Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Oct. 31, 2013 | |
Document Information [Line Items] | ' | ' |
Entity Registrant Name | 'Fortegra Financial Corp | ' |
Entity Central Index Key | '0001495925 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 20,888,639 |
Entity well known seasoned issuer | 'No | ' |
Entity voluntary filer | 'No | ' |
Entity current reporting status | 'Yes | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investments | ' | ' |
Fixed maturity securities available-for-sale, at fair value (amortized cost of $123,905 at September 30, 2013 and $107,095 at December 31, 2012) | $122,760 | $110,641 |
Equity securities available-for-sale, at fair value (cost of $7,082 at September 30, 2013 and $6,082 at December 31, 2012) | 6,372 | 6,220 |
Short-term investments | 971 | 1,222 |
Total investments | 130,103 | 118,083 |
Cash and cash equivalents | 17,213 | 15,209 |
Restricted cash | 28,792 | 31,142 |
Accrued investment income | 1,006 | 1,235 |
Notes receivable, net | 5,818 | 11,290 |
Accounts and premiums receivable, net | 32,785 | 27,302 |
Other receivables | 36,109 | 13,393 |
Reinsurance receivables | 211,835 | 203,988 |
Deferred acquisition costs | 67,529 | 59,320 |
Property and equipment, net | 16,805 | 17,900 |
Goodwill | 127,679 | 127,679 |
Other intangible assets, net | 65,139 | 70,310 |
Income taxes receivable | 0 | 2,919 |
Other assets | 9,062 | 7,667 |
Total assets | 749,875 | 707,437 |
Liabilities: | ' | ' |
Unpaid claims | 33,471 | 33,007 |
Unearned premiums | 249,671 | 235,900 |
Policyholder account balances | 24,403 | 26,023 |
Accrued expenses, accounts payable and other liabilities | 76,298 | 58,660 |
Income taxes payable | 237 | 0 |
Deferred revenue | 69,188 | 55,043 |
Note payable | 82,750 | 89,438 |
Preferred trust securities | 35,000 | 35,000 |
Deferred income taxes, net | 25,844 | 28,651 |
Total liabilities | 596,862 | 561,722 |
Commitments and Contingencies (Note 19) | ' | ' |
Stockholders' Equity: | ' | ' |
Preferred stock, par value $0.01; 10,000,000 shares authorized; none issued | 0 | 0 |
Common stock, par value $0.01; 150,000,000 shares authorized; 20,888,520 and 20,710,370 shares issued at September 30, 2013 and December 31, 2012, respectively, including shares in treasury | 209 | 207 |
Treasury stock, at cost; 1,224,182 and 1,024,212 shares at September 30, 2013 and December 31, 2012, respectively | -8,014 | -6,651 |
Additional paid-in capital | 98,893 | 97,641 |
Accumulated other comprehensive loss, net of tax | -3,471 | -631 |
Retained earnings | 59,974 | 49,817 |
Stockholders' equity before non-controlling interests | 147,591 | 140,383 |
Non-controlling interests | 5,422 | 5,332 |
Total stockholders' equity | 153,013 | 145,715 |
Total liabilities and stockholders' equity | $749,875 | $707,437 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parentheticals) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Investments | ' | ' |
Fixed maturity securities available-for-sale amortized cost basis | $123,905 | $107,095 |
Equity securities available-for-sale amortized cost basis | $7,082 | $6,082 |
Stockholders' Equity: | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common Stock, Shares, Issued | 20,888,520 | 20,710,370 |
Common Stock, Shares, Outstanding | 20,888,520 | 20,710,370 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Treasury stock, shares | 1,224,182 | 1,024,212 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Revenues | ' | ' | ' | ' |
Service and administrative fees | $49,238 | $22,898 | $135,022 | $67,195 |
Brokerage commissions and fees | 8,787 | 8,411 | 28,409 | 27,295 |
Ceding commission | 8,731 | 11,122 | 22,851 | 25,396 |
Net investment income | 772 | 744 | 2,433 | 2,219 |
Net realized investment gains (losses) | 756 | -16 | 2,043 | -6 |
Net earned premium | 34,106 | 33,893 | 100,929 | 97,770 |
Other income (1) | 179 | 52 | 529 | 172 |
Gain on sale of subsidiary | 0 | 0 | 402 | 0 |
Total segment revenue | 102,569 | 77,104 | 292,618 | 220,041 |
Expenses: | ' | ' | ' | ' |
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 |
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 |
Commissions | 43,175 | 33,377 | 120,148 | 96,647 |
Personnel costs | 14,649 | 12,708 | 45,089 | 36,467 |
Other operating expenses | 10,850 | 7,959 | 30,438 | 21,635 |
Depreciation and amortization | 1,378 | 871 | 4,063 | 2,584 |
Amortization of intangibles | 1,870 | 1,127 | 5,598 | 3,775 |
Interest expense | 1,501 | 2,025 | 4,489 | 5,267 |
Total expenses | 97,214 | 70,654 | 275,545 | 202,205 |
Income before income taxes and non-controlling interests | 5,355 | 6,450 | 17,073 | 17,836 |
Income taxes | 2,268 | 2,397 | 6,048 | 6,392 |
Income before non-controlling interest | 3,087 | 4,053 | 11,025 | 11,444 |
Less: net (loss) income attributable to non-controlling interests | -135 | 29 | 868 | 62 |
Net Income | $3,222 | $4,024 | $10,157 | $11,382 |
Earnings per share: | ' | ' | ' | ' |
Basic | $0.17 | $0.21 | $0.52 | $0.59 |
Diluted | $0.16 | $0.20 | $0.49 | $0.56 |
Weighted average common shares outstanding: | ' | ' | ' | ' |
Basic | 19,405,597 | 19,531,694 | 19,500,430 | 19,705,105 |
Diluted | 20,404,508 | 20,463,238 | 20,531,122 | 20,620,084 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Net Income | $3,222 | $4,024 | $10,157 | $11,382 |
Other comprehensive Income (Loss), net of tax: | ' | ' | ' | ' |
Unrealized holding (losses) gains arising during the period | -221 | 1,432 | -3,496 | 2,666 |
Related tax benefit (expense) | 77 | -501 | 1,223 | -933 |
Reclassification of (gains) losses included in net income | -756 | 16 | -2,043 | 6 |
Related tax expense (benefit) | 265 | -6 | 716 | -2 |
Unrealized (losses) gains on available-for-sale securities, net of tax | -635 | 941 | -3,600 | 1,737 |
Interest Rate Swap | ' | ' | ' | ' |
Unrealized (loss) gain on interest rate swap | -263 | -470 | 301 | -1,311 |
Related tax benefit (expense) | 92 | 163 | -105 | 458 |
Reclassification of loss included in net income | 286 | 273 | 845 | 313 |
Related tax (benefit) | -100 | -94 | -296 | -109 |
Unrealized gain (loss) on interest rate swap, net of tax | 15 | -128 | 745 | -649 |
Other comprehensive (loss) income before non-controlling interests, net of tax | -620 | 813 | -2,855 | 1,088 |
Less: comprehensive (loss) income attributable to non-controlling interests | -4 | 6 | -15 | 7 |
Other comprehensive (loss) income | -616 | 807 | -2,840 | 1,081 |
Comprehensive income | $2,606 | $4,831 | $7,317 | $12,463 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Noncontrolling Interests [Member] | Purchase Price Allocation Adjustments [Member] | Purchase Price Allocation Adjustments [Member] |
In Thousands, except Share data, unless otherwise specified | Noncontrolling Interests [Member] | ||||||||
Balance, at Dec. 31, 2011 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase accounting adjustments as required under ASC 805 for the ProtectCELL acquisition | ' | ' | ' | ' | ' | ' | ' | ($5,255) | ($5,255) |
Balance, at Dec. 31, 2012 (Scenario, Previously Reported [Member]) | 150,970 | 207 | -6,651 | 97,641 | -631 | 49,817 | 10,587 | ' | ' |
Treasury Stock, Shares at Dec. 31, 2012 (Scenario, Previously Reported [Member]) | ' | ' | -1,024,212 | ' | ' | ' | ' | ' | ' |
Balance, Shares at Dec. 31, 2012 (Scenario, Previously Reported [Member]) | ' | 20,710,370 | ' | ' | ' | ' | ' | ' | ' |
Balance, at Dec. 31, 2012 | 145,715 | 207 | -6,651 | 97,641 | -631 | 49,817 | 5,332 | ' | ' |
Balance, Shares at Dec. 31, 2012 | 20,710,370 | 20,710,370 | ' | ' | ' | ' | ' | ' | ' |
Treasury Stock, Shares at Dec. 31, 2012 | -1,024,212 | ' | -1,024,212 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | 11,025 | ' | ' | ' | ' | 10,157 | 868 | ' | ' |
Other comprehensive loss | -2,855 | ' | ' | ' | -2,840 | ' | -15 | ' | ' |
Dividends paid to non-controlling interests | -43 | ' | ' | ' | ' | ' | -43 | ' | ' |
Distributions to non-controlling interest partners | -720 | ' | ' | ' | ' | ' | -720 | ' | ' |
Stock-based compensation, shares | ' | 142,157 | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation | 1,033 | 1 | ' | 1,032 | ' | ' | ' | ' | ' |
Direct stock awards to employees | ' | 3,724 | ' | ' | ' | ' | ' | ' | ' |
Shares issued for the Employee Stock Purchase Plan | ' | 26,019 | ' | ' | ' | ' | ' | ' | ' |
Value for stock issued during the period for the Employee Stock Purchase Plan | 152 | 1 | ' | 151 | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, Direct Stock Awards | 29 | 0 | ' | 29 | ' | ' | ' | ' | ' |
Treasury stock purchased, net of issuances, shares | ' | ' | -199,970 | ' | ' | ' | ' | ' | ' |
Treasury stock purchased, net of issuances, value | -1,372 | ' | -1,363 | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Value, Treasury Stock Reissued | ' | ' | ' | -9 | ' | ' | ' | ' | ' |
Options exercised, shares | ' | 6,250 | ' | ' | ' | ' | ' | ' | ' |
Options exercised | 49 | 0 | ' | 49 | ' | ' | ' | ' | ' |
Balance, at Sep. 30, 2013 | $153,013 | $209 | ($8,014) | $98,893 | ($3,471) | $59,974 | $5,422 | ' | ' |
Treasury Stock, Shares at Sep. 30, 2013 | -1,224,182 | ' | -1,224,182 | ' | ' | ' | ' | ' | ' |
Balance, Shares at Sep. 30, 2013 | 20,888,520 | 20,888,520 | ' | ' | ' | ' | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Operating Activities | ' | ' |
Net Income | $10,157 | $11,382 |
Adjustments to reconcile net income to net cash flows provided by operating activities: | ' | ' |
Change in deferred acquisition costs | -8,209 | -1,546 |
Depreciation and amortization | 9,661 | 6,359 |
Deferred income tax expense | -1,310 | 695 |
Net realized investment (gains) losses | -2,043 | 6 |
Gain on sale of subsidiary | 402 | 0 |
Stock-based compensation expense | 1,033 | 707 |
Direct stock awards to employees | 29 | 4 |
Amortization of premiums and accretion of discounts on investments | 1,097 | 932 |
Non-controlling interests | 868 | 62 |
Change in allowance for doubtful accounts | -118 | 0 |
Changes in operating assets and liabilities, net of the effects of acquisitions and dispositions: | ' | ' |
Accrued investment income | 287 | -186 |
Accounts and premiums receivable, net | -5,366 | -4,884 |
Other receivables | -22,716 | -6,897 |
Reinsurance receivables | -7,647 | -2,444 |
Income taxes receivable | 2,919 | -914 |
Other assets | -1,395 | 2,224 |
Unpaid claims | 264 | -542 |
Unearned premiums | 13,771 | 3,185 |
Policyholder account balances | -1,620 | -1,817 |
Accrued expenses, accounts payable and other liabilities | 18,942 | 16,684 |
Income taxes payable | 222 | -1,344 |
Deferred revenue | 14,145 | -1,187 |
Net cash flows provided by operating activities | 22,569 | 20,479 |
Investing Activities: | ' | ' |
Proceeds from maturities, calls and prepayments of available-for-sale investments | 7,963 | 6,501 |
Proceeds from sales of available-for-sale investments | 54,663 | 4,980 |
Net change in short-term investments | 251 | 100 |
Purchases of available-for-sale investments | -78,739 | -31,934 |
Purchases of property and equipment | -2,971 | -5,145 |
Net paid for acquisitions of subsidiaries, net of cash received | -3,112 | -45 |
Sale of subsidiary, net of cash paid | 2,180 | 0 |
Net proceeds from (issuance of) notes receivable | -663 | -678 |
Net proceeds from related party notes receivable | 6,135 | 0 |
Change in restricted cash | 2,350 | -7,052 |
Net cash flows used in investing activities | -11,943 | -33,273 |
Financing activities | ' | ' |
Payments on notes payable | -19,188 | -126,200 |
Proceeds from notes payable | 12,500 | 124,368 |
Capitalized closing costs for notes payable | ' | 1,692 |
Net proceeds from exercise of stock options | 49 | 19 |
Repurchase of shares of common stock, net of issuances | -1,372 | -3,923 |
Net proceeds from stock issued in the Employee Stock Purchase Plan | 152 | 167 |
Distributions to non-controlling interest partners | -720 | 0 |
Dividends paid to non-controlling interests | -43 | 0 |
Net cash flows used in financing activities | -8,622 | -7,261 |
Net increase (decrease) in cash and cash equivalents | 2,004 | -20,055 |
Cash and cash equivalents, beginning of period | $15,209 | $31,339 |
Nature_of_Operations_Notes
Nature of Operations (Notes) | 9 Months Ended | |
Sep. 30, 2013 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |
Nature of Operations | ' | |
Nature of Operations | ||
Fortegra Financial Corporation (traded on the New York Stock Exchange under the symbol: FRF), including its subsidiaries ("Fortegra" or the "Company"), is a diversified insurance services company headquartered in Jacksonville, Florida offering a wide array of revenue enhancement products, including service contracts, device and warranty services, and distribution and administration services, to insurance companies, insurance brokers and agents and other financial services companies, primarily in the United States. In 2008, the Company changed its name from Life of the South Corporation to Fortegra Financial Corporation. The Company was incorporated in 1981 in the State of Georgia and re-incorporated in the State of Delaware in 2010. Most of the Company's business is generated through networks of small to mid-sized community and regional banks, small loan companies, independent wireless retailers and automobile dealerships. | ||
The Company's subsidiaries (100% direct or indirect ownership, unless otherwise noted below) at September 30, 2013, are as follows: | ||
• | 4Warranty Corporation ("4Warranty") | |
• | Auto Knight Motor Club, Inc. ("Auto Knight") | |
• | Bliss and Glennon, Inc. ("B&G") | |
• | Continental Car Club, Inc. ("Continental") | |
• | CRC Reassurance Company, Ltd. ("CRC") | |
• | Digital Leash, LLC, d/b/a ProtectCELL ("ProtectCELL"), 62.4% owned | |
• | eReinsure.com, Inc. ("eReinsure") | |
• | Insurance Company of the South ("ICOTS") | |
• | Life of the South Insurance Company ("LOTS") and its subsidiary, Bankers Life of Louisiana ("Bankers Life") | |
• | LOTS Intermediate Co. ("LOTS IM") | |
• | LOTS Reassurance Company ("LOTS RE") | |
• | LOTSolutions, Inc. | |
• | Lyndon Southern Insurance Company ("Lyndon Southern") | |
• | Magna Insurance Company ("Magna"), sold in June 2013 | |
• | Pacific Benefits Group Northwest, LLC ("PBG") | |
• | Response Indemnity Company of California ("RICC") | |
• | South Bay Acceptance Corporation ("South Bay") | |
• | South Bay Financial Services, LLC ("SBFS"). | |
• | Southern Financial Life Insurance Company ("SFLAC"), 85.0% owned | |
• | United Motor Club of America, Inc. ("United") | |
The Company operates in three business segments: (i) Payment Protection, (ii) Business Process Outsourcing ("BPO") and (iii) Brokerage. Payment Protection specializes in protecting lenders and their consumers from death, disability or other events that could otherwise impair their ability to repay a debt and also offers warranty and service contracts for mobile handsets, furniture and major appliances, and motor club solutions to consumers. BPO provides an assortment of administrative services tailored to insurance and other financial services companies through a virtual insurance company platform. Brokerage uses a pure wholesale sell-through model to sell specialty casualty and surplus lines insurance and also provides web-hosted applications used by insurers, reinsurers and reinsurance brokers for the global reinsurance market. |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2013 | |
Basis of Presentation and Significant Accounting Policies [Abstract] | ' |
Basis of Accounting [Text Block] | ' |
Basis of Presentation | |
The accompanying unaudited interim Consolidated Financial Statements of Fortegra have been prepared in conformity with generally accepted accounting principles in the United States of America ("U.S. GAAP") promulgated by the Financial Accounting Standards Board ("FASB") through the Accounting Standards Codification ("ASC" or "the guidance") for interim financial information, and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements and should be read in conjunction with the Company's 2012 Form 10-K. | |
The interim financial statements in this Form 10-Q have not been audited. In the opinion of management, the accompanying unaudited interim financial information reflects all adjustments, including normal recurring adjustments necessary to present fairly Fortegra's financial position, results of operations, other comprehensive income and cash flows for each of the interim periods presented. The results of operations for the three and nine months ended September 30, 2013 are not necessarily indicative of the results that may be expected for the full year ending on December 31, 2013. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||||||||||
Significant Accounting Policies [Text Block] | ' | |||||||||||||||||||
Summary of Significant Accounting Policies | ||||||||||||||||||||
Fortegra's interim Consolidated Financial Statements as of September 30, 2013 and 2012 are unaudited and have been prepared following the significant accounting policies disclosed in Note 2 of the Notes to Consolidated Financial Statements of the Company's 2012 Form 10-K. | ||||||||||||||||||||
Principles of Consolidation | ||||||||||||||||||||
The Consolidated Financial Statements include the accounts of Fortegra Financial Corporation and its majority-owned and controlled subsidiaries. All material intercompany account balances and transactions have been eliminated. The third-party ownership of 15% of the common stock of SFLAC and 37.6% of the ownership interests of ProtectCELL, LLC, which is treated as a partnership for income tax purposes, have been reflected as non-controlling interests on the Consolidated Balance Sheets. At September 30, 2013, the non-controlling interests for ProtectCELL and SFLAC were $4.9 million and $0.6 million, respectively. | ||||||||||||||||||||
Income (loss) attributable to these non-controlling interests has been reflected on the Consolidated Statements of Income as income (loss) attributable to non-controlling interests and on the Consolidated Statements of Comprehensive Income as comprehensive income (loss) attributable to non-controlling interests. | ||||||||||||||||||||
Certain changes to the Consolidated Balance Sheet amounts for December 31, 2012 have been made in accordance with accounting for business combinations, to reflect the retrospective adjustments made during the measurement period, to the preliminary amounts recorded for the estimated fair value of acquired net assets. Please see the note, "Business Acquisitions and Dispositions," for more information on the measurement period adjustments. | ||||||||||||||||||||
Comprehensive Income (Loss) | ||||||||||||||||||||
Comprehensive income (loss) includes both net income and other items of comprehensive income (loss) comprised of unrealized gains and losses on investment securities classified as available-for-sale and unrealized gains and losses on the interest rate swap, net of the related tax effects, and net of amounts attributable to non-controlling interests. | ||||||||||||||||||||
Use of Estimates | ||||||||||||||||||||
Preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||||||||||||||
Reclassifications | ||||||||||||||||||||
Certain items in prior period financial statements have been reclassified to conform to the current presentation, which had no material impact on net income, comprehensive income or loss, net cash provided by operating activities or stockholders' equity. The table below shows costs previously reported as components of other operating expenses that have been reclassified into member benefit claims for the three months ended March 31, 2013 and June 30, 2013. | ||||||||||||||||||||
For the Three Months Ended | ||||||||||||||||||||
31-Mar-13 | 30-Jun-13 | |||||||||||||||||||
Income Statement Line Item | As Previously Reported | Amount Reclassified | As Restated | As Previously Reported | Amount Reclassified | As Restated | ||||||||||||||
Member benefit claims | $ | 8,978 | $ | 388 | $ | 9,366 | $ | 11,114 | $ | 310 | $ | 11,424 | ||||||||
Other operating expenses | 9,805 | (388 | ) | 9,417 | 10,481 | (310 | ) | 10,171 | ||||||||||||
Net Income | $ | 2,493 | $ | — | $ | 2,493 | $ | 4,442 | $ | — | $ | 4,442 | ||||||||
Subsequent Events | ||||||||||||||||||||
The Company reviewed material events subsequent to September 30, 2013 that occurred up to the date the Company's Consolidated Financial Statements were issued, and determined that no events required recognition or disclosure in these Consolidated Financial Statements and/or the notes thereto. |
Recent_Accounting_Standards
Recent Accounting Standards | 9 Months Ended |
Sep. 30, 2013 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | ' |
Recently Issued Accounting Standards Adopted and Not Yet Adopted [Text Block] | ' |
Recent Accounting Standards | |
Recently Adopted Accounting Pronouncements | |
In July 2013, the FASB issued ASU No. 2013-10, Derivatives and Hedging (Topic 815): Inclusion of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a Benchmark Interest Rate for Hedge Accounting Purposes (a consensus of the FASB Emerging Issues Task Force). ASU No. 2013-10 allows the use of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a benchmark interest rate for hedge accounting purposes in addition to interest rates on direct Treasury obligations of the United States government and London Interbank Offered Rate and also removes the restriction on using different benchmark rates for similar hedges. ASU No. 2013-10 became effective on a prospective basis for qualifying new or designated hedging relationships entered into on or after July 17, 2013. The Company will adopt ASU No. 2013-10 for qualifying new or re-designated hedging relationships entered into on or after July 17, 2013. The adoption of ASU No. 2013-10 did not have an impact on the Company's consolidated financial position, results of operations or cash flows. | |
In February 2013, the FASB issued Accounting Standards Update ("ASU") No. 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. ASU No. 2013-02 requires an entity to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income ("AOCI") by the respective line items of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. ASU No. 2013-02 is effective for reporting periods beginning after December 15, 2012. The Company adopted ASU No. 2013-02 effective January 1, 2013. Accordingly, the Company has included an enhanced footnote disclosure in the Note, "Other Comprehensive Income." The adoption of ASU No. 2013-02 did not impact the Company's consolidated financial position, results of operations or cash flows. | |
In July 2012, the FASB issued ASU No. 2012-02, Intangibles-Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment. ASU No. 2012-02 permits entities to perform an optional qualitative assessment for determining whether it is more likely than not that an indefinite-lived intangible asset is impaired. ASU No. 2012-02 is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. The adoption of ASU No. 2012-02 did not impact the Company's consolidated financial position, results of operations or cash flows. | |
In December 2011, the FASB issued ASU No. 2011-11, Disclosures About Offsetting Assets and Liabilities. ASU No. 2011-11 requires the disclosure of both gross and net information about instruments and transactions eligible for offset in the statement of financial position, as well as instruments and transactions subject to an agreement similar to a master netting arrangement. In addition, ASU No. 2011-11 requires disclosure of collateral received and posted in connection with master netting agreements or similar arrangements. ASU No. 2011-11 is effective for the Company beginning on January 1, 2013. As the provisions of ASU No. 2011-11 only impact the disclosure requirements related to the offsetting of assets and liabilities, the adoption of ASU No. 2011-11 did not impact the Company's consolidated financial position, results of operations or cash flows. | |
New Accounting Pronouncements | |
In July 2013, the FASB issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, to clarify the presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. ASU No. 2013-11 is effective prospectively for fiscal years and interim periods within those years beginning after December 15, 2013. The adoption of ASU No. 2013-11 is not expected to have a material impact on the Company's consolidated financial position, results of operations or cash flows. |
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Earnings Per Share [Text Block] | ' | |||||||||||||||
Earnings Per Share | ||||||||||||||||
Earnings per share is calculated as follows: | For the Three Months Ended | For the Nine Months Ended | ||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
Numerator: (for both basic and diluted earnings per share) | ||||||||||||||||
Net income | $ | 3,222 | $ | 4,024 | $ | 10,157 | $ | 11,382 | ||||||||
Denominator: | ||||||||||||||||
Total weighted average basic common shares outstanding | 19,405,597 | 19,531,694 | 19,500,430 | 19,705,105 | ||||||||||||
Effect of dilutive stock options and restricted stock awards | 998,911 | 931,544 | 1,030,692 | 914,979 | ||||||||||||
Total weighted average diluted common shares outstanding | 20,404,508 | 20,463,238 | 20,531,122 | 20,620,084 | ||||||||||||
Earnings per share-basic | $ | 0.17 | $ | 0.21 | $ | 0.52 | $ | 0.59 | ||||||||
Earnings per share-diluted | $ | 0.16 | $ | 0.2 | $ | 0.49 | $ | 0.56 | ||||||||
Weighted average anti-dilutive common shares | 809,870 | 567,995 | 762,081 | 431,446 | ||||||||||||
Consolidation_of_Operations_Ch
Consolidation of Operations Charges (Notes) | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Consolidation of Operations Charges [Abstract] | ' | ||||||||
Restructuring and Related Activities Disclosure [Text Block] | ' | ||||||||
Consolidation of Operations Charges | |||||||||
Consolidation of Operations Plan | |||||||||
As disclosed on January 18, 2013 in the Company's Current Report on Form 8-K, effective January 14, 2013, the Company committed to a plan to consolidate the Company's fulfillment, claims administration and information technology functions for all of its insurance related products (the "Plan"). Prior to the Plan, such functions resided in the Company's individual business units. The decision is part of the Company's efforts to streamline its operations, focus its resources and provide first in class service to its customers. The following is a summary of the charges incurred by the Company: | |||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||
September 30, 2013 | September 30, 2013 | ||||||||
Severance and benefit costs included in personnel expense | $ | — | $ | 1,234 | |||||
Total consolidation of operations costs | $ | — | $ | 1,234 | |||||
Variable_Interest_Entities
Variable Interest Entities | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Variable Interest Entity, Not Primary Beneficiary, Disclosures [Abstract] | ' | |||||||
Variable Interest Entities Disclosure [Text Block] | ' | |||||||
Variable Interest Entities | ||||||||
In July 2011, the Company sold its 100% interest in Creative Investigations Recovery Group, LLC ("CIRG"). The consideration included a note receivable, included on the Consolidated Balance Sheets, with a first priority lien security interest in the assets of CIRG and other property of the buyers. The Company performed a detailed analysis of the CIRG sale transaction and determined that CIRG is considered a VIE, as defined in ASC 810, because the Company has an interest due to the note financing. The Company further determined that it is not the primary beneficiary because the Company does not have the power to direct the activities of the VIE and has no right to receive the residual returns of CIRG. Therefore, CIRG is not consolidated in the Company's results of operations. During the nine months ended September 30, 2013, the Company suspended recognition of interest income on the note and engaged the buyer in discussions, because the buyer was experiencing short term cash flow constraints. The Company determined that it would not pursue remedies available under the note at this time, and the parties executed a forbearance agreement along with a security agreement and a subordination agreement designed to allow more flexibility in timing of repayment; the principal amount and interest rate are unchanged. These contracts do not give the Company control over the business, and the Company may still leverage the remedies of the note should it deem such action necessary. The Company also provided an additional $0.1 million in short term funding, and the buyer has begun to repay that balance. The Company's maximum exposure to loss in the VIE is limited to the outstanding balance of the note receivable (including accrued interest receivable) and the remaining balance of the short term funding, presented in the table below: | ||||||||
At | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
The Company's maximum exposure to loss in the VIE | $ | 1,251 | $ | 1,139 | ||||
Other_Comprehensive_Income_Not
Other Comprehensive Income (Notes) | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Other Comprehensive Income [Abstract] | ' | |||||||||||
Other Comprehensive Income | ' | |||||||||||
Other Comprehensive Income | ||||||||||||
The following schedule presents the activity in accumulated other comprehensive income (loss), ("AOCI") for the following periods: | ||||||||||||
For the Nine Months Ended | ||||||||||||
September 30, 2013 | ||||||||||||
Net unrealized gains (losses) on available-for-sale securities | Net unrealized gain (loss) on interest rate swap | Total | ||||||||||
Balance at December 31, 2012, net of tax | $ | 2,189 | $ | (2,820 | ) | $ | (631 | ) | ||||
Other comprehensive income (loss) before reclassifications: | ||||||||||||
Pre-tax (loss) income | (3,496 | ) | 301 | (3,195 | ) | |||||||
Income tax benefit (expense) | 1,223 | (105 | ) | 1,118 | ||||||||
Other comprehensive (loss) income before reclassifications, net of tax | (2,273 | ) | 196 | (2,077 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income (loss): | ||||||||||||
Pre-tax (income) loss | (2,043 | ) | 845 | (1,198 | ) | |||||||
Income tax expense (benefit) | 716 | (296 | ) | 420 | ||||||||
Amounts reclassified from accumulated other comprehensive (loss) income, net of tax | (1,327 | ) | 549 | (778 | ) | |||||||
Current period other comprehensive (loss) income, net of tax | (3,600 | ) | 745 | (2,855 | ) | |||||||
Less: comprehensive (loss) attributable to non-controlling interests | (15 | ) | — | (15 | ) | |||||||
Balance at September 30, 2013, net of tax | $ | (1,396 | ) | $ | (2,075 | ) | $ | (3,471 | ) | |||
For the Nine Months Ended | ||||||||||||
September 30, 2012 | ||||||||||||
Net unrealized gains (losses) on available-for-sale securities | Net unrealized gain (loss) on interest rate swap | Total | ||||||||||
Balance at December 31, 2011, net of tax | $ | 587 | $ | (2,341 | ) | $ | (1,754 | ) | ||||
Other comprehensive income (loss) before reclassifications: | ||||||||||||
Pre-tax income (loss) | 2,666 | (1,311 | ) | 1,355 | ||||||||
Income tax (expense) benefit | (933 | ) | 458 | (475 | ) | |||||||
Other comprehensive income (loss) before reclassifications, net of tax | 1,733 | (853 | ) | 880 | ||||||||
Amounts reclassified from accumulated other comprehensive income (loss): | ||||||||||||
Pre-tax loss | 6 | 313 | 319 | |||||||||
Income tax (benefit) | (2 | ) | (109 | ) | (111 | ) | ||||||
Amounts reclassified from accumulated other comprehensive income (loss), net of tax | 4 | 204 | 208 | |||||||||
Net current period other comprehensive income (loss), net of taxes | 1,737 | (649 | ) | 1,088 | ||||||||
Less: comprehensive income attributable to non-controlling interests | 7 | — | 7 | |||||||||
