Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 09, 2018 | Jun. 30, 2017 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | FAF | ||
Entity Registrant Name | First American Financial Corp | ||
Entity Central Index Key | 1,472,787 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 110,960,182 | ||
Entity Public Float | $ 4,788,760,345 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
ASSETS | ||
Cash and cash equivalents | $ 1,387,226 | $ 1,006,138 |
Accounts and accrued income receivable, less allowances of $23,066 and $30,185 | 311,084 | 299,799 |
Income taxes receivable | 38,673 | 67,970 |
Investments: | ||
Deposits with banks | 41,335 | 21,222 |
Debt securities, includes pledged securities of $108,427 and $110,647 | 4,752,684 | 4,553,363 |
Equity securities | 466,516 | 404,085 |
Other investments | 117,768 | 162,029 |
Investments, Total | 5,378,303 | 5,140,699 |
Property and equipment, net | 439,569 | 434,050 |
Title plants and other indexes | 568,452 | 564,309 |
Deferred income taxes | 22,803 | 20,037 |
Goodwill | 1,113,005 | 1,017,417 |
Other intangible assets, net | 99,913 | 78,898 |
Other assets | 214,194 | 202,460 |
Total assets | 9,573,222 | 8,831,777 |
LIABILITIES AND EQUITY | ||
Deposits | 3,070,566 | 2,779,478 |
Accounts payable and accrued liabilities: | ||
Accounts payable | 68,460 | 59,269 |
Personnel costs | 194,357 | 193,825 |
Pension costs and other retirement plans | 401,083 | 400,412 |
Other | 129,257 | 140,449 |
Accounts payable and accrued liabilities | 793,157 | 793,955 |
Deferred revenue | 240,822 | 228,905 |
Reserve for known and incurred but not reported claims | 1,028,933 | 1,025,863 |
Income taxes payable | 4,602 | 10,376 |
Deferred income taxes | 219,307 | 242,158 |
Notes and contracts payable | 732,810 | 736,693 |
Total liabilities | 6,090,197 | 5,817,428 |
Commitments and contingencies (Notes 18 and 19) | ||
Stockholders’ equity: | ||
Preferred stock, $0.00001 par value; Authorized—500 shares; Outstanding—none | ||
Common stock, $0.00001 par value; Authorized—300,000 shares; Outstanding—110,925 shares and 109,944 shares | 1 | 1 |
Additional paid-in capital | 2,236,351 | 2,191,756 |
Retained earnings | 1,311,112 | 1,046,822 |
Accumulated other comprehensive loss | (67,509) | (230,400) |
Total stockholders’ equity | 3,479,955 | 3,008,179 |
Noncontrolling interests | 3,070 | 6,170 |
Total equity | 3,483,025 | 3,014,349 |
Total liabilities and equity | $ 9,573,222 | $ 8,831,777 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement Of Financial Position [Abstract] | ||
Accounts and accrued income receivable, allowances | $ 23,066 | $ 30,185 |
Pledged securities included in debt securities | $ 108,427 | $ 110,647 |
Preferred stock, par value | $ 0.00001 | $ 0.00001 |
Preferred stock, shares authorized | 500,000 | 500,000 |
Preferred stock, outstanding | 0 | 0 |
Common stock, par value | $ 0.00001 | $ 0.00001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares outstanding | 110,925,000 | 109,944,000 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues: | |||
Direct premiums and escrow fees | $ 2,461,854 | $ 2,416,039 | $ 2,310,047 |
Agent premiums | 2,360,659 | 2,286,630 | 2,098,265 |
Information and other | 776,214 | 723,990 | 673,138 |
Net investment income | 162,402 | 126,134 | 100,553 |
Net realized investment gains (losses) | 11,234 | 23,053 | (6,547) |
Total revenues | 5,772,363 | 5,575,846 | 5,175,456 |
Expenses: | |||
Personnel costs | 1,898,551 | 1,756,633 | 1,594,935 |
Premiums retained by agents | 1,863,356 | 1,801,571 | 1,656,722 |
Other operating expenses | 880,874 | 853,841 | 820,969 |
Provision for policy losses and other claims | 450,410 | 488,601 | 491,092 |
Depreciation and amortization | 128,053 | 99,047 | 85,596 |
Premium taxes | 69,801 | 66,358 | 64,269 |
Interest | 35,987 | 32,214 | 29,108 |
Total expenses | 5,327,032 | 5,098,265 | 4,742,691 |
Income before income taxes | 445,331 | 477,581 | 432,765 |
Income taxes | 23,468 | 134,105 | 143,895 |
Net income | 421,863 | 343,476 | 288,870 |
Less: Net (loss) income attributable to noncontrolling interests | (1,186) | 483 | 784 |
Net income attributable to the Company | $ 423,049 | $ 342,993 | $ 288,086 |
Net income per share attributable to the Company’s stockholders: | |||
Basic | $ 3.79 | $ 3.10 | $ 2.65 |
Diluted | 3.76 | 3.09 | 2.62 |
Cash dividends declared per share | $ 1.44 | $ 1.20 | $ 1 |
Weighted-average common shares outstanding: | |||
Basic | 111,668 | 110,548 | 108,427 |
Diluted | 112,435 | 111,156 | 109,826 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Of Income And Comprehensive Income [Abstract] | |||||||||||
Net income | $ 220,713 | $ 21,186 | $ 121,895 | $ 58,069 | $ 80,961 | $ 107,392 | $ 102,451 | $ 52,672 | $ 421,863 | $ 343,476 | $ 288,870 |
Other comprehensive income (loss), net of tax: | |||||||||||
Unrealized gains (losses) on securities | 63,563 | (10,359) | (27,312) | ||||||||
Foreign currency translation adjustment | 24,744 | (6,334) | (36,822) | ||||||||
Pension benefit adjustment | 74,597 | 25,300 | 24,223 | ||||||||
Total other comprehensive income (loss), net of tax | 162,904 | 8,607 | (39,911) | ||||||||
Comprehensive income | 584,767 | 352,083 | 248,959 | ||||||||
Less: Comprehensive (loss) income attributable to noncontrolling interests | (1,173) | 487 | 770 | ||||||||
Comprehensive income attributable to the Company | $ 585,940 | $ 351,596 | $ 248,189 |
CONSOLIDATED STATEMENTS OF EQUI
CONSOLIDATED STATEMENTS OF EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Total stockholders' equity | Noncontrolling Interests |
Balance value at Dec. 31, 2014 | $ 2,567,502 | $ 1 | $ 2,109,712 | $ 653,768 | $ (199,106) | $ 2,564,375 | $ 3,127 |
Balance shares at Dec. 31, 2014 | 107,541 | ||||||
Net income | $ 288,870 | 0 | 0 | 288,086 | 0 | 288,086 | 784 |
Dividends on common shares | (108,524) | 0 | 0 | (108,524) | 0 | (108,524) | 0 |
Shares issued in connection with share-based compensation plans, value | $ 14,568 | 0 | 16,769 | (2,201) | 0 | 14,568 | 0 |
Shares issued in connection with share-based compensation plans, shares | 1,557 | ||||||
Share-based compensation | $ 24,339 | 0 | 24,339 | 0 | 0 | 24,339 | 0 |
Net activity related to noncontrolling interests | (741) | 0 | (7) | 0 | 0 | (7) | (734) |
Other | 7,020 | 0 | 0 | 7,020 | 0 | 7,020 | 0 |
Other comprehensive income (loss) (Note 17) | (39,911) | 0 | 0 | 0 | (39,897) | (39,897) | (14) |
Balance value at Dec. 31, 2015 | $ 2,753,123 | 1 | 2,150,813 | 838,149 | (239,003) | 2,749,960 | 3,163 |
Balance shares at Dec. 31, 2015 | 109,098 | ||||||
Net income | $ 343,476 | 0 | 0 | 342,993 | 0 | 342,993 | 483 |
Dividends on common shares | (131,541) | 0 | 0 | (131,541) | 0 | (131,541) | 0 |
Purchase of Company shares, value | $ (454) | 0 | (454) | 0 | 0 | (454) | 0 |
Purchase of Company shares, shares | (14) | ||||||
Shares issued in connection with share-based compensation plans, value | $ 4,519 | 0 | 7,298 | (2,779) | 0 | 4,519 | 0 |
Shares issued in connection with share-based compensation plans, shares | 860 | ||||||
Share-based compensation | $ 34,125 | 0 | 34,125 | 0 | 0 | 34,125 | 0 |
Net activity related to noncontrolling interests | 2,494 | 0 | (26) | 0 | 0 | (26) | 2,520 |
Other comprehensive income (loss) (Note 17) | 8,607 | 0 | 0 | 0 | 8,603 | 8,603 | 4 |
Balance value at Dec. 31, 2016 | $ 3,014,349 | 1 | 2,191,756 | 1,046,822 | (230,400) | 3,008,179 | 6,170 |
Balance shares at Dec. 31, 2016 | 109,944 | ||||||
Net income | $ 421,863 | 0 | 0 | 423,049 | 0 | 423,049 | (1,186) |
Dividends on common shares | (159,284) | 0 | 0 | (159,284) | 0 | (159,284) | 0 |
Shares issued in connection with share-based compensation plans, value | $ 2,732 | 0 | 6,226 | (3,494) | 0 | 2,732 | 0 |
Shares issued in connection with share-based compensation plans, shares | 981 | ||||||
Share-based compensation | $ 37,399 | 0 | 37,399 | 0 | 0 | 37,399 | 0 |
Net activity related to noncontrolling interests | (957) | 0 | 970 | 0 | 0 | 970 | (1,927) |
Other | 4,019 | 0 | 0 | 4,019 | 0 | 4,019 | 0 |
Other comprehensive income (loss) (Note 17) | 162,904 | 0 | 0 | 0 | 162,891 | 162,891 | 13 |
Balance value at Dec. 31, 2017 | $ 3,483,025 | $ 1 | $ 2,236,351 | $ 1,311,112 | $ (67,509) | $ 3,479,955 | $ 3,070 |
Balance shares at Dec. 31, 2017 | 110,925 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income | $ 421,863 | $ 343,476 | $ 288,870 |
Adjustments to reconcile net income to cash provided by operating activities: | |||
Provision for policy losses and other claims | 450,410 | 488,601 | 491,092 |
Depreciation and amortization | 128,053 | 99,047 | 85,596 |
Amortization of premiums and accretion of discounts on debt securities, net | 31,211 | 28,325 | 28,403 |
Excess tax benefits from share-based compensation | 0 | (3,415) | (9,526) |
Net realized investment (gains) losses | (11,234) | (23,053) | 6,547 |
Share-based compensation | 37,399 | 34,125 | 24,339 |
Equity in earnings of affiliates, net | (3,785) | (8,173) | (7,800) |
Dividends from equity method investments | 11,083 | 10,023 | 9,601 |
Changes in assets and liabilities excluding effects of acquisitions and noncash transactions: | |||
Claims paid, including assets acquired, net of recoveries | (472,047) | (462,999) | (476,492) |
Net change in income tax accounts | (102,819) | 17,601 | 52,543 |
Decrease (increase) in accounts and accrued income receivable | 12,426 | (10,017) | (7,477) |
Increase (decrease) in accounts payable and accrued liabilities | 127,683 | (29,339) | 36,679 |
Increase in deferred revenue | 10,238 | 21,534 | 5,519 |
Other, net | (8,347) | (16,320) | 23,429 |
Cash provided by operating activities | 632,134 | 489,416 | 551,323 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Net cash effect of acquisitions/dispositions | (82,993) | (106,719) | (26,682) |
Net (increase) decrease in deposits with banks | (18,319) | 712 | (4,392) |
Purchases of debt and equity securities | (1,970,597) | (2,062,743) | (2,123,817) |
Proceeds from sales of debt and equity securities | 1,163,765 | 731,146 | 630,914 |
Proceeds from maturities of debt securities | 641,442 | 948,257 | 655,078 |
Net change in other investments | 3,763 | 2,244 | 1,077 |
Capital expenditures | (134,206) | (132,265) | (123,697) |
Proceeds from sales of property and equipment | 9,977 | 9,220 | 17,099 |
Cash used for investing activities | (387,168) | (610,148) | (974,420) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Net change in deposits | 291,088 | 80,463 | 366,301 |
Net proceeds from issuance of debt | 0 | 160,000 | 0 |
Repayment of debt | (5,543) | (5,171) | (5,244) |
Net activity related to noncontrolling interests | (969) | (1,029) | (741) |
Excess tax benefits from share-based compensation | 0 | 3,415 | 9,526 |
Net proceeds in connection with share-based compensation plans | 2,732 | 1,104 | 5,042 |
Purchase of Company shares | 0 | (454) | 0 |
Cash dividends | (159,284) | (131,541) | (108,524) |
Cash provided by financing activities | 128,024 | 106,787 | 266,360 |
Effect of exchange rate changes on cash | 8,098 | (7,238) | (6,022) |
Net increase (decrease) in cash and cash equivalents | 381,088 | (21,183) | (162,759) |
Cash and cash equivalents—Beginning of year | 1,006,138 | 1,027,321 | 1,190,080 |
Cash and cash equivalents—End of year | 1,387,226 | 1,006,138 | 1,027,321 |
SUPPLEMENTAL INFORMATION: | |||
Interest | 33,680 | 30,125 | 29,212 |
Premium taxes | 66,785 | 65,506 | 57,367 |
Income taxes, less refunds of $52,153, $4,055 and $2,546 | $ 126,208 | $ 116,309 | $ 89,062 |
CONSOLIDATED STATEMENTS OF CAS8
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Of Cash Flows [Abstract] | |||
Income taxes, refunds | $ 52,153 | $ 4,055 | $ 2,546 |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation and Significant Accounting Policies | NOTE 1. Basis of Presentation and Significant Accounting Policies: First American Financial Corporation (the “Company”), through its subsidiaries, is engaged in the business of providing financial services. The Company consists of the following reportable segments and a corporate function: • The Company’s title insurance and services segment issues title insurance policies on residential and commercial property in the United States and offers similar or related products and services internationally. This segment also provides closing and/or escrow services; accommodates tax-deferred exchanges of real estate; provides products, services and solutions involving the use of real property related data designed to mitigate risk or otherwise facilitate real estate transactions; maintains, manages and provides access to title plant records and images; and provides appraisals and other valuation-related products and services, lien release and document custodial services, default-related products and services, evidence of title, and banking, trust and wealth management services. The Company, through its principal title insurance subsidiary and such subsidiary’s affiliates, transacts its title insurance business through a network of direct operations and agents. Through this network, the Company issues policies in the 49 states that permit the issuance of title insurance policies and the District of Columbia. The Company also offers title insurance, closing services and similar or related products and services, either directly or through third parties in other countries, including Canada, the United Kingdom, Australia, South Korea and various other established and emerging markets. • The Company’s specialty insurance segment issues property and casualty insurance policies and sells home warranty products. The property and casualty insurance business provides insurance coverage to residential homeowners and renters for liability losses and typical hazards such as fire, theft, vandalism and other types of property damage. This business is licensed to issue policies in all 50 states and the District of Columbia and actively issues policies in 47 states. The majority of policy liability is in the western United States, including approximately 63% in California. In certain markets it also offers preferred risk auto insurance to better compete with other carriers offering bundled home and auto insurance. The home warranty business provides residential service contracts that cover residential systems, such as heating and air conditioning systems, and certain appliances against failures that occur as the result of normal usage during the coverage period. This business currently operates in 39 states and the District of Columbia. The corporate function consists primarily of certain financing facilities as well as the corporate services that support the Company’s business operations. Principles of Consolidation The consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) and reflect the consolidated operations of the Company. The consolidated financial statements include the accounts of First American Financial Corporation and all controlled subsidiaries. All significant intercompany transactions and balances have been eliminated. Investments in affiliates in which the Company exercises significant influence, but does not control and is not the primary beneficiary, are accounted for using the equity method. Investments in affiliates in which the Company does not exercise significant influence over the investee are accounted for under the cost method. Revisions and out-of-period adjustments During the fourth quarter of 2017, the Company identified certain uncollectible balances related to fees within its title insurance and services segment, which primarily related to reporting periods prior to 2016, that should have been previously written off. To correct for this error, the Company recorded an adjustment in the fourth quarter of 2017, which increased other operating expenses and increased accounts payable and accrued liabilities by $8.5 million. During the third quarter of 2017, the Company identified certain title plant assets within its title insurance and services segment that should have been previously written off, and certain title plant imaging assets that were misclassified as title plant assets. To correct for these errors, the Company recorded adjustments to net realized investment gains, depreciation and amortization and title plants and other indexes. The impact of these adjustments included an increase to depreciation and amortization of $4.7 million, a decrease to net realized investment gains of $1.8 million and a decrease to title plant and other indexes of $6.5 million. During the fourth quarter of 2016, the Company identified certain title plant assets that were no longer being used and should have been previously written off, and certain capitalized software, title plant imaging, real estate data and investments related to title plant assets that were misclassified as title plant assets. As these errors primarily related to reporting periods prior to the Company’s June 2010 spin-off from its prior parent, which subsequently assumed the name CoreLogic, Inc. (“CoreLogic”), the Company corrected for these errors by revising retained earnings at December 31, 2014 and 2015 in the consolidated statements of equity. The impact of this revision, which has been consistently applied to all periods presented, included a decrease to retained earnings of $8.5 million. The Company does not consider these adjustments to be material, individually or in the aggregate, to any previously issued consolidated financial statements. Use of estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the statements. Actual results could differ from the estimates and assumptions used. Cash equivalents The Company considers cash equivalents to be all short-term investments that have an initial maturity of 90 days or less and are not restricted for statutory deposit or premium reserve requirements. Accounts and accrued income receivable Accounts and accrued income receivable are generally due within thirty days and are recorded net of an allowance for doubtful accounts. The Company considers accounts outstanding longer than the contractual payment terms as past due. The Company determines the allowance by considering a number of factors, including the length of time trade accounts receivable are past due, previous loss history, a specific customer’s ability to pay its obligations to the Company and the condition of the general economy and industry as a whole. Amounts are charged off in the period in which they are deemed to be uncollectible. Investments Deposits with banks Deposits with banks are short-term investments with initial maturities of generally more than 90 days. Debt and equity securities Debt securities are carried at fair value and consist primarily of investments in obligations of the United States Treasury, foreign governments, various U.S. and foreign corporations, certain state and political subdivisions and mortgage-backed securities. The Company maintains investments in debt securities in accordance with certain statutory requirements for the funding of statutory premium reserves and state deposits. At December 31, 2017 and 2016, the fair value of such investments totaled $108.4 million and $110.6 million, respectively. See Note 2 Statutory Restrictions on Investments and Stockholders’ Equity for additional discussion of the Company’s statutory restrictions. Equity securities are carried at fair value and consist primarily of investments in exchange traded funds, mutual funds and marketable common and preferred stocks of corporate entities. The Company classifies its publicly traded debt and equity securities as available-for-sale with unrealized gains or losses recorded as a component of accumulated other comprehensive loss. See Note 14 Fair Value Measurements for additional discussion of the determination of fair value. Interest income, as well as the related amortization of premium and accretion of discount, on debt securities are recognized under the effective yield method and are included in the accompanying consolidated statements of income in net investment income. Realized gains and losses on sales of debt and equity securities are determined on a first-in, first-out basis. The Company evaluates its debt and equity securities with unrealized losses on a quarterly basis for potential other-than-temporary impairments in value. If the Company intends to sell a debt security in an unrealized loss position or determines that it is more likely than not that the Company will be required to sell a debt security before it recovers its amortized cost basis, the debt security is other-than-temporarily impaired and it is written down to fair value with all losses recognized in earnings. As of December 31, 2017, the Company did not intend to sell any debt securities in an unrealized loss position and it is not more likely than not that the Company will be required to sell any debt securities before recovery of their amortized cost basis. If the Company does not expect to recover the amortized cost basis of a debt security with declines in fair value (even if the Company does not intend to sell the debt security and it is not more likely than not that the Company will be required to sell the debt security), the losses the Company considers to be the credit portion of the other-than-temporary impairment loss (“credit loss”) is recognized in earnings and the non-credit portion is recognized in other comprehensive income. The credit loss is the difference between the present value of the cash flows expected to be collected and the amortized cost basis of the debt security. The cash flows expected to be collected are discounted at the rate implicit in the security immediately prior to the recognition of the other-than-temporary impairment. Expected future cash flows for debt securities are based on qualitative and quantitative factors specific to each security, including the probability of default and the estimated timing and amount of recovery. The detailed inputs used to project expected future cash flows may be different depending on the nature of the individual debt security. As a result of the Company’s security-level review, the Company did not recognize any other-than-temporary impairment losses considered to be credit related for the year ended December 31, 2017 and recognized $0.5 million and $2.2 million of other-than-temporary impairment losses considered to be credit related on its debt securities for the years ended December 31, 2016, and 2015, respectively. It is possible that the Company could recognize additional other-than-temporary impairment losses on securities it owns at December 31, 2017 if future events or information cause it to determine that a decline in fair value is other-than-temporary. When a decline in the fair value of an equity security, including common and preferred stock, is considered to be other-than-temporary, such security is written down to its fair value. When assessing if a decline in fair value is other-than-temporary, the factors considered by the Company include the length of time and extent to which fair value has been below cost, the probability that the Company will be unable to collect all amounts due under the contractual terms of the security, the seniority of the securities, issuer-specific news and other developments, the financial condition and prospects of the issuer (including credit ratings), macro-economic changes (including the outlook for industry sectors, which includes government policy initiatives) and the Company’s ability and intent to hold the security for a period of time sufficient to allow for any anticipated recovery. When an equity security has been in an unrealized loss position and its fair value is less than 80% of cost for twelve consecutive months, the Company’s review of the security will include the above noted factors as well as other evidence that might exist supporting the view that the security will recover its value in the foreseeable future. If objective, substantial evidence does not indicate a likely recovery during that timeframe, the Company’s policy is that such losses are considered other-than-temporary and therefore an impairment loss is recorded. The Company did not record any other-than-temporary impairment losses related to its equity securities for the years ended December 31, 2017, 2016 and 2015. Other investments Other investments consist primarily of investments in affiliates, which are accounted for under either the equity method or the cost method of accounting, investments in real estate and notes receivable. The carrying value of investments in affiliates is written down, or impaired, to fair value when a decline in value is considered to be other-than-temporary. In making the determination as to whether an individual investment in an affiliate is impaired, the Company assesses the current and expected financial condition of each relevant entity, including, but not limited to, the anticipated ability of the entity to make its contractually required payments to the Company (with respect to debt obligations to the Company), the results of valuation work performed with respect to the entity, the entity’s anticipated ability to generate sufficient cash flows and the market conditions in the industry in which the entity is operating. The Company recognized impairment losses of $1.5 million and $2.0 million for the years ended December 31, 2017 and 2015, respectively, and did not record any impairment losses related to its equity method investments for the year ended December 31, 2016. Investments in real estate are classified as held for sale and carried at the lower of cost or fair value, less estimated selling costs. Notes receivable are carried at cost, less reserves for losses. Loss reserves are established for notes receivable based upon an estimate of probable losses for the individual notes. A loss reserve is established on an individual note when it is deemed probable that the Company will be unable to collect all amounts due in accordance with the contractual terms of the note. The loss reserve is based upon the Company’s assessment of the borrower’s overall financial condition, resources and payment record; and, if appropriate, the realizable value of any collateral. These estimates consider all available evidence including the expected future cash flows, estimated fair value of collateral on secured notes, general economic conditions and trends, and other relevant factors, as appropriate. Notes are placed on non-accrual status when management determines that the collectibility of contractual amounts is not reasonably assured. Property and equipment Buildings and furniture and equipment are initially recorded at cost and are generally depreciated using the straight-line method over estimated useful lives of 5 to 40 years and 1 to 15 years, respectively. Leasehold improvements are initially recorded at cost and are amortized over the lesser of the remaining term of the respective lease or the estimated useful life, using the straight-line method. Computer software is acquired or developed for internal use and for use with the Company’s products and is amortized over estimated useful lives of 1 to 15 years using the straight-line method. Software development costs, which include capitalized interest costs and certain payroll-related costs of employees directly associated with developing software, in addition to incremental payments to third parties, are capitalized from the time technological feasibility is established until the software is ready for use. Management uses estimated future cash flows (undiscounted and excluding interest) to measure the recoverability of property and equipment whenever events or changes in circumstances indicate that the carrying value may not be fully recoverable. If the undiscounted cash flow analysis indicates that the carrying amount is not recoverable, an impairment loss is recorded for the excess of the carrying amount over its fair value. Impairment losses on property and equipment, which primarily related to impairments of internally developed software, were $0.5 million, $5.2 million and $10.9 million for the years ended December 31, 2017, 2016 and 2015, respectively. Title plants and other indexes Title plants and other indexes at December 31, 2017 and 2016 included title plants of $526.2 million and $529.2 million and capitalized real estate data of $42.3 million and $35.1 million, respectively. Title plants are carried at original cost, with the costs of daily maintenance (updating) charged to expense as incurred. Because properly maintained title plants have indefinite lives and do not diminish in value with the passage of time, no provision has been made for depreciation or amortization. The Company analyzes its title plants at least annually for impairment. This analysis includes, but is not limited to, the effects of obsolescence, duplication, demand and other economic factors. Capitalized real estate data is initially recorded at cost and is amortized using the straight-line method over estimated useful lives of 3 to 15 years. Business Combinations Amounts paid for acquisitions are allocated to the tangible assets acquired, liabilities assumed and intangible assets acquired based on their estimated fair values at the date of acquisition. The excess of the fair value of purchase consideration over the fair values of the identifiable assets and liabilities is recorded as goodwill Goodwill Impairment The Company is required to perform an annual goodwill impairment assessment for each reporting unit. The Company’s four reporting units are title insurance, home warranty, property and casualty insurance and trust and other services. The Company has elected to perform this annual assessment in the fourth quarter of each fiscal year or sooner if circumstances indicate possible impairment. Based on current guidance, the Company has the option to perform a qualitative assessment to determine if the fair value is more likely than not (i.e., a likelihood of greater than 50%) less than the carrying amount as a basis for determining whether it is necessary to perform a quantitative impairment test, or may choose to forego the qualitative assessment and perform the quantitative impairment test. The qualitative factors considered in this assessment may include macroeconomic conditions, industry and market considerations, overall financial performance as well as other relevant events and circumstances as determined by the Company. The Company evaluates the weight of each factor to determine whether it is more likely than not that impairment may exist. If the results of the qualitative assessment indicate the more likely than not threshold was not met, the Company may choose not to perform the quantitative impairment test. If, however, the more likely than not threshold is met, the Company performs the quantitative test as required and discussed below. Management’s quantitative impairment testing process includes two steps. The first step (“Step 1”) compares the fair value of each reporting unit to its carrying amount. The fair value of each reporting unit is determined by using discounted cash flow analysis and market approach valuations. If the fair value of the reporting unit exceeds its carrying amount, the goodwill is not considered impaired and no additional analysis is required. However, if the carrying amount is greater than the fair value, a second step (“Step 2”) must be completed to determine if the fair value of the goodwill exceeds the carrying amount of goodwill. Step 2 involves calculating an implied fair value of goodwill for each reporting unit for which Step 1 indicated impairment. The implied fair value of goodwill is determined in a manner similar to the amount of goodwill calculated in a business combination, by measuring the excess of the estimated fair value of the reporting unit, as determined in Step 1, over the aggregate estimated fair values of the individual assets, liabilities and identifiable intangibles as if the reporting unit was being acquired in a business combination. If the implied fair value of goodwill exceeds the carrying value of goodwill assigned to the reporting unit, there is no impairment. If the carrying value of goodwill assigned to a reporting unit exceeds the implied fair value of the goodwill, an impairment loss is recorded for the excess. An impairment loss cannot exceed the carrying value of goodwill assigned to a reporting unit, and the loss establishes a new basis in the goodwill. Subsequent reversal of goodwill impairment losses is not permitted. The quantitative impairment test for goodwill utilizes a variety of valuation techniques, all of which require the Company to make estimates and judgments. Fair value is determined by employing an expected present value technique, which utilizes multiple cash flow scenarios that reflect a range of possible outcomes and an appropriate discount rate. The use of comparative market multiples (the “market approach”) compares the reporting unit to other comparable companies (if such comparables are present in the marketplace) based on valuation multiples to arrive at a fair value. In assessing the fair value, the Company utilizes the results of the valuations (including the market approach to the extent comparables are available) and considers the range of fair values determined under all methods and the extent to which the fair value exceeds the carrying amount of the reporting unit. The valuation of each reporting unit includes the use of assumptions and estimates of many critical factors, including revenue growth rates and operating margins, discount rates and future market conditions, determination of market multiples and the establishment of a control premium, among others. Forecasts of future operations are based, in part, on operating results and the Company’s expectations as to future market conditions. These types of analyses contain uncertainties because they require the Company to make assumptions and to apply judgments to estimate industry economic factors and the profitability of future business strategies. However, if actual results are not consistent with the Company’s estimates and assumptions, the Company may be exposed to future impairment losses that could be material. For 2017, the Company chose to perform qualitative assessments for each of its reporting units except for its property and casualty insurance reporting unit, for which it performed a quantitative impairment test. Based on its quantitative impairment test, the Company determined that its property and casualty insurance reporting unit had a fair value that was not substantially in excess of its carrying amount. If the Company subsequently determines that there is impairment to the goodwill related to its property and casualty insurance reporting unit, management does not expect that it would be material to the Company’s consolidated financial statements. The results of the Company’s qualitative assessments for each of its other reporting units supported the conclusion that their fair values were not more likely than not less than their carrying amounts and, therefore, a quantitative impairment test was not considered necessary. For 2016, the Company chose to perform a quantitative impairment test for all of its reporting units and, based on the results, determined that the fair values of its reporting units exceeded their carrying amounts and, therefore, no additional analysis was required. For 2015, the Company chose to perform a qualitative assessment, the results of which supported the conclusion that the fair values of the Company’s reporting units were not more likely than not less than their carrying amounts, and therefore, a quantitative impairment test was not considered necessary. As a result of the Company’s annual goodwill impairment assessments, the Company did not record any goodwill impairment losses for 2017, 2016 or 2015. Other intangible assets The Company’s finite-lived intangible assets consist of customer relationships, noncompete agreements, trademarks, internal-use software licenses and patents. These assets are amortized on a straight-line basis over their useful lives ranging from 1 to 20 years and are subject to impairment assessments when there is an indication of a triggering event or abandonment. The Company’s indefinite-lived other intangible assets consist of licenses which are not amortized but rather assessed for impairment by comparing the fair values to carrying amounts at least annually, and when an indicator of potential impairment has occurred. Management uses estimated future cash flows (undiscounted and excluding interest) to measure the recoverability of intangible assets with finite lives, whenever events or changes in circumstances indicate that the carrying amount may not be fully recoverable. If the undiscounted cash flow analysis indicates that the carrying amount is not recoverable, an impairment loss is recorded for the excess of the carrying amount over its fair value. Management’s impairment assessment for indefinite-lived other intangible assets may involve calculating the fair value by using a discounted cash flow analysis or through a market approach valuation. If the fair value exceeds its carrying amount, the asset is not considered impaired and no additional analysis is required. However, if the carrying amount is greater than the fair value, an impairment loss is recorded equal to the excess. Reserve for known and incurred but not reported claims The Company provides for title insurance losses through a charge to expense when the related premium revenue is recognized. The amount charged to expense is generally determined by applying a rate (the loss provision rate) to total title insurance premiums and escrow fees. The Company’s management estimates the loss provision rate at the beginning of each year and reassesses the rate quarterly to ensure that the resulting incurred but not reported (“IBNR”) loss reserve and known claims reserve included in the Company’s consolidated balance sheets together reflect management’s best estimate of the total costs required to settle all IBNR and known claims. If the ending IBNR reserve is not considered adequate, an adjustment is recorded. The process of assessing the loss provision rate and the resulting IBNR reserve involves evaluation of the results of an in-house actuarial review. The Company’s in-house actuary performs a reserve analysis utilizing generally accepted actuarial methods that incorporate cumulative historical claims experience and information provided by in-house claims and operations personnel. Current economic and business trends are also reviewed and used in the reserve analysis. These include conditions in the real estate and mortgage markets, changes in residential and commercial real estate values, and changes in the levels of defaults and foreclosures that may affect claims levels and patterns of emergence, as well as any company-specific factors that may be relevant to past and future claims experience. Results from the analysis include, but are not limited to, a range of IBNR reserve estimates and a single point estimate for IBNR as of the balance sheet date. For recent policy years at early stages of development (generally the last three years), IBNR is generally estimated using a combination of expected loss rate and multiplicative loss development factor calculations. For more mature policy years, IBNR generally is estimated using multiplicative loss development factor calculations. The expected loss rate method estimates IBNR by applying an expected loss rate to total title insurance premiums and escrow fees, and adjusting for policy year maturity using estimated loss development patterns. Multiplicative loss development factor calculations estimate IBNR by applying factors derived from loss development patterns to losses realized to date. The expected loss rate and loss development patterns are based on historical experience and the relationship of the history to the applicable policy years. The Company’s management uses the IBNR point estimate from the in-house actuary’s analysis and other relevant information concerning claims to determine what it considers to be the best estimate of the total amount required for the IBNR reserve. The volume and timing of title insurance claims are subject to cyclical influences from both the real estate and mortgage markets. Title policies issued to lenders constitute a large portion of the Company’s title insurance volume. These policies insure lenders against losses on mortgage loans due to title defects in the collateral property. Even if an underlying title defect exists that could result in a claim, often, the lender must realize an actual loss, or at least be likely to realize an actual loss, for a title insurance liability to exist. As a result, title insurance claims exposure is sensitive to lenders’ losses on mortgage loans and is affected in turn by external factors that affect mortgage loan losses, particularly macroeconomic factors. A general decline in real estate prices can expose lenders to greater risk of losses on mortgage loans, as loan-to-value ratios increase and defaults and foreclosures increase. Title insurance claims exposure for a given policy year is also affected by the quality of mortgage loan underwriting during the corresponding origination year. The Company believes that the sensitivity of claims to external conditions in the real estate and mortgage markets is an inherent feature of title insurance’s business economics that applies broadly to the title insurance industry. Title insurance policies are long-duration contracts with the majority of the claims reported to the Company within the first few years following the issuance of the policy. Generally, 70% to 80% of claim amounts become known in the first six years of the policy life, and the majority of IBNR reserves relate to the six most recent policy years. Changes in expected ultimate losses and corresponding loss rates for recent policy years are considered likely and could result in a material adjustment to the IBNR reserves. Based on historical experience, management believes a 50 basis point change to the loss rates for recent policy years, positive or negative, is reasonably likely given the long duration nature of a title insurance policy. For example, if the expected ultimate losses for each of the last six policy years increased or decreased by 50 basis points, the resulting impact on the Company’s IBNR reserve would be an increase or decrease, as the case may be, of $117.8 million. A material change in expected ultimate losses and corresponding loss rates for older policy years is also possible, particularly for policy years with loss ratios exceeding historical norms. The estimates made by management in determining the appropriate level of IBNR reserves could ultimately prove to be materially different from actual claims experience. The Company provides for property and casualty insurance losses when the insured event occurs. The Company provides for claims losses relating to its home warranty business based on the average cost per claim and historical loss experience as applied to the total of new claims incurred. The average cost per home warranty claim is calculated using the average of the most recent 12 months of claims experience adjusted for estimated future increases in costs. Contingent litigation and regulatory liabilities Amounts related to contingent litigation and regulatory liabilities are accrued if it is probable that a liability has been incurred and an amount is reasonably estimable. The Company records legal fees in other operating expenses in the period incurred. Revenues Premiums on title policies issued directly by the Company are recognized on the effective date of the title policy and escrow fees are recorded upon close of the escrow. Premiums on property and casualty insurance policies and home warranty contracts are generally recognized ratably over the 12-month duration of the contract or policy. Revenues from title policies issued by independent agents are recorded when notice of issuance is received from the agent, w |
