Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | 6-May-15 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | OXBR | |
Entity Registrant Name | OXBRIDGE RE HOLDINGS Ltd | |
Entity Central Index Key | 1584831 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 6,060,000 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Assets | ||
Fixed-maturity securities, available for sale, at fair value (amortized cost: $3,683 and $3,681, respectively) | $3,640 | $3,659 |
Equity securities, available for sale, at fair value (cost: $10,096 and $8,140, respectively) | 9,797 | 8,179 |
Total investments | 13,437 | 11,838 |
Cash and cash equivalents | 3,806 | 5,317 |
Restricted cash and cash equivalents | 30,002 | 28,178 |
Accrued interest and dividend receivable | 25 | 22 |
Premiums receivable | 1,999 | 4,081 |
Deferred policy acquisition costs | 75 | 132 |
Prepayment and other receivables | 91 | 80 |
Property and equipment, net | 47 | 46 |
Total assets | 49,482 | 49,694 |
Liabilities: | ||
Reserve for losses and loss adjustment expenses | 0 | 0 |
Loss experience refund payable | 9,185 | 7,133 |
Unearned premiums reserve | 2,745 | 5,744 |
Accounts payable and other liabilities | 71 | 109 |
Total liabilities | 12,001 | 12,986 |
Shareholders' equity: | ||
Ordinary share capital, (par value $0.001, 50,000,000 shares authorized; 6,060,000 and 6,000,000 shares issued and outstanding) | 6 | 6 |
Additional paid-in capital | 33,569 | 33,540 |
Retained earnings | 4,248 | 3,145 |
Accumulated other comprehensive (loss) income | -342 | 17 |
Total shareholders' equity | 37,481 | 36,708 |
Total liabilities and shareholders' equity | $49,482 | $49,694 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ||
Fixed-maturity securities, available for sale, at fair value amortized cost | $3,683 | $3,681 |
Equity securities, available for sale, at fair value cost | $10,096 | $8,140 |
Ordinary share, par value | $0.00 | $0.00 |
Ordinary shares, authorized | 50,000,000 | 50,000,000 |
Ordinary shares, outstanding | 6,060,000 | 6,000,000 |
Ordinary shares, issued | 6,060,000 | 6,000,000 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenue | ||
Assumed premiums | $600 | $58 |
Change in loss experience refund payable | -2,052 | -586 |
Change in unearned premiums reserve | 2,999 | 1,176 |
Net premiums earned | 1,547 | 648 |
Net realized investment gains | 644 | |
Net investment income | 76 | |
Total revenue | 2,267 | 648 |
Expenses | ||
Policy acquisition costs and underwriting expenses | 87 | 43 |
General and administrative expenses | 350 | 212 |
Total expenses | 437 | 255 |
Net income | $1,830 | $393 |
Earnings per share | ||
Basic and Diluted | $0.30 | $0.28 |
Weighted-average shares outstanding | ||
Basic and Diluted | 6,044,667 | 1,386,719 |
Dividends paid per share | $0.12 | $0.24 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement of Comprehensive Income [Abstract] | ||
Net income | $1,830 | $393 |
Change in unrealized gain on investments: | ||
Unrealized gain arising during the period | 285 | |
Reclassification adjustment for net realized gains included in net income | -644 | |
Net change in unrealized gain | -359 | |
Total other comprehensive loss | -359 | |
Comprehensive income | $1,471 | $393 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Operating activities | ||
Net income | $1,830 | $393 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Stock-based compensation | 29 | |
Depreciation | 4 | 1 |
Net realized investment gains | -644 | |
Change in operating assets and liabilities: | ||
Accrued interest and dividend receivable | -3 | |
Premiums receivable | 2,082 | -41 |
Deferred policy acquisition costs | 57 | 36 |
Prepayment and other receivables | -11 | 5 |
Prepaid offering costs | 417 | |
Loss experience refund payable | 2,052 | 586 |
Unearned premiums reserve | -2,999 | -1,176 |
Accounts payable and other liabilities | -38 | -269 |
Net cash provided by / (used in) operating activities | 2,359 | -48 |
Investing activities | ||
Change in restricted cash and cash equivalents | -1,824 | 1,253 |
Purchase of fixed-maturity securities | -1,101 | |
Purchase of equity securities | -7,125 | |
Proceeds from sale of fixed-maturity and equity securities | 6,912 | |
Purchase of property and equipment | -5 | -50 |
Net cash (used in) / provided by investing activities | -3,143 | 1,203 |
Financing activities | ||
Proceeds on issuance of share capital | 5 | |
Additional paid-in capital proceeds, net of offering costs, resulting from; | ||
Share capital | 21,816 | |
Share warrants | 5,080 | |
Dividends paid | -727 | -268 |
Net cash (used in) / provided by financing activities | -727 | 26,633 |