Balance at September 30, 2012, net of tax | $ | 2,317 | $ | (2,990 | ) | $ | (673 | ) | ||||
The following schedule presents the reclassifications out of AOCI for the following periods: | ||||||||||||
For the Three Months Ended | ||||||||||||
September 30, 2013 | September 30, 2012 | Consolidated Statement of Income Location | ||||||||||
Unrealized gains (losses) on available-for-sale securities: | ||||||||||||
Reclassification of gains (losses) included in net income | $ | 756 | $ | (16 | ) | Net realized investment gains (losses) | ||||||
Related tax (expense) benefit | (265 | ) | 6 | Income taxes | ||||||||
Net of tax | $ | 491 | $ | (10 | ) | Net Income | ||||||
Unrealized gain (loss) on interest rate swap: | ||||||||||||
Reclassification of (losses) gain included in net income | $ | (286 | ) | $ | (273 | ) | Interest expense | |||||
Related tax (expense) benefit | 100 | 94 | Income taxes | |||||||||
Net of tax | $ | (186 | ) | $ | (179 | ) | Net Income | |||||
For the Nine Months Ended | ||||||||||||
30-Sep-13 | 30-Sep-12 | Consolidated Statement of Income Location | ||||||||||
Unrealized gains (losses) on available-for-sale securities: | ||||||||||||
Reclassification of gains (losses) included in net income | $ | 2,043 | $ | (6 | ) | Net realized investment gains (losses) | ||||||
Related tax (expense) benefit | (716 | ) | 2 | Income taxes | ||||||||
Net of tax | $ | 1,327 | $ | (4 | ) | Net Income | ||||||
Unrealized loss on interest rate swap: | ||||||||||||
Reclassification of (losses) included in net income | (845 | ) | (313 | ) | Interest expense | |||||||
Related tax benefit | 296 | 109 | Income taxes | |||||||||
Net of tax | $ | (549 | ) | $ | (204 | ) | Net Income |
Business_Acquisitions_and_Disp
Business Acquisitions and Dispositions | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Business Combinations [Abstract] | ' | |||||||||||
Business Acquisitions and Dispositions | ' | |||||||||||
Business Acquisitions and Dispositions | ||||||||||||
Acquisition in 2013 | ||||||||||||
On February 1, 2013, the Company acquired 100% of the outstanding stock of RICC, from subsidiaries of the Kemper Corporation ("Kemper") for $4.8 million. RICC is a property/casualty insurance company domiciled and licensed in California, which the Company intends to use for geographic expansion in the Payment Protection business. RICC had, at the time of purchase, no policies in force. All remaining claim liabilities for previously issued policies are fully reinsured by Kemper's subsidiary, Trinity Universal Insurance Company. | ||||||||||||
Acquisitions in 2012 | ||||||||||||
On December 31, 2012, the Company acquired a 62.4% ownership interest in Digital Leash, LLC, d/b/a ProtectCELL for $20.0 million, which amount is deemed a Series A Contribution under the provisions of the related agreements. ProtectCELL provides membership plans for the protection of mobile wireless devices and other benefits including data management and identity theft protection. ProtectCELL is one of the leaders in mobile device protection plans and will spearhead Fortegra's efforts to expand its warranty and service contract business in the mobile and wireless device space. ProtectCELL's results are included in the Company's Payment Protection segment. As part of the acquisition, the Company also has an option, commencing after 2014, to acquire the remaining 37.6% ownership interest in ProtectCELL, at a price based on a sliding scale multiple of ProtectCELL's trailing twelve-month EBITDA ("Earnings before interest, taxes, depreciation and amortization"), less the Series A Contributions, multiplied by 37.6%. The option has no expiration, though the owners of the non-controlling interest have the right to defer the option commencement date for one year under certain conditions. The option must be exercised with respect to not less than all of the non-controlling interest, and is accounted for as an embedded derivative within the value of non-controlling interest. | ||||||||||||
On December 31, 2012, the Company acquired 100% of the outstanding stock ownership of 4Warranty Corporation, a leading warranty and extended service contract administrator with extensive expertise in the furniture, electronics, appliance, lawn and garden, and fitness equipment markets. 4Warranty complements the Company's rapidly expanding warranty business. 4Warranty's results are included in the Company's Payment Protection segment. | ||||||||||||
On April 24, 2012, the Company acquired a 100% ownership interest in MHA & Associates LLC ("MHA"), for $0.3 million, obtaining the renewal rights of the business and hiring the prior owner to maintain and increase the block of business. MHA's results are included in the Company's Payment Protection segment. | ||||||||||||
During 2013, the Company received preliminary valuation studies prepared by external valuation experts for identifiable intangible assets, goodwill, deferred revenues, and non-controlling interest for the 2012 acquisitions of ProtectCELL and 4Warranty. The Company has provisionally accepted the results of these studies while continuing to review them in detail. Accordingly, the Consolidated Balance Sheet at December 31, 2012, has been retrospectively adjusted to include the effect of the measurement period adjustments as required under ASC 805, Business Combinations, ("ASC 805"), for ProtectCELL and 4Warranty. Adjustments were recorded to the values of intangible assets and deferred revenues based upon completion of valuation models in the studies, and refinement of assumptions supporting those models, using discounted cash flow, relief from royalty, and/or other analytical techniques as presented in the valuation studies. With respect to ProtectCELL, the preliminary valuations of these balances allowed for a determination of the total value of the enterprise at December 31, 2012. Using this enterprise value, and a break-even analysis to determine the relative attribution of the Company's $20.0 million investment between the common and preferred units acquired, the preliminary valuation study assigned values of $7.9 million and $12.1 million to the acquired common and preferred units, respectively, and a fair value of $4.7 million to the non-controlling interest as shown in the table below. The adjustments noted above result in offsetting adjustments to goodwill. Please see the Consolidated Statement of Stockholders' Equity for the retrospective measurement period adjustment of the non-controlling interest for ProtectCELL, as well as the Notes, "Goodwill," and "Other Intangible Assets," for more information on the retrospective measurement period adjustments made in 2013 for both ProtectCELL and 4Warranty. The ProtectCELL and 4Warranty determinations are preliminary, mainly due to ongoing review of the preliminary studies. | ||||||||||||
The following table presents the allocation of purchase price recorded for the 2013 acquisition of RICC and the 2012 acquisitions of ProtectCELL and 4Warranty including the effects of the measurement period adjustments recorded in 2013 for the 2012 acquisitions, as discussed above. | ||||||||||||
2012 | 2013 | |||||||||||
Acquisitions | Acquisition | |||||||||||
4Warranty | ProtectCELL | RICC | ||||||||||
Assets: | ||||||||||||
Cash and cash equivalents | $ | 703 | $ | 350 | $ | 1,893 | ||||||
Restricted cash | 72 | 7,438 | — | |||||||||
Investments | — | — | 2,488 | |||||||||
Short-term investments | — | 252 | — | |||||||||
Accrued investment income | — | — | 38 | |||||||||
Notes receivable, net | — | 6,341 | — | |||||||||
Other receivables | 357 | 2,312 | — | |||||||||
Reinsurance receivables | — | — | 200 | |||||||||
Property and equipment, net | 61 | 628 | — | |||||||||
Other intangible assets, net | 1,870 | 18,815 | 375 | |||||||||
Other assets | — | 1,470 | 10 | |||||||||
Liabilities: | ||||||||||||
Unpaid claims | — | (176 | ) | (200 | ) | |||||||
Accrued expenses, accounts payable and other liabilities | (310 | ) | (2,644 | ) | (9 | ) | ||||||
Deferred revenue | (1,260 | ) | (30,000 | ) | — | |||||||
Income taxes payable | (273 | ) | — | — | ||||||||
Deferred income taxes, net | (259 | ) | — | — | ||||||||
Net assets acquired | 961 | 4,786 | 4,795 | |||||||||
Non-controlling interest | — | (4,745 | ) | — | ||||||||
Purchase consideration (1) (2) | 3,625 | 20,000 | 4,795 | |||||||||
Goodwill | $ | 2,664 | $ | 19,959 | $ | — | ||||||
(1) - The purchase consideration for the 4Warranty acquisition includes $0.3 million of contingent consideration and $0.3 million of hold back reserves, which estimates are unchanged in the current period and are expected to be paid out based on the agreed terms of the Stock Purchase Agreement. | ||||||||||||
(2) - The purchase consideration of $20.0 million for the ProtectCELL acquisition represents the 62.4% ownership interest acquired in the transaction, comprised of 62,400 common units and 20,000 preferred units, preliminarily valued at $7.9 million and $12.1 million respectively. | ||||||||||||
Disposition in 2013 | ||||||||||||
In June 2013, the Company sold its wholly owned subsidiary Magna for a gross sales price of $3.0 million, less cash held by Magna, transferred in the sale, of $0.8 million. For the nine months ended September 30, 2013, the Company recorded a $0.4 million pre-tax gain on the sale of Magna, which is included on the Consolidated Statements of Income line item, "Gain on sale of subsidiary." |
Goodwill
Goodwill | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||
Goodwill Disclosure [Text Block] | ' | ||||||||||||||||
Goodwill | |||||||||||||||||
The following table presents goodwill by segment and includes the retrospective adjustments made to the balance of goodwill at December 31, 2012 to reflect the effect of the measurement period adjustments made in accordance with accounting requirements under ASC 805 for the acquisitions of ProtectCELL and 4Warranty: | |||||||||||||||||
Payment Protection | BPO | Brokerage | Total | ||||||||||||||
Balance as originally reported at December 31, 2012 | $ | 52,084 | $ | 12,970 | $ | 54,458 | $ | 119,512 | |||||||||
Valuation adjustments as required under ASC 805 for ProtectCELL | 8,227 | — | — | 8,227 | |||||||||||||
Valuation adjustments as required under ASC 805 for 4Warranty | (60 | ) | — | — | (60 | ) | |||||||||||
Adjusted balance at December 31, 2012 | $ | 60,251 | $ | 12,970 | $ | 54,458 | $ | 127,679 | |||||||||
Balance at | September 30, 2013 | $ | 60,251 | $ | 12,970 | $ | 54,458 | $ | 127,679 | ||||||||
Other_Intangible_Assets
Other Intangible Assets | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Other Intangible Assets [Abstract] | ' | |||||||||||||||||||||||||||
Intangible Assets Disclosure [Text Block] | ' | |||||||||||||||||||||||||||
Other Intangible Assets | ||||||||||||||||||||||||||||
The following table presents finite-lived other intangible assets and their respective amortization periods and includes the retrospective adjustments made to the balances at December 31, 2012, as required by ASC 805, for the ProtectCELL and 4Warranty acquisitions: | ||||||||||||||||||||||||||||
At | ||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Amortization Period (Years) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||||||
Finite-lived other intangible assets: | ||||||||||||||||||||||||||||
Customer and agent relationships | 5 | to | 15 | $ | 52,282 | $ | (16,659 | ) | $ | 35,623 | $ | 52,230 | $ | (12,340 | ) | $ | 39,890 | |||||||||||
Tradenames | 8 | to | 10 | 1,200 | (114 | ) | 1,086 | 1,200 | — | 1,200 | ||||||||||||||||||
Software | 2.25 | to | 10 | 10,138 | (4,459 | ) | 5,679 | 10,138 | (3,385 | ) | 6,753 | |||||||||||||||||
Present value of future profits | 0.3 | to | 0.75 | 548 | (548 | ) | — | 548 | (548 | ) | — | |||||||||||||||||
Non-compete agreements | 1.5 | to | 6 | 3,308 | (2,807 | ) | 501 | 3,308 | (2,716 | ) | 592 | |||||||||||||||||
Total finite-lived other intangible assets | $ | 67,476 | $ | (24,587 | ) | $ | 42,889 | $ | 67,424 | $ | (18,989 | ) | $ | 48,435 | ||||||||||||||
The following table presents the carrying amount of indefinite-lived other intangible assets: | At | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Tradenames | $ | 21,875 | $ | 21,875 | ||||||||||||||||||||||||
Licenses | 375 | — | ||||||||||||||||||||||||||
Total | $ | 22,250 | $ | 21,875 | ||||||||||||||||||||||||
The following table includes the retrospective adjustments made to the balance of other intangible assets at December 31, 2012 to reflect the effect of these measurement period adjustments made in accordance with the accounting requirements under ASC 805 for the acquisitions of ProtectCELL and 4Warranty and the current period activity. | ||||||||||||||||||||||||||||
Balance as originally reported at December 31, 2012 | $ | 79,340 | ||||||||||||||||||||||||||
Valuation adjustments as required under ASC 805 for ProtectCELL | (9,000 | ) | ||||||||||||||||||||||||||
Valuation adjustments as required under ASC 805 for 4Warranty | (30 | ) | ||||||||||||||||||||||||||
Adjusted balance at December 31, 2012 | 70,310 | |||||||||||||||||||||||||||
Intangible assets acquired in 2013 | 427 | |||||||||||||||||||||||||||
Less: Amortization expense | 5,598 | |||||||||||||||||||||||||||
Balance at September 30, 2013 | $ | 65,139 | ||||||||||||||||||||||||||
Estimated amortization of finite-lived other intangible assets for the next five years and thereafter ending December 31 is presented below: | ||||||||||||||||||||||||||||
Remainder of 2013 | $ | 1,858 | ||||||||||||||||||||||||||
2014 | 7,427 | |||||||||||||||||||||||||||
2015 | 7,416 | |||||||||||||||||||||||||||
2016 | 6,755 | |||||||||||||||||||||||||||
2017 | 5,399 | |||||||||||||||||||||||||||
Thereafter | 14,034 | |||||||||||||||||||||||||||
Total | $ | 42,889 | ||||||||||||||||||||||||||
Investments
Investments | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Investments [Abstract] | ' | ||||||||||||||||||||||||||
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | ' | ||||||||||||||||||||||||||
Investments | |||||||||||||||||||||||||||
The following table summarizes the Company's available-for-sale fixed maturity and equity securities: | |||||||||||||||||||||||||||
At | |||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||
Description of Security | Cost or Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 49,610 | $ | 238 | $ | (409 | ) | $ | 49,439 | ||||||||||||||||||
Municipal securities | 23,033 | 96 | (379 | ) | 22,750 | ||||||||||||||||||||||
Corporate securities | 51,183 | 138 | (830 | ) | 50,491 | ||||||||||||||||||||||
Mortgage-backed securities | 79 | 1 | — | 80 | |||||||||||||||||||||||
Total fixed maturity securities | $ | 123,905 | $ | 473 | $ | (1,618 | ) | $ | 122,760 | ||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||||
Common stock - publicly traded | $ | 39 | $ | 5 | $ | — | $ | 44 | |||||||||||||||||||
Preferred stock - publicly traded | 5,975 | — | (711 | ) | 5,264 | ||||||||||||||||||||||
Common stock - non-publicly traded | 59 | 5 | (13 | ) | 51 | ||||||||||||||||||||||
Preferred stock - non-publicly traded | 1,009 | 4 | — | 1,013 | |||||||||||||||||||||||
Total equity securities | $ | 7,082 | $ | 14 | $ | (724 | ) | $ | 6,372 | ||||||||||||||||||
At | |||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||
Description of Security | Cost or Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 22,424 | $ | 761 | $ | (7 | ) | $ | 23,178 | ||||||||||||||||||
Municipal securities | 16,636 | 413 | (8 | ) | 17,041 | ||||||||||||||||||||||
Corporate securities | 67,627 | 2,461 | (80 | ) | 70,008 | ||||||||||||||||||||||
Mortgage-backed securities | 285 | 4 | — | 289 | |||||||||||||||||||||||
Asset-backed securities | 123 | 2 | — | 125 | |||||||||||||||||||||||
Total fixed maturity securities | $ | 107,095 | $ | 3,641 | $ | (95 | ) | $ | 110,641 | ||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||||
Common stock - publicly traded | $ | 39 | $ | 3 | $ | — | $ | 42 | |||||||||||||||||||
Preferred stock - publicly traded | 4,975 | 133 | (1 | ) | 5,107 | ||||||||||||||||||||||
Common stock - non-publicly traded | 59 | 4 | (5 | ) | 58 | ||||||||||||||||||||||
Preferred stock - non-publicly traded | 1,009 | 4 | — | 1,013 | |||||||||||||||||||||||
Total equity securities | $ | 6,082 | $ | 144 | $ | (6 | ) | $ | 6,220 | ||||||||||||||||||
Pursuant to certain reinsurance agreements and statutory licensing requirements, the Company has deposited invested assets in custody accounts or insurance department safekeeping accounts. The Company is not permitted to remove invested assets from these accounts without prior approval of the contractual party or regulatory authority, as applicable. The following table details the Company's restricted investments: | |||||||||||||||||||||||||||
At | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Fair value of restricted investments for special deposits required by state insurance departments | $ | 10,384 | $ | 10,988 | |||||||||||||||||||||||
Fair value of restricted investments in trust pursuant to reinsurance agreements | 6,289 | 6,954 | |||||||||||||||||||||||||
Fair value of restricted investments | $ | 16,673 | $ | 17,942 | |||||||||||||||||||||||
The amortized cost and fair value of fixed maturity securities by contractual maturity are shown below. Expected maturities will differ from contractual maturities because borrowers have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||||||||||||||||||
At | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Amortized Cost | Fair Value | Amortized Cost | Fair Value | ||||||||||||||||||||||||
Due in one year or less | $ | 18,439 | $ | 18,448 | $ | 5,557 | $ | 5,608 | |||||||||||||||||||
Due after one year through five years | 59,966 | 59,885 | 58,378 | 60,323 | |||||||||||||||||||||||
Due after five years through ten years | 22,028 | 21,282 | 24,983 | 25,900 | |||||||||||||||||||||||
Due after ten years | 23,393 | 23,065 | 17,769 | 18,396 | |||||||||||||||||||||||
Mortgage-backed securities | 79 | 80 | 285 | 289 | |||||||||||||||||||||||
Asset-backed securities | — | — | 123 | 125 | |||||||||||||||||||||||
Total fixed maturity securities | $ | 123,905 | $ | 122,760 | $ | 107,095 | $ | 110,641 | |||||||||||||||||||
The following table provides information on unrealized losses on investment securities that have been in an unrealized loss position for less than twelve months, and twelve months or greater: | |||||||||||||||||||||||||||
At | |||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||
Less than Twelve Months | Twelve Months or Greater | Total | |||||||||||||||||||||||||
Description of Security | Fair Value | Unrealized Losses | # of Securities | Fair Value | Unrealized Losses | # of Securities | Fair Value | Unrealized Losses | # of Securities | ||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 29,025 | $ | (402 | ) | 41 | $ | 465 | $ | (7 | ) | 6 | $ | 29,490 | $ | (409 | ) | 47 | |||||||||
Municipal securities | 9,294 | (379 | ) | 15 | — | — | — | 9,294 | (379 | ) | 15 | ||||||||||||||||
Corporate securities | 33,403 | (791 | ) | 38 | 681 | (39 | ) | 2 | 34,084 | (830 | ) | 40 | |||||||||||||||
Total fixed maturity securities | $ | 71,722 | $ | (1,572 | ) | 94 | $ | 1,146 | $ | (46 | ) | 8 | $ | 72,868 | $ | (1,618 | ) | 102 | |||||||||
Equity securities: | |||||||||||||||||||||||||||
Preferred stock - publicly traded | $ | 5,263 | $ | (711 | ) | 9 | $ | — | $ | — | — | $ | 5,263 | $ | (711 | ) | 9 | ||||||||||
Common stock - non-publicly traded | — | — | — | 31 | (13 | ) | 2 | 31 | (13 | ) | 2 | ||||||||||||||||
Total equity securities | $ | 5,263 | $ | (711 | ) | 9 | $ | 31 | $ | (13 | ) | 2 | $ | 5,294 | $ | (724 | ) | 11 | |||||||||
At | |||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||
Less than Twelve Months | Twelve Months or Greater | Total | |||||||||||||||||||||||||
Description of Security | Fair Value | Unrealized Losses | # of Securities | Fair Value | Unrealized Losses | # of Securities | Fair Value | Unrealized Losses | # of Securities | ||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 857 | $ | (7 | ) | 11 | $ | — | $ | — | — | $ | 857 | $ | (7 | ) | 11 | ||||||||||
Municipal securities | 734 | (8 | ) | 1 | — | — | — | 734 | (8 | ) | 1 | ||||||||||||||||
Corporate securities | 12,625 | (63 | ) | 16 | 183 | (17 | ) | 1 | 12,808 | (80 | ) | 17 | |||||||||||||||
Total fixed maturity securities | $ | 14,216 | $ | (78 | ) | 28 | $ | 183 | $ | (17 | ) | 1 | $ | 14,399 | $ | (95 | ) | 29 | |||||||||
Equity securities: | |||||||||||||||||||||||||||
Preferred stock - publicly traded | $ | 198 | $ | (1 | ) | 1 | $ | — | $ | — | — | $ | 198 | $ | (1 | ) | 1 | ||||||||||
Common stock - non-publicly traded | — | — | — | 39 | (5 | ) | 2 | 39 | (5 | ) | 2 | ||||||||||||||||
Total equity securities | $ | 198 | $ | (1 | ) | 1 | $ | 39 | $ | (5 | ) | 2 | $ | 237 | $ | (6 | ) | 3 | |||||||||
The Company does not intend to sell the investments that are in an unrealized loss position at September 30, 2013 and it is more likely than not that the Company will be able to hold these securities until full recovery of their amortized cost basis for fixed maturity securities or cost for equity securities. As of September 30, 2013, based on the Company's review, none of the fixed maturity or equity securities were deemed to be other-than-temporarily impaired based on the Company's analysis of the securities and intent to hold the securities until recovery. | |||||||||||||||||||||||||||
The following table summarizes the gross proceeds from the sale of available-for-sale investment securities: | |||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||||||||||||||
Gross proceeds from sales | $ | 27,139 | $ | 503 | 54,663 | $ | 4,980 | ||||||||||||||||||||
The following table summarizes the gross realized gains and gross realized losses for both fixed maturity and equity securities and any realized losses for other-than-temporary impairments for available-for-sale investment securities: | |||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||||||||||||||
Gross realized gains | $ | 756 | $ | — | $ | 2,118 | $ | 22 | |||||||||||||||||||
Gross realized losses | — | — | (75 | ) | (12 | ) | |||||||||||||||||||||
Total net gains from investment sales | 756 | — | 2,043 | 10 | |||||||||||||||||||||||
Impairment write-downs (other-than-temporary impairments) | — | (16 | ) | — | (16 | ) | |||||||||||||||||||||
Net realized investment gains | $ | 756 | $ | (16 | ) | $ | 2,043 | $ | (6 | ) | |||||||||||||||||
The following schedule details the components of net investment income: | |||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||||||||||||||
Fixed income securities | $ | 670 | $ | 628 | $ | 2,094 | $ | 1,954 | |||||||||||||||||||
Cash on hand and on deposit | 11 | 47 | 47 | 143 | |||||||||||||||||||||||
Common and preferred stock dividends | 98 | 77 | 275 | 191 | |||||||||||||||||||||||
Notes receivable | 99 | 75 | 239 | 201 | |||||||||||||||||||||||
Other income | 3 | 34 | 117 | 104 | |||||||||||||||||||||||
Investment expenses | (109 | ) | (117 | ) | (339 | ) | (374 | ) | |||||||||||||||||||
Net investment income | $ | 772 | $ | 744 | $ | 2,433 | $ | 2,219 | |||||||||||||||||||
Reinsurance_Receivables
Reinsurance Receivables | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Reinsurance Disclosures [Abstract] | ' | |||||||||||||||||||||||||||
Reinsurance [Text Block] | ' | |||||||||||||||||||||||||||
Reinsurance Receivables | ||||||||||||||||||||||||||||
The effects of reinsurance on premiums written and earned and on losses and loss adjustment expenses ("LAE") incurred are presented in the tables below: | ||||||||||||||||||||||||||||
Premiums | For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Written | Earned | Written | Earned | Written | Earned | Written | Earned | |||||||||||||||||||||
Direct and assumed | $ | 116,452 | $ | 100,193 | $ | 100,409 | $ | 98,287 | $ | 297,940 | $ | 284,169 | $ | 272,317 | $ | 269,132 | ||||||||||||
Ceded | (79,580 | ) | (66,087 | ) | (65,935 | ) | (64,394 | ) | (194,067 | ) | (183,240 | ) | (169,971 | ) | (171,362 | ) | ||||||||||||
Net | $ | 36,872 | $ | 34,106 | $ | 34,474 | $ | 33,893 | $ | 103,873 | $ | 100,929 | $ | 102,346 | $ | 97,770 | ||||||||||||
Losses and LAE incurred | For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Direct and assumed | $ | 23,354 | $ | 23,069 | $ | 66,879 | $ | 66,198 | ||||||||||||||||||||
Ceded | (13,397 | ) | (11,639 | ) | (35,783 | ) | (33,926 | ) | ||||||||||||||||||||
Net losses and LAE incurred | $ | 9,957 | $ | 11,430 | $ | 31,096 | $ | 32,272 | ||||||||||||||||||||
The following table reflects the components of the reinsurance receivables: | At | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Prepaid reinsurance premiums: (1) | ||||||||||||||||||||||||||||
Life | $ | 51,492 | $ | 53,117 | ||||||||||||||||||||||||
Accident and health | 36,126 | 34,266 | ||||||||||||||||||||||||||
Property | 95,434 | 85,805 | ||||||||||||||||||||||||||
Total | 183,052 | 173,188 | ||||||||||||||||||||||||||
Ceded claim reserves: | ||||||||||||||||||||||||||||
Life | 1,564 | 1,786 | ||||||||||||||||||||||||||
Accident and health | 8,964 | 9,263 | ||||||||||||||||||||||||||
Property | 10,825 | 8,663 | ||||||||||||||||||||||||||
Total ceded claim reserves | 21,353 | 19,712 | ||||||||||||||||||||||||||
Other reinsurance settlements receivable | 7,430 | 11,088 | ||||||||||||||||||||||||||
Reinsurance receivables | $ | 211,835 | $ | 203,988 | ||||||||||||||||||||||||
(1) Including policyholder account balances ceded. | ||||||||||||||||||||||||||||
The following table shows the aggregate amount included in reinsurance receivables that is comprised of the three largest receivable balances from unrelated reinsurers: | ||||||||||||||||||||||||||||
At | ||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Total of the three largest receivable balances from unrelated reinsurers | $ | 135,462 | $ | 126,633 | ||||||||||||||||||||||||
At September 30, 2013 and December 31, 2012, respectively, the three unrelated reinsurers from whom the Company has the largest receivable balances were: London Life Reinsurance Company (A. M. Best Rating: A); London Life International Reinsurance Corporation (A. M. Best Rating: Not rated) and Spartan Property Insurance Company (A. M. Best Rating: Not rated). Because Spartan Property Insurance Company does not maintain an A.M. Best rating, the related receivables are collateralized by assets held in trust accounts. At September 30, 2013, the Company does not believe there is a risk of loss as a result of the concentration of credit risk in the reinsurance program. |
Notes_Payable
Notes Payable | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Debt Disclosure [Text Block] | ' | |||||||
Note Payable | ||||||||
The Company's note payable consisted of the following: | At | |||||||
September 30, 2013 | December 31, 2012 | |||||||
Wells Fargo Bank, N.A. credit facility, maturing August 2017 | $ | 82,750 | $ | 89,438 | ||||
Maximum balance allowed on the Wells Fargo Bank, N.A. credit facility | $ | 120,000 | $ | 123,750 | ||||
Interest rate at the end of the respective period: | 2.94 | % | 2.76 | % | ||||
Aggregate maturities for the Company's note payable at September 30, 2013 are as follows: | ||||||||
Remainder of 2013 | $ | 1,250 | ||||||
2014 | 5,000 | |||||||
2015 | 5,000 | |||||||
2016 | 5,000 | |||||||
2017 | 66,500 | |||||||
Thereafter | — | |||||||
Total | $ | 82,750 | ||||||
$125.0 million Secured Credit Agreement - Wells Fargo Bank, N.A. | ||||||||
At September 30, 2013, the Company had a secured credit agreement (the "Credit Agreement"), which had an initial capacity of $125.0 million, entered into on August 2, 2012, with a syndicate of lenders, among them Wells Fargo Bank, N.A., who also serves as administrative agent ("Wells Fargo" or the "Administrative Agent"). The Credit Agreement has a five year term, with an initial capacity of $125.0 million comprised of a $50.0 million term loan facility (the "Term Loan Facility") and a $75.0 million revolving credit facility (the "Revolving Facility" and collectively with the Term Loan Facility, the "Facilities") with a sub-limit of $10.0 million for swingline loans and $10.0 million for letters of credit. Subject to earlier termination, the Credit Agreement terminates on August 2, 2017. The Credit Agreement includes a provision pursuant to which, from time to time, the Company may request that the lenders in their discretion increase the maximum amount of commitments under the Facilities by an amount not to exceed $50.0 million. In addition, the Term Loan Facility is reduced by mandatory quarterly principal payments. | ||||||||
At the Company's election, borrowings under the Revolving Facility will bear interest either at the base rate plus an applicable interest margin or the adjusted LIBO rate plus an applicable interest margin; provided, however, that all swingline loans will be base rate loans. The base rate is a fluctuating interest rate equal to the highest of: (i) Wells Fargo's publicly announced prime lending rate; (ii) the federal funds rate plus 0.50%; and (iii) the adjusted LIBO rate, determined on a daily basis for an interest period of one month, plus 1.0%. The adjusted LIBO rate is the rate per annum obtained by dividing (i) the London Interbank Offered Rate ("LIBOR") for such interest period by (ii) a percentage equal to 1.00 minus the Eurodollar Reserve Percentage (as defined in the Credit Agreement). The interest margin over the adjusted LIBO rate, initially set at 2.75%, may increase (to a maximum amount of 3.0%) or decrease (to a minimum amount of 2.0%) based on changes in the Company's leverage ratio. The interest margin over the base rate, initially set at 1.75%, may increase (to a maximum amount of 2.0%) or decrease (to a minimum amount of 1.0%) based on changes in the Company's leverage ratio. | ||||||||
In addition to interest payable on the principal amount of indebtedness outstanding from time to time under the Credit Agreement, the Company is required to pay a commitment fee, initially equal to 0.40% per annum of the unused amount of the Revolving Facility. The percentage rate of such fee may increase (to a maximum amount of 0.45%) or decrease (to a minimum amount of 0.25%) based on changes in the Borrowers' leverage ratio. The amount of outstanding swingline loans is not considered usage of the Revolving Facility for the purpose of calculating the commitment fee. The Company is also required to pay letter of credit participation fees on the undrawn amount of all outstanding letters of credit. The Company paid fees of approximately $1.7 million to Wells Fargo in connection with the execution of the Credit Agreement, which have been capitalized and are being amortized using a straight line method over the life of the Credit Agreement. | ||||||||
The Company, at its option, may prepay any borrowing, in whole or in part, at any time and from time to time without premium or penalty. However, after the end of the Company's fiscal year (commencing with the fiscal year ending December 31, 2015), the Company is required to make mandatory principal prepayments of loans under the Facilities in an amount determined under the Credit Agreement based upon a percentage of the Company's Excess Cash Flow (as defined in the Credit Agreement) minus certain offset amounts relating to permitted acquisitions. In addition, the Company is required to make principal payments upon the occurrence of certain events, including upon certain dispositions of the Company's assets. | ||||||||