Statutory Restrictions On Inves
Statutory Restrictions On Investments And Stockholders' Equity | 12 Months Ended |
Dec. 31, 2017 | |
Insurance [Abstract] | |
Statutory Restrictions on Investments and Stockholders’ Equity | NOTE 2. Statutory Restrictions on Investments and Stockholders’ Equity: Investments totaling $131.0 million and $125.8 million were on deposit with state treasurers in accordance with statutory requirements for the protection of policyholders at December 31, 2017 and 2016, respectively. Pursuant to insurance and other regulations under which the Company’s insurance subsidiaries operate, the amount of dividends, loans and advances available to the Company is limited, principally for the protection of policyholders. As of December 31, 2017, under such regulations, the maximum amount available to the Company from its insurance subsidiaries in 2018, without prior approval from applicable regulators, was dividends of $338.4 million and loans and advances of $96.0 million. The Company’s principal title insurance subsidiary, First American Title Insurance Company (“FATICO”), maintained total statutory capital and surplus of $1.2 billion as of December 31, 2017 and 2016. Statutory net income for the years ended December 31, 2017, 2016 and 2015 was $315.4 million, $150.0 million and $191.8 million, respectively. FATICO was in compliance with the minimum statutory capital and surplus requirements as of December 31, 2017. FATICO is domiciled in Nebraska and its statutory-based financial statements are prepared in accordance with accounting practices prescribed or permitted by the Nebraska Department of Insurance. The National Association of Insurance Commissioners’ (“NAIC”) Accounting Practices and Procedures Manual (“NAIC SAP”) has been adopted as a component of prescribed or permitted practices by the state of Nebraska. The state of Nebraska has adopted certain prescribed accounting practices that differ from those found in the NAIC SAP. Specifically, the timing of amounts released from the statutory premium reserve under Nebraska’s required practice differs from NAIC SAP resulting in total statutory capital and surplus that was lower by $148.5 million and $69.6 million at December 31, 2017 and 2016, respectively, than if reported in accordance with NAIC SAP. Statutory accounting principles differ in some respects from GAAP, and these differences include, but are not limited to, non-admission of certain assets (principally limitations on deferred tax assets, capitalized furniture and other equipment, capitalized software, and premiums and other receivables 90 days past due), reporting of bonds at amortized cost, amortization of goodwill, deferral of premiums received as statutory premium reserve, supplemental reserve (if applicable) and exclusion of the incurred but not reported claims reserve. |
Debt and Equity Securities
Debt and Equity Securities | 12 Months Ended |
Dec. 31, 2017 | |
Investments Debt And Equity Securities [Abstract] | |
Debt and Equity Securities | NOTE 3. Debt and Equity Securities: Investments in debt securities, classified as available-for-sale, are as follows: Amortized Gross unrealized Estimated (in thousands) gains losses December 31, 2017 U.S. Treasury bonds $ 173,049 $ 2,199 $ (1,250 ) $ 173,998 Municipal bonds 1,031,146 12,185 (7,394 ) 1,035,937 Foreign government bonds 170,220 489 (1,221 ) 169,488 Governmental agency bonds 212,731 1,061 (2,322 ) 211,470 Governmental agency mortgage-backed securities 2,172,377 3,168 (16,588 ) 2,158,957 U.S. corporate debt securities 734,409 11,768 (2,962 ) 743,215 Foreign corporate debt securities 256,430 4,145 (956 ) 259,619 $ 4,750,362 $ 35,015 $ (32,693 ) $ 4,752,684 December 31, 2016 U.S. Treasury bonds $ 155,441 $ 416 $ (4,466 ) $ 151,391 Municipal bonds 1,004,659 6,340 (26,666 ) 984,333 Foreign government bonds 141,887 600 (2,439 ) 140,048 Governmental agency bonds 197,343 691 (4,166 ) 193,868 Governmental agency mortgage-backed securities 2,187,482 2,983 (26,792 ) 2,163,673 U.S. corporate debt securities 675,683 8,282 (5,441 ) 678,524 Foreign corporate debt securities 240,526 2,490 (1,490 ) 241,526 $ 4,603,021 $ 21,802 $ (71,460 ) $ 4,553,363 Investments in equity securities, classified as available-for-sale, are as follows: Cost Gross unrealized Estimated (in thousands) gains losses December 31, 2017 Preferred stocks $ 19,233 $ 320 $ (563 ) $ 18,990 Common stocks 394,439 54,090 (1,003 ) 447,526 $ 413,672 $ 54,410 $ (1,566 ) $ 466,516 December 31, 2016 Preferred stocks $ 18,926 $ — $ (3,344 ) $ 15,582 Common stocks 367,169 26,034 (4,700 ) 388,503 $ 386,095 $ 26,034 $ (8,044 ) $ 404,085 Sales of debt and equity securities resulted in realized gains of $35.5 million, $30.7 million and $8.7 million and realized losses of $18.4 million, $9.7 million and $10.0 million for the years ended December 31, 2017, 2016 and 2015, respectively. Gross unrealized losses on investments in debt and equity securities are as follows: Less than 12 months 12 months or longer Total (in thousands) Estimated Unrealized Estimated Unrealized Estimated Unrealized December 31, 2017 Debt securities: U.S. Treasury bonds $ 78,605 $ (511 ) $ 37,498 $ (739 ) $ 116,103 $ (1,250 ) Municipal bonds 279,292 (1,714 ) 226,895 (5,680 ) 506,187 (7,394 ) Foreign government bonds 98,942 (972 ) 6,678 (249 ) 105,620 (1,221 ) Governmental agency bonds 55,707 (409 ) 93,737 (1,913 ) 149,444 (2,322 ) Governmental agency mortgage-backed securities 671,871 (4,868 ) 774,959 (11,720 ) 1,446,830 (16,588 ) U.S. corporate debt securities 171,817 (1,568 ) 60,724 (1,394 ) 232,541 (2,962 ) Foreign corporate debt securities 81,525 (821 ) 5,697 (135 ) 87,222 (956 ) Total debt securities 1,437,759 (10,863 ) 1,206,188 (21,830 ) 2,643,947 (32,693 ) Equity securities 38,742 (1,041 ) 12,849 (525 ) 51,591 (1,566 ) Total $ 1,476,501 $ (11,904 ) $ 1,219,037 $ (22,355 ) $ 2,695,538 $ (34,259 ) December 31, 2016 Debt securities: U.S. Treasury bonds $ 111,748 $ (4,466 ) $ — $ — $ 111,748 $ (4,466 ) Municipal bonds 635,531 (26,317 ) 16,485 (349 ) 652,016 (26,666 ) Foreign government bonds 63,044 (2,371 ) 324 (68 ) 63,368 (2,439 ) Governmental agency bonds 148,112 (4,166 ) — — 148,112 (4,166 ) Governmental agency mortgage-backed securities 1,295,790 (19,097 ) 432,349 (7,695 ) 1,728,139 (26,792 ) U.S. corporate debt securities 193,533 (4,560 ) 24,499 (881 ) 218,032 (5,441 ) Foreign corporate debt securities 78,658 (1,150 ) 8,154 (340 ) 86,812 (1,490 ) Total debt securities 2,526,416 (62,127 ) 481,811 (9,333 ) 3,008,227 (71,460 ) Equity securities 70,261 (1,173 ) 59,019 (6,871 ) 129,280 (8,044 ) Total $ 2,596,677 $ (63,300 ) $ 540,830 $ (16,204 ) $ 3,137,507 $ (79,504 ) Based on the Company’s review of its investment securities in an unrealized loss position at December 31, 2017 and 2016, it determined that the losses were primarily the result of changes in interest rates, which were considered to be temporary, rather than a deterioration in credit quality. The Company does not intend to sell and it is not more likely than not that the Company will be required to sell these securities prior to recovering their amortized cost. As such, the Company does not consider these securities to be other-than-temporarily impaired at December 31, 2017 and 2016. Investments in debt securities at December 31, 2017, by contractual maturities, are as follows: (in thousands) Due in one Due after Due after Due after Total U.S. Treasury bonds Amortized cost $ 16,458 $ 65,124 $ 41,014 $ 50,453 $ 173,049 Estimated fair value $ 16,425 $ 64,550 $ 40,816 $ 52,207 $ 173,998 Municipal bonds Amortized cost $ 62,308 $ 301,477 $ 245,510 $ 421,851 $ 1,031,146 Estimated fair value $ 62,311 $ 302,404 $ 248,683 $ 422,539 $ 1,035,937 Foreign government bonds Amortized cost $ 13,494 $ 118,166 $ 21,783 $ 16,777 $ 170,220 Estimated fair value $ 13,506 $ 117,401 $ 21,963 $ 16,618 $ 169,488 Governmental agency bonds Amortized cost $ 30,209 $ 81,498 $ 57,941 $ 43,083 $ 212,731 Estimated fair value $ 30,075 $ 80,713 $ 57,661 $ 43,021 $ 211,470 U.S. corporate debt securities Amortized cost $ 23,264 $ 327,960 $ 308,785 $ 74,400 $ 734,409 Estimated fair value $ 23,323 $ 329,199 $ 311,998 $ 78,695 $ 743,215 Foreign corporate debt securities Amortized cost $ 16,790 $ 134,522 $ 92,459 $ 12,659 $ 256,430 Estimated fair value $ 16,827 $ 135,107 $ 94,252 $ 13,433 $ 259,619 Total debt securities excluding mortgage-backed securities Amortized cost $ 162,523 $ 1,028,747 $ 767,492 $ 619,223 $ 2,577,985 Estimated fair value $ 162,467 $ 1,029,374 $ 775,373 $ 626,513 $ 2,593,727 Total mortgage-backed securities Amortized cost $ 2,172,377 Estimated fair value $ 2,158,957 Total debt securities Amortized cost $ 4,750,362 Estimated fair value $ 4,752,684 Mortgage-backed securities, which include contractual terms to maturity, are not categorized by contractual maturity because borrowers may have the right to call or prepay obligations with, or without, call or prepayment penalties. The composition of the investment portfolio at December 31, 2017, by credit rating, is as follows: A- or higher BBB+ to BBB- Non-Investment Grade Total (in thousands, except percentages) Estimated fair value Percentage Estimated fair value Percentage Estimated fair value Percentage Estimated fair value Percentage December 31, 2017 Debt securities: U.S. Treasury bonds $ 173,998 100.0 $ — — $ — — $ 173,998 100.0 Municipal bonds 964,855 93.2 54,255 5.2 16,827 1.6 1,035,937 100.0 Foreign government bonds 138,417 81.7 25,486 15.0 5,585 3.3 169,488 100.0 Governmental agency bonds 211,470 100.0 — — — — 211,470 100.0 Governmental agency mortgage-backed securities 2,158,957 100.0 — — — — 2,158,957 100.0 U.S. corporate debt securities 260,537 35.1 274,340 36.9 208,338 28.0 743,215 100.0 Foreign corporate debt 119,599 46.1 110,685 42.6 29,335 11.3 259,619 100.0 Total debt securities 4,027,833 84.7 464,766 9.8 260,085 5.5 4,752,684 100.0 Preferred stocks — — 13,900 73.2 5,090 26.8 18,990 100.0 Total $ 4,027,833 84.4 $ 478,666 10.0 $ 265,175 5.6 $ 4,771,674 100.0 As of December 31, 2017, the estimated fair value of total debt securities included $142.9 million of bank loans, of which $130.7 million were non-investment grade; $103.5 million of high yield corporate debt securities, all of which were non-investment grade; and $81.0 million of emerging market debt securities, of which $9.1 million were non-investment grade. The composition of the investment portfolio in an unrealized loss position at December 31, 2017, by credit rating, is as follows: A- or higher BBB+ to BBB- Non-Investment Grade Total (in thousands, except percentages) Estimated fair value Percentage Estimated fair value Percentage Estimated fair value Percentage Estimated fair value Percentage December 31, 2017 Debt securities: U.S. Treasury bonds $ 116,103 100.0 $ — — $ — — $ 116,103 100.0 Municipal bonds 491,801 97.1 12,075 2.4 2,311 0.5 506,187 100.0 Foreign government bonds 90,829 86.0 12,393 11.7 2,398 2.3 105,620 100.0 Governmental agency bonds 149,444 100.0 — — — — 149,444 100.0 Governmental agency mortgage-backed securities 1,446,830 100.0 — — — — 1,446,830 100.0 U.S. corporate debt securities 75,173 32.3 115,951 49.9 41,417 17.8 232,541 100.0 Foreign corporate debt 40,063 46.0 40,688 46.6 6,471 7.4 87,222 100.0 Total debt securities 2,410,243 91.1 181,107 6.8 52,597 2.1 2,643,947 100.0 Preferred stocks — — 7,208 63.1 4,219 36.9 11,427 100.0 Total $ 2,410,243 90.8 $ 188,315 7.1 $ 56,816 2.1 $ 2,655,374 100.0 As of December 31, 2017, the estimated fair value of total debt securities in an unrealized loss position included $25.9 million of bank loans, of which $25.2 million were non-investment grade; $22.6 million of high yield corporate debt securities, all of which were non-investment grade; and $23.1 million of emerging market debt securities, of which $2.5 million were non-investment grade. The credit ratings in the above tables reflect published ratings obtained from globally recognized securities rating agencies. If a security was rated differently among the rating agencies, the lowest rating was selected. Governmental agency mortgage-backed securities are not rated by any of the ratings agencies; however, these securities have been included in the above table in the “A- or higher” category because the payments of principal and interest are guaranteed by the governmental agency that issued the security. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | NOTE 4. Property and Equipment: Property and equipment consists of the following: December 31, 2017 2016 (in thousands) Land $ 25,983 $ 27,312 Buildings 255,389 253,954 Furniture and equipment 247,022 232,104 Capitalized software 621,203 558,922 1,149,597 1,072,292 Accumulated depreciation and amortization (710,028 ) (638,242 ) $ 439,569 $ 434,050 |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill | NOTE 5. Goodwill: A summary of the changes in the carrying amount of goodwill, by operating segment, for the years ended December 31, 2017 and 2016, is as follows: Title Specialty Total (in thousands) Balance as of December 31, 2015 $ 917,577 $ 46,765 $ 964,342 Acquisitions 53,564 — 53,564 Foreign currency translation (489 ) — (489 ) Balance as of December 31, 2016 970,652 46,765 1,017,417 Acquisitions 91,516 — 91,516 Foreign currency translation 4,370 — 4,370 Other adjustments (298 ) — (298 ) Balance as of December 31, 2017 $ 1,066,240 $ 46,765 $ 1,113,005 For further discussion about the Company’s acquisitions in 2017 and 2016, see Note 20 Business Combinations. |
Other Intangible Assets
Other Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Other Intangible Assets | NOTE 6. Other Intangible Assets: Other intangible assets consist of the following: December 31, 2017 2016 (in thousands) Finite-lived intangible assets: Customer relationships $ 106,086 $ 78,542 Noncompete agreements 11,509 10,007 Trademarks 9,229 6,472 Internal-use software licenses 28,956 16,038 Patents 2,840 2,840 158,620 113,899 Accumulated amortization (75,591 ) (51,885 ) 83,029 62,014 Indefinite-lived intangible assets: Licenses 16,884 16,884 $ 99,913 $ 78,898 Amortization expense for finite-lived intangible assets was $28.1 million, $15.4 million and $9.3 million for the years ended December 31, 2017, 2016 and 2015, respectively. Estimated amortization expense for finite-lived intangible assets for the next five years is as follows: Year (in thousands) 2018 $ 21,810 2019 $ 15,203 2020 $ 10,577 2021 $ 7,369 2022 $ 6,719 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2017 | |
Banking And Thrift [Abstract] | |
Deposits | NOTE 7. Deposits: Deposit accounts are summarized as follows: December 31, 2017 2016 (in thousands, except Escrow accounts: Interest bearing $ 2,058,596 $ 1,961,488 Non-interest bearing 879,252 673,944 2,937,848 2,635,432 Business checking and other deposits (1) 132,718 144,046 $ 3,070,566 $ 2,779,478 Weighted average interest rate: Escrow accounts 0.10 % 0.10 % (1) Business checking and other deposits primarily reflect non-interest bearing accounts. |
Reserve for Known and Incurred
Reserve for Known and Incurred but Not Reported Claims | 12 Months Ended |
Dec. 31, 2017 | |
Insurance Loss Reserves [Abstract] | |
Reserve for Known and Incurred but Not Reported Claims | NOTE 8. Reserve for Known and Incurred But Not Reported Claims: Activity in the reserve for known and incurred but not reported claims is summarized as follows: December 31, 2017 2016 2015 (in thousands) Balance at beginning of year $ 1,025,863 $ 983,880 $ 1,011,780 Provision related to: Current year 446,500 441,228 395,459 Prior years 3,910 47,373 95,633 450,410 488,601 491,092 Payments, net of recoveries, related to: Current year 240,468 223,735 209,845 Prior years 231,579 239,264 266,647 472,047 462,999 476,492 Other 24,707 16,381 (42,500 ) Balance at end of year $ 1,028,933 $ 1,025,863 $ 983,880 Current year payments, net of recoveries, include $225.6 million, $211.3 million and $198.6 million for the years ended December 31, 2017, 2016 and 2015, respectively, that primarily relate to the Company’s specialty insurance segment. Prior year payments, net of recoveries, include $46.1 million, $41.4 million and $23.1 million for the years ended December 31, 2017, 2016 and 2015, respectively, that relate to the Company’s specialty insurance segment. “Other” primarily includes foreign currency translation gains and losses, ceded reinsurance claims and assets acquired in connection with claim settlements. Included for the year ended December 31, 2015, are recoveries of $23.8 million on reinsured losses related to a large commercial title claim. Payments and recoveries on reinsured losses for the Company’s title insurance and property and casualty businesses were immaterial during the years ended December 31, 2017 and 2016. The provision for title insurance losses, expressed as a percentage of title insurance premiums and escrow fees, was 4.0%, 5.5% and 6.6% for the years ended December 31, 2017, 2016 and 2015, respectively. The current year rate of 4.0% reflects the ultimate loss rate for the current policy year and no change in the loss reserve estimates for prior policy years. As of December 31, 2017, the IBNR claims reserve for the title insurance and services segment was $875.7 million, which reflected management’s best estimate. The Company’s internal actuary determined a range of reasonable estimates of $716.3 million to $910.9 million. The range limits are $159.4 million below and $35.2 million above management’s best estimate, respectively, and represent an estimate of the range of variation among reasonable estimates of the IBNR reserve. Actuarial estimates are sensitive to assumptions used in models, as well as the structures of the models themselves, and to changes in claims payment and incurral patterns, which can vary materially due to economic conditions, among other factors. The prior year rate of 5.5% reflected an ultimate loss rate of 4.5% for policy year 2016 and a $42.6 million net increase in loss reserve estimates for prior policy years. The increase in loss reserve estimates for prior policy years was primarily attributable to potential uncertainty with respect to the Company’s exposure to large title claims. A large title claim is defined as a title claim with a total ultimate loss in excess of $2.5 million. This uncertainty was due to the following factors, among others: (i) the volatility associated with the timing and severity of large title claims, (ii) the potential of incurring one or more large title claims that significantly exceed estimated ultimate losses indicated by current historical trends, and (iii) the complexity associated with handling large title claims which makes it difficult to estimate the ultimate outcome. While the Company believed its claims reserve attributable to large title claims was reasonable, this uncertainty increased the potential for adverse loss development. The 2015 rate of 6.6% reflected an ultimate loss rate of 4.2% for policy year 2015 and a $93.1 million net increase in loss reserve estimates for prior policy years. The increase in loss reserve estimates for prior policy years was primarily attributable to a change in methodology used by the Company’s internal actuary to estimate total ultimate losses. Previously, the internal actuary’s model did not separate claims experience for large title claims from normal title claims activity. With this change in methodology, the model began to separate claims experience for large title claims from normal title claims activity when developing reserve estimates. As a result, loss reserve estimates for prior policy years increased, primarily for policy years 2004 through 2007. The change in methodology was implemented due to the increased frequency of large title claims experienced over the prior several years and the volatility associated with the timing and severity of large title claims. The Company accounted for this change in methodology as a change in accounting estimate. As of December 31, 2017, the projected ultimate loss ratios for policy years 2017, 2016 and 2015 were 4.0%, 4.2% and 3.8%, respectively. A summary of the Company’s loss reserves is as follows: (in thousands, except percentages) December 31, 2017 December 31, 2016 Known title claims $ 83,094 8.1 % $ 83,805 8.1 % Incurred but not reported claims 875,724 85.1 % 888,126 86.6 % Total title claims 958,818 93.2 % 971,931 94.7 % Non-title claims 70,115 6.8 % 53,932 5.3 % Total loss reserves $ 1,028,933 100.0 % $ 1,025,863 100.0 % Specialty Insurance Segment The following reflects information about incurred and paid claims development for the Company’s specialty insurance segment as of December 31, 2017, net of reinsurance, as well as cumulative claims frequency, by claims event, and the total of incurred but not reported claims plus expected development on reported claims included with the net incurred claims amounts. The information below about incurred and paid claims development for the years ended December 31, 2008 to 2015, is presented as supplementary information. Incurred claims and allocated claims adjustment expenses, net of reinsurance December 31, 2017 Accident Years ended December 31, Total of IBNR liabilities plus expected development on reported Cumulative number of reported Year 2008* 2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016 2017 claims claims (in thousands) 2008 $ 163,829 $ 161,035 $ 160,868 $ 161,332 $ 160,803 $ 160,605 $ 160,455 $ 160,423 $ 160,421 $ 160,354 $ — 605 2009 141,154 139,580 139,663 139,266 138,936 139,090 139,191 139,216 139,186 — 605 2010 140,621 139,966 139,991 139,639 140,128 140,641 140,353 140,308 — 606 2011 148,395 149,076 149,768 149,486 149,763 149,552 149,488 — 641 2012 157,287 158,981 159,918 160,579 160,517 160,911 13 692 2013 182,858 184,419 185,244 184,826 184,668 67 762 2014 190,985 190,738 191,120 191,025 336 789 2015 221,617 225,754 225,977 796 867 2016 245,859 249,358 2,473 971 2017 267,392 10,236 1,013 Total $ 1,868,667 * Amounts unaudited. Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance Accident Years ended December 31, Year 2008* 2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016 2017 (in thousands) 2008 $ 131,251 $ 155,585 $ 158,695 $ 160,074 $ 160,436 $ 160,398 $ 160,427 $ 160,421 $ 160,421 $ 160,354 2009 113,550 134,606 137,689 138,293 138,710 138,963 139,181 139,186 139,186 2010 113,513 136,770 138,978 139,486 140,136 140,886 140,302 140,304 2011 123,116 144,367 146,952 148,984 149,358 149,495 149,485 2012 130,623 153,753 157,364 159,181 159,740 160,268 2013 151,377 180,277 182,565 183,957 184,473 2014 156,536 185,686 188,117 189,525 2015 181,445 217,618 223,045 2016 205,857 243,111 2017 220,218 Total $ 1,809,969 All outstanding liabilities before 2008, net of reinsurance 7 Liabilities for claims and claims adjustment expenses, net of reinsurance $ 58,705 * Amounts unaudited. A reconciliation of the net incurred and paid claims development tables to the liability for claims and claim adjustment expense at December 31, 2017, is as follows: December 31, 2017 (in thousands) Liability for unpaid claims and claim adjustment expenses, net of reinsurance: Specialty insurance $ 58,705 Reinsurance recoverable on unpaid claims: Specialty insurance 10,151 Unallocated claims adjustment expenses: Specialty insurance 1,259 Insurance lines other than short-duration: Title insurance 958,818 Liability for unpaid claims and claims adjustment expenses $ 1,028,933 The following reflects supplementary information about average historical claims duration for the Company’s specialty insurance segment as of December 31, 2017: Average annual percentage payout of incurred claims by age, net of reinsurance (unaudited) Years 1 2 3 4 5 6 7 8 9 10 Annual payout 82.0 % 15.1 % 1.6 % 0.9 % 0.3 % 0.1 % 0.0 % 0.0 % 0.0 % 0.0 % |
Notes and Contracts Payable
Notes and Contracts Payable | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Notes and Contracts Payable | NOTE 9. Notes and Contracts Payable: December 31, 2017 2016 (in thousands, except percentages) 4.60% senior unsecured notes due November 15, 2024, effective interest rate of 4.60% $ 300,000 $ 300,000 4.30% senior unsecured notes due February 1, 2023, effective interest rate of 4.35% 250,000 250,000 Line of credit borrowings due May 14, 2019, weighted-average interest rate of 3.32% and 2.52% at December 31, 2017 and 2016, respectively 160,000 160,000 Trust deed notes with maturities through 2023, collateralized by land and buildings with net book values of $46,478 and $47,846 at December 31, 2017 and 2016, respectively, weighted-average interest rate of 5.27% and 5.31%, at December 31, 2017 and 2016, respectively 22,725 26,646 Other notes and contracts payable with maturities through 2032, weighted-average interest rate of 4.70% and 5.26% at December 31, 2017 and 2016, respectively 3,707 4,269 736,432 740,915 Unamortized discount – senior unsecured notes (560 ) (655 ) Debt issuance costs – senior unsecured notes (3,062 ) (3,567 ) $ 732,810 $ 736,693 The weighted-average interest rate for the Company’s notes and contracts payable was 4.24% and 4.10% at December 31, 2017 and 2016, respectively. The Company maintains a credit agreement with JPMorgan Chase Bank, N.A. in its capacity as administrative agent and the lenders party thereto. The credit agreement is comprised of a $700.0 million revolving credit facility. Unless terminated earlier, the revolving loan commitments under the credit agreement will terminate on May 14, 2019. The obligations of the Company under the credit agreement are neither secured nor guaranteed. Proceeds under the credit agreement may be used for general corporate purposes. At December 31, 2017, outstanding borrowings under the facility totaled $160.0 million at an interest rate of 3.32%. The credit agreement includes an expansion option that permits the Company, subject to satisfaction of certain conditions, to increase the revolving commitments and/or add term loan tranches (“Incremental Term Loans”) in an aggregate amount not to exceed $150.0 million. Incremental Term Loans, if made, may not mature prior to the revolving commitment termination date, provided that amortization may occur prior to such date. At the Company’s election, borrowings under the credit agreement bear interest at (a) the Alternate Base Rate plus the applicable spread or (b) the Adjusted LIBOR rate plus the applicable spread (in each case as defined in the agreement). The Company may select interest periods of one, two, three or six months or (if agreed to by all lenders) such other number of months for Eurodollar borrowings of loans. The applicable spread varies depending upon the debt rating assigned by Moody’s Investor Service, Inc. and/or Standard & Poor’s Rating Services. The minimum applicable spread for Alternate Base Rate borrowings is 0.625% and the maximum is 1.00%. The minimum applicable spread for Adjusted LIBOR rate borrowings is 1.625% and the maximum is 2.00%. The rate of interest on Incremental Term Loans will be established at or about the time such loans are made and may differ from the rate of interest on revolving loans. The credit agreement includes representations and warranties, reporting covenants, affirmative covenants, negative covenants, financial covenants and events of default customary for financings of this type. Upon the occurrence of an event of default the lenders may accelerate the loans. Upon the occurrence of certain insolvency and bankruptcy events of default the loans will automatically accelerate. As of December 31, 2017, the Company was in compliance with the financial covenants under the credit agreement. The aggregate annual maturities for notes and contracts payable for the next five years and thereafter, are as follows: Year Annual maturities (in thousands) 2018 $ 4,612 2019 163,984 2020 3,595 2021 3,479 2022 3,590 Thereafter 553,550 $ 732,810 |
Net Investment Income
Net Investment Income | 12 Months Ended |
Dec. 31, 2017 | |
Net Investment Income [Abstract] | |
Net Investment Income | NOTE 10. Net Investment Income: The components of net investment income are as follows: Year ended December 31, 2017 2016 2015 (in thousands) Interest on: Cash equivalents and deposits with banks $ 7,321 $ 3,989 $ 3,822 Debt securities 104,458 89,920 76,822 Other investments 22,221 7,818 7,560 Dividends on equity securities 12,925 12,684 11,751 Deferred compensation plan assets 14,211 5,861 (5,454 ) Equity in earnings of affiliates, net 3,785 8,173 7,800 Other 607 130 49 Total investment income 165,528 128,575 102,350 Investment expenses (3,126 ) (2,441 ) (1,797 ) Net investment income $ 162,402 $ 126,134 $ 100,553 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 11. Income Taxes: 2017 Tax Reform On December 22, 2017, comprehensive tax reform legislation known as the Tax Cuts and Jobs Act (the “Tax Reform Act”) was signed into law. The Tax Reform Act amends the Internal Revenue Code to reduce U.S. tax rates and modify policies, credits and deductions for individuals and businesses. The Company recorded $114.1 million in estimated net tax benefits to net income for 2017 related to the Tax Reform Act, as follows: • Remeasurement of Deferred Taxes. • Immediate Expensing of Assets. • Deemed Repatriation of Foreign Earnings. • Investment of Foreign Earnings Other provisions of the Tax Reform Act that are not expected to materially impact the Company’s consolidated financial statements include, among others, the elimination of the performance-based exception to the limitation on the deduction of certain executive compensation in excess of $1.0 million, elimination of the tax deduction for entertainment expenses, a limitation on the deductibility of net interest expense, the repeal of the corporate alternative minimum tax, changes to net operating loss rules, and various international provisions; all effective for years beginning after 2017. In addition, for years beginning after 2017, t The Securities and Exchange Commission issued Staff Accounting Bulletin No. 118 on December 22, 2017, which provides for a one-year measurement period that allows businesses time to evaluate the financial statement implications of the Tax Reform Act. Companies are required to disclose in financial filings whether their accounting for the income tax effects of the Tax Reform Act is complete, incomplete but reasonably estimated, or incomplete with no estimate provided. The measurement period allows businesses to gather the information necessary to prepare and analyze the income tax accounting effects of the Tax Reform Act on financial statements issued during the measurement period. During the measurement period, an entity may need to reflect adjustments to provisional amounts previously recorded after obtaining, preparing, or analyzing additional information about facts and circumstances that existed as of the enactment date that, if known, would have affected the income tax effects initially reported as provisional amounts. Such adjustments to provisional amounts included in an entity’s financial statements during the measurement period would be included in income from continuing operations as an adjustment to income tax expense or benefit in the reporting period the amounts are determined. As noted above, the Company has recorded in income tax expense for 2017 the estimated impact of various provisions of the Tax Reform Act. The ultimate impact of the Tax Reform Act on the Company’s consolidated financial statements may differ materially from the amounts estimated herein due to further refinement of the Company’s calculations, changes in interpretations and assumptions that the Company has made, guidance that may be issued by income taxing authorities and regulatory bodies, and actions the Company may take as a result of the Tax Reform Act. The Company anticipates completing its tax accounting for the Tax Reform Act during the one-year measurement period, and will record and disclose any adjustments made to its initial estimates during that time frame. For the years ended December 31, 2017, 2016 and 2015, domestic and foreign pretax income from continuing operations before noncontrolling interests were $391.4 million and $53.9 million, $416.5 million and $61.1 million, and $383.5 million and $49.3 million, respectively. Income taxes are summarized as follows: Year ended December 31, 2017 2016 2015 (in thousands) Current: Federal $ 116,400 $ 24,208 $ 94,036 State 9,382 1,943 3,636 Foreign 11,533 10,806 10,589 137,315 36,957 108,261 Deferred: Federal (104,062 ) 91,190 33,446 State (10,724 ) 3,753 3,413 Foreign 939 2,205 (1,225 ) (113,847 ) 97,148 35,634 $ 23,468 $ 134,105 $ 143,895 Income taxes differ from the amounts computed by applying the federal income tax rate of 35.0%. A reconciliation of these differences is as follows: Year ended December 31, 2017 2016 2015 (in thousands, except percentages) Taxes calculated at federal rate $ 155,866 35.0 % $ 167,153 35.0 % $ 151,468 35.0 % State taxes, net of federal benefit (872 ) (0.2 ) 3,703 0.8 4,581 1.1 Change in liability for tax positions (3,482 ) (0.8 ) (10,512 ) (2.2 ) 1,094 0.3 Foreign income taxed at different rates (6,163 ) (1.3 ) (7,983 ) (1.7 ) (7,111 ) (1.6 ) Federal tax credits — — (12,265 ) (2.6 ) (1,710 ) (0.4 ) Tax reform impact (129,139 ) (29.0 ) — — — — Unremitted foreign earnings 14,997 3.3 — — — — Other items, net (7,739 ) (1.7 ) (5,991 ) (1.2 ) (4,427 ) (1.1 ) $ 23,468 5.3 % $ 134,105 28.1 % $ 143,895 33.3 % The Company’s effective income tax rates (income tax expense as a percentage of income before income taxes) were 5.3% for 2017, 28.1% for 2016 and 33.3% for 2015. The differences in the effective tax rates are typically due to changes in state and foreign income taxes resulting from fluctuations in the Company’s noninsurance and foreign subsidiaries’ contributions to pretax income and changes in the ratio of permanent differences to income before income taxes. The Company’s effective tax rate for 2017 also reflects the estimated impact of the Tax Reform Act, state tax benefits relating to the termination of the Company’s pension plan, and the release of reserves relating to tax positions taken on prior year tax returns. In addition, the Company’s effective tax rate for 2017 reflects the adoption of new accounting guidance related to the accounting for share-based payment transactions, which requires, among other items, that all excess tax benefits and tax deficiencies associated with share-based payment transactions be recorded in income tax expense rather than in additional paid-in capital, as previously required. The impact to the Company of adopting this guidance was a reduction in income tax expense of $3.4 million. See Note 1 Basis of Presentation and Significant Accounting Policies for further discussion of the new guidance. The Company’s effective tax rate for 2016 reflects the resolution of certain tax authority examinations and tax credits claimed in 2016 and prior years. The Company’s effective tax rate for 2015 includes a benefit for the release of valuation allowances previously provided against certain foreign net operating losses and other deferred tax assets. The primary components of temporary differences that give rise to the Company’s net deferred tax liability are as follows: December 31, 2017 2016 (in thousands) Deferred tax assets: Deferred revenue $ 7,766 $ 11,966 Employee benefits 86,519 83,100 Bad debt reserves 7,191 12,704 Loss reserves 1,372 1,974 Pension 22,600 89,726 Net operating loss carryforward 13,914 14,358 Securities — 10,664 Foreign tax credit 7,976 4,086 Other 5,673 7,557 153,011 236,135 Valuation allowance (10,333 ) (8,049 ) 142,678 228,086 Deferred tax liabilities: Depreciable and amortizable assets 204,863 320,884 Claims and related salvage 104,323 121,812 Investments in affiliates 3,343 7,511 Securities 11,656 — Unremitted foreign earnings 14,997 — 339,182 450,207 Net deferred tax liability $ 196,504 $ 222,121 The decrease in net deferred tax liability is primarily a result of applying the recently enacted U.S. corporate tax rate of 21% to deferred tax balances as of December 31, 2017. Balances as of December 31, 2016 were computed using the 35% rate then in effect. The exercise of stock options and vesting of RSUs represent a tax benefit that has been reflected as a reduction of income taxes payable and a reduction of income tax expense for the year ended December 31, 2017, and an increase to equity for the year ended December 31, 2016. The benefits recorded were $3.4 million for the years ended December 31, 2017 and 2016. In connection with the Company’s June 2010 spin-off from CoreLogic, it entered into a tax sharing agreement which governs the Company’s and CoreLogic’s respective rights, responsibilities and obligations for certain tax-related matters. At December 31, 2017 and 2016, the Company had a net payable to CoreLogic of $15.0 million and $16.3 million, respectively, related to tax matters prior to the spin-off. These amounts are included in the Company’s consolidated balance sheets in accounts payable and accrued liabilities. The decrease during the current year was primarily due to payments made for tax matters prior to the spin-off. At December 31, 2017, the Company had available a foreign tax credit carryover of $8.0 million. The Company expects to utilize this credit within the carryover period. At December 31, 2017, the Company had available net operating loss carryforwards for income tax purposes totaling $101.6 million, consisting of federal, state and foreign losses of $0.1 million, $57.5 million and $44.0 million, respectively. Of the aggregate net operating losses, $29.9 million has an indefinite expiration and the remaining $71.7 million expires at various times beginning in 2018. The Company carries a valuation allowance of $10.3 million against its deferred tax assets. Of this amount, $9.3 million relates to net operating losses ; The Company evaluates the realizability of its deferred tax assets by assessing the valuation allowance and adjusts the allowance, if necessary. The factors used to assess the likelihood of realization include the Company’s forecast of future taxable income and available tax planning strategies that could be implemented to realize the net deferred tax assets. The Company’s ability or failure to achieve forecasted taxable income in the applicable taxing jurisdictions could affect the ultimate realization of its deferred tax assets. Based on future operating results in certain jurisdictions, it is possible that the current valuation allowance positions of those jurisdictions could be adjusted in the next 12 months. As of December 31, 2017, 2016 and 2015, the liability for income taxes associated with uncertain tax positions was $12.8 million, $18.1 million and $23.8 million, respectively. The net decreases in the liabilities during 2017, 2016 and 2015 were primarily attributable to activity related to examinations conducted by various taxing authorities. The liabilities could be reduced by $3.7 million, $5.7 million and $3.4 million as of December 31, 2017, 2016, and 2015, respectively, due to offsetting tax benefits associated with the correlative effects of potential adjustments, including timing adjustments and state income taxes. The net amounts of $9.1 million, $12.4 million and $20.4 million as of December 31, 2017, 2016 and 2015, respectively, if recognized, would favorably affect the Company’s effective tax rate. A reconciliation of the beginning and ending amounts of unrecognized tax benefits for the years ended December 31, 2017, 2016 and 2015 is as follows: December 31, 2017 2016 2015 (in thousands) Unrecognized tax benefits—beginning balance $ 18,100 $ 23,800 $ 24,100 Gross decreases—prior period tax positions (1,000 ) (7,100 ) (800 ) Gross increases—current period tax positions — 1,400 500 Settlements with taxing authorities (4,300 ) — — Unrecognized tax benefits—ending balance $ 12,800 $ 18,100 $ 23,800 The Company’s continuing practice is to recognize interest and penalties, if any, related to uncertain tax positions in income tax expense. As of December 31, 2017, 2016 and 2015, the Company had accrued $5.3 million, $4.1 million and $9.7 million, respectively, of interest and penalties (net of tax benefits of $1.4 million, $1.8 million and $4.1 million, respectively) related to uncertain tax positions. The Company, or one of its subsidiaries, files income tax returns in the U.S. federal jurisdiction, various state jurisdictions, and various non-U.S. jurisdictions. The primary non-federal jurisdictions are California, Canada, India and the United Kingdom. During 2016, the Company concluded U.S. federal income tax examinations for calendar years 2005 through 2013. The Company is generally no longer subject to U.S. federal, state or non-U.S. income tax examinations by taxing authorities for years prior to 2005. It is reasonably possible that the amount of the unrecognized benefit with respect to certain of the Company’s unrecognized tax positions may significantly increase or decrease within the next 12 months. This change may be the result of ongoing audits or the expiration of federal and state statutes of limitations for the assessment of taxes. The Company records a liability for potential tax assessments based on its estimate of the potential exposure. New tax laws and new interpretations of laws and rulings by tax authorities may affect the liability for potential tax assessments. Due to the subjectivity and complex nature of the underlying issues, actual payments or assessments may differ from estimates. To the extent that the Company’s estimates differ from actual payments or assessments, income tax expense is adjusted. The Company’s income tax returns in several jurisdictions are being examined by various taxing authorities. The Company believes that adequate amounts of tax and related interest, if any, from any adjustments that may result from these examinations have been provided for. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | NOTE 12. Earnings Per Share: The computation of basic and diluted earnings per share is as follows: Year ended December 31, 2017 2016 2015 (in thousands, except per share data) Numerator Net income attributable to the Company $ 423,049 $ 342,993 $ 288,086 Less: dividends and undistributed earnings allocated to unvested RSUs — — 321 Net income allocated to common stockholders $ 423,049 $ 342,993 $ 287,765 Denominator Basic weighted-average shares 111,668 110,548 108,427 Effect of dilutive employee stock options and RSUs 767 608 1,399 Diluted weighted-average shares 112,435 111,156 109,826 Net income per share attributable to the Company’s stockholders Basic $ 3.79 $ 3.10 $ 2.65 Diluted $ 3.76 $ 3.09 $ 2.62 For the years ended December 31, 2017 and 2015, 2 thousand and 6 thousand RSUs, respectively, were excluded from the weighted-average diluted common shares outstanding due to their antidilutive effect. For the year ended December 31, 2016, no stock options or RSUs had an antidilutive effect on weighted-average diluted common shares outstanding. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |
Employee Benefit Plans | NOTE 13. Employee Benefit Plans: The First American Financial Corporation 401(k) Savings Plan (the “Savings Plan”) allows for employee-elective contributions up to the maximum amount as determined by the Internal Revenue Code. The Company makes discretionary contributions to the Savings Plan based on profitability, as well as the contributions of participants. Effective July 1, 2015, participants in the Savings Plan can no longer make additional investments in common stock of the Company. The Savings Plan held 2,428,000 shares and 2,695,000 shares of the Company’s common stock, representing 2.2% and 2.5% of the Company’s total common shares outstanding at December 31, 2017 and 2016, respectively. The Company maintains a deferred compensation plan for certain employees that allows participants to defer up to 100% of their salary, commissions and certain bonuses. Participants can allocate their deferrals among a variety of investment crediting options (known as “deemed investments”). The term deemed investments means that the participant has no ownership interest in the funds they select; the funds are only used to measure the gains or losses that will be attributed to each participant’s deferral account over time. Participants can elect to have their deferral balance paid out while they are still employed or after their employment ends. The deferred compensation plan is exempt from most provisions of the Employee Retirement Income Security Act (“ERISA”) because it is only available to a select group of management and highly compensated employees and is not a qualified employee benefit plan. To preserve the tax-deferred savings advantages of a nonqualified deferred compensation plan, federal law requires that it be unfunded or informally funded. Participant deferrals, and any earnings on those deferrals, are general unsecured obligations of the Company. The Company informally funds the deferred compensation plan through a tax-advantaged investment known as variable universal life insurance. Deferred compensation plan assets are held as an asset of the Company within a special trust, known as a “Rabbi Trust.” At December 31, 2017 and 2016, the value of the assets in the Rabbi Trust of $92.7 million and $78.9 million, respectively, and the unfunded liabilities of $97.2 million and $82.5 million, respectively, were included in the consolidated balance sheets in other assets and pension costs and other retirement plans, respectively. The Company also has nonqualified, unfunded supplemental benefit plans covering certain management personnel. The Executive and Management Supplemental Benefit Plans, subject to certain limitations, provide participants with maximum benefits of 30% and 15%, respectively, of average annual compensation over a fixed five year period. Effective January 1, 2011, the plans were closed to new participants. During 2016, the Company, and a subsidiary of the Company, terminated their funded defined benefit pension plans. Also, during 2016, the Company made additional cash contributions of $84.8 million above scheduled amounts and provided lump sum distributions to certain participants from pension plan assets totaling $127.2 million, for which the Company recognized $66.3 million in settlement costs. During 2017, the Company made cash contributions of $34.0 million to fully fund its pension obligation, completed the transfer of all remaining benefit obligations related to the pension plans to a highly rated insurance company, and recognized $152.4 million in settlement costs in the consolidated statements of income. Certain of the Company’s subsidiaries have separate savings plans and the Company’s international subsidiaries have other employee benefit plans. Expenses related to these plans and the Company’s deferred compensation plan are included in the table below under “other plans, net”. The principal components of employee benefit costs are as follows: Year ended December 31, 2017 2016 2015 (in thousands) Expense: Savings plan $ 34,520 $ 33,109 $ 37,326 Funded defined benefit pension plans 162,368 88,908 18,611 Unfunded supplemental benefit plans 12,705 13,613 17,373 Other plans, net 17,595 10,090 3,812 $ 227,188 $ 145,720 $ 77,122 The following table summarizes the benefit obligations, assets and funded status associated with the Company’s funded defined benefit pension and unfunded supplemental benefit plans: December 31, 2017 2016 Defined Unfunded Defined Unfunded (in thousands) Change in projected benefit obligation: Benefit obligation at beginning of year $ 315,108 $ 251,204 $ 416,416 $ 248,660 Service costs — 734 — 1,042 Interest costs 4,911 8,350 15,532 8,558 Actuarial losses 8,560 11,761 33,845 6,804 Annuity purchase (318,592 ) — — — Benefits paid (9,987 ) (13,521 ) (150,685 ) (13,860 ) Projected benefit obligation at end of year — 258,528 315,108 251,204 Change in plan assets: Fair value of plan assets at beginning of year 291,760 — 329,987 — Actual returns on plan assets 2,859 — 4,244 — Contributions 33,960 13,521 108,214 13,860 Annuity purchase (318,592 ) — — — Benefits paid (9,987 ) (13,521 ) (150,685 ) (13,860 ) Fair value of plan assets at end of year — — 291,760 — Reconciliation of funded status: Unfunded status of the plans $ — $ (258,528 ) $ (23,348 ) $ (251,204 ) Amounts recognized in the consolidated balance sheet: Accrued benefit liability $ — $ (258,528 ) $ (23,348 ) $ (251,204 ) Amounts recognized in accumulated other comprehensive loss: Unrecognized net actuarial loss $ — $ 101,596 $ 157,659 $ 97,636 Unrecognized prior service credit — (12,429 ) (4,109 ) (16,607 ) $ — $ 89,167 $ 153,550 $ 81,029 Accumulated benefit obligation at end of year $ — $ 258,528 $ 315,108 $ 251,204 Net periodic costs related to the Company’s funded defined benefit pension and unfunded supplemental benefit plans included the following components: Year ended December 31, 2017 2016 2015 (in thousands) Expense: Service costs $ 734 $ 1,042 $ 1,560 Interest costs 13,261 24,090 27,744 Expected return on plan assets (4,740 ) (12,386 ) (21,802 ) Amortization of net actuarial loss 17,742 28,282 32,645 Amortization of prior service credit (4,312 ) (4,844 ) (4,163 ) Settlement costs 152,388 66,337 — $ 175,073 $ 102,521 $ 35,984 Net actuarial loss and prior service credit for the unfunded supplemental benefit plans expected to be amortized from accumulated other comprehensive loss into net periodic cost over the next fiscal year include an expense of $4.8 million and a credit of $4.2 million, respectively. Weighted-average discount rate assumptions used to determine net periodic benefit costs for the years ended December 31, 2017 and 2016, were as follows: December 31, 2017 2016 Unfunded supplemental benefit plans Discount rate for projected benefit obligation 4.03 % 4.33 % Discount rate for service cost 4.32 % 4.69 % Discount rate for interest cost 3.43 % 3.56 % Weighted-average discount rate assumption used to determine the projected benefit obligation at December 31, 2017 and 2016, was as follows: December 31, 2017 2016 Unfunded supplemental benefit plans Discount rate 3.61 % 4.03 % The discount rate assumptions used for the Company’s benefit plans reflect the yield available on high-quality, fixed-income debt securities that match the expected timing of the benefit obligation payments. The Company expects to make cash contributions of $14.3 million to its unfunded supplemental benefit plans during 2018. Benefit payments, which reflect expected future service, as appropriate, are expected to be made as follows: Year (in thousands) 2018 $ 14,266 2019 $ 14,949 2020 $ 15,335 2021 $ 15,698 2022 $ 15,942 Five years thereafter $ 81,522 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | NOTE 14. Fair Value Measurements: Certain of the Company’s assets are carried at fair value. 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 at the measurement date. The Company categorizes its assets and liabilities carried at fair value using a three-level hierarchy for fair value measurements that distinguishes between market participant assumptions developed based on market data obtained from sources independent of the Company (observable inputs) and the Company’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The hierarchy for inputs used in determining fair value maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that observable inputs be used when available. The hierarchy level assigned to the assets and liabilities is based on management’s assessment of the transparency and reliability of the inputs used to estimate the fair values at the measurement date. The three hierarchy levels are defined as follows: Level 1—Valuations based on unadjusted quoted market prices in active markets for identical assets or liabilities. Level 2—Valuations based on observable inputs (other than Level 1 prices), such as quoted prices for similar assets or liabilities at the measurement date; quoted prices in markets that are not active; or other inputs that are observable, either directly or indirectly. Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement, and involve management judgment. If the inputs used to measure fair value fall into different levels of the fair value hierarchy, the hierarchy level assigned is based upon the lowest level of input that is significant to the fair value measurement. Assets measured at fair value on a recurring basis The valuation techniques and inputs used by the Company to estimate the fair values of assets measured on a recurring basis are summarized as follows: Debt securities The fair values of debt securities were based on the market values obtained from independent pricing services that were evaluated using pricing models that vary by asset class and incorporate available trade, bid and other market information and price quotes from well-established independent broker-dealers. The independent pricing services monitor market indicators, industry and economic events, and for broker-quoted only securities, obtain quotes from market makers or broker-dealers that they recognize to be market participants. The pricing services utilize the market approach in determining the fair value of the debt securities held by the Company. The Company obtains an understanding of the valuation models and assumptions utilized by the services and has controls in place to determine that the values provided represent fair values. The Company’s validation procedures include comparing prices received from the pricing services to quotes received from other third party sources for certain securities with market prices that are readily verifiable. If the price comparison results in differences over a predefined threshold, the Company will assess the reasonableness of the changes relative to prior periods given the prevailing market conditions and assess changes in the issuers’ credit worthiness, performance of any underlying collateral and prices of the instrument relative to similar issuances. To date, the Company has not made any material adjustments to the fair value measurements provided by the pricing services. Typical inputs and assumptions to pricing models used to value the Company’s U.S. Treasury bonds, municipal bonds, foreign government bonds, governmental agency bonds, governmental agency mortgage-backed securities and U.S. and foreign corporate debt securities include, but are not limited to, benchmark yields, reported trades, broker-dealer quotes, credit spreads, credit ratings, bond insurance (if applicable), benchmark securities, bids, offers, reference data and industry and economic events. For mortgage-backed securities, inputs and assumptions may also include the structure of issuance, characteristics of the issuer, collateral attributes and prepayment speeds. Certain of the Company’s corporate debt securities were not actively traded and there were fewer observable inputs available requiring the use of more judgment in determining their fair values, which resulted in their classification as Level 3. Equity securities The fair values of equity securities, including preferred and common stocks, were based on quoted market prices for identical assets that are readily and regularly available in an active market. The following tables present the fair values of the Company’s assets, measured on a recurring basis, as of December 31, 2017 and 2016: (in thousands) Total Level 1 Level 2 Level 3 December 31, 2017 Assets: Debt securities: U.S. Treasury bonds $ 173,998 $ — $ 173,998 $ — Municipal bonds 1,035,937 — 1,035,937 — Foreign government bonds 169,488 — 169,488 — Governmental agency bonds 211,470 — 211,470 — Governmental agency mortgage-backed securities 2,158,957 — 2,158,957 — U.S. corporate debt securities 743,215 — 700,347 42,868 Foreign corporate debt securities 259,619 — 257,953 1,666 4,752,684 — 4,708,150 44,534 Equity securities: Preferred stocks 18,990 18,990 — — Common stocks 447,526 447,526 — — 466,516 466,516 — — Total assets $ 5,219,200 $ 466,516 $ 4,708,150 $ 44,534 (in thousands) Total Level 1 Level 2 Level 3 December 31, 2016 Assets: Debt securities: U.S. Treasury bonds $ 151,391 $ — $ 151,391 $ — Municipal bonds 984,333 — 984,333 — Foreign government bonds 140,048 — 140,048 — Governmental agency bonds 193,868 — 193,868 — Governmental agency mortgage-backed securities 2,163,673 — 2,163,673 — U.S. corporate debt securities 678,524 — 631,859 46,665 Foreign corporate debt securities 241,526 — 235,258 6,268 4,553,363 — 4,500,430 52,933 Equity securities: Preferred stocks 15,582 15,582 — — Common stocks 388,503 388,503 — — 404,085 404,085 — — Total assets $ 4,957,448 $ 404,085 $ 4,500,430 $ 52,933 There were no transfers between Levels 1 and 2 during the years ended December 31, 2017 and 2016. Transfers into or out of the Level 3 category occur when unobservable inputs become more or less significant to the fair value measurement. For the years ended December 31, 2017 and 2016, transfers between Level 2 and Level 3 were based on market liquidity and related transparency of pricing and associated observable inputs for certain of the Company’s corporate debt securities. The Company’s policy is to recognize transfers between levels in the fair value hierarchy at the end of the reporting period. The following tables present a summary of the changes in the fair values of Level 3 assets, measured on a recurring basis, for the years ended December 31, 2017 and 2016: December 31, 2017 December 31, 2016 (in thousands) U.S. corporate debt securities Foreign corporate debt securities Total U.S. corporate debt securities Foreign corporate debt securities Total Fair value at beginning of period $ 46,665 $ 6,268 $ 52,933 $ 43,567 $ 6,572 $ 50,139 Transfers into Level 3 7,991 — 7,991 9,293 2,536 11,829 Transfers out of Level 3 (14,472 ) (1,112 ) (15,584 ) (17,503 ) (1,294 ) (18,797 ) Net realized and unrealized gains (losses): Included in earnings (172 ) 18 (154 ) (120 ) (35 ) (155 ) Included in other comprehensive income (loss) (300 ) (52 ) (352 ) 1,565 122 1,687 Purchases 26,399 1,847 28,246 27,370 3,530 30,900 Sales (7,606 ) (1,737 ) (9,343 ) (9,037 ) (2,329 ) (11,366 ) Settlements (15,637 ) (3,566 ) (19,203 ) (8,470 ) (2,834 ) (11,304 ) Fair value at end of period $ 42,868 $ 1,666 $ 44,534 $ 46,665 $ 6,268 $ 52,933 Financial instruments not measured at fair value In estimating the fair values of its financial instruments not measured at fair value, the Company used the following methods and assumptions: Cash and cash equivalents The carrying amount for cash and cash equivalents is a reasonable estimate of fair value due to the short-term maturity of these investments. Deposits with banks The fair value of deposits with banks is estimated based on rates currently offered for deposits of similar remaining maturities, where applicable. Notes receivable, net The fair value of notes receivable, net is estimated based on current market rates being offered for notes with similar maturities and credit quality. Deposits The carrying values of escrow and other deposit accounts approximate fair value due to the short-term nature of these liabilities. Notes and contracts payable The fair value of notes and contracts payable is estimated based on current rates offered to the Company for debt of similar remaining maturities. The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments not measured at fair value as of December 31, 2017 and 2016: Carrying Estimated fair value (in thousands) Amount Total Level 1 Level 2 Level 3 December 31, 2017 Assets: Cash and cash equivalents $ 1,387,226 $ 1,387,226 $ 1,387,226 $ — $ — Deposits with banks $ 41,335 $ 41,259 $ 6,846 $ 34,413 $ — Notes receivable, net $ 7,066 $ 6,798 $ — $ — $ 6,798 Liabilities: Deposits $ 3,070,566 $ 3,070,566 $ 3,070,566 $ — $ — Notes and contracts payable $ 732,810 $ 755,670 $ — $ 751,827 $ 3,843 Carrying Estimated fair value (in thousands) Amount Total Level 1 Level 2 Level 3 December 31, 2016 Assets: Cash and cash equivalents $ 1,006,138 $ 1,006,138 $ 1,006,138 $ — $ — Deposits with banks $ 21,222 $ 21,176 $ 1,017 $ 20,159 $ — Notes receivable, net $ 7,799 $ 7,542 $ — $ — $ 7,542 Liabilities: Deposits $ 2,779,478 $ 2,779,478 $ 2,779,478 $ — $ — Notes and contracts payable $ 736,693 $ 734,812 $ — $ 729,658 $ 5,154 |
Share-Based Compensation Plans
Share-Based Compensation Plans | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation Plans | NOTE 15. Share-Based Compensation Plans: The First American Financial Corporation 2010 Incentive Compensation Plan (the “Incentive Compensation Plan”), effective May 28, 2010, permits the granting of stock options, stock appreciation rights, restricted stock, RSUs, performance units, performance shares and other stock-based awards. Eligible participants in the Incentive Compensation Plan include the Company’s directors and officers, as well as other employees. At December 31, 2017, 3.3 million shares of common stock remain available to be issued from either authorized and unissued shares or previously issued shares acquired by the Company, subject to certain annual limits based on the type of award granted. The Incentive Compensation Plan terminates 10 years from its effective date unless previously canceled by the Company’s board of directors. The First American Financial Corporation 2010 Employee Stock Purchase Plan (the “ESPP”) allows eligible employees the option to purchase common stock of the Company at 85% of the lower of the closing price on either the first or last day of each quarterly offering period. There were 390,000 and 371,000 shares issued in connection with this plan for the years ended December 31, 2017 and 2016, respectively. At December 31, 2017, there were 2.4 million shares reserved for future issuances. The following table summarizes the costs associated with the Company’s share-based compensation plans: Year ended December 31, 2017 2016 2015 (in thousands) Expense: RSUs $ 34,059 $ 31,120 $ 21,761 Stock options 263 271 271 Employee stock purchase plan 3,077 2,734 2,307 $ 37,399 $ 34,125 $ 24,339 The following table summarizes RSU activity for the year ended December 31, 2017: (in thousands, except weighted-average grant-date fair value) Shares Weighted-average Unvested at December 31, 2016 1,510 $ 33.38 Granted during 2017 930 39.56 Vested during 2017 (1,016 ) 34.47 Forfeited during 2017 (13 ) 35.47 Unvested at December 31, 2017 1,411 $ 36.66 As of December 31, 2017, there was $26.6 million of total unrecognized compensation cost related to unvested RSUs that is expected to be recognized over a weighted-average period of 2.2 years. The fair value of RSUs is generally based on the market value of the Company’s shares on the date of grant. The total fair value of shares vested and not distributed for the years ended December 31, 2017, 2016 and 2015 was $33.7 million, $25.9 million and $20.3 million, respectively. The following table summarizes stock option activity for the year ended December 31, 2017: (in thousands, except weighted-average Number Weighted- Weighted- Aggregate Balance at December 31, 2016 132 $ 27.66 Exercised during 2017 (66 ) 27.66 Balance at December 31, 2017 66 $ 27.66 6.0 years $ 1,883 Vested and expected to vest at December 31, 2017 66 $ 27.66 6.0 years $ 1,883 Exercisable at December 31, 2017 66 $ 27.66 6.0 years $ 1,883 As of December 31, 2017, there was no unrecognized compensation cost related to unvested stock options of the Company. The total intrinsic value of stock options exercised for the years ended December 31, 2017 and 2015 was $1.0 million and $9.7 million, respectively. No stock options were exercised during the year ended December 31, 2016. Intrinsic value represents the difference between the fair market value of the Company’s common stock on the date of exercise and the exercise price of each option. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Stockholders' Equity | NOTE 16. Stockholders’ Equity: In March 2014, the Company’s board of directors approved an increase in the size of the Company’s stock repurchase plan from $150.0 million to $250.0 million, of which $182.4 million remained as of December 31, 2017. Purchases may be made from time to time by the Company in the open market at prevailing market prices or in privately negotiated transactions. The Company did not repurchase any shares of its common stock during the year ended December 31, 2017 and, as of December 31, 2017, had repurchased and retired 3.2 million shares of its common stock under the current authorization for a total purchase price of $67.6 million. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) ("AOCI") | 12 Months Ended |
Dec. 31, 2017 | |
Accumulated Other Comprehensive Income Other Comprehensive Income [Abstract] | |
Accumulated Other Comprehensive Income (Loss) ("AOCI") | NOTE 17. Accumulated Other Comprehensive Income (Loss) (“AOCI”): The following table presents a summary of the changes in each component of AOCI for the years ended December 31, 2017, 2016 and 2015: Unrealized Foreign Pension Accumulated (in thousands) Balance at December 31, 2014 $ 10,911 $ (20,420 ) $ (189,580 ) $ (199,089 ) Change in unrealized gains (losses) on securities (42,205 ) — — (42,205 ) Change in foreign currency translation adjustment — (36,822 ) — (36,822 ) Net actuarial gain — — 10,743 10,743 Amortization of net actuarial loss — — 32,645 32,645 Amortization of prior service credit — — (4,163 ) (4,163 ) Tax effect 14,893 — (15,002 ) (109 ) Balance at December 31, 2015 (16,401 ) (57,242 ) (165,357 ) (239,000 ) Change in unrealized gains (losses) on securities (15,702 ) — — (15,702 ) Change in foreign currency translation adjustment — (6,334 ) — (6,334 ) Net actuarial loss — — (48,803 ) (48,803 ) Amortization of net actuarial loss — — 28,282 28,282 Amortization of prior service credit — — (4,844 ) (4,844 ) Settlement costs — — 66,337 66,337 Tax effect 5,343 — (15,672 ) (10,329 ) Balance at December 31, 2016 (26,760 ) (63,576 ) (140,057 ) (230,393 ) Change in unrealized gains (losses) on securities 86,834 — — 86,834 Change in foreign currency translation adjustment — 24,744 — 24,744 Net actuarial loss — — (20,407 ) (20,407 ) Amortization of net actuarial loss — — 17,742 17,742 Amortization of prior service credit — — (4,312 ) (4,312 ) Settlement costs — — 152,388 152,388 Tax effect (23,271 ) — (70,814 ) (94,085 ) Balance at December 31, 2017 $ 36,803 $ (38,832 ) $ (65,460 ) $ (67,489 ) Components of AOCI allocated to the Company and noncontrolling interests at December 31, 2017, 2016 and 2015, are as follows: Unrealized Foreign Pension Accumulated (in thousands) 2017 Allocated to the Company $ 36,783 $ (38,832 ) $ (65,460 ) $ (67,509 ) Allocated to noncontrolling interests 20 — — 20 Balance at December 31, 2017 $ 36,803 $ (38,832 ) $ (65,460 ) $ (67,489 ) 2016 Allocated to the Company $ (26,767 ) $ (63,576 ) $ (140,057 ) $ (230,400 ) Allocated to noncontrolling interests 7 — — 7 Balance at December 31, 2016 $ (26,760 ) $ (63,576 ) $ (140,057 ) $ (230,393 ) 2015 Allocated to the Company $ (16,404 ) $ (57,242 ) $ (165,357 ) $ (239,003 ) Allocated to noncontrolling interests 3 — — 3 Balance at December 31, 2015 $ (16,401 ) $ (57,242 ) $ (165,357 ) $ (239,000 ) The following table presents the other comprehensive income (loss) reclassification adjustments for the years ended December 31, 2017, 2016 and 2015: Unrealized Foreign Pension Total (in thousands) Year ended December 31, 2017 Pretax change before reclassifications $ 101,553 $ 24,744 $ (20,407 ) $ 105,890 Reclassifications out of AOCI (14,719 ) — 165,818 151,099 Tax effect (23,271 ) — (70,814 ) (94,085 ) Total other comprehensive income (loss), net of tax $ 63,563 $ 24,744 $ 74,597 $ 162,904 Year ended December 31, 2016 Pretax change before reclassifications $ 2,617 $ (6,334 ) $ (48,803 ) $ (52,520 ) Reclassifications out of AOCI (18,319 ) — 89,775 71,456 Tax effect 5,343 — (15,672 ) (10,329 ) Total other comprehensive income (loss), net of tax $ (10,359 ) $ (6,334 ) $ 25,300 $ 8,607 Year ended December 31, 2015 Pretax change before reclassifications $ (46,601 ) $ (36,822 ) $ 10,743 $ (72,680 ) Reclassifications out of AOCI 4,396 — 28,482 32,878 Tax effect 14,893 — (15,002 ) (109 ) Total other comprehensive income (loss), net of tax $ (27,312 ) $ (36,822 ) $ 24,223 $ (39,911 ) The following table presents the effect of the reclassifications out of AOCI on the respective line items in the consolidated statements of income: Amounts reclassified from AOCI Year ended December 31, Affected line items in the (in thousands) 2017 2016 2015 consolidated statements of income Unrealized gains (losses) on securities: Net realized gains (losses) on sales of securities $ 14,719 $ 18,804 $ (2,147 ) Net realized investment gains Net other-than-temporary impairment losses — (485 ) (2,249 ) Net realized investment gains Pretax total $ 14,719 $ 18,319 $ (4,396 ) Tax effect $ (5,259 ) $ (7,007 ) $ 1,551 Pension benefit adjustment: Amortization of net actuarial loss $ (17,742 ) $ (28,282 ) $ (32,645 ) (1) Amortization of prior service credit 4,312 4,844 4,163 (1) Settlement costs (152,388 ) (66,337 ) — (1) Pretax total $ (165,818 ) $ (89,775 ) $ (28,482 ) Tax effect $ 67,322 $ 34,339 $ 10,893 (1) These components of AOCI are included in the computation of net periodic cost. See Note 13 Employee Benefit Plans for additional details. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 18. Commitments and Contingencies: Lease commitments The Company leases certain office facilities, automobiles and equipment under operating leases, which, for the most part, are renewable. The majority of these leases also provide that the Company pay insurance and taxes. Future minimum rental payments under operating leases that have initial noncancelable lease terms in excess of one year, as of December 31, 2017, are as follows: (in thousands) Year 2018 $ 83,684 2019 73,524 2020 61,776 2021 47,348 2022 33,292 Thereafter 67,459 $ 367,083 Total rental expense for all operating leases, including month-to-month rentals, was $91.0 million, $91.4 million and $93.3 million for the years ended December 31, 2017, 2016 and 2015, respectively. |
Litigation and Regulatory Conti
Litigation and Regulatory Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Litigation and Regulatory Contingencies | NOTE 19. Litigation and Regulatory Contingencies: The Company and its subsidiaries are parties to a number of non-ordinary course lawsuits. These lawsuits frequently are similar in nature to other lawsuits pending against the Company’s competitors. For those non-ordinary course lawsuits where the Company has determined that a loss is both probable and reasonably estimable, a liability representing the best estimate of the Company’s financial exposure based on known facts has been recorded. Actual losses may materially differ from the amounts recorded. For a substantial majority of these lawsuits, however, it is not possible to assess the probability of loss. Most of these lawsuits are putative class actions which require a plaintiff to satisfy a number of procedural requirements before proceeding to trial. These requirements include, among others, demonstration to a court that the law proscribes in some manner the Company’s activities, the making of factual allegations sufficient to suggest that the Company’s activities exceeded the limits of the law and a determination by the court—known as class certification—that the law permits a group of individuals to pursue the case together as a class. In certain instances the Company may also be able to compel the plaintiff to arbitrate its claim on an individual basis. If these procedural requirements are not met, either the lawsuit cannot proceed or, as is the case with class certification or compelled arbitration, the plaintiffs lose the financial incentive to proceed with the case (or the amount at issue effectively becomes de minimis). Frequently, a court’s determination as to these procedural requirements is subject to appeal to a higher court. As a result of, among other factors, ambiguities and inconsistencies in the myriad laws applicable to the Company’s business and the uniqueness of the factual issues presented in any given lawsuit, the Company often cannot determine the probability of loss until a court has finally determined that a plaintiff has satisfied applicable procedural requirements. Furthermore, because most of these lawsuits are putative class actions, it is often impossible to estimate the possible loss or a range of loss amounts, even where the Company has determined that a loss is reasonably possible. Generally class actions involve a large number of people and the effort to determine which people satisfy the requirements to become plaintiffs—or class members—is often time consuming and burdensome. Moreover, these lawsuits raise complex factual issues which result in uncertainty as to their outcome and, ultimately, make it difficult for the Company to estimate the amount of damages which a plaintiff might successfully prove. In addition, many of the Company’s businesses are regulated by various federal, state, local and foreign governmental agencies and are subject to numerous statutory guidelines. These regulations and statutory guidelines often are complex, inconsistent or ambiguous, which results in additional uncertainty as to the outcome of a given lawsuit—including the amount of damages a plaintiff might be afforded—or makes it difficult to analogize experience in one case or jurisdiction to another case or jurisdiction. Most of the non-ordinary course lawsuits to which the Company and its subsidiaries are parties challenge practices in the Company’s title insurance business, though a limited number of cases also pertain to the Company’s other businesses. These lawsuits include, among others, cases alleging, among other assertions, that the Company, one of its subsidiaries and/or one of its agents overcharged or improperly charged fees for products and services, conspired to fix prices, participated in the conveyance of illusory property interests, improperly handled property and casualty claims, and gave items of value to brokers and others as inducements to refer business in violation of certain laws, such as consumer protection laws and laws generally prohibiting unfair business practices, and certain obligations, including • Chavez v. First American Specialty Insurance Company, filed on June 29, 2017 and pending in the Superior Court of the State of California, County of Los Angeles, • Downing v. First American Title Insurance Company, et al., filed on July 26, 2016 and pending in the United States District Court for the Northern District of Georgia, • Kaufman v. First American Financial Corporation, et al., filed on December 21, 2007 and pending in the Superior Court of the State of California, County of Los Angeles, • Lennen v. First American Financial Corporation, et al., filed on May 19, 2016 and pending in the United States District court for the Middle District of Florida, • McCormick v. First American Real Estate Services, Inc., et al., filed on December 31, 2015 and pending in the Superior Court of the State of California, County of Orange, • Sjobring v. First American Financial Corporation, et al., filed on February 25, 2005 and pending in the Superior Court of the State of California, County of Los Angeles, • Tenefufu vs. First American Specialty Insurance Company, filed on June 1, 2017, pending in the Superior Court of the State of California, County of Sacramento, and • Wilmot v. First American Financial Corporation, et al., filed on April 20, 2007 and pending in the Superior Court of the State of California, County of Los Angeles. All of these lawsuits, except Kaufman and Sjobring, are putative class actions for which a class has not been certified. For the reasons described above, the Company has not yet been able to assess the probability of loss or estimate the possible loss or the range of loss or, where the Company has been able to make an estimate, the Company believes the amount is not material to the consolidated financial statements as a whole. While some of the lawsuits described above may be material to the Company’s operating results in any particular period if an unfavorable outcome results, the Company does not believe that any of these lawsuits will have a material adverse effect on the Company’s overall financial condition or liquidity. The Company also is a party to non-ordinary course lawsuits other than those described above. With respect to these lawsuits, the Company has determined either that a loss is not reasonably possible or that the estimated loss or range of loss, if any, is not material to the consolidated financial statements as a whole. The Company’s title insurance, property and casualty insurance, home warranty, banking, thrift, trust and wealth management businesses are regulated by various federal, state and local governmental agencies. Many of the Company’s other businesses operate within statutory guidelines. Consequently, the Company may from time to time be subject to examination or investigation by such governmental agencies. Currently, governmental agencies are examining or investigating certain of the Company’s operations. These exams or investigations include inquiries into, among other matters, pricing and rate setting practices in the title insurance industry, competition in the title insurance industry, real estate settlement service, customer acquisition and retention practices and agency relationships. With respect to matters where the Company has determined that a loss is both probable and reasonably estimable, the Company has recorded a liability representing its best estimate of the financial exposure based on known facts. While the ultimate disposition of each such exam or investigation is not yet determinable, the Company does not believe that individually or in the aggregate they will have a material adverse effect on the Company’s financial condition, results of operations or cash flows. These exams or investigations could, however, result in changes to the Company’s business practices which could ultimately have a material adverse impact on the Company’s financial condition, results of operations or cash flows. The Company’s Canadian operations provide certain services to lenders which it believes to be exempt from excise tax under applicable Canadian tax laws. However, in October 2014, the Canadian taxing authority provided internal guidance that the services in question should be subject to the excise tax. While discussions with the taxing authority are ongoing, the Company believes that the guidance may result in an assessment. The amount, if any, of such assessment is not currently known, and any such assessment would be subject to negotiation. In the event that the Company disagrees with the ultimate assessment, the Company intends to avail itself of avenues of appeal. While the Company believes it is reasonably likely that the Company would prevail on the merits, a loss associated with the matter is possible. In light of the foregoing, the Company is not currently able to reasonably estimate a loss or range of loss associated with the matter. While such a loss could be material to the Company’s operating results in any particular period if an unfavorable outcome results, the Company does not believe that this matter will have a material adverse effect on the Company’s overall financial condition or liquidity. The Company and its subsidiaries also are involved in numerous ongoing routine legal and regulatory proceedings related to their operations. With respect to each of these proceedings, the Company has determined either that a loss is not reasonably possible or that the estimated loss or range of loss, if any, is not material to the consolidated financial statements as a whole. |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Business Combinations | NOTE 20. Business Combinations: During the years ended December 31, 2017 and 2016, the Company completed acquisitions for an aggregate purchase price of $91.1 million and $115.3 million, respectively. These acquisitions have been included in the Company’s title insurance and services segment. |
Segment Financial Information
Segment Financial Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Financial Information | NOTE 21. Segment Financial Information: The Company consists of the following reportable segments and a corporate function: • The Company’s title insurance and services segment issues title insurance policies on residential and commercial property in the United States and offers similar or related products and services internationally. This segment also provides closing and/or escrow services; accommodates tax-deferred exchanges of real estate; provides products, services and solutions involving the use of real property related data designed to mitigate risk or otherwise facilitate real estate transactions; maintains, manages and provides access to title plant records and images; and provides appraisals and other valuation-related products and services, lien release and document custodial services, default-related products and services, evidence of title, and banking, trust and wealth management services. The Company, through its principal title insurance subsidiary and such subsidiary’s affiliates, transacts its title insurance business through a network of direct operations and agents. Through this network, the Company issues policies in the 49 states that permit the issuance of title insurance policies and the District of Columbia. The Company also offers title insurance, closing services and similar or related products and services, either directly or through third parties in other countries, including Canada, the United Kingdom, Australia, South Korea and various other established and emerging markets. • The Company’s specialty insurance segment issues property and casualty insurance policies and sells home warranty products. The property and casualty insurance business provides insurance coverage to residential homeowners and renters for liability losses and typical hazards such as fire, theft, vandalism and other types of property damage. This business is licensed to issue policies in all 50 states and the District of Columbia and actively issues policies in 47 states. The majority of policy liability is in the western United States, including approximately 63% in California. In certain markets it also offers preferred risk auto insurance to better compete with other carriers offering bundled home and auto insurance. The home warranty business provides residential service contracts that cover residential systems, such as heating and air conditioning systems, and certain appliances against failures that occur as the result of normal usage during the coverage period. This business currently operates in 39 states and the District of Columbia. The corporate function consists primarily of certain financing facilities as well as the corporate services that support the Company’s business operations. Eliminations consist of inter-segment revenues and related expenses included in the results of the operating segments. Selected financial information about the Company’s operations, by segment, for the years ended December 31, 2017, 2016 and 2015, is as follows: Revenues Depreciation Equity in affiliates, net Income (loss) Assets Investments method affiliates Capital (in thousands) 2017 Title Insurance and Services $ 5,293,156 $ 121,540 $ 3,785 $ 642,364 $ 8,669,936 $ 56,583 $ 128,751 Specialty Insurance 465,020 6,351 — 36,908 592,405 — 7,913 Corporate 15,326 162 — (233,941 ) 429,128 — — Eliminations (1,139 ) — — — (118,247 ) — — $ 5,772,363 $ 128,053 $ 3,785 $ 445,331 $ 9,573,222 $ 56,583 $ 136,664 2016 Title Insurance and Services $ 5,134,125 $ 93,069 $ 8,173 $ 598,872 $ 7,905,433 $ 102,925 $ 126,715 Specialty Insurance 435,844 5,593 — 40,074 551,231 — 5,631 Corporate 5,946 385 — (161,365 ) 453,410 — — Eliminations (69 ) — — — (78,297 ) — — $ 5,575,846 $ 99,047 $ 8,173 $ 477,581 $ 8,831,777 $ 102,925 $ 132,346 2015 Title Insurance and Services $ 4,788,110 $ 80,359 $ 7,800 $ 489,954 $ 7,283,180 $ 108,574 $ 122,707 Specialty Insurance 393,757 4,775 — 39,519 510,915 — 4,837 Corporate (5,955 ) 462 — (96,708 ) 444,943 — 22 Eliminations (456 ) — — — (2,323 ) — — $ 5,175,456 $ 85,596 $ 7,800 $ 432,765 $ 8,236,715 $ 108,574 $ 127,566 Revenues from external customers allocated between domestic and foreign operations, by segment, for the years ended December 31, 2017, 2016 and 2015, are as follows: Year Ended December 31, 2017 2016 2015 Domestic Foreign Domestic Foreign Domestic Foreign (in thousands) Title Insurance and Services $ 5,011,990 $ 281,090 $ 4,830,727 $ 303,352 $ 4,480,230 $ 307,453 Specialty Insurance 465,020 — 435,844 — 393,757 — $ 5,477,010 $ 281,090 $ 5,266,571 $ 303,352 $ 4,873,987 $ 307,453 Long-lived assets allocated between domestic and foreign operations, by segment, as of December 31, 2017, 2016 and 2015, are as follows: December 31, 2017 2016 2015 Domestic Foreign Domestic Foreign Domestic Foreign (in thousands) Title Insurance and Services $ 975,443 $ 59,960 $ 986,718 $ 40,161 $ 933,829 $ 35,375 Specialty Insurance 57,762 — 55,045 — 51,920 — $ 1,033,205 $ 59,960 $ 1,041,763 $ 40,161 $ 985,749 $ 35,375 |
Quarterly Financial Data
Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data | QUARTERLY FINANCIAL DATA (Unaudited) Quarter Ended March 31 June 30 September 30 December 31 (in thousands, except per share amounts) 2017 Revenues $ 1,317,043 $ 1,454,429 $ 1,519,568 $ 1,481,323 Income before income taxes $ 83,880 $ 184,154 $ 17,962 $ 159,335 Net income $ 58,069 $ 121,895 $ 21,186 $ 220,713 Net loss attributable to noncontrolling interests $ (213 ) $ (362 ) $ (197 ) $ (414 ) Net income attributable to the Company $ 58,282 $ 122,257 $ 21,383 $ 221,127 Net income per share attributable to the Company’s stockholders (1): Basic $ 0.52 $ 1.10 $ 0.19 $ 1.98 Diluted $ 0.52 $ 1.09 $ 0.19 $ 1.96 (1) Net income per share attributable to the Company’s stockholders for the four quarters of each fiscal year may not sum to the total for the fiscal year because of the different number of shares outstanding during each period. Quarter Ended March 31 June 30 September 30 December 31 (in thousands, except per share amounts) 2016 Revenues $ 1,201,712 $ 1,361,533 $ 1,508,344 $ 1,504,257 Income before income taxes $ 75,592 $ 153,607 $ 166,931 $ 81,451 Net income $ 52,672 $ 102,451 $ 107,392 $ 80,961 Net income (loss) attributable to noncontrolling interests $ 171 $ 302 $ 72 $ (62 ) Net income attributable to the Company $ 52,501 $ 102,149 $ 107,320 $ 81,023 Net income per share attributable to the Company’s stockholders (1): Basic $ 0.48 $ 0.92 $ 0.97 $ 0.73 Diluted $ 0.47 $ 0.92 $ 0.96 $ 0.73 (1) Net income per share attributable to the Company’s stockholders for the four quarters of each fiscal year may not sum to the total for the fiscal year because of the different number of shares outstanding during each period. |