Net change in cash and cash equivalents | -1,511 | 27,788 |
Cash and cash equivalents at beginning of period | 5,317 | 695 |
Cash and cash equivalents at end of period | 3,806 | 28,483 |
Supplemental disclosure of cash flow information | ||
Interest paid | 0 | 0 |
Income taxes paid | 0 | 0 |
Non-cash investing activities | ||
Net change in unrealized gain on securities available for sale | ($359) |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) (USD $) | Total | Ordinary Share Capital / Common Stocks [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Loss [Member] |
In Thousands, except Share data | |||||
Beginning Balance at Dec. 31, 2013 | $7,449 | $1 | $6,595 | $853 | |
Beginning Balance, Shares at Dec. 31, 2013 | 1,115,350 | ||||
Net proceeds from the sale of ordinary shares | 21,821 | 5 | 21,816 | ||
Net proceeds from the sale of ordinary shares, Shares | 4,884,650 | ||||
Ordinary share warrants | 5,080 | 5,080 | |||
Cash dividends paid | -268 | -268 | |||
Net income | 393 | 393 | |||
Ending Balance at Mar. 31, 2014 | 34,475 | 6 | 33,491 | 978 | |
Ending Balance, Shares at Mar. 31, 2014 | 6,000,000 | ||||
Beginning Balance at Dec. 31, 2014 | 36,708 | 6 | 33,540 | 3,145 | 17 |
Beginning Balance, Shares at Dec. 31, 2014 | 6,000,000 | 6,000,000 | |||
Cash dividends paid | -727 | -727 | |||
Net income | 1,830 | 1,830 | |||
Issuance of restricted stock | 0 | 0 | 0 | 0 | 0 |
Issuance of restricted stock, Shares | 60,000 | ||||
Stock-based compensation | 29 | 29 | |||
Total other comprehensive loss | -359 | -359 | |||
Ending Balance at Mar. 31, 2015 | $37,481 | $6 | $33,569 | $4,248 | ($342) |
Ending Balance, Shares at Mar. 31, 2015 | 6,060,000 | 6,060,000 |
Organization_and_Basis_of_Pres
Organization and Basis of Presentation | 3 Months Ended | |
Mar. 31, 2015 | ||
Accounting Policies [Abstract] | ||
Organization and Basis of Presentation | 1 | ORGANIZATION AND BASIS OF PRESENTATION |
(a) Organization | ||
Oxbridge Re Holdings Limited was incorporated as an exempted company on April 4, 2013 under the laws of the Cayman Islands. Oxbridge Re Holdings Limited owns 100% of the equity interest in Oxbridge Reinsurance Limited (the “Subsidiary”), an entity incorporated on April 23, 2013 under the laws of the Cayman Islands and for which a Class “C” Insurer’s license was granted on April 29, 2013 under the provisions of the Cayman Islands Insurance Law. Oxbridge Re Holdings Limited and the Subsidiary (collectively, the “Company”) have their registered offices at P.O. Box 309, Ugland House, Grand Cayman, Cayman Islands. | ||
The Company’s ordinary shares and warrants are listed on The NASDAQ Capital Market under the symbols “OXBR” and “OXBRW,” respectively. | ||
The Company operates as a single business segment through the Subsidiary, which provides collateralized reinsurance to cover excess of loss catastrophe risks of various affiliated and non-affiliated ceding insurers, including Claddaugh Casualty Insurance Company, Ltd. (“Claddaugh”) and Homeowners Choice Property & Casualty Insurance Company (“HCPCI”), which are related-party entities domiciled in Bermuda and Florida, respectively. | ||
(b) Basis of Presentation | ||
The accompanying unaudited, consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information, and the Securities and Exchange Commission (“SEC”) rules for interim financial reporting. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been omitted pursuant to such rules and regulations. However, in the opinion of management, the accompanying interim consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the Company’s consolidated financial position as of March 31, 2015 and the consolidated results of operations and cash flows for the periods presented. The consolidated results of operations for interim periods are not necessarily indicative of the results of operations to be expected for any subsequent interim period or for the fiscal year ended December 31, 2015. The accompanying unaudited consolidated financial statements and notes thereto should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2014 included in the Company’s Form 10-K, which was filed with the SEC on March 18, 2015. | ||
In preparing the interim unaudited consolidated financial statements, management was required to make certain estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures at the financial reporting date and throughout the periods being reported upon. Certain of the estimates result from judgments that can be subjective and complex and consequently actual results may differ from these estimates, which would be reflected in future periods. | ||