The Credit Agreement contains certain customary representations, warranties and covenants applicable to the Company for the benefit of the Administrative Agent and the lenders. The Company may not assign, sell, transfer or dispose of any collateral or effect certain changes to the Company's capital structure and the capital structure of its subsidiaries without the Administrative Agent's prior consent. The Company's obligations under the Facilities may be accelerated or the commitments terminated upon the occurrence of an event of default under the Credit Agreement, including payment defaults, defaults in the performance of affirmative and negative covenants, the inaccuracy of representations or warranties, bankruptcy and insolvency related defaults, cross defaults to other material indebtedness, defaults arising in connection with changes in control and other customary events of default. | ||||||||
The Credit Agreement also contains financial covenants which the Company must maintain. See the section below, "Financial Covenants" for a presentation of the Company's more significant covenants associated with the Credit Agreement. | ||||||||
Financial Covenants | ||||||||
At September 30, 2013 and December 31, 2012, respectively, the Company was required to comply with various financial covenants set forth in the Credit Agreement. The following describes the Credit Agreement's more significant financial covenants in effect at September 30, 2013 and the calculations used to arrive at each ratio (capitalized terms used but not defined in this paragraph are defined in the Credit Agreement or as otherwise provided below): | ||||||||
Total Leverage Ratio - the ratio of (i) Consolidated Total Debt as of such date to (ii) Consolidated Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization ("Adjusted EBITDA") for the Measurement Period ending on or immediately prior to such date. | ||||||||
Fixed Charge Coverage Ratio - the ratio of (a) Consolidated Adjusted EBITDA less the actual amount paid by the Borrowers and their Subsidiaries in cash on account of Capital Expenditures less cash taxes paid by the Borrowers and their Subsidiaries to (b) Consolidated Fixed Charges, in each case for the Measurement Period ending on or immediately prior to such date. | ||||||||
Reinsurance Ratio - the ratio (expressed as a percentage) of (a) the aggregate amounts recoverable by the Borrowers and its Subsidiaries from reinsurers divided by (b) the sum of (i) policy and claim liabilities plus (ii) unearned premiums, in each case of the Borrowers and their Subsidiaries determined in accordance with GAAP. | ||||||||
Risk-Based Capital ("RBC") Ratio - the ratio (expressed as a percentage) of NAIC RBC (as defined in the NAIC standards) for any Regulated Insurance Company on an individual basis, calculated at the end of any Fiscal Year, to the "authorized control level" (as defined in the NAIC standards). | ||||||||
The following is a summary of the Credit Agreement's more significant financial covenants calculated at September 30, 2013, except for the RBC Ratios, which under the Credit Agreement reflect the ratios calculated as of the most recent fiscal year end, in this case December 31, 2012: | ||||||||
Covenant | Actual At | |||||||
Covenant | Requirement | September 30, 2013 | ||||||
Total leverage ratio | not more than 3.50 | 2.67 | ||||||
Fixed charge coverage ratio | not less than 2.00 | 2.74 | ||||||
Reinsurance ratio | not less than 50% | 69.00% | ||||||
Actual At | ||||||||
RBC Ratios: | 31-Dec-12 | |||||||
RBC Ratio - Bankers Life of Louisiana | not less than 250% | 469.00% | ||||||
RBC Ratio - Southern Financial Life Insurance Company | not less than 250% | 2155.00% | ||||||
RBC Ratio - Insurance Company of the South | not less than 250% | 378.00% | ||||||
RBC Ratio - Lyndon Southern Insurance Company | not less than 250% | 255.00% | ||||||
RBC Ratio - Life of the South Insurance Company | not less than 250% | 386.00% |
Derivative_Financial_Instrumen
Derivative Financial Instruments - Interest Rate Swap | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Text Block] | ' | |||||||||||||||
Derivative Financial Instruments - Interest Rate Swap | ||||||||||||||||
The Company has an interest rate swap (the "Swap") with Wells Fargo Bank, N.A., pursuant to which the Company swapped the floating rate portion of its outstanding preferred trust securities to a fixed rate. The Swap, which is designated as a cash flow hedge, commenced in June 2012 and expires in June 2017. | ||||||||||||||||
The following table summarizes the fair value (including accrued interest) and related outstanding notional amounts of derivative instruments and indicates where within the Consolidated Balance Sheets each is reported: | ||||||||||||||||
Balance Sheet Location | At | |||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||
Derivatives designated as cash flow hedging instruments: | ||||||||||||||||
Interest rate swap - notional value | $ | 35,000 | $ | 35,000 | ||||||||||||
Fair value of the Swap | Accrued expenses, accounts payable and other liabilities | $ | (3,192 | ) | $ | (4,338 | ) | |||||||||
Unrealized loss, net of tax, on the fair value of the Swap | AOCI | $ | (2,075 | ) | $ | (2,820 | ) | |||||||||
Variable rate of the interest rate swap | 0.25 | % | 0.31 | % | ||||||||||||
Fixed rate of the interest rate swap | 3.47 | % | 3.47 | % | ||||||||||||
The following table summarizes the pretax impact of the Swap on the Consolidated Financial Statements for the following periods: | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
(Loss) gain recognized in AOCI on the derivative-effective portion | $ | (263 | ) | $ | (470 | ) | $ | 301 | $ | (1,311 | ) | |||||
Loss reclassified from AOCI into income-effective portion | $ | 286 | $ | 273 | $ | 845 | $ | 313 | ||||||||
Gain (loss) recognized in income on the derivative-ineffective portion | $ | — | $ | — | $ | — | $ | — | ||||||||
The table below shows the estimated amount to be reclassified to earnings from AOCI during the next 12 months. These net losses reclassified into earnings are expected to primarily increase net interest expense related to the respective hedged item. | ||||||||||||||||
At | ||||||||||||||||
September 30, 2013 | ||||||||||||||||
Estimated loss to be reclassified to earnings from AOCI during the next 12 months | $ | 1,119 | ||||||||||||||
StockBased_Compensation
Stock-Based Compensation | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Stock-based compensation [Abstract] | ' | |||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | ' | |||||||||||||||||||||||||||
Stock-Based Compensation | ||||||||||||||||||||||||||||
Stock Options | ||||||||||||||||||||||||||||
The Company granted 60,000 time-based stock options to employees during the three months ended September 30, 2013, which vest in equal portions on each of the four anniversaries of the grant date. During the nine months ended September 30, 2013, the Company granted 228,981 performance-based stock options under the Company's Long-Term Incentive Plan ("LTIP"). The performance-based awards will vest, if at all, should the Company achieve three-year performance goals on or before December 31, 2015 for (i) net revenue (Compound Annual Growth Rate), (ii) earnings growth (Net Income) and (iii) profitable growth (Return on Average Equity). The performance metrics are equally weighted such that achievement of any one target results in vesting of one-third of the total equity award. If any of the target(s) are not attained by December 31, 2015, the one-third portion(s) of the award associated with the unattained target(s) will be canceled. | ||||||||||||||||||||||||||||
A summary of the Company's time- and performance-based stock option activity for the nine months ended September 30, 2013 is presented below: | ||||||||||||||||||||||||||||
Time-Based | Performance-Based | |||||||||||||||||||||||||||
Options Outstanding | Weighted Average Exercise Price (in dollars per share) | Options Exercisable | Weighted Average Exercise Price (in dollars per share) | Options Outstanding | Weighted Average Exercise Price (in dollars per share) | Options Exercisable | Weighted Average Exercise Price (in dollars per share) | |||||||||||||||||||||
Balance, December 31, 2012 | 2,016,231 | $ | 4.38 | 1,690,040 | $ | 3.66 | 185,000 | $ | 8 | — | $ | — | ||||||||||||||||
Granted | 60,000 | 7.62 | — | — | 228,981 | 8.89 | — | — | ||||||||||||||||||||
Vested | — | — | 114,617 | 8.44 | — | — | — | — | ||||||||||||||||||||
Exercised | (6,250 | ) | 7.84 | (6,250 | ) | 7.84 | — | — | — | — | ||||||||||||||||||
Canceled/forfeited | (28,750 | ) | 7.87 | — | — | (60,557 | ) | 8.67 | — | — | ||||||||||||||||||
Balance, September 30, 2013 | 2,041,231 | $ | 4.42 | 1,798,407 | $ | 3.95 | 353,424 | $ | 8.46 | — | $ | — | ||||||||||||||||
Weighted average remaining contractual term at September 30, 2013 (in years) | 4.3 | 3.7 | 9 | 0 | ||||||||||||||||||||||||
The following presents the Company's outstanding and exercisable time- and performance-based stock options by exercise price at September 30, 2013: | ||||||||||||||||||||||||||||
Options Outstanding | Options Exercisable | |||||||||||||||||||||||||||
Exercise Price (in dollars per share) | Option Shares Outstanding | Weighted Average Remaining Contractual Life (in years) | Weighted Average Exercise Price (in dollars per share) | Option Shares Outstanding | Weighted Average Remaining Contractual Life (in years) | Weighted Average Exercise Price (in dollars per share) | ||||||||||||||||||||||
$3.03 | 787,500 | 2.13 | $ | 3.03 | 787,500 | 2.13 | $ | 3.03 | ||||||||||||||||||||
3.25 | 757,963 | 4.07 | 3.25 | 757,963 | 4.07 | 3.25 | ||||||||||||||||||||||
7.62 | 60,000 | 9.92 | 7.62 | — | — | — | ||||||||||||||||||||||
7.84 | 232,500 | 7.75 | 7.84 | 131,676 | 7.75 | 7.84 | ||||||||||||||||||||||
7.93 | 5,000 | 9 | 7.93 | — | — | — | ||||||||||||||||||||||
7.97 | 110,000 | 8.92 | 7.97 | 36,676 | 8.92 | 7.97 | ||||||||||||||||||||||
8 | 170,000 | 8.75 | 8 | — | — | — | ||||||||||||||||||||||
8.89 | 183,424 | 9.25 | 8.89 | — | — | — | ||||||||||||||||||||||
11 | 88,268 | 7.21 | 11 | 84,592 | 7.21 | 11 | ||||||||||||||||||||||
Totals | 2,394,655 | 5.01 | $ | 5.02 | 1,798,407 | 3.74 | $ | 3.95 | ||||||||||||||||||||
Information on time- and performance-based stock options, vested and expected to vest, is as follows: | At | |||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||
Number of shares vested and expected to vest | 2,189,548 | |||||||||||||||||||||||||||
Weighted average remaining contractual life (in years) | 4.62 | |||||||||||||||||||||||||||
Weighted average exercise price per option (in dollars) | $ | 4.66 | ||||||||||||||||||||||||||
Intrinsic value (in thousands) | $ | 8,644 | ||||||||||||||||||||||||||
The weighted average assumptions used to estimate the fair values of the stock options granted is as follows: | ||||||||||||||||||||||||||||
For the Nine Months Ended | ||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||
Expected term (in years) | 7.81 | |||||||||||||||||||||||||||
Expected volatility | 32.37 | % | ||||||||||||||||||||||||||
Expected dividends | — | % | ||||||||||||||||||||||||||
Risk-free rate | 1.54 | % | ||||||||||||||||||||||||||
Restricted Stock Awards | ||||||||||||||||||||||||||||
The Company granted 3,415 and 6,016 time-based restricted stock awards to employees during the three and nine months ended September 30, 2013, respectively, which vest in equal portions on each of the four anniversaries of the grant date. During the nine months ended September 30, 2013, the Company granted 76,326 performance-based restricted stock awards to employees under the LTIP. The performance-based restricted stock awards will vest based on the same criteria as the performance based stock options described in the above section titled, "Stock Options." | ||||||||||||||||||||||||||||
In addition, during the nine months ended September 30, 2013, the Company granted a total of 75,000 time-based restricted stock awards, equally distributed to five of its Directors, which vest in equal portions on each of the three anniversaries of the grant date. | ||||||||||||||||||||||||||||
A summary of the Company's time- and performance-based restricted stock award activity for the nine months ended September 30, 2013 is presented below: | ||||||||||||||||||||||||||||
Time-Based | Performance-Based | |||||||||||||||||||||||||||
Shares | Weighted Average Grant Date Fair Value (in dollars per share) | Shares | Weighted Average Grant Date Fair Value (in dollars per share) | |||||||||||||||||||||||||
Shares outstanding at December 31, 2012 | 103,000 | $ | 8 | 80,861 | $ | 11 | ||||||||||||||||||||||
Granted | 81,016 | 9.39 | 76,326 | 8.89 | ||||||||||||||||||||||||
Vested | (29,336 | ) | 7.48 | — | — | |||||||||||||||||||||||
Forfeited | — | — | (15,185 | ) | 8.89 | |||||||||||||||||||||||
Shares outstanding at September 30, 2013 | 154,680 | $ | 8.83 | 142,002 | $ | 10.09 | ||||||||||||||||||||||
Stock-Based Compensation Expense | ||||||||||||||||||||||||||||
Total time- and performance-based stock-based compensation expense and the related income tax (benefit), as recognized on the Consolidated Statements of Income, is as follows: | ||||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Personnel costs | $ | 226 | $ | 205 | $ | 614 | $ | 447 | ||||||||||||||||||||
Other operating expenses | 131 | 82 | 373 | 210 | ||||||||||||||||||||||||
Income tax benefit | (137 | ) | (110 | ) | (378 | ) | (251 | ) | ||||||||||||||||||||
Net stock-based compensation expense | $ | 220 | $ | 177 | $ | 609 | $ | 406 | ||||||||||||||||||||
Additional information on total non-vested stock-based compensation is as follows: | At | |||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||
Stock Options | Restricted Stock Awards | |||||||||||||||||||||||||||
Unrecognized compensation cost related to non-vested awards | $ | 867 | $ | 1,184 | ||||||||||||||||||||||||
Weighted-average recognition period (in years) | 2.4 | 3.7 | ||||||||||||||||||||||||||
For the three and nine months ended September 30, 2013, the Company did not recognize expense on 183,424 performance-based stock options and 61,141 performance-based restricted stock awards because the attainment of the performance metrics associated with these awards was not probable based on current projections. |
Income_Taxes
Income Taxes | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
Income Tax Disclosure [Text Block] | ' | |||||||||||||||||||||||||||
Income Taxes | ||||||||||||||||||||||||||||
Income taxes for interim periods have been computed using an estimated annual effective tax rate. This rate is revised, if necessary, | ||||||||||||||||||||||||||||
at the end of each successive interim period to reflect the current estimate of the annual effective tax rate. | ||||||||||||||||||||||||||||
The provision for income taxes consisted of the following: | For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Current | $ | 3,394 | $ | 2,568 | $ | 7,358 | $ | 5,697 | ||||||||||||||||||||
Deferred | (1,126 | ) | (171 | ) | (1,310 | ) | 695 | |||||||||||||||||||||
Income taxes | $ | 2,268 | $ | 2,397 | $ | 6,048 | $ | 6,392 | ||||||||||||||||||||
The reconciliation of the income tax expense at the federal statutory income tax rate of 35% is as follows: | ||||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Amount | Percent of Pre-tax Income | Amount | Percent of Pre-tax Income | Amount | Percent of Pre-tax Income | Amount | Percent of Pre-tax Income | |||||||||||||||||||||
Income taxes at federal income tax rate | $ | 1,875 | 35 | % | $ | 2,258 | 35 | % | $ | 5,977 | 35 | % | $ | 6,243 | 35 | % | ||||||||||||
Effect of: | ||||||||||||||||||||||||||||
Small life deduction | (197 | ) | (3.68 | ) | (140 | ) | (2.17 | ) | (388 | ) | (2.27 | ) | (368 | ) | (2.06 | ) | ||||||||||||
Non-deductible expenses | 34 | 0.63 | 17 | 0.26 | 81 | 0.47 | 87 | 0.49 | ||||||||||||||||||||
Tax exempt interest | (38 | ) | (0.71 | ) | (23 | ) | (0.36 | ) | (109 | ) | (0.64 | ) | (73 | ) | (0.41 | ) | ||||||||||||
State taxes | 170 | 3.17 | 67 | 1.04 | 415 | 2.43 | 319 | 1.79 | ||||||||||||||||||||
Prior year tax true-up | 312 | 5.82 | 116 | 1.8 | 312 | 1.83 | 103 | 0.58 | ||||||||||||||||||||
Non-controlling interest | 47 | 0.88 | — | — | (304 | ) | (1.78 | ) | — | — | ||||||||||||||||||
Other, net | 65 | 1.21 | 102 | 1.58 | 64 | 0.37 | 81 | 0.45 | ||||||||||||||||||||
Income taxes | $ | 2,268 | 42.32 | % | $ | 2,397 | 37.15 | % | $ | 6,048 | 35.41 | % | $ | 6,392 | 35.84 | % | ||||||||||||
The Company's majority-owned subsidiary, ProtectCELL, is taxed as a partnership, therefore, the non-controlling interest is recorded on a pre-tax basis, and the tax effect is shown in the income tax rate reconciliation in the above table. The Company records tax balances only on its ownership interest in ProtectCELL. | ||||||||||||||||||||||||||||
As of September 30, 2013, the Company has fully utilized its net operating loss carryforward which was subject to limitation under Section 382 of the Internal Revenue Code ("IRC"). | ||||||||||||||||||||||||||||
The Company has research and experimentation tax credit carry forwards for federal and state income tax purposes in the amount of $0.5 million and $0.2 million, respectively. The Federal Research Credit is also subject to certain limitations under IRC Section 382. The Federal Research Credit carry forwards will begin to expire in 2019. The Company carries a $0.2 million liability against the deferred tax asset associated with these credits, unchanged in the current period. | ||||||||||||||||||||||||||||
During the later part of 2012, the Company was under examination by the Internal Revenue Service ("IRS") for the 2009 and 2010 tax years. In February 2013, the IRS completed its field audit for those tax years and in March 2013, the Company received notice from the IRS that the audit report has been fully approved. The Company has agreed to those findings and paid $57.0 thousand, which was expensed during the first quarter of 2013. | ||||||||||||||||||||||||||||
The Company has reviewed its uncertain tax positions and management has concluded that there are no additional amounts required to be recorded in accordance with ASC 740-10. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value Disclosures [Text Block] | ' | |||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||||
The carrying and fair values of financial instruments are as follows: | At | |||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | |||||||||||||
Financial assets: | ||||||||||||||||
Cash and cash equivalents | $ | 17,213 | $ | 17,213 | $ | 15,209 | $ | 15,209 | ||||||||
Fixed maturity securities: | ||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | 49,439 | 49,439 | 23,178 | 23,178 | ||||||||||||
Municipal securities | 22,750 | 22,750 | 17,041 | 17,041 | ||||||||||||
Corporate securities | 50,491 | 50,491 | 70,008 | 70,008 | ||||||||||||
Mortgage-backed securities | 80 | 80 | 289 | 289 | ||||||||||||
Asset-backed securities | — | — | 125 | 125 | ||||||||||||
Equity securities: | ||||||||||||||||
Common stock - publicly traded | 44 | 44 | 42 | 42 | ||||||||||||
Preferred stock - publicly traded | 5,264 | 5,264 | 5,107 | 5,107 | ||||||||||||
Common stock - non-publicly traded | 51 | 51 | 58 | 58 | ||||||||||||
Preferred stock - non-publicly traded | 1,013 | 1,013 | 1,013 | 1,013 | ||||||||||||
Notes receivable | 5,818 | 5,818 | 11,290 | 11,290 | ||||||||||||
Accounts and premiums receivable, net | 32,785 | 32,785 | 27,302 | 27,302 | ||||||||||||
Other receivables | 36,109 | 36,109 | 13,393 | 13,393 | ||||||||||||
Short-term investments | 971 | 971 | 1,222 | 1,222 | ||||||||||||
Total financial assets | $ | 222,028 | $ | 222,028 | $ | 185,277 | $ | 185,277 | ||||||||
Financial liabilities: | ||||||||||||||||
Note payable | $ | 82,750 | $ | 82,750 | $ | 89,438 | $ | 89,438 | ||||||||
Preferred trust securities | 35,000 | 35,000 | 35,000 | 35,000 | ||||||||||||
Interest rate swap | 3,192 | 3,192 | 4,338 | 4,338 | ||||||||||||
Total financial liabilities | $ | 120,942 | $ | 120,942 | $ | 128,776 | $ | 128,776 | ||||||||
The Company's financial assets and liabilities accounted for at fair value by level within the fair value hierarchy are as follows: | ||||||||||||||||
At September 30, 2013 | Fair Value Measurements Using: | |||||||||||||||
Quoted prices in active markets for identical assets | Significant other observable inputs | Significant unobservable inputs | ||||||||||||||
Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Financial Assets: | ||||||||||||||||
Fixed maturity securities: | ||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 49,439 | $ | — | $ | 49,439 | $ | — | ||||||||
Municipal securities | 22,750 | — | 22,750 | — | ||||||||||||
Corporate securities | 50,491 | — | 50,491 | — | ||||||||||||
Mortgage-backed securities | 80 | — | 80 | — | ||||||||||||
Asset-backed securities | — | — | — | — | ||||||||||||
Equity securities: | ||||||||||||||||
Common stock - publicly traded | 44 | 44 | — | — | ||||||||||||
Preferred stock - publicly traded | 5,264 | 5,264 | — | — | ||||||||||||
Common stock - non-publicly traded | 51 | — | — | 51 | ||||||||||||
Preferred stock - non-publicly traded | 1,013 | — | — | 1,013 | ||||||||||||
Short-term investments | 971 | 971 | — | — | ||||||||||||
Total assets | $ | 130,103 | $ | 6,279 | $ | 122,760 | $ | 1,064 | ||||||||
Financial Liabilities: | ||||||||||||||||
Interest rate swap | $ | 3,192 | $ | — | $ | 3,192 | $ | — | ||||||||
At December 31, 2012 | Fair Value Measurements Using: | |||||||||||||||
Quoted prices in active markets for identical assets | Significant other observable inputs | Significant unobservable inputs | ||||||||||||||
Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Financial Assets: | ||||||||||||||||
Fixed maturity securities: | ||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 23,178 | $ | — | $ | 23,178 | $ | — | ||||||||
Municipal securities | 17,041 | — | 17,041 | — | ||||||||||||
Corporate securities | 70,008 | — | 69,956 | 52 | ||||||||||||
Mortgage-backed securities | 289 | — | 289 | — | ||||||||||||
Asset-backed securities | 125 | — | 125 | — | ||||||||||||
Equity securities: | ||||||||||||||||
Common stock - publicly traded | 42 | 42 | — | — | ||||||||||||
Preferred stock - publicly traded | 5,107 | 5,107 | — | — | ||||||||||||
Common stock - non-publicly traded | 58 | — | — | 58 | ||||||||||||
Preferred stock - non-publicly traded | 1,013 | — | — | 1,013 | ||||||||||||
Short-term investments | 1,222 | 1,222 | — | — | ||||||||||||
Total Assets | $ | 118,083 | $ | 6,371 | $ | 110,589 | $ | 1,123 | ||||||||
Financial Liabilities: | ||||||||||||||||
Interest rate swap | $ | 4,338 | $ | — | $ | 4,338 | $ | — | ||||||||
The Company did not transfer any fixed maturity or equity securities between Level 1 and Level 2 for the nine months ended September 30, 2013. For the nine months ended September 30, 2013, 1 corporate security was transferred from Level 3 to Level 2. This transfer occurred due to the availability of Level 2 pricing for the corporate security, which was unavailable in prior periods. The Company's use of Level 3 unobservable inputs included 6 individual securities that accounted for 0.8% of total investments at September 30, 2013. The Company utilized an independent third party pricing service to value 3 of the Level 3 securities. The value of 2 equity securities in Level 3, which are non-publicly traded preferred stocks, were calculated by the Company. One of the equity securities, with a value of $1.0 million, was valued by taking into account the strength of the issuer's parent company guaranteeing the dividend of the issuer. The second Level 3 equity security, with a value of $13.0 thousand was valued by estimating the total value of the Class-A shares outstanding by the issuer and a review of the issuer's audited financial statements. At December 31, 2012, the Company had 7 individual securities valued under Level 3 that accounted for 1.0% of total investments. | ||||||||||||||||
The following table summarizes the changes in Level 3 assets measured at fair value: | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | |||||||||||||||
Beginning balance, January 1, | $ | 1,123 | $ | 1,204 | ||||||||||||
Total realized and (unrealized) investment gains (losses): | ||||||||||||||||
Included in net income | — | — | ||||||||||||||
Included in other comprehensive (loss) | (32 | ) | (19 | ) | ||||||||||||
Sales | — | (47 | ) | |||||||||||||
Transfers (out of) into Level 3 | (27 | ) | (7 | ) | ||||||||||||
Ending balance, September 30, | $ | 1,064 | $ | 1,131 | ||||||||||||
Statutory_Reporting_and_Insura
Statutory Reporting and Insurance Subsidiaries Dividend Restrictions | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Statutory Reporting and Dividend Restrictions [Abstract] | ' | |||||||
Statutory Reporting and Dividend Restrictions Disclosure [Table Text Block] | ' | |||||||
Statutory Reporting and Insurance Subsidiaries Dividend Restrictions | ||||||||
The Company's insurance subsidiaries may pay dividends to the Company, subject to statutory restrictions. Payments in excess of statutory restrictions (extraordinary dividends) to the Company are permitted only with prior approval of the insurance department of the applicable state of domicile. All dividends from subsidiaries were eliminated in the Consolidated Financial Statements. | ||||||||
The following table sets forth the dividends paid to the Company by its insurance company subsidiaries for the following periods: | ||||||||
For the Nine Months Ended | For the Twelve Months Ended | |||||||
September 30, 2013 | 31-Dec-12 | |||||||
Ordinary dividends | $ | 231 | $ | 2,783 | ||||
Extraordinary dividends | — | — | ||||||
Total dividends | $ | 231 | $ | 2,783 | ||||
The following table details the combined statutory capital and surplus of the Company's insurance subsidiaries, the required minimum statutory capital and surplus, as required by the laws of the states in which they are domiciled and the combined amount available for ordinary dividends of the Company's insurance subsidiaries for the following periods: | ||||||||
At | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
Combined statutory capital and surplus of the Company's insurance subsidiaries | $ | 61,762 | $ | 53,885 | ||||
Required minimum statutory capital and surplus | $ | 17,200 | $ | 15,300 | ||||
Amount available for ordinary dividends of the Company's insurance subsidiaries | $ | 2,065 | $ | 4,500 | ||||
Under the NAIC's Risk-Based Capital Act of 1995, a company's Risk-Based Capital ("RBC") is calculated by applying certain risk factors to various asset, claim and reserve items. If a company's adjusted surplus falls below calculated RBC thresholds, regulatory intervention or oversight is required. The Company's insurance subsidiaries' RBC levels, as calculated in accordance with the NAIC's RBC instructions, exceeded all RBC thresholds as of September 30, 2013 and December 31, 2012, respectively. | ||||||||
The amount of ordinary dividends available from the Company's two subsidiaries domiciled in the state of Georgia, Life of the South Insurance Company and The Insurance Company of the South, was impacted in the third quarter of 2013 by a change in Georgia's Insurance Regulations. Previously, the maximum amount of ordinary dividends payable in any one year by an insurer domiciled in Georgia was defined as the greater of a) 10 percent of the insurer's surplus with regards to policyholders as of December 31 of the preceding year, or b) the net gain from operations of the insurer (for life companies) or the net income not including realized capital gains (for non-life companies) for the 12 month period ending December 31 of the preceding year. Now, the maximum ordinary dividend is defined as the lesser of these two measures. This regulation change reduced the amount of ordinary dividends available from the insurance companies at September 30, 2013 by $2.2 million. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies Disclosure [Text Block] | ' |
Commitments and Contingencies | |
Commitments | |
The Company may, from time to time and in the ordinary course of normal business, enter into certain contractual obligations or commitments. | |
As part of the 2012 acquisition of ProtectCELL, the Company has a conditional commitment to provide up to $10.2 million of additional capital ("Additional Fortegra Capital Contributions") to ProtectCELL if the board of directors of ProtectCELL (the "PC Board") determines that ProtectCELL requires additional funds to support expansion and growth, or other appropriate business needs. | |
The Company is obligated to evaluate any such funding request received from the PC Board in good faith to determine whether in the Company's reasonable business judgment the requested capital should be contributed. Fortegra is not required to honor the funding request from the PC Board if it in good faith deems the request to be imprudent or unjustified. | |
The benefits of such additional funding would inure to the Company and to the non-controlling ownership interest of ProtectCELL, in proportion to their respective ownership interests. However, in return for each $1,000 of Additional Fortegra Capital Contributions, the Company would receive one Series A Preferred Unit. Any unreturned Series A Preferred contribution is deducted from ProtectCELL's valuation in determining the option price. | |
Contingencies | |
The Company is a party to claims and litigation in the normal course of its operations. Management believes that the ultimate outcome of such matters in existence at September 30, 2013 are reserved against, covered by insurance or would not have a material adverse effect on the consolidated financial condition, results of operations or cash flows of the Company. | |
In the Payment Protection segment, the Company is currently a defendant in Mullins v. Southern Financial Life Insurance Co., which was filed on February 2, 2006, in the Pike Circuit Court, in the Commonwealth of Kentucky. A class was certified on June 25, 2010. At issue is the duration or term of coverage under certain policies. The action alleges violations of the Consumer Protection Act and certain insurance statutes, as well as common law fraud. The action seeks compensatory and punitive damages, attorney fees and interest. The parties are currently involved in the merits discovery phase and discovery disputes have arisen. Plaintiffs filed a Motion for Sanctions on April 5, 2012 in connection with the Company's efforts to locate and gather certificates and other documents from the Company's agents. While the court did not award sanctions, it did order the Company to subpoena certain records from its agents. In an effort to prevent the trial court from enforcing the order, the Company filed a Writ of Prohibition, which the Kentucky Court of Appeals denied on August 31, 2012. In response, the Company filed a motion for discretionary review of the Writ of Prohibition. The Company also filed a direct appeal of the same order, on the grounds that the order could be construed as a finding of contempt on the part of the Company. The Court of Appeals dismissed the direct appeal on September 13, 2013, which prompted the Company to file a motion for discretionary review of the direct appeal. The Kentucky Supreme Court is currently reviewing both the Writ of Prohibition and the direct appeal. To date, no trial date has been set. | |
In the Motor Clubs business of the Payment Protection segment, the Company is currently a defendant in Dill and Thurman v. Continental Car Club, Inc. and Fortegra Financial Corp., which was filed on August 18, 2011 in the Tennessee Chancery Court, Rhea County. The Plaintiffs asserted claims for breach of employment and non-competition agreements, among other claims, and sought injunctive relief and damages in connection with the Company's purchase of Continental Car Club, Inc. from Plaintiffs in May 2010. In November 2010, the trial court ruled that the employment agreements, including the non-competition provisions thereof, were enforceable, but that Plaintiffs resigned for good reason from the Company entitling them to severance benefits. However, the Company successfully appealed this ruling to the Tennessee Court of Appeals, which in October 2013 reversed the order awarding severance benefits while upholding the order enforcing the non-competition provisions of the employment agreement. The Company is currently pursuing recovery of Company property and attorney fees. | |