Summary Of Investments-Other Th
Summary Of Investments-Other Than Investments In Related Parties | 12 Months Ended |
Dec. 31, 2017 | |
Summary Of Investments Other Than Investments In Related Parties [Abstract] | |
Summary of Investments-Other Than Investments in Related Parties | SCHEDULE I 1 OF 1 FIRST AMERICAN FINANCIAL CORPORATION AND SUBSIDIARY COMPANIES SUMMARY OF INVESTMENTS—OTHER THAN INVESTMENTS IN RELATED PARTIES (in thousands) December 31, 2017 Column A Column B Column C Column D Type of investment Cost Market value Amount at which Deposits with banks: Consolidated $ 41,335 $ 41,259 $ 41,335 Debt securities: U.S. Treasury bonds Consolidated $ 173,049 $ 173,998 $ 173,998 Municipal bonds Consolidated $ 1,031,146 $ 1,035,937 $ 1,035,937 Foreign government bonds Consolidated $ 170,220 $ 169,488 $ 169,488 Governmental agency bonds Consolidated $ 212,731 $ 211,470 $ 211,470 Governmental agency mortgage-backed securities Consolidated $ 2,172,377 $ 2,158,957 $ 2,158,957 U.S. corporate debt securities Consolidated $ 734,409 $ 743,215 $ 743,215 Foreign corporate debt securities Consolidated $ 256,430 $ 259,619 $ 259,619 Total debt securities: Consolidated $ 4,750,362 $ 4,752,684 $ 4,752,684 Equity securities: Consolidated $ 413,672 $ 466,516 $ 466,516 Notes receivable, net: Consolidated $ 7,066 $ 6,798 $ 7,066 Other investments: Consolidated $ 110,702 $ 110,702 (1) $ 110,702 Total investments: Consolidated $ 5,323,137 $ 5,377,959 $ 5,378,303 (1) As other investments are not publicly traded, estimates of the fair values could not be made without incurring excessive costs. |
Condensed Financial Statements
Condensed Financial Statements (Parent Company) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Financial Information of Parent Company Only Disclosure | SCHEDULE II 1 OF 5 FIRST AMERICAN FINANCIAL CORPORATION (Parent Company) CONDENSED BALANCE SHEETS (in thousands, except par values) December 31, 2017 2016 Assets Cash and cash equivalents $ 233,920 $ 221,519 Dividends receivable 54,347 — Due from subsidiaries, net 4,098 77,557 Income taxes receivable 38,673 67,970 Investment in subsidiaries 4,360,010 3,897,995 Deferred income taxes 22,803 20,037 Other assets 97,991 85,709 $ 4,811,842 $ 4,370,787 Liabilities and Equity Accounts payable and other accrued liabilities $ 38,724 $ 39,069 Pension costs and other retirement plans 359,806 359,057 Income taxes payable 4,602 10,376 Deferred income taxes 219,307 242,158 Notes and contracts payable 706,378 705,778 1,328,817 1,356,438 Commitments and contingencies Stockholders’ equity: Preferred stock, $0.00001 par value; Authorized—500 shares; — — Common stock, $0.00001 par value; Authorized—300,000 shares; Outstanding—110,925 shares and 109,944 shares 1 1 Additional paid-in capital 2,236,351 2,191,756 Retained earnings 1,311,112 1,046,822 Accumulated other comprehensive loss (67,509 ) (230,400 ) Total stockholders’ equity 3,479,955 3,008,179 Noncontrolling interests 3,070 6,170 Total equity 3,483,025 3,014,349 $ 4,811,842 $ 4,370,787 See notes to condensed financial statements SCHEDULE II 2 OF 5 FIRST AMERICAN FINANCIAL CORPORATION (Parent Company) CONDENSED STATEMENTS OF INCOME (in thousands) Year Ended December 31, 2017 2016 2015 Revenues: Dividends from subsidiaries $ 354,350 $ 46,422 $ 142,522 Other income (losses) 15,011 5,809 (6,001 ) 369,361 52,231 136,521 Expenses: Other expenses 54,245 44,592 36,233 Income before income taxes and equity in undistributed earnings of subsidiaries 315,116 7,639 100,288 Income taxes 16,606 2,145 33,346 Equity in undistributed earnings of subsidiaries 123,353 337,982 221,928 Net income 421,863 343,476 288,870 Less: Net (loss) income attributable to noncontrolling interests (1,186 ) 483 784 Net income attributable to the Company $ 423,049 $ 342,993 $ 288,086 See notes to condensed financial statements SCHEDULE II 3 OF 5 FIRST AMERICAN FINANCIAL CORPORATION (Parent Company) CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (in thousands) Year Ended December 31, 2017 2016 2015 Net income $ 421,863 $ 343,476 $ 288,870 Other comprehensive income (loss), net of tax: Unrealized gains (losses) on securities 63,563 (10,359 ) (27,312 ) Foreign currency translation adjustment 24,744 (6,334 ) (36,822 ) Pension benefit adjustment 74,597 25,300 24,223 Total other comprehensive income (loss), net of tax 162,904 8,607 (39,911 ) Comprehensive income 584,767 352,083 248,959 Less: Comprehensive (loss) income attributable to noncontrolling interests (1,173 ) 487 770 Comprehensive income attributable to the Company $ 585,940 $ 351,596 $ 248,189 See notes to condensed financial statements SCHEDULE II 4 OF 5 FIRST AMERICAN FINANCIAL CORPORATION (Parent Company) CONDENSED STATEMENTS OF CASH FLOWS (in thousands) Year Ended December 31, 2017 2016 2015 Cash flows from operating activities: Cash provided by (used for) operating activities $ 232,347 $ (26,682 ) $ 133,022 Cash flows from investing activities: Net cash effect of acquisitions (21,750 ) — (19,069 ) Contributions to subsidiaries (66,726 ) (106,818 ) — Net change in other investments 82 204 867 Return of capital from subsidiaries 25,000 32,500 — Capital expenditures — — (22 ) Cash used for investing activities (63,394 ) (74,114 ) (18,224 ) Cash flows from financing activities: Net proceeds from issuance of debt — 160,000 — Repayment of debt to subsidiaries — — (60,000 ) Excess tax benefits from share-based compensation — 3,415 9,526 Net proceeds in connection with share-based compensation plans 2,732 1,104 5,042 Purchase of Company shares — (454 ) — Cash dividends (159,284 ) (131,541 ) (108,524 ) Cash (used for) provided by financing activities (156,552 ) 32,524 (153,956 ) Net increase (decrease) in cash and cash equivalents 12,401 (68,272 ) (39,158 ) Cash and cash equivalents—Beginning of period 221,519 289,791 328,949 Cash and cash equivalents—End of period $ 233,920 $ 221,519 $ 289,791 See notes to condensed financial statements SCHEDULE II 5 OF 5 FIRST AMERICAN FINANCIAL CORPORATION (Parent Company) NOTES TO CONDENSED FINANCIAL STATEMENTS NOTE 1. Description of the Company: First American Financial Corporation is a holding company that conducts all of its operations through its subsidiaries. The Parent Company financial statements should be read in connection with the consolidated financial statements and notes thereto included elsewhere in this Form 10-K. NOTE 2. Dividends Received: The holding company received cash dividends from subsidiaries of $87.4 million, $46.4 million and $142.5 million for the years ended December 31, 2017, 2016 and 2015, respectively. |
Supplementary Insurance Informa
Supplementary Insurance Information | 12 Months Ended |
Dec. 31, 2017 | |
Supplementary Insurance Information [Abstract] | |
Supplementary Insurance Information | SCHEDULE III 1 OF 2 FIRST AMERICAN FINANCIAL CORPORATION AND SUBSIDIARY COMPANIES SUPPLEMENTARY INSURANCE INFORMATION (in thousands) BALANCE SHEET CAPTIONS Column A Column B Column C Column D Segment Deferred Claims Deferred 2017 Title Insurance and Services $ 300 $ 958,818 $ 11,124 Specialty Insurance 31,252 70,115 229,698 Total $ 31,552 $ 1,028,933 $ 240,822 2016 Title Insurance and Services $ 330 $ 971,931 $ 9,698 Specialty Insurance 30,221 53,932 219,207 Total $ 30,551 $ 1,025,863 $ 228,905 SCHEDULE III 2 OF 2 FIRST AMERICAN FINANCIAL CORPORATION AND SUBSIDIARY COMPANIES SUPPLEMENTARY INSURANCE INFORMATION (in thousands) INCOME STATEMENT CAPTIONS Column A Column F Column G Column H Column I Column J Column K Segment Premiums Net Loss Amortization Other Premiums 2017 Title Insurance and Services $ 4,383,043 $ 144,095 $ 175,322 $ 122 $ 788,020 $ — Specialty Insurance 439,470 14,291 275,088 (1,030 ) 67,813 450,098 Corporate — 15,326 — — 26,104 — Eliminations — (76 ) — — (1,063 ) — Total $ 4,822,513 $ 173,636 $ 450,410 $ (908 ) $ 880,874 $ 450,098 2016 Title Insurance and Services $ 4,291,316 $ 129,672 $ 235,661 $ — $ 764,388 $ — Specialty Insurance 411,353 13,614 252,940 (4,179 ) 62,610 426,815 Corporate — 5,946 — — 26,867 — Eliminations — (45 ) — — (24 ) — Total $ 4,702,669 $ 149,187 $ 488,601 $ (4,179 ) $ 853,841 $ 426,815 2015 Title Insurance and Services $ 4,028,048 $ 90,078 $ 263,881 $ 1,796 $ 745,278 $ — Specialty Insurance 380,264 10,313 227,211 (727 ) 49,741 395,978 Corporate — (5,955 ) — — 25,976 — Eliminations — (430 ) — — (26 ) — Total $ 4,408,312 $ 94,006 $ 491,092 $ 1,069 $ 820,969 $ 395,978 (1) Net investment income includes net investment income and net realized investment gains (losses). |
Reinsurance
Reinsurance | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Schedule Of Reinsurance Premiums For Insurance Companies [Abstract] | |
Reinsurance | SCHEDULE IV 1 OF 1 FIRST AMERICAN FINANCIAL CORPORATION AND SUBSIDIARY COMPANIES REINSURANCE (in thousands, except percentages) Segment Premiums Ceded to Assumed Premiums Percentage of Title Insurance and Services 2017 $ 4,396,882 $ 15,014 $ 1,175 $ 4,383,043 0.0 % 2016 $ 4,304,868 $ 16,277 $ 2,725 $ 4,291,316 0.1 % 2015 $ 4,050,033 $ 23,776 $ 1,791 $ 4,028,048 0.0 % Specialty Insurance 2017 $ 448,296 $ 8,826 $ — $ 439,470 0.0 % 2016 $ 419,629 $ 8,276 $ — $ 411,353 0.0 % 2015 $ 388,973 $ 8,709 $ — $ 380,264 0.0 % |
Valuation And Qualifying Accoun
Valuation And Qualifying Accounts | 12 Months Ended |
Dec. 31, 2017 | |
Valuation And Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | SCHEDULE V 1 OF 3 FIRST AMERICAN FINANCIAL CORPORATION AND SUBSIDIARY COMPANIES VALUATION AND QUALIFYING ACCOUNTS (in thousands) Year Ended December 31, 2017 Column A Column B Column C Column D Column E Additions Description Balance at Charged to Charged Deductions Balance Reserve deducted from accounts receivable: Consolidated $ 30,185 $ 5,975 $ — $ 13,094 (A) $ 23,066 Reserve for known and incurred but not reported claims: Consolidated $ 1,025,863 $ 450,410 $ 24,707 $ 472,047 (B) $ 1,028,933 Reserve deducted from notes receivable: Consolidated $ 2,113 $ 38 $ — $ 1,641 $ 510 Reserve deducted from deferred income taxes: Consolidated $ 8,049 $ 2,284 $ — $ — $ 10,333 Note A—Amount represents accounts written off, net of recoveries. Note B—Amount represents claim payments, net of recoveries. SCHEDULE V 2 OF 3 FIRST AMERICAN FINANCIAL CORPORATION AND SUBSIDIARY COMPANIES VALUATION AND QUALIFYING ACCOUNTS (in thousands) Year Ended December 31, 2016 Column A Column B Column C Column D Column E Additions Description Balance at Charged to Charged Deductions Balance Reserve deducted from accounts receivable: Consolidated $ 31,552 $ 5,208 $ — $ 6,575 (A) $ 30,185 Reserve for known and incurred but not reported claims: Consolidated $ 983,880 $ 488,601 $ 16,381 $ 462,999 (B) $ 1,025,863 Reserve deducted from notes receivable: Consolidated $ 2,275 $ 162 $ — $ 324 $ 2,113 Reserve deducted from deferred income taxes: Consolidated $ 6,729 $ 1,516 $ — $ 196 $ 8,049 Note A—Amount represents accounts written off, net of recoveries. Note B—Amount represents claim payments, net of recoveries. SCHEDULE V 3 OF 3 FIRST AMERICAN FINANCIAL CORPORATION AND SUBSIDIARY COMPANIES VALUATION AND QUALIFYING ACCOUNTS (in thousands) Year Ended December 31, 2015 Column A Column B Column C Column D Column E Additions Description Balance at Charged to Charged Deductions Balance Reserve deducted from accounts receivable: Consolidated $ 34,662 $ 10,620 $ — $ 13,730 (A) $ 31,552 Reserve for known and incurred but not reported claims: Consolidated $ 1,011,780 $ 491,092 $ (42,500 ) $ 476,492 (B) $ 983,880 Reserve deducted from notes receivable: Consolidated $ 2,441 $ 167 $ — $ 333 $ 2,275 Reserve deducted from deferred income taxes: Consolidated $ 15,706 $ 108 $ — $ 9,085 $ 6,729 Note A—Amount represents accounts written off, net of recoveries. Note B—Amount represents claim payments, net of recoveries. |
Basis of Presentation and Sig36
Basis of Presentation and Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | First American Financial Corporation (the “Company”), through its subsidiaries, is engaged in the business of providing financial services. The Company consists of the following reportable segments and a corporate function: • The Company’s title insurance and services segment issues title insurance policies on residential and commercial property in the United States and offers similar or related products and services internationally. This segment also provides closing and/or escrow services; accommodates tax-deferred exchanges of real estate; provides products, services and solutions involving the use of real property related data designed to mitigate risk or otherwise facilitate real estate transactions; maintains, manages and provides access to title plant records and images; and provides appraisals and other valuation-related products and services, lien release and document custodial services, default-related products and services, evidence of title, and banking, trust and wealth management services. The Company, through its principal title insurance subsidiary and such subsidiary’s affiliates, transacts its title insurance business through a network of direct operations and agents. Through this network, the Company issues policies in the 49 states that permit the issuance of title insurance policies and the District of Columbia. The Company also offers title insurance, closing services and similar or related products and services, either directly or through third parties in other countries, including Canada, the United Kingdom, Australia, South Korea and various other established and emerging markets. • The Company’s specialty insurance segment issues property and casualty insurance policies and sells home warranty products. The property and casualty insurance business provides insurance coverage to residential homeowners and renters for liability losses and typical hazards such as fire, theft, vandalism and other types of property damage. This business is licensed to issue policies in all 50 states and the District of Columbia and actively issues policies in 47 states. The majority of policy liability is in the western United States, including approximately 63% in California. In certain markets it also offers preferred risk auto insurance to better compete with other carriers offering bundled home and auto insurance. The home warranty business provides residential service contracts that cover residential systems, such as heating and air conditioning systems, and certain appliances against failures that occur as the result of normal usage during the coverage period. This business currently operates in 39 states and the District of Columbia. The corporate function consists primarily of certain financing facilities as well as the corporate services that support the Company’s business operations. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) and reflect the consolidated operations of the Company. The consolidated financial statements include the accounts of First American Financial Corporation and all controlled subsidiaries. All significant intercompany transactions and balances have been eliminated. Investments in affiliates in which the Company exercises significant influence, but does not control and is not the primary beneficiary, are accounted for using the equity method. Investments in affiliates in which the Company does not exercise significant influence over the investee are accounted for under the cost method. |
Revisions and Out-of-period Adjustments | Revisions and out-of-period adjustments During the fourth quarter of 2017, the Company identified certain uncollectible balances related to fees within its title insurance and services segment, which primarily related to reporting periods prior to 2016, that should have been previously written off. To correct for this error, the Company recorded an adjustment in the fourth quarter of 2017, which increased other operating expenses and increased accounts payable and accrued liabilities by $8.5 million. During the third quarter of 2017, the Company identified certain title plant assets within its title insurance and services segment that should have been previously written off, and certain title plant imaging assets that were misclassified as title plant assets. To correct for these errors, the Company recorded adjustments to net realized investment gains, depreciation and amortization and title plants and other indexes. The impact of these adjustments included an increase to depreciation and amortization of $4.7 million, a decrease to net realized investment gains of $1.8 million and a decrease to title plant and other indexes of $6.5 million. During the fourth quarter of 2016, the Company identified certain title plant assets that were no longer being used and should have been previously written off, and certain capitalized software, title plant imaging, real estate data and investments related to title plant assets that were misclassified as title plant assets. As these errors primarily related to reporting periods prior to the Company’s June 2010 spin-off from its prior parent, which subsequently assumed the name CoreLogic, Inc. (“CoreLogic”), the Company corrected for these errors by revising retained earnings at December 31, 2014 and 2015 in the consolidated statements of equity. The impact of this revision, which has been consistently applied to all periods presented, included a decrease to retained earnings of $8.5 million. The Company does not consider these adjustments to be material, individually or in the aggregate, to any previously issued consolidated financial statements. |
Use of Estimates | Use of estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the statements. Actual results could differ from the estimates and assumptions used. |
Cash and Cash Equivalents | Cash equivalents The Company considers cash equivalents to be all short-term investments that have an initial maturity of 90 days or less and are not restricted for statutory deposit or premium reserve requirements. |
Accounts and Accrued Income Receivable | Accounts and accrued income receivable Accounts and accrued income receivable are generally due within thirty days and are recorded net of an allowance for doubtful accounts. The Company considers accounts outstanding longer than the contractual payment terms as past due. The Company determines the allowance by considering a number of factors, including the length of time trade accounts receivable are past due, previous loss history, a specific customer’s ability to pay its obligations to the Company and the condition of the general economy and industry as a whole. Amounts are charged off in the period in which they are deemed to be uncollectible. |
Investments | Investments Deposits with banks Deposits with banks are short-term investments with initial maturities of generally more than 90 days. Debt and equity securities Debt securities are carried at fair value and consist primarily of investments in obligations of the United States Treasury, foreign governments, various U.S. and foreign corporations, certain state and political subdivisions and mortgage-backed securities. The Company maintains investments in debt securities in accordance with certain statutory requirements for the funding of statutory premium reserves and state deposits. At December 31, 2017 and 2016, the fair value of such investments totaled $108.4 million and $110.6 million, respectively. See Note 2 Statutory Restrictions on Investments and Stockholders’ Equity for additional discussion of the Company’s statutory restrictions. Equity securities are carried at fair value and consist primarily of investments in exchange traded funds, mutual funds and marketable common and preferred stocks of corporate entities. The Company classifies its publicly traded debt and equity securities as available-for-sale with unrealized gains or losses recorded as a component of accumulated other comprehensive loss. See Note 14 Fair Value Measurements for additional discussion of the determination of fair value. Interest income, as well as the related amortization of premium and accretion of discount, on debt securities are recognized under the effective yield method and are included in the accompanying consolidated statements of income in net investment income. Realized gains and losses on sales of debt and equity securities are determined on a first-in, first-out basis. The Company evaluates its debt and equity securities with unrealized losses on a quarterly basis for potential other-than-temporary impairments in value. If the Company intends to sell a debt security in an unrealized loss position or determines that it is more likely than not that the Company will be required to sell a debt security before it recovers its amortized cost basis, the debt security is other-than-temporarily impaired and it is written down to fair value with all losses recognized in earnings. As of December 31, 2017, the Company did not intend to sell any debt securities in an unrealized loss position and it is not more likely than not that the Company will be required to sell any debt securities before recovery of their amortized cost basis. If the Company does not expect to recover the amortized cost basis of a debt security with declines in fair value (even if the Company does not intend to sell the debt security and it is not more likely than not that the Company will be required to sell the debt security), the losses the Company considers to be the credit portion of the other-than-temporary impairment loss (“credit loss”) is recognized in earnings and the non-credit portion is recognized in other comprehensive income. The credit loss is the difference between the present value of the cash flows expected to be collected and the amortized cost basis of the debt security. The cash flows expected to be collected are discounted at the rate implicit in the security immediately prior to the recognition of the other-than-temporary impairment. Expected future cash flows for debt securities are based on qualitative and quantitative factors specific to each security, including the probability of default and the estimated timing and amount of recovery. The detailed inputs used to project expected future cash flows may be different depending on the nature of the individual debt security. As a result of the Company’s security-level review, the Company did not recognize any other-than-temporary impairment losses considered to be credit related for the year ended December 31, 2017 and recognized $0.5 million and $2.2 million of other-than-temporary impairment losses considered to be credit related on its debt securities for the years ended December 31, 2016, and 2015, respectively. It is possible that the Company could recognize additional other-than-temporary impairment losses on securities it owns at December 31, 2017 if future events or information cause it to determine that a decline in fair value is other-than-temporary. When a decline in the fair value of an equity security, including common and preferred stock, is considered to be other-than-temporary, such security is written down to its fair value. When assessing if a decline in fair value is other-than-temporary, the factors considered by the Company include the length of time and extent to which fair value has been below cost, the probability that the Company will be unable to collect all amounts due under the contractual terms of the security, the seniority of the securities, issuer-specific news and other developments, the financial condition and prospects of the issuer (including credit ratings), macro-economic changes (including the outlook for industry sectors, which includes government policy initiatives) and the Company’s ability and intent to hold the security for a period of time sufficient to allow for any anticipated recovery. When an equity security has been in an unrealized loss position and its fair value is less than 80% of cost for twelve consecutive months, the Company’s review of the security will include the above noted factors as well as other evidence that might exist supporting the view that the security will recover its value in the foreseeable future. If objective, substantial evidence does not indicate a likely recovery during that timeframe, the Company’s policy is that such losses are considered other-than-temporary and therefore an impairment loss is recorded. The Company did not record any other-than-temporary impairment losses related to its equity securities for the years ended December 31, 2017, 2016 and 2015. Other investments Other investments consist primarily of investments in affiliates, which are accounted for under either the equity method or the cost method of accounting, investments in real estate and notes receivable. The carrying value of investments in affiliates is written down, or impaired, to fair value when a decline in value is considered to be other-than-temporary. In making the determination as to whether an individual investment in an affiliate is impaired, the Company assesses the current and expected financial condition of each relevant entity, including, but not limited to, the anticipated ability of the entity to make its contractually required payments to the Company (with respect to debt obligations to the Company), the results of valuation work performed with respect to the entity, the entity’s anticipated ability to generate sufficient cash flows and the market conditions in the industry in which the entity is operating. The Company recognized impairment losses of $1.5 million and $2.0 million for the years ended December 31, 2017 and 2015, respectively, and did not record any impairment losses related to its equity method investments for the year ended December 31, 2016. Investments in real estate are classified as held for sale and carried at the lower of cost or fair value, less estimated selling costs. Notes receivable are carried at cost, less reserves for losses. Loss reserves are established for notes receivable based upon an estimate of probable losses for the individual notes. A loss reserve is established on an individual note when it is deemed probable that the Company will be unable to collect all amounts due in accordance with the contractual terms of the note. The loss reserve is based upon the Company’s assessment of the borrower’s overall financial condition, resources and payment record; and, if appropriate, the realizable value of any collateral. These estimates consider all available evidence including the expected future cash flows, estimated fair value of collateral on secured notes, general economic conditions and trends, and other relevant factors, as appropriate. Notes are placed on non-accrual status when management determines that the collectibility of contractual amounts is not reasonably assured. |
Property and Equipment | Property and equipment Buildings and furniture and equipment are initially recorded at cost and are generally depreciated using the straight-line method over estimated useful lives of 5 to 40 years and 1 to 15 years, respectively. Leasehold improvements are initially recorded at cost and are amortized over the lesser of the remaining term of the respective lease or the estimated useful life, using the straight-line method. Computer software is acquired or developed for internal use and for use with the Company’s products and is amortized over estimated useful lives of 1 to 15 years using the straight-line method. Software development costs, which include capitalized interest costs and certain payroll-related costs of employees directly associated with developing software, in addition to incremental payments to third parties, are capitalized from the time technological feasibility is established until the software is ready for use. Management uses estimated future cash flows (undiscounted and excluding interest) to measure the recoverability of property and equipment whenever events or changes in circumstances indicate that the carrying value may not be fully recoverable. If the undiscounted cash flow analysis indicates that the carrying amount is not recoverable, an impairment loss is recorded for the excess of the carrying amount over its fair value. Impairment losses on property and equipment, which primarily related to impairments of internally developed software, were $0.5 million, $5.2 million and $10.9 million for the years ended December 31, 2017, 2016 and 2015, respectively. |
Title Plants and Other Indexes | Title plants and other indexes Title plants and other indexes at December 31, 2017 and 2016 included title plants of $526.2 million and $529.2 million and capitalized real estate data of $42.3 million and $35.1 million, respectively. Title plants are carried at original cost, with the costs of daily maintenance (updating) charged to expense as incurred. Because properly maintained title plants have indefinite lives and do not diminish in value with the passage of time, no provision has been made for depreciation or amortization. The Company analyzes its title plants at least annually for impairment. This analysis includes, but is not limited to, the effects of obsolescence, duplication, demand and other economic factors. Capitalized real estate data is initially recorded at cost and is amortized using the straight-line method over estimated useful lives of 3 to 15 years. |
Business Combinations | Business Combinations Amounts paid for acquisitions are allocated to the tangible assets acquired, liabilities assumed and intangible assets acquired based on their estimated fair values at the date of acquisition. The excess of the fair value of purchase consideration over the fair values of the identifiable assets and liabilities is recorded as goodwill |
Goodwill Impairment | Goodwill Impairment The Company is required to perform an annual goodwill impairment assessment for each reporting unit. The Company’s four reporting units are title insurance, home warranty, property and casualty insurance and trust and other services. The Company has elected to perform this annual assessment in the fourth quarter of each fiscal year or sooner if circumstances indicate possible impairment. Based on current guidance, the Company has the option to perform a qualitative assessment to determine if the fair value is more likely than not (i.e., a likelihood of greater than 50%) less than the carrying amount as a basis for determining whether it is necessary to perform a quantitative impairment test, or may choose to forego the qualitative assessment and perform the quantitative impairment test. The qualitative factors considered in this assessment may include macroeconomic conditions, industry and market considerations, overall financial performance as well as other relevant events and circumstances as determined by the Company. The Company evaluates the weight of each factor to determine whether it is more likely than not that impairment may exist. If the results of the qualitative assessment indicate the more likely than not threshold was not met, the Company may choose not to perform the quantitative impairment test. If, however, the more likely than not threshold is met, the Company performs the quantitative test as required and discussed below. Management’s quantitative impairment testing process includes two steps. The first step (“Step 1”) compares the fair value of each reporting unit to its carrying amount. The fair value of each reporting unit is determined by using discounted cash flow analysis and market approach valuations. If the fair value of the reporting unit exceeds its carrying amount, the goodwill is not considered impaired and no additional analysis is required. However, if the carrying amount is greater than the fair value, a second step (“Step 2”) must be completed to determine if the fair value of the goodwill exceeds the carrying amount of goodwill. Step 2 involves calculating an implied fair value of goodwill for each reporting unit for which Step 1 indicated impairment. The implied fair value of goodwill is determined in a manner similar to the amount of goodwill calculated in a business combination, by measuring the excess of the estimated fair value of the reporting unit, as determined in Step 1, over the aggregate estimated fair values of the individual assets, liabilities and identifiable intangibles as if the reporting unit was being acquired in a business combination. If the implied fair value of goodwill exceeds the carrying value of goodwill assigned to the reporting unit, there is no impairment. If the carrying value of goodwill assigned to a reporting unit exceeds the implied fair value of the goodwill, an impairment loss is recorded for the excess. An impairment loss cannot exceed the carrying value of goodwill assigned to a reporting unit, and the loss establishes a new basis in the goodwill. Subsequent reversal of goodwill impairment losses is not permitted. The quantitative impairment test for goodwill utilizes a variety of valuation techniques, all of which require the Company to make estimates and judgments. Fair value is determined by employing an expected present value technique, which utilizes multiple cash flow scenarios that reflect a range of possible outcomes and an appropriate discount rate. The use of comparative market multiples (the “market approach”) compares the reporting unit to other comparable companies (if such comparables are present in the marketplace) based on valuation multiples to arrive at a fair value. In assessing the fair value, the Company utilizes the results of the valuations (including the market approach to the extent comparables are available) and considers the range of fair values determined under all methods and the extent to which the fair value exceeds the carrying amount of the reporting unit. The valuation of each reporting unit includes the use of assumptions and estimates of many critical factors, including revenue growth rates and operating margins, discount rates and future market conditions, determination of market multiples and the establishment of a control premium, among others. Forecasts of future operations are based, in part, on operating results and the Company’s expectations as to future market conditions. These types of analyses contain uncertainties because they require the Company to make assumptions and to apply judgments to estimate industry economic factors and the profitability of future business strategies. However, if actual results are not consistent with the Company’s estimates and assumptions, the Company may be exposed to future impairment losses that could be material. For 2017, the Company chose to perform qualitative assessments for each of its reporting units except for its property and casualty insurance reporting unit, for which it performed a quantitative impairment test. Based on its quantitative impairment test, the Company determined that its property and casualty insurance reporting unit had a fair value that was not substantially in excess of its carrying amount. If the Company subsequently determines that there is impairment to the goodwill related to its property and casualty insurance reporting unit, management does not expect that it would be material to the Company’s consolidated financial statements. The results of the Company’s qualitative assessments for each of its other reporting units supported the conclusion that their fair values were not more likely than not less than their carrying amounts and, therefore, a quantitative impairment test was not considered necessary. For 2016, the Company chose to perform a quantitative impairment test for all of its reporting units and, based on the results, determined that the fair values of its reporting units exceeded their carrying amounts and, therefore, no additional analysis was required. For 2015, the Company chose to perform a qualitative assessment, the results of which supported the conclusion that the fair values of the Company’s reporting units were not more likely than not less than their carrying amounts, and therefore, a quantitative impairment test was not considered necessary. As a result of the Company’s annual goodwill impairment assessments, the Company did not record any goodwill impairment losses for 2017, 2016 or 2015. |
Other Intangible Assets | Other intangible assets The Company’s finite-lived intangible assets consist of customer relationships, noncompete agreements, trademarks, internal-use software licenses and patents. These assets are amortized on a straight-line basis over their useful lives ranging from 1 to 20 years and are subject to impairment assessments when there is an indication of a triggering event or abandonment. The Company’s indefinite-lived other intangible assets consist of licenses which are not amortized but rather assessed for impairment by comparing the fair values to carrying amounts at least annually, and when an indicator of potential impairment has occurred. Management uses estimated future cash flows (undiscounted and excluding interest) to measure the recoverability of intangible assets with finite lives, whenever events or changes in circumstances indicate that the carrying amount may not be fully recoverable. If the undiscounted cash flow analysis indicates that the carrying amount is not recoverable, an impairment loss is recorded for the excess of the carrying amount over its fair value. Management’s impairment assessment for indefinite-lived other intangible assets may involve calculating the fair value by using a discounted cash flow analysis or through a market approach valuation. If the fair value exceeds its carrying amount, the asset is not considered impaired and no additional analysis is required. However, if the carrying amount is greater than the fair value, an impairment loss is recorded equal to the excess. |
Reserve for Known and Incurred but Not Reported Claims | Reserve for known and incurred but not reported claims The Company provides for title insurance losses through a charge to expense when the related premium revenue is recognized. The amount charged to expense is generally determined by applying a rate (the loss provision rate) to total title insurance premiums and escrow fees. The Company’s management estimates the loss provision rate at the beginning of each year and reassesses the rate quarterly to ensure that the resulting incurred but not reported (“IBNR”) loss reserve and known claims reserve included in the Company’s consolidated balance sheets together reflect management’s best estimate of the total costs required to settle all IBNR and known claims. If the ending IBNR reserve is not considered adequate, an adjustment is recorded. The process of assessing the loss provision rate and the resulting IBNR reserve involves evaluation of the results of an in-house actuarial review. The Company’s in-house actuary performs a reserve analysis utilizing generally accepted actuarial methods that incorporate cumulative historical claims experience and information provided by in-house claims and operations personnel. Current economic and business trends are also reviewed and used in the reserve analysis. These include conditions in the real estate and mortgage markets, changes in residential and commercial real estate values, and changes in the levels of defaults and foreclosures that may affect claims levels and patterns of emergence, as well as any company-specific factors that may be relevant to past and future claims experience. Results from the analysis include, but are not limited to, a range of IBNR reserve estimates and a single point estimate for IBNR as of the balance sheet date. For recent policy years at early stages of development (generally the last three years), IBNR is generally estimated using a combination of expected loss rate and multiplicative loss development factor calculations. For more mature policy years, IBNR generally is estimated using multiplicative loss development factor calculations. The expected loss rate method estimates IBNR by applying an expected loss rate to total title insurance premiums and escrow fees, and adjusting for policy year maturity using estimated loss development patterns. Multiplicative loss development factor calculations estimate IBNR by applying factors derived from loss development patterns to losses realized to date. The expected loss rate and loss development patterns are based on historical experience and the relationship of the history to the applicable policy years. The Company’s management uses the IBNR point estimate from the in-house actuary’s analysis and other relevant information concerning claims to determine what it considers to be the best estimate of the total amount required for the IBNR reserve. The volume and timing of title insurance claims are subject to cyclical influences from both the real estate and mortgage markets. Title policies issued to lenders constitute a large portion of the Company’s title insurance volume. These policies insure lenders against losses on mortgage loans due to title defects in the collateral property. Even if an underlying title defect exists that could result in a claim, often, the lender must realize an actual loss, or at least be likely to realize an actual loss, for a title insurance liability to exist. As a result, title insurance claims exposure is sensitive to lenders’ losses on mortgage loans and is affected in turn by external factors that affect mortgage loan losses, particularly macroeconomic factors. A general decline in real estate prices can expose lenders to greater risk of losses on mortgage loans, as loan-to-value ratios increase and defaults and foreclosures increase. Title insurance claims exposure for a given policy year is also affected by the quality of mortgage loan underwriting during the corresponding origination year. The Company believes that the sensitivity of claims to external conditions in the real estate and mortgage markets is an inherent feature of title insurance’s business economics that applies broadly to the title insurance industry. Title insurance policies are long-duration contracts with the majority of the claims reported to the Company within the first few years following the issuance of the policy. Generally, 70% to 80% of claim amounts become known in the first six years of the policy life, and the majority of IBNR reserves relate to the six most recent policy years. Changes in expected ultimate losses and corresponding loss rates for recent policy years are considered likely and could result in a material adjustment to the IBNR reserves. Based on historical experience, management believes a 50 basis point change to the loss rates for recent policy years, positive or negative, is reasonably likely given the long duration nature of a title insurance policy. For example, if the expected ultimate losses for each of the last six policy years increased or decreased by 50 basis points, the resulting impact on the Company’s IBNR reserve would be an increase or decrease, as the case may be, of $117.8 million. A material change in expected ultimate losses and corresponding loss rates for older policy years is also possible, particularly for policy years with loss ratios exceeding historical norms. The estimates made by management in determining the appropriate level of IBNR reserves could ultimately prove to be materially different from actual claims experience. The Company provides for property and casualty insurance losses when the insured event occurs. The Company provides for claims losses relating to its home warranty business based on the average cost per claim and historical loss experience as applied to the total of new claims incurred. The average cost per home warranty claim is calculated using the average of the most recent 12 months of claims experience adjusted for estimated future increases in costs. |
