compensation cost is measured at the grant date, based on the fair value of the award, and is recognized as an expense over the requisite service period (generally the vesting period of the equity grant). The following table summarizes stock option activity under the Incentive Plan for the three months ended March 31, 2016 . Weighted Shares Weighted Average Aggregate Under Average Remaining Intrinsic Option Exercise Price Contractual Term Value Outstanding at beginning of year 6,200 $ 42.85 Exercised (6,000) $ 42.85 Forfeitures (200) $ 42.85 Outstanding at end of period — $ — none $ — Exercisable at end of period — $ — none $ — As of March 31, 2016, all stock option awards have expired and all compensation expense related to stock option awards has been recognized. The total intrinsic value of options exercised during the three months ended March 31, 2016 and 2015 was $ 85 and $ 53 , respectively . Cash received from stock options exercised was $ 257 and $ 107 for the three months ended March 31, 2016 and 2015 , respectively. Restricted Stock Service-based restricted stock awarded in the form of unvested shares is recorded at the market value of the Company’s common stock on the grant date and amortized ratably as compensation expense over the requisite service period. Service-based restricted stock awards generally vest over a three -year period and vest 30% on the first and second anniversaries of the grant date and 40% on the third anniversary of the grant date, except for non-executive employees’ restricted stock awards which vest ratably over a five -year service period and independent directors’ stock awards which vest immediately. Our independent directors are subject to stock ownership guidelines, which require them to have a value four times their annual cash retainer. In addition to service-based awards, the Company grants performance-based restricted shares to certain employees. These performance shares cliff vest after a three -year performance period provided certain performance measures are attained. A portion of these awards, which contain a market condition, vest according to the level of total shareholder return achieved by the Company compared to its property-casualty insurance peers over a three -year period. The remainders, which contain a performance condition, vest according to the level of Company’s combined ratio results compared to a target based on its property-casualty insurance peers. Actual payouts can range from 0% to 200% of target shares awarded depending upon the level of achievement of the respective market and performance conditions during a three calendar-year performance period. Compensation expense for share awards with a performance condition is based on the probable number of awards expected to vest using the performance level most likely to be achieved at the end of the performance period. Performance-based awards with market conditions are accounted for and measured differently from awards that have a performance or service condition. The effect of a market condition is reflected in the award’s fair value on the grant date. That fair value is recognized as compensation cost over the requisite service period regardless of whether the market-based performance objective has been satisfied. All of the Company’s restricted stock awards are issued as incentive compensation and are equity classified. The following table summarizes restricted stock activity under the Incentive Plan during the three months ended March 31 , 2016 , assuming a target payout for the 2016 performance-based shares. Shares Weighted Performance-based Weighted Under Average Shares Under Average Restriction Fair Value Restriction Fair Value Outstanding at beginning of year $ $ Granted Vested and unrestricted Forfeited Outstanding at end of period $ $ As of March 31 , 2016 , there was $ 8,961 of unrecognized compensation expense related to non-vested restricted stock awards that is expected to be recognized over a weighted average period of 2.2 years. The total fair value of the shares that were vested and unrestricted during the three months ended March 31 , 2016 and 2015 was $ 3,732 and $ 2,897 , respectively . For the three months ended March 31, 2016 and 2015 , the Company recorded compensation expense related to restricted stock of $ 603 and $ 389 , net of income tax benefits of $ 324 and $ 210 , respectively.