The Company considers such litigation customary in its lines of business. In management's opinion, based on information available at this time, the ultimate resolution of such litigation, which it is vigorously defending, should not be materially adverse to the financial position, results of operations or cash flows of the Company. It should be noted that large punitive damage awards, bearing little relation to actual damages sustained by plaintiffs, have been awarded in certain states against other companies in the credit insurance business. Loss contingencies may be taken as developments warrant, although such amounts are not reasonably estimable at this time. |
Segment_Results
Segment Results | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Segment Reporting Disclosure [Text Block] | ' | |||||||||||||||
Segment Results | ||||||||||||||||
The Company conducts business through three business segments: (i) Payment Protection; (ii) BPO; and (iii) Brokerage. The revenue for each segment is presented below to reflect the operating characteristics of the segment. The Company allocates certain revenues and expenses to the segments. These items consist primarily of corporate-related income, transaction related costs, executive stock compensation and other overhead expenses. Segment assets are not presented to the Company's chief operating decision maker for operational decision-making and therefore are not disclosed in the accompanying table. | ||||||||||||||||
The Company measures the profitability of its business segments with the allocation of Corporate revenues and expenses and without taking into account amortization, depreciation, interest expense and income taxes. The Company refers to this financial performance measure as "segment EBITDA" (earnings before interest, taxes, depreciation and amortization). The Company's financial measure of segment EBITDA meets the definition of a Non-GAAP financial measure and is not a recognized term under U.S. GAAP, nor is it an alternative to the U.S. GAAP financial measures presented in this Form 10-Q. The Non-GAAP financial measure in this Form 10-Q should be used in addition to, but not as a substitute for, the U.S. GAAP financial measures presented elsewhere in this Form 10-Q. The Company believes that this Non-GAAP financial measure provides useful information to management, analysts and investors regarding financial and business trends relating to the Company's results of operations and financial condition. The variability of the Company's segment EBITDA is significantly affected by segment net revenues because a large portion of the Company's operating expenses are fixed. The Company's industry peers may also provide similar supplemental Non-GAAP financial measures, although they may not use the same or comparable terminology and may not make identical adjustments. | ||||||||||||||||
The following table presents the Company's business segment results: | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
Segment Net Revenue | ||||||||||||||||
Payment Protection | ||||||||||||||||
Service and administrative fees | $ | 45,248 | $ | 17,519 | $ | 122,016 | $ | 52,281 | ||||||||
Ceding commission | 8,732 | 11,122 | 22,852 | 25,396 | ||||||||||||
Net investment income | 771 | 744 | 2,432 | 2,219 | ||||||||||||
Net realized investment gains | 756 | (16 | ) | 2,043 | (6 | ) | ||||||||||
Other income (1) | 177 | 52 | 929 | 172 | ||||||||||||
Net earned premium | 34,105 | 33,893 | 100,928 | 97,770 | ||||||||||||
Net losses and loss adjustment expenses | (9,957 | ) | (11,430 | ) | (31,096 | ) | (32,272 | ) | ||||||||
Member benefit claims | (13,834 | ) | (1,157 | ) | (34,624 | ) | (3,558 | ) | ||||||||
Commissions | (43,175 | ) | (33,377 | ) | (120,148 | ) | (96,647 | ) | ||||||||
Total Payment Protection Net Revenue | 22,823 | 17,350 | 65,332 | 45,355 | ||||||||||||
BPO | 3,717 | 4,951 | 11,900 | 13,565 | ||||||||||||
Brokerage | ||||||||||||||||
Brokerage commissions and fees | 8,789 | 8,411 | 28,411 | 27,295 | ||||||||||||
Service and administrative fees | 274 | 428 | 1,107 | 1,349 | ||||||||||||
Total Brokerage | 9,063 | 8,839 | 29,518 | 28,644 | ||||||||||||
Total segment net revenue | 35,603 | 31,140 | 106,750 | 87,564 | ||||||||||||
Operating Expenses | ||||||||||||||||
Payment Protection | 15,833 | 9,563 | 44,805 | 26,205 | ||||||||||||
BPO | 2,370 | 3,836 | 8,706 | 10,320 | ||||||||||||
Brokerage | 7,296 | 7,268 | 22,016 | 21,577 | ||||||||||||
Total operating expenses | 25,499 | 20,667 | 75,527 | 58,102 | ||||||||||||
EBITDA | ||||||||||||||||
Payment Protection | 6,990 | 7,787 | 20,527 | 19,150 | ||||||||||||
BPO | 1,347 | 1,115 | 3,194 | 3,245 | ||||||||||||
Brokerage | 1,767 | 1,571 | 7,502 | 7,067 | ||||||||||||
Total EBITDA | 10,104 | 10,473 | 31,223 | 29,462 | ||||||||||||
Depreciation and Amortization | ||||||||||||||||
Payment Protection | 1,736 | 863 | 5,145 | 2,577 | ||||||||||||
BPO | 845 | 494 | 2,512 | 1,495 | ||||||||||||
Brokerage | 667 | 641 | 2,004 | 2,287 | ||||||||||||
Total depreciation and amortization | 3,248 | 1,998 | 9,661 | 6,359 | ||||||||||||
Interest Expense | ||||||||||||||||
Payment Protection | 1,022 | 1,359 | 3,044 | 3,342 | ||||||||||||
BPO | 176 | 294 | 528 | 820 | ||||||||||||
Brokerage | 303 | 372 | 917 | 1,105 | ||||||||||||
Total interest expense | 1,501 | 2,025 | 4,489 | 5,267 | ||||||||||||
Income before income taxes and non-controlling interests | ||||||||||||||||
Payment Protection | 4,232 | 5,565 | 12,338 | 13,231 | ||||||||||||
BPO | 326 | 327 | 154 | 930 | ||||||||||||
Brokerage | 797 | 558 | 4,581 | 3,675 | ||||||||||||
Total income before income taxes and non-controlling interests | 5,355 | 6,450 | 17,073 | 17,836 | ||||||||||||
Income taxes | 2,268 | 2,397 | 6,048 | 6,392 | ||||||||||||
Less: net (loss) income attributable to non-controlling interests | (135 | ) | 29 | 868 | 62 | |||||||||||
Net income | $ | 3,222 | $ | 4,024 | $ | 10,157 | $ | 11,382 | ||||||||
(1) - Includes the $402 gain on sale of subsidiary for the nine months ended September 30, 2013. | ||||||||||||||||
The following table reconciles segment information to the Company's Consolidated Statements of Income and provides a summary of other key financial information for each segment: | ||||||||||||||||
Reconciliation of Segment Net Revenue to Total Revenue and EBITDA to Net Income | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
Segment Net Revenue | ||||||||||||||||
Payment Protection (1) | $ | 22,823 | $ | 17,350 | $ | 65,332 | $ | 45,355 | ||||||||
BPO | 3,717 | 4,951 | 11,900 | 13,565 | ||||||||||||
Brokerage | 9,063 | 8,839 | 29,518 | 28,644 | ||||||||||||
Segment net revenues | 35,603 | 31,140 | 106,750 | 87,564 | ||||||||||||
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 | ||||||||||||
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 | ||||||||||||
Commissions | 43,175 | 33,377 | 120,148 | 96,647 | ||||||||||||
Total segment revenue | 102,569 | 77,104 | 292,618 | 220,041 | ||||||||||||
Operating Expenses | ||||||||||||||||
Payment Protection | 15,833 | 9,563 | 44,805 | 26,205 | ||||||||||||
BPO | 2,370 | 3,836 | 8,706 | 10,320 | ||||||||||||
Brokerage | 7,296 | 7,268 | 22,016 | 21,577 | ||||||||||||
Total operating expenses | 25,499 | 20,667 | 75,527 | 58,102 | ||||||||||||
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 | ||||||||||||
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 | ||||||||||||
Commissions | 43,175 | 33,377 | 120,148 | 96,647 | ||||||||||||
Total operating expenses before depreciation, amortization and interest expense | 92,465 | 66,631 | 261,395 | 190,579 | ||||||||||||
EBITDA | ||||||||||||||||
Payment Protection | 6,990 | 7,787 | 20,527 | 19,150 | ||||||||||||
BPO | 1,347 | 1,115 | 3,194 | 3,245 | ||||||||||||
Brokerage | 1,767 | 1,571 | 7,502 | 7,067 | ||||||||||||
Total EBITDA | 10,104 | 10,473 | 31,223 | 29,462 | ||||||||||||
Depreciation and Amortization | ||||||||||||||||
Payment Protection | 1,736 | 863 | 5,145 | 2,577 | ||||||||||||
BPO | 845 | 494 | 2,512 | 1,495 | ||||||||||||
Brokerage | 667 | 641 | 2,004 | 2,287 | ||||||||||||
Total depreciation and amortization | 3,248 | 1,998 | 9,661 | 6,359 | ||||||||||||
Interest Expense | ||||||||||||||||
Payment Protection | 1,022 | 1,359 | 3,044 | 3,342 | ||||||||||||
BPO | 176 | 294 | 528 | 820 | ||||||||||||
Brokerage | 303 | 372 | 917 | 1,105 | ||||||||||||
Total interest expense | 1,501 | 2,025 | 4,489 | 5,267 | ||||||||||||
Income before income taxes and non-controlling interests | ||||||||||||||||
Payment Protection | 4,232 | 5,565 | 12,338 | 13,231 | ||||||||||||
BPO | 326 | 327 | 154 | 930 | ||||||||||||
Brokerage | 797 | 558 | 4,581 | 3,675 | ||||||||||||
Reconciliation of Segment Net Revenue to Total Revenue and EBITDA to Net Income | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
Total income before income taxes and non-controlling interests | 5,355 | 6,450 | 17,073 | 17,836 | ||||||||||||
Income taxes | 2,268 | 2,397 | 6,048 | 6,392 | ||||||||||||
Less: net (loss) income attributable to non-controlling interests | (135 | ) | 29 | 868 | 62 | |||||||||||
Net income | $ | 3,222 | $ | 4,024 | $ | 10,157 | $ | 11,382 | ||||||||
(1) - Includes the $402 gain on sale of subsidiary for the nine months ended September 30, 2013. |
Related_Party_Transactions
Related Party Transactions | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Related Party Transactions [Abstract] | ' | |||||||||||||||
Related Party Transactions Disclosure [Text Block] | ' | |||||||||||||||
Related Party Transactions | ||||||||||||||||
In conjunction with the December 31, 2012 acquisition of ProtectCELL, the Company assumed an office space lease between ProtectCELL and 39500 High Pointe, LLC ("High Pointe"). The ownership of High Pointe includes three members who were the founding members of ProtectCELL and are now employees of the Company. The Company made lease payments to High Pointe during the three and nine months ended September 30, 2013, which are reflected in the table below. | ||||||||||||||||
At December 31, 2012, ProtectCELL held a $6.1 million note receivable carrying an interest rate of 8.00% from High Pointe, which was fully secured by a mortgage on the office building owned by High Pointe (see above lease). On March 15, 2013, ProtectCELL received $6.1 million from High Pointe, representing the full payoff of the outstanding balance of the note receivable. The Company only recorded interest income on this note receivable during the three months ended March 31, 2013. | ||||||||||||||||
An executive officer of ProtectCELL owns multiple wireless retail locations, which sell ProtectCELL protection plans to wireless retail customers. For the three and nine months ended September 30, 2013, the Company recorded income from and paid commissions for this related party arrangement, which are reflected in the table below. | ||||||||||||||||
In conjunction with the December 31, 2012 acquisition of 4Warranty, the Company assumed an office space lease between 4Warranty and Source International Incorporated ("Source"), effective January 1, 2013. The ownership of Source is comprised of two individuals who have consulting relationships with the Company. The Company made lease payments to Source for the three and nine months ended September 30, 2013, which are reflected in the table below. | ||||||||||||||||
In January 2012, the Company recorded a receivable due from an officer of the Company relating to the 2010 acquisition of South Bay Acceptance Corporation, which had a balance of $0.1 million at September 30, 2013 and December 31, 2012, respectively. | ||||||||||||||||
In December 2011, the Company entered into an information technology support services agreement (the "IT Agreement") with a company for which a member serving on the Company's Board of Directors also serves on the board of the company receiving the information technology support services from the Company. The IT Agreement has no set term and calls for a total of $0.3 million plus reimbursement of expenses to be received by the Company over the duration of the agreement. The Company recorded income from the IT Agreement during the nine months ended September 30, 2012, which is reflected in the table below. | ||||||||||||||||
In December 2011, the Company entered into a marketing and referral agreement (the "Marketing Agreement") with a company in which a member serving on the Company's Board of Directors also serves on the board of the company providing the marketing services (the "Marketer"). The Marketing Agreement has a five year term and requires the Company to pay the Marketer a per account fee per month based on the number of enrolled customers the Marketer obtains for the Company. In conjunction with this Marketing Agreement, during April 2013, the Company entered into an agreement under which the Marketer began selling insurance-related products of the Company to the Marketer's customers. The Company recorded income and paid claims, associated with the sale of the Company's insurance-related products, for the three and nine months ended September 30, 2013, which are reflected in the table below. | ||||||||||||||||
The following table details the amounts recorded on the Company's Consolidated Balance Sheets and Consolidated Statements of Income resulting from related party transactions: | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
Income recorded by ProtectCELL for protection plans sold | $ | 537 | $ | — | $ | 1,639 | $ | — | ||||||||
Income recorded for the sale of the Company's insurance-related products under the Marketing Agreement | 324 | — | 592 | — | ||||||||||||
Income recorded from the IT Agreement | — | — | — | 218 | ||||||||||||
Total related party income recorded by the Company | $ | 861 | $ | — | $ | 2,231 | $ | 218 | ||||||||
Interest income recorded on related party notes receivable | $ | — | $ | — | $ | 21 | $ | — | ||||||||
Lease expense paid to 39500 High Pointe, LLC | $ | 103 | $ | — | $ | 300 | $ | — | ||||||||
Lease expense paid to Source International Incorporated | 29 | — | 87 | — | ||||||||||||
Total related party lease expense | $ | 132 | $ | — | $ | 387 | $ | — | ||||||||
Commissions paid by ProtectCELL for protection plans sold | $ | 200 | $ | — | $ | 651 | $ | — | ||||||||
Claims paid on the Company's insurance-related products under the Marketing Agreement | $ | 26 | $ | — | $ | 26 | $ | — | ||||||||
At | ||||||||||||||||
September 30, 2013 | 31-Dec-12 | |||||||||||||||
Notes receivable from related parties | $ | 134 | $ | 6,269 | ||||||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||||||||||
Consolidation, Policy [Policy Text Block] | ' | |||||||||||||||||||
Principles of Consolidation | ||||||||||||||||||||
The Consolidated Financial Statements include the accounts of Fortegra Financial Corporation and its majority-owned and controlled subsidiaries. All material intercompany account balances and transactions have been eliminated. The third-party ownership of 15% of the common stock of SFLAC and 37.6% of the ownership interests of ProtectCELL, LLC, which is treated as a partnership for income tax purposes, have been reflected as non-controlling interests on the Consolidated Balance Sheets. At September 30, 2013, the non-controlling interests for ProtectCELL and SFLAC were $4.9 million and $0.6 million, respectively. | ||||||||||||||||||||
Income (loss) attributable to these non-controlling interests has been reflected on the Consolidated Statements of Income as income (loss) attributable to non-controlling interests and on the Consolidated Statements of Comprehensive Income as comprehensive income (loss) attributable to non-controlling interests. | ||||||||||||||||||||
Certain changes to the Consolidated Balance Sheet amounts for December 31, 2012 have been made in accordance with accounting for business combinations, to reflect the retrospective adjustments made during the measurement period, to the preliminary amounts recorded for the estimated fair value of acquired net assets. Please see the note, "Business Acquisitions and Dispositions," for more information on the measurement period adjustments. | ||||||||||||||||||||
Comprehensive Income, Policy [Policy Text Block] | ' | |||||||||||||||||||
Comprehensive Income (Loss) | ||||||||||||||||||||
Comprehensive income (loss) includes both net income and other items of comprehensive income (loss) comprised of unrealized gains and losses on investment securities classified as available-for-sale and unrealized gains and losses on the interest rate swap, net of the related tax effects, and net of amounts attributable to non-controlling interests. | ||||||||||||||||||||
Use of Estimates, Policy [Policy Text Block] | ' | |||||||||||||||||||
Use of Estimates | ||||||||||||||||||||
Preparation of financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||||||||||||||
Comparability of Prior Year Financial Data, Policy [Policy Text Block] | ' | |||||||||||||||||||
Reclassifications | ||||||||||||||||||||
Certain items in prior period financial statements have been reclassified to conform to the current presentation, which had no material impact on net income, comprehensive income or loss, net cash provided by operating activities or stockholders' equity. The table below shows costs previously reported as components of other operating expenses that have been reclassified into member benefit claims for the three months ended March 31, 2013 and June 30, 2013. | ||||||||||||||||||||
For the Three Months Ended | ||||||||||||||||||||
31-Mar-13 | 30-Jun-13 | |||||||||||||||||||
Income Statement Line Item | As Previously Reported | Amount Reclassified | As Restated | As Previously Reported | Amount Reclassified | As Restated | ||||||||||||||
Member benefit claims | $ | 8,978 | $ | 388 | $ | 9,366 | $ | 11,114 | $ | 310 | $ | 11,424 | ||||||||
Other operating expenses | 9,805 | (388 | ) | 9,417 | 10,481 | (310 | ) | 10,171 | ||||||||||||
Net Income | $ | 2,493 | $ | — | $ | 2,493 | $ | 4,442 | $ | — | $ | 4,442 | ||||||||
Income Tax, Policy [Policy Text Block] | ' | |||||||||||||||||||
Income taxes for interim periods have been computed using an estimated annual effective tax rate. This rate is revised, if necessary, | ||||||||||||||||||||
at the end of each successive interim period to reflect the current estimate of the annual effective tax rate. | ||||||||||||||||||||
Segment Reporting, Policy [Policy Text Block] | ' | |||||||||||||||||||
The Company conducts business through three business segments: (i) Payment Protection; (ii) BPO; and (iii) Brokerage. The revenue for each segment is presented below to reflect the operating characteristics of the segment. The Company allocates certain revenues and expenses to the segments. These items consist primarily of corporate-related income, transaction related costs, executive stock compensation and other overhead expenses. Segment assets are not presented to the Company's chief operating decision maker for operational decision-making and therefore are not disclosed in the accompanying table. | ||||||||||||||||||||
The Company measures the profitability of its business segments with the allocation of Corporate revenues and expenses and without taking into account amortization, depreciation, interest expense and income taxes. The Company refers to this financial performance measure as "segment EBITDA" (earnings before interest, taxes, depreciation and amortization). The Company's financial measure of segment EBITDA meets the definition of a Non-GAAP financial measure and is not a recognized term under U.S. GAAP, nor is it an alternative to the U.S. GAAP financial measures presented in this Form 10-Q. The Non-GAAP financial measure in this Form 10-Q should be used in addition to, but not as a substitute for, the U.S. GAAP financial measures presented elsewhere in this Form 10-Q. The Company believes that this Non-GAAP financial measure provides useful information to management, analysts and investors regarding financial and business trends relating to the Company's results of operations and financial condition. The variability of the Company's segment EBITDA is significantly affected by segment net revenues because a large portion of the Company's operating expenses are fixed. The Company's industry peers may also provide similar supplemental Non-GAAP financial measures, although they may not use the same or comparable terminology and may not make identical adjustments. | ||||||||||||||||||||
Subsequent Events, Policy [Policy Text Block] | ' | |||||||||||||||||||
Subsequent Events | ||||||||||||||||||||
The Company reviewed material events subsequent to September 30, 2013 that occurred up to the date the Company's Consolidated Financial Statements were issued, and determined that no events required recognition or disclosure in these Consolidated Financial Statements and/or the notes thereto. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies Reclassifications (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Accounting Policies [Abstract] | ' | |||||||||||||||||||
Schedule of Error Corrections and Prior Period Adjustments [Table Text Block] | ' | |||||||||||||||||||
For the Three Months Ended | ||||||||||||||||||||
31-Mar-13 | 30-Jun-13 | |||||||||||||||||||
Income Statement Line Item | As Previously Reported | Amount Reclassified | As Restated | As Previously Reported | Amount Reclassified | As Restated | ||||||||||||||
Member benefit claims | $ | 8,978 | $ | 388 | $ | 9,366 | $ | 11,114 | $ | 310 | $ | 11,424 | ||||||||
Other operating expenses | 9,805 | (388 | ) | 9,417 | 10,481 | (310 | ) | 10,171 | ||||||||||||
Net Income | $ | 2,493 | $ | — | $ | 2,493 | $ | 4,442 | $ | — | $ | 4,442 | ||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | ' | |||||||||||||||
Earnings per share is calculated as follows: | For the Three Months Ended | For the Nine Months Ended | ||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
Numerator: (for both basic and diluted earnings per share) | ||||||||||||||||
Net income | $ | 3,222 | $ | 4,024 | $ | 10,157 | $ | 11,382 | ||||||||
Denominator: | ||||||||||||||||
Total weighted average basic common shares outstanding | 19,405,597 | 19,531,694 | 19,500,430 | 19,705,105 | ||||||||||||
Effect of dilutive stock options and restricted stock awards | 998,911 | 931,544 | 1,030,692 | 914,979 | ||||||||||||
Total weighted average diluted common shares outstanding | 20,404,508 | 20,463,238 | 20,531,122 | 20,620,084 | ||||||||||||
Earnings per share-basic | $ | 0.17 | $ | 0.21 | $ | 0.52 | $ | 0.59 | ||||||||
Earnings per share-diluted | $ | 0.16 | $ | 0.2 | $ | 0.49 | $ | 0.56 | ||||||||
Weighted average anti-dilutive common shares | 809,870 | 567,995 | 762,081 | 431,446 | ||||||||||||
Consolidation_of_Operations_Ch1
Consolidation of Operations Charges (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Consolidation of Operations Charges [Abstract] | ' | ||||||||
Schedule of Restructuring and Related Costs [Table Text Block] | ' | ||||||||
The following is a summary of the charges incurred by the Company: | |||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||
September 30, 2013 | September 30, 2013 | ||||||||
Severance and benefit costs included in personnel expense | $ | — | $ | 1,234 | |||||
Total consolidation of operations costs | $ | — | $ | 1,234 | |||||
Variable_Interest_Entities_Tab
Variable Interest Entities (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Variable Interest Entity, Not Primary Beneficiary, Disclosures [Abstract] | ' | |||||||
Schedule of Variable Interest Entities [Table Text Block] | ' | |||||||
The Company's maximum exposure to loss in the VIE is limited to the outstanding balance of the note receivable (including accrued interest receivable) and the remaining balance of the short term funding, presented in the table below: | ||||||||
At | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
The Company's maximum exposure to loss in the VIE | $ | 1,251 | $ | 1,139 | ||||
Other_Comprehensive_Income_Tab
Other Comprehensive Income (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Other Comprehensive Income [Abstract] | ' | |||||||||||
Schedule of Comprehensive Income (Loss) | ' | |||||||||||
The following schedule presents the activity in accumulated other comprehensive income (loss), ("AOCI") for the following periods: | ||||||||||||
For the Nine Months Ended | ||||||||||||
September 30, 2013 | ||||||||||||
Net unrealized gains (losses) on available-for-sale securities | Net unrealized gain (loss) on interest rate swap | Total | ||||||||||
Balance at December 31, 2012, net of tax | $ | 2,189 | $ | (2,820 | ) | $ | (631 | ) | ||||
Other comprehensive income (loss) before reclassifications: | ||||||||||||
Pre-tax (loss) income | (3,496 | ) | 301 | (3,195 | ) | |||||||
Income tax benefit (expense) | 1,223 | (105 | ) | 1,118 | ||||||||
Other comprehensive (loss) income before reclassifications, net of tax | (2,273 | ) | 196 | (2,077 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income (loss): | ||||||||||||
Pre-tax (income) loss | (2,043 | ) | 845 | (1,198 | ) | |||||||
Income tax expense (benefit) | 716 | (296 | ) | 420 | ||||||||
Amounts reclassified from accumulated other comprehensive (loss) income, net of tax | (1,327 | ) | 549 | (778 | ) | |||||||
Current period other comprehensive (loss) income, net of tax | (3,600 | ) | 745 | (2,855 | ) | |||||||
Less: comprehensive (loss) attributable to non-controlling interests | (15 | ) | — | (15 | ) | |||||||
Balance at September 30, 2013, net of tax | $ | (1,396 | ) | $ | (2,075 | ) | $ | (3,471 | ) | |||
For the Nine Months Ended | ||||||||||||
September 30, 2012 | ||||||||||||
Net unrealized gains (losses) on available-for-sale securities | Net unrealized gain (loss) on interest rate swap | Total | ||||||||||
Balance at December 31, 2011, net of tax | $ | 587 | $ | (2,341 | ) | $ | (1,754 | ) | ||||
Other comprehensive income (loss) before reclassifications: | ||||||||||||
Pre-tax income (loss) | 2,666 | (1,311 | ) | 1,355 | ||||||||
Income tax (expense) benefit | (933 | ) | 458 | (475 | ) | |||||||
Other comprehensive income (loss) before reclassifications, net of tax | 1,733 | (853 | ) | 880 | ||||||||
Amounts reclassified from accumulated other comprehensive income (loss): | ||||||||||||
Pre-tax loss | 6 | 313 | 319 | |||||||||
Income tax (benefit) | (2 | ) | (109 | ) | (111 | ) | ||||||
Amounts reclassified from accumulated other comprehensive income (loss), net of tax | 4 | 204 | 208 | |||||||||
Net current period other comprehensive income (loss), net of taxes | 1,737 | (649 | ) | 1,088 | ||||||||
Less: comprehensive income attributable to non-controlling interests | 7 | — | 7 | |||||||||
Balance at September 30, 2012, net of tax | $ | 2,317 | $ | (2,990 | ) | $ | (673 | ) | ||||
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) | ' | |||||||||||
The following schedule presents the reclassifications out of AOCI for the following periods: | ||||||||||||
For the Three Months Ended | ||||||||||||
September 30, 2013 | September 30, 2012 | Consolidated Statement of Income Location | ||||||||||
Unrealized gains (losses) on available-for-sale securities: | ||||||||||||
Reclassification of gains (losses) included in net income | $ | 756 | $ | (16 | ) | Net realized investment gains (losses) | ||||||
Related tax (expense) benefit | (265 | ) | 6 | Income taxes | ||||||||
Net of tax | $ | 491 | $ | (10 | ) | Net Income | ||||||
Unrealized gain (loss) on interest rate swap: | ||||||||||||
Reclassification of (losses) gain included in net income | $ | (286 | ) | $ | (273 | ) | Interest expense | |||||
Related tax (expense) benefit | 100 | 94 | Income taxes | |||||||||
Net of tax | $ | (186 | ) | $ | (179 | ) | Net Income | |||||
For the Nine Months Ended | ||||||||||||
30-Sep-13 | 30-Sep-12 | Consolidated Statement of Income Location | ||||||||||
Unrealized gains (losses) on available-for-sale securities: | ||||||||||||
Reclassification of gains (losses) included in net income | $ | 2,043 | $ | (6 | ) | Net realized investment gains (losses) | ||||||
Related tax (expense) benefit | (716 | ) | 2 | Income taxes | ||||||||
Net of tax | $ | 1,327 | $ | (4 | ) | Net Income | ||||||
Unrealized loss on interest rate swap: | ||||||||||||
Reclassification of (losses) included in net income | (845 | ) | (313 | ) | Interest expense | |||||||
Related tax benefit | 296 | 109 | Income taxes | |||||||||
Net of tax | $ | (549 | ) | $ | (204 | ) | Net Income |
Business_Acquisitions_and_Disp1
Business Acquisitions and Dispositions (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2013 | ||||||||||||
Business Combinations [Abstract] | ' | |||||||||||
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | ' | |||||||||||
The following table presents the allocation of purchase price recorded for the 2013 acquisition of RICC and the 2012 acquisitions of ProtectCELL and 4Warranty including the effects of the measurement period adjustments recorded in 2013 for the 2012 acquisitions, as discussed above. | ||||||||||||
2012 | 2013 | |||||||||||
Acquisitions | Acquisition | |||||||||||
4Warranty | ProtectCELL | RICC | ||||||||||
Assets: | ||||||||||||
Cash and cash equivalents | $ | 703 | $ | 350 | $ | 1,893 | ||||||
Restricted cash | 72 | 7,438 | — | |||||||||
Investments | — | — | 2,488 | |||||||||
Short-term investments | — | 252 | — | |||||||||
Accrued investment income | — | — | 38 | |||||||||
Notes receivable, net | — | 6,341 | — | |||||||||
Other receivables | 357 | 2,312 | — | |||||||||
Reinsurance receivables | — | — | 200 | |||||||||
Property and equipment, net | 61 | 628 | — | |||||||||
Other intangible assets, net | 1,870 | 18,815 | 375 | |||||||||
Other assets | — | 1,470 | 10 | |||||||||
Liabilities: | ||||||||||||
Unpaid claims | — | (176 | ) | (200 | ) | |||||||
Accrued expenses, accounts payable and other liabilities | (310 | ) | (2,644 | ) | (9 | ) | ||||||
Deferred revenue | (1,260 | ) | (30,000 | ) | — | |||||||
Income taxes payable | (273 | ) | — | — | ||||||||
Deferred income taxes, net | (259 | ) | — | — | ||||||||
Net assets acquired | 961 | 4,786 | 4,795 | |||||||||
Non-controlling interest | — | (4,745 | ) | — | ||||||||
Purchase consideration (1) (2) | 3,625 | 20,000 | 4,795 | |||||||||
Goodwill | $ | 2,664 | $ | 19,959 | $ | — | ||||||
(1) - The purchase consideration for the 4Warranty acquisition includes $0.3 million of contingent consideration and $0.3 million of hold back reserves, which estimates are unchanged in the current period and are expected to be paid out based on the agreed terms of the Stock Purchase Agreement. | ||||||||||||
(2) - The purchase consideration of $20.0 million for the ProtectCELL acquisition represents the 62.4% ownership interest acquired in the transaction, comprised of 62,400 common units and 20,000 preferred units, preliminarily valued at $7.9 million and $12.1 million respectively. |
Goodwill_Tables
Goodwill (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Goodwill [Line Items] | ' | ||||||||||||||||
Schedule of Goodwill [Table Text Block] | ' | ||||||||||||||||
The following table presents goodwill by segment and includes the retrospective adjustments made to the balance of goodwill at December 31, 2012 to reflect the effect of the measurement period adjustments made in accordance with accounting requirements under ASC 805 for the acquisitions of ProtectCELL and 4Warranty: | |||||||||||||||||