Contingent Litigation and Regulatory Liabilities | Contingent litigation and regulatory liabilities Amounts related to contingent litigation and regulatory liabilities are accrued if it is probable that a liability has been incurred and an amount is reasonably estimable. The Company records legal fees in other operating expenses in the period incurred. |
Revenues | Revenues Premiums on title policies issued directly by the Company are recognized on the effective date of the title policy and escrow fees are recorded upon close of the escrow. Premiums on property and casualty insurance policies and home warranty contracts are generally recognized ratably over the 12-month duration of the contract or policy. Revenues from title policies issued by independent agents are recorded when notice of issuance is received from the agent, which is generally when cash payment is received by the Company. Information and other revenues primarily consist of revenues generated from fees associated with title search and related reports, title and other real property records and images, other non-insured settlement services, and risk mitigation products and services. For those products and services that are delivered at a point in time and for which there is no ongoing obligation, revenue is recognized upon delivery. For those products and services that are delivered at a point in time and for which there is an ongoing obligation, and for products and services where delivery occurs over time, revenue is recognized ratably over the duration of the contract. |
Premium Taxes | Premium taxes Title insurance, property and casualty insurance and home warranty companies, like other types of insurers, are generally not subject to state income or franchise taxes. However, in lieu thereof, most states impose a tax based primarily on insurance premiums written. This premium tax is reported as a separate line item in the consolidated statements of income in order to provide a more meaningful disclosure of the taxation of the Company. |
Income Taxes | Income taxes The Company accounts for income taxes under the asset and liability method, whereby deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The Company evaluates the need to establish a valuation allowance for deferred tax assets based upon the amount of existing temporary differences, the period in which they are expected to be recovered and expected levels of taxable income. A valuation allowance to reduce deferred tax assets is established when it is considered more likely than not that some or all of the deferred tax assets will not be realized. The Company recognizes the effect of income tax positions only if sustaining those positions is considered more likely than not. Changes in recognition or measurement of uncertain tax positions are reflected in the period in which a change in judgment occurs. The Company recognizes interest and penalties, if any, related to uncertain tax positions in income tax expense. |
Share-Based Compensation | Share-based compensation The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award. The cost is recognized in the Company’s financial statements over the requisite service period of the award using the straight-line method for awards that contain only a service condition and the graded vesting method for awards that contain a performance or market condition. The Company accounts for forfeitures as they occur. The Company’s primary means of providing share-based compensation is through the granting of restricted stock units (“RSUs”). RSUs granted generally have graded vesting and include a service condition; and for certain key employees and executives, may also include either a performance or market condition. RSUs receive dividend equivalents in the form of RSUs having the same vesting requirements as the RSUs initially granted. In addition, the Company has an employee stock purchase plan that allows eligible employees the option to purchase common stock of the Company at |
Earnings Per Share | Earnings per share Basic earnings per share is computed by dividing net income available to the Company’s stockholders by the weighted-average number of common shares outstanding. The computation of diluted earnings per share is similar to the computation of basic earnings per share, except that the weighted-average number of common shares outstanding is increased to include the number of additional common shares that would have been outstanding if dilutive stock options had been exercised and RSUs were vested. |
Employee Benefit Plans | Employee benefit plans The Company recognizes the underfunded status of its unfunded supplemental benefit plans as a liability on its consolidated balance sheets. Actuarial gains and losses and prior service costs and credits that have not been recognized as a component of net periodic benefit cost previously are recorded as a component of accumulated other comprehensive loss. Plan obligations are measured annually as of December 31. During 2016, the Company terminated its funded defined benefit pension plans and, in 2017, transferred all remaining benefit obligations relating to the pension plans to a highly rated insurance company. See Note 13 Employee Benefit Plans for further discussion of the termination of the Company’s funded defined benefit pension plans. The Company informally funds its nonqualified deferred compensation plan through tax-advantaged investments known as variable universal life insurance. The Company’s deferred compensation plan assets are included as a component of other assets and the Company’s deferred compensation plan liability is included as a component of pension costs and other retirement plans on the consolidated balance sheets. The income earned on the Company’s deferred compensation plan assets is included as a component of net investment income and the income earned by the deferred compensation plan participants is included as a component of personnel costs on the consolidated statements of income. |
Foreign Currency | Foreign currency The Company operates in other countries, including Canada, the United Kingdom, Australia, South Korea and various other established and emerging markets. The functional currencies of the Company’s foreign subsidiaries are generally their respective local currencies. The financial statements of foreign subsidiaries with local currencies that were determined to be the functional currency are translated into U.S. dollars as follows: assets and liabilities at the exchange rate as of the balance sheet date, equity at the historical rates of exchange, and income and expense amounts at average rates prevailing throughout the period. Translation adjustments resulting from the translation of the subsidiaries’ accounts are included in accumulated other comprehensive loss as a separate component of stockholders’ equity. For those foreign subsidiaries where the U.S. dollar has been determined to be the functional currency, non-monetary assets and liabilities are translated using historical rates, while monetary assets and liabilities are translated at current rates, with remeasurement gains and losses included in other operating expenses. Gains and losses resulting from foreign currency transactions are included within other operating expenses. |
Reinsurance | Reinsurance The Company assumes and cedes large title insurance risks through reinsurance. Additionally, the Company’s property and casualty insurance business purchases reinsurance to limit risk associated with large losses from single events. In reinsurance arrangements, the primary insurer retains a certain amount of risk under a policy and cedes the remainder of the risk under the policy to the reinsurer. The primary insurer pays the reinsurer a premium in exchange for accepting this risk of loss. The primary insurer generally remains liable to its insured for the total risk, but is reinsured under the terms of the reinsurance agreement. The amount of premiums assumed and ceded is recorded as a component of direct premiums and escrow fees on the Company’s consolidated statements of income. The total amount of premiums assumed and ceded in connection with reinsurance was less than 1.0% of consolidated premium and escrow fees for each of the three years in the period ended December 31, 2017. Payments and recoveries on reinsured losses for the Company’s title insurance and property and casualty businesses were immaterial during the years ended December 31, 2017 and 2016. |
Escrow Deposits and Trust Assets | Escrow deposits and trust assets The Company administers escrow deposits and trust assets as a service to its customers. Escrow deposits totaled $7.5 billion and $6.8 billion at December 31, 2017 and 2016, respectively, of which $2.9 billion and $2.6 billion, respectively, were held at the Company’s federal savings bank subsidiary, First American Trust, FSB. The escrow deposits held at First American Trust, FSB are temporarily invested in cash and cash equivalents and debt securities, with offsetting liabilities included in deposits in the accompanying consolidated balance sheets. The remaining escrow deposits were held at third-party financial institutions. Trust assets held or managed by First American Trust, FSB totaled $3.7 billion and $3.2 billion at December 31, 2017 and 2016, respectively. Escrow deposits held at third-party financial institutions and trust assets are not considered assets of the Company and, therefore, are not included in the accompanying consolidated balance sheets. However, the Company could be held contingently liable for the disposition of these assets. In conducting its operations, the Company often holds customers’ assets in escrow, pending completion of real estate transactions and, as a result, the Company has ongoing programs for realizing economic benefits with various financial institutions. The results from these programs are included in the consolidated financial statements as income or a reduction in expense, as appropriate, based on the nature of the arrangement and benefit received. |
Like-Kind Exchanges | Like-kind exchanges The Company facilitates tax-deferred property exchanges for customers pursuant to Section 1031 of the Internal Revenue Code and tax-deferred reverse exchanges pursuant to Revenue Procedure 2000-37. As a facilitator and intermediary, the Company holds the proceeds from sales transactions and takes temporary title to property identified by the customer to be acquired with such proceeds. Upon the completion of each such exchange, the identified property is transferred to the customer or, if the exchange does not take place, an amount equal to the sales proceeds or, in the case of a reverse exchange, title to the property held by the Company is transferred to the customer. Like-kind exchange funds held by the Company totaled $2.6 billion and $2.0 billion at December 31, 2017 and 2016, respectively. The like-kind exchange deposits are held at third-party financial institutions and, due to the structure utilized to facilitate these transactions, the proceeds and property are not considered assets of the Company and, therefore, are not included in the accompanying consolidated balance sheets. All such amounts are placed in deposit accounts insured, up to applicable limits, by the Federal Deposit Insurance Corporation. The Company could be held contingently liable to the customer for the transfers of property, disbursements of proceeds and the returns on such proceeds. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements: In February 2018, the Financial Accounting Standards Board (“FASB”) issued updated guidance which permits entities to reclassify stranded tax effects in accumulated other comprehensive income to retained earnings as a result of the Tax Cuts and Jobs Act enacted by the U.S. federal government on December 22, 2017. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2018, with early adoption permitted. The Company elected to adopt this change in accounting principle in the fourth quarter of 2017 and applied the change as of the beginning of 2017, which resulted in an increase to retained earnings and a decrease to accumulated other comprehensive income of $4.0 million in 2017 on the Company’s consolidated statements of equity. In March 2017, the FASB issued updated guidance to amend the amortization period for certain purchased callable debt securities held at a premium to shorten the amortization period for the premium to the earliest call date. The updated guidance is intended to more closely align the amortization period of premiums and discounts to expectations incorporated in market pricing on the underlying securities, and is effective for interim and annual reporting periods beginning after December 15, 2018, with early adoption permitted. The Company elected to adopt the new guidance in the fourth quarter of 2017, which did not have a material impact on its consolidated financial statements. In October 2016, the FASB issued updated guidance to amend the consolidation guidance on how a reporting entity that is the single decision maker of a variable interest entity should treat indirect interests in the entity held through related parties that are under common control with the reporting entity when determining whether it is the primary beneficiary of that variable interest entity. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2016. The adoption of this guidance had no impact on the Company’s consolidated financial statements. In March 2016, the FASB issued updated guidance intended to simplify and improve several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of such awards as either equity or liabilities and classification on the statement of cash flows. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2016. While the adoption of this guidance did have an impact on the Company’s effective income tax rate for 2017, it did not have a material impact on the Company’s consolidated financial statements. See Note 11 Income Taxes for further discussion of the Company’s effective income tax rates. Beginning in 2017, excess tax benefits from share-based compensation are presented in the consolidated statements of cash flows in cash flows from operating activities within net change in income tax accounts. In March 2016, the FASB issued updated guidance intended to simplify the accounting treatment for investments that become qualified for the equity method of accounting as a result of an increase in the level of ownership interest or degree of influence. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2016. The adoption of this guidance had no impact on the Company’s consolidated financial statements. |
Pending Accounting Pronouncements | Pending Accounting Pronouncements: In May 2017, the FASB issued updated guidance intended to reduce diversity in practice by clarifying which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. In March 2017, the FASB issued updated guidance intended to improve the presentation of net periodic pension cost and net periodic postretirement benefit cost through the disaggregation of the service cost component from the other components of net benefit cost. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. In January 2017, the FASB issued updated guidance intended to simplify how an entity tests goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Under the updated guidance, an entity will perform its goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and will recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value, with the loss recognized limited to the total amount of goodwill allocated to that reporting unit. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2019, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. In January 2017, the FASB issued updated guidance to clarify the definition of a business with the objective of providing guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. In November 2016, the FASB issued updated guidance intended to reduce the diversity in practice on presenting restricted cash and restricted cash equivalents in the statement of cash flows. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. In October 2016, the FASB issued updated guidance intended to simplify and improve the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. The updated guidance, which eliminates the intra-entity transfers exception, requires entities to recognize the income tax consequences of intra-entity transfers of assets, other than inventory, when the transfers occur. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements. In August 2016, the FASB issued updated guidance intended to eliminate the diversity in practice regarding the presentation and classification of certain cash receipts and cash payments in the statement of cash flows. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its consolidated statements of cash flows. In June 2016, the FASB issued updated guidance intended to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held by a reporting entity at each reporting date. The updated guidance replaces the current incurred loss impairment methodology with a methodology that reflects expected credit losses and requires the consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2019, with early adoption permitted. The Company is currently assessing the impact of the new guidance on its consolidated financial statements. In February 2016, the FASB issued updated guidance that requires the rights and obligations associated with leasing arrangements be reflected on the balance sheet in order to increase transparency and comparability among organizations. Under the updated guidance, lessees will be required to recognize a right-of-use asset and a liability to make lease payments and disclose key information about leasing arrangements. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2018, with early adoption permitted. While the Company is currently evaluating the impact the new guidance will have on its consolidated financial statements, the Company expects the adoption of the new guidance will result in a material increase in the assets and liabilities on its consolidated balance sheets and will likely have an insignificant impact on its consolidated statements of income and statements of cash flows. In January 2016, the FASB issued updated guidance intended to enhance the reporting model for financial instruments to provide users of financial statements with more decision-useful information. In addition to making other targeted improvements to current guidance, the updated guidance also requires all equity investments, except those accounted for under the equity method of accounting or those that result in consolidation of the investee, to be measured at fair value with changes in the fair value recognized through net income. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2017, with early adoption permitted in certain circumstances. While the Company expects the adoption of this guidance to impact its consolidated statements of income, the materiality of the impact will depend upon the size of, and level of volatility experienced within, the Company’s equity portfolio. Upon adoption of the guidance, cumulative net unrealized gains, net of taxes, of $40.0 million related to the Company’s investments in equity securities, previously classified as available-for-sale, were recognized as a cumulative-effect adjustment to retained earnings on January 1, 2018. In May 2014, the FASB issued updated guidance for recognizing revenue from contracts with customers to provide a single, comprehensive revenue recognition model for all contracts with customers to improve comparability within and across industries, and across capital markets. The new revenue standard contains principles that an entity will apply to determine the measurement of revenue and the timing of recognition. The underlying principle is that an entity will recognize revenue to depict the transfer of goods or services to customers at an amount that the entity expects to be entitled to in exchange for those goods or services. Revenue from insurance contracts is not within the scope of this guidance. In August 2015, the FASB issued updated guidance which defers the effective date of this guidance by one year. In 2016, the FASB issued additional updates to the new guidance primarily to clarify, among other things, the implementation guidance related to principal versus agent considerations, identifying performance obligations, accounting for licenses of intellectual property, and to provide narrow-scope improvements and additional practical expedients. In February 2017, the FASB issued an additional update to the new guidance to clarify the scope of derecognition guidance for nonfinancial assets and to provide guidance for partial sales of nonfinancial assets. The updated guidance is effective for interim and annual reporting periods beginning after December 15, 2017. The Company has elected to adopt the new guidance under the modified retrospective approach and, except for certain disclosure requirements, does not expect the new guidance to have a material impact on its consolidated financial statements. |
Debt and Equity Securities (Tab
Debt and Equity Securities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Gross Unrealized Losses on Investments in Debt and Equity Securities | Gross unrealized losses on investments in debt and equity securities are as follows: Less than 12 months 12 months or longer Total (in thousands) Estimated Unrealized Estimated Unrealized Estimated Unrealized December 31, 2017 Debt securities: U.S. Treasury bonds $ 78,605 $ (511 ) $ 37,498 $ (739 ) $ 116,103 $ (1,250 ) Municipal bonds 279,292 (1,714 ) 226,895 (5,680 ) 506,187 (7,394 ) Foreign government bonds 98,942 (972 ) 6,678 (249 ) 105,620 (1,221 ) Governmental agency bonds 55,707 (409 ) 93,737 (1,913 ) 149,444 (2,322 ) Governmental agency mortgage-backed securities 671,871 (4,868 ) 774,959 (11,720 ) 1,446,830 (16,588 ) U.S. corporate debt securities 171,817 (1,568 ) 60,724 (1,394 ) 232,541 (2,962 ) Foreign corporate debt securities 81,525 (821 ) 5,697 (135 ) 87,222 (956 ) Total debt securities 1,437,759 (10,863 ) 1,206,188 (21,830 ) 2,643,947 (32,693 ) Equity securities 38,742 (1,041 ) 12,849 (525 ) 51,591 (1,566 ) Total $ 1,476,501 $ (11,904 ) $ 1,219,037 $ (22,355 ) $ 2,695,538 $ (34,259 ) December 31, 2016 Debt securities: U.S. Treasury bonds $ 111,748 $ (4,466 ) $ — $ — $ 111,748 $ (4,466 ) Municipal bonds 635,531 (26,317 ) 16,485 (349 ) 652,016 (26,666 ) Foreign government bonds 63,044 (2,371 ) 324 (68 ) 63,368 (2,439 ) Governmental agency bonds 148,112 (4,166 ) — — 148,112 (4,166 ) Governmental agency mortgage-backed securities 1,295,790 (19,097 ) 432,349 (7,695 ) 1,728,139 (26,792 ) U.S. corporate debt securities 193,533 (4,560 ) 24,499 (881 ) 218,032 (5,441 ) Foreign corporate debt securities 78,658 (1,150 ) 8,154 (340 ) 86,812 (1,490 ) Total debt securities 2,526,416 (62,127 ) 481,811 (9,333 ) 3,008,227 (71,460 ) Equity securities 70,261 (1,173 ) 59,019 (6,871 ) 129,280 (8,044 ) Total $ 2,596,677 $ (63,300 ) $ 540,830 $ (16,204 ) $ 3,137,507 $ (79,504 ) |
Investments in Debt Securities | Investments in debt securities at December 31, 2017, by contractual maturities, are as follows: (in thousands) Due in one Due after Due after Due after Total U.S. Treasury bonds Amortized cost $ 16,458 $ 65,124 $ 41,014 $ 50,453 $ 173,049 Estimated fair value $ 16,425 $ 64,550 $ 40,816 $ 52,207 $ 173,998 Municipal bonds Amortized cost $ 62,308 $ 301,477 $ 245,510 $ 421,851 $ 1,031,146 Estimated fair value $ 62,311 $ 302,404 $ 248,683 $ 422,539 $ 1,035,937 Foreign government bonds Amortized cost $ 13,494 $ 118,166 $ 21,783 $ 16,777 $ 170,220 Estimated fair value $ 13,506 $ 117,401 $ 21,963 $ 16,618 $ 169,488 Governmental agency bonds Amortized cost $ 30,209 $ 81,498 $ 57,941 $ 43,083 $ 212,731 Estimated fair value $ 30,075 $ 80,713 $ 57,661 $ 43,021 $ 211,470 U.S. corporate debt securities Amortized cost $ 23,264 $ 327,960 $ 308,785 $ 74,400 $ 734,409 Estimated fair value $ 23,323 $ 329,199 $ 311,998 $ 78,695 $ 743,215 Foreign corporate debt securities Amortized cost $ 16,790 $ 134,522 $ 92,459 $ 12,659 $ 256,430 Estimated fair value $ 16,827 $ 135,107 $ 94,252 $ 13,433 $ 259,619 Total debt securities excluding mortgage-backed securities Amortized cost $ 162,523 $ 1,028,747 $ 767,492 $ 619,223 $ 2,577,985 Estimated fair value $ 162,467 $ 1,029,374 $ 775,373 $ 626,513 $ 2,593,727 Total mortgage-backed securities Amortized cost $ 2,172,377 Estimated fair value $ 2,158,957 Total debt securities Amortized cost $ 4,750,362 Estimated fair value $ 4,752,684 |
Composition of Investment Portfolio by Credit Rating Agencies | The composition of the investment portfolio at December 31, 2017, by credit rating, is as follows: A- or higher BBB+ to BBB- Non-Investment Grade Total (in thousands, except percentages) Estimated fair value Percentage Estimated fair value Percentage Estimated fair value Percentage Estimated fair value Percentage December 31, 2017 Debt securities: U.S. Treasury bonds $ 173,998 100.0 $ — — $ — — $ 173,998 100.0 Municipal bonds 964,855 93.2 54,255 5.2 16,827 1.6 1,035,937 100.0 Foreign government bonds 138,417 81.7 25,486 15.0 5,585 3.3 169,488 100.0 Governmental agency bonds 211,470 100.0 — — — — 211,470 100.0 Governmental agency mortgage-backed securities 2,158,957 100.0 — — — — 2,158,957 100.0 U.S. corporate debt securities 260,537 35.1 274,340 36.9 208,338 28.0 743,215 100.0 Foreign corporate debt 119,599 46.1 110,685 42.6 29,335 11.3 259,619 100.0 Total debt securities 4,027,833 84.7 464,766 9.8 260,085 5.5 4,752,684 100.0 Preferred stocks — — 13,900 73.2 5,090 26.8 18,990 100.0 Total $ 4,027,833 84.4 $ 478,666 10.0 $ 265,175 5.6 $ 4,771,674 100.0 |
Composition of Investment Portfolio in Unrealized Loss Position by Credit Rating Agencies | The composition of the investment portfolio in an unrealized loss position at December 31, 2017, by credit rating, is as follows: A- or higher BBB+ to BBB- Non-Investment Grade Total (in thousands, except percentages) Estimated fair value Percentage Estimated fair value Percentage Estimated fair value Percentage Estimated fair value Percentage December 31, 2017 Debt securities: U.S. Treasury bonds $ 116,103 100.0 $ — — $ — — $ 116,103 100.0 Municipal bonds 491,801 97.1 12,075 2.4 2,311 0.5 506,187 100.0 Foreign government bonds 90,829 86.0 12,393 11.7 2,398 2.3 105,620 100.0 Governmental agency bonds 149,444 100.0 — — — — 149,444 100.0 Governmental agency mortgage-backed securities 1,446,830 100.0 — — — — 1,446,830 100.0 U.S. corporate debt securities 75,173 32.3 115,951 49.9 41,417 17.8 232,541 100.0 Foreign corporate debt 40,063 46.0 40,688 46.6 6,471 7.4 87,222 100.0 Total debt securities 2,410,243 91.1 181,107 6.8 52,597 2.1 2,643,947 100.0 Preferred stocks — — 7,208 63.1 4,219 36.9 11,427 100.0 Total $ 2,410,243 90.8 $ 188,315 7.1 $ 56,816 2.1 $ 2,655,374 100.0 |
Debt Securities | |
Investments Classified as Available-For-Sale | Investments in debt securities, classified as available-for-sale, are as follows: Amortized Gross unrealized Estimated (in thousands) gains losses December 31, 2017 U.S. Treasury bonds $ 173,049 $ 2,199 $ (1,250 ) $ 173,998 Municipal bonds 1,031,146 12,185 (7,394 ) 1,035,937 Foreign government bonds 170,220 489 (1,221 ) 169,488 Governmental agency bonds 212,731 1,061 (2,322 ) 211,470 Governmental agency mortgage-backed securities 2,172,377 3,168 (16,588 ) 2,158,957 U.S. corporate debt securities 734,409 11,768 (2,962 ) 743,215 Foreign corporate debt securities 256,430 4,145 (956 ) 259,619 $ 4,750,362 $ 35,015 $ (32,693 ) $ 4,752,684 December 31, 2016 U.S. Treasury bonds $ 155,441 $ 416 $ (4,466 ) $ 151,391 Municipal bonds 1,004,659 6,340 (26,666 ) 984,333 Foreign government bonds 141,887 600 (2,439 ) 140,048 Governmental agency bonds 197,343 691 (4,166 ) 193,868 Governmental agency mortgage-backed securities 2,187,482 2,983 (26,792 ) 2,163,673 U.S. corporate debt securities 675,683 8,282 (5,441 ) 678,524 Foreign corporate debt securities 240,526 2,490 (1,490 ) 241,526 $ 4,603,021 $ 21,802 $ (71,460 ) $ 4,553,363 |
Equity securities | |
Investments Classified as Available-For-Sale | Investments in equity securities, classified as available-for-sale, are as follows: Cost Gross unrealized Estimated (in thousands) gains losses December 31, 2017 Preferred stocks $ 19,233 $ 320 $ (563 ) $ 18,990 Common stocks 394,439 54,090 (1,003 ) 447,526 $ 413,672 $ 54,410 $ (1,566 ) $ 466,516 December 31, 2016 Preferred stocks $ 18,926 $ — $ (3,344 ) $ 15,582 Common stocks 367,169 26,034 (4,700 ) 388,503 $ 386,095 $ 26,034 $ (8,044 ) $ 404,085 |
Property And Equipment (Tables)
Property And Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consists of the following: December 31, 2017 2016 (in thousands) Land $ 25,983 $ 27,312 Buildings 255,389 253,954 Furniture and equipment 247,022 232,104 Capitalized software 621,203 558,922 1,149,597 1,072,292 Accumulated depreciation and amortization (710,028 ) (638,242 ) $ 439,569 $ 434,050 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Carrying Amount of Goodwill by Operating Segment | A summary of the changes in the carrying amount of goodwill, by operating segment, for the years ended December 31, 2017 and 2016, is as follows: Title Specialty Total (in thousands) Balance as of December 31, 2015 $ 917,577 $ 46,765 $ 964,342 Acquisitions 53,564 — 53,564 Foreign currency translation (489 ) — (489 ) Balance as of December 31, 2016 970,652 46,765 1,017,417 Acquisitions 91,516 — 91,516 Foreign currency translation 4,370 — 4,370 Other adjustments (298 ) — (298 ) Balance as of December 31, 2017 $ 1,066,240 $ 46,765 $ 1,113,005 |
Other Intangible Assets (Tables
Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Intangible Assets Gross Excluding Goodwill [Abstract] | |
Schedule of Other Intangible Assets | Other intangible assets consist of the following: December 31, 2017 2016 (in thousands) Finite-lived intangible assets: Customer relationships $ 106,086 $ 78,542 Noncompete agreements 11,509 10,007 Trademarks 9,229 6,472 Internal-use software licenses 28,956 16,038 Patents 2,840 2,840 158,620 113,899 Accumulated amortization (75,591 ) (51,885 ) 83,029 62,014 Indefinite-lived intangible assets: Licenses 16,884 16,884 $ 99,913 $ 78,898 |
Estimated Amortization Expense for Finite-Lived Intangible Assets | Estimated amortization expense for finite-lived intangible assets for the next five years is as follows: Year (in thousands) 2018 $ 21,810 2019 $ 15,203 2020 $ 10,577 2021 $ 7,369 2022 $ 6,719 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Deposits Liabilities Balance Sheet Reported Amounts [Abstract] | |
Escrow, Savings and Investment Certificate Accounts | Deposit accounts are summarized as follows: December 31, 2017 2016 (in thousands, except Escrow accounts: Interest bearing $ 2,058,596 $ 1,961,488 Non-interest bearing 879,252 673,944 2,937,848 2,635,432 Business checking and other deposits (1) 132,718 144,046 $ 3,070,566 $ 2,779,478 Weighted average interest rate: Escrow accounts 0.10 % 0.10 % (1) Business checking and other deposits primarily reflect non-interest bearing accounts. |
Reserve for Known and Incurre42
Reserve for Known and Incurred but Not Reported Claims (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Insurance Loss Reserves [Abstract] | |
Activity in Reserve for Known and Incurred but Not Reported Claims | Activity in the reserve for known and incurred but not reported claims is summarized as follows: December 31, 2017 2016 2015 (in thousands) Balance at beginning of year $ 1,025,863 $ 983,880 $ 1,011,780 Provision related to: Current year 446,500 441,228 395,459 Prior years 3,910 47,373 95,633 450,410 488,601 491,092 Payments, net of recoveries, related to: Current year 240,468 223,735 209,845 Prior years 231,579 239,264 266,647 472,047 462,999 476,492 Other 24,707 16,381 (42,500 ) Balance at end of year $ 1,028,933 $ 1,025,863 $ 983,880 |
Summary of Loss Reserves | A summary of the Company’s loss reserves is as follows: (in thousands, except percentages) December 31, 2017 December 31, 2016 Known title claims $ 83,094 8.1 % $ 83,805 8.1 % Incurred but not reported claims 875,724 85.1 % 888,126 86.6 % Total title claims 958,818 93.2 % 971,931 94.7 % Non-title claims 70,115 6.8 % 53,932 5.3 % Total loss reserves $ 1,028,933 100.0 % $ 1,025,863 100.0 % |
Summary of Incurred and Paid Claims Development Net of Reinsurance | The information below about incurred and paid claims development for the years ended December 31, 2008 to 2015, is presented as supplementary information. Incurred claims and allocated claims adjustment expenses, net of reinsurance December 31, 2017 Accident Years ended December 31, Total of IBNR liabilities plus expected development on reported Cumulative number of reported Year 2008* 2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016 2017 claims claims (in thousands) 2008 $ 163,829 $ 161,035 $ 160,868 $ 161,332 $ 160,803 $ 160,605 $ 160,455 $ 160,423 $ 160,421 $ 160,354 $ — 605 2009 141,154 139,580 139,663 139,266 138,936 139,090 139,191 139,216 139,186 — 605 2010 140,621 139,966 139,991 139,639 140,128 140,641 140,353 140,308 — 606 2011 148,395 149,076 149,768 149,486 149,763 149,552 149,488 — 641 2012 157,287 158,981 159,918 160,579 160,517 160,911 13 692 2013 182,858 184,419 185,244 184,826 184,668 67 762 2014 190,985 190,738 191,120 191,025 336 789 2015 221,617 225,754 225,977 796 867 2016 245,859 249,358 2,473 971 2017 267,392 10,236 1,013 Total $ 1,868,667 * Amounts unaudited. Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance Accident Years ended December 31, Year 2008* 2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016 2017 (in thousands) 2008 $ 131,251 $ 155,585 $ 158,695 $ 160,074 $ 160,436 $ 160,398 $ 160,427 $ 160,421 $ 160,421 $ 160,354 2009 113,550 134,606 137,689 138,293 138,710 138,963 139,181 139,186 139,186 2010 113,513 136,770 138,978 139,486 140,136 140,886 140,302 140,304 2011 123,116 144,367 146,952 148,984 149,358 149,495 149,485 2012 130,623 153,753 157,364 159,181 159,740 160,268 2013 151,377 180,277 182,565 183,957 184,473 2014 156,536 185,686 188,117 189,525 2015 181,445 217,618 223,045 2016 205,857 243,111 2017 220,218 Total $ 1,809,969 All outstanding liabilities before 2008, net of reinsurance 7 Liabilities for claims and claims adjustment expenses, net of reinsurance $ 58,705 * Amounts unaudited. |
Reconciliation of the Net Incurred and Paid Claims Development Tables to the Liability for Claims and Claim Adjustment Expense | A reconciliation of the net incurred and paid claims development tables to the liability for claims and claim adjustment expense at December 31, 2017, is as follows: December 31, 2017 (in thousands) Liability for unpaid claims and claim adjustment expenses, net of reinsurance: Specialty insurance $ 58,705 Reinsurance recoverable on unpaid claims: Specialty insurance 10,151 Unallocated claims adjustment expenses: Specialty insurance 1,259 Insurance lines other than short-duration: Title insurance 958,818 Liability for unpaid claims and claims adjustment expenses $ 1,028,933 |
Schedule of Supplementary Information about Average Historical Claims | The following reflects supplementary information about average historical claims duration for the Company’s specialty insurance segment as of December 31, 2017: Average annual percentage payout of incurred claims by age, net of reinsurance (unaudited) Years 1 2 3 4 5 6 7 8 9 10 Annual payout 82.0 % 15.1 % 1.6 % 0.9 % 0.3 % 0.1 % 0.0 % 0.0 % 0.0 % 0.0 % |
Notes and Contracts Payable (Ta
Notes and Contracts Payable (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Notes and Contracts Payable | December 31, 2017 2016 (in thousands, except percentages) 4.60% senior unsecured notes due November 15, 2024, effective interest rate of 4.60% $ 300,000 $ 300,000 4.30% senior unsecured notes due February 1, 2023, effective interest rate of 4.35% 250,000 250,000 Line of credit borrowings due May 14, 2019, weighted-average interest rate of 3.32% and 2.52% at December 31, 2017 and 2016, respectively 160,000 160,000 Trust deed notes with maturities through 2023, collateralized by land and buildings with net book values of $46,478 and $47,846 at December 31, 2017 and 2016, respectively, weighted-average interest rate of 5.27% and 5.31%, at December 31, 2017 and 2016, respectively 22,725 26,646 Other notes and contracts payable with maturities through 2032, weighted-average interest rate of 4.70% and 5.26% at December 31, 2017 and 2016, respectively 3,707 4,269 736,432 740,915 Unamortized discount – senior unsecured notes (560 ) (655 ) Debt issuance costs – senior unsecured notes (3,062 ) (3,567 ) $ 732,810 $ 736,693 |
Aggregate Annual Maturities of Notes and Contracts Payable | The aggregate annual maturities for notes and contracts payable for the next five years and thereafter, are as follows: Year Annual maturities (in thousands) 2018 $ 4,612 2019 163,984 2020 3,595 2021 3,479 2022 3,590 Thereafter 553,550 $ 732,810 |
Net Investment Income (Tables)
Net Investment Income (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Net Investment Income [Abstract] | |
Schedule of Net Investment Income | The components of net investment income are as follows: Year ended December 31, 2017 2016 2015 (in thousands) Interest on: Cash equivalents and deposits with banks $ 7,321 $ 3,989 $ 3,822 Debt securities 104,458 89,920 76,822 Other investments 22,221 7,818 7,560 Dividends on equity securities 12,925 12,684 11,751 Deferred compensation plan assets 14,211 5,861 (5,454 ) Equity in earnings of affiliates, net 3,785 8,173 7,800 Other 607 130 49 Total investment income 165,528 128,575 102,350 Investment expenses (3,126 ) (2,441 ) (1,797 ) Net investment income $ 162,402 $ 126,134 $ 100,553 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Summary of Tax Expenses | Income taxes are summarized as follows: Year ended December 31, 2017 2016 2015 (in thousands) Current: Federal $ 116,400 $ 24,208 $ 94,036 State 9,382 1,943 3,636 Foreign 11,533 10,806 10,589 137,315 36,957 108,261 Deferred: Federal (104,062 ) 91,190 33,446 State (10,724 ) 3,753 3,413 Foreign 939 2,205 (1,225 ) (113,847 ) 97,148 35,634 $ 23,468 $ 134,105 $ 143,895 |
Schedule of Effective Income Tax Rate Reconciliation | Income taxes differ from the amounts computed by applying the federal income tax rate of 35.0%. A reconciliation of these differences is as follows: Year ended December 31, 2017 2016 2015 (in thousands, except percentages) Taxes calculated at federal rate $ 155,866 35.0 % $ 167,153 35.0 % $ 151,468 35.0 % State taxes, net of federal benefit (872 ) (0.2 ) 3,703 0.8 4,581 1.1 Change in liability for tax positions (3,482 ) (0.8 ) (10,512 ) (2.2 ) 1,094 0.3 Foreign income taxed at different rates (6,163 ) (1.3 ) (7,983 ) (1.7 ) (7,111 ) (1.6 ) Federal tax credits — — (12,265 ) (2.6 ) (1,710 ) (0.4 ) Tax reform impact (129,139 ) (29.0 ) — — — — Unremitted foreign earnings 14,997 3.3 — — — — Other items, net (7,739 ) (1.7 ) (5,991 ) (1.2 ) (4,427 ) (1.1 ) $ 23,468 5.3 % $ 134,105 28.1 % $ 143,895 33.3 % |
Net Deferred Tax (Liability) Assets | The primary components of temporary differences that give rise to the Company’s net deferred tax liability are as follows: December 31, 2017 2016 (in thousands) Deferred tax assets: Deferred revenue $ 7,766 $ 11,966 Employee benefits 86,519 83,100 Bad debt reserves 7,191 12,704 Loss reserves 1,372 1,974 Pension 22,600 89,726 Net operating loss carryforward 13,914 14,358 Securities — 10,664 Foreign tax credit 7,976 4,086 Other 5,673 7,557 153,011 236,135 Valuation allowance (10,333 ) (8,049 ) 142,678 228,086 Deferred tax liabilities: Depreciable and amortizable assets 204,863 320,884 Claims and related salvage 104,323 121,812 Investments in affiliates 3,343 7,511 Securities 11,656 — Unremitted foreign earnings 14,997 — 339,182 450,207 Net deferred tax liability $ 196,504 $ 222,121 |
Changes in Unrecognized Tax Benefits | A reconciliation of the beginning and ending amounts of unrecognized tax benefits for the years ended December 31, 2017, 2016 and 2015 is as follows: December 31, 2017 2016 2015 (in thousands) Unrecognized tax benefits—beginning balance $ 18,100 $ 23,800 $ 24,100 Gross decreases—prior period tax positions (1,000 ) (7,100 ) (800 ) Gross increases—current period tax positions — 1,400 500 Settlements with taxing authorities (4,300 ) — — Unrecognized tax benefits—ending balance $ 12,800 $ 18,100 $ 23,800 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share | The computation of basic and diluted earnings per share is as follows: Year ended December 31, 2017 2016 2015 (in thousands, except per share data) Numerator Net income attributable to the Company $ 423,049 $ 342,993 $ 288,086 Less: dividends and undistributed earnings allocated to unvested RSUs — — 321 Net income allocated to common stockholders $ 423,049 $ 342,993 $ 287,765 Denominator Basic weighted-average shares 111,668 110,548 108,427 Effect of dilutive employee stock options and RSUs 767 608 1,399 Diluted weighted-average shares 112,435 111,156 109,826 Net income per share attributable to the Company’s stockholders Basic $ 3.79 $ 3.10 $ 2.65 Diluted $ 3.76 $ 3.09 $ 2.62 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |
Principal Components of Employee Benefit Costs | The principal components of employee benefit costs are as follows: Year ended December 31, 2017 2016 2015 (in thousands) Expense: Savings plan $ 34,520 $ 33,109 $ 37,326 Funded defined benefit pension plans 162,368 88,908 18,611 Unfunded supplemental benefit plans 12,705 13,613 17,373 Other plans, net 17,595 10,090 3,812 $ 227,188 $ 145,720 $ 77,122 |
Company's Benefit Obligations, Assets and Funded Status | The following table summarizes the benefit obligations, assets and funded status associated with the Company’s funded defined benefit pension and unfunded supplemental benefit plans: December 31, 2017 2016 Defined Unfunded Defined Unfunded (in thousands) Change in projected benefit obligation: Benefit obligation at beginning of year $ 315,108 $ 251,204 $ 416,416 $ 248,660 Service costs — 734 — 1,042 Interest costs 4,911 8,350 15,532 8,558 Actuarial losses 8,560 11,761 33,845 6,804 Annuity purchase (318,592 ) — — — Benefits paid (9,987 ) (13,521 ) (150,685 ) (13,860 ) Projected benefit obligation at end of year — 258,528 315,108 251,204 Change in plan assets: Fair value of plan assets at beginning of year 291,760 — 329,987 — Actual returns on plan assets 2,859 — 4,244 — Contributions 33,960 13,521 108,214 13,860 Annuity purchase (318,592 ) — — — Benefits paid (9,987 ) (13,521 ) (150,685 ) (13,860 ) Fair value of plan assets at end of year — — 291,760 — Reconciliation of funded status: Unfunded status of the plans $ — $ (258,528 ) $ (23,348 ) $ (251,204 ) Amounts recognized in the consolidated balance sheet: Accrued benefit liability $ — $ (258,528 ) $ (23,348 ) $ (251,204 ) Amounts recognized in accumulated other comprehensive loss: Unrecognized net actuarial loss $ — $ 101,596 $ 157,659 $ 97,636 Unrecognized prior service credit — (12,429 ) (4,109 ) (16,607 ) $ — $ 89,167 $ 153,550 $ 81,029 Accumulated benefit obligation at end of year $ — $ 258,528 $ 315,108 $ 251,204 |