Investments

Investments	3 Months Ended
	Mar. 31, 2016
Investments
Investments	5. Investments The gross unrealized gains and losses on investments in fixed maturity securities, including redeemable preferred stocks that have characteristics of fixed maturities, and equity securities, including interests in mutual funds, and other invested assets were as follows for the periods indicated. As of March 31, 2016 Gross Unrealized Losses (3) Cost or Gross Non-OTTI OTTI Estimated Amortized Unrealized Unrealized Unrealized Fair Cost Gains Losses Losses (4) Value U.S. Treasury securities $ $ $ $ — $ Obligations of states and political subdivisions — Residential mortgage-backed securities (1) — Commercial mortgage-backed securities — Other asset-backed securities — Corporate and other securities — Subtotal, fixed maturity securities — Equity securities (2) — Other invested assets (5) — — — Totals $ $ $ $ — $ As of December 31, 2015 Gross Unrealized Losses (3) Cost or Gross Non-OTTI OTTI Estimated Amortized Unrealized Unrealized Unrealized Fair Cost Gains Losses Losses (4) Value U.S. Treasury securities $ $ — $ $ — $ Obligations of states and political subdivisions — Residential mortgage-backed securities (1) — Commercial mortgage-backed securities — Other asset-backed securities — Corporate and other securities — Subtotal, fixed maturity securities — Equity securities (2) — Other invested assets (5) — — — Totals $ $ $ $ — $ (1) Residential mortgage-backed securities consists primarily of obligations of U.S. Government agencies including collateralized mortgage obligations issued, guaranteed and/or insured by the following issuers: Government National Mortgage Association (GNMA), Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage Association (FNMA) and the Federal Home Loan Bank (FHLB). (2) Equity securities included interests in mutual funds held to fund the Company’s executive deferred compensation plan. (3) Our investment portfolio included 328 and 514 securities in an unrealized loss position at March 31 , 2016 and December 31 , 2015 , respectively. (4) Amounts in this column represent other-than-temporary impairment (“OTTI”) recognized in accumulated other comprehensive income. (5) Other invested assets are accounted for under the equity method which approximated fair value. The amortized cost and the estimated fair value of fixed maturity securities, by maturity, are shown below for the period indicated. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. As of March 31, 2016 Amortized Estimated Cost Fair Value Due in one year or less $ $ Due after one year through five years Due after five years through ten years Due after ten years through twenty years Due after twenty years Asset-backed securities Totals $ $ The gross realized losses and gains on sales of investments were as follows for the periods indicated. Three Months Ended March 31, 2016 2015 Gross realized gains Fixed maturity securities $ $ Equity securities Gross realized losses Fixed maturity securities Equity securities Net realized (losses) gains on investments $ $ In the normal course of business, the Company enters into transactions involving various types of financial instruments, including investments in fixed maturities and equity securities. Investment transactions have credit exposure to the extent that a counter party may default on an obligation to the Company. Credit risk is a consequence of carrying, trading and investing in securities. To manage credit risk, the Company focuses on higher quality fixed income securities, reviews the credit strength of all companies in which it invests, limits its exposure in any one investment and monitors the portfolio quality, taking into account credit ratings assigned by recognized statistical rating organizations. The following tables as of March 31 , 2016 and December 31 , 2015 present the gross unrealized losses included in the Company’s investment portfolio and the fair value of those securities aggregated by investment category. The tables also present the length of time that they have been in a continuous unrealized loss position. As of March 31, 2016 Less than 12 Months 12 Months or More Total Estimated Unrealized Estimated Unrealized Estimated Unrealized Fair Value Losses Fair Value Losses Fair Value Losses U.S. Treasury securities $ $ $ — $ — $ $ Obligations of states and political subdivisions — — Residential mortgage-backed securities Commercial mortgage-backed securities — — Other asset-backed securities — — Corporate and other securities Subtotal, fixed maturity securities Equity securities Total temporarily impaired securities $ $ $ $ $ $ As of December 31, 2015 Less than 12 Months 12 Months or More Total Estimated Unrealized Estimated Unrealized Estimated Unrealized Fair Value Losses Fair Value Losses Fair Value Losses U.S. Treasury securities $ $ $ — $ — $ $ Obligations of states and political subdivisions Residential mortgage-backed securities Commercial mortgage-backed securities — — Other asset-backed securities — — Corporate and other securities Subtotal, fixed maturity securities Equity securities Total temporarily impaired securities $ $ $ $ $ $ Other-Than-Temporary Impairments ASC 320, Investments – Debt and Equity Securities requires entities to separate an OTTI of a debt security into two components when there are credit related losses associated with the impaired debt security for which the Company asserts that it does not have the intent to sell the security, and it is more likely than not that it will not be required to sell the security before recovery of its cost basis. Under ASC 320, the amount of the OTTI related to a credit loss is recognized in earnings, and the amount of the OTTI related to other factors is recorded as a component of other comprehensive income (loss). In instances where no credit loss exists but it is more likely than not that the Company will have to sell the debt security prior to the anticipated recovery, the decline in market value below amortized cost is recognized as an OTTI in earnings. In periods after the recognition of an OTTI on debt securities, the Company accounts for such securities as if they had been purchased on the measurement date of the OTTI at an amortized cost basis equal to the previous amortized cost basis less the OTTI recognized in earnings. For debt securities for which OTTI was recognized in earnings, the difference between the new amortized cost basis and the cash flows expected to be collected will be accreted or amortized into net investment income. The Company holds no subprime mortgage debt securities. All of the Company’s holdings in mortgage-backed securities are either U.S. Government or Agency guaranteed or are rated investment grade by either Moody’s or Standard & Poor’s. The unrealized losses in the Company’s fixed income and equity portfolio as of March 31 , 2016 were reviewed for potential other-than-temporary asset impairments. The Company held four debt securities at December 31 , 2015 with a material ( 20% or greater) unrealized loss for four or more consecutive quarters that additionally had certain qualitative factors that led to an impairment charge. As a result of our analysis, during the quarter ended March 31, 2016, the Company recognized OTTI of $292 which consisted entirely of credit losses related to fixed maturity securities. There was no OTTI related to fixed maturity securities during the quarter ended March 31, 2015. Specific qualitative analysis was also performed for any additional securities appearing on the Company’s “Watch List,” if any. Qualitative analysis considered such factors as the financial condition and the near term prospects of the issuer, whether the debtor is current on its contractually obligated interest and principal payments, changes to the rating of the security by a rating agency and the historical volatility of the fair value of the security. The qualitative analysis performed by the Company concluded that outside of the securities that were recognized through OTTI, the unrealized losses recorded on the investment portfolio at March 31 , 2016 resulted from fluctuations in market interest rates and other temporary market conditions as opposed to fundamental changes in the credit quality of the issuers of such securities. Therefore, decreases in fair values of the Company’s securities are viewed as being temporary. The following table summarizes the credit loss recognized in earnings related to fixed maturity securities. Three Months Ended March 31, 2016 2015 Credit losses on fixed maturity securities, beginning of period $ $ - Add: credit losses on OTTI not previously recognized - Less: credit losses on securities sold - Less: credit losses on securities impaired due to intent to sell - - Add: credit losses on previously impaired securities - - Less: increases in cash flows expected on previously impaired securities - - Credit losses on fixed maturity securities, end of period $ $ - At March 31 , 2016 and December 31 , 2015 , there were no amounts included in accumulated other comprehensive income related to securities which were considered by the Company to be other-than-temporarily impaired. Based upon the qualitative analysis performed, the Company’s decision to hold these securities, the Company’s current level of liquidity and our history of positive operating cash flows, management believes it is more likely than not that it will not be required to sell any of its securities before the anticipated recovery in the fair value to its amortized cost basis. Net Investment Income The components of net investment income were as follows: Three Months Ended March 31, 2016 2015 Interest on fixed maturity securities $ $ Dividends on equity securities Equity in earnings of other invested assets Interest on other assets Interest on cash and cash equivalents Total investment income Investment expenses Net investment income $ $ Fair Value Measurements ASC 820, Fair Value Measurements and Disclosure provides a revised definition of fair value, establishes a framework for measuring fair value and expands financial statement disclosure requirements for fair value information. Under ASC 820, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants (an exit price). ASC 820 establishes a fair value hierarchy that distinguishes between inputs based on market data from independent sources (“observable inputs”) and a reporting entity’s internal assumptions based upon the best information available when external market data is limited or unavailable (“unobservable inputs”). The fair value hierarchy in ASC 820 prioritizes fair value measurements into three levels