Payment Protection | BPO | Brokerage | Total | ||||||||||||||
Balance as originally reported at December 31, 2012 | $ | 52,084 | $ | 12,970 | $ | 54,458 | $ | 119,512 | |||||||||
Valuation adjustments as required under ASC 805 for ProtectCELL | 8,227 | — | — | 8,227 | |||||||||||||
Valuation adjustments as required under ASC 805 for 4Warranty | (60 | ) | — | — | (60 | ) | |||||||||||
Adjusted balance at December 31, 2012 | $ | 60,251 | $ | 12,970 | $ | 54,458 | $ | 127,679 | |||||||||
Balance at | September 30, 2013 | $ | 60,251 | $ | 12,970 | $ | 54,458 | $ | 127,679 | ||||||||
Other_Intangible_Assets_Tables
Other Intangible Assets (Tables) | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Other Intangible Assets [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of Acquired Finite-Lived Intangible Assets by Major Class [Table Text Block] | ' | |||||||||||||||||||||||||||
The following table presents finite-lived other intangible assets and their respective amortization periods and includes the retrospective adjustments made to the balances at December 31, 2012, as required by ASC 805, for the ProtectCELL and 4Warranty acquisitions: | ||||||||||||||||||||||||||||
At | ||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Amortization Period (Years) | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||||||
Finite-lived other intangible assets: | ||||||||||||||||||||||||||||
Customer and agent relationships | 5 | to | 15 | $ | 52,282 | $ | (16,659 | ) | $ | 35,623 | $ | 52,230 | $ | (12,340 | ) | $ | 39,890 | |||||||||||
Tradenames | 8 | to | 10 | 1,200 | (114 | ) | 1,086 | 1,200 | — | 1,200 | ||||||||||||||||||
Software | 2.25 | to | 10 | 10,138 | (4,459 | ) | 5,679 | 10,138 | (3,385 | ) | 6,753 | |||||||||||||||||
Present value of future profits | 0.3 | to | 0.75 | 548 | (548 | ) | — | 548 | (548 | ) | — | |||||||||||||||||
Non-compete agreements | 1.5 | to | 6 | 3,308 | (2,807 | ) | 501 | 3,308 | (2,716 | ) | 592 | |||||||||||||||||
Total finite-lived other intangible assets | $ | 67,476 | $ | (24,587 | ) | $ | 42,889 | $ | 67,424 | $ | (18,989 | ) | $ | 48,435 | ||||||||||||||
Schedule of Indefinite-Lived Intangible Assets [Table Text Block] | ' | |||||||||||||||||||||||||||
The following table presents the carrying amount of indefinite-lived other intangible assets: | At | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Tradenames | $ | 21,875 | $ | 21,875 | ||||||||||||||||||||||||
Licenses | 375 | — | ||||||||||||||||||||||||||
Total | $ | 22,250 | $ | 21,875 | ||||||||||||||||||||||||
Schedule of Finite-Lived Intangible Assets [Table Text Block] | ' | |||||||||||||||||||||||||||
The following table includes the retrospective adjustments made to the balance of other intangible assets at December 31, 2012 to reflect the effect of these measurement period adjustments made in accordance with the accounting requirements under ASC 805 for the acquisitions of ProtectCELL and 4Warranty and the current period activity. | ||||||||||||||||||||||||||||
Balance as originally reported at December 31, 2012 | $ | 79,340 | ||||||||||||||||||||||||||
Valuation adjustments as required under ASC 805 for ProtectCELL | (9,000 | ) | ||||||||||||||||||||||||||
Valuation adjustments as required under ASC 805 for 4Warranty | (30 | ) | ||||||||||||||||||||||||||
Adjusted balance at December 31, 2012 | 70,310 | |||||||||||||||||||||||||||
Intangible assets acquired in 2013 | 427 | |||||||||||||||||||||||||||
Less: Amortization expense | 5,598 | |||||||||||||||||||||||||||
Balance at September 30, 2013 | $ | 65,139 | ||||||||||||||||||||||||||
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | ' | |||||||||||||||||||||||||||
Estimated amortization of finite-lived other intangible assets for the next five years and thereafter ending December 31 is presented below: | ||||||||||||||||||||||||||||
Remainder of 2013 | $ | 1,858 | ||||||||||||||||||||||||||
2014 | 7,427 | |||||||||||||||||||||||||||
2015 | 7,416 | |||||||||||||||||||||||||||
2016 | 6,755 | |||||||||||||||||||||||||||
2017 | 5,399 | |||||||||||||||||||||||||||
Thereafter | 14,034 | |||||||||||||||||||||||||||
Total | $ | 42,889 | ||||||||||||||||||||||||||
Investments_Tables
Investments (Tables) | 9 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||||
Investments [Abstract] | ' | ||||||||||||||||||||||||||
Available-for-sale Securities [Table Text Block] | ' | ||||||||||||||||||||||||||
The following table summarizes the Company's available-for-sale fixed maturity and equity securities: | |||||||||||||||||||||||||||
At | |||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||
Description of Security | Cost or Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 49,610 | $ | 238 | $ | (409 | ) | $ | 49,439 | ||||||||||||||||||
Municipal securities | 23,033 | 96 | (379 | ) | 22,750 | ||||||||||||||||||||||
Corporate securities | 51,183 | 138 | (830 | ) | 50,491 | ||||||||||||||||||||||
Mortgage-backed securities | 79 | 1 | — | 80 | |||||||||||||||||||||||
Total fixed maturity securities | $ | 123,905 | $ | 473 | $ | (1,618 | ) | $ | 122,760 | ||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||||
Common stock - publicly traded | $ | 39 | $ | 5 | $ | — | $ | 44 | |||||||||||||||||||
Preferred stock - publicly traded | 5,975 | — | (711 | ) | 5,264 | ||||||||||||||||||||||
Common stock - non-publicly traded | 59 | 5 | (13 | ) | 51 | ||||||||||||||||||||||
Preferred stock - non-publicly traded | 1,009 | 4 | — | 1,013 | |||||||||||||||||||||||
Total equity securities | $ | 7,082 | $ | 14 | $ | (724 | ) | $ | 6,372 | ||||||||||||||||||
At | |||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||
Description of Security | Cost or Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Fair Value | |||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 22,424 | $ | 761 | $ | (7 | ) | $ | 23,178 | ||||||||||||||||||
Municipal securities | 16,636 | 413 | (8 | ) | 17,041 | ||||||||||||||||||||||
Corporate securities | 67,627 | 2,461 | (80 | ) | 70,008 | ||||||||||||||||||||||
Mortgage-backed securities | 285 | 4 | — | 289 | |||||||||||||||||||||||
Asset-backed securities | 123 | 2 | — | 125 | |||||||||||||||||||||||
Total fixed maturity securities | $ | 107,095 | $ | 3,641 | $ | (95 | ) | $ | 110,641 | ||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||||
Common stock - publicly traded | $ | 39 | $ | 3 | $ | — | $ | 42 | |||||||||||||||||||
Preferred stock - publicly traded | 4,975 | 133 | (1 | ) | 5,107 | ||||||||||||||||||||||
Common stock - non-publicly traded | 59 | 4 | (5 | ) | 58 | ||||||||||||||||||||||
Preferred stock - non-publicly traded | 1,009 | 4 | — | 1,013 | |||||||||||||||||||||||
Total equity securities | $ | 6,082 | $ | 144 | $ | (6 | ) | $ | 6,220 | ||||||||||||||||||
Restricted investments [Table Text Block] | ' | ||||||||||||||||||||||||||
Pursuant to certain reinsurance agreements and statutory licensing requirements, the Company has deposited invested assets in custody accounts or insurance department safekeeping accounts. The Company is not permitted to remove invested assets from these accounts without prior approval of the contractual party or regulatory authority, as applicable. The following table details the Company's restricted investments: | |||||||||||||||||||||||||||
At | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Fair value of restricted investments for special deposits required by state insurance departments | $ | 10,384 | $ | 10,988 | |||||||||||||||||||||||
Fair value of restricted investments in trust pursuant to reinsurance agreements | 6,289 | 6,954 | |||||||||||||||||||||||||
Fair value of restricted investments | $ | 16,673 | $ | 17,942 | |||||||||||||||||||||||
Investments Classified by Contractual Maturity Date [Table Text Block] | ' | ||||||||||||||||||||||||||
The amortized cost and fair value of fixed maturity securities by contractual maturity are shown below. Expected maturities will differ from contractual maturities because borrowers have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||||||||||||||||||
At | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||||||||
Amortized Cost | Fair Value | Amortized Cost | Fair Value | ||||||||||||||||||||||||
Due in one year or less | $ | 18,439 | $ | 18,448 | $ | 5,557 | $ | 5,608 | |||||||||||||||||||
Due after one year through five years | 59,966 | 59,885 | 58,378 | 60,323 | |||||||||||||||||||||||
Due after five years through ten years | 22,028 | 21,282 | 24,983 | 25,900 | |||||||||||||||||||||||
Due after ten years | 23,393 | 23,065 | 17,769 | 18,396 | |||||||||||||||||||||||
Mortgage-backed securities | 79 | 80 | 285 | 289 | |||||||||||||||||||||||
Asset-backed securities | — | — | 123 | 125 | |||||||||||||||||||||||
Total fixed maturity securities | $ | 123,905 | $ | 122,760 | $ | 107,095 | $ | 110,641 | |||||||||||||||||||
Schedule of Unrealized Loss on Investments [Table Text Block] | ' | ||||||||||||||||||||||||||
The following table provides information on unrealized losses on investment securities that have been in an unrealized loss position for less than twelve months, and twelve months or greater: | |||||||||||||||||||||||||||
At | |||||||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||
Less than Twelve Months | Twelve Months or Greater | Total | |||||||||||||||||||||||||
Description of Security | Fair Value | Unrealized Losses | # of Securities | Fair Value | Unrealized Losses | # of Securities | Fair Value | Unrealized Losses | # of Securities | ||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 29,025 | $ | (402 | ) | 41 | $ | 465 | $ | (7 | ) | 6 | $ | 29,490 | $ | (409 | ) | 47 | |||||||||
Municipal securities | 9,294 | (379 | ) | 15 | — | — | — | 9,294 | (379 | ) | 15 | ||||||||||||||||
Corporate securities | 33,403 | (791 | ) | 38 | 681 | (39 | ) | 2 | 34,084 | (830 | ) | 40 | |||||||||||||||
Total fixed maturity securities | $ | 71,722 | $ | (1,572 | ) | 94 | $ | 1,146 | $ | (46 | ) | 8 | $ | 72,868 | $ | (1,618 | ) | 102 | |||||||||
Equity securities: | |||||||||||||||||||||||||||
Preferred stock - publicly traded | $ | 5,263 | $ | (711 | ) | 9 | $ | — | $ | — | — | $ | 5,263 | $ | (711 | ) | 9 | ||||||||||
Common stock - non-publicly traded | — | — | — | 31 | (13 | ) | 2 | 31 | (13 | ) | 2 | ||||||||||||||||
Total equity securities | $ | 5,263 | $ | (711 | ) | 9 | $ | 31 | $ | (13 | ) | 2 | $ | 5,294 | $ | (724 | ) | 11 | |||||||||
At | |||||||||||||||||||||||||||
December 31, 2012 | |||||||||||||||||||||||||||
Less than Twelve Months | Twelve Months or Greater | Total | |||||||||||||||||||||||||
Description of Security | Fair Value | Unrealized Losses | # of Securities | Fair Value | Unrealized Losses | # of Securities | Fair Value | Unrealized Losses | # of Securities | ||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 857 | $ | (7 | ) | 11 | $ | — | $ | — | — | $ | 857 | $ | (7 | ) | 11 | ||||||||||
Municipal securities | 734 | (8 | ) | 1 | — | — | — | 734 | (8 | ) | 1 | ||||||||||||||||
Corporate securities | 12,625 | (63 | ) | 16 | 183 | (17 | ) | 1 | 12,808 | (80 | ) | 17 | |||||||||||||||
Total fixed maturity securities | $ | 14,216 | $ | (78 | ) | 28 | $ | 183 | $ | (17 | ) | 1 | $ | 14,399 | $ | (95 | ) | 29 | |||||||||
Equity securities: | |||||||||||||||||||||||||||
Preferred stock - publicly traded | $ | 198 | $ | (1 | ) | 1 | $ | — | $ | — | — | $ | 198 | $ | (1 | ) | 1 | ||||||||||
Common stock - non-publicly traded | — | — | — | 39 | (5 | ) | 2 | 39 | (5 | ) | 2 | ||||||||||||||||
Total equity securities | $ | 198 | $ | (1 | ) | 1 | $ | 39 | $ | (5 | ) | 2 | $ | 237 | $ | (6 | ) | 3 | |||||||||
The Company does not intend to sell the investments that are in an unrealized loss position at September 30, 2013 and it is more likely than not that the Company will be able to hold these securities until full recovery of their amortized cost basis for fixed maturity securities or cost for equity securities. As of September 30, 2013, based on the Company's review, none of the fixed maturity or equity securities were deemed to be other-than-temporarily impaired based on the Company's analysis of the securities and intent to hold the securities until recovery. | |||||||||||||||||||||||||||
Gross proceeds from the sale of available-for-sale securities [Table Text Block] | ' | ||||||||||||||||||||||||||
The following table summarizes the gross proceeds from the sale of available-for-sale investment securities: | |||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||||||||||||||
Gross proceeds from sales | $ | 27,139 | $ | 503 | 54,663 | $ | 4,980 | ||||||||||||||||||||
Gain (Loss) on Investments [Table Text Block] | ' | ||||||||||||||||||||||||||
The following table summarizes the gross realized gains and gross realized losses for both fixed maturity and equity securities and any realized losses for other-than-temporary impairments for available-for-sale investment securities: | |||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||||||||||||||
Gross realized gains | $ | 756 | $ | — | $ | 2,118 | $ | 22 | |||||||||||||||||||
Gross realized losses | — | — | (75 | ) | (12 | ) | |||||||||||||||||||||
Total net gains from investment sales | 756 | — | 2,043 | 10 | |||||||||||||||||||||||
Impairment write-downs (other-than-temporary impairments) | — | (16 | ) | — | (16 | ) | |||||||||||||||||||||
Net realized investment gains | $ | 756 | $ | (16 | ) | $ | 2,043 | $ | (6 | ) | |||||||||||||||||
Investment Income [Table Text Block] | ' | ||||||||||||||||||||||||||
The following schedule details the components of net investment income: | |||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | ||||||||||||||||||||||||
Fixed income securities | $ | 670 | $ | 628 | $ | 2,094 | $ | 1,954 | |||||||||||||||||||
Cash on hand and on deposit | 11 | 47 | 47 | 143 | |||||||||||||||||||||||
Common and preferred stock dividends | 98 | 77 | 275 | 191 | |||||||||||||||||||||||
Notes receivable | 99 | 75 | 239 | 201 | |||||||||||||||||||||||
Other income | 3 | 34 | 117 | 104 | |||||||||||||||||||||||
Investment expenses | (109 | ) | (117 | ) | (339 | ) | (374 | ) | |||||||||||||||||||
Net investment income | $ | 772 | $ | 744 | $ | 2,433 | $ | 2,219 | |||||||||||||||||||
Reinsurance_Receivables_Tables
Reinsurance Receivables (Tables) | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Reinsurance Disclosures [Abstract] | ' | |||||||||||||||||||||||||||
Premiums Written and Earned [Table Text Block] | ' | |||||||||||||||||||||||||||
The effects of reinsurance on premiums written and earned and on losses and loss adjustment expenses ("LAE") incurred are presented in the tables below: | ||||||||||||||||||||||||||||
Premiums | For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Written | Earned | Written | Earned | Written | Earned | Written | Earned | |||||||||||||||||||||
Direct and assumed | $ | 116,452 | $ | 100,193 | $ | 100,409 | $ | 98,287 | $ | 297,940 | $ | 284,169 | $ | 272,317 | $ | 269,132 | ||||||||||||
Ceded | (79,580 | ) | (66,087 | ) | (65,935 | ) | (64,394 | ) | (194,067 | ) | (183,240 | ) | (169,971 | ) | (171,362 | ) | ||||||||||||
Net | $ | 36,872 | $ | 34,106 | $ | 34,474 | $ | 33,893 | $ | 103,873 | $ | 100,929 | $ | 102,346 | $ | 97,770 | ||||||||||||
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block] | ' | |||||||||||||||||||||||||||
Losses and LAE incurred | For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Direct and assumed | $ | 23,354 | $ | 23,069 | $ | 66,879 | $ | 66,198 | ||||||||||||||||||||
Ceded | (13,397 | ) | (11,639 | ) | (35,783 | ) | (33,926 | ) | ||||||||||||||||||||
Net losses and LAE incurred | $ | 9,957 | $ | 11,430 | $ | 31,096 | $ | 32,272 | ||||||||||||||||||||
Components of Reinsurance Receivable [Table Text Block] | ' | |||||||||||||||||||||||||||
The following table reflects the components of the reinsurance receivables: | At | |||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Prepaid reinsurance premiums: (1) | ||||||||||||||||||||||||||||
Life | $ | 51,492 | $ | 53,117 | ||||||||||||||||||||||||
Accident and health | 36,126 | 34,266 | ||||||||||||||||||||||||||
Property | 95,434 | 85,805 | ||||||||||||||||||||||||||
Total | 183,052 | 173,188 | ||||||||||||||||||||||||||
Ceded claim reserves: | ||||||||||||||||||||||||||||
Life | 1,564 | 1,786 | ||||||||||||||||||||||||||
Accident and health | 8,964 | 9,263 | ||||||||||||||||||||||||||
Property | 10,825 | 8,663 | ||||||||||||||||||||||||||
Total ceded claim reserves | 21,353 | 19,712 | ||||||||||||||||||||||||||
Other reinsurance settlements receivable | 7,430 | 11,088 | ||||||||||||||||||||||||||
Reinsurance receivables | $ | 211,835 | $ | 203,988 | ||||||||||||||||||||||||
(1) Including policyholder account balances ceded. | ||||||||||||||||||||||||||||
The following table shows the aggregate amount included in reinsurance receivables that is comprised of the three largest receivable balances from unrelated reinsurers: | ||||||||||||||||||||||||||||
At | ||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Total of the three largest receivable balances from unrelated reinsurers | $ | 135,462 | $ | 126,633 | ||||||||||||||||||||||||
At September 30, 2013 and December 31, 2012, respectively, the three unrelated reinsurers from whom the Company has the largest receivable balances were: London Life Reinsurance Company (A. M. Best Rating: A); London Life International Reinsurance Corporation (A. M. Best Rating: Not rated) and Spartan Property Insurance Company (A. M. Best Rating: Not rated). Because Spartan Property Insurance Company does not maintain an A.M. Best rating, the related receivables are collateralized by assets held in trust accounts. At September 30, 2013, the Company does not believe there is a risk of loss as a result of the concentration of credit risk in the reinsurance program. |
Notes_Payable_Tables
Notes Payable (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Schedule of Long-term Debt Instruments [Table Text Block] | ' | |||||||
The Company's note payable consisted of the following: | At | |||||||
September 30, 2013 | December 31, 2012 | |||||||
Wells Fargo Bank, N.A. credit facility, maturing August 2017 | $ | 82,750 | $ | 89,438 | ||||
Maximum balance allowed on the Wells Fargo Bank, N.A. credit facility | $ | 120,000 | $ | 123,750 | ||||
Interest rate at the end of the respective period: | 2.94 | % | 2.76 | % | ||||
Schedule of Maturities of Long-term Debt [Table Text Block] | ' | |||||||
Aggregate maturities for the Company's note payable at September 30, 2013 are as follows: | ||||||||
Remainder of 2013 | $ | 1,250 | ||||||
2014 | 5,000 | |||||||
2015 | 5,000 | |||||||
2016 | 5,000 | |||||||
2017 | 66,500 | |||||||
Thereafter | — | |||||||
Total | $ | 82,750 | ||||||
Line of Credit Covenant Requirements [Table Text Block] | ' | |||||||
The following is a summary of the Credit Agreement's more significant financial covenants calculated at September 30, 2013, except for the RBC Ratios, which under the Credit Agreement reflect the ratios calculated as of the most recent fiscal year end, in this case December 31, 2012: | ||||||||
Covenant | Actual At | |||||||
Covenant | Requirement | September 30, 2013 | ||||||
Total leverage ratio | not more than 3.50 | 2.67 | ||||||
Fixed charge coverage ratio | not less than 2.00 | 2.74 | ||||||
Reinsurance ratio | not less than 50% | 69.00% | ||||||
Actual At | ||||||||
RBC Ratios: | 31-Dec-12 | |||||||
RBC Ratio - Bankers Life of Louisiana | not less than 250% | 469.00% | ||||||
RBC Ratio - Southern Financial Life Insurance Company | not less than 250% | 2155.00% | ||||||
RBC Ratio - Insurance Company of the South | not less than 250% | 378.00% | ||||||
RBC Ratio - Lyndon Southern Insurance Company | not less than 250% | 255.00% | ||||||
RBC Ratio - Life of the South Insurance Company | not less than 250% | 386.00% |
Derivative_Financial_Instrumen1
Derivative Financial Instruments - Interest Rate Swap Level 3 (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | ' | |||||||||||||||
The following table summarizes the fair value (including accrued interest) and related outstanding notional amounts of derivative instruments and indicates where within the Consolidated Balance Sheets each is reported: | ||||||||||||||||
Balance Sheet Location | At | |||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||
Derivatives designated as cash flow hedging instruments: | ||||||||||||||||
Interest rate swap - notional value | $ | 35,000 | $ | 35,000 | ||||||||||||
Fair value of the Swap | Accrued expenses, accounts payable and other liabilities | $ | (3,192 | ) | $ | (4,338 | ) | |||||||||
Unrealized loss, net of tax, on the fair value of the Swap | AOCI | $ | (2,075 | ) | $ | (2,820 | ) | |||||||||
Variable rate of the interest rate swap | 0.25 | % | 0.31 | % | ||||||||||||
Fixed rate of the interest rate swap | 3.47 | % | 3.47 | % | ||||||||||||
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block] | ' | |||||||||||||||
The following table summarizes the pretax impact of the Swap on the Consolidated Financial Statements for the following periods: | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
(Loss) gain recognized in AOCI on the derivative-effective portion | $ | (263 | ) | $ | (470 | ) | $ | 301 | $ | (1,311 | ) | |||||
Loss reclassified from AOCI into income-effective portion | $ | 286 | $ | 273 | $ | 845 | $ | 313 | ||||||||
Gain (loss) recognized in income on the derivative-ineffective portion | $ | — | $ | — | $ | — | $ | — | ||||||||
Schedule of Interest Rate Derivatives [Table Text Block] | ' | |||||||||||||||
The table below shows the estimated amount to be reclassified to earnings from AOCI during the next 12 months. These net losses reclassified into earnings are expected to primarily increase net interest expense related to the respective hedged item. | ||||||||||||||||
At | ||||||||||||||||
September 30, 2013 | ||||||||||||||||
Estimated loss to be reclassified to earnings from AOCI during the next 12 months | $ | 1,119 | ||||||||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Stock-based compensation [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | ' | |||||||||||||||||||||||||||
A summary of the Company's time- and performance-based stock option activity for the nine months ended September 30, 2013 is presented below: | ||||||||||||||||||||||||||||
Time-Based | Performance-Based | |||||||||||||||||||||||||||
Options Outstanding | Weighted Average Exercise Price (in dollars per share) | Options Exercisable | Weighted Average Exercise Price (in dollars per share) | Options Outstanding | Weighted Average Exercise Price (in dollars per share) | Options Exercisable | Weighted Average Exercise Price (in dollars per share) | |||||||||||||||||||||
Balance, December 31, 2012 | 2,016,231 | $ | 4.38 | 1,690,040 | $ | 3.66 | 185,000 | $ | 8 | — | $ | — | ||||||||||||||||
Granted | 60,000 | 7.62 | — | — | 228,981 | 8.89 | — | — | ||||||||||||||||||||
Vested | — | — | 114,617 | 8.44 | — | — | — | — | ||||||||||||||||||||
Exercised | (6,250 | ) | 7.84 | (6,250 | ) | 7.84 | — | — | — | — | ||||||||||||||||||
Canceled/forfeited | (28,750 | ) | 7.87 | — | — | (60,557 | ) | 8.67 | — | — | ||||||||||||||||||
Balance, September 30, 2013 | 2,041,231 | $ | 4.42 | 1,798,407 | $ | 3.95 | 353,424 | $ | 8.46 | — | $ | — | ||||||||||||||||
Weighted average remaining contractual term at September 30, 2013 (in years) | 4.3 | 3.7 | 9 | 0 | ||||||||||||||||||||||||
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | ' | |||||||||||||||||||||||||||
The following presents the Company's outstanding and exercisable time- and performance-based stock options by exercise price at September 30, 2013: | ||||||||||||||||||||||||||||
Options Outstanding | Options Exercisable | |||||||||||||||||||||||||||
Exercise Price (in dollars per share) | Option Shares Outstanding | Weighted Average Remaining Contractual Life (in years) | Weighted Average Exercise Price (in dollars per share) | Option Shares Outstanding | Weighted Average Remaining Contractual Life (in years) | Weighted Average Exercise Price (in dollars per share) | ||||||||||||||||||||||
$3.03 | 787,500 | 2.13 | $ | 3.03 | 787,500 | 2.13 | $ | 3.03 | ||||||||||||||||||||
3.25 | 757,963 | 4.07 | 3.25 | 757,963 | 4.07 | 3.25 | ||||||||||||||||||||||
7.62 | 60,000 | 9.92 | 7.62 | — | — | — | ||||||||||||||||||||||
7.84 | 232,500 | 7.75 | 7.84 | 131,676 | 7.75 | 7.84 | ||||||||||||||||||||||
7.93 | 5,000 | 9 | 7.93 | — | — | — | ||||||||||||||||||||||
7.97 | 110,000 | 8.92 | 7.97 | 36,676 | 8.92 | 7.97 | ||||||||||||||||||||||
8 | 170,000 | 8.75 | 8 | — | — | — | ||||||||||||||||||||||
8.89 | 183,424 | 9.25 | 8.89 | — | — | — | ||||||||||||||||||||||
11 | 88,268 | 7.21 | 11 | 84,592 | 7.21 | 11 | ||||||||||||||||||||||
Totals | 2,394,655 | 5.01 | $ | 5.02 | 1,798,407 | 3.74 | $ | 3.95 | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding and Exercisable [Table Text Block] | ' | |||||||||||||||||||||||||||
Information on time- and performance-based stock options, vested and expected to vest, is as follows: | At | |||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||
Number of shares vested and expected to vest | 2,189,548 | |||||||||||||||||||||||||||
Weighted average remaining contractual life (in years) | 4.62 | |||||||||||||||||||||||||||
Weighted average exercise price per option (in dollars) | $ | 4.66 | ||||||||||||||||||||||||||
Intrinsic value (in thousands) | $ | 8,644 | ||||||||||||||||||||||||||
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | ' | |||||||||||||||||||||||||||
The weighted average assumptions used to estimate the fair values of the stock options granted is as follows: | ||||||||||||||||||||||||||||
For the Nine Months Ended | ||||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||
Expected term (in years) | 7.81 | |||||||||||||||||||||||||||
Expected volatility | 32.37 | % | ||||||||||||||||||||||||||
Expected dividends | — | % | ||||||||||||||||||||||||||
Risk-free rate | 1.54 | % | ||||||||||||||||||||||||||
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block] | ' | |||||||||||||||||||||||||||
A summary of the Company's time- and performance-based restricted stock award activity for the nine months ended September 30, 2013 is presented below: | ||||||||||||||||||||||||||||
Time-Based | Performance-Based | |||||||||||||||||||||||||||
Shares | Weighted Average Grant Date Fair Value (in dollars per share) | Shares | Weighted Average Grant Date Fair Value (in dollars per share) | |||||||||||||||||||||||||
Shares outstanding at December 31, 2012 | 103,000 | $ | 8 | 80,861 | $ | 11 | ||||||||||||||||||||||
Granted | 81,016 | 9.39 | 76,326 | 8.89 | ||||||||||||||||||||||||
Vested | (29,336 | ) | 7.48 | — | — | |||||||||||||||||||||||
Forfeited | — | — | (15,185 | ) | 8.89 | |||||||||||||||||||||||
Shares outstanding at September 30, 2013 | 154,680 | $ | 8.83 | 142,002 | $ | 10.09 | ||||||||||||||||||||||
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block] | ' | |||||||||||||||||||||||||||
Stock-Based Compensation Expense | ||||||||||||||||||||||||||||
Total time- and performance-based stock-based compensation expense and the related income tax (benefit), as recognized on the Consolidated Statements of Income, is as follows: | ||||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Personnel costs | $ | 226 | $ | 205 | $ | 614 | $ | 447 | ||||||||||||||||||||
Other operating expenses | 131 | 82 | 373 | 210 | ||||||||||||||||||||||||
Income tax benefit | (137 | ) | (110 | ) | (378 | ) | (251 | ) | ||||||||||||||||||||
Net stock-based compensation expense | $ | 220 | $ | 177 | $ | 609 | $ | 406 | ||||||||||||||||||||
Additional information on total non-vested stock-based compensation is as follows: | At | |||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||
Stock Options | Restricted Stock Awards | |||||||||||||||||||||||||||
Unrecognized compensation cost related to non-vested awards | $ | 867 | $ | 1,184 | ||||||||||||||||||||||||
Weighted-average recognition period (in years) | 2.4 | 3.7 | ||||||||||||||||||||||||||
Schedule of Unrecognized Compensation Cost, Nonvested Awards [Table Text Block] | ' | |||||||||||||||||||||||||||
Additional information on total non-vested stock-based compensation is as follows: | At | |||||||||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||||||||||
Stock Options | Restricted Stock Awards | |||||||||||||||||||||||||||
Unrecognized compensation cost related to non-vested awards | $ | 867 | $ | 1,184 | ||||||||||||||||||||||||
Weighted-average recognition period (in years) | 2.4 | 3.7 | ||||||||||||||||||||||||||
For the three and nine months ended September 30, 2013, the Company did not recognize expense on 183,424 performance-based stock options and 61,141 performance-based restricted stock awards because the attainment of the performance metrics associated with these awards was not probable based on current projections. |
Income_Taxes_Provision_for_inc
Income Taxes Provision for income taxes (Tables) | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Income taxes [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | ' | |||||||||||||||||||||||||||
The provision for income taxes consisted of the following: | For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Current | $ | 3,394 | $ | 2,568 | $ | 7,358 | $ | 5,697 | ||||||||||||||||||||
Deferred | (1,126 | ) | (171 | ) | (1,310 | ) | 695 | |||||||||||||||||||||
Income taxes | $ | 2,268 | $ | 2,397 | $ | 6,048 | $ | 6,392 | ||||||||||||||||||||
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | ' | |||||||||||||||||||||||||||
The reconciliation of the income tax expense at the federal statutory income tax rate of 35% is as follows: | ||||||||||||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Amount | Percent of Pre-tax Income | Amount | Percent of Pre-tax Income | Amount | Percent of Pre-tax Income | Amount | Percent of Pre-tax Income | |||||||||||||||||||||
Income taxes at federal income tax rate | $ | 1,875 | 35 | % | $ | 2,258 | 35 | % | $ | 5,977 | 35 | % | $ | 6,243 | 35 | % | ||||||||||||
Effect of: | ||||||||||||||||||||||||||||
Small life deduction | (197 | ) | (3.68 | ) | (140 | ) | (2.17 | ) | (388 | ) | (2.27 | ) | (368 | ) | (2.06 | ) | ||||||||||||
Non-deductible expenses | 34 | 0.63 | 17 | 0.26 | 81 | 0.47 | 87 | 0.49 | ||||||||||||||||||||
Tax exempt interest | (38 | ) | (0.71 | ) | (23 | ) | (0.36 | ) | (109 | ) | (0.64 | ) | (73 | ) | (0.41 | ) | ||||||||||||
State taxes | 170 | 3.17 | 67 | 1.04 | 415 | 2.43 | 319 | 1.79 | ||||||||||||||||||||
Prior year tax true-up | 312 | 5.82 | 116 | 1.8 | 312 | 1.83 | 103 | 0.58 | ||||||||||||||||||||
Non-controlling interest | 47 | 0.88 | — | — | (304 | ) | (1.78 | ) | — | — | ||||||||||||||||||
Other, net | 65 | 1.21 | 102 | 1.58 | 64 | 0.37 | 81 | 0.45 | ||||||||||||||||||||
Income taxes | $ | 2,268 | 42.32 | % | $ | 2,397 | 37.15 | % | $ | 6,048 | 35.41 | % | $ | 6,392 | 35.84 | % | ||||||||||||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments Level 3 (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value, by Balance Sheet Grouping [Table Text Block] | ' | |||||||||||||||
The carrying and fair values of financial instruments are as follows: | At | |||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | |||||||||||||
Financial assets: | ||||||||||||||||
Cash and cash equivalents | $ | 17,213 | $ | 17,213 | $ | 15,209 | $ | 15,209 | ||||||||
Fixed maturity securities: | ||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | 49,439 | 49,439 | 23,178 | 23,178 | ||||||||||||
Municipal securities | 22,750 | 22,750 | 17,041 | 17,041 | ||||||||||||
Corporate securities | 50,491 | 50,491 | 70,008 | 70,008 | ||||||||||||
Mortgage-backed securities | 80 | 80 | 289 | 289 | ||||||||||||