Net Periodic Costs | Net periodic costs related to the Company’s funded defined benefit pension and unfunded supplemental benefit plans included the following components: Year ended December 31, 2017 2016 2015 (in thousands) Expense: Service costs $ 734 $ 1,042 $ 1,560 Interest costs 13,261 24,090 27,744 Expected return on plan assets (4,740 ) (12,386 ) (21,802 ) Amortization of net actuarial loss 17,742 28,282 32,645 Amortization of prior service credit (4,312 ) (4,844 ) (4,163 ) Settlement costs 152,388 66,337 — $ 175,073 $ 102,521 $ 35,984 |
Weighted-Average Discount Rate Assumptions Used to Determine Net Periodic Benefit Costs and Projected Benefit Obligations | Weighted-average discount rate assumptions used to determine net periodic benefit costs for the years ended December 31, 2017 and 2016, were as follows: December 31, 2017 2016 Unfunded supplemental benefit plans Discount rate for projected benefit obligation 4.03 % 4.33 % Discount rate for service cost 4.32 % 4.69 % Discount rate for interest cost 3.43 % 3.56 % Weighted-average discount rate assumption used to determine the projected benefit obligation at December 31, 2017 and 2016, was as follows: December 31, 2017 2016 Unfunded supplemental benefit plans Discount rate 3.61 % 4.03 % |
Benefit Payments | Benefit payments, which reflect expected future service, as appropriate, are expected to be made as follows: Year (in thousands) 2018 $ 14,266 2019 $ 14,949 2020 $ 15,335 2021 $ 15,698 2022 $ 15,942 Five years thereafter $ 81,522 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets Measured on Recurring Basis | The following tables present the fair values of the Company’s assets, measured on a recurring basis, as of December 31, 2017 and 2016: (in thousands) Total Level 1 Level 2 Level 3 December 31, 2017 Assets: Debt securities: U.S. Treasury bonds $ 173,998 $ — $ 173,998 $ — Municipal bonds 1,035,937 — 1,035,937 — Foreign government bonds 169,488 — 169,488 — Governmental agency bonds 211,470 — 211,470 — Governmental agency mortgage-backed securities 2,158,957 — 2,158,957 — U.S. corporate debt securities 743,215 — 700,347 42,868 Foreign corporate debt securities 259,619 — 257,953 1,666 4,752,684 — 4,708,150 44,534 Equity securities: Preferred stocks 18,990 18,990 — — Common stocks 447,526 447,526 — — 466,516 466,516 — — Total assets $ 5,219,200 $ 466,516 $ 4,708,150 $ 44,534 (in thousands) Total Level 1 Level 2 Level 3 December 31, 2016 Assets: Debt securities: U.S. Treasury bonds $ 151,391 $ — $ 151,391 $ — Municipal bonds 984,333 — 984,333 — Foreign government bonds 140,048 — 140,048 — Governmental agency bonds 193,868 — 193,868 — Governmental agency mortgage-backed securities 2,163,673 — 2,163,673 — U.S. corporate debt securities 678,524 — 631,859 46,665 Foreign corporate debt securities 241,526 — 235,258 6,268 4,553,363 — 4,500,430 52,933 Equity securities: Preferred stocks 15,582 15,582 — — Common stocks 388,503 388,503 — — 404,085 404,085 — — Total assets $ 4,957,448 $ 404,085 $ 4,500,430 $ 52,933 |
Summary of Changes in Fair Value of Level 3 Assets Measured on Recurring Basis | The following tables present a summary of the changes in the fair values of Level 3 assets, measured on a recurring basis, for the years ended December 31, 2017 and 2016: December 31, 2017 December 31, 2016 (in thousands) U.S. corporate debt securities Foreign corporate debt securities Total U.S. corporate debt securities Foreign corporate debt securities Total Fair value at beginning of period $ 46,665 $ 6,268 $ 52,933 $ 43,567 $ 6,572 $ 50,139 Transfers into Level 3 7,991 — 7,991 9,293 2,536 11,829 Transfers out of Level 3 (14,472 ) (1,112 ) (15,584 ) (17,503 ) (1,294 ) (18,797 ) Net realized and unrealized gains (losses): Included in earnings (172 ) 18 (154 ) (120 ) (35 ) (155 ) Included in other comprehensive income (loss) (300 ) (52 ) (352 ) 1,565 122 1,687 Purchases 26,399 1,847 28,246 27,370 3,530 30,900 Sales (7,606 ) (1,737 ) (9,343 ) (9,037 ) (2,329 ) (11,366 ) Settlements (15,637 ) (3,566 ) (19,203 ) (8,470 ) (2,834 ) (11,304 ) Fair value at end of period $ 42,868 $ 1,666 $ 44,534 $ 46,665 $ 6,268 $ 52,933 |
Carrying Amounts and Estimated Fair Values of Financial Instruments Not Measured at Fair Value | The following table presents the carrying amounts and estimated fair values of the Company’s financial instruments not measured at fair value as of December 31, 2017 and 2016: Carrying Estimated fair value (in thousands) Amount Total Level 1 Level 2 Level 3 December 31, 2017 Assets: Cash and cash equivalents $ 1,387,226 $ 1,387,226 $ 1,387,226 $ — $ — Deposits with banks $ 41,335 $ 41,259 $ 6,846 $ 34,413 $ — Notes receivable, net $ 7,066 $ 6,798 $ — $ — $ 6,798 Liabilities: Deposits $ 3,070,566 $ 3,070,566 $ 3,070,566 $ — $ — Notes and contracts payable $ 732,810 $ 755,670 $ — $ 751,827 $ 3,843 Carrying Estimated fair value (in thousands) Amount Total Level 1 Level 2 Level 3 December 31, 2016 Assets: Cash and cash equivalents $ 1,006,138 $ 1,006,138 $ 1,006,138 $ — $ — Deposits with banks $ 21,222 $ 21,176 $ 1,017 $ 20,159 $ — Notes receivable, net $ 7,799 $ 7,542 $ — $ — $ 7,542 Liabilities: Deposits $ 2,779,478 $ 2,779,478 $ 2,779,478 $ — $ — Notes and contracts payable $ 736,693 $ 734,812 $ — $ 729,658 $ 5,154 |
Share-Based Compensation Plans
Share-Based Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Expenses Associated with Share-Based Compensation Plans | The following table summarizes the costs associated with the Company’s share-based compensation plans: Year ended December 31, 2017 2016 2015 (in thousands) Expense: RSUs $ 34,059 $ 31,120 $ 21,761 Stock options 263 271 271 Employee stock purchase plan 3,077 2,734 2,307 $ 37,399 $ 34,125 $ 24,339 |
Summary of RSU Activity | The following table summarizes RSU activity for the year ended December 31, 2017: (in thousands, except weighted-average grant-date fair value) Shares Weighted-average Unvested at December 31, 2016 1,510 $ 33.38 Granted during 2017 930 39.56 Vested during 2017 (1,016 ) 34.47 Forfeited during 2017 (13 ) 35.47 Unvested at December 31, 2017 1,411 $ 36.66 |
Summary of Stock Option Activity | The following table summarizes stock option activity for the year ended December 31, 2017: (in thousands, except weighted-average Number Weighted- Weighted- Aggregate Balance at December 31, 2016 132 $ 27.66 Exercised during 2017 (66 ) 27.66 Balance at December 31, 2017 66 $ 27.66 6.0 years $ 1,883 Vested and expected to vest at December 31, 2017 66 $ 27.66 6.0 years $ 1,883 Exercisable at December 31, 2017 66 $ 27.66 6.0 years $ 1,883 |
Accumulated Other Comprehensi50
Accumulated Other Comprehensive Income (Loss) ("AOCI") (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accumulated Other Comprehensive Income Other Comprehensive Income [Abstract] | |
Components of Accumulated Other Comprehensive Income (Loss) | The following table presents a summary of the changes in each component of AOCI for the years ended December 31, 2017, 2016 and 2015: Unrealized Foreign Pension Accumulated (in thousands) Balance at December 31, 2014 $ 10,911 $ (20,420 ) $ (189,580 ) $ (199,089 ) Change in unrealized gains (losses) on securities (42,205 ) — — (42,205 ) Change in foreign currency translation adjustment — (36,822 ) — (36,822 ) Net actuarial gain — — 10,743 10,743 Amortization of net actuarial loss — — 32,645 32,645 Amortization of prior service credit — — (4,163 ) (4,163 ) Tax effect 14,893 — (15,002 ) (109 ) Balance at December 31, 2015 (16,401 ) (57,242 ) (165,357 ) (239,000 ) Change in unrealized gains (losses) on securities (15,702 ) — — (15,702 ) Change in foreign currency translation adjustment — (6,334 ) — (6,334 ) Net actuarial loss — — (48,803 ) (48,803 ) Amortization of net actuarial loss — — 28,282 28,282 Amortization of prior service credit — — (4,844 ) (4,844 ) Settlement costs — — 66,337 66,337 Tax effect 5,343 — (15,672 ) (10,329 ) Balance at December 31, 2016 (26,760 ) (63,576 ) (140,057 ) (230,393 ) Change in unrealized gains (losses) on securities 86,834 — — 86,834 Change in foreign currency translation adjustment — 24,744 — 24,744 Net actuarial loss — — (20,407 ) (20,407 ) Amortization of net actuarial loss — — 17,742 17,742 Amortization of prior service credit — — (4,312 ) (4,312 ) Settlement costs — — 152,388 152,388 Tax effect (23,271 ) — (70,814 ) (94,085 ) Balance at December 31, 2017 $ 36,803 $ (38,832 ) $ (65,460 ) $ (67,489 ) |
Accumulated Other Comprehensive Income (Loss) Allocated to Company and Noncontrolling Interests | Components of AOCI allocated to the Company and noncontrolling interests at December 31, 2017, 2016 and 2015, are as follows: Unrealized Foreign Pension Accumulated (in thousands) 2017 Allocated to the Company $ 36,783 $ (38,832 ) $ (65,460 ) $ (67,509 ) Allocated to noncontrolling interests 20 — — 20 Balance at December 31, 2017 $ 36,803 $ (38,832 ) $ (65,460 ) $ (67,489 ) 2016 Allocated to the Company $ (26,767 ) $ (63,576 ) $ (140,057 ) $ (230,400 ) Allocated to noncontrolling interests 7 — — 7 Balance at December 31, 2016 $ (26,760 ) $ (63,576 ) $ (140,057 ) $ (230,393 ) 2015 Allocated to the Company $ (16,404 ) $ (57,242 ) $ (165,357 ) $ (239,003 ) Allocated to noncontrolling interests 3 — — 3 Balance at December 31, 2015 $ (16,401 ) $ (57,242 ) $ (165,357 ) $ (239,000 ) |
Adjustments for Reclassification of Other Comprehensive Income (Loss) | The following table presents the other comprehensive income (loss) reclassification adjustments for the years ended December 31, 2017, 2016 and 2015: Unrealized Foreign Pension Total (in thousands) Year ended December 31, 2017 Pretax change before reclassifications $ 101,553 $ 24,744 $ (20,407 ) $ 105,890 Reclassifications out of AOCI (14,719 ) — 165,818 151,099 Tax effect (23,271 ) — (70,814 ) (94,085 ) Total other comprehensive income (loss), net of tax $ 63,563 $ 24,744 $ 74,597 $ 162,904 Year ended December 31, 2016 Pretax change before reclassifications $ 2,617 $ (6,334 ) $ (48,803 ) $ (52,520 ) Reclassifications out of AOCI (18,319 ) — 89,775 71,456 Tax effect 5,343 — (15,672 ) (10,329 ) Total other comprehensive income (loss), net of tax $ (10,359 ) $ (6,334 ) $ 25,300 $ 8,607 Year ended December 31, 2015 Pretax change before reclassifications $ (46,601 ) $ (36,822 ) $ 10,743 $ (72,680 ) Reclassifications out of AOCI 4,396 — 28,482 32,878 Tax effect 14,893 — (15,002 ) (109 ) Total other comprehensive income (loss), net of tax $ (27,312 ) $ (36,822 ) $ 24,223 $ (39,911 ) |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) | The following table presents the effect of the reclassifications out of AOCI on the respective line items in the consolidated statements of income: Amounts reclassified from AOCI Year ended December 31, Affected line items in the (in thousands) 2017 2016 2015 consolidated statements of income Unrealized gains (losses) on securities: Net realized gains (losses) on sales of securities $ 14,719 $ 18,804 $ (2,147 ) Net realized investment gains Net other-than-temporary impairment losses — (485 ) (2,249 ) Net realized investment gains Pretax total $ 14,719 $ 18,319 $ (4,396 ) Tax effect $ (5,259 ) $ (7,007 ) $ 1,551 Pension benefit adjustment: Amortization of net actuarial loss $ (17,742 ) $ (28,282 ) $ (32,645 ) (1) Amortization of prior service credit 4,312 4,844 4,163 (1) Settlement costs (152,388 ) (66,337 ) — (1) Pretax total $ (165,818 ) $ (89,775 ) $ (28,482 ) Tax effect $ 67,322 $ 34,339 $ 10,893 (1) These components of AOCI are included in the computation of net periodic cost. See Note 13 Employee Benefit Plans for additional details. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Future Minimum Rental Payments | Future minimum rental payments under operating leases that have initial noncancelable lease terms in excess of one year, as of December 31, 2017, are as follows: (in thousands) Year 2018 $ 83,684 2019 73,524 2020 61,776 2021 47,348 2022 33,292 Thereafter 67,459 $ 367,083 |
Segment Financial Information (
Segment Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Selected Financial Information | Selected financial information about the Company’s operations, by segment, for the years ended December 31, 2017, 2016 and 2015, is as follows: Revenues Depreciation Equity in affiliates, net Income (loss) Assets Investments method affiliates Capital (in thousands) 2017 Title Insurance and Services $ 5,293,156 $ 121,540 $ 3,785 $ 642,364 $ 8,669,936 $ 56,583 $ 128,751 Specialty Insurance 465,020 6,351 — 36,908 592,405 — 7,913 Corporate 15,326 162 — (233,941 ) 429,128 — — Eliminations (1,139 ) — — — (118,247 ) — — $ 5,772,363 $ 128,053 $ 3,785 $ 445,331 $ 9,573,222 $ 56,583 $ 136,664 2016 Title Insurance and Services $ 5,134,125 $ 93,069 $ 8,173 $ 598,872 $ 7,905,433 $ 102,925 $ 126,715 Specialty Insurance 435,844 5,593 — 40,074 551,231 — 5,631 Corporate 5,946 385 — (161,365 ) 453,410 — — Eliminations (69 ) — — — (78,297 ) — — $ 5,575,846 $ 99,047 $ 8,173 $ 477,581 $ 8,831,777 $ 102,925 $ 132,346 2015 Title Insurance and Services $ 4,788,110 $ 80,359 $ 7,800 $ 489,954 $ 7,283,180 $ 108,574 $ 122,707 Specialty Insurance 393,757 4,775 — 39,519 510,915 — 4,837 Corporate (5,955 ) 462 — (96,708 ) 444,943 — 22 Eliminations (456 ) — — — (2,323 ) — — $ 5,175,456 $ 85,596 $ 7,800 $ 432,765 $ 8,236,715 $ 108,574 $ 127,566 |
Schedule Of Revenues From External Customers And Long-Lived Assets | Revenues from external customers allocated between domestic and foreign operations, by segment, for the years ended December 31, 2017, 2016 and 2015, are as follows: Year Ended December 31, 2017 2016 2015 Domestic Foreign Domestic Foreign Domestic Foreign (in thousands) Title Insurance and Services $ 5,011,990 $ 281,090 $ 4,830,727 $ 303,352 $ 4,480,230 $ 307,453 Specialty Insurance 465,020 — 435,844 — 393,757 — $ 5,477,010 $ 281,090 $ 5,266,571 $ 303,352 $ 4,873,987 $ 307,453 Long-lived assets allocated between domestic and foreign operations, by segment, as of December 31, 2017, 2016 and 2015, are as follows: December 31, 2017 2016 2015 Domestic Foreign Domestic Foreign Domestic Foreign (in thousands) Title Insurance and Services $ 975,443 $ 59,960 $ 986,718 $ 40,161 $ 933,829 $ 35,375 Specialty Insurance 57,762 — 55,045 — 51,920 — $ 1,033,205 $ 59,960 $ 1,041,763 $ 40,161 $ 985,749 $ 35,375 |
Quarterly Financial Data (Table
Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data | Quarter Ended March 31 June 30 September 30 December 31 (in thousands, except per share amounts) 2017 Revenues $ 1,317,043 $ 1,454,429 $ 1,519,568 $ 1,481,323 Income before income taxes $ 83,880 $ 184,154 $ 17,962 $ 159,335 Net income $ 58,069 $ 121,895 $ 21,186 $ 220,713 Net loss attributable to noncontrolling interests $ (213 ) $ (362 ) $ (197 ) $ (414 ) Net income attributable to the Company $ 58,282 $ 122,257 $ 21,383 $ 221,127 Net income per share attributable to the Company’s stockholders (1): Basic $ 0.52 $ 1.10 $ 0.19 $ 1.98 Diluted $ 0.52 $ 1.09 $ 0.19 $ 1.96 (1) Net income per share attributable to the Company’s stockholders for the four quarters of each fiscal year may not sum to the total for the fiscal year because of the different number of shares outstanding during each period. Quarter Ended March 31 June 30 September 30 December 31 (in thousands, except per share amounts) 2016 Revenues $ 1,201,712 $ 1,361,533 $ 1,508,344 $ 1,504,257 Income before income taxes $ 75,592 $ 153,607 $ 166,931 $ 81,451 Net income $ 52,672 $ 102,451 $ 107,392 $ 80,961 Net income (loss) attributable to noncontrolling interests $ 171 $ 302 $ 72 $ (62 ) Net income attributable to the Company $ 52,501 $ 102,149 $ 107,320 $ 81,023 Net income per share attributable to the Company’s stockholders (1): Basic $ 0.48 $ 0.92 $ 0.97 $ 0.73 Diluted $ 0.47 $ 0.92 $ 0.96 $ 0.73 (1) Net income per share attributable to the Company’s stockholders for the four quarters of each fiscal year may not sum to the total for the fiscal year because of the different number of shares outstanding during each period. |
Basis of Presentation and Sig54
Basis of Presentation and Significant Accounting Policies (Narrative) (Detail) | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2017USD ($) | Sep. 30, 2017USD ($) | Dec. 31, 2017USD ($)State | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Jan. 01, 2018USD ($) | |
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Number of states company issues title insurance policies | State | 49 | |||||
Number of states company licensed to issue property and casualty insurance policies | State | 50 | |||||
Number of states company issues property and casualty policies | State | 47 | |||||
Number of states company issues home warranty contracts | State | 39 | |||||
Other operating expenses | $ 880,874,000 | $ 853,841,000 | $ 820,969,000 | |||
Accounts payable and accrued liabilities | $ 793,157,000 | 793,157,000 | 793,955,000 | |||
Depreciation and amortization | 128,053,000 | 99,047,000 | 85,596,000 | |||
Net realized investment gains (losses) | 11,234,000 | 23,053,000 | (6,547,000) | |||
Title plants and other indexes | 568,452,000 | 568,452,000 | 564,309,000 | |||
Retained earnings | 1,311,112,000 | 1,311,112,000 | 1,046,822,000 | |||
Fair value of investments in debt securities for funding of statutory premium reserves and state deposits | 108,400,000 | 108,400,000 | 110,600,000 | |||
Net other-than-temporary impairment losses | 0 | 500,000 | 2,200,000 | |||
Impairment losses on equity method investments in affiliates | 1,500,000 | 0 | 2,000,000 | |||
Impairment losses on property and equipment primarily related to impairments of internally developed software | 500,000 | 5,200,000 | 10,900,000 | |||
Title plants | 526,200,000 | 526,200,000 | 529,200,000 | |||
Capitalized real estate data | 42,300,000 | $ 42,300,000 | 35,100,000 | |||
Assessment to determine fair value | 50.00% | |||||
Goodwill impairment losses | $ 0 | $ 0 | $ 0 | |||
Change in basis points to one or more loss rate | 0.50% | |||||
Increase (decrease) in IBNR reserve if the expected ultimate losses for each of the last six policy years increase or decrease by 50 basis points | 117,800,000 | $ 117,800,000 | ||||
Total premiums assumed and ceded in connection with reinsurance percentage less than premium and escrow fees | 1.00% | 1.00% | 1.00% | |||
Escrow deposits | 7,500,000,000 | $ 7,500,000,000 | $ 6,800,000,000 | |||
Like-kind exchange funds | 2,600,000,000 | 2,600,000,000 | 2,000,000,000 | |||
New accounting Pronouncement change in retained earnings and accumulated other comprehensive income | 4,000,000 | 4,000,000 | ||||
First American Trust | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Escrow deposits | 2,900,000,000 | 2,900,000,000 | 2,600,000,000 | |||
Assets held-in-trust | 3,700,000,000 | $ 3,700,000,000 | 3,200,000,000 | |||
Incentive Compensation Plan | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Employee stock purchase plan percentage of purchase price on closing price | 85.00% | |||||
Employee stock purchase plan percentage of discount purchase price on closing price | 15.00% | |||||
Minimum | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Capitalized real estate estimated useful lives, years | 3 years | |||||
Other intangible assets estimated useful lives, years | 1 year | |||||
Percentage of claim amounts known in the first few years of the policy life | 70.00% | |||||
Maximum | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Capitalized real estate estimated useful lives, years | 15 years | |||||
Other intangible assets estimated useful lives, years | 20 years | |||||
Percentage of claim amounts known in the first few years of the policy life | 80.00% | |||||
Buildings | Minimum | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Property, plant and equipment, estimated useful lives, years | 5 years | |||||
Buildings | Maximum | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Property, plant and equipment, estimated useful lives, years | 40 years | |||||
Furniture and Equipment | Minimum | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Property, plant and equipment, estimated useful lives, years | 1 year | |||||
Furniture and Equipment | Maximum | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Property, plant and equipment, estimated useful lives, years | 15 years | |||||
Leasehold Improvements | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Leasehold improvements, estimated useful lives | Initially recorded at cost and are amortized over the lesser of the remaining term of the respective lease or the estimated useful life, using the straight-line method. | |||||
Capitalized Software Costs | Minimum | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Property, plant and equipment, estimated useful lives, years | 1 year | |||||
Capitalized Software Costs | Maximum | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Property, plant and equipment, estimated useful lives, years | 15 years | |||||
Equity securities | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Net other-than-temporary impairment losses | $ 0 | 0 | $ 0 | |||
Unrealized loss position percentage of cost | 80.00% | |||||
Unrealized loss position period | 12 months | |||||
Restatement Adjustment | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Other operating expenses | 8,500,000 | |||||
Accounts payable and accrued liabilities | $ 8,500,000 | $ 8,500,000 | ||||
Depreciation and amortization | $ 4,700,000 | |||||
Net realized investment gains (losses) | (1,800,000) | |||||
Title plants and other indexes | $ (6,500,000) | |||||
Retained earnings | $ (8,500,000) | |||||
Restatement Adjustment | Subsequent Event | Accounting Standards Update 2016-01 | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Retained earnings | $ 40,000,000 | |||||
California | ||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | ||||||
Policy liability percentage | 63.00% |
Statutory Restrictions on Inv55
Statutory Restrictions on Investments and Stockholders' Equity (Narrative) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statutory Accounting Practices [Line Items] | |||
Investments on deposit with state treasurers | $ 131 | $ 125.8 | |
Dividends available to parent from subsidiaries | 338.4 | ||
Loans and advances available to parent from subsidiaries | 96 | ||
Differences in state prescribed or permitted practices to NAIC Statutory Accounting | 148.5 | 69.6 | |
FATICO | |||
Statutory Accounting Practices [Line Items] | |||
Statutory surplus maintained by insurance subsidiary | 1,200 | 1,200 | |
Statutory net income of insurance subsidiary | $ 315.4 | $ 150 | $ 191.8 |
Debt and Equity Securities (Inv
Debt and Equity Securities (Investments in Debt Securities, Classified as Available-For-Sale) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | $ 4,750,362 | $ 4,603,021 |
Debt Securities, Gross unrealized gains | 35,015 | 21,802 |
Debt Securities, Gross unrealized losses | (32,693) | (71,460) |
Debt securities, Estimated fair value | 4,752,684 | 4,553,363 |
U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | 173,049 | 155,441 |
Debt Securities, Gross unrealized gains | 2,199 | 416 |
Debt Securities, Gross unrealized losses | (1,250) | (4,466) |
Debt securities, Estimated fair value | 173,998 | 151,391 |
Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | 1,031,146 | 1,004,659 |
Debt Securities, Gross unrealized gains | 12,185 | 6,340 |
Debt Securities, Gross unrealized losses | (7,394) | (26,666) |
Debt securities, Estimated fair value | 1,035,937 | 984,333 |
Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | 170,220 | 141,887 |
Debt Securities, Gross unrealized gains | 489 | 600 |
Debt Securities, Gross unrealized losses | (1,221) | (2,439) |
Debt securities, Estimated fair value | 169,488 | 140,048 |
Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | 212,731 | 197,343 |
Debt Securities, Gross unrealized gains | 1,061 | 691 |
Debt Securities, Gross unrealized losses | (2,322) | (4,166) |
Debt securities, Estimated fair value | 211,470 | 193,868 |
Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | 2,172,377 | 2,187,482 |
Debt Securities, Gross unrealized gains | 3,168 | 2,983 |
Debt Securities, Gross unrealized losses | (16,588) | (26,792) |
Debt securities, Estimated fair value | 2,158,957 | 2,163,673 |
U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | 734,409 | 675,683 |
Debt Securities, Gross unrealized gains | 11,768 | 8,282 |
Debt Securities, Gross unrealized losses | (2,962) | (5,441) |
Debt securities, Estimated fair value | 743,215 | 678,524 |
Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | 256,430 | 240,526 |
Debt Securities, Gross unrealized gains | 4,145 | 2,490 |
Debt Securities, Gross unrealized losses | (956) | (1,490) |
Debt securities, Estimated fair value | $ 259,619 | $ 241,526 |
Debt and Equity Securities (I57
Debt and Equity Securities (Investments in Equity Securities, Classified as Available-For-Sale) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule Of Available For Sale Securities [Line Items] | ||
Equity securities, Amortized Cost | $ 413,672 | $ 386,095 |
Equity securities, Gross unrealized gains | 54,410 | 26,034 |
Equity securities, Gross unrealized losses | (1,566) | (8,044) |
Equity securities | 466,516 | 404,085 |
Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Equity securities, Amortized Cost | 19,233 | 18,926 |
Equity securities, Gross unrealized gains | 320 | 0 |
Equity securities, Gross unrealized losses | (563) | (3,344) |
Equity securities | 18,990 | 15,582 |
Common stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Equity securities, Amortized Cost | 394,439 | 367,169 |
Equity securities, Gross unrealized gains | 54,090 | 26,034 |
Equity securities, Gross unrealized losses | (1,003) | (4,700) |
Equity securities | $ 447,526 | $ 388,503 |
Debt and Equity Securities (Nar
Debt and Equity Securities (Narrative) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule Of Available For Sale Securities [Line Items] | |||
Realized gains on sales of securities | $ 35,500 | $ 30,700 | $ 8,700 |
Realized losses on sales of securities | 18,400 | 9,700 | $ 10,000 |
Debt securities, Estimated fair value | 4,752,684 | 4,553,363 | |
Estimated fair value, Unrealized loss position | 2,695,538 | 3,137,507 | |
Debt Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Debt securities, Estimated fair value | 4,752,684 | ||
Estimated fair value, Unrealized loss position | 2,643,947 | $ 3,008,227 | |
Bank Loans | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Debt securities, Estimated fair value | 142,900 | ||
Bank Loans | Debt Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Estimated fair value, Unrealized loss position | 25,900 | ||
Emerging Market Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Debt securities, Estimated fair value | 81,000 | ||
Emerging Market Securities | Debt Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Estimated fair value, Unrealized loss position | 23,100 | ||
Non-Investment Grade | Debt Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Debt securities, Estimated fair value | 260,085 | ||
Estimated fair value, Unrealized loss position | 52,597 | ||
Non-Investment Grade | Bank Loans | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Debt securities, Estimated fair value | 130,700 | ||
Non-Investment Grade | Bank Loans | Debt Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Estimated fair value, Unrealized loss position | 25,200 | ||
Non-Investment Grade | High Yield Corporate Debt Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Debt securities, Estimated fair value | 103,500 | ||
Non-Investment Grade | High Yield Corporate Debt Securities | Debt Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Estimated fair value, Unrealized loss position | 22,600 | ||
Non-Investment Grade | Emerging Market Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Debt securities, Estimated fair value | 9,100 | ||
Non-Investment Grade | Emerging Market Securities | Debt Securities | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Estimated fair value, Unrealized loss position | $ 2,500 |
Debt and Equity Securities (Gro
Debt and Equity Securities (Gross Unrealized Losses on Investments in Debt and Equity Securities) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | $ 1,476,501 | $ 2,596,677 |
Unrealized losses, Less than 12 months | (11,904) | (63,300) |
Estimated fair value, 12 months or longer | 1,219,037 | 540,830 |
Unrealized losses, 12 months or longer | (22,355) | (16,204) |
Estimated fair value, Total | 2,695,538 | 3,137,507 |
Unrealized losses, Total | (34,259) | (79,504) |
Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 1,437,759 | 2,526,416 |
Unrealized losses, Less than 12 months | (10,863) | (62,127) |
Estimated fair value, 12 months or longer | 1,206,188 | 481,811 |
Unrealized losses, 12 months or longer | (21,830) | (9,333) |
Estimated fair value, Total | 2,643,947 | 3,008,227 |
Unrealized losses, Total | (32,693) | (71,460) |
Debt Securities | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 78,605 | 111,748 |
Unrealized losses, Less than 12 months | (511) | (4,466) |
Estimated fair value, 12 months or longer | 37,498 | 0 |
Unrealized losses, 12 months or longer | (739) | 0 |
Estimated fair value, Total | 116,103 | 111,748 |
Unrealized losses, Total | (1,250) | (4,466) |
Debt Securities | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 279,292 | 635,531 |
Unrealized losses, Less than 12 months | (1,714) | (26,317) |
Estimated fair value, 12 months or longer | 226,895 | 16,485 |
Unrealized losses, 12 months or longer | (5,680) | (349) |
Estimated fair value, Total | 506,187 | 652,016 |
Unrealized losses, Total | (7,394) | (26,666) |
Debt Securities | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 98,942 | 63,044 |
Unrealized losses, Less than 12 months | (972) | (2,371) |
Estimated fair value, 12 months or longer | 6,678 | 324 |
Unrealized losses, 12 months or longer | (249) | (68) |
Estimated fair value, Total | 105,620 | 63,368 |
Unrealized losses, Total | (1,221) | (2,439) |
Debt Securities | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 55,707 | 148,112 |
Unrealized losses, Less than 12 months | (409) | (4,166) |
Estimated fair value, 12 months or longer | 93,737 | 0 |
Unrealized losses, 12 months or longer | (1,913) | 0 |
Estimated fair value, Total | 149,444 | 148,112 |
Unrealized losses, Total | (2,322) | (4,166) |
Debt Securities | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 671,871 | 1,295,790 |
Unrealized losses, Less than 12 months | (4,868) | (19,097) |
Estimated fair value, 12 months or longer | 774,959 | 432,349 |
Unrealized losses, 12 months or longer | (11,720) | (7,695) |
Estimated fair value, Total | 1,446,830 | 1,728,139 |
Unrealized losses, Total | (16,588) | (26,792) |
Debt Securities | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 171,817 | 193,533 |
Unrealized losses, Less than 12 months | (1,568) | (4,560) |
Estimated fair value, 12 months or longer | 60,724 | 24,499 |
Unrealized losses, 12 months or longer | (1,394) | (881) |
Estimated fair value, Total | 232,541 | 218,032 |
Unrealized losses, Total | (2,962) | (5,441) |
Debt Securities | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 81,525 | 78,658 |
Unrealized losses, Less than 12 months | (821) | (1,150) |
Estimated fair value, 12 months or longer | 5,697 | 8,154 |
Unrealized losses, 12 months or longer | (135) | (340) |
Estimated fair value, Total | 87,222 | 86,812 |
Unrealized losses, Total | (956) | (1,490) |
Equity securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Less than 12 months | 38,742 | 70,261 |
Unrealized losses, Less than 12 months | (1,041) | (1,173) |
Estimated fair value, 12 months or longer | 12,849 | 59,019 |
Unrealized losses, 12 months or longer | (525) | (6,871) |
Estimated fair value, Total | 51,591 | 129,280 |
Unrealized losses, Total | $ (1,566) | $ (8,044) |
Debt and Equity Securities (I60
Debt and Equity Securities (Investments in Debt Securities) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule Of Available For Sale Securities [Line Items] | ||
Debt Securities, Amortized cost | $ 4,750,362 | $ 4,603,021 |
Debt securities, Estimated fair value | 4,752,684 | 4,553,363 |
U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost, Due in one year or less | 16,458 | |
Amortized cost, Due after one through five years | 65,124 | |
Amortized cost, Due after five through ten years | 41,014 | |
Amortized cost, Due after ten years | 50,453 | |
Debt Securities, Amortized cost | 173,049 | 155,441 |
Estimated fair value, Due in one year or less | 16,425 | |
Estimated fair value, Due after one through five years | 64,550 | |
Estimated fair value, Due after five through ten years | 40,816 | |
Estimated fair value, Due after ten years | 52,207 | |
Debt securities, Estimated fair value | 173,998 | 151,391 |
Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost, Due in one year or less | 62,308 | |
Amortized cost, Due after one through five years | 301,477 | |
Amortized cost, Due after five through ten years | 245,510 | |
Amortized cost, Due after ten years | 421,851 | |
Debt Securities, Amortized cost | 1,031,146 | 1,004,659 |
Estimated fair value, Due in one year or less | 62,311 | |
Estimated fair value, Due after one through five years | 302,404 | |
Estimated fair value, Due after five through ten years | 248,683 | |
Estimated fair value, Due after ten years | 422,539 | |
Debt securities, Estimated fair value | 1,035,937 | 984,333 |
Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost, Due in one year or less | 13,494 | |
Amortized cost, Due after one through five years | 118,166 | |
Amortized cost, Due after five through ten years | 21,783 | |
Amortized cost, Due after ten years | 16,777 | |
Debt Securities, Amortized cost | 170,220 | 141,887 |
Estimated fair value, Due in one year or less | 13,506 | |
Estimated fair value, Due after one through five years | 117,401 | |
Estimated fair value, Due after five through ten years | 21,963 | |
Estimated fair value, Due after ten years | 16,618 | |
Debt securities, Estimated fair value | 169,488 | 140,048 |
Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost, Due in one year or less | 30,209 | |
Amortized cost, Due after one through five years | 81,498 | |
Amortized cost, Due after five through ten years | 57,941 | |
Amortized cost, Due after ten years | 43,083 | |
Debt Securities, Amortized cost | 212,731 | 197,343 |
Estimated fair value, Due in one year or less | 30,075 | |
Estimated fair value, Due after one through five years | 80,713 | |
Estimated fair value, Due after five through ten years | 57,661 | |
Estimated fair value, Due after ten years | 43,021 | |
Debt securities, Estimated fair value | 211,470 | 193,868 |
U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost, Due in one year or less | 23,264 | |
Amortized cost, Due after one through five years | 327,960 | |
Amortized cost, Due after five through ten years | 308,785 | |
Amortized cost, Due after ten years | 74,400 | |
Debt Securities, Amortized cost | 734,409 | 675,683 |
Estimated fair value, Due in one year or less | 23,323 | |
Estimated fair value, Due after one through five years | 329,199 | |
Estimated fair value, Due after five through ten years | 311,998 | |
Estimated fair value, Due after ten years | 78,695 | |
Debt securities, Estimated fair value | 743,215 | 678,524 |
Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost, Due in one year or less | 16,790 | |
Amortized cost, Due after one through five years | 134,522 | |
Amortized cost, Due after five through ten years | 92,459 | |
Amortized cost, Due after ten years | 12,659 | |
Debt Securities, Amortized cost | 256,430 | 240,526 |
Estimated fair value, Due in one year or less | 16,827 | |
Estimated fair value, Due after one through five years | 135,107 | |
Estimated fair value, Due after five through ten years | 94,252 | |
Estimated fair value, Due after ten years | 13,433 | |
Debt securities, Estimated fair value | 259,619 | $ 241,526 |
Debt Securities Excluding Mortgage Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost, Due in one year or less | 162,523 | |
Amortized cost, Due after one through five years | 1,028,747 | |
Amortized cost, Due after five through ten years | 767,492 | |
Amortized cost, Due after ten years | 619,223 | |
Debt Securities, Amortized cost | 2,577,985 | |
Estimated fair value, Due in one year or less | 162,467 | |
Estimated fair value, Due after one through five years | 1,029,374 | |
Estimated fair value, Due after five through ten years | 775,373 | |
Estimated fair value, Due after ten years | 626,513 | |
Debt securities, Estimated fair value | 2,593,727 | |
Total Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized cost | 2,172,377 | |
Estimated fair value | $ 2,158,957 |
Debt and Equity Securities (Com
Debt and Equity Securities (Composition of Investment Portfolio by Credit Rating Agencies) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 4,752,684 | $ 4,553,363 |
Equity securities | 466,516 | 404,085 |
U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | 173,998 | 151,391 |
Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | 1,035,937 | 984,333 |
Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | 169,488 | 140,048 |
Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | 211,470 | 193,868 |
Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | 2,158,957 | 2,163,673 |
U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | 743,215 | 678,524 |
Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | 259,619 | 241,526 |
Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Equity securities | 18,990 | $ 15,582 |
Available For Sale Securities Excluding Common Stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Total | $ 4,771,674 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 4,752,684 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Debt Securities | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 173,998 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Debt Securities | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 1,035,937 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Debt Securities | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 169,488 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Debt Securities | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 211,470 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Debt Securities | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 2,158,957 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Debt Securities | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 743,215 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Debt Securities | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 259,619 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Equity securities | Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Equity securities | $ 18,990 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Investment Grade | Available For Sale Securities Excluding Common Stocks | A- or Higher | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Total | $ 4,027,833 | |
Percentage of investment portfolio by credit rating agencies | 84.40% | |
Investment Grade | Available For Sale Securities Excluding Common Stocks | BBB+ to BBB- | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Total | $ 478,666 | |
Percentage of investment portfolio by credit rating agencies | 10.00% | |
Investment Grade | Debt Securities | A- or Higher | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 4,027,833 | |
Percentage of investment portfolio by credit rating agencies | 84.70% | |
Investment Grade | Debt Securities | A- or Higher | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 173,998 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Investment Grade | Debt Securities | A- or Higher | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 964,855 | |
Percentage of investment portfolio by credit rating agencies | 93.20% | |
Investment Grade | Debt Securities | A- or Higher | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 138,417 | |
Percentage of investment portfolio by credit rating agencies | 81.70% | |
Investment Grade | Debt Securities | A- or Higher | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 211,470 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Investment Grade | Debt Securities | A- or Higher | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 2,158,957 | |
Percentage of investment portfolio by credit rating agencies | 100.00% | |
Investment Grade | Debt Securities | A- or Higher | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 260,537 | |
Percentage of investment portfolio by credit rating agencies | 35.10% | |
Investment Grade | Debt Securities | A- or Higher | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 119,599 | |
Percentage of investment portfolio by credit rating agencies | 46.10% | |
Investment Grade | Debt Securities | BBB+ to BBB- | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 464,766 | |
Percentage of investment portfolio by credit rating agencies | 9.80% | |
Investment Grade | Debt Securities | BBB+ to BBB- | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 0 | |
Percentage of investment portfolio by credit rating agencies | 0.00% | |
Investment Grade | Debt Securities | BBB+ to BBB- | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 54,255 | |
Percentage of investment portfolio by credit rating agencies | 5.20% | |
Investment Grade | Debt Securities | BBB+ to BBB- | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 25,486 | |
Percentage of investment portfolio by credit rating agencies | 15.00% | |
Investment Grade | Debt Securities | BBB+ to BBB- | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 0 | |
Percentage of investment portfolio by credit rating agencies | 0.00% | |
Investment Grade | Debt Securities | BBB+ to BBB- | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 0 | |
Percentage of investment portfolio by credit rating agencies | 0.00% | |
Investment Grade | Debt Securities | BBB+ to BBB- | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 274,340 | |
Percentage of investment portfolio by credit rating agencies | 36.90% | |
Investment Grade | Debt Securities | BBB+ to BBB- | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 110,685 | |
Percentage of investment portfolio by credit rating agencies | 42.60% | |
Investment Grade | Equity securities | A- or Higher | Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Equity securities | $ 0 | |
Percentage of investment portfolio by credit rating agencies | 0.00% | |
Investment Grade | Equity securities | BBB+ to BBB- | Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Equity securities | $ 13,900 | |
Percentage of investment portfolio by credit rating agencies | 73.20% | |
Non-Investment Grade | Available For Sale Securities Excluding Common Stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Total | $ 265,175 | |
Percentage of investment portfolio by credit rating agencies | 5.60% | |
Non-Investment Grade | Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 260,085 | |
Percentage of investment portfolio by credit rating agencies | 5.50% | |
Non-Investment Grade | Debt Securities | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 0 | |
Percentage of investment portfolio by credit rating agencies | 0.00% | |
Non-Investment Grade | Debt Securities | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 16,827 | |
Percentage of investment portfolio by credit rating agencies | 1.60% | |
Non-Investment Grade | Debt Securities | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 5,585 | |