based on the nature of the inputs as follows: Level 1 — Valuations based on quoted prices in active markets for identical assets and liabilities; Level 2 — Valuations based on observable inputs that do not meet the criteria for Level 1, including quoted prices in inactive markets and quoted prices in active markets for similar, but not identical instruments; and Level 3 — Valuations based on unobservable inputs. Fair values for the Company’s fixed maturity securities are based on prices provided by its custodian bank and its investment managers. Both the Company’s custodian bank and investment managers use a variety of independent, nationally recognized pricing services to determine market valuations. If the pricing service cannot provide fair value determinations, the Company obtains non-binding price quotes from broker-dealers. A minimum of two quoted prices is obtained for the majority of the Company’s available-for-sale fixed maturity securities in its investment portfolio. The Company’s custodian bank is its primary provider of quoted prices from third-party pricing services and broker-dealers. To provide reasonable assurance of the validity of each price or quote, a secondary third-party pricing service or broker-dealer quote is obtained from the Company’s investment managers. An examination of the pricing data is then performed for each security. If the variance between the primary and secondary price quotes for a security is within an accepted tolerance level, the quoted price obtained from the Company’s custodian bank is used in the financial statements for the security. If the variance between the primary and secondary price quotes exceeds an accepted tolerance level, the Company obtains a quote from an alternative source, if possible, and documents and resolves any differences between the pricing sources. In addition, the Company may request that its investment managers and its traders provide input as to which vendor is providing prices that its traders believe are reflective of fair value for the security. Following this process, the Company may decide to value the security in its financial statements using the secondary or alternative source if it believes that pricing is more reflective of the security’s value than the primary pricing provided by its custodian bank. The Company analyzes market valuations received to verify reasonableness, to understand the key assumptions used and their sources, and to determine an appropriate ASC 820 fair value hierarchy level based upon trading activity and the observability of market inputs. Based on this evaluation and investment class analysis, each price is classified into Level 1, 2 or 3. Fair values of instruments are based on (i) quoted prices in active markets for identical assets (Level 1), (ii) quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-derived valuations in which all significant inputs are observable in active markets (Level 2) or (iii) valuations derived from valuation techniques in which one or more significant inputs are unobservable in the marketplace (Level 3). The Company’s Level 1 securities consist of equity securities whose values are based on quoted prices in active markets for identical assets. The Company’s Level 2 securities are comprised of available-for-sale fixed maturity securities whose fair value was determined using observable market inputs. The Company’s Level 3 securities consist of two investments; (1) a real estate investment trust equity investment whose fair value was determined using the trust’s net asset value obtained from its audited financial statements; however, the Company is required to submit a request 45 days before a quarter end to dispose of the security; and (2) an investment in the Federal Home Loan Bank of Boston related to Safety Insurance Company’s membership stock, which is not redeemable in a short-term time frame. Fair values for securities for which quoted market prices were unavailable were estimated based upon reference to observable inputs such as benchmark interest rates, market comparables, and other relevant inputs. Investments valued using these inputs include U.S. Treasury securities, obligations of states and political subdivisions, corporate and other securities, commercial and residential mortgage-backed securities, and other asset-backed securities. Inputs into the fair value application that are utilized by asset class include but are not limited to: · Obligations of states and political subdivisions : overall credit quality, including assessments of market sectors and the level and variability of sources of payment such as general obligation, revenue or lease; credit support such as insurance, state or local economic and political base, prefunded and escrowed to maturity covenants. · Corporate and other securities : overall credit quality, the establishment of a risk adjusted credit spread over the applicable risk-free yield curve for discounted cash flow valuations; assessments of the level of industry economic sensitivity, company financial policies, indenture restrictive covenants, and/or security and collateral. · Residential mortgage-backed securities , U.S. agency pass-throughs, collateralized mortgage obligations (“CMOs”), non U.S. agency CMOs : estimates of prepayment speeds based upon historical prepayment rate trends, underlying collateral interest rates, original weighted average maturity, vintage year, borrower credit quality characteristics, interest rate and yield curve forecasts, U.S. government support programs, tax policies, and delinquency/default trends. · Commercial mortgage-backed securities : overall credit quality, including assessments of the level and variability of credit support and collateral type such as office, retail, or lodging, predictability of cash flows for the deal structure, prevailing economic market conditions. · Other asset-backed securities : overall credit quality, estimates of prepayment speeds based upon historical trends and characteristics of underlying loans, including assessments of the level and variability of collateral, revenue generating agreements, area licenses agreements, product sourcing agreements and equipment and property leases. · Real estate investment trust (“REIT”): net asset value per share derived from member ownership in capital venture to which a proportionate share of independently appraised net assets is attributed. · Federal Home Loan Bank of Boston (“FHLB-Boston”): value is equal to the cost of the member stock purchased. In order to ensure the fair value determination is representative of an exit price (consistent with ASC 820), the Company’s procedures for validating quotes or prices obtained from third parties include, but are not limited to, obtaining a minimum of two price quotes for each fixed maturity security if possible, as discussed above, the periodic testing of sales activity to determine if there are any significant differences between the market price used to value the security as of the balance sheet date and the sales price of the security for sales that occurred around the balance sheet date, and the periodic review of reports provided by its investment manager regarding those securities with ratings changes and securities placed on its “Watch List.” In addition, valuation techniques utilized by pricing services and prices obtained from external sources are reviewed by the Company’s external investment manager, whose investment professionals are familiar with the securities being priced and the markets in which they trade, to ensure the fair value determination is representative of an exit price (consistent with ASC 820). All unadjusted estimates of fair value for our fixed maturities priced by the pricing services as described above are included in the amounts disclosed in Level 2. With the exception of the REIT and FHLB-Boston securities, which are categorized as Level 3 securities, the Company’s entire available-for-sale portfolio was priced based upon quoted market prices or other observable inputs as of March 31 , 2016 . There were no significant changes to the valuation process during the three months ended March 31 , 2016 . As of March 31 , 2016 and December 31 , 2015 , no quotes or prices obtained were adjusted by management. All broker quotes obtained were non-binding. At March 31, 2016 and December 31, 2015 , investments in fixed maturities and equity securities classified as available-for-sale had a fair value which equaled carrying value of $ 1,202,385 and $ 1,191,841 , respectively. We have no short-term investments. The carrying values of cash and cash equivalents and investment income accrued approximated fair value. The following tables summarize the Company’s total fair value measurements for available-for-sale investments for the periods indicated. As of March 31, 2016 Total Level 1 Inputs Level 2 Inputs Level 3 Inputs U.S. Treasury securities $ $ — $ $ — Obligations of states and political subdivisions — — Residential mortgage-backed securities — — Commercial mortgage-backed securities — — Other asset-backed securities — — Corporate and other securities — — Equity securities — Total investment securities $ $ $ $ As of December 31, 2015 Total Level 1 Inputs Level 2 Inputs Level 3 Inputs U.S. Treasury securities $ $ — $ $ — Obligations of states and political subdivisions — — Residential mortgage-backed securities — — Commercial mortgage-backed securities — — Other asset-backed securities — — Corporate and other securities — — Equity securities — Total investment securities $ $ $ $ There were no transfers between Level 1 and Level 2 during the three months ended March 31, 2016 and the year ended December 31, 2015 . The following table summarizes the changes in the Company’s Level 3 fair value securities for the periods indicated. Three Months Ended March 31, 2016 2015 Level 3 Level 3 Fair Value Fair Value Securities Securities Balance at beginning of period $ Net gains and losses included in earnings — — Net gains included in other comprehensive income Purchases — — Sales — — Transfers into Level 3 — — Transfers out of Level 3 — — Balance at end of period $ $ Amount of total losses included in earnings attributable to the change in unrealized losses related to assets still held at end of period $ — $ — Transfers in and out of Level 3 are attributable to changes in the ability to observe significant inputs in determining fair value exit pricing. As noted in the table above, no transfers were made in or out of Level 3 during the three months ended March 31, 2016 and 2015 . The Company held two Level 3 securities at March 31 , 2016 and March 31 , 2015 .