Asset-backed securities | — | — | 125 | 125 | ||||||||||||
Equity securities: | ||||||||||||||||
Common stock - publicly traded | 44 | 44 | 42 | 42 | ||||||||||||
Preferred stock - publicly traded | 5,264 | 5,264 | 5,107 | 5,107 | ||||||||||||
Common stock - non-publicly traded | 51 | 51 | 58 | 58 | ||||||||||||
Preferred stock - non-publicly traded | 1,013 | 1,013 | 1,013 | 1,013 | ||||||||||||
Notes receivable | 5,818 | 5,818 | 11,290 | 11,290 | ||||||||||||
Accounts and premiums receivable, net | 32,785 | 32,785 | 27,302 | 27,302 | ||||||||||||
Other receivables | 36,109 | 36,109 | 13,393 | 13,393 | ||||||||||||
Short-term investments | 971 | 971 | 1,222 | 1,222 | ||||||||||||
Total financial assets | $ | 222,028 | $ | 222,028 | $ | 185,277 | $ | 185,277 | ||||||||
Financial liabilities: | ||||||||||||||||
Note payable | $ | 82,750 | $ | 82,750 | $ | 89,438 | $ | 89,438 | ||||||||
Preferred trust securities | 35,000 | 35,000 | 35,000 | 35,000 | ||||||||||||
Interest rate swap | 3,192 | 3,192 | 4,338 | 4,338 | ||||||||||||
Total financial liabilities | $ | 120,942 | $ | 120,942 | $ | 128,776 | $ | 128,776 | ||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | ' | |||||||||||||||
At December 31, 2012 | Fair Value Measurements Using: | |||||||||||||||
Quoted prices in active markets for identical assets | Significant other observable inputs | Significant unobservable inputs | ||||||||||||||
Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Financial Assets: | ||||||||||||||||
Fixed maturity securities: | ||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 23,178 | $ | — | $ | 23,178 | $ | — | ||||||||
Municipal securities | 17,041 | — | 17,041 | — | ||||||||||||
Corporate securities | 70,008 | — | 69,956 | 52 | ||||||||||||
Mortgage-backed securities | 289 | — | 289 | — | ||||||||||||
Asset-backed securities | 125 | — | 125 | — | ||||||||||||
Equity securities: | ||||||||||||||||
Common stock - publicly traded | 42 | 42 | — | — | ||||||||||||
Preferred stock - publicly traded | 5,107 | 5,107 | — | — | ||||||||||||
Common stock - non-publicly traded | 58 | — | — | 58 | ||||||||||||
Preferred stock - non-publicly traded | 1,013 | — | — | 1,013 | ||||||||||||
Short-term investments | 1,222 | 1,222 | — | — | ||||||||||||
Total Assets | $ | 118,083 | $ | 6,371 | $ | 110,589 | $ | 1,123 | ||||||||
Financial Liabilities: | ||||||||||||||||
Interest rate swap | $ | 4,338 | $ | — | $ | 4,338 | $ | — | ||||||||
The Company's financial assets and liabilities accounted for at fair value by level within the fair value hierarchy are as follows: | ||||||||||||||||
At September 30, 2013 | Fair Value Measurements Using: | |||||||||||||||
Quoted prices in active markets for identical assets | Significant other observable inputs | Significant unobservable inputs | ||||||||||||||
Fair Value | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
Financial Assets: | ||||||||||||||||
Fixed maturity securities: | ||||||||||||||||
Obligations of the U.S. Treasury and U.S. Government agencies | $ | 49,439 | $ | — | $ | 49,439 | $ | — | ||||||||
Municipal securities | 22,750 | — | 22,750 | — | ||||||||||||
Corporate securities | 50,491 | — | 50,491 | — | ||||||||||||
Mortgage-backed securities | 80 | — | 80 | — | ||||||||||||
Asset-backed securities | — | — | — | — | ||||||||||||
Equity securities: | ||||||||||||||||
Common stock - publicly traded | 44 | 44 | — | — | ||||||||||||
Preferred stock - publicly traded | 5,264 | 5,264 | — | — | ||||||||||||
Common stock - non-publicly traded | 51 | — | — | 51 | ||||||||||||
Preferred stock - non-publicly traded | 1,013 | — | — | 1,013 | ||||||||||||
Short-term investments | 971 | 971 | — | — | ||||||||||||
Total assets | $ | 130,103 | $ | 6,279 | $ | 122,760 | $ | 1,064 | ||||||||
Financial Liabilities: | ||||||||||||||||
Interest rate swap | $ | 3,192 | $ | — | $ | 3,192 | $ | — | ||||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | ' | |||||||||||||||
The Company did not transfer any fixed maturity or equity securities between Level 1 and Level 2 for the nine months ended September 30, 2013. For the nine months ended September 30, 2013, 1 corporate security was transferred from Level 3 to Level 2. This transfer occurred due to the availability of Level 2 pricing for the corporate security, which was unavailable in prior periods. The Company's use of Level 3 unobservable inputs included 6 individual securities that accounted for 0.8% of total investments at September 30, 2013. The Company utilized an independent third party pricing service to value 3 of the Level 3 securities. The value of 2 equity securities in Level 3, which are non-publicly traded preferred stocks, were calculated by the Company. One of the equity securities, with a value of $1.0 million, was valued by taking into account the strength of the issuer's parent company guaranteeing the dividend of the issuer. The second Level 3 equity security, with a value of $13.0 thousand was valued by estimating the total value of the Class-A shares outstanding by the issuer and a review of the issuer's audited financial statements. At December 31, 2012, the Company had 7 individual securities valued under Level 3 that accounted for 1.0% of total investments. | ||||||||||||||||
The following table summarizes the changes in Level 3 assets measured at fair value: | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | |||||||||||||||
Beginning balance, January 1, | $ | 1,123 | $ | 1,204 | ||||||||||||
Total realized and (unrealized) investment gains (losses): | ||||||||||||||||
Included in net income | — | — | ||||||||||||||
Included in other comprehensive (loss) | (32 | ) | (19 | ) | ||||||||||||
Sales | — | (47 | ) | |||||||||||||
Transfers (out of) into Level 3 | (27 | ) | (7 | ) | ||||||||||||
Ending balance, September 30, | $ | 1,064 | $ | 1,131 | ||||||||||||
Statutory_Reporting_and_Insura1
Statutory Reporting and Insurance Subsidiaries Dividend Restrictions Level 3 (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Statutory Reporting and Dividend Restrictions [Abstract] | ' | |||||||
Statutory Accounting Practices for Subsidiary Dividends [Table Text Block] | ' | |||||||
The following table sets forth the dividends paid to the Company by its insurance company subsidiaries for the following periods: | ||||||||
For the Nine Months Ended | For the Twelve Months Ended | |||||||
September 30, 2013 | 31-Dec-12 | |||||||
Ordinary dividends | $ | 231 | $ | 2,783 | ||||
Extraordinary dividends | — | — | ||||||
Total dividends | $ | 231 | $ | 2,783 | ||||
Statutory Accounting Practices Disclosure [Table Text Block] | ' | |||||||
The following table details the combined statutory capital and surplus of the Company's insurance subsidiaries, the required minimum statutory capital and surplus, as required by the laws of the states in which they are domiciled and the combined amount available for ordinary dividends of the Company's insurance subsidiaries for the following periods: | ||||||||
At | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
Combined statutory capital and surplus of the Company's insurance subsidiaries | $ | 61,762 | $ | 53,885 | ||||
Required minimum statutory capital and surplus | $ | 17,200 | $ | 15,300 | ||||
Amount available for ordinary dividends of the Company's insurance subsidiaries | $ | 2,065 | $ | 4,500 | ||||
Segment_Results_Level_3_Tables
Segment Results Level 3 (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Schedule of Segment Reporting Information, by Segment [Table Text Block] | ' | |||||||||||||||
The following table presents the Company's business segment results: | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
Segment Net Revenue | ||||||||||||||||
Payment Protection | ||||||||||||||||
Service and administrative fees | $ | 45,248 | $ | 17,519 | $ | 122,016 | $ | 52,281 | ||||||||
Ceding commission | 8,732 | 11,122 | 22,852 | 25,396 | ||||||||||||
Net investment income | 771 | 744 | 2,432 | 2,219 | ||||||||||||
Net realized investment gains | 756 | (16 | ) | 2,043 | (6 | ) | ||||||||||
Other income (1) | 177 | 52 | 929 | 172 | ||||||||||||
Net earned premium | 34,105 | 33,893 | 100,928 | 97,770 | ||||||||||||
Net losses and loss adjustment expenses | (9,957 | ) | (11,430 | ) | (31,096 | ) | (32,272 | ) | ||||||||
Member benefit claims | (13,834 | ) | (1,157 | ) | (34,624 | ) | (3,558 | ) | ||||||||
Commissions | (43,175 | ) | (33,377 | ) | (120,148 | ) | (96,647 | ) | ||||||||
Total Payment Protection Net Revenue | 22,823 | 17,350 | 65,332 | 45,355 | ||||||||||||
BPO | 3,717 | 4,951 | 11,900 | 13,565 | ||||||||||||
Brokerage | ||||||||||||||||
Brokerage commissions and fees | 8,789 | 8,411 | 28,411 | 27,295 | ||||||||||||
Service and administrative fees | 274 | 428 | 1,107 | 1,349 | ||||||||||||
Total Brokerage | 9,063 | 8,839 | 29,518 | 28,644 | ||||||||||||
Total segment net revenue | 35,603 | 31,140 | 106,750 | 87,564 | ||||||||||||
Operating Expenses | ||||||||||||||||
Payment Protection | 15,833 | 9,563 | 44,805 | 26,205 | ||||||||||||
BPO | 2,370 | 3,836 | 8,706 | 10,320 | ||||||||||||
Brokerage | 7,296 | 7,268 | 22,016 | 21,577 | ||||||||||||
Total operating expenses | 25,499 | 20,667 | 75,527 | 58,102 | ||||||||||||
EBITDA | ||||||||||||||||
Payment Protection | 6,990 | 7,787 | 20,527 | 19,150 | ||||||||||||
BPO | 1,347 | 1,115 | 3,194 | 3,245 | ||||||||||||
Brokerage | 1,767 | 1,571 | 7,502 | 7,067 | ||||||||||||
Total EBITDA | 10,104 | 10,473 | 31,223 | 29,462 | ||||||||||||
Depreciation and Amortization | ||||||||||||||||
Payment Protection | 1,736 | 863 | 5,145 | 2,577 | ||||||||||||
BPO | 845 | 494 | 2,512 | 1,495 | ||||||||||||
Brokerage | 667 | 641 | 2,004 | 2,287 | ||||||||||||
Total depreciation and amortization | 3,248 | 1,998 | 9,661 | 6,359 | ||||||||||||
Interest Expense | ||||||||||||||||
Payment Protection | 1,022 | 1,359 | 3,044 | 3,342 | ||||||||||||
BPO | 176 | 294 | 528 | 820 | ||||||||||||
Brokerage | 303 | 372 | 917 | 1,105 | ||||||||||||
Total interest expense | 1,501 | 2,025 | 4,489 | 5,267 | ||||||||||||
Income before income taxes and non-controlling interests | ||||||||||||||||
Payment Protection | 4,232 | 5,565 | 12,338 | 13,231 | ||||||||||||
BPO | 326 | 327 | 154 | 930 | ||||||||||||
Brokerage | 797 | 558 | 4,581 | 3,675 | ||||||||||||
Total income before income taxes and non-controlling interests | 5,355 | 6,450 | 17,073 | 17,836 | ||||||||||||
Income taxes | 2,268 | 2,397 | 6,048 | 6,392 | ||||||||||||
Less: net (loss) income attributable to non-controlling interests | (135 | ) | 29 | 868 | 62 | |||||||||||
Net income | $ | 3,222 | $ | 4,024 | $ | 10,157 | $ | 11,382 | ||||||||
(1) - Includes the $402 gain on sale of subsidiary for the nine months ended September 30, 2013. | ||||||||||||||||
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | ' | |||||||||||||||
The following table reconciles segment information to the Company's Consolidated Statements of Income and provides a summary of other key financial information for each segment: | ||||||||||||||||
Reconciliation of Segment Net Revenue to Total Revenue and EBITDA to Net Income | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
Segment Net Revenue | ||||||||||||||||
Payment Protection (1) | $ | 22,823 | $ | 17,350 | $ | 65,332 | $ | 45,355 | ||||||||
BPO | 3,717 | 4,951 | 11,900 | 13,565 | ||||||||||||
Brokerage | 9,063 | 8,839 | 29,518 | 28,644 | ||||||||||||
Segment net revenues | 35,603 | 31,140 | 106,750 | 87,564 | ||||||||||||
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 | ||||||||||||
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 | ||||||||||||
Commissions | 43,175 | 33,377 | 120,148 | 96,647 | ||||||||||||
Total segment revenue | 102,569 | 77,104 | 292,618 | 220,041 | ||||||||||||
Operating Expenses | ||||||||||||||||
Payment Protection | 15,833 | 9,563 | 44,805 | 26,205 | ||||||||||||
BPO | 2,370 | 3,836 | 8,706 | 10,320 | ||||||||||||
Brokerage | 7,296 | 7,268 | 22,016 | 21,577 | ||||||||||||
Total operating expenses | 25,499 | 20,667 | 75,527 | 58,102 | ||||||||||||
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 | ||||||||||||
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 | ||||||||||||
Commissions | 43,175 | 33,377 | 120,148 | 96,647 | ||||||||||||
Total operating expenses before depreciation, amortization and interest expense | 92,465 | 66,631 | 261,395 | 190,579 | ||||||||||||
EBITDA | ||||||||||||||||
Payment Protection | 6,990 | 7,787 | 20,527 | 19,150 | ||||||||||||
BPO | 1,347 | 1,115 | 3,194 | 3,245 | ||||||||||||
Brokerage | 1,767 | 1,571 | 7,502 | 7,067 | ||||||||||||
Total EBITDA | 10,104 | 10,473 | 31,223 | 29,462 | ||||||||||||
Depreciation and Amortization | ||||||||||||||||
Payment Protection | 1,736 | 863 | 5,145 | 2,577 | ||||||||||||
BPO | 845 | 494 | 2,512 | 1,495 | ||||||||||||
Brokerage | 667 | 641 | 2,004 | 2,287 | ||||||||||||
Total depreciation and amortization | 3,248 | 1,998 | 9,661 | 6,359 | ||||||||||||
Interest Expense | ||||||||||||||||
Payment Protection | 1,022 | 1,359 | 3,044 | 3,342 | ||||||||||||
BPO | 176 | 294 | 528 | 820 | ||||||||||||
Brokerage | 303 | 372 | 917 | 1,105 | ||||||||||||
Total interest expense | 1,501 | 2,025 | 4,489 | 5,267 | ||||||||||||
Income before income taxes and non-controlling interests | ||||||||||||||||
Payment Protection | 4,232 | 5,565 | 12,338 | 13,231 | ||||||||||||
BPO | 326 | 327 | 154 | 930 | ||||||||||||
Brokerage | 797 | 558 | 4,581 | 3,675 | ||||||||||||
Reconciliation of Segment Net Revenue to Total Revenue and EBITDA to Net Income | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
Total income before income taxes and non-controlling interests | 5,355 | 6,450 | 17,073 | 17,836 | ||||||||||||
Income taxes | 2,268 | 2,397 | 6,048 | 6,392 | ||||||||||||
Less: net (loss) income attributable to non-controlling interests | (135 | ) | 29 | 868 | 62 | |||||||||||
Net income | $ | 3,222 | $ | 4,024 | $ | 10,157 | $ | 11,382 | ||||||||
(1) - Includes the $402 gain on sale of subsidiary for the nine months ended September 30, 2013. |
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Related Party Transactions [Abstract] | ' | |||||||||||||||
Schedule of Related Party Transactions [Table Text Block] | ' | |||||||||||||||
The following table details the amounts recorded on the Company's Consolidated Balance Sheets and Consolidated Statements of Income resulting from related party transactions: | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||
Income recorded by ProtectCELL for protection plans sold | $ | 537 | $ | — | $ | 1,639 | $ | — | ||||||||
Income recorded for the sale of the Company's insurance-related products under the Marketing Agreement | 324 | — | 592 | — | ||||||||||||
Income recorded from the IT Agreement | — | — | — | 218 | ||||||||||||
Total related party income recorded by the Company | $ | 861 | $ | — | $ | 2,231 | $ | 218 | ||||||||
Interest income recorded on related party notes receivable | $ | — | $ | — | $ | 21 | $ | — | ||||||||
Lease expense paid to 39500 High Pointe, LLC | $ | 103 | $ | — | $ | 300 | $ | — | ||||||||
Lease expense paid to Source International Incorporated | 29 | — | 87 | — | ||||||||||||
Total related party lease expense | $ | 132 | $ | — | $ | 387 | $ | — | ||||||||
Commissions paid by ProtectCELL for protection plans sold | $ | 200 | $ | — | $ | 651 | $ | — | ||||||||
Claims paid on the Company's insurance-related products under the Marketing Agreement | $ | 26 | $ | — | $ | 26 | $ | — | ||||||||
At | ||||||||||||||||
September 30, 2013 | 31-Dec-12 | |||||||||||||||
Notes receivable from related parties | $ | 134 | $ | 6,269 | ||||||||||||
Nature_of_Operations_Details
Nature of Operations (Details) | 9 Months Ended |
Sep. 30, 2013 | |
ProtectCell [Member] | ' |
Subsidiary or Equity Method Investee [Line Items] | ' |
Subsidiary or Equity Method Investee, Cumulative Percentage Ownership after All Transactions | 62.40% |
Southern Financial Life Insurance Company [Member] | ' |
Subsidiary or Equity Method Investee [Line Items] | ' |
Subsidiary or Equity Method Investee, Cumulative Percentage Ownership after All Transactions | 85.00% |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Noncontrolling Interest [Line Items] | ' | ' |
Non-controlling interests | $5,422 | $5,332 |
Southern Financial Life Insurance Company [Member] | Noncontrolling Interests [Member] | ' | ' |
Noncontrolling Interest [Line Items] | ' | ' |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 15.00% | ' |
Non-controlling interests | 558 | ' |
ProtectCell [Member] | Noncontrolling Interests [Member] | ' | ' |
Noncontrolling Interest [Line Items] | ' | ' |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 37.60% | ' |
Non-controlling interests | $4,864 | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies Reclassifications (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | |||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 | Mar. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Jun. 30, 2013 | Mar. 31, 2013 |
Scenario, Previously Reported [Member] | Scenario, Previously Reported [Member] | Restatement Adjustment [Member] | Restatement Adjustment [Member] | Scenario, Actual [Member] | Scenario, Actual [Member] | |||||
Member benefit claims | $13,834 | $1,157 | $34,624 | $3,558 | $11,114 | $8,978 | $310 | $388 | $11,424 | $9,366 |
Other operating expenses | 10,850 | 7,959 | 30,438 | 21,635 | 10,481 | 9,805 | -310 | -388 | 10,171 | 9,417 |
Net Income | $3,222 | $4,024 | $10,157 | $11,382 | $4,442 | $2,493 | $0 | $0 | $4,442 | $2,493 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' |
Net Income | $3,222 | $4,024 | $10,157 | $11,382 |
Total weighted average basic common shares outstanding | 19,405,597 | 19,531,694 | 19,500,430 | 19,705,105 |
Effect of dilutive stock options and restricted stock awards | 998,911 | 931,544 | 1,030,692 | 914,979 |
Total weighted average diluted common shares outstanding | 20,404,508 | 20,463,238 | 20,531,122 | 20,620,084 |
Earnings per share-basic | $0.17 | $0.21 | $0.52 | $0.59 |
Earnings per share-diluted | $0.16 | $0.20 | $0.49 | $0.56 |
Weighted average anti-dilutive common shares | 809,870 | 567,995 | 762,081 | 431,446 |
Consolidation_of_Operations_Ch2
Consolidation of Operations Charges (Details) (USD $) | 3 Months Ended | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 |
Consolidation of Operations Charges [Abstract] | ' | ' |
Restructuring and Related Activities, Initiation Date | ' | 14-Jan-13 |
Severance and benefit costs included in personnel expense | $0 | $1,234 |
Total consolidation of operations costs | $0 | $1,234 |
Variable_Interest_Entities_Det
Variable Interest Entities (Details) (USD $) | 9 Months Ended | 1 Months Ended | ||
Sep. 30, 2013 | Jul. 31, 2011 | Sep. 30, 2013 | Dec. 31, 2012 | |
Creative Investigations Recovery Group (CIRG) | Creative Investigations Recovery Group (CIRG) | Creative Investigations Recovery Group (CIRG) | ||
Variable Interest Entity [Line Items] | ' | ' | ' | ' |
Ownership Percentage in VIE | ' | 100.00% | ' | ' |
The Company's maximum exposure to loss in the VIE | ' | ' | $1,251,000 | $1,139,000 |
Variable Interest Entity, Additional Short Term Funding | $100,000 | ' | ' | ' |
Other_Comprehensive_Income_Det
Other Comprehensive Income (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance at December 31, net of tax | ' | ' | ($631) | ' |
Other Comprehensive Income (Loss) Before Reclassifications [Abstract] | ' | ' | ' | ' |
Pre-tax (loss) income | -620 | 813 | -2,855 | 1,088 |
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) [Abstract] | ' | ' | ' | ' |
Less: comprehensive (loss) attributable to non-controlling interests | -4 | 6 | -15 | 7 |
Balance at September 30, net of tax | -3,471 | ' | -3,471 | ' |
Unrealized Gains (Losses) on Available-for-sale Securities | ' | ' | ' | ' |
Related tax (expense) benefit | -2,268 | -2,397 | -6,048 | -6,392 |
Accumulated Net Unrealized Investment Gain (Loss) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance at December 31, net of tax | ' | ' | 2,189 | 587 |
Other Comprehensive Income (Loss) Before Reclassifications [Abstract] | ' | ' | ' | ' |
Pre-tax (loss) income | ' | ' | -3,496 | 2,666 |
Income tax benefit (expense) | ' | ' | 1,223 | -933 |
Other comprehensive (loss) income before reclassifications, net of tax | ' | ' | -2,273 | 1,733 |
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) [Abstract] | ' | ' | ' | ' |
Pre-tax (income) loss | ' | ' | -2,043 | 6 |
Income tax expense (benefit) | ' | ' | 716 | -2 |
Amounts reclassified from accumulated other comprehensive (loss) income, net of tax | ' | ' | 1,327 | -4 |
Current period other comprehensive (loss) income, net of tax | ' | ' | -3,600 | 1,737 |
Less: comprehensive (loss) attributable to non-controlling interests | ' | ' | -15 | 7 |
Balance at September 30, net of tax | -1,396 | 2,317 | -1,396 | 2,317 |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance at December 31, net of tax | ' | ' | -2,820 | -2,341 |
Other Comprehensive Income (Loss) Before Reclassifications [Abstract] | ' | ' | ' | ' |
Pre-tax (loss) income | ' | ' | 301 | -1,311 |
Income tax benefit (expense) | ' | ' | -105 | 458 |
Other comprehensive (loss) income before reclassifications, net of tax | ' | ' | 196 | -853 |
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) [Abstract] | ' | ' | ' | ' |
Pre-tax (income) loss | ' | ' | 845 | 313 |
Income tax expense (benefit) | ' | ' | -296 | -109 |
Amounts reclassified from accumulated other comprehensive (loss) income, net of tax | ' | ' | -549 | -204 |
Current period other comprehensive (loss) income, net of tax | ' | ' | 745 | -649 |
Less: comprehensive (loss) attributable to non-controlling interests | ' | ' | 0 | 0 |
Balance at September 30, net of tax | -2,075 | -2,990 | -2,075 | -2,990 |
Accumulated Other Comprehensive Income (Loss) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Balance at December 31, net of tax | ' | ' | -631 | -1,754 |
Other Comprehensive Income (Loss) Before Reclassifications [Abstract] | ' | ' | ' | ' |
Pre-tax (loss) income | ' | ' | -3,195 | 1,355 |
Income tax benefit (expense) | ' | ' | 1,118 | -475 |
Other comprehensive (loss) income before reclassifications, net of tax | ' | ' | -2,077 | 880 |
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) [Abstract] | ' | ' | ' | ' |
Pre-tax (income) loss | ' | ' | -1,198 | 319 |
Income tax expense (benefit) | ' | ' | 420 | -111 |
Amounts reclassified from accumulated other comprehensive (loss) income, net of tax | ' | ' | 778 | -208 |
Current period other comprehensive (loss) income, net of tax | ' | ' | -2,855 | 1,088 |
Less: comprehensive (loss) attributable to non-controlling interests | ' | ' | -15 | 7 |
Balance at September 30, net of tax | -3,471 | -673 | -3,471 | -673 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Net Unrealized Investment Gain (Loss) [Member] | ' | ' | ' | ' |
Unrealized Gains (Losses) on Available-for-sale Securities | ' | ' | ' | ' |
Reclassification of gains (losses) included in net income | 756 | -16 | 2,043 | -6 |
Related tax (expense) benefit | -265 | 6 | -716 | 2 |
Net of tax | 491 | -10 | 1,327 | -4 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ' | ' | ' | ' |
Interest Rate Swap | ' | ' | ' | ' |
Reclassification of (losses) gain included in net income | -286 | -273 | -845 | -313 |
Unrealized Gains (Losses) on Available-for-sale Securities | ' | ' | ' | ' |
Related tax (expense) benefit | 100 | 94 | 296 | 109 |
Net of tax | ($186) | ($179) | ($549) | ($204) |
Business_Acquisitions_and_Disp2
Business Acquisitions and Dispositions (Details) (USD $) | 3 Months Ended | 9 Months Ended | 9 Months Ended | 12 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Dec. 31, 2011 | Sep. 30, 2013 | Feb. 01, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | |||
Acquisition of Response Indemnity Company of California [Member] | Acquisition of Response Indemnity Company of California [Member] | Acquisition of ProtectCELL [Member] | Acquisition of ProtectCELL [Member] | Acquisition of MHA & Associates LLC [Member] | Acquisition of 4Warranty [Member] | Acquisition of 4Warranty [Member] | Sale of Magna Insurance Company [Member] | Sale of Magna Insurance Company [Member] | |||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Business Acquisition, Effective Date of Acquisition | ' | ' | ' | ' | ' | ' | 1-Feb-13 | ' | 31-Dec-12 | ' | 24-Apr-12 | 31-Dec-12 | ' | ' | ' | ||
Business Acquisition, Percentage of Voting Interests Acquired | ' | ' | ' | ' | ' | ' | ' | 100.00% | 62.40% | 62.40% | 100.00% | 100.00% | ' | ' | ' | ||
Business Acquisition, Equity Interests Acquired, Number of Shares | ' | ' | ' | ' | ' | ' | ' | ' | 62,400 | ' | ' | ' | ' | ' | ' | ||
Business Acquisition, Equity Interests Acquired, Number of Preferred Units Acquired | ' | ' | ' | ' | ' | ' | ' | ' | 20,000 | ' | ' | ' | ' | ' | ' | ||
Business Acquisition, Equity Interest Issued or Issuable, Value Assigned, Common Units | ' | ' | ' | ' | ' | ' | ' | ' | $7,900,000 | ' | ' | ' | ' | ' | ' | ||
Business Acquisition, Equity Interest Issued or Issuable, Value Assigned | ' | ' | ' | ' | ' | ' | ' | ' | 12,100,000 | ' | ' | ' | ' | ' | ' | ||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | ' | ' | ' | ' | ' | ' | ' | ' | 37.60% | ' | ' | ' | ' | ' | ' | ||
Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Cash and cash equivalents | 17,213,000 | 11,284,000 | 17,213,000 | 11,284,000 | 15,209,000 | 31,339,000 | 1,893,000 | ' | ' | 350,000 | ' | ' | 703,000 | ' | ' | ||
Restricted cash | 28,792,000 | ' | 28,792,000 | ' | 31,142,000 | ' | 0 | ' | ' | 7,438,000 | ' | ' | 72,000 | ' | ' | ||
Investments | ' | ' | ' | ' | ' | ' | 2,488,000 | ' | ' | 0 | ' | ' | 0 | ' | ' | ||
Short-term investments | 971,000 | ' | 971,000 | ' | 1,222,000 | ' | 0 | ' | ' | 252,000 | ' | ' | 0 | ' | ' | ||
Accrued investment income | 1,006,000 | ' | 1,006,000 | ' | 1,235,000 | ' | 38,000 | ' | ' | 0 | ' | ' | 0 | ' | ' | ||
Notes receivable, net | 5,818,000 | ' | 5,818,000 | ' | 11,290,000 | ' | 0 | ' | ' | 6,341,000 | ' | ' | 0 | ' | ' | ||
Other receivables | 36,109,000 | ' | 36,109,000 | ' | 13,393,000 | ' | 0 | ' | ' | 2,312,000 | ' | ' | 357,000 | ' | ' | ||
Reinsurance receivables | 211,835,000 | ' | 211,835,000 | ' | 203,988,000 | ' | 200,000 | ' | ' | 0 | ' | ' | 0 | ' | ' | ||
Property and equipment, net | 16,805,000 | ' | 16,805,000 | ' | 17,900,000 | ' | 0 | ' | ' | 628,000 | ' | ' | 61,000 | ' | ' | ||
Other Intangible Assets, Net | 65,139,000 | ' | 65,139,000 | ' | ' | ' | 375,000 | ' | ' | 18,815,000 | ' | ' | 1,870,000 | ' | ' | ||
Other assets | 9,062,000 | ' | 9,062,000 | ' | 7,667,000 | ' | 10,000 | ' | ' | 1,470,000 | ' | ' | 0 | ' | ' | ||
Unpaid claims | -33,471,000 | ' | -33,471,000 | ' | -33,007,000 | ' | -200,000 | ' | ' | -176,000 | ' | ' | 0 | ' | ' | ||
Accrued expenses, accounts payable and other liabilities | ' | ' | ' | ' | ' | ' | -9,000 | ' | ' | -2,644,000 | ' | ' | -310,000 | ' | ' | ||
Deferred Revenue | -69,188,000 | ' | -69,188,000 | ' | -55,043,000 | ' | 0 | ' | ' | -30,000,000 | ' | ' | -1,260,000 | ' | ' | ||
Income taxes payable | -237,000 | ' | -237,000 | ' | 0 | ' | 0 | ' | ' | 0 | ' | ' | -273,000 | ' | ' | ||
Deferred income taxes, net | ' | ' | ' | ' | ' | ' | 0 | ' | ' | 0 | ' | ' | -259,000 | ' | ' | ||
Net Assets Acquired | ' | ' | ' | ' | ' | ' | 4,795,000 | ' | ' | 4,786,000 | ' | ' | 961,000 | ' | ' | ||
Non-controlling interest | ' | ' | ' | ' | ' | ' | ' | ' | -4,745,000 | -4,745,000 | ' | ' | ' | ' | ' | ||
Purchase consideration (1) (2) | ' | ' | ' | ' | ' | ' | 4,795,000 | ' | ' | 20,000,000 | [1] | ' | ' | 3,625,000 | [2] | ' | ' |
Goodwill | ' | ' | ' | ' | ' | ' | 0 | ' | ' | 19,959,000 | ' | ' | 2,664,000 | ' | ' | ||
Business Acquisition, Working Capital Increase (Decrease) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000 | ' | ' | ' | ||
Business Acquisition, Contingent Consideration, at Fair Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000 | ' | ' | ' | ||
Business Acquisition, Cost of Acquired Entity, Purchase Price | ' | ' | ' | ' | ' | ' | ' | 4,800,000 | 20,000,000 | ' | 300,000 | ' | ' | ' | ' | ||
Disposal Date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30-Jun-13 | ' | ||
Statutory Accounting Practices, Statutory Capital and Surplus, Balance | 61,762,000 | ' | 61,762,000 | ' | 53,885,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Proceeds from Divestiture of Businesses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,000,000 | ||
Cash Divested from Deconsolidation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 800,000 | ||
Gain on sale of subsidiary | $0 | $0 | $402,000 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $400,000 | ||
[1] | (2) - The purchase consideration of $20.0 million for the ProtectCELL acquisition represents the 62.4% ownership interest acquired in the transaction, comprised of 62,400 common units and 20,000 preferred units, preliminarily valued at $7.9 million and $12.1 million respectively. | ||||||||||||||||
[2] | (1) - The purchase consideration for the 4Warranty acquisition includes $0.3 million of contingent consideration and $0.3 million of hold back reserves, which estimates are unchanged in the current period and are expected to be paid out based on the agreed terms of the Stock Purchase Agreement. |
Goodwill_Details
Goodwill (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | Payment Protection [Member] | Business Process Outsourcing [Member] | Brokerage [Member] | Acquisition of ProtectCELL [Member] | Acquisition of ProtectCELL [Member] | Acquisition of 4Warranty [Member] | Acquisition of 4Warranty [Member] | Scenario, Actual [Member] | Scenario, Actual [Member] | Scenario, Actual [Member] | Scenario, Actual [Member] | Scenario, Previously Reported [Member] | Scenario, Previously Reported [Member] | Scenario, Previously Reported [Member] | Scenario, Previously Reported [Member] | ||
Payment Protection [Member] | Payment Protection [Member] | Payment Protection [Member] | Business Process Outsourcing [Member] | Brokerage [Member] | Payment Protection [Member] | Business Process Outsourcing [Member] | Brokerage [Member] | ||||||||||
Goodwill [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Allocation Adjustment | ' | ' | ' | ' | ' | $8,227 | $8,227 | ($60) | ($60) | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill | 127,679 | 127,679 | 60,251 | 12,970 | 54,458 | ' | ' | ' | ' | 127,679 | 60,251 | 12,970 | 54,458 | 119,512 | 52,084 | 12,970 | 54,458 |
Goodwill | $127,679 | $127,679 | $60,251 | $12,970 | $54,458 | ' | ' | ' | ' | $127,679 | $60,251 | $12,970 | $54,458 | $119,512 | $52,084 | $12,970 | $54,458 |
Other_Intangible_Assets_Level_
Other Intangible Assets Level 4 Other Intangible Assets, Carrying Values and Amortization Periods (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | $67,476 | $67,424 |
Accumulated Amortization | -24,587 | -18,989 |
Net Carrying Amount | 42,889 | 48,435 |
Customer and Agent Relationships [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 52,282 | 52,230 |
Accumulated Amortization | -16,659 | -12,340 |
Net Carrying Amount | 35,623 | 39,890 |
Trade Names [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 1,200 | 1,200 |
Accumulated Amortization | -114 | 0 |
Net Carrying Amount | 1,086 | 1,200 |
Software [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 10,138 | 10,138 |
Accumulated Amortization | -4,459 | -3,385 |
Net Carrying Amount | 5,679 | 6,753 |
Present Value of Future Profits [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 548 | 548 |
Accumulated Amortization | -548 | -548 |
Net Carrying Amount | 0 | 0 |
Noncompete Agreements [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 3,308 | 3,308 |
Accumulated Amortization | -2,807 | -2,716 |
Net Carrying Amount | $501 | $592 |
Minimum [Member] | Customer and Agent Relationships [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '5 years | ' |