Percentage of investment portfolio by credit rating agencies | 3.30% | |
Non-Investment Grade | Debt Securities | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 0 | |
Percentage of investment portfolio by credit rating agencies | 0.00% | |
Non-Investment Grade | Debt Securities | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 0 | |
Percentage of investment portfolio by credit rating agencies | 0.00% | |
Non-Investment Grade | Debt Securities | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 208,338 | |
Percentage of investment portfolio by credit rating agencies | 28.00% | |
Non-Investment Grade | Debt Securities | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Debt securities, Estimated fair value | $ 29,335 | |
Percentage of investment portfolio by credit rating agencies | 11.30% | |
Non-Investment Grade | Equity securities | Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Equity securities | $ 5,090 | |
Percentage of investment portfolio by credit rating agencies | 26.80% |
Debt and Equity Securities (C62
Debt and Equity Securities (Composition of Investment Portfolio in Unrealized Loss Position by Credit Rating Agencies) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 2,695,538 | $ 3,137,507 |
Available For Sale Securities Excluding Common Stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 2,655,374 | |
Percentage of investments in unrealized loss position | 100.00% | |
Investment Grade | A- or Higher | Available For Sale Securities Excluding Common Stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 2,410,243 | |
Percentage of investments in unrealized loss position | 90.80% | |
Investment Grade | BBB+ to BBB- | Available For Sale Securities Excluding Common Stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 188,315 | |
Percentage of investments in unrealized loss position | 7.10% | |
Non-Investment Grade | Available For Sale Securities Excluding Common Stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 56,816 | |
Percentage of investments in unrealized loss position | 2.10% | |
Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 2,643,947 | 3,008,227 |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 116,103 | 111,748 |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 506,187 | 652,016 |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 105,620 | 63,368 |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 1,446,830 | 1,728,139 |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 149,444 | 148,112 |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 232,541 | 218,032 |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 87,222 | 86,812 |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Investment Grade | A- or Higher | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 2,410,243 | |
Percentage of investments in unrealized loss position | 91.10% | |
Debt Securities | Investment Grade | A- or Higher | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 116,103 | |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Investment Grade | A- or Higher | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 491,801 | |
Percentage of investments in unrealized loss position | 97.10% | |
Debt Securities | Investment Grade | A- or Higher | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 90,829 | |
Percentage of investments in unrealized loss position | 86.00% | |
Debt Securities | Investment Grade | A- or Higher | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 1,446,830 | |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Investment Grade | A- or Higher | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 149,444 | |
Percentage of investments in unrealized loss position | 100.00% | |
Debt Securities | Investment Grade | A- or Higher | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 75,173 | |
Percentage of investments in unrealized loss position | 32.30% | |
Debt Securities | Investment Grade | A- or Higher | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 40,063 | |
Percentage of investments in unrealized loss position | 46.00% | |
Debt Securities | Investment Grade | BBB+ to BBB- | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 181,107 | |
Percentage of investments in unrealized loss position | 6.80% | |
Debt Securities | Investment Grade | BBB+ to BBB- | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 0 | |
Percentage of investments in unrealized loss position | 0.00% | |
Debt Securities | Investment Grade | BBB+ to BBB- | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 12,075 | |
Percentage of investments in unrealized loss position | 2.40% | |
Debt Securities | Investment Grade | BBB+ to BBB- | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 12,393 | |
Percentage of investments in unrealized loss position | 11.70% | |
Debt Securities | Investment Grade | BBB+ to BBB- | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 0 | |
Percentage of investments in unrealized loss position | 0.00% | |
Debt Securities | Investment Grade | BBB+ to BBB- | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 0 | |
Percentage of investments in unrealized loss position | 0.00% | |
Debt Securities | Investment Grade | BBB+ to BBB- | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 115,951 | |
Percentage of investments in unrealized loss position | 49.90% | |
Debt Securities | Investment Grade | BBB+ to BBB- | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 40,688 | |
Percentage of investments in unrealized loss position | 46.60% | |
Debt Securities | Non-Investment Grade | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 52,597 | |
Percentage of investments in unrealized loss position | 2.10% | |
Debt Securities | Non-Investment Grade | U.S. Treasury Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 0 | |
Percentage of investments in unrealized loss position | 0.00% | |
Debt Securities | Non-Investment Grade | Municipal Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 2,311 | |
Percentage of investments in unrealized loss position | 0.50% | |
Debt Securities | Non-Investment Grade | Foreign Government Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 2,398 | |
Percentage of investments in unrealized loss position | 2.30% | |
Debt Securities | Non-Investment Grade | Governmental Agency Mortgage-Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 0 | |
Percentage of investments in unrealized loss position | 0.00% | |
Debt Securities | Non-Investment Grade | Governmental Agency Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 0 | |
Percentage of investments in unrealized loss position | 0.00% | |
Debt Securities | Non-Investment Grade | U.S. Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 41,417 | |
Percentage of investments in unrealized loss position | 17.80% | |
Debt Securities | Non-Investment Grade | Foreign Corporate Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 6,471 | |
Percentage of investments in unrealized loss position | 7.40% | |
Equity securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 51,591 | $ 129,280 |
Equity securities | Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 11,427 | |
Percentage of investments in unrealized loss position | 100.00% | |
Equity securities | Investment Grade | A- or Higher | Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 0 | |
Percentage of investments in unrealized loss position | 0.00% | |
Equity securities | Investment Grade | BBB+ to BBB- | Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 7,208 | |
Percentage of investments in unrealized loss position | 63.10% | |
Equity securities | Non-Investment Grade | Preferred stocks | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated fair value, Unrealized loss position | $ 4,219 | |
Percentage of investments in unrealized loss position | 36.90% |
Property and Equipment (Schedul
Property and Equipment (Schedule of Property and Equipment) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property Plant And Equipment [Abstract] | ||
Land | $ 25,983 | $ 27,312 |
Buildings | 255,389 | 253,954 |
Furniture and equipment | 247,022 | 232,104 |
Capitalized software | 621,203 | 558,922 |
Property and equipment, Gross | 1,149,597 | 1,072,292 |
Accumulated depreciation and amortization | (710,028) | (638,242) |
Property and equipment, Total | $ 439,569 | $ 434,050 |
Goodwill (Carrying Amount of Go
Goodwill (Carrying Amount of Goodwill by Operating Segment) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Goodwill [Line Items] | ||
Beginning balance | $ 1,017,417 | $ 964,342 |
Acquisitions | 91,516 | 53,564 |
Foreign currency translation | 4,370 | (489) |
Other adjustments | (298) | |
Ending balance | 1,113,005 | 1,017,417 |
Title Insurance and Services | ||
Goodwill [Line Items] | ||
Beginning balance | 970,652 | 917,577 |
Acquisitions | 91,516 | 53,564 |
Foreign currency translation | 4,370 | (489) |
Other adjustments | (298) | |
Ending balance | 1,066,240 | 970,652 |
Specialty Insurance | ||
Goodwill [Line Items] | ||
Beginning balance | 46,765 | 46,765 |
Acquisitions | 0 | 0 |
Foreign currency translation | 0 | 0 |
Other adjustments | 0 | |
Ending balance | $ 46,765 | $ 46,765 |
Other Intangible Assets (Schedu
Other Intangible Assets (Schedule of Other Intangible Assets) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Intangible Assets Net Excluding Goodwill [Abstract] | ||
Customer relationships | $ 106,086 | $ 78,542 |
Noncompete agreements | 11,509 | 10,007 |
Trademarks | 9,229 | 6,472 |
Internal-use software licenses | 28,956 | 16,038 |
Patents | 2,840 | 2,840 |
Finite-lived intangible assets, gross | 158,620 | 113,899 |
Accumulated amortization | (75,591) | (51,885) |
Finite-lived intangible assets, net | 83,029 | 62,014 |
Licenses | 16,884 | 16,884 |
Other intangibles assets, net | $ 99,913 | $ 78,898 |
Other Intangible Assets (Narrat
Other Intangible Assets (Narrative) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Intangible Assets Net Excluding Goodwill [Abstract] | |||
Amortization expense | $ 28.1 | $ 15.4 | $ 9.3 |
Other Intangible Assets (Estima
Other Intangible Assets (Estimated Amortization Expense for Finite-Lived Intangible Assets) (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Intangible Assets Net Excluding Goodwill [Abstract] | |
2,018 | $ 21,810 |
2,019 | 15,203 |
2,020 | 10,577 |
2,021 | 7,369 |
2,022 | $ 6,719 |
Deposits (Escrow, Savings and I
Deposits (Escrow, Savings and Investment Certificate Accounts) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Banking And Thrift [Abstract] | |||
Interest bearing | $ 2,058,596 | $ 1,961,488 | |
Non-interest bearing | 879,252 | 673,944 | |
Escrow accounts | 2,937,848 | 2,635,432 | |
Business checking and other deposits | [1] | 132,718 | 144,046 |
Deposits, Total | $ 3,070,566 | $ 2,779,478 | |
Weighted average interest rate, Escrow accounts | 0.10% | 0.10% | |
[1] | Business checking and other deposits primarily reflect non-interest bearing accounts. |
Reserve for Known and Incurre69
Reserve for Known and Incurred but Not Reported Claims (Activity in Reserve for Known and Incurred but Not Reported Claims) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | |||
Balance at beginning of year | $ 1,025,863 | $ 983,880 | $ 1,011,780 |
Provision related to current year | 446,500 | 441,228 | 395,459 |
Provision related to prior years | 3,910 | 47,373 | 95,633 |
Total Provision | 450,410 | 488,601 | 491,092 |
Payments, net of recoveries, related to: Current year | 240,468 | 223,735 | 209,845 |
Payments, net of recoveries, related to: Prior years | 231,579 | 239,264 | 266,647 |
Total Payments, net of recoveries | 472,047 | 462,999 | 476,492 |
Other | 24,707 | 16,381 | (42,500) |
Balance at end of year | $ 1,028,933 | $ 1,025,863 | $ 983,880 |
Reserve for Known and Incurre70
Reserve for Known and Incurred but Not Reported Claims (Narrative) (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reserve For Known And Incurred But Not Reported Claims [Line Items] | |||
Payments, net of recoveries, related to: Current year | $ 240,468,000 | $ 223,735,000 | $ 209,845,000 |
Payments, net of recoveries, related to: Prior years | $ 231,579,000 | $ 239,264,000 | 266,647,000 |
Recoveries on reinsured losses related to large commercial title claim | $ 23,800,000 | ||
Provision for title loss, percentage of title premiums and escrow fees | 4.00% | 5.50% | 6.60% |
Ultimate loss rate | 4.00% | 4.50% | 4.20% |
Estimated increase in loss reserve for prior policy years | $ 0 | $ 42,600,000 | $ 93,100,000 |
IBNR reserve | 875,724,000 | 888,126,000 | |
Reasonable estimates of IBNR reserve range limit maximum | 35,200,000 | ||
Reasonable estimates of IBNR reserve range limit minimum | $ 159,400,000 | ||
Ultimate loss in excess | $ 2,500,000 | ||
Projected ultimate loss ratio percentage | 4.00% | 4.20% | 3.80% |
Minimum | |||
Reserve For Known And Incurred But Not Reported Claims [Line Items] | |||
IBNR reserve | $ 716,300,000 | ||
Maximum | |||
Reserve For Known And Incurred But Not Reported Claims [Line Items] | |||
IBNR reserve | 910,900,000 | ||
Specialty Insurance | |||
Reserve For Known And Incurred But Not Reported Claims [Line Items] | |||
Payments, net of recoveries, related to: Current year | 225,600,000 | $ 211,300,000 | $ 198,600,000 |
Payments, net of recoveries, related to: Prior years | $ 46,100,000 | $ 41,400,000 | $ 23,100,000 |
Reserve for Known and Incurre71
Reserve for Known and Incurred but Not Reported Claims (Summary of Loss Reserves) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Insurance [Abstract] | ||||
Known title claims, amount | $ 83,094 | $ 83,805 | ||
Incurred but not reported claims | 875,724 | 888,126 | ||
Total title claims, amount | 958,818 | 971,931 | ||
Non-title claims, amount | 70,115 | 53,932 | ||
Total loss reserves, amount | $ 1,028,933 | $ 1,025,863 | $ 983,880 | $ 1,011,780 |
Known title claims, percent | 8.10% | 8.10% | ||
Incurred but not reported claims, percent | 85.10% | 86.60% | ||
Total title claims, percent | 93.20% | 94.70% | ||
Non-title claims, percent | 6.80% | 5.30% | ||
Total loss reserves, percent | 100.00% | 100.00% |
Reserve for Known and Incurre72
Reserve for Known and Incurred but Not Reported Claims - Summary of Incurred and Paid Claims Development Net of Reinsurance (Detail) $ in Thousands | Dec. 31, 2017USD ($)Claim | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | [1] | Dec. 31, 2014USD ($) | [1] | Dec. 31, 2013USD ($) | [1] | Dec. 31, 2012USD ($) | [1] | Dec. 31, 2011USD ($) | [1] | Dec. 31, 2010USD ($) | [1] | Dec. 31, 2009USD ($) | [1] | Dec. 31, 2008USD ($) | [1] |
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | $ 1,868,667 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | 1,809,969 | |||||||||||||||||
All outstanding liabilities before 2008, net of reinsurance | 7 | |||||||||||||||||
Liabilities for claims and claims adjustment expenses, net of reinsurance | 58,705 | |||||||||||||||||
Accident Year 2008 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 160,354 | $ 160,421 | $ 160,423 | $ 160,455 | $ 160,605 | $ 160,803 | $ 161,332 | $ 160,868 | $ 161,035 | $ 163,829 | ||||||||
Total of IBNR liabilities plus expected development on reported | $ 0 | |||||||||||||||||
Cumulative number of reported | Claim | 605 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 160,354 | 160,421 | 160,421 | 160,427 | 160,398 | 160,436 | 160,074 | 158,695 | 155,585 | $ 131,251 | ||||||||
Accident Year 2009 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 139,186 | 139,216 | 139,191 | 139,090 | 138,936 | 139,266 | 139,663 | 139,580 | 141,154 | |||||||||
Total of IBNR liabilities plus expected development on reported | $ 0 | |||||||||||||||||
Cumulative number of reported | Claim | 605 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 139,186 | 139,186 | 139,181 | 138,963 | 138,710 | 138,293 | 137,689 | 134,606 | $ 113,550 | |||||||||
Accident Year 2010 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 140,308 | 140,353 | 140,641 | 140,128 | 139,639 | 139,991 | 139,966 | 140,621 | ||||||||||
Total of IBNR liabilities plus expected development on reported | $ 0 | |||||||||||||||||
Cumulative number of reported | Claim | 606 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 140,304 | 140,302 | 140,886 | 140,136 | 139,486 | 138,978 | 136,770 | $ 113,513 | ||||||||||
Accident Year 2011 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 149,488 | 149,552 | 149,763 | 149,486 | 149,768 | 149,076 | 148,395 | |||||||||||
Total of IBNR liabilities plus expected development on reported | $ 0 | |||||||||||||||||
Cumulative number of reported | Claim | 641 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 149,485 | 149,495 | 149,358 | 148,984 | 146,952 | 144,367 | $ 123,116 | |||||||||||
Accident Year 2012 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 160,911 | 160,517 | 160,579 | 159,918 | 158,981 | 157,287 | ||||||||||||
Total of IBNR liabilities plus expected development on reported | $ 13 | |||||||||||||||||
Cumulative number of reported | Claim | 692 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 160,268 | 159,740 | 159,181 | 157,364 | 153,753 | $ 130,623 | ||||||||||||
Accident Year 2013 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 184,668 | 184,826 | 185,244 | 184,419 | 182,858 | |||||||||||||
Total of IBNR liabilities plus expected development on reported | $ 67 | |||||||||||||||||
Cumulative number of reported | Claim | 762 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 184,473 | 183,957 | 182,565 | 180,277 | $ 151,377 | |||||||||||||
Accident Year 2014 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 191,025 | 191,120 | 190,738 | 190,985 | ||||||||||||||
Total of IBNR liabilities plus expected development on reported | $ 336 | |||||||||||||||||
Cumulative number of reported | Claim | 789 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 189,525 | 188,117 | 185,686 | $ 156,536 | ||||||||||||||
Accident Year 2015 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 225,977 | 225,754 | 221,617 | |||||||||||||||
Total of IBNR liabilities plus expected development on reported | $ 796 | |||||||||||||||||
Cumulative number of reported | Claim | 867 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 223,045 | 217,618 | $ 181,445 | |||||||||||||||
Accident Year 2016 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 249,358 | 245,859 | ||||||||||||||||
Total of IBNR liabilities plus expected development on reported | $ 2,473 | |||||||||||||||||
Cumulative number of reported | Claim | 971 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 243,111 | $ 205,857 | ||||||||||||||||
Accident Year 2017 [Member] | ||||||||||||||||||
Claims Development [Line Items] | ||||||||||||||||||
Incurred claims and allocated claims adjustment expenses, net of reinsurance | 267,392 | |||||||||||||||||
Total of IBNR liabilities plus expected development on reported | $ 10,236 | |||||||||||||||||
Cumulative number of reported | Claim | 1,013 | |||||||||||||||||
Cumulative paid claims and allocated claim adjustment expenses, net of reinsurance | $ 220,218 | |||||||||||||||||
[1] | Amounts unaudited. |
Reserve for Known and Incurre73
Reserve for Known and Incurred but Not Reported Claims - Reconciliation of the Net Incurred and Paid Claims Development Tables to the Liability for Claims and Claim Adjustment Expense (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Shortduration Insurance Contracts Liability For Unpaid Claims And Allocated Claim Adjustment Expense Net [Abstract] | ||||
Liability for unpaid claims and claim adjustment expenses, net of reinsurance | $ 58,705 | |||
Reinsurance recoverable on unpaid claims: Specialty insurance | 10,151 | |||
Unallocated claims adjustment expenses: Specialty insurance | 1,259 | |||
Title insurance | 958,818 | $ 971,931 | ||
Total loss reserves, amount | $ 1,028,933 | $ 1,025,863 | $ 983,880 | $ 1,011,780 |
Reserve for Known and Incurre74
Reserve for Known and Incurred but Not Reported Claims - Schedule of Supplementary Information about Average Historical Claims (Detail) | Dec. 31, 2017 |
Shortduration Insurance Contracts Liability For Unpaid Claims And Allocated Claim Adjustment Expense Net [Abstract] | |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 1 | 82.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 2 | 15.10% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 3 | 1.60% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 4 | 0.90% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 5 | 0.30% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 6 | 0.10% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 7 | 0.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 8 | 0.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 9 | 0.00% |
Average annual percentage payout of incurred claims by age, net of reinsurance, Year 10 | 0.00% |
Notes and Contracts Payable (Sc
Notes and Contracts Payable (Schedule of Notes and Contracts Payable) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | ||
Line of credit borrowings due May 14, 2019, weighted-average interest rate of 3.32% and 2.52% at December 31, 2017 and 2016, respectively | $ 160,000 | $ 160,000 |
Trust deed notes with maturities through 2023, collateralized by land and buildings with net book values of $46,478 and $47,846 at December 31, 2017 and 2016, respectively, weighted-average interest rate of 5.27% and 5.31%, at December 31, 2017 and 2016, respectively | 22,725 | 26,646 |
Other notes and contracts payable with maturities through 2032, weighted-average interest rate of 4.70% and 5.26% at December 31, 2017 and 2016, respectively | 3,707 | 4,269 |
Notes and contracts payable | 736,432 | 740,915 |
Unamortized discount – senior unsecured notes | (560) | (655) |
Debt issuance costs – senior unsecured notes | (3,062) | (3,567) |
Notes and contracts payable net of unamortized discount and debt issuance costs | 732,810 | 736,693 |
4.60% unsecured notes | ||
Debt Instrument [Line Items] | ||
Senior unsecured notes | 300,000 | 300,000 |
4.30% unsecured notes | ||
Debt Instrument [Line Items] | ||
Senior unsecured notes | $ 250,000 | $ 250,000 |
Notes and Contracts Payable (76
Notes and Contracts Payable (Schedule of Notes and Contracts Payable) (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | ||
Weighted-average interest rate | 4.24% | 4.10% |
Senior Notes | 4.60% unsecured notes | ||
Debt Instrument [Line Items] | ||
Senior unsecured notes maturity date | Nov. 15, 2024 | |
Effective interest rate | 4.60% | |
Senior Notes | 4.30% unsecured notes | ||
Debt Instrument [Line Items] | ||
Senior unsecured notes maturity date | Feb. 1, 2023 | |
Effective interest rate | 4.35% | |
Line of Credit | ||
Debt Instrument [Line Items] | ||
Line of credit borrowings maturity date | May 14, 2019 | |
Weighted-average interest rate | 3.32% | 2.52% |
Mortgages | ||
Debt Instrument [Line Items] | ||
Weighted-average interest rate | 5.27% | 5.31% |
Maturity year | 2,023 | |
Collateral value | $ 46,478 | $ 47,846 |
Other Notes and Contracts Payable | ||
Debt Instrument [Line Items] | ||
Weighted-average interest rate | 4.70% | 5.26% |
Other notes and contracts payable maturities in year | 2,032 |
Notes and Contracts Payable (Na
Notes and Contracts Payable (Narrative) (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Line of Credit Facility [Abstract] | ||
Outstanding borrowings under credit facility | $ 160,000,000 | $ 160,000,000 |
Credit facility interest rate | 3.32% | |
Line of credit facility, maximum increase in revolving credit | $ 150,000,000 | |
Revolving loans, interest rate description | At the Company’s election, borrowings under the credit agreement bear interest at (a) the Alternate Base Rate plus the applicable spread or (b) the Adjusted LIBOR rate plus the applicable spread (in each case as defined in the agreement). The Company may select interest periods of one, two, three or six months or (if agreed to by all lenders) such other number of months for Eurodollar borrowings of loans. The applicable spread varies depending upon the debt rating assigned by Moody’s Investor Service, Inc. and/or Standard & Poor’s Rating Services. The minimum applicable spread for Alternate Base Rate borrowings is 0.625% and the maximum is 1.00%. The minimum applicable spread for Adjusted LIBOR rate borrowings is 1.625% and the maximum is 2.00%. The rate of interest on Incremental Term Loans will be established at or about the time such loans are made and may differ from the rate of interest on revolving loans. | |
Weighted-average interest rate | 4.24% | 4.10% |
Base Rate | Minimum | ||
Line of Credit Facility [Abstract] | ||
Debt instrument, applicable spread | 0.625% | |
Base Rate | Maximum | ||
Line of Credit Facility [Abstract] | ||
Debt instrument, applicable spread | 1.00% | |
London Interbank Offered Rate (LIBOR) | Minimum | ||
Line of Credit Facility [Abstract] | ||
Debt instrument, applicable spread | 1.625% | |
London Interbank Offered Rate (LIBOR) | Maximum | ||
Line of Credit Facility [Abstract] | ||
Debt instrument, applicable spread | 2.00% | |
Unsecured Debt | JPMorgan Chase Bank, N.A | ||
Line of Credit Facility [Abstract] | ||
Credit facility, maximum borrowing capacity | $ 700,000,000 | |
Credit agreement termination date | May 14, 2019 |
Notes and Contracts Payable (Ag
Notes and Contracts Payable (Aggregate Annual Maturities of Notes and Contracts Payable) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Maturities of Long-term Debt [Abstract] | ||
2,018 | $ 4,612 | |
2,019 | 163,984 | |
2,020 | 3,595 | |
2,021 | 3,479 | |
2,022 | 3,590 | |
Thereafter | 553,550 | |
Notes and contracts payable net of unamortized discount and debt issuance costs | $ 732,810 | $ 736,693 |
Net Investment Income (Schedule
Net Investment Income (Schedule of Net Investment Income) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net Investment Income, Insurance Entity [Abstract] | |||
Total investment income | $ 165,528 | $ 128,575 | $ 102,350 |
Other investments | 22,221 | 7,818 | 7,560 |
Deferred compensation plan assets | 14,211 | 5,861 | (5,454) |
Equity in earnings of affiliates, net | 3,785 | 8,173 | 7,800 |
Other | 607 | 130 | 49 |
Investment expenses | (3,126) | (2,441) | (1,797) |
Net investment income | 162,402 | 126,134 | 100,553 |
Cash equivalents and deposits with banks | |||
Net Investment Income, Insurance Entity [Abstract] | |||
Total investment income | 7,321 | 3,989 | 3,822 |
Debt Securities | |||
Net Investment Income, Insurance Entity [Abstract] | |||
Total investment income | 104,458 | 89,920 | 76,822 |
Equity securities | |||
Net Investment Income, Insurance Entity [Abstract] | |||
Total investment income | $ 12,925 | $ 12,684 | $ 11,751 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Line Items] | |||||
Tax Cuts and Jobs Act of 2017, provisional income tax expense (benefit) | $ 114,100 | ||||
Federal income tax rate | 35.00% | 35.00% | 35.00% | ||
Tax Cuts and Jobs Act of 2017, change in tax rate, provisional income tax expense (benefit) | $ 130,900 | ||||
Income tax benefit on expense of qualified tangible property | $ 4,700 | ||||
Effective tax rate for toll charges on cash and other liquid assets of US owned foreign corporations | 15.50% | ||||
Effective tax rate for toll charges on all other property of US owned foreign corporation | 8.00% | ||||
Tax liability payment period for repatriation of foreign earnings | 8 years | ||||
Estimated toll charge liability accrued | $ 1,800 | ||||
Estimated deferred taxes provided for anticipated foreign withholding and US state taxes | 15,000 | ||||
Income (loss) from continuing operations before noncontrolling interests, Domestic | 391,400 | $ 416,500 | $ 383,500 | ||
Income (loss) from continuing operations before noncontrolling interests, Foreign | $ 53,900 | $ 61,100 | $ 49,300 | ||
Effective income tax rates | 5.30% | 28.10% | 33.30% | ||
Reduction in income tax expense | $ 3,400 | ||||
Percentage of income tax rate used to compute net deferred tax liability | 21.00% | 35.00% | |||
Tax benefits recorded | $ 0 | $ 3,415 | $ 9,526 | ||
Net payable related to spin-off tax liabilities | 15,000 | 16,300 | |||
Foreign tax credit carryover | 7,976 | 4,086 | |||
Operating loss carryforwards, amount | 101,600 | ||||
Operating loss carryforwards, indefinite expiration, amount | 29,900 | ||||
Operating loss carryforwards, remaining expiration, amount | 71,700 | ||||
Deferred tax asset valuation allowance | 10,333 | 8,049 | |||
Liability for income taxes associated with uncertain tax positions | 12,800 | 18,100 | 23,800 | $ 24,100 | |
Offsetting tax benefits related to uncertain tax positions | 3,700 | 5,700 | 3,400 | ||
Uncertain tax positions, net | 9,100 | 12,400 | 20,400 | ||
Accrued interest and penalties on uncertain tax positions | 5,300 | 4,100 | 9,700 | ||
Other tax benefits related to interest and penalties of uncertain tax positions | $ 1,400 | $ 1,800 | $ 4,100 | ||
Unrecognized tax positions increase decrease, months | It is reasonably possible that the amount of the unrecognized benefit with respect to certain of the Company’s unrecognized tax positions may significantly increase or decrease within the next 12 months. This change may be the result of ongoing audits or the expiration of federal and state statutes of limitations for the assessment of taxes. | ||||
Deferred Tax Assets Valuation Allowances On Net Operating Loss Carryforwards | |||||
Income Tax Disclosure [Line Items] | |||||
Deferred tax asset valuation allowance | $ 9,300 | ||||
Deferred Tax Assets Valuation Allowances On Other Foreign Deferred Tax Assets | |||||
Income Tax Disclosure [Line Items] | |||||
Deferred tax asset valuation allowance | 1,000 | ||||
Federal | |||||
Income Tax Disclosure [Line Items] | |||||
Operating loss carryforwards, amount | 100 | ||||
State | |||||
Income Tax Disclosure [Line Items] | |||||
Operating loss carryforwards, amount | 57,500 | ||||
Foreign | |||||
Income Tax Disclosure [Line Items] | |||||
Operating loss carryforwards, amount | 44,000 | ||||
Minimum | |||||
Income Tax Disclosure [Line Items] | |||||
Excess of deduction on executive compensation | $ 1,000 | ||||
Scenario Forecast | |||||
Income Tax Disclosure [Line Items] | |||||
Federal income tax rate | 21.00% |
Income Taxes - Summary of Tax E
Income Taxes - Summary of Tax Expenses (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Current Federal | $ 116,400 | $ 24,208 | $ 94,036 |
Current State | 9,382 | 1,943 | 3,636 |
Current Foreign | 11,533 | 10,806 | 10,589 |
Current Income Tax Expense (Benefit), Total | 137,315 | 36,957 | 108,261 |
Deferred Federal | (104,062) | 91,190 | 33,446 |
Deferred State | (10,724) | 3,753 | 3,413 |
Deferred Foreign | 939 | 2,205 | (1,225) |
Deferred Income Tax Expense (Benefit), Total | (113,847) | 97,148 | 35,634 |
Income tax | $ 23,468 | $ 134,105 | $ 143,895 |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Taxes calculated at federal rate | $ 155,866 | $ 167,153 | $ 151,468 |
State taxes, net of federal benefit | (872) | 3,703 | 4,581 |
Change in liability for tax positions | (3,482) | (10,512) | 1,094 |
Foreign income taxed at different rates | (6,163) | (7,983) | (7,111) |
Federal tax credits | 0 | (12,265) | (1,710) |
Tax reform impact | (129,139) | 0 | 0 |
Unremitted foreign earnings | 14,997 | 0 | 0 |
Other items, net | (7,739) | (5,991) | (4,427) |
Income tax | $ 23,468 | $ 134,105 | $ 143,895 |
Federal income tax rate | 35.00% | 35.00% | 35.00% |
State taxes, net of federal benefit | (0.20%) | 0.80% | 1.10% |
Change in liability for tax positions | (0.80%) | (2.20%) | 0.30% |
Foreign income taxed at different rates | (1.30%) | (1.70%) | (1.60%) |
Federal tax credits | (0.00%) | (2.60%) | (0.40%) |
Tax reform impact | (29.00%) | 0.00% | 0.00% |
Unremitted foreign earnings | 3.30% | 0.00% | 0.00% |
Other items, net | (1.70%) | (1.20%) | (1.10%) |
Total | 5.30% | 28.10% | 33.30% |
Income Taxes - Net Deferred Tax
Income Taxes - Net Deferred Tax Liability (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Components Of Deferred Tax Assets And Liabilities [Abstract] | ||
Deferred revenue | $ 7,766 | $ 11,966 |
Employee benefits | 86,519 | 83,100 |
Bad debt reserves | 7,191 | 12,704 |
Loss reserves | 1,372 | 1,974 |
Pension | 22,600 | 89,726 |
Net operating loss carryforward | 13,914 | 14,358 |
Securities | 0 | 10,664 |
Foreign tax credit | 7,976 | 4,086 |
Other | 5,673 | 7,557 |
Deferred tax assets before valuation allowance | 153,011 | 236,135 |
Valuation allowance | (10,333) | (8,049) |
Deferred tax assets | 142,678 | 228,086 |
Depreciable and amortizable assets | 204,863 | 320,884 |
Claims and related salvage | 104,323 | 121,812 |
Investments in affiliates | 3,343 | 7,511 |
Securities | 11,656 | 0 |
Unremitted foreign earnings | 14,997 | 0 |
Deferred tax liabilities | 339,182 | 450,207 |
Net deferred tax liability | $ 196,504 | $ 222,121 |
Income Taxes - Changes In Unrec
Income Taxes - Changes In Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Unrecognized tax benefits | |||
Unrecognized tax benefits—beginning balance | $ 18,100 | $ 23,800 | $ 24,100 |
Gross decreases—prior period tax positions | (1,000) | (7,100) | (800) |
Gross increases—current period tax positions | 0 | 1,400 | 500 |
Settlements with taxing authorities | (4,300) | 0 | 0 |
Unrecognized tax benefits—ending balance | $ 12,800 | $ 18,100 | $ 23,800 |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of Earnings Per Share) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||
Net income attributable to the Company | $ 221,127 | $ 21,383 | $ 122,257 | $ 58,282 | $ 81,023 | $ 107,320 | $ 102,149 | $ 52,501 | $ 423,049 | $ 342,993 | $ 288,086 | ||||||||
Less: dividends and undistributed earnings allocated to unvested RSUs | 0 | 321 | |||||||||||||||||
Net income allocated to common stockholders | $ 423,049 | $ 342,993 | $ 287,765 | ||||||||||||||||
Basic weighted-average shares | 111,668 | 110,548 | 108,427 | ||||||||||||||||
Effect of dilutive employee stock options and RSUs | 767 | 608 | 1,399 | ||||||||||||||||
Diluted weighted-average shares | 112,435 | 111,156 | 109,826 | ||||||||||||||||
Basic | $ 1.98 | [1] | $ 0.19 | [1] | $ 1.10 | [1] | $ 0.52 | [1] | $ 0.73 | [1] | $ 0.97 | [1] | $ 0.92 | [1] | $ 0.48 | [1] | $ 3.79 | $ 3.10 | $ 2.65 |
Diluted | $ 1.96 | [1] | $ 0.19 | [1] | $ 1.09 | [1] | $ 0.52 | [1] | $ 0.73 | [1] | $ 0.96 | [1] | $ 0.92 | [1] | $ 0.47 | [1] | $ 3.76 | $ 3.09 | $ 2.62 |
[1] | Net income per share attributable to the Company’s stockholders for the four quarters of each fiscal year may not sum to the total for the fiscal year because of the different number of shares outstanding during each period. |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Detail) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Stock Options and Restricted Stock Units | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from the weighted-average diluted common shares outstanding | 0 | ||
RSUs | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from the weighted-average diluted common shares outstanding | 2 | 0 | 6 |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Deferred compensation arrangements [Abstract] | |||
Deferred compensation plan, maximum deferral percentage | 100.00% | ||
Assets held-in-trust | $ 92,700 | $ 78,900 | |
Unfunded liabilities | $ 97,200 | 82,500 | |
Defined benefit pension plans and defined benefit postretirement plans disclosure [Abstract] | |||
Executive and management supplemental benefit plans compensation period | 5 years | ||
Contribution for pension obligation | $ 34,000 | 84,800 | |
Defined benefit plan, settlements benefit obligation | $ 152,388 | 66,337 | $ 0 |
Defined benefit plan, lump sum distributions to certain participants | $ 127,200 | ||
Savings Plan | |||
Defined contribution pension and other postretirement plans disclosure [Abstract] | |||
Common stock, outstanding | 2,428,000 | 2,695,000 | |
Percentage of plan shares in total shares outstanding | 2.20% | 2.50% | |
Unfunded Supplemental Benefit Plans | |||
Defined benefit pension plans and defined benefit postretirement plans disclosure [Abstract] | |||
Contribution for pension obligation | $ 13,521 | $ 13,860 | |
Cash contribution to plans during the next 12 months | $ 14,300 | ||
Unfunded Supplemental Benefit Plans | Maximum | |||
Defined benefit pension plans and defined benefit postretirement plans disclosure [Abstract] | |||
Maximum benefit rate of final average compensation under non qualified plan | 30.00% | ||
Unfunded Supplemental Benefit Plans | Minimum | |||
Defined benefit pension plans and defined benefit postretirement plans disclosure [Abstract] | |||
Maximum benefit rate of final average compensation under non qualified plan | 15.00% | ||
Defined Benefit Pension And Supplemental Benefit Plans | |||
Defined benefit pension plans and defined benefit postretirement plans disclosure [Abstract] | |||
Net actuarial loss expected to be amortized from accumulated comprehensive loss into net periodic loss in next fiscal year | $ 4,800 | ||
Prior service credit expected to be amortized from accumulated comprehensive loss into net periodic loss in next fiscal year | $ 4,200 |
Employee Benefit Plans (Princip
Employee Benefit Plans (Principal Components of Employee Benefit Costs) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Employee Benefit Plan Disclosure [Line Items] | |||
Employee benefit plan expenses | $ 227,188 | $ 145,720 | $ 77,122 |
Savings Plan | |||
Employee Benefit Plan Disclosure [Line Items] | |||
Savings plan | 34,520 | 33,109 | 37,326 |
Funded Defined Benefit Pension Plans | |||
Employee Benefit Plan Disclosure [Line Items] | |||
Employee benefit plan expenses | 162,368 | 88,908 | 18,611 |
Unfunded Supplemental Benefit Plans | |||
Employee Benefit Plan Disclosure [Line Items] | |||
Employee benefit plan expenses | 12,705 | 13,613 | 17,373 |
Other Plans, Net | |||
Employee Benefit Plan Disclosure [Line Items] | |||
Other plans, net | $ 17,595 | $ 10,090 | $ 3,812 |
Employee Benefit Plans (Company
Employee Benefit Plans (Company's Benefit Obligations, Assets and Funded Status) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Change in projected benefit obligation: | |||
Service costs | $ 734 | $ 1,042 | $ 1,560 |
Interest costs | 13,261 | 24,090 | 27,744 |
Change in plan assets: | |||
Contributions | 34,000 | 84,800 | |
Defined Benefit Pension Plans | |||
Change in projected benefit obligation: | |||
Benefit obligation at beginning of year | 315,108 | 416,416 | |
Service costs | 0 | 0 | |
Interest costs | 4,911 | 15,532 | |
Actuarial losses | 8,560 | 33,845 | |
Annuity purchase | (318,592) | 0 | |
Benefits paid | (9,987) | (150,685) | |
Projected benefit obligation at end of year | 0 | 315,108 | 416,416 |
Change in plan assets: | |||
Fair value of plan assets at beginning of year | 291,760 | 329,987 | |
Actual returns on plan assets | 2,859 | 4,244 | |
Contributions | 33,960 | 108,214 | |
Annuity purchase | (318,592) | 0 | |
Benefits paid | (9,987) | (150,685) | |
Fair value of plan assets at end of year | 0 | 291,760 | 329,987 |
Reconciliation of funded status, Unfunded status of the plans | 0 | (23,348) | |
Amounts recognized in the consolidated balance sheet, Accrued benefit liability | 0 | (23,348) | |
Unrecognized net actuarial loss | 0 | 157,659 | |
Unrecognized prior service credit | 0 | (4,109) | |
Amounts recognized in accumulated other comprehensive income | 0 | 153,550 | |
Accumulated benefit obligation at end of year | 0 | 315,108 | |
Unfunded Supplemental Benefit Plans | |||
Change in projected benefit obligation: | |||
Benefit obligation at beginning of year | 251,204 | 248,660 | |
Service costs | 734 | 1,042 | |
Interest costs | 8,350 | 8,558 | |
Actuarial losses | 11,761 | 6,804 | |
Annuity purchase | 0 | 0 | |
Benefits paid | (13,521) | (13,860) | |
Projected benefit obligation at end of year | 258,528 | 251,204 | 248,660 |
Change in plan assets: | |||
Fair value of plan assets at beginning of year | 0 | 0 | |
Actual returns on plan assets | 0 | 0 | |
Contributions | 13,521 | 13,860 | |
Annuity purchase | 0 | 0 | |
Benefits paid | (13,521) | (13,860) | |
Fair value of plan assets at end of year | 0 | 0 | $ 0 |
Reconciliation of funded status, Unfunded status of the plans | (258,528) | (251,204) | |
Amounts recognized in the consolidated balance sheet, Accrued benefit liability | (258,528) | (251,204) | |
Unrecognized net actuarial loss | 101,596 | 97,636 | |
Unrecognized prior service credit | (12,429) | (16,607) | |
Amounts recognized in accumulated other comprehensive income | 89,167 | 81,029 | |
Accumulated benefit obligation at end of year | $ 258,528 | $ 251,204 |
Employee Benefit Plans (Net Per
Employee Benefit Plans (Net Periodic Costs) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan Net Periodic Benefit Cost [Abstract] | |||
Service costs | $ 734 | $ 1,042 | $ 1,560 |
Interest costs | 13,261 | 24,090 | 27,744 |
Expected return on plan assets | (4,740) | (12,386) | (21,802) |
Amortization of net actuarial loss | 17,742 | 28,282 | 32,645 |
Amortization of prior service credit | (4,312) | (4,844) | (4,163) |
Settlement costs | 152,388 | 66,337 | 0 |
Net periodic costs | $ 175,073 | $ 102,521 | $ 35,984 |
Employee Benefit Plans (Weighte
Employee Benefit Plans (Weighted-Average Discount Rate Assumptions Used to Determine Net Periodic Benefit Costs) (Detail) - Unfunded Supplemental Benefit Plans | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | ||
Discount rate for projected benefit obligation | 4.03% | 4.33% |
Discount rate for service cost | 4.32% | 4.69% |
Discount rate for interest cost | 3.43% | 3.56% |
Employee Benefit Plans (Weigh92
Employee Benefit Plans (Weighted-Average Discount Rate Assumptions Used to Determine the Projected Benefit Obligations) (Detail) | Dec. 31, 2017 | Dec. 31, 2016 |
Unfunded Supplemental Benefit Plans | ||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | ||
Defined benefit pension plans, Discount rate | 3.61% | 4.03% |
Employee Benefit Plans (Benefit
Employee Benefit Plans (Benefit Payments, Expected Future Service) (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Defined Benefit Plan Estimated Future Benefit Payments [Abstract] | |
2,018 | $ 14,266 |
2,019 | 14,949 |
2,020 | 15,335 |
2,021 | 15,698 |
2,022 | 15,942 |
Five years thereafter | $ 81,522 |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value of Assets Measured on Recurring Basis) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | $ 5,219,200 | $ 4,957,448 |
Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 4,752,684 | 4,553,363 |
Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 466,516 | 404,085 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 466,516 | 404,085 |
Level 1 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Level 1 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 466,516 | 404,085 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 4,708,150 | 4,500,430 |
Level 2 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 4,708,150 | 4,500,430 |
Level 2 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 44,534 | 52,933 |
Level 3 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 44,534 | 52,933 |
Level 3 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
U.S. Treasury Bonds | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 173,998 | 151,391 |
U.S. Treasury Bonds | Level 1 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
U.S. Treasury Bonds | Level 2 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 173,998 | 151,391 |
U.S. Treasury Bonds | Level 3 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Municipal Bonds | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 1,035,937 | 984,333 |