Loss and Loss Adjustment Expens

Loss and Loss Adjustment Expense Reserves	3 Months Ended
	Mar. 31, 2016
Loss and Loss Adjustment Expense Reserves
Loss and Loss Adjustment Expense Reserves	6. Loss and Loss Adjustment Expense Reserves The following table sets forth a reconciliation of beginning and ending reserves for losses and loss adjustment expenses (“LAE”), as shown in the Company’s consolidated financial statements for the periods indicated. Three Months Ended March 31, 2016 2015 Reserves for losses and LAE at beginning of year $ $ Less receivable from reinsurers related to unpaid losses and LAE Net reserves for losses and LAE at beginning of year Incurred losses and LAE, related to: Current year Prior years Total incurred losses and LAE Paid losses and LAE related to: Current year Prior years Total paid losses and LAE Net reserves for losses and LAE at end of period Plus receivable from reinsurers related to unpaid losses and LAE Reserves for losses and LAE at end of period $ $ At the end of each period, the reserves were re-estimated for all prior accident years. The Company’s prior year reserves decreased by $ 10,049 and $ 4,086 for the three months ended March 31, 2016 and 2015 , respectively, and resulted from re-estimations of prior years ultimate loss and LAE liabilities. The decreases in prior years reserves during the three months ended March 31 , 2016 and 2015 periods are primarily composed of reductions in our retained automobile and retained homeowners reserves. The Company's automobile lines of business reserves decreased for the three months ended March 31, 2016 and 2015 primarily due to fewer incurred but not yet reported claims than previously estimated and better than previously estimated severity on the Company’s established bodily injury and property damage case reserves. Due to the nature of the risks that the Company underwrites and has historically underwritten, management does not believe that it has an exposure to asbestos or environmental pollution liabilities.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2016
Commitments and Contingencies
Commitments and Contingencies	7. Commitments and Contingencies On December 15, 2015, the Company filed for arbitration with a reinsurer in regards to the reinsurance recoverable resulting from the 2015 winter storm losses that are admissible under our contract. The total amount of recoverable in dispute, which is based on our total incurred loss, is $22,838 . No provision for collectability has been recorded in the financial statements as we believe the recoverable is valid and will be recovered. Various claims, generally incidental to the conduct of normal business, are pending or alleged against the Company from time to time. In the opinion of management, based in part on the advice of legal counsel, the ultimate resolution of such claims will not have a material adverse effect on the Company’s consolidated financial statements. However, if estimates of the ultimate resolutions of those proceedings are revised, liabilities related to those proceedings could be adjusted in the near term. Massachusetts law requires that insurers licensed to do business in Massachusetts participate in the Massachusetts Insurers Insolvency Fund (“Insolvency Fund”). Members of the Insolvency Fund are assessed a proportionate share of the obligations and expenses of the Insolvency Fund in connection with an insolvent insurer. It is anticipated that there will be additional assessments from time to time relating to various insolvencies. Although the timing and amounts of any future assessments are not known, based upon existing knowledge, management’s opinion is that such future assessments are not expected to have a material effect upon the financial position of the Company.

Debt

Debt	3 Months Ended
	Mar. 31, 2015
Debt
Debt	8. Debt The Company has a Revolving Credit Agreement (the “Credit Agreement”) with RBS Citizens, NA (“RBS Citizens”). The Credit Agreement provides a $30,000 revolving credit facility with an accordion feature allowing for future expansion of the committed amount up to $50,000 . Loans under the credit facility bear interest at the Company’s option at either (i) the LIBOR rate plus 1.25% per annum or (ii) the higher of RBS Citizens prime rate or 0.5% above the federal funds rate plus 1.25% per annum. Interest only is payable prior to maturity. The Credit Agreement has a maturity date of August 14, 2018. The Company’s obligations under the credit facility are secured by pledges of its assets and the capital stock of its operating subsidiaries. The credit facility is guaranteed by the Company’s non-insurance company subsidiaries. The credit facility contains covenants including requirements to maintain minimum risk-based capital ratios and statutory surplus of Safety Insurance Company as well as limitations or restrictions on indebtedness, liens, and other matters. As of March 31, 2016 , the Company was in compliance with all covenants. In addition, the credit facility includes customary events of default, including a cross-default provision permitting the lenders to accelerate the facility if the Company (i) defaults in any payment obligation under debt having a principal amount in excess of $10,000 or (ii) fails to perform any other covenant permitting acceleration of all such debt. The Company had no amounts outstanding on its credit facility at March 31, 2016 and December 31, 2015 . The credit facility commitment fee included in interest expense was computed at a rate of 0.25% per annum on the $30,000 commitment at March 31, 2016 and 2015 . Safety Insurance Company is a member of the FHLB-Boston. Membership in the FHLB-Boston allows the Company to borrow money at competitive interest rates provided the loan is collateralized by specific U.S Government residential mortgage backed securities. At March 31 , 2016 , the Company has the ability to borrow $201,915 using eligible invested assets that would be used as collateral. The Company has no amounts outstanding from the FHLB-Boston at March 31 , 2016 and at December 31, 2015 .

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2016
Income Taxes
Income Taxes	9. Income Taxes Federal income tax expense for the three months ended March 31, 2016 and 2015 has been computed using estimated effective tax rates. These rates are revised, if necessary, at the end of each successive interim period to reflect the current estimates of the annual effective tax rates. The effec tive rate in 2016 was lower than the statutory rate primarily due to adjustments for tax-exempt investment income. The 2015 effective rate is the result of the expected tax benefit related to net losses incurred by the Company during the year end December 31, 2015, calculated under ASC 740, Income Taxes (ASC 740-270-55), and adjustments for tax-exempt investment income. The Company believes that the positions taken on its income tax returns for open tax years will be sustained upon examination by the Internal Revenue Service (“IRS”). Therefore, the Company has not recorded any liability for uncertain tax positions under ASC 740, Income Taxes . During the three months ended March 31, 2016 , there were no material changes to the amount of the Company’s unrecognized tax benefits or to any assumptions regarding the amount of its ASC 740 liability. The Company’s U.S. federal tax return for the year ended December 31, 2011 was examined by the IRS with no findings. In the Company’s opinion, adequate tax liabilities have been established for all open years. However, the amount of these tax liabilities could be revised in the near term if estimates of the Company’s ultimate liability are revised. Tax years prior to 2012 are closed.

Share Repurchase Program

Share Repurchase Program	3 Months Ended
	Mar. 31, 2016
Share Repurchase Program
Share Repurchase Program	10. Share Repurchase Program On August 3, 2007, the Board of Directors approved a share repurchase program of up to $ 30,000 of the Company’s outstanding common shares. As of March 31 , 2016 , the Board of Directors had cumulatively authorized increases to the existing share repurchase program of up to $ 150,000 of its outstanding common shares. Under the program, the Company may repurchase shares of its common stock for cash in public or private transactions, in the open market or otherwise. The timing of such repurchases and actual number of shares repurchased will depend on a variety of factors including price, market conditions and applicable regulatory and corporate requirements. The program does not require the Company to repurchase any specific number of shares and it may be modified, suspended or terminated at any time without prior notice. No share purchases were made by the Company under the program during the three months ended March 31, 2016 and 2015 . As of March 31, 2016 , the Company has purchased 2,279,570 shares at a cost of $ 83,835 .

Related Party Transactions

Related Party Transactions	3 Months Ended
	Mar. 31, 2016
Related Party Transactions
Related Party Transactions	11. Related Party Transactions Mr. A. Richard Caputo, Jr., a member of the Company’s Board of Directors and the Chairman of its Investment Committee, is a principal of The Jordan Company, LP (“Jordan”). In 2012, the Company participated as a lender in two loans made by syndicates of lenders to a portfolio company in which funds managed by Jordan are controlling or a significant investor. The first loan, made to Vantage Specialties, Inc., currently bears interest at a rate of 5.00% per annum and matures in February 2019 . The Company’s participation in the loan was $1,414 and $1,405 at March 31 , 2016 and December 31 , 2015 , respectively. The loan amortizes in equal quarterly installments of 0.25% of the principal amount per quarter. The second loan, made to ARCAS Automotive (formerly known as Sequa Auto), was disposed of in 2015 . The Company made the loans on the same terms as the other lenders participating in the syndicate. The loans were subject to the approval of the Company’s full Investment Committee.

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2016
Subsequent Events
Subsequent Events	12. Subsequent Events The Company has evaluated subsequent events for recognition or disclosure in the consolidated financial statements filed on Form 10-Q with the SEC and no events have occurred that require recognition or disclosure.