Minimum [Member] | Trade Names [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '8 years | ' |
Minimum [Member] | Software [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '2 years 3 months | ' |
Minimum [Member] | Present Value of Future Profits [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '3 months 18 days | ' |
Minimum [Member] | Noncompete Agreements [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '1 year 6 months | ' |
Maximum [Member] | Customer and Agent Relationships [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '15 years | ' |
Maximum [Member] | Trade Names [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '10 years | ' |
Maximum [Member] | Software [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '10 years | ' |
Maximum [Member] | Present Value of Future Profits [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '9 months | ' |
Maximum [Member] | Noncompete Agreements [Member] | ' | ' |
Acquired Finite-Lived Intangible Assets [Line Items] | ' | ' |
Amortization period (Years) | '6 years | ' |
Other_Intangible_Assets_Indefi
Other Intangible Assets Indefinite lived intangible assets (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Acquired Indefinite-lived Intangible Assets [Line Items] | ' | ' |
Total | $22,250 | $21,875 |
Trade Names [Member] | ' | ' |
Acquired Indefinite-lived Intangible Assets [Line Items] | ' | ' |
Tradenames | 21,875 | 21,875 |
Licenses [Member] | ' | ' |
Acquired Indefinite-lived Intangible Assets [Line Items] | ' | ' |
Licenses | $375 | $0 |
Other_Intangible_Assets_Other_
Other Intangible Assets Other Intangible Assets Rollforward (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 12 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 |
Acquisition of ProtectCELL [Member] | Acquisition of ProtectCELL [Member] | Acquisition of 4Warranty [Member] | Acquisition of 4Warranty [Member] | Acquisition of Response Indemnity Company of California [Member] | Scenario, Previously Reported [Member] | Scenario, Actual [Member] | |||||
Indefinite-lived Intangible Assets [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other Intangible Assets, Net | ' | ' | ' | ' | ' | $18,815 | ' | $1,870 | ' | $79,340 | $70,310 |
Finite-Lived Intangible Assets, Purchase Accounting Adjustments | ' | ' | ' | ' | -9,000 | ' | -30 | ' | ' | ' | ' |
Intangible assets acquired in 2013 | ' | ' | ' | ' | ' | ' | ' | ' | 427 | ' | ' |
Less: Amortization Expense | 1,870 | 1,127 | 5,598 | 3,775 | ' | ' | ' | ' | ' | ' | ' |
Other Intangible Assets, Net | $65,139 | ' | $65,139 | ' | ' | $18,815 | ' | $1,870 | $375 | $79,340 | $70,310 |
Other_Intangible_Assets_Future
Other Intangible Assets Future Amortization Expense (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Finite Lived Intangible Future Amortization [Abstract] | ' | ' |
Remainder of 2013 | $1,858 | ' |
2014 | 7,427 | ' |
2015 | 7,416 | ' |
2016 | 6,755 | ' |
2017 | 5,399 | ' |
Therafter | 14,034 | ' |
Net Carrying Amount | $42,889 | $48,435 |
Investments_Cost_Gross_Unreali
Investments Cost, Gross Unrealized Gains, Losses and Fair Value (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | $123,905 | $107,095 |
Fair Value | 122,760 | 110,641 |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 49,610 | 22,424 |
Gross Unrealized Gains | 238 | 761 |
Gross Unrealized Losses | -409 | -7 |
Fair Value | 49,439 | 23,178 |
Municipal Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 23,033 | 16,636 |
Gross Unrealized Gains | 96 | 413 |
Gross Unrealized Losses | -379 | -8 |
Fair Value | 22,750 | 17,041 |
Corporate Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 51,183 | 67,627 |
Gross Unrealized Gains | 138 | 2,461 |
Gross Unrealized Losses | -830 | -80 |
Fair Value | 50,491 | 70,008 |
Mortgage-backed securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 79 | 285 |
Gross Unrealized Gains | 1 | 4 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 80 | 289 |
Asset-backed Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | ' | 123 |
Gross Unrealized Gains | ' | 2 |
Gross Unrealized Losses | ' | 0 |
Fair Value | ' | 125 |
Total Fixed Maturity Securites [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Gross Unrealized Gains | 473 | 3,641 |
Gross Unrealized Losses | -1,618 | -95 |
Fair Value | 122,760 | 110,641 |
Common Stock, publicly traded [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 39 | 39 |
Gross Unrealized Gains | 5 | 3 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 44 | 42 |
Preferred Stock, publicly traded [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 5,975 | 4,975 |
Gross Unrealized Gains | 0 | 133 |
Gross Unrealized Losses | -711 | -1 |
Fair Value | 5,264 | 5,107 |
Common stock, non-publicly traded [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 59 | 59 |
Gross Unrealized Gains | 5 | 4 |
Gross Unrealized Losses | -13 | -5 |
Fair Value | 51 | 58 |
Preferred stock, non-publicly traded [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Cost or Amortized Cost | 1,009 | 1,009 |
Gross Unrealized Gains | 4 | 4 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 1,013 | 1,013 |
Total Equity Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Gross Unrealized Gains | 14 | 144 |
Gross Unrealized Losses | -724 | -6 |
Fair Value | $6,372 | $6,220 |
Investments_Restricted_Investm
Investments Restricted Investments (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Investments [Abstract] | ' | ' |
Fair value of restricted investments for special deposits required by state insurance departments | $10,384 | $10,988 |
Fair value of restricted investments in trust pursuant to reinsurance agreements | 6,289 | 6,954 |
Fair Value of restricted investments | $16,673 | $17,942 |
Investments_by_Maturity_Detail
Investments by Maturity (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Due in one year or less, Amortized Cost | $18,439 | $5,557 |
Due in one year or less, Fair Value | 18,448 | 5,608 |
Due after one year through five years, Amortized Cost | 59,966 | 58,378 |
Due after one year through five years, Fair Value | 59,885 | 60,323 |
Due after five years through ten years, Amortized Cost | 22,028 | 24,983 |
Due after five years through ten years, Fair Value | 21,282 | 25,900 |
Due after ten years, Amortized Cost | 23,393 | 17,769 |
Due after ten years, Fair Value | 23,065 | 18,396 |
Total Fixed Maturity Securities, Amortized Cost | 123,905 | 107,095 |
Fixed Maturity Securities | 122,760 | 110,641 |
Mortgage-backed securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Amortized Cost | 79 | 285 |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | 80 | 289 |
Asset-backed Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Amortized Cost | 0 | 123 |
Available-for-sale Securities, Debt Maturities, without Single Maturity Date, Fair Value | $0 | $125 |
Investments_Investments_in_a_u
Investments Investments in a unrealized loss position for <> 12 Months, current period (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
Securities | Securities | |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | $29,025,000 | $857,000 |
Unrealized Losses, Less than Twelve Months | -402,000 | -7,000 |
Number of securities, Less than Twelve Months | 41 | 11 |
Fair Value, Twelve months or Greater | 465,000 | 0 |
Unrealized Losses,Twelve months or Greater | -7,000 | 0 |
Number of securities,Twelve months or Greater | 6 | 0 |
Total, Fair Value | 29,490,000 | 857,000 |
Total Unrealized Losses | -409,000 | -7,000 |
Total, Number of Securities | 47 | 11 |
Municipal Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 9,294,000 | 734,000 |
Unrealized Losses, Less than Twelve Months | -379,000 | -8,000 |
Number of securities, Less than Twelve Months | 15 | 1 |
Fair Value, Twelve months or Greater | 0 | 0 |
Unrealized Losses,Twelve months or Greater | 0 | 0 |
Number of securities,Twelve months or Greater | 0 | 0 |
Total, Fair Value | 9,294,000 | 734,000 |
Total Unrealized Losses | -379,000 | -8,000 |
Total, Number of Securities | 15 | 1 |
Corporate Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 33,403,000 | 12,625,000 |
Unrealized Losses, Less than Twelve Months | -791,000 | -63,000 |
Number of securities, Less than Twelve Months | 38 | 16 |
Fair Value, Twelve months or Greater | 681,000 | 183,000 |
Unrealized Losses,Twelve months or Greater | -39,000 | -17,000 |
Number of securities,Twelve months or Greater | 2 | 0 |
Total, Fair Value | 34,084,000 | 12,808,000 |
Total Unrealized Losses | -830,000 | -80,000 |
Total, Number of Securities | 40 | 17 |
Total Fixed Maturity Securites [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 71,722,000 | 14,216,000 |
Unrealized Losses, Less than Twelve Months | -1,572,000 | -78,000 |
Number of securities, Less than Twelve Months | 94 | 28 |
Fair Value, Twelve months or Greater | 1,146,000 | 183,000 |
Unrealized Losses,Twelve months or Greater | -46,000 | -17,000 |
Number of securities,Twelve months or Greater | 8 | 0 |
Total, Fair Value | 72,868,000 | 14,399,000 |
Total Unrealized Losses | -1,618,000 | -95,000 |
Total, Number of Securities | 102 | 29 |
Preferred Stock, publicly traded [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 5,263,000 | 198,000 |
Unrealized Losses, Less than Twelve Months | -711,000 | -1,000 |
Number of securities, Less than Twelve Months | 9 | 1 |
Fair Value, Twelve months or Greater | 0 | 0 |
Unrealized Losses,Twelve months or Greater | 0 | 0 |
Number of securities,Twelve months or Greater | 0 | 0 |
Total, Fair Value | 5,263,000 | 198,000 |
Total Unrealized Losses | -711,000 | -1,000 |
Total, Number of Securities | 9 | 1 |
Common stock, non-publicly traded [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 0 | 0 |
Unrealized Losses, Less than Twelve Months | 0 | 0 |
Number of securities, Less than Twelve Months | 0 | 0 |
Fair Value, Twelve months or Greater | 31,000 | 39,000 |
Unrealized Losses,Twelve months or Greater | -13,000 | -5,000 |
Number of securities,Twelve months or Greater | 2 | 0 |
Total, Fair Value | 31,000 | 39,000 |
Total Unrealized Losses | -13,000 | -5,000 |
Total, Number of Securities | 2 | 2 |
Total Equity Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Fair Value, Less than Twelve Months | 5,263,000 | 198,000 |
Unrealized Losses, Less than Twelve Months | -711,000 | -1,000 |
Number of securities, Less than Twelve Months | 9 | 1 |
Fair Value, Twelve months or Greater | 31,000 | 39,000 |
Unrealized Losses,Twelve months or Greater | -13,000 | -5,000 |
Number of securities,Twelve months or Greater | 2 | 0 |
Total, Fair Value | 5,294,000 | 237,000 |
Total Unrealized Losses | ($724,000) | ($6,000) |
Total, Number of Securities | 11 | 3 |
Investments_Gross_Proceeds_fro
Investments Gross Proceeds from sales of available-for-sale investments (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Investments [Abstract] | ' | ' | ' | ' |
Gross proceeds from sales | $27,139 | $503 | $54,663 | $4,980 |
Investments_Realized_investmen
Investments Realized investment gains, losses and OTTI (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Investments [Abstract] | ' | ' | ' | ' |
Gross realized gains | $756 | $0 | $2,118 | $22 |
Gross realized losses | 0 | 0 | -75 | -12 |
Total net gains from investment sales | 756 | 0 | 2,043 | 10 |
Impairment write-downs (other-than-temporary impairments) | 0 | -16 | 0 | -16 |
Net realized investment gains | $756 | ($16) | $2,043 | ($6) |
Investments_Schedule_of_net_in
Investments Schedule of net investment income (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Investments [Abstract] | ' | ' | ' | ' |
Fixed income securities | $670 | $628 | $2,094 | $1,954 |
Cash on hand and on deposit | 11 | 47 | 47 | 143 |
Common and preferred stock dividends | 98 | 77 | 275 | 191 |
Notes receivable | 99 | 75 | 239 | 201 |
Other income | 3 | 34 | 117 | 104 |
Investment expenses | -109 | -117 | -339 | -374 |
Net Investment Income | $772 | $744 | $2,433 | $2,219 |
Reinsurance_Receivables_Premiu
Reinsurance Receivables Premiums, Direct and Assumed, Ceded (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Reinsurance Disclosures [Abstract] | ' | ' | ' | ' |
Direct and Assumed, Premiums Written | $116,452 | $100,409 | $297,940 | $272,317 |
Direct and Assumed, Premiums Earned | 100,193 | 98,287 | 284,169 | 269,132 |
Ceded Premiums, Written | -79,580 | -65,935 | -194,067 | -169,971 |
Ceded Premiums, Earned | -66,087 | -64,394 | -183,240 | -171,362 |
Net written premium | 36,872 | 34,474 | 103,873 | 102,346 |
Net earned premium | $34,106 | $33,893 | $100,929 | $97,770 |
Reinsurance_Receivables_Losses
Reinsurance Receivables Losses and LAE Incurred (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Reinsurance Disclosures [Abstract] | ' | ' | ' | ' |
Direct and assumed | $23,354 | $23,069 | $66,879 | $66,198 |
Ceded | -13,397 | -11,639 | -35,783 | -33,926 |
Net losses and LAE incurred | $9,957 | $11,430 | $31,096 | $32,272 |
Reinsurance_Receivables_Compon
Reinsurance Receivables Components of Reinsurance Receivables (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ' | ' |
Reinsurance Recoverables | $183,052 | $173,188 |
Other reinsurance settlements receivable | 7,430 | 11,088 |
Reinsurance receivables | 211,835 | 203,988 |
Life [Member] | ' | ' |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ' | ' |
Reinsurance Recoverables | 51,492 | 53,117 |
Ceded claim reserves | 1,564 | 1,786 |
Accident and Health [Member] | ' | ' |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ' | ' |
Reinsurance Recoverables | 36,126 | 34,266 |
Ceded claim reserves | 8,964 | 9,263 |
Property [Member] | ' | ' |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ' | ' |
Reinsurance Recoverables | 95,434 | 85,805 |
Ceded claim reserves | 10,825 | 8,663 |
Ceded claim reserves [Member] | ' | ' |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ' | ' |
Ceded claim reserves | $21,353 | $19,712 |
Reinsurance_Receivables_Reinsu
Reinsurance Receivables Reinsurer concentration of Credit Risk (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ' | ' |
Total of the three largest receivable balances from unrelated reinsurers | $211,835 | $203,988 |
Total of the three largest receivable balances from unrelated reinsurers | ' | ' |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ' | ' |
Total of the three largest receivable balances from unrelated reinsurers | $135,462 | $126,633 |
Notes_Payable_Details
Notes Payable (Details) (USD $) | 3 Months Ended | 9 Months Ended | 9 Months Ended | ||||||||||||||||||
Sep. 30, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | |
Minimum [Member] | Maximum [Member] | Long-term Debt [Member] | Long-term Debt [Member] | Long-term Debt [Member] | Long-term Debt [Member] | Long-term Debt [Member] | Long-term Debt [Member] | Long-term Debt [Member] | Long-term Debt [Member] | Long-term Debt [Member] | Swingline Loan [Member] | Bankers Life of Louisiana [Member] | Southern Financial Life Insurance Company [Member] | Insurance Company of the South [Member] | Lyndon Southern Insurance Company [Member] | Life of the South Insurance Company [Member] | initial commitment fee [Member] | ||||
London Interbank Offered Rate (LIBOR) [Member] | Eurodollar Reserve [Member] | Adjusted London Interbank Offered Rate (LIBOR) [Member] [Member] | Federal Funds Rate [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | |||||||||
London Interbank Offered Rate (LIBOR) [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Wells Fargo Bank, N.A. credit facility, maturing August 2017 | ' | $82,750,000 | $89,438,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum balance allowed on the Wells Fargo Bank, N.A. credit facility | ' | 120,000,000 | 123,750,000 | ' | ' | 125,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit, term loan facility | ' | ' | ' | ' | ' | 50,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate at the end of the respective period: | ' | 2.94% | 2.76% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Initiation Date | ' | ' | ' | ' | ' | 2-Aug-12 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Basis Spread on Variable Rate | ' | ' | ' | ' | ' | 1.75% | 1.00% | 100.00% | 2.75% | 0.50% | 1.00% | 2.00% | 2.00% | 3.00% | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Current Borrowing Capacity | ' | ' | ' | ' | ' | 75,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,000,000 | ' | ' | ' | ' | ' | ' |
letters of credit, available | ' | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Expiration Date | ' | ' | ' | ' | ' | 2-Aug-17 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of credit, incremental amount available | ' | ' | ' | ' | ' | 50,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | ' | ' | ' | 0.25% | 0.45% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.40% |
Payments of Debt Issuance Costs | 1,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Covenant Requirement, total leverage ratio, not more than 3.50 | ' | ' | ' | ' | 3.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Covenant Requirement, fixed charge coverage ratio, not less than 2.00 | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Covenant Requirement, reinsurance ratio, not less than 50% | ' | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Covenant Requirement, RBC ratio, not less than 250% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250.00% | 250.00% | 250.00% | 250.00% | 250.00% | ' |
Remainder of 2013 | ' | 1,250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2014 | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | ' | 66,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Thereafter | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total | ' | $82,750,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total Leverage Ratio - Well Fargo Bank, credit facility, actual | ' | 2.67 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fixed Charge Coverage Ratio-Wells Fargo, credit facility, actual | ' | 2.74 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reinsurance Ratio-Wells Fargo Bank, credit facility, actual | ' | 69.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
RBC Ratio - Bankers Life of Louisiana, actual | ' | ' | 469.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
RBC Ratio - Southern Financial Life Insurance Company, actual | ' | ' | 2155.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
RBC Ratio - Insurance Company of the South, actual | ' | ' | 378.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
RBC Ratio - Lyndon Southern Insurance Company, actual | ' | ' | 255.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
RBC Ratio - Life of the South Insurance Company, actual | ' | ' | 386.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Interest Rate Swap Level 4 Amounts in AOCI (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' |
(Loss) gain recognized in AOCI on the derivative-effective portion | ($263) | ($470) | $301 | ($1,311) | ' |
Estimated loss to be reclassified to earnings from AOCI during the next 12 months | ' | ' | 1,119 | ' | ' |
Interest Rate Swap [Member] | Cash Flow Hedging [Member] | ' | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' |
Interest rate swap - notional value | 35,000 | ' | 35,000 | ' | 35,000 |
Variable rate of the interest rate swap | 0.25% | ' | 0.25% | ' | 0.31% |
Fixed rate of the interest rate swap | 3.47% | ' | 3.47% | ' | 3.47% |
Loss reclassified from AOCI into income-effective portion | 286 | 273 | 845 | 313 | ' |
Gain (loss) recognized in income on the derivative-ineffective portion | 0 | 0 | 0 | 0 | ' |
Accrued expenses, accounts payable and other liabilities [Member] | ' | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' |
Balance Sheet Location | ' | ' | 'Accrued expenses, accounts payable and other liabilities | ' | ' |
Accrued expenses, accounts payable and other liabilities [Member] | Interest Rate Swap [Member] | Cash Flow Hedging [Member] | ' | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' |
Fair Value of the Swap | -3,192 | ' | -3,192 | ' | -4,338 |
Accumulated Other Comprehensive Income (Loss) [Member] | ' | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' |
Balance Sheet Location | ' | ' | 'AOCI | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Member] | Interest Rate Swap [Member] | Cash Flow Hedging [Member] | ' | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' |
Unrealized loss, net of tax, on the fair value of the Swap | ($2,075) | ' | ($2,075) | ' | ($2,820) |
StockBased_Compensation_Summar
Stock-Based Compensation Summary of Stock Option Activity (Details) (USD $) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2013 | Sep. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | ' | '3 years |
Options Outstanding, Weighted Average Remaining Contractual Term (in years) | ' | '5 years 0 months 4 days |
Options Exercisable, Weighted Average Remaining Contractual Term | ' | '3 years 8 months 27 days |
Share-based Compensation awards, time-based [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Outstanding, Beginning Balance (in shares) | ' | 2,016,231 |
Options Outstanding, Weighted Average Exercise Price, Beginning Balance (in dollars per share) | ' | $4.38 |
Options Exercisable, Beginning Balance (in shares) | ' | 1,690,040 |
Options Exercisable, Weighted Average Exercise Price, Beginning Balance (in dollars per share) | ' | $3.66 |
Granted (in shares) | 60,000 | 60,000 |
Granted, Weighted Average Exercise Price (in dollars per share) | ' | $7.62 |
Vested (in shares) | ' | 114,617 |
Vested, Weighted Average Exercise Price (in dollars per share) | ' | $8.44 |
Exercised (in shares) | ' | -6,250 |
Exercised, Weighted Average Exercise Price (in dollars per share) | ' | $7.84 |
Canceled/forfeited (in shares) | ' | -28,750 |
Canceled/forfeited, Weighted Average Exercise Price (in dollars per share) | ' | $7.87 |
Options Outstanding, Ending Balance (in shares) | 2,041,231 | 2,041,231 |
Options Outstanding, Weighted Average Exercise Price, Ending Balance (in dollars per share) | $4.42 | $4.42 |
Options Exercisable, Ending Balance (in shares) | 1,798,407 | 1,798,407 |
Options Exercisable, Weighted Average Exercise Price, Ending Balance (in dollars per share) | $3.95 | $3.95 |
Options Outstanding, Weighted Average Remaining Contractual Term (in years) | ' | '4 years 3 months 18 days |
Options Exercisable, Weighted Average Remaining Contractual Term | ' | '3 years 8 months 12 days |
Share-based Compensation awards, performanced-based [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Options Outstanding, Beginning Balance (in shares) | ' | 185,000 |
Options Outstanding, Weighted Average Exercise Price, Beginning Balance (in dollars per share) | ' | $8 |
Options Exercisable, Beginning Balance (in shares) | ' | 0 |
Options Exercisable, Weighted Average Exercise Price, Beginning Balance (in dollars per share) | ' | $0 |
Granted (in shares) | ' | 228,981 |
Granted, Weighted Average Exercise Price (in dollars per share) | ' | $8.89 |
Exercised (in shares) | ' | 0 |
Exercised, Weighted Average Exercise Price (in dollars per share) | ' | $0 |
Canceled/forfeited (in shares) | ' | 60,557 |
Canceled/forfeited, Weighted Average Exercise Price (in dollars per share) | ' | $8.67 |
Options Outstanding, Ending Balance (in shares) | 353,424 | 353,424 |
Options Outstanding, Weighted Average Exercise Price, Ending Balance (in dollars per share) | $8.46 | $8.46 |
Options Exercisable, Ending Balance (in shares) | 0 | 0 |
Options Exercisable, Weighted Average Exercise Price, Ending Balance (in dollars per share) | $0 | $0 |
Options Outstanding, Weighted Average Remaining Contractual Term (in years) | ' | '9 years 0 months 0 days |
Options Exercisable, Weighted Average Remaining Contractual Term | ' | '0 years |
StockBased_Compensation_Option
Stock-Based Compensation Options outstanding and exercisable, by exercise price and weighted average life (Details) (USD $) | 9 Months Ended |
Sep. 30, 2013 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Options Outstanding, Option Shares Outstanding | 2,394,655 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '5 years 0 months 4 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $5.02 |
Options Exercisable, Option Shares Outstanding | 1,798,407 |
Options Exercisable, Weighted Average Remaining Contractual Life (in years) | '3 years 8 months 27 days |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $3.95 |
$3.03 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $3.03 |
Options Outstanding, Option Shares Outstanding | 787,500 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '2 years 1 month 17 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $3.03 |
Options Exercisable, Option Shares Outstanding | 787,500 |
Options Exercisable, Weighted Average Remaining Contractual Life (in years) | '2 years 1 month 17 days |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $3.03 |
$3.25 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $3.25 |
Options Outstanding, Option Shares Outstanding | 757,963 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '4 years 0 months 26 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $3.25 |
Options Exercisable, Option Shares Outstanding | 757,963 |
Options Exercisable, Weighted Average Remaining Contractual Life (in years) | '4 years 0 months 26 days |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $3.25 |
$7.62 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $7.62 |
Options Outstanding, Option Shares Outstanding | 60,000 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '9 years 11 months 1 day |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $7.62 |
Options Exercisable, Option Shares Outstanding | 0 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $0 |
$7.84 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $7.84 |
Options Outstanding, Option Shares Outstanding | 232,500 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '7 years 9 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $7.84 |
Options Exercisable, Option Shares Outstanding | 131,676 |
Options Exercisable, Weighted Average Remaining Contractual Life (in years) | '7 years 9 months |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $7.84 |
$7.93 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $7.93 |
Options Outstanding, Option Shares Outstanding | 5,000 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '9 years |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $7.93 |
Options Exercisable, Option Shares Outstanding | 0 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $0 |
$7.97 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $7.97 |
Options Outstanding, Option Shares Outstanding | 110,000 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '8 years 11 months 1 day |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $7.97 |
Options Exercisable, Option Shares Outstanding | 36,676 |
Options Exercisable, Weighted Average Remaining Contractual Life (in years) | '8 years 11 months 1 day |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $7.97 |
$8.00 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $8 |
Options Outstanding, Option Shares Outstanding | 170,000 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '8 years 9 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $8 |
Options Exercisable, Option Shares Outstanding | 0 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $0 |
$8.89 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $8.89 |
Options Outstanding, Option Shares Outstanding | 183,424 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '9 years 3 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $8.89 |
Options Exercisable, Option Shares Outstanding | 0 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $0 |
$11.00 | ' |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' |
Exercise Price (in dollars per share) | $11 |
Options Outstanding, Option Shares Outstanding | 88,268 |
Options Outstanding, Weighted Average Remaining Contractual Life (in years) | '7 years 2 months 16 days |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $11 |
Options Exercisable, Option Shares Outstanding | 84,592 |
Options Exercisable, Weighted Average Remaining Contractual Life (in years) | '7 years 2 months 16 days |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $11 |
StockBased_Compensation_Stocko
Stock-Based Compensation Stock-options, vested and expected to vest (Details) (USD $) | 9 Months Ended |
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 |
Stock-based compensation [Abstract] | ' |
Number of shares vested and expected to vest | 2,189,548 |
Weighted average remaining contractual life (in years) | '4 years 7 months 13 days |
Weighted average exercise price per option (in dollars) | $4.66 |
Intrinsic value (in thousands) | $8,644 |
StockBased_Compensation_Weight
Stock-Based Compensation Weighted Average Assumptions (Details) | 9 Months Ended |
Sep. 30, 2013 | |
Stock-Based Comp [Abstract] | ' |
Expected term (in years) | '7 years 9 months 22 days |
Expected volatility | 32.37% |
Expected dividends | 0.00% |
Risk-free rate | 1.54% |
StockBased_Compensation_Summar1
Stock-Based Compensation Summary of Restricted Stock Awards (Details) (USD $) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2013 | Sep. 30, 2013 | |
Share-based Compensation awards, performanced-based [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' |
Granted (in shares) | ' | 76,326 |
Share-based Compensation awards, restricted share awards,time-based [Member] [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' |
Shares outstanding, beginning balance (in shares) | ' | 103,000 |
Granted (in shares) | ' | 81,016 |
Vested (in shares) | ' | -29,336 |
Forfeited (in shares) | ' | 0 |
Shares outstanding, ending balance (in shares) | 154,680 | 154,680 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' |
Shares outstanding, Weighted Average Grant Date Fair Value, beginning balance (in dollars per share) | ' | 8 |
Granted, Weighted Average Grant Date Fair Value (in dollars per share) | ' | 9.39 |
Vested, Weighted Average Grant Date Fair Value (in dollars per share) | ' | 7.48 |
Forfeited, Weighted Average Grant Date Fair Value (in dollars per share) | ' | 0 |
Shares outstanding, Weighted Average Grant Date Fair Value, ending balance (in dollars per share) | 8.83 | 8.83 |
Share-based Compensation awards, restricted share awards,performance-based [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' |
Shares outstanding, beginning balance (in shares) | ' | 80,861 |
Granted (in shares) | ' | 76,326 |
Vested (in shares) | ' | 0 |
Forfeited (in shares) | ' | -15,185 |
Shares outstanding, ending balance (in shares) | 142,002 | 142,002 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' |
Shares outstanding, Weighted Average Grant Date Fair Value, beginning balance (in dollars per share) | ' | 11 |
Granted, Weighted Average Grant Date Fair Value (in dollars per share) | ' | 8.89 |
Vested, Weighted Average Grant Date Fair Value (in dollars per share) | ' | 0 |
Forfeited, Weighted Average Grant Date Fair Value (in dollars per share) | ' | 8.89 |
Shares outstanding, Weighted Average Grant Date Fair Value, ending balance (in dollars per share) | 10.09 | 10.09 |
Share-based Compensation awards, time-based [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' |
Granted (in shares) | 3,415 | 6,016 |
Director [Member] | Share-based Compensation awards, time-based [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' |
Granted (in shares) | ' | 75,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' |
Number of employees receiving grants | ' | 5 |
StockBased_Compensation_StockB
Stock-Based Compensation Stock-Based Compensation Expense (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Income tax benefit | ($137) | ($110) | ($378) | ($251) |
Net stock-based compensation expense | 220 | 177 | 609 | 406 |