Municipal Bonds | Level 1 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Municipal Bonds | Level 2 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 1,035,937 | 984,333 |
Municipal Bonds | Level 3 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Foreign Government Bonds | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 169,488 | 140,048 |
Foreign Government Bonds | Level 1 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Foreign Government Bonds | Level 2 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 169,488 | 140,048 |
Foreign Government Bonds | Level 3 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Governmental Agency Bonds | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 211,470 | 193,868 |
Governmental Agency Bonds | Level 1 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Governmental Agency Bonds | Level 2 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 211,470 | 193,868 |
Governmental Agency Bonds | Level 3 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Governmental Agency Mortgage-Backed Securities | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 2,158,957 | 2,163,673 |
Governmental Agency Mortgage-Backed Securities | Level 1 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Governmental Agency Mortgage-Backed Securities | Level 2 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 2,158,957 | 2,163,673 |
Governmental Agency Mortgage-Backed Securities | Level 3 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
U.S. Corporate Debt Securities | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 743,215 | 678,524 |
U.S. Corporate Debt Securities | Level 1 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
U.S. Corporate Debt Securities | Level 2 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 700,347 | 631,859 |
U.S. Corporate Debt Securities | Level 3 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 42,868 | 46,665 |
Foreign Corporate Debt Securities | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 259,619 | 241,526 |
Foreign Corporate Debt Securities | Level 1 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Foreign Corporate Debt Securities | Level 2 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 257,953 | 235,258 |
Foreign Corporate Debt Securities | Level 3 | Debt Securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 1,666 | 6,268 |
Preferred stocks | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 18,990 | 15,582 |
Preferred stocks | Level 1 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 18,990 | 15,582 |
Preferred stocks | Level 2 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Preferred stocks | Level 3 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Common Stock | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 447,526 | 388,503 |
Common Stock | Level 1 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 447,526 | 388,503 |
Common Stock | Level 2 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | 0 | 0 |
Common Stock | Level 3 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis [Abstract] | ||
Available for sale securities, estimated fair value | $ 0 | $ 0 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Detail) - USD ($) | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value Disclosures [Abstract] | ||
Fair value assets, Level 1 to Level 2 transfers amount | $ 0 | $ 0 |
Fair value assets, Level 2 to Level 1 transfers amount | $ 0 | $ 0 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary of Changes in Fair Value of Level 3 Assets Measured on Recurring Basis) (Detail) - Level 3 - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Fair value at beginning of period | $ 52,933 | $ 50,139 |
Transfers into Level 3 | 7,991 | 11,829 |
Transfers out of Level 3 | (15,584) | (18,797) |
Included in earnings | (154) | (155) |
Included in other comprehensive income (loss) | (352) | 1,687 |
Purchases | 28,246 | 30,900 |
Sales | (9,343) | (11,366) |
Settlements | (19,203) | (11,304) |
Fair value at end of period | 44,534 | 52,933 |
U.S. Corporate Debt Securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Fair value at beginning of period | 46,665 | 43,567 |
Transfers into Level 3 | 7,991 | 9,293 |
Transfers out of Level 3 | (14,472) | (17,503) |
Included in earnings | (172) | (120) |
Included in other comprehensive income (loss) | (300) | 1,565 |
Purchases | 26,399 | 27,370 |
Sales | (7,606) | (9,037) |
Settlements | (15,637) | (8,470) |
Fair value at end of period | 42,868 | 46,665 |
Foreign Corporate Debt Securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Fair value at beginning of period | 6,268 | 6,572 |
Transfers into Level 3 | 0 | 2,536 |
Transfers out of Level 3 | (1,112) | (1,294) |
Included in earnings | 18 | (35) |
Included in other comprehensive income (loss) | (52) | 122 |
Purchases | 1,847 | 3,530 |
Sales | (1,737) | (2,329) |
Settlements | (3,566) | (2,834) |
Fair value at end of period | $ 1,666 | $ 6,268 |
Fair Value Measurements (Carryi
Fair Value Measurements (Carrying Amounts and Estimated Fair Values of Financial Instruments Not Measured at Fair Value) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Carrying Amount | ||
Assets: | ||
Cash and cash equivalents | $ 1,387,226 | $ 1,006,138 |
Deposits with banks | 41,335 | 21,222 |
Notes receivable, net | 7,066 | 7,799 |
Liabilities: | ||
Deposits | 3,070,566 | 2,779,478 |
Notes and contracts payable | 732,810 | 736,693 |
Estimated Fair Value | ||
Assets: | ||
Cash and cash equivalents | 1,387,226 | 1,006,138 |
Deposits with banks | 41,259 | 21,176 |
Notes receivable, net | 6,798 | 7,542 |
Liabilities: | ||
Deposits | 3,070,566 | 2,779,478 |
Notes and contracts payable | 755,670 | 734,812 |
Estimated Fair Value | Level 1 | ||
Assets: | ||
Cash and cash equivalents | 1,387,226 | 1,006,138 |
Deposits with banks | 6,846 | 1,017 |
Notes receivable, net | 0 | 0 |
Liabilities: | ||
Deposits | 3,070,566 | 2,779,478 |
Notes and contracts payable | 0 | 0 |
Estimated Fair Value | Level 2 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Deposits with banks | 34,413 | 20,159 |
Notes receivable, net | 0 | 0 |
Liabilities: | ||
Deposits | 0 | 0 |
Notes and contracts payable | 751,827 | 729,658 |
Estimated Fair Value | Level 3 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Deposits with banks | 0 | 0 |
Notes receivable, net | 6,798 | 7,542 |
Liabilities: | ||
Deposits | 0 | 0 |
Notes and contracts payable | $ 3,843 | $ 5,154 |
Share-Based Compensation Plan98
Share-Based Compensation Plans (Narrative) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Unrecognized compensation cost related to unvested RSUs | $ 26.6 | ||
Total fair value of shares vested and not distributed | 33.7 | $ 25.9 | $ 20.3 |
Total intrinsic value of options exercised for years | 1 | $ 9.7 | |
Unrecognized compensation cost related to unvested stock options | $ 0 | ||
Stock options exercised | (66,000) | 0 | |
Incentive Compensation Plan | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Common stock that can be awarded under terms of incentive compensation plan, in shares | 3,300,000 | ||
Incentive Compensation Plan, termination period, in years | 10 years | ||
Employee stock purchase plan percentage of purchase price on closing price | 85.00% | ||
Shares issued Employee Stock Purchase Plan | 390,000 | 371,000 | |
Shares reserved for future issuances | 2,400,000 | ||
RSUs | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Unrecognized compensation cost related to unvested RSUs that is expected to be recognized over a weighted-average period, Years | 2 years 2 months 12 days |
Share-Based Compensation Plan99
Share-Based Compensation Plans (Expenses Associated with Share-Based Compensation Plans) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share-based compensation | $ 37,399 | $ 34,125 | $ 24,339 |
RSUs | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share-based compensation | 34,059 | 31,120 | 21,761 |
Stock options | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share-based compensation | 263 | 271 | 271 |
Employee stock purchase plan | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share-based compensation | $ 3,077 | $ 2,734 | $ 2,307 |
Share-Based Compensation Pla100
Share-Based Compensation Plans (Summary of RSU Activity) (Detail) - RSUs shares in Thousands | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
RSU, Shares | |
Unvested at December 31, 2016 | shares | 1,510 |
Granted during 2017 | shares | 930 |
Vested during 2017 | shares | (1,016) |
Forfeited during 2017 | shares | (13) |
Unvested at December 31, 2017 | shares | 1,411 |
RSU, Weighted-average grant-date fair value | |
Beginning Balance, Weighted-average grant-date fair value | $ / shares | $ 33.38 |
Granted, Weighted-average grant-date fair value | $ / shares | 39.56 |
Vested, Weighted-average grant-date fair value | $ / shares | 34.47 |
Forfeited, Weighted-average grant-date fair value | $ / shares | 35.47 |
Ending Balance, Weighted-average grant-date fair value | $ / shares | $ 36.66 |
Share-Based Compensation Pla101
Share-Based Compensation Plans (Summary of Stock Option Activity) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Stock option | ||
Balance at December 31, 2016 | 132 | |
Exercised during 2017 | (66) | 0 |
Balance at December 31, 2017 | 66 | 132 |
Vested and expected to vest at December 31, 2017 | 66 | |
Exercisable at December 31, 2017 | 66 | |
Stock option, weighted-average exercise price | ||
Beginning Balance, Weighted-average exercise price | $ 27.66 | |
Exercised, Weighted-average exercise price | 27.66 | |
Ending Balance, Weighted-average exercise price | 27.66 | $ 27.66 |
Vested and expected to vest at December 31, 2017, Weighted-average exercise price | 27.66 | |
Exercisable at December 31, 2017, Weighted-average exercise price | $ 27.66 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures | ||
Ending Balance, Weighted-average remaining contractual term, years | 6 years | |
Vested and expected to vest at December 31, 2017, Weighted-average remaining contractual term, years | 6 years | |
Exercisable at December 31, 2017, Weighted-average remaining contractual term, years | 6 years | |
Ending Balance, Aggregate intrinsic value | $ 1,883 | |
Vested and expected to vest at December 31, 2017, Aggregate intrinsic value | 1,883 | |
Exercisable at December 31, 2017, Aggregate intrinsic value | $ 1,883 |
Stockholders' Equity (Detail)
Stockholders' Equity (Detail) - USD ($) shares in Thousands | 12 Months Ended | 82 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2017 | Mar. 31, 2014 | Mar. 31, 2011 | |
Equity [Abstract] | ||||
Stock repurchase program, authorized amount | $ 250,000,000 | $ 150,000,000 | ||
Remaining authorized amount under stock repurchase program | $ 182,400,000 | |||
Common stock repurchased, shares | 14 | 3,200 | ||
Purchase of Company, value | $ 454,000 | $ 67,600,000 |
Accumulated Other Comprehens103
Accumulated Other Comprehensive Income (Loss) (AOCI) (Components of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Accumulated other comprehensive income (loss) including non-controlling interest, Beginning Balance | $ (230,393) | $ (239,000) | $ (199,089) |
Change in unrealized gains (losses) on securities | 86,834 | (15,702) | (42,205) |
Change in foreign currency translation adjustment | 24,744 | (6,334) | (36,822) |
Net actuarial (loss) gain | (20,407) | (48,803) | 10,743 |
Amortization of net actuarial loss | 17,742 | 28,282 | 32,645 |
Amortization of prior service credit | (4,312) | (4,844) | (4,163) |
Settlement costs | 152,388 | 66,337 | 0 |
Tax effect | (94,085) | (10,329) | (109) |
Accumulated other comprehensive income (loss) including non-controlling interest, Ending Balance | (67,489) | (230,393) | (239,000) |
Unrealized Gains (Losses) on Securities | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Accumulated other comprehensive income (loss) including non-controlling interest, Beginning Balance | (26,760) | (16,401) | 10,911 |
Change in unrealized gains (losses) on securities | 86,834 | (15,702) | (42,205) |
Tax effect | (23,271) | 5,343 | 14,893 |
Accumulated other comprehensive income (loss) including non-controlling interest, Ending Balance | 36,803 | (26,760) | (16,401) |
Foreign Currency Translation Adjustment | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Accumulated other comprehensive income (loss) including non-controlling interest, Beginning Balance | (63,576) | (57,242) | (20,420) |
Change in foreign currency translation adjustment | 24,744 | (6,334) | (36,822) |
Tax effect | 0 | 0 | 0 |
Accumulated other comprehensive income (loss) including non-controlling interest, Ending Balance | (38,832) | (63,576) | (57,242) |
Pension Benefit Adjustment | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||
Accumulated other comprehensive income (loss) including non-controlling interest, Beginning Balance | (140,057) | (165,357) | (189,580) |
Net actuarial (loss) gain | (20,407) | (48,803) | 10,743 |
Amortization of net actuarial loss | 17,742 | 28,282 | 32,645 |
Amortization of prior service credit | (4,312) | (4,844) | (4,163) |
Settlement costs | 152,388 | 66,337 | 0 |
Tax effect | (70,814) | (15,672) | (15,002) |
Accumulated other comprehensive income (loss) including non-controlling interest, Ending Balance | $ (65,460) | $ (140,057) | $ (165,357) |
Accumulated Other Comprehens104
Accumulated Other Comprehensive Income (Loss) (Accumulated Other Comprehensive Income (Loss) Allocated to Company and Noncontrolling Interests) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Accumulated other comprehensive income (loss), Allocated to the Company | $ (67,509) | $ (230,400) | $ (239,003) | |
Accumulated other comprehensive income (loss), Allocated to noncontrolling interests | 20 | 7 | 3 | |
Accumulated other comprehensive income (loss) including non-controlling interest | (67,489) | (230,393) | (239,000) | $ (199,089) |
Unrealized Gains (Losses) on Securities | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Accumulated other comprehensive income (loss), Allocated to the Company | 36,783 | (26,767) | (16,404) | |
Accumulated other comprehensive income (loss), Allocated to noncontrolling interests | 20 | 7 | 3 | |
Accumulated other comprehensive income (loss) including non-controlling interest | 36,803 | (26,760) | (16,401) | 10,911 |
Foreign Currency Translation Adjustment | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Accumulated other comprehensive income (loss), Allocated to the Company | (38,832) | (63,576) | (57,242) | |
Accumulated other comprehensive income (loss), Allocated to noncontrolling interests | 0 | 0 | 0 | |
Accumulated other comprehensive income (loss) including non-controlling interest | (38,832) | (63,576) | (57,242) | (20,420) |
Pension Benefit Adjustment | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Accumulated other comprehensive income (loss), Allocated to the Company | (65,460) | (140,057) | (165,357) | |
Accumulated other comprehensive income (loss), Allocated to noncontrolling interests | 0 | 0 | 0 | |
Accumulated other comprehensive income (loss) including non-controlling interest | $ (65,460) | $ (140,057) | $ (165,357) | $ (189,580) |
Accumulated Other Comprehens105
Accumulated Other Comprehensive Income (Loss) (Other Comprehensive Income (Loss) Reclassification Adjustments) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Pretax change before reclassifications | $ 105,890 | $ (52,520) | $ (72,680) |
Reclassifications out of AOCI | 151,099 | 71,456 | 32,878 |
Tax effect | (94,085) | (10,329) | (109) |
Total other comprehensive income (loss), net of tax | 162,904 | 8,607 | (39,911) |
Unrealized Gains (Losses) on Securities | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Pretax change before reclassifications | 101,553 | 2,617 | (46,601) |
Reclassifications out of AOCI | (14,719) | (18,319) | 4,396 |
Tax effect | (23,271) | 5,343 | 14,893 |
Total other comprehensive income (loss), net of tax | 63,563 | (10,359) | (27,312) |
Foreign Currency Translation Adjustment | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Pretax change before reclassifications | 24,744 | (6,334) | (36,822) |
Reclassifications out of AOCI | 0 | 0 | 0 |
Tax effect | 0 | 0 | 0 |
Total other comprehensive income (loss), net of tax | 24,744 | (6,334) | (36,822) |
Pension Benefit Adjustment | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Pretax change before reclassifications | (20,407) | (48,803) | 10,743 |
Reclassifications out of AOCI | 165,818 | 89,775 | 28,482 |
Tax effect | (70,814) | (15,672) | (15,002) |
Total other comprehensive income (loss), net of tax | $ 74,597 | $ 25,300 | $ 24,223 |
Accumulated Other Comprehens106
Accumulated Other Comprehensive Income (Loss) (Reclassifications Out of AOCI) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassifications out of AOCI | $ (151,099) | $ (71,456) | $ (32,878) | |
Amortization of net actuarial loss | (17,742) | (28,282) | (32,645) | |
Amortization of prior service credit | 4,312 | 4,844 | 4,163 | |
Settlement costs | (152,388) | (66,337) | 0 | |
Unrealized Gains (Losses) on Securities | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Net realized gains (losses) on sales of securities | 14,719 | 18,804 | (2,147) | |
Net other-than-temporary impairment losses | 0 | (485) | (2,249) | |
Reclassifications out of AOCI | 14,719 | 18,319 | (4,396) | |
Tax effect | (5,259) | (7,007) | 1,551 | |
Pension Benefit Adjustment | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassifications out of AOCI | (165,818) | (89,775) | (28,482) | |
Tax effect | 67,322 | 34,339 | 10,893 | |
Amortization of net actuarial loss | [1] | (17,742) | (28,282) | (32,645) |
Amortization of prior service credit | [1] | 4,312 | 4,844 | 4,163 |
Settlement costs | [1] | $ (152,388) | $ (66,337) | $ 0 |
[1] | These components of AOCI are included in the computation of net periodic cost. See Note 13 Employee Benefit Plans for additional details. |
Commitments and Contingencie107
Commitments and Contingencies (Future Minimum Rental Payments) (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2,018 | $ 83,684 |
2,019 | 73,524 |
2,020 | 61,776 |
2,021 | 47,348 |
2,022 | 33,292 |
Thereafter | 67,459 |
Future minimum rental payments | $ 367,083 |
Commitments and Contingencie108
Commitments and Contingencies (Narrative) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | |||
Total rental expense for all operating leases | $ 91 | $ 91.4 | $ 93.3 |
Business Combinations (Narrativ
Business Combinations (Narrative) (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Business Combinations [Abstract] | ||
Acquisition purchase price | $ 91.1 | $ 115.3 |
Segment Financial Informatio110
Segment Financial Information (Narrative) (Detail) | 12 Months Ended |
Dec. 31, 2017State | |
Segment Reporting Information [Line Items] | |
Number of states issues title insurance policies | 49 |
Number of states licensed to issues property and casualty insurance policies | 50 |
Number of states issues property and casualty policies | 47 |
Number of states issues home warranty contracts | 39 |
California | |
Segment Reporting Information [Line Items] | |
Policy liability percentage | 63.00% |
Segment Financial Informatio111
Segment Financial Information (Schedule of Selected Financial Information) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||||||||||
Revenues | $ 1,481,323 | $ 1,519,568 | $ 1,454,429 | $ 1,317,043 | $ 1,504,257 | $ 1,508,344 | $ 1,361,533 | $ 1,201,712 | $ 5,772,363 | $ 5,575,846 | $ 5,175,456 |
Depreciation and amortization | 128,053 | 99,047 | 85,596 | ||||||||
Equity in earnings of affiliates, net | 3,785 | 8,173 | 7,800 | ||||||||
Income (loss) before income taxes | 159,335 | $ 17,962 | $ 184,154 | $ 83,880 | 81,451 | $ 166,931 | $ 153,607 | $ 75,592 | 445,331 | 477,581 | 432,765 |
Assets | 9,573,222 | 8,831,777 | 9,573,222 | 8,831,777 | 8,236,715 | ||||||
Investments in equity method affiliates | 56,583 | 102,925 | 56,583 | 102,925 | 108,574 | ||||||
Capital expenditures | 136,664 | 132,346 | 127,566 | ||||||||
Operating Segments | Title Insurance and Services | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 5,293,156 | 5,134,125 | 4,788,110 | ||||||||
Depreciation and amortization | 121,540 | 93,069 | 80,359 | ||||||||
Equity in earnings of affiliates, net | 3,785 | 8,173 | 7,800 | ||||||||
Income (loss) before income taxes | 642,364 | 598,872 | 489,954 | ||||||||
Assets | 8,669,936 | 7,905,433 | 8,669,936 | 7,905,433 | 7,283,180 | ||||||
Investments in equity method affiliates | 56,583 | 102,925 | 56,583 | 102,925 | 108,574 | ||||||
Capital expenditures | 128,751 | 126,715 | 122,707 | ||||||||
Operating Segments | Specialty Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 465,020 | 435,844 | 393,757 | ||||||||
Depreciation and amortization | 6,351 | 5,593 | 4,775 | ||||||||
Equity in earnings of affiliates, net | 0 | 0 | 0 | ||||||||
Income (loss) before income taxes | 36,908 | 40,074 | 39,519 | ||||||||
Assets | 592,405 | 551,231 | 592,405 | 551,231 | 510,915 | ||||||
Investments in equity method affiliates | 0 | 0 | 0 | 0 | 0 | ||||||
Capital expenditures | 7,913 | 5,631 | 4,837 | ||||||||
Corporate | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 15,326 | 5,946 | (5,955) | ||||||||
Depreciation and amortization | 162 | 385 | 462 | ||||||||
Equity in earnings of affiliates, net | 0 | 0 | 0 | ||||||||
Income (loss) before income taxes | (233,941) | (161,365) | (96,708) | ||||||||
Assets | 429,128 | 453,410 | 429,128 | 453,410 | 444,943 | ||||||
Investments in equity method affiliates | 0 | 0 | 0 | 0 | 0 | ||||||
Capital expenditures | 0 | 0 | 22 | ||||||||
Eliminations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | (1,139) | (69) | (456) | ||||||||
Depreciation and amortization | 0 | 0 | 0 | ||||||||
Equity in earnings of affiliates, net | 0 | 0 | 0 | ||||||||
Income (loss) before income taxes | 0 | 0 | 0 | ||||||||
Assets | (118,247) | (78,297) | (118,247) | (78,297) | (2,323) | ||||||
Investments in equity method affiliates | $ 0 | $ 0 | 0 | 0 | 0 | ||||||
Capital expenditures | $ 0 | $ 0 | $ 0 |
Segment Financial Informatio112
Segment Financial Information (Schedule of Total Revenues From External Customers And Long-Lived Assets) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues from external customers | $ 1,481,323 | $ 1,519,568 | $ 1,454,429 | $ 1,317,043 | $ 1,504,257 | $ 1,508,344 | $ 1,361,533 | $ 1,201,712 | $ 5,772,363 | $ 5,575,846 | $ 5,175,456 |
Domestic | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues from external customers | 5,477,010 | 5,266,571 | 4,873,987 | ||||||||
Long-lived assets | 1,033,205 | 1,041,763 | 1,033,205 | 1,041,763 | 985,749 | ||||||
Foreign | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues from external customers | 281,090 | 303,352 | 307,453 | ||||||||
Long-lived assets | 59,960 | 40,161 | 59,960 | 40,161 | 35,375 | ||||||
Title Insurance and Services | Domestic | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues from external customers | 5,011,990 | 4,830,727 | 4,480,230 | ||||||||
Long-lived assets | 975,443 | 986,718 | 975,443 | 986,718 | 933,829 | ||||||
Title Insurance and Services | Foreign | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues from external customers | 281,090 | 303,352 | 307,453 | ||||||||
Long-lived assets | 59,960 | 40,161 | 59,960 | 40,161 | 35,375 | ||||||
Specialty Insurance | Domestic | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues from external customers | 465,020 | 435,844 | 393,757 | ||||||||
Long-lived assets | 57,762 | 55,045 | 57,762 | 55,045 | 51,920 | ||||||
Specialty Insurance | Foreign | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues from external customers | 0 | 0 | 0 | ||||||||
Long-lived assets | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Quarterly Financial Data (Detai
Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||
Revenues | $ 1,481,323 | $ 1,519,568 | $ 1,454,429 | $ 1,317,043 | $ 1,504,257 | $ 1,508,344 | $ 1,361,533 | $ 1,201,712 | $ 5,772,363 | $ 5,575,846 | $ 5,175,456 | ||||||||
Income before income taxes | 159,335 | 17,962 | 184,154 | 83,880 | 81,451 | 166,931 | 153,607 | 75,592 | 445,331 | 477,581 | 432,765 | ||||||||
Net income | 220,713 | 21,186 | 121,895 | 58,069 | 80,961 | 107,392 | 102,451 | 52,672 | 421,863 | 343,476 | 288,870 | ||||||||
Net income (loss) attributable to noncontrolling interests | (414) | (197) | (362) | (213) | (62) | 72 | 302 | 171 | (1,186) | 483 | 784 | ||||||||
Net income attributable to the Company | $ 221,127 | $ 21,383 | $ 122,257 | $ 58,282 | $ 81,023 | $ 107,320 | $ 102,149 | $ 52,501 | $ 423,049 | $ 342,993 | $ 288,086 | ||||||||
Basic | $ 1.98 | [1] | $ 0.19 | [1] | $ 1.10 | [1] | $ 0.52 | [1] | $ 0.73 | [1] | $ 0.97 | [1] | $ 0.92 | [1] | $ 0.48 | [1] | $ 3.79 | $ 3.10 | $ 2.65 |
Diluted | $ 1.96 | [1] | $ 0.19 | [1] | $ 1.09 | [1] | $ 0.52 | [1] | $ 0.73 | [1] | $ 0.96 | [1] | $ 0.92 | [1] | $ 0.47 | [1] | $ 3.76 | $ 3.09 | $ 2.62 |
[1] | Net income per share attributable to the Company’s stockholders for the four quarters of each fiscal year may not sum to the total for the fiscal year because of the different number of shares outstanding during each period. |
Schedule I - Summary Of Investm
Schedule I - Summary Of Investments-Other Than Investments In Related Parties (Detail) $ in Thousands | Dec. 31, 2017USD ($) | |
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | $ 5,323,137 | |
Market value | 5,377,959 | |
Amount at which shown in the balance sheet | 5,378,303 | |
Deposits with Banks | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 41,335 | |
Market value | 41,259 | |
Amount at which shown in the balance sheet | 41,335 | |
U.S. Treasury Bonds | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 173,049 | |
Market value | 173,998 | |
Amount at which shown in the balance sheet | 173,998 | |
Municipal Bonds | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 1,031,146 | |
Market value | 1,035,937 | |
Amount at which shown in the balance sheet | 1,035,937 | |
Foreign Government Bonds | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 170,220 | |
Market value | 169,488 | |
Amount at which shown in the balance sheet | 169,488 | |
Governmental Agency Bonds | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 212,731 | |
Market value | 211,470 | |
Amount at which shown in the balance sheet | 211,470 | |
Governmental Agency Mortgage-Backed Securities | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 2,172,377 | |
Market value | 2,158,957 | |
Amount at which shown in the balance sheet | 2,158,957 | |
U.S. Corporate Debt Securities | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 734,409 | |
Market value | 743,215 | |
Amount at which shown in the balance sheet | 743,215 | |
Foreign Corporate Debt Securities | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 256,430 | |
Market value | 259,619 | |
Amount at which shown in the balance sheet | 259,619 | |
Debt Securities | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 4,750,362 | |
Market value | 4,752,684 | |
Amount at which shown in the balance sheet | 4,752,684 | |
Equity Securities | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 413,672 | |
Market value | 466,516 | |
Amount at which shown in the balance sheet | 466,516 | |
Notes Receivable, Net | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 7,066 | |
Market value | 6,798 | |
Amount at which shown in the balance sheet | 7,066 | |
Other Investments | ||
Summary Of Investments Other Than Investments In Related Parties Reportable Data [Line Items] | ||
Cost | 110,702 | |
Market value | 110,702 | [1] |
Amount at which shown in the balance sheet | $ 110,702 | |
[1] | As other investments are not publicly traded, estimates of the fair values could not be made without incurring excessive costs. |
Schedule II - Condensed Balance
Schedule II - Condensed Balance Sheets Parent Company (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Assets | ||||
Cash and cash equivalents | $ 1,387,226 | $ 1,006,138 | $ 1,027,321 | $ 1,190,080 |
Income taxes receivable | 38,673 | 67,970 | ||
Deferred income taxes | 142,678 | 228,086 | ||
Other assets | 214,194 | 202,460 | ||
Total assets | 9,573,222 | 8,831,777 | 8,236,715 | |
Liabilities and Equity | ||||
Accounts payable and other accrued liabilities | 793,157 | 793,955 | ||
Income taxes payable | 4,602 | 10,376 | ||
Deferred income taxes | 339,182 | 450,207 | ||
Notes and contracts payable | 732,810 | 736,693 | ||
Total liabilities | 6,090,197 | 5,817,428 | ||
Commitments and contingencies | ||||
Stockholders’ equity: | ||||
Preferred stock, $0.00001 par value; Authorized—500 shares; Outstanding—none | ||||
Common stock, $0.00001 par value; Authorized—300,000 shares; Outstanding—110,925 shares and 109,944 shares | 1 | 1 | ||
Additional paid-in capital | 2,236,351 | 2,191,756 | ||
Retained earnings | 1,311,112 | 1,046,822 | ||
Accumulated other comprehensive loss | (67,509) | (230,400) | (239,003) | |
Total stockholders’ equity | 3,479,955 | 3,008,179 | ||
Noncontrolling interests | 3,070 | 6,170 | ||
Total equity | 3,483,025 | 3,014,349 | 2,753,123 | 2,567,502 |
Total liabilities and equity | 9,573,222 | 8,831,777 | ||
Parent Company | ||||
Assets | ||||
Cash and cash equivalents | 233,920 | 221,519 | $ 289,791 | $ 328,949 |
Dividends receivable | 54,347 | 0 | ||
Due from subsidiaries, net | 4,098 | 77,557 | ||
Income taxes receivable | 38,673 | 67,970 | ||
Investment in subsidiaries | 4,360,010 | 3,897,995 | ||
Deferred income taxes | 22,803 | 20,037 | ||
Other assets | 97,991 | 85,709 | ||
Total assets | 4,811,842 | 4,370,787 | ||
Liabilities and Equity | ||||
Accounts payable and other accrued liabilities | 38,724 | 39,069 | ||
Pension costs and other retirement plans | 359,806 | 359,057 | ||
Income taxes payable | 4,602 | 10,376 | ||
Deferred income taxes | 219,307 | 242,158 | ||
Notes and contracts payable | 706,378 | 705,778 | ||
Total liabilities | 1,328,817 | 1,356,438 | ||
Commitments and contingencies | 0 | 0 | ||
Stockholders’ equity: | ||||
Preferred stock, $0.00001 par value; Authorized—500 shares; Outstanding—none | 0 | 0 | ||
Common stock, $0.00001 par value; Authorized—300,000 shares; Outstanding—110,925 shares and 109,944 shares | 1 | 1 | ||
Additional paid-in capital | 2,236,351 | 2,191,756 | ||
Retained earnings | 1,311,112 | 1,046,822 | ||
Accumulated other comprehensive loss | (67,509) | (230,400) | ||
Total stockholders’ equity | 3,479,955 | 3,008,179 | ||
Noncontrolling interests | 3,070 | 6,170 | ||
Total equity | 3,483,025 | 3,014,349 | ||
Total liabilities and equity | $ 4,811,842 | $ 4,370,787 |
Schedule II - Condensed Bala116
Schedule II - Condensed Balance Sheets Parent Company (Parenthetical) (Detail) - $ / shares | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Condensed Balance Sheet Statements Captions [Line Items] | ||||
Preferred stock, par value | $ 0.00001 | $ 0.00001 | ||
Preferred stock, shares authorized | 500,000 | 500,000 | ||
Preferred stock, outstanding | 0 | 0 | ||
Common stock, par value | $ 0.00001 | $ 0.00001 | ||
Common stock, shares authorized | 300,000,000 | 300,000,000 | ||
Common stock, shares outstanding | 110,925,000 | 109,944,000 | 109,098,000 | 107,541,000 |
Parent Company | ||||
Condensed Balance Sheet Statements Captions [Line Items] | ||||
Preferred stock, par value | $ 0.00001 | $ 0.00001 | ||
Preferred stock, shares authorized | 500,000 | 500,000 | ||
Preferred stock, outstanding | 0 | 0 | ||
Common stock, par value | $ 0.00001 | $ 0.00001 | ||
Common stock, shares authorized | 300,000,000 | 300,000,000 | ||
Common stock, shares outstanding | 110,925,000 | 109,944,000 |
Schedule II - Condensed Stateme
Schedule II - Condensed Statements Of Income Parent Company (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues: | |||||||||||
Total revenues | $ 1,481,323 | $ 1,519,568 | $ 1,454,429 | $ 1,317,043 | $ 1,504,257 | $ 1,508,344 | $ 1,361,533 | $ 1,201,712 | $ 5,772,363 | $ 5,575,846 | $ 5,175,456 |
Expenses: | |||||||||||
Income taxes | 23,468 | 134,105 | 143,895 | ||||||||
Net income | 220,713 | 21,186 | 121,895 | 58,069 | 80,961 | 107,392 | 102,451 | 52,672 | 421,863 | 343,476 | 288,870 |
Net income (loss) attributable to noncontrolling interests | (414) | (197) | (362) | (213) | (62) | 72 | 302 | 171 | (1,186) | 483 | 784 |
Net income attributable to the Company | $ 221,127 | $ 21,383 | $ 122,257 | $ 58,282 | $ 81,023 | $ 107,320 | $ 102,149 | $ 52,501 | 423,049 | 342,993 | 288,086 |
Parent Company | |||||||||||
Revenues: | |||||||||||
Dividends from subsidiaries | 354,350 | 46,422 | 142,522 | ||||||||
Other income (losses) | 15,011 | 5,809 | (6,001) | ||||||||
Total revenues | 369,361 | 52,231 | 136,521 | ||||||||
Expenses: | |||||||||||
Other expenses | 54,245 | 44,592 | 36,233 | ||||||||
Income before income taxes and equity in undistributed earnings of subsidiaries | 315,116 | 7,639 | 100,288 | ||||||||
Income taxes | 16,606 | 2,145 | 33,346 | ||||||||
Equity in undistributed earnings of subsidiaries | 123,353 | 337,982 | 221,928 | ||||||||
Net income | 421,863 | 343,476 | 288,870 | ||||||||
Net income (loss) attributable to noncontrolling interests | (1,186) | 483 | 784 | ||||||||
Net income attributable to the Company | $ 423,049 | $ 342,993 | $ 288,086 |
Schedule II - Condensed Stat118
Schedule II - Condensed Statements Of Comprehensive Income Parent Company (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Condensed Statement Of Income Captions [Line Items] | |||||||||||
Net income | $ 220,713 | $ 21,186 | $ 121,895 | $ 58,069 | $ 80,961 | $ 107,392 | $ 102,451 | $ 52,672 | $ 421,863 | $ 343,476 | $ 288,870 |
Other comprehensive income (loss), net of tax: | |||||||||||
Unrealized gains (losses) on securities | 63,563 | (10,359) | (27,312) | ||||||||
Foreign currency translation adjustment | 24,744 | (6,334) | (36,822) | ||||||||
Pension benefit adjustment | 74,597 | 25,300 | 24,223 | ||||||||
Total other comprehensive income (loss), net of tax | 162,904 | 8,607 | (39,911) | ||||||||
Comprehensive income | 584,767 | 352,083 | 248,959 | ||||||||
Less: Comprehensive (loss) income attributable to noncontrolling interests | (1,173) | 487 | 770 | ||||||||
Comprehensive income attributable to the Company | 585,940 | 351,596 | 248,189 | ||||||||
Parent Company | |||||||||||
Condensed Statement Of Income Captions [Line Items] | |||||||||||
Net income | 421,863 | 343,476 | 288,870 | ||||||||
Other comprehensive income (loss), net of tax: | |||||||||||
Unrealized gains (losses) on securities | 63,563 | (10,359) | (27,312) | ||||||||
Foreign currency translation adjustment | 24,744 | (6,334) | (36,822) | ||||||||
Pension benefit adjustment | 74,597 | 25,300 | 24,223 | ||||||||
Total other comprehensive income (loss), net of tax | 162,904 | 8,607 | (39,911) | ||||||||
Comprehensive income | 584,767 | 352,083 | 248,959 | ||||||||
Less: Comprehensive (loss) income attributable to noncontrolling interests | (1,173) | 487 | 770 | ||||||||
Comprehensive income attributable to the Company | $ 585,940 | $ 351,596 | $ 248,189 |
Schedule II - Condensed Stat119
Schedule II - Condensed Statements Of Cash Flows Parent Company (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from investing activities: | |||
Net cash effect of acquisitions/dispositions | $ (82,993) | $ (106,719) | $ (26,682) |
Net change in other investments | 3,763 | 2,244 | 1,077 |
Capital expenditures | (134,206) | (132,265) | (123,697) |
Cash flows from financing activities: | |||
Net proceeds from issuance of debt | 0 | 160,000 | 0 |
Excess tax benefits from share-based compensation | 0 | 3,415 | 9,526 |
Net proceeds in connection with share-based compensation plans | 2,732 | 1,104 | 5,042 |
Purchase of Company shares | 0 | (454) | 0 |
Cash dividends | (159,284) | (131,541) | (108,524) |
Net increase (decrease) in cash and cash equivalents | 381,088 | (21,183) | (162,759) |
Cash and cash equivalents—Beginning of year | 1,006,138 | 1,027,321 | 1,190,080 |
Cash and cash equivalents—End of year | 1,387,226 | 1,006,138 | 1,027,321 |
Parent Company | |||
Cash flows from operating activities: | |||
Cash provided by (used for) operating activities | 232,347 | (26,682) | 133,022 |
Cash flows from investing activities: | |||
Net cash effect of acquisitions/dispositions | (21,750) | 0 | (19,069) |
Contributions to subsidiaries | (66,726) | (106,818) | 0 |
Net change in other investments | 82 | 204 | 867 |
Return of capital from subsidiaries | 25,000 | 32,500 | 0 |
Capital expenditures | 0 | 0 | (22) |
Cash used for investing activities | (63,394) | (74,114) | (18,224) |
Cash flows from financing activities: | |||
Net proceeds from issuance of debt | 0 | 160,000 | 0 |
Repayment of debt to subsidiaries | 0 | 0 | (60,000) |
Excess tax benefits from share-based compensation | 0 | 3,415 | 9,526 |
Net proceeds in connection with share-based compensation plans | 2,732 | 1,104 | 5,042 |
Purchase of Company shares | 0 | (454) | 0 |
Cash dividends | (159,284) | (131,541) | (108,524) |
Cash (used for) provided by financing activities | (156,552) | 32,524 | (153,956) |
Net increase (decrease) in cash and cash equivalents | 12,401 | (68,272) | (39,158) |
Cash and cash equivalents—Beginning of year | 221,519 | 289,791 | 328,949 |
Cash and cash equivalents—End of year | $ 233,920 | $ 221,519 | $ 289,791 |
Schedule II - Notes to Condense
Schedule II - Notes to Condensed Financial Statements Parent Company (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Parent Company | |||
Condensed Financial Statements Captions [Line Items] | |||
Cash dividends received from subsidiaries | $ 87.4 | $ 46.4 | $ 142.5 |
Schedule III - Balance Sheet Ca
Schedule III - Balance Sheet Captions (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Supplementary Insurance Information By Segment [Line Items] | ||
Deferred policy acquisition costs | $ 31,552 | $ 30,551 |
Claims reserves | 1,028,933 | 1,025,863 |
Deferred revenues | 240,822 | 228,905 |
Title Insurance and Services | ||
Supplementary Insurance Information By Segment [Line Items] | ||
Deferred policy acquisition costs | 300 | 330 |
Claims reserves | 958,818 | 971,931 |
Deferred revenues | 11,124 | 9,698 |
Specialty Insurance | ||
Supplementary Insurance Information By Segment [Line Items] | ||
Deferred policy acquisition costs | 31,252 | 30,221 |
Claims reserves | 70,115 | 53,932 |
Deferred revenues | $ 229,698 | $ 219,207 |
Schedule III - Income Statement
Schedule III - Income Statement Captions (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Supplementary Insurance Information By Segment [Line Items] | ||||
Premiums and escrow fees | $ 4,822,513 | $ 4,702,669 | $ 4,408,312 | |
Net investment income | [1] | 173,636 | 149,187 | 94,006 |
Loss provision | 450,410 | 488,601 | 491,092 | |
Amortization of deferred policy acquisition costs (credits) | (908) | (4,179) | 1,069 | |
Other operating expenses | 880,874 | 853,841 | 820,969 | |
Premiums written | 450,098 | 426,815 | 395,978 | |
Operating Segments | Title Insurance and Services | ||||
Supplementary Insurance Information By Segment [Line Items] | ||||
Premiums and escrow fees | 4,383,043 | 4,291,316 | 4,028,048 | |
Net investment income | [1] | 144,095 | 129,672 | 90,078 |
Loss provision | 175,322 | 235,661 | 263,881 | |
Amortization of deferred policy acquisition costs (credits) | 122 | 0 | 1,796 | |
Other operating expenses | 788,020 | 764,388 | 745,278 | |
Premiums written | 0 | 0 | 0 | |
Operating Segments | Specialty Insurance | ||||
Supplementary Insurance Information By Segment [Line Items] | ||||
Premiums and escrow fees | 439,470 | 411,353 | 380,264 | |
Net investment income | [1] | 14,291 | 13,614 | 10,313 |
Loss provision | 275,088 | 252,940 | 227,211 | |
Amortization of deferred policy acquisition costs (credits) | (1,030) | (4,179) | (727) | |
Other operating expenses | 67,813 | 62,610 | 49,741 | |
Premiums written | 450,098 | 426,815 | 395,978 | |
Corporate | ||||
Supplementary Insurance Information By Segment [Line Items] | ||||
Premiums and escrow fees | 0 | 0 | 0 | |
Net investment income | [1] | 15,326 | 5,946 | (5,955) |
Loss provision | 0 | 0 | 0 | |
Amortization of deferred policy acquisition costs (credits) | 0 | 0 | 0 | |
Other operating expenses | 26,104 | 26,867 | 25,976 | |
Premiums written | 0 | 0 | 0 | |
Eliminations | ||||
Supplementary Insurance Information By Segment [Line Items] | ||||
Premiums and escrow fees | 0 | 0 | 0 | |
Net investment income | [1] | (76) | (45) | (430) |
Loss provision | 0 | 0 | 0 | |
Amortization of deferred policy acquisition costs (credits) | 0 | 0 | 0 | |
Other operating expenses | (1,063) | (24) | (26) | |
Premiums written | $ 0 | $ 0 | $ 0 | |
[1] | Net investment income includes net investment income and net realized investment gains (losses). |
Schedule IV - Reinsurance (Deta
Schedule IV - Reinsurance (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Title Insurance and Services | |||
Reinsurance Premiums For Insurance Companies By Product Segment [Line Items] | |||
Premiums and escrow fees before reinsurance | $ 4,396,882 | $ 4,304,868 | $ 4,050,033 |
Ceded to other companies | 15,014 | 16,277 | 23,776 |
Assumed from other companies | 1,175 | 2,725 | 1,791 |
Premiums and escrow fees | $ 4,383,043 | $ 4,291,316 | $ 4,028,048 |
Percentage of amount assumed to premiums and escrow fees | 0.00% | 0.10% | 0.00% |
Specialty Insurance | |||
Reinsurance Premiums For Insurance Companies By Product Segment [Line Items] | |||
Premiums and escrow fees before reinsurance | $ 448,296 | $ 419,629 | $ 388,973 |
Ceded to other companies | 8,826 | 8,276 | 8,709 |
Assumed from other companies | 0 | 0 | 0 |
Premiums and escrow fees | $ 439,470 | $ 411,353 | $ 380,264 |
Percentage of amount assumed to premiums and escrow fees | 0.00% | 0.00% | 0.00% |
Schedule V - Valuation And Qual
Schedule V - Valuation And Qualifying Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Reserve Deducted From Accounts Receivable | ||||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||||
Balance at beginning of period | $ 30,185 | $ 31,552 | $ 34,662 | |
Additions Charged to costs and expenses | 5,975 | 5,208 | 10,620 | |
Additions Charged to other accounts | 0 | 0 | 0 | |
Deductions from reserve | [1] | 13,094 | 6,575 | 13,730 |
Balance at end of period | 23,066 | 30,185 | 31,552 | |
Reserve For Known And Incurred But Not Reported Claims | ||||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||||
Balance at beginning of period | 1,025,863 | 983,880 | 1,011,780 | |
Additions Charged to costs and expenses | 450,410 | 488,601 | 491,092 | |
Additions Charged to other accounts | 24,707 | 16,381 | (42,500) | |
Deductions from reserve | [2] | 472,047 | 462,999 | 476,492 |
Balance at end of period | 1,028,933 | 1,025,863 | 983,880 | |
Reserve Deducted From Notes Receivable | ||||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||||
Balance at beginning of period | 2,113 | 2,275 | 2,441 | |
Additions Charged to costs and expenses | 38 | 162 | 167 | |
Additions Charged to other accounts | 0 | 0 | 0 | |
Deductions from reserve | 1,641 | 324 | 333 | |
Balance at end of period | 510 | 2,113 | 2,275 | |
Reserve Deducted From Deferred Income Taxes | ||||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||||
Balance at beginning of period | 8,049 | 6,729 | 15,706 | |
Additions Charged to costs and expenses | 2,284 | 1,516 | 108 | |
Additions Charged to other accounts | 0 | 0 | 0 | |
Deductions from reserve | 0 | 196 | 9,085 | |
Balance at end of period | $ 10,333 | $ 8,049 | $ 6,729 | |
[1] | Amount represents accounts written off, net of recoveries. | |||
[2] | Amount represents claim payments, net of recoveries. |