Earnings (loss) per Weighted 21

Earnings (loss) per Weighted Average Common Share (Tables)	3 Months Ended
	Mar. 31, 2016
Earnings (loss) per Weighted Average Common Share
Computation of basic and diluted EPS	Three Months Ended March 31, 2016 2015 Earnings attributable to common shareholders - basic and diluted: Net income (loss) from continuing operations $ $ Allocation of income for participating shares — Net income (loss) from continuing operations attributed to common shareholders $ $ Earnings per share denominator - basis and diluted Total weighted average common shares outstanding, including participating shares Less: weighted average participating shares Basic earnings per share denominator Common equivalent shares- stock options — (1) Common equivalent shares- non-vested performance stock grants — (2) Diluted earnings per share denominator Basic earnings (loss) per share $ $ Diluted earnings (loss) per share $ $ Undistributed earnings (loss) attributable to common shareholders - basic and diluted: Net income (loss) from continuing operations attributable to common shareholders -Basic $ $ Dividends declared Undistributed earnings (loss) $ $ Net income (loss) from continuing operations attributable to common shareholders -Diluted $ $ Dividends declared Undistributed earnings (loss) $ $ (1) Excludes 2,228 of common equivalent shares related to stock options because their inclusion would be anti dilutive due to the net loss of the Company. (2) Excludes 96,959 of common equivalent shares related to non-vested performance stock grants because their inclusion would be anti dilutive due to the net loss of the Company

Share-Based Compensation (Table

Share-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2016
Share-Based Compensation
Schedule of stock option activity	Weighted Shares Weighted Average Aggregate Under Average Remaining Intrinsic Option Exercise Price Contractual Term Value Outstanding at beginning of year 6,200 $ 42.85 Exercised (6,000) $ 42.85 Forfeitures (200) $ 42.85 Outstanding at end of period — $ — none $ — Exercisable at end of period — $ — none $ —
Schedule of restricted stock and performance-based restricted stock activity	The following table summarizes restricted stock activity under the Incentive Plan during the three months ended March 31 , 2016 , assuming a target payout for the 2016 performance-based shares. Shares Weighted Performance-based Weighted Under Average Shares Under Average Restriction Fair Value Restriction Fair Value Outstanding at beginning of year $ $ Granted Vested and unrestricted Forfeited Outstanding at end of period $ $

Investments (Tables)

Investments (Tables)	3 Months Ended
	Mar. 31, 2016
Investments
Gross unrealized gains and losses on investments in securities	As of March 31, 2016 Gross Unrealized Losses (3) Cost or Gross Non-OTTI OTTI Estimated Amortized Unrealized Unrealized Unrealized Fair Cost Gains Losses Losses (4) Value U.S. Treasury securities $ $ $ $ — $ Obligations of states and political subdivisions — Residential mortgage-backed securities (1) — Commercial mortgage-backed securities — Other asset-backed securities — Corporate and other securities — Subtotal, fixed maturity securities — Equity securities (2) — Other invested assets (5) — — — Totals $ $ $ $ — $ As of December 31, 2015 Gross Unrealized Losses (3) Cost or Gross Non-OTTI OTTI Estimated Amortized Unrealized Unrealized Unrealized Fair Cost Gains Losses Losses (4) Value U.S. Treasury securities $ $ — $ $ — $ Obligations of states and political subdivisions — Residential mortgage-backed securities (1) — Commercial mortgage-backed securities — Other asset-backed securities — Corporate and other securities — Subtotal, fixed maturity securities — Equity securities (2) — Other invested assets (5) — — — Totals $ $ $ $ — $ (1) Residential mortgage-backed securities consists primarily of obligations of U.S. Government agencies including collateralized mortgage obligations issued, guaranteed and/or insured by the following issuers: Government National Mortgage Association (GNMA), Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage Association (FNMA) and the Federal Home Loan Bank (FHLB). (2) Equity securities included interests in mutual funds held to fund the Company’s executive deferred compensation plan. (3) Our investment portfolio included 328 and 514 securities in an unrealized loss position at March 31 , 2016 and December 31 , 2015 , respectively. (4) Amounts in this column represent other-than-temporary impairment (“OTTI”) recognized in accumulated other comprehensive income. (5) Other invested assets are accounted for under the equity method which approximated fair value.
Amortized cost and the estimated fair value of fixed maturity securities, by maturity	As of March 31, 2016 Amortized Estimated Cost Fair Value Due in one year or less $ $ Due after one year through five years Due after five years through ten years Due after ten years through twenty years Due after twenty years Asset-backed securities Totals $ $
Gross realized gains and losses on sales of investments	Three Months Ended March 31, 2016 2015 Gross realized gains Fixed maturity securities $ $ Equity securities Gross realized losses Fixed maturity securities Equity securities Net realized (losses) gains on investments $ $
Gross unrealized losses included in the Company's investment portfolio and the fair value of those securities	As of March 31, 2016 Less than 12 Months 12 Months or More Total Estimated Unrealized Estimated Unrealized Estimated Unrealized Fair Value Losses Fair Value Losses Fair Value Losses U.S. Treasury securities $ $ $ — $ — $ $ Obligations of states and political subdivisions — — Residential mortgage-backed securities Commercial mortgage-backed securities — — Other asset-backed securities — — Corporate and other securities Subtotal, fixed maturity securities Equity securities Total temporarily impaired securities $ $ $ $ $ $ As of December 31, 2015 Less than 12 Months 12 Months or More Total Estimated Unrealized Estimated Unrealized Estimated Unrealized Fair Value Losses Fair Value Losses Fair Value Losses U.S. Treasury securities $ $ $ — $ — $ $ Obligations of states and political subdivisions Residential mortgage-backed securities Commercial mortgage-backed securities — — Other asset-backed securities — — Corporate and other securities Subtotal, fixed maturity securities Equity securities Total temporarily impaired securities $ $ $ $ $ $
Credit loss recognized in earnings related to fixed maturity securities	Three Months Ended March 31, 2016 2015 Credit losses on fixed maturity securities, beginning of period $ $ - Add: credit losses on OTTI not previously recognized - Less: credit losses on securities sold - Less: credit losses on securities impaired due to intent to sell - - Add: credit losses on previously impaired securities - - Less: increases in cash flows expected on previously impaired securities - - Credit losses on fixed maturity securities, end of period $ $ -
Components of net investment income	Three Months Ended March 31, 2016 2015 Interest on fixed maturity securities $ $ Dividends on equity securities Equity in earnings of other invested assets Interest on other assets Interest on cash and cash equivalents Total investment income Investment expenses Net investment income $ $
Fair value measurements for available-for-sale investments	As of March 31, 2016 Total Level 1 Inputs Level 2 Inputs Level 3 Inputs U.S. Treasury securities $ $ — $ $ — Obligations of states and political subdivisions — — Residential mortgage-backed securities — — Commercial mortgage-backed securities — — Other asset-backed securities — — Corporate and other securities — — Equity securities — Total investment securities $ $ $ $ As of December 31, 2015 Total Level 1 Inputs Level 2 Inputs Level 3 Inputs U.S. Treasury securities $ $ — $ $ — Obligations of states and political subdivisions — — Residential mortgage-backed securities — — Commercial mortgage-backed securities — — Other asset-backed securities — — Corporate and other securities — — Equity securities — Total investment securities $ $ $ $
Changes in the Company's Level 3 fair value securities	Three Months Ended March 31, 2016 2015 Level 3 Level 3 Fair Value Fair Value Securities Securities Balance at beginning of period $ Net gains and losses included in earnings — — Net gains included in other comprehensive income Purchases — — Sales — — Transfers into Level 3 — — Transfers out of Level 3 — — Balance at end of period $ $ Amount of total losses included in earnings attributable to the change in unrealized losses related to assets still held at end of period $ — $ —