share-based compensation expense, recognized in personnel expense [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Allocated Share-based Compensation Expense | 226 | 205 | 614 | 447 |
share-based compensation expense, recognized in other operating expense [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Allocated Share-based Compensation Expense | $131 | $82 | $373 | $210 |
StockBased_Compensation_Unreco
Stock-Based Compensation Unrecognized Compensation related to non-vested awards (Details) (USD $) | 3 Months Ended | 9 Months Ended |
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 |
Stock Options [Member] | ' | ' |
Unrecognized compensation cost related to non-vested awards | 867 | 867 |
Weighted-average recognition period (in years) | ' | '2 years 4 months 24 days |
Restricted Stock [Member] | ' | ' |
Unrecognized compensation cost related to non-vested awards | 1,184 | 1,184 |
Weighted-average recognition period (in years) | ' | '3 years 8 months 12 days |
Share-based Compensation awards, performanced-based [Member] | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Number of Shares | 183,424 | 183,424 |
Share-based Compensation awards, restricted share awards,performance-based [Member] | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Number of Shares | 61,141 | 61,141 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Current | $3,394,000 | $2,568,000 | $7,358,000 | $5,697,000 |
Deferred | -1,126,000 | -171,000 | -1,310,000 | 695,000 |
Income taxes | 2,268,000 | 2,397,000 | 6,048,000 | 6,392,000 |
Income Tax Examination [Line Items] | ' | ' | ' | ' |
Income tax examination, examination completion date | ' | ' | ' February 2013 | ' |
Income tax examination, final audit assessement date | ' | ' | 'March 2013 | ' |
Income Tax Examination, Liability (Refund) Adjustment from Settlement with Taxing Authority | $57,000 | ' | $57,000 | ' |
Minimum [Member] | ' | ' | ' | ' |
Income Tax Examination [Line Items] | ' | ' | ' | ' |
Income Tax Examination, Year under Examination | ' | ' | '2009 | ' |
Maximum [Member] | ' | ' | ' | ' |
Income Tax Examination [Line Items] | ' | ' | ' | ' |
Income Tax Examination, Year under Examination | ' | ' | '2010 | ' |
Income_Taxes_Schedule_of_Effec
Income Taxes Schedule of Effective Rate Reconciliation (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Income taxes at federal income tax rate | $1,875 | $2,258 | $5,977 | $6,243 |
Income taxes at federal income tax rate - Percent of Pre-tax Income | 35.00% | 35.00% | 35.00% | 35.00% |
Small life deduction | -197 | -140 | -388 | -368 |
Small life deduction - Percent of Pre-tax | -3.68% | -2.17% | -2.27% | -2.06% |
Non-deductible expenses | 34 | 17 | 81 | 87 |
Non-deductible expenses - Percent of Pre-tax | 0.63% | 0.26% | 0.47% | 0.49% |
Tax exempt interest | -38 | -23 | -109 | -73 |
Tax exempt interest - Percent of Pre-tax | -0.71% | -0.36% | -0.64% | -0.41% |
State taxes | 170 | 67 | 415 | 319 |
State taxes - Percent of Pre-tax | 3.17% | 1.04% | 2.43% | 1.79% |
Prior year tax true-up | 312 | 116 | 312 | 103 |
Prior year true-up - Percent of Pre-tax | 5.82% | 1.80% | 1.83% | 0.58% |
Non-controlling interest | 47 | 0 | -304 | 0 |
Non-controlling interest - Percent of Pre-tax | 0.88% | 0.00% | -1.78% | 0.00% |
Other, net | 65 | 102 | 64 | 81 |
Other, net - Percent of Pre-tax | 1.21% | 1.58% | 0.37% | 0.45% |
Income taxes | $2,268 | $2,397 | $6,048 | $6,392 |
Income taxes - Percent of Pre-tax | 42.32% | 37.15% | 35.41% | 35.84% |
Income_Taxes_Tax_Credit_Carryf
Income Taxes Tax Credit Carryforwards (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
Tax Credit Carryforward [Line Items] | ' |
Tax Credit Carryforward, Expiration Date | 31-Dec-19 |
Tax Credit Carryforward, Valuation Allowance | $0.20 |
Internal Revenue Service (IRS) [Member] | Research Tax Credit Carryforward [Member] | ' |
Tax Credit Carryforward [Line Items] | ' |
Tax Credit Carryforward, Amount | 0.5 |
State and Local Jurisdiction [Member] | Research Tax Credit Carryforward [Member] | ' |
Tax Credit Carryforward [Line Items] | ' |
Tax Credit Carryforward, Amount | $0.20 |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments Level 4 Carrying and Fair Values of Financial Instruments (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2011 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | $17,213,000 | $15,209,000 | $11,284,000 | $31,339,000 |
Fixed Maturity Securities | 122,760,000 | 110,641,000 | ' | ' |
Equity Securities | 6,372,000 | 6,220,000 | ' | ' |
Notes receivable | 5,818,000 | 11,290,000 | ' | ' |
Accounts and premiums receivable, net | 32,785,000 | 27,302,000 | ' | ' |
Other receivables | 36,109,000 | 13,393,000 | ' | ' |
Short-term investments | 971,000 | 1,222,000 | ' | ' |
Note payable | 82,750,000 | 89,438,000 | ' | ' |
Preferred trust securities | 35,000,000 | 35,000,000 | ' | ' |
Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | 17,213,000 | 15,209,000 | ' | ' |
Notes receivable | 5,818,000 | 11,290,000 | ' | ' |
Accounts and premiums receivable, net | 32,785,000 | 27,302,000 | ' | ' |
Other receivables | 36,109,000 | 13,393,000 | ' | ' |
Short-term investments | 971,000 | 1,222,000 | ' | ' |
Total Financial Assets | 222,028,000 | 185,277,000 | ' | ' |
Note payable | 82,750,000 | 89,438,000 | ' | ' |
Preferred trust securities | 35,000,000 | 35,000,000 | ' | ' |
Interest Rate Swap | 3,192,000 | 4,338,000 | ' | ' |
Total Financial Liabilities | 120,942,000 | 128,776,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Cash and cash equivalents | 17,213,000 | 15,209,000 | ' | ' |
Notes receivable | 5,818,000 | 11,290,000 | ' | ' |
Accounts and premiums receivable, net | 32,785,000 | 27,302,000 | ' | ' |
Other receivables | 36,109,000 | 13,393,000 | ' | ' |
Short-term investments | 971,000 | 1,222,000 | ' | ' |
Total Financial Assets | 222,028,000 | 185,277,000 | ' | ' |
Note payable | 82,750,000 | 89,438,000 | ' | ' |
Preferred trust securities | 35,000,000 | 35,000,000 | ' | ' |
Interest Rate Swap | 3,192,000 | 4,338,000 | ' | ' |
Total Financial Liabilities | 120,942,000 | 128,776,000 | ' | ' |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 49,439,000 | 23,178,000 | ' | ' |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 49,439,000 | 23,178,000 | ' | ' |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 49,439,000 | 23,178,000 | ' | ' |
Municipal Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 22,750,000 | 17,041,000 | ' | ' |
Municipal Securities [Member] | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 22,750,000 | 17,041,000 | ' | ' |
Municipal Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 22,750,000 | 17,041,000 | ' | ' |
Corporate Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 50,491,000 | 70,008,000 | ' | ' |
Corporate Securities [Member] | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 50,491,000 | 70,008,000 | ' | ' |
Corporate Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 50,491,000 | 70,008,000 | ' | ' |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 80,000 | 289,000 | ' | ' |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 80,000 | 289,000 | ' | ' |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 80,000 | 289,000 | ' | ' |
Asset-backed Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | ' | 125,000 | ' | ' |
Asset-backed Securities [Member] | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 125,000 | ' | ' |
Asset-backed Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 125,000 | ' | ' |
Common Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 44,000 | 42,000 | ' | ' |
Common Stock, publicly traded [Member] | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 44,000 | 42,000 | ' | ' |
Common Stock, publicly traded [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 44,000 | 42,000 | ' | ' |
Preferred Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 5,264,000 | 5,107,000 | ' | ' |
Preferred Stock, publicly traded [Member] | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 5,264,000 | 5,107,000 | ' | ' |
Preferred Stock, publicly traded [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 5,264,000 | 5,107,000 | ' | ' |
Common stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 51,000 | 58,000 | ' | ' |
Common stock, non-publicly traded [Member] | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 51,000 | 58,000 | ' | ' |
Common stock, non-publicly traded [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 51,000 | 58,000 | ' | ' |
Preferred stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 1,013,000 | 1,013,000 | ' | ' |
Preferred stock, non-publicly traded [Member] | Carrying Value [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 1,013,000 | 1,013,000 | ' | ' |
Preferred stock, non-publicly traded [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 1,013,000 | 1,013,000 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Short-term investments | 971,000 | 1,222,000 | ' | ' |
Total financial assets | 6,279,000 | 6,371,000 | ' | ' |
Interest Rate Swap | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | ' | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Municipal Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Corporate Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Asset-backed Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Common Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 44,000 | 42,000 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Preferred Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 5,264,000 | 5,107,000 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Common stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Preferred stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 1 [Member] | Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | ' | 0 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Short-term investments | 971,000 | 1,222,000 | ' | ' |
Total financial assets | 130,103,000 | 118,083,000 | ' | ' |
Interest Rate Swap | 3,192,000 | 4,338,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 49,439,000 | ' | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Municipal Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 22,750,000 | 17,041,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Corporate Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 50,491,000 | 70,008,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 80,000 | 289,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Asset-backed Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 125,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Common Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 44,000 | 42,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Preferred Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 5,264,000 | 5,107,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Common stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 51,000 | 58,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Preferred stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 1,013,000 | 1,013,000 | ' | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | ' | 23,178,000 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Short-term investments | 0 | ' | ' | ' |
Total financial assets | 122,760,000 | 110,589,000 | ' | ' |
Interest Rate Swap | 3,192,000 | 4,338,000 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 49,439,000 | ' | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Municipal Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 22,750,000 | 17,041,000 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Corporate Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 50,491,000 | 69,956,000 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 80,000 | 289,000 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Asset-backed Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 125,000 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Common Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Preferred Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Common stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Preferred stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 2 [Member] | Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | ' | 23,178,000 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Short-term investments | 0 | 0 | ' | ' |
Total financial assets | 1,064,000 | 1,123,000 | ' | ' |
Interest Rate Swap | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | ' | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Municipal Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Corporate Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 52,000 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Asset-backed Securities [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Common Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Preferred Stock, publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 0 | 0 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Common stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 51,000 | 58,000 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Preferred stock, non-publicly traded [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Equity Securities | 1,013,000 | 1,013,000 | ' | ' |
Fair Value, Inputs, Level 3 [Member] | Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Fixed Maturity Securities | ' | 0 | ' | ' |
Share-based Compensation awards, performanced-based [Member] | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Short-term investments | ' | $0 | ' | ' |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments Level 4 Fair Value Assets and Liabilities Measured with Level 1,2,& 3 (Details) (USD $) | 9 Months Ended | |
Sep. 30, 2013 | Dec. 31, 2012 | |
Securities | Securities | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fair Value, Assets, Level 1 to Level 2 Transfers, Amount | $0 | ' |
Fair Value, Liabilities, Level 1 to Level 2 Transfers, Amount | 0 | ' |
Fair Value, Assets, Level 2 to Level 1 Transfers, Amount | 0 | ' |
Fair Value, Liabilities, Level 2 to Level 1 Transfers, Amount | 0 | ' |
Number of Securities transferred from Level 3 to Level 2 | 1 | ' |
Number of Level 3 Securities | 6 | 7 |
Percent of Total Investments | 0.80% | 1.00% |
Number of Level 3 Securities Priced by Third Party Service | 3 | ' |
Number of Level 3 Securities Priced Internally | 2 | ' |
Fixed Maturity Securities | 122,760,000 | 110,641,000 |
Equity Securities | 6,372,000 | 6,220,000 |
Short-term investments | 971,000 | 1,222,000 |
Consideration of Parent Company Guarantee [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Number of Level 3 Securities Priced by Third Party Service | 1 | ' |
Equity Securities | 1,000,000 | ' |
Consideration of Issuer's Audited Financial Statements [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 13,000 | ' |
Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Short-term investments | 971,000 | 1,222,000 |
Total financial assets | 130,103,000 | 118,083,000 |
Interest Rate Swap | 3,192,000 | 4,338,000 |
Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Short-term investments | 971,000 | 1,222,000 |
Total financial assets | 6,279,000 | 6,371,000 |
Interest Rate Swap | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Short-term investments | 0 | ' |
Total financial assets | 122,760,000 | 110,589,000 |
Interest Rate Swap | 3,192,000 | 4,338,000 |
Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Short-term investments | 0 | 0 |
Total financial assets | 1,064,000 | 1,123,000 |
Interest Rate Swap | 0 | 0 |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 49,439,000 | 23,178,000 |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 49,439,000 | ' |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | ' |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 49,439,000 | ' |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | ' |
Asset-backed Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | ' | 125,000 |
Asset-backed Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 125,000 |
Asset-backed Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 0 |
Asset-backed Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 125,000 |
Asset-backed Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 0 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 80,000 | 289,000 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 80,000 | 289,000 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 0 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 80,000 | 289,000 |
Mortgage-backed Securities, Issued by US Government Sponsored Enterprises [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 0 |
Corporate Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 50,491,000 | 70,008,000 |
Corporate Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 50,491,000 | 70,008,000 |
Corporate Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 0 |
Corporate Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 50,491,000 | 69,956,000 |
Corporate Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 52,000 |
Municipal Securities [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 22,750,000 | 17,041,000 |
Municipal Securities [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 22,750,000 | 17,041,000 |
Municipal Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 0 |
Municipal Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 22,750,000 | 17,041,000 |
Municipal Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 0 | 0 |
Common Stock, publicly traded [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 44,000 | 42,000 |
Common Stock, publicly traded [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 44,000 | 42,000 |
Common Stock, publicly traded [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 44,000 | 42,000 |
Common Stock, publicly traded [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 0 | 0 |
Common Stock, publicly traded [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 0 | 0 |
Preferred Stock, publicly traded [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 5,264,000 | 5,107,000 |
Preferred Stock, publicly traded [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 5,264,000 | 5,107,000 |
Preferred Stock, publicly traded [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 5,264,000 | 5,107,000 |
Preferred Stock, publicly traded [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 0 | 0 |
Preferred Stock, publicly traded [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 0 | 0 |
Common stock, non-publicly traded [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 51,000 | 58,000 |
Common stock, non-publicly traded [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 51,000 | 58,000 |
Common stock, non-publicly traded [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 0 | 0 |
Common stock, non-publicly traded [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 0 | 0 |
Common stock, non-publicly traded [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 51,000 | 58,000 |
Preferred stock, non-publicly traded [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | 1,013,000 | 1,013,000 |
Preferred stock, non-publicly traded [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 1,013,000 | 1,013,000 |
Preferred stock, non-publicly traded [Member] | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 0 | 0 |
Preferred stock, non-publicly traded [Member] | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 0 | 0 |
Preferred stock, non-publicly traded [Member] | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Equity Securities | 1,013,000 | 1,013,000 |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | ' | 23,178,000 |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Fair Value, Inputs, Level 1 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | ' | 0 |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Fair Value, Inputs, Level 2 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | ' | 23,178,000 |
Obligations of the U.S. Treasury and U.S. Government agencies [Member} | Fair Value, Inputs, Level 3 [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fixed Maturity Securities | ' | 0 |
Share-based Compensation awards, performanced-based [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Short-term investments | ' | $0 |
Fair_Value_of_Financial_Instru4
Fair Value of Financial Instruments Level 4 Rollforward of Level 3 Assets measured at Fair Value (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Fair Value Disclosures [Abstract] | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | $1,123 | $1,204 |
Included in net income | 0 | 0 |
Included in other comprehensive (loss) | '-32 | '-19 |
Sales | 0 | -47 |
Transfers (out of) into Level 3 | -27 | -7 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | $1,064 | $1,131 |
Statutory_Reporting_and_Insura2
Statutory Reporting and Insurance Subsidiaries Dividend Restrictions Level 4 (Details) (USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Statutory Accounting Practices [Line Items] | ' | ' |
Reduction in amount available for ordinary dividends, regulatory change | $2,200 | ' |
Cash Dividends Paid to Parent Company by Consolidated Subsidiaries | 231 | 2,783 |
Combined statutory capital and surplus of the Company's insurance subsidiaries | 61,762 | 53,885 |
Required minimum statutory capital and surplus | 17,200 | 15,300 |
Amount available for ordinary dividends of the Company's insurance subsidiaries | 2,065 | 4,500 |
Ordinary dividends paid to the parent compary by insurance company subsidiaries [Member] | ' | ' |
Statutory Accounting Practices [Line Items] | ' | ' |
Cash Dividends Paid to Parent Company by Consolidated Subsidiaries | 231 | 2,783 |
Extraordinary dividends paid to the parent compary by insurance company subsidiaries [Member] | ' | ' |
Statutory Accounting Practices [Line Items] | ' | ' |
Cash Dividends Paid to Parent Company by Consolidated Subsidiaries | $0 | $0 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (Acquisition of ProtectCELL [Member], USD $) | Sep. 30, 2013 |
In Millions, except Per Share data, unless otherwise specified | |
Acquisition of ProtectCELL [Member] | ' |
Long-term Purchase Commitment [Line Items] | ' |
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $10.20 |
Business Combination, Contingent Consideration Arrangement, Contribution Amount For Each Preferred Unit Of Acquired Entity | $1,000 |
Segment_Results_Details
Segment Results (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||
segment | ||||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||
Number of operating Segments | ' | ' | 3 | ' | ||
Service and administrative fees | $49,238 | $22,898 | $135,022 | $67,195 | ||
Ceding commission | 8,731 | 11,122 | 22,851 | 25,396 | ||
Net investment income | 772 | 744 | 2,433 | 2,219 | ||
Net realized investment gains | 756 | 0 | 2,043 | 10 | ||
Other income (1) | 179 | 52 | 529 | 172 | ||
Net earned premium | 34,106 | 33,893 | 100,929 | 97,770 | ||
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 | ||
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 | ||
Commissions | 43,175 | 33,377 | 120,148 | 96,647 | ||
Brokerage commissions and fees | 8,787 | 8,411 | 28,409 | 27,295 | ||
Total segment net revenue | 35,603 | 31,140 | 106,750 | 87,564 | ||
Operating Expenses | 25,499 | 20,667 | 75,527 | 58,102 | ||
Earnings before interest, taxes, depreciation and amortization | 10,104 | 10,473 | 31,223 | 29,462 | ||
Depreciation and Amortization | 3,248 | 1,998 | 9,661 | 6,359 | ||
Interest expense | 1,501 | 2,025 | 4,489 | 5,267 | ||
Income before income taxes and non-controlling interests | 5,355 | 6,450 | 17,073 | 17,836 | ||
Income taxes | 2,268 | 2,397 | 6,048 | 6,392 | ||
Less: net (loss) income attributable to non-controlling interests | -135 | 29 | 868 | 62 | ||
Net Income | 3,222 | 4,024 | 10,157 | 11,382 | ||
Payment Protection Segment [Member] | ' | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||
Service and administrative fees | 45,248 | 17,519 | 122,016 | 52,281 | ||
Ceding commission | 8,732 | 11,122 | 22,852 | 25,396 | ||
Net investment income | 771 | 744 | 2,432 | 2,219 | ||
Net realized investment gains | 756 | -16 | 2,043 | -6 | ||
Other income (1) | 177 | [1] | 52 | 929 | [1] | 172 |
Net earned premium | 34,105 | 33,893 | 100,928 | 97,770 | ||
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 | ||
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 | ||
Commissions | 43,175 | 33,377 | 120,148 | 96,647 | ||
Total Payment Protection Net Revenue | 22,823 | [1] | 17,350 | 65,332 | [1] | 45,355 |
Operating Expenses | 15,833 | 9,563 | 44,805 | 26,205 | ||
Earnings before interest, taxes, depreciation and amortization | 6,990 | 7,787 | 20,527 | 19,150 | ||
Depreciation and Amortization | 1,736 | 863 | 5,145 | 2,577 | ||
Interest expense | 1,022 | 1,359 | 3,044 | 3,342 | ||
Income before income taxes and non-controlling interests | 4,232 | 5,565 | 12,338 | 13,231 | ||
BPO segment [Member] | ' | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||
BPO | 3,717 | 4,951 | 11,900 | 13,565 | ||
Operating Expenses | 2,370 | 3,836 | 8,706 | 10,320 | ||
Earnings before interest, taxes, depreciation and amortization | 1,347 | 1,115 | 3,194 | 3,245 | ||
Depreciation and Amortization | 845 | 494 | 2,512 | 1,495 | ||
Interest expense | 176 | 294 | 528 | 820 | ||
Income before income taxes and non-controlling interests | 326 | 327 | 154 | 930 | ||
Brokerage Segment [Member] | ' | ' | ' | ' | ||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||
Brokerage commissions and fees | 8,789 | 8,411 | 28,411 | 27,295 | ||
Service and administrative fees | 274 | 428 | 1,107 | 1,349 | ||
Total Brokerage | 9,063 | 8,839 | 29,518 | 28,644 | ||
Operating Expenses | 7,296 | 7,268 | 22,016 | 21,577 | ||
Earnings before interest, taxes, depreciation and amortization | 1,767 | 1,571 | 7,502 | 7,067 | ||
Depreciation and Amortization | 667 | 641 | 2,004 | 2,287 | ||
Interest expense | 303 | 372 | 917 | 1,105 | ||
Income before income taxes and non-controlling interests | $797 | $558 | $4,581 | $3,675 | ||
[1] | (1) - Includes the $402 gain on sale of subsidiary for the nine months ended September 30, 2013. |
Segment_Results_Segment_Reconc
Segment Results Segment Reconciliation to Consolidated Total (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||
Segment net revenues | $35,603 | $31,140 | $106,750 | $87,564 | ||
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 | ||
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 | ||
Commissions | 43,175 | 33,377 | 120,148 | 96,647 | ||
Total segment revenue | 102,569 | 77,104 | 292,618 | 220,041 | ||
Operating Expenses | 25,499 | 20,667 | 75,527 | 58,102 | ||
Total operating expenses before depreciation, amortization and interest expense | 92,465 | 66,631 | 261,395 | 190,579 | ||
Earnings before interest, taxes, depreciation and amortization | 10,104 | 10,473 | 31,223 | 29,462 | ||
Depreciation and Amortization | 3,248 | 1,998 | 9,661 | 6,359 | ||
Interest expense | 1,501 | 2,025 | 4,489 | 5,267 | ||
Income before income taxes and non-controlling interests | 5,355 | 6,450 | 17,073 | 17,836 | ||
Income taxes | 2,268 | 2,397 | 6,048 | 6,392 | ||
Less: net (loss) income attributable to non-controlling interests | -135 | 29 | 868 | 62 | ||
Net Income | 3,222 | 4,024 | 10,157 | 11,382 | ||
Payment Protection Segment [Member] | ' | ' | ' | ' | ||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||
Payment Protection (1) | 22,823 | [1] | 17,350 | 65,332 | [1] | 45,355 |
Net losses and loss adjustment expenses | 9,957 | 11,430 | 31,096 | 32,272 | ||
Member benefit claims | 13,834 | 1,157 | 34,624 | 3,558 | ||
Commissions | 43,175 | 33,377 | 120,148 | 96,647 | ||
Operating Expenses | 15,833 | 9,563 | 44,805 | 26,205 | ||
Earnings before interest, taxes, depreciation and amortization | 6,990 | 7,787 | 20,527 | 19,150 | ||
Depreciation and Amortization | 1,736 | 863 | 5,145 | 2,577 | ||
Interest expense | 1,022 | 1,359 | 3,044 | 3,342 | ||
Income before income taxes and non-controlling interests | 4,232 | 5,565 | 12,338 | 13,231 | ||
BPO segment [Member] | ' | ' | ' | ' | ||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||
BPO | 3,717 | 4,951 | 11,900 | 13,565 | ||
Operating Expenses | 2,370 | 3,836 | 8,706 | 10,320 | ||
Earnings before interest, taxes, depreciation and amortization | 1,347 | 1,115 | 3,194 | 3,245 | ||
Depreciation and Amortization | 845 | 494 | 2,512 | 1,495 | ||
Interest expense | 176 | 294 | 528 | 820 | ||
Income before income taxes and non-controlling interests | 326 | 327 | 154 | 930 | ||
Brokerage Segment [Member] | ' | ' | ' | ' | ||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||
Brokerage | 9,063 | 8,839 | 29,518 | 28,644 | ||
Operating Expenses | 7,296 | 7,268 | 22,016 | 21,577 | ||
Earnings before interest, taxes, depreciation and amortization | 1,767 | 1,571 | 7,502 | 7,067 | ||
Depreciation and Amortization | 667 | 641 | 2,004 | 2,287 | ||
Interest expense | 303 | 372 | 917 | 1,105 | ||
Income before income taxes and non-controlling interests | $797 | $558 | $4,581 | $3,675 | ||
[1] | (1) - Includes the $402 gain on sale of subsidiary for the nine months ended September 30, 2013. |
Related_Party_Transactions_Det
Related Party Transactions (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Revenue from Related Parties | $861,000 | $0 | $2,231,000 | $218,000 | ' |
Net proceeds from related party notes receivable | ' | ' | 6,135,000 | 0 | ' |
Notes receivable from related parties | 134,000 | ' | 134,000 | ' | 6,269,000 |
ProtectCELL protection plans [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Revenue from Related Parties | 537,000 | 0 | 1,639,000 | 0 | ' |
Related party income - insurance-related products under the Marketing Agreement [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Revenue from Related Parties | 324,000 | 0 | 592,000 | 0 | ' |
Related party income-IT Agreement [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Revenue from Related Parties | 0 | 0 | 0 | 218,000 | ' |
ProtectCell [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Due from Related Parties | ' | ' | ' | ' | 6,100,000 |
Related Party Transaction, Rate | ' | ' | 8.00% | ' | ' |
Related Party Transaction, Date | ' | ' | 15-Mar-13 | ' | ' |
Net proceeds from related party notes receivable | ' | ' | 6,100,000 | ' | ' |
South Bay Acceptance Corporation [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Due from Related Parties | 100,000 | ' | 100,000 | ' | ' |
Director [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Related party agreement, base service revenue amount | ' | ' | ' | 300,000 | ' |
Interest Income [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Income recorded by the Company from related parties | 0 | 0 | 21,000 | 0 | ' |
Related Party Lease Expense [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Related Party Transaction, Expenses from Transactions with Related Party | 132,000 | 0 | 387,000 | 0 | ' |
Related party lease expense-Source International Incorporate [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Related Party Transaction, Expenses from Transactions with Related Party | 29,000 | 0 | 87,000 | 0 | ' |
Related paryt lease expense-39500 High Pointe, LLC [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Related Party Transaction, Expenses from Transactions with Related Party | 103,000 | 0 | 300,000 | 0 | ' |
Related Party Commissions paid [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Related Party Transaction, Expenses from Transactions with Related Party | 200,000 | 0 | 651,000 | 0 | ' |
Policyholder Benefits and Claims Incurred, Net [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Related Party Transaction, Expenses from Transactions with Related Party | $26,000 | $0 | $26,000 | $0 | ' |