Loss and Loss Adjustment Expe24

Loss and Loss Adjustment Expense Reserves (Tables)	3 Months Ended
	Mar. 31, 2016
Loss and Loss Adjustment Expense Reserves
Schedule of reconciliation of beginning and ending reserves for losses and loss adjustment expenses (LAE)	Three Months Ended March 31, 2016 2015 Reserves for losses and LAE at beginning of year $ $ Less receivable from reinsurers related to unpaid losses and LAE Net reserves for losses and LAE at beginning of year Incurred losses and LAE, related to: Current year Prior years Total incurred losses and LAE Paid losses and LAE related to: Current year Prior years Total paid losses and LAE Net reserves for losses and LAE at end of period Plus receivable from reinsurers related to unpaid losses and LAE Reserves for losses and LAE at end of period $ $

Earnings (loss) per Weighted 25

Earnings (loss) per Weighted Average Common Share (Details ) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Earnings attributable to common shareholders - basic and diluted:
Net income (loss) from continuing operations	$ 12,670	$ (35,071)
Allocation of income for participating shares	(156)
Net income (loss) from continuing operations attributed to common shareholders	$ 12,514	$ (35,071)
Total weighted average common shares outstanding, including participating shares	15,089,522	14,963,369
Less: weighted average participating shares	(185,564)	(139,237)
Basic earnings per share denominator	14,903,958	14,824,132
Common equivalent shares- stock options	539
Common equivalent shares- non-vested performance stock grants	31,520
Diluted earnings per share denominator	14,936,017	14,824,132
Basic earnings (loss) per share (in dollars per share)	$ 0.84	$ (2.37)
Diluted earnings (loss) per share (in dollars per share)	0.84	(2.37)
Undistributed earning (loss) attributable to common shareholders - basic and diluted:
Basic earnings (loss) per share (in dollars per share)	0.84	(2.37)
Dividends declared	(0.70)	(0.70)
Undistributed earnings (loss)	0.14	(3.07)
Diluted earnings (loss) per share (in dollars per share)	0.84	(2.37)
Undistributed earnings (loss) - Diluted	$ 0.14	$ (3.07)
Stock options
Undistributed earning (loss) attributable to common shareholders - basic and diluted:
Antidilutive common shares	0	2,228
Non Vested Performance Stock Grants
Undistributed earning (loss) attributable to common shareholders - basic and diluted:
Antidilutive common shares	3,456	96,959

Share-Based Compensation (Detai

Share-Based Compensation (Details)	Mar. 31, 2016shares
Share-Based Compensation
Maximum number of shares of common stock with respect to which awards may be granted	2,500,000
Number of shares available for future grant	289,067

Share-Based Compensation Stock

Share-Based Compensation Stock Options (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Shares Under Option
Outstanding at beginning of year (in shares)	6,200
Exercised (in shares)	(6,000)
Forfeited (in shares)	(200)
Weighted Average Exercise Price
Outstanding at beginning of year (in dollars per share)	$ 42.85
Exercised (in dollars per share)	42.85
Forfeited (in dollars per share)	$ 42.85
Weighted Average Remaining Contractual Term
Weighted average remaining contractual term of options outstanding	0 years
Weighted average remaining contractual term of options exercisable	0 years
Additional disclosure
Total intrinsic value of options exercised	$ 85	$ 53
Cash received from stock options exercised	$ 257	$ 107

Share-Based Compensation Restri

Share-Based Compensation Restricted Stock Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Weighted Average Fair Value
Unrecognized compensation expense related to non-vested restricted stock awards	$ 8,961
Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition	2 years 2 months 12 days
Total fair value of the shares that were vested and unrestricted during the period	$ 3,732	$ 2,897
Restricted Stock
Shares Under Restriction
Outstanding at beginning of year (in shares)	112,024
Granted (in shares)	46,556
Vested and unrestricted (in shares)	(56,279)
Forfeited (in shares)	(5,267)
Outstanding at end of year (in shares)	97,034
Weighted Average Fair Value
Outstanding at beginning of year (in dollars per share)	$ 54.44
Granted (in dollars per share)	56.09
Vested and unrestricted (in dollars per share)	53.43
Forfeited (in dollars per share)	48.44
Outstanding at end of period (in dollars per share)	$ 55.85
Compensation expense	$ 603	389
Income tax benefits from compensation expense	$ 324	$ 210
Restricted Stock | Non-executives
Share-Based Compensation
Vesting period	5 years
Restricted Stock | Executives
Share-Based Compensation
Vesting period	3 years
Restricted Stock | First anniversary of grant date | Executives
Share-Based Compensation
Actual Payouts (as a percent)	30.00%
Restricted Stock | Second anniversary of grant date | Executives
Share-Based Compensation
Actual Payouts (as a percent)	30.00%
Restricted Stock | Third anniversary of grant date | Executives
Share-Based Compensation
Actual Payouts (as a percent)	40.00%
Performance-based | Restricted Stock
Share-Based Compensation
Vesting period	3 years
Shares Under Restriction
Outstanding at beginning of year (in shares)	99,101
Granted (in shares)	34,626
Vested and unrestricted (in shares)	(15,289)
Forfeited (in shares)	(27,661)
Outstanding at end of year (in shares)	90,777
Weighted Average Fair Value
Outstanding at beginning of year (in dollars per share)	$ 55.55
Granted (in dollars per share)	60.72
Vested and unrestricted (in dollars per share)	47.42
Forfeited (in dollars per share)	49.93
Outstanding at end of period (in dollars per share)	$ 57.88
Performance-based | Restricted Stock | Minimum
Share-Based Compensation
Actual Payouts (as a percent)	0.00%
Performance-based | Restricted Stock | Maximum
Share-Based Compensation
Actual Payouts (as a percent)	200.00%

Investments (Details)

Investments (Details) $ in Thousands	Mar. 31, 2016USD ($)item	Dec. 31, 2015USD ($)item
Securities available-for-sale
Fixed maturity securities, Cost or Amortized Cost	$ 1,059,661	$ 1,063,971
Fixed maturity securities, Gross Unrealized Gains	39,147	30,608
Fixed maturity securities, Non-OTTI Gross Unrealized Losses	(7,545)	(12,942)
Fixed maturity securities, Estimated Fair Value	1,091,263	1,081,637
Equity securities, Cost or Amortized Cost	101,335	102,541
Equity securities, Estimated Fair Value	111,122	110,204
Other invested assets	17,572	17,602
Cost or Amortized Cost	1,178,568	1,184,114
Gross Unrealized Gains	53,512	44,106
Gross Non-OTTI Unrealized Losses	(12,123)	(18,777)
Estimated Fair Value	$ 1,219,957	$ 1,209,443
Number of securities in an unrealized loss position | item	328	514
U.S. Treasury securities
Securities available-for-sale
Fixed maturity securities, Cost or Amortized Cost	$ 6,878	$ 1,805
Fixed maturity securities, Gross Unrealized Gains	5
Fixed maturity securities, Non-OTTI Gross Unrealized Losses	(5)	(4)
Fixed maturity securities, Estimated Fair Value	6,878	1,801
Obligations of states and political subdivisions
Securities available-for-sale
Fixed maturity securities, Cost or Amortized Cost	358,068	377,188
Fixed maturity securities, Gross Unrealized Gains	23,783	21,160
Fixed maturity securities, Non-OTTI Gross Unrealized Losses	(207)	(426)
Fixed maturity securities, Estimated Fair Value	381,644	397,922
Residential mortgage-backed securities
Securities available-for-sale
Fixed maturity securities, Cost or Amortized Cost	264,314	237,896
Fixed maturity securities, Gross Unrealized Gains	6,929	5,188
Fixed maturity securities, Non-OTTI Gross Unrealized Losses	(248)	(1,628)
Fixed maturity securities, Estimated Fair Value	270,995	241,456
Commercial mortgage-backed securities
Securities available-for-sale
Fixed maturity securities, Cost or Amortized Cost	29,847	28,851
Fixed maturity securities, Gross Unrealized Gains	765	30
Fixed maturity securities, Non-OTTI Gross Unrealized Losses	(5)	(218)
Fixed maturity securities, Estimated Fair Value	30,607	28,663
Other asset-backed securities
Securities available-for-sale
Fixed maturity securities, Cost or Amortized Cost	26,411	24,037
Fixed maturity securities, Gross Unrealized Gains	176	39
Fixed maturity securities, Non-OTTI Gross Unrealized Losses	(3)	(145)
Fixed maturity securities, Estimated Fair Value	26,584	23,931
Corporate and other securities
Securities available-for-sale
Fixed maturity securities, Cost or Amortized Cost	374,143	394,194
Fixed maturity securities, Gross Unrealized Gains	7,489	4,191
Fixed maturity securities, Non-OTTI Gross Unrealized Losses	(7,077)	(10,521)
Fixed maturity securities, Estimated Fair Value	374,555	387,864
Equity securities
Securities available-for-sale
Equity securities, Cost or Amortized Cost	101,335	102,541
Equity securities, Gross Unrealized Gains	14,365	13,498
Equity securities, Non-OTTI Gross Unrealized Losses	(4,578)	(5,835)
Equity securities, Estimated Fair Value	111,122	110,204
Other invested assets
Securities available-for-sale
Other invested assets	17,572	17,602
Other invested assets, Estimated Fair Value	$ 17,572	$ 17,602

Investments Amortized Cost and

Investments Amortized Cost and Estimated Fair Value (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Amortized Cost
Due in one year or less, Amortized Cost	$ 36,154
Due after one year through five years, Amortized Cost	260,663
Due after five years though ten years, Amortized Cost	165,483
Due after ten years through twenty years	272,545
Due after ten years, Amortized Cost	4,244
Asset-backed securities, Amortized Cost	320,572
Totals, Amortized Cost	1,059,661	$ 1,063,971
Fair Value
Due in one year or less, Fair Value	36,352
Due after one year through five years, Fair Value	262,472
Due after five years through ten years, Fair Value	166,785
Due after ten years through twenty years	293,077
Due after twenty years	4,391
Asset-backed securities, Fair Value	328,186
Totals, Fair Value	$ 1,091,263	$ 1,081,637

Investments Gross Realized Gain

Investments Gross Realized Gains and Losses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Securities available-for-sale
Net realized (losses) gains on investments	$ (323)	$ 411
Subtotal, fixed maturity securities
Securities available-for-sale
Gross realized gains	52	183
Gross realized losses	(582)	(491)
Equity securities
Securities available-for-sale
Gross realized gains	426	937
Gross realized losses	$ (219)	$ (218)

Investments Gross Unrealized Lo

Investments Gross Unrealized Losses and Fair Value (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	$ 141,492	$ 355,668
Estimated Fair Value, 12 Months or More	72,077	83,198
Estimated Fair Value, Total	213,569	438,866
Unrealized Losses
Unrealized Losses, Less than 12 Months	4,140	8,836
Unrealized Losses, 12 Months or More	7,983	9,941
Unrealized Losses, Total	12,123	18,777
Subtotal, fixed maturity securities
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	126,275	336,259
Estimated Fair Value, 12 Months or More	58,590	71,144
Estimated Fair Value, Total	184,865	407,403
Unrealized Losses
Unrealized Losses, Less than 12 Months	3,064	7,097
Unrealized Losses, 12 Months or More	4,481	5,845
Unrealized Losses, Total	7,545	12,942
U.S. Treasury securities
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	5,069	1,801
Estimated Fair Value, Total	5,069	1,801
Unrealized Losses
Unrealized Losses, Less than 12 Months	5	4
Unrealized Losses, Total	5	4
Obligations of states and political subdivisions
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	20,343	34,837
Estimated Fair Value, 12 Months or More		4,777
Estimated Fair Value, Total	20,343	39,614
Unrealized Losses
Unrealized Losses, Less than 12 Months	207	342
Unrealized Losses, 12 Months or More		84
Unrealized Losses, Total	207	426
Residential mortgage-backed securities
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	17,689	85,561
Estimated Fair Value, 12 Months or More	31,969	32,845
Estimated Fair Value, Total	49,658	118,406
Unrealized Losses
Unrealized Losses, Less than 12 Months	75	860
Unrealized Losses, 12 Months or More	173	768
Unrealized Losses, Total	248	1,628
Commercial mortgage-backed securities
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	990	26,113
Estimated Fair Value, Total	990	26,113
Unrealized Losses
Unrealized Losses, Less than 12 Months	5	218
Unrealized Losses, Total	5	218
Other asset-backed securities
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	2,457	14,454
Estimated Fair Value, Total	2,457	14,454
Unrealized Losses
Unrealized Losses, Less than 12 Months	3	145
Unrealized Losses, Total	3	145
Corporate and other securities
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	79,727	173,493
Estimated Fair Value, 12 Months or More	26,621	33,522
Estimated Fair Value, Total	106,348	207,015
Unrealized Losses
Unrealized Losses, Less than 12 Months	2,769	5,528
Unrealized Losses, 12 Months or More	4,308	4,993
Unrealized Losses, Total	7,077	10,521
Equity securities
Estimated Fair Value
Estimated Fair Value, Less than 12 Months	15,217	19,409
Estimated Fair Value, 12 Months or More	13,487	12,054
Estimated Fair Value, Total	28,704	31,463
Unrealized Losses
Unrealized Losses, Less than 12 Months	1,076	1,739
Unrealized Losses, 12 Months or More	3,502	4,096
Unrealized Losses, Total	$ 4,578	$ 5,835

Investments Other-Than_Temporar

Investments Other-Than_Temporary Impairments (Details) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2016USD ($)	Dec. 31, 2015USD ($)item
Other-Than-Temporary Impairments
Securities held with a material (20% or greater) unrealized loss for four or more consecutive quarters | item		4
Material loss threshold, percentage		20.00%
Material loss threshold, number of consecutive quarters | item		4
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward]
Credit losses on fixed maturity securities, beginning of period	$ 796
Add: credit losses on OTTI not previously recognized	292
Less: credit losses on securities sold	(170)
Credit losses on fixed maturity securities, end of period	918	$ 796
Amounts included in accumulated other comprehensive income related to OTTI securities	0	$ 0
Subprime mortgage debt securities
Other-Than-Temporary Impairments
Securities held	$ 0

Investments Components of Net I

Investments Components of Net Investment Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Components of net investment income
Interest on fixed maturity securities	$ 9,269	$ 10,186
Dividends on equity securities	807	693
Equity in earnings of other invested assets	159	333
Interest on other assets	16	18
Interest on cash and cash equivalents	11	1
Total investment income	10,262	11,231
Investment expenses	635	674
Net investment income	$ 9,627	$ 10,557

Investments Level 1 - 3 Inputs

Investments Level 1 - 3 Inputs (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)item	Dec. 31, 2015USD ($)
Fair value of financial instruments
Number of investments | item	2
Period of advance notice before quarter end to dispose of Level 3 security	45 days
Short-term investments	$ 0	$ 0
Fair value measurement	1,202,385	1,191,841
U.S. Treasury securities
Fair value of financial instruments
Fair value measurement	6,878	1,801
Obligations of states and political subdivisions
Fair value of financial instruments
Fair value measurement	381,644	397,922
Residential mortgage-backed securities
Fair value of financial instruments
Fair value measurement	270,995	241,456
Commercial mortgage-backed securities
Fair value of financial instruments
Fair value measurement	30,607	28,663
Other asset-backed securities
Fair value of financial instruments
Fair value measurement	26,584	23,931
Corporate and other securities
Fair value of financial instruments
Fair value measurement	374,555	387,864
Equity securities
Fair value of financial instruments
Fair value measurement	111,122	110,204
Level 1 Inputs
Fair value of financial instruments
Fair value measurement	91,309	90,560
Level 1 Inputs | Equity securities
Fair value of financial instruments
Fair value measurement	91,309	90,560
Level 2 Inputs
Fair value of financial instruments
Fair value measurement	1,091,263	1,081,637
Level 2 Inputs | U.S. Treasury securities
Fair value of financial instruments
Fair value measurement	6,878	1,801
Level 2 Inputs | Obligations of states and political subdivisions
Fair value of financial instruments
Fair value measurement	381,644	397,922
Level 2 Inputs | Residential mortgage-backed securities
Fair value of financial instruments
Fair value measurement	270,995	241,456
Level 2 Inputs | Commercial mortgage-backed securities
Fair value of financial instruments
Fair value measurement	30,607	28,663
Level 2 Inputs | Other asset-backed securities
Fair value of financial instruments
Fair value measurement	26,584	23,931
Level 2 Inputs | Corporate and other securities
Fair value of financial instruments
Fair value measurement	374,555	387,864
Level 3 Inputs
Fair value of financial instruments
Fair value measurement	19,813	19,644
Level 3 Inputs | Equity securities
Fair value of financial instruments
Fair value measurement	$ 19,813	$ 19,644

Investments Transfers between L

Investments Transfers between Levels (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)item	Mar. 31, 2015USD ($)item	Dec. 31, 2015USD ($)
Transfers between Levels
Transfers from Level 1 to Level 2	$ 0		$ 0
Transfers from Level 2 to Level 1	0	$ 0
Changes in the Company's Level 3 fair value securities
Balance at beginning of period	19,644	17,630
Net gains included in other comprehensive income	169	518
Transfers into Level 3	0	0
Balance at end of period	$ 19,813	$ 18,148
Number of level 3 securities held | item	2	2

Loss and Loss Adjustment Expe37

Loss and Loss Adjustment Expense Reserves (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Loss and Loss Adjustment Expense Reserves
Reserves for losses and LAE at beginning of year	$ 553,977	$ 482,012
Less receivable from reinsurers related to unpaid losses and LAE	(68,261)	(61,245)
Net reserves for losses and LAE at beginning of year	485,716	420,767
Incurred losses and LAE, related to:
Current Year	136,028	212,410
Prior Years	(10,049)	(4,086)
Total incurred losses and LAE	125,979	208,324
Paid losses and LAE related to:
Current year	57,721	114,369
Prior years	81,148	56,181
Total paid losses and LAE	138,869	170,550
Net reserves for losses and LAE at end of period	472,826	458,541
Plus receivable from reinsurers related to unpaid losses and LAE	77,075	111,472
Reserves for losses and LAE at end of period	$ 549,901	$ 570,013

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Thousands	Dec. 15, 2015USD ($)
Commitments and Contingencies
Reinsurance recoverables in arbitration	$ 22,838

Debt (Details)

Debt (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2016	Dec. 31, 2015
Revolving Credit Agreement | LIBOR rate
Debt
Spread on variable rate (as a percent)	1.25%
Variable interest rate basis	LIBOR
Revolving Credit Agreement | Prime rate
Debt
Spread on variable rate (as a percent)	1.25%
Variable interest rate basis	prime rate
Revolving Credit Agreement | Federal Funds Effective Swap Rate [Member]
Debt
Spread on variable rate (as a percent)	1.25%
Variable interest rate basis	federal funds rate
Additional spread on variable rate (as a percent)	0.50%
RBS Citizens | Revolving Credit Agreement
Debt
Current borrowing capacity	$ 30,000
Maximum borrowing capacity	50,000
Default trigger, principal amount	10,000
Outstanding amount	$ 0	$ 0
Commitment fee (as a percent)	0.25%	0.25%
F H L B Boston [Member]
Debt
Maximum borrowing capacity using eligible invested assets as collateral	$ 201,915
Outstanding amount	$ 0	$ 0

Share Repurchase Program (Detai

Share Repurchase Program (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Dec. 31, 2015	Aug. 03, 2007
Share Repurchase Program
Share Repurchase Program	$ 150,000			$ 30,000
Number of common shares purchased during period under the program	0	0
Treasury stock shares	2,279,570		2,279,570
Treasury stock, at cost	$ 83,835		$ 83,835

Related Party Transactions (Det

Related Party Transactions (Details) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2016USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2012item
Related party transaction
Number of loans in which the entity participated as lender | item			2
Loan to Vantage Specialties | Mr. A. Richard Caputo, Jr., a member of the Company's Board of Directors and the Chairman of its Investment Committee
Related party transaction
Interest rate (as a percent)	5.00%
Current value | $	$ 1,414	$ 1,405
Loan to ARCAS Automotive | Mr. A. Richard Caputo, Jr., a member of the Company's Board of Directors and the Chairman of its Investment Committee
Related party transaction
Repayment, percentage of principal per quarter	0.25%