Material estimates that are particularly susceptible to significant change in the near-term relate to the determination of the reserve for losses and loss adjustment expenses, valuation of investments and assessment of other-than-temporary impairment (“OTTI”) and loss experience refund payable. Although considerable variability is likely to be inherent in these estimates, management believes that the amounts provided are reasonable. These estimates are continually reviewed and adjusted if necessary. Such adjustments are reflected in current operations. | ||
All significant intercompany balances and transactions have been eliminated. | ||
Significant_Accounting_Policie
Significant Accounting Policies | 3 Months Ended | ||
Mar. 31, 2015 | |||
Accounting Policies [Abstract] | |||
Significant Accounting Policies | 2 | SIGNIFICANT ACCOUNTING POLICIES | |
Cash and cash equivalents: Cash and cash equivalents are comprised of cash and short term investments with original maturities of three months or less. | |||
Restricted cash and cash equivalents: Restricted cash and cash equivalents represent funds held in accordance with the Company’s trust agreements with ceding insurers and trustees, which requires the Company to maintain collateral with a market value greater than or equal to the limit of liability, less unpaid premium. | |||
Investments: The Company’s investments consist of fixed-maturity securities and equity securities, and are classified as available-for-sale. The Company’s investments are carried at fair value with changes in fair value included as a separate component of accumulated other comprehensive (loss) income in shareholders’ equity. | |||
Unrealized gains or losses are determined by comparing the fair market value of the securities with their cost or amortized cost. Realized gains and losses on investments are recorded on the trade date and are included in the statements of income. The cost of securities sold is based on the specified identification method. Investment income is recognized as earned and discounts or premiums arising from the purchase of debt securities are recognized in investment income using the interest method over the remaining term of the security. | |||
The Company reviews all securities for other-than-temporary impairment (“OTTI”) on a quarterly basis and more frequently when economic or market conditions warrant such review. When the fair value of any investment is lower than its cost, an assessment is made to see whether the decline is temporary of other-than-temporary. If the decline is determined to be other-than-temporary the investment is written down to fair value and an impairment charge is recognized in income in the period in which the Company makes such determination. For a debt security that the Company does not intend to sell nor is it more likely than not that the Company will be required to sell before recovery of its amortized cost, only the credit loss component is recognized in income, while impairment related to all other factors is recognized in other comprehensive (loss) income. The Company considers various factors in determining whether an individual security is other-than-temporarily impaired (see Note 4). | |||
Fair value measurement: GAAP establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy under GAAP are as follows: | |||
Level 1 | Inputs that reflect unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date; | ||
Level 2 | Inputs other than quoted prices that are observable for the asset or liability either directly or indirectly, including inputs in markets that are not considered to be active; and | ||
Level 3 | Inputs that are unobservable. | ||
Inputs are used in applying the various valuation techniques and broadly refer to the assumptions that market participants use to make valuation decisions, including assumptions about risk. For debt securities, inputs may include price information, volatility statistics, specific and broad credit data, liquidity statistics, broker quotes for similar securities and other factors. The fair value of investments in common stocks and exchange-traded funds is based on the last traded price. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. However, the determination of what constitutes “observable” requires significant judgment by the Company’s investment custodians. The investment custodians consider observable data to be market data which is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant markets. The categorization of a financial instrument within the hierarchy is based upon the pricing transparency of the instrument. | |||
Deferred policy acquisition costs (“DAC”): Policy acquisition costs consist of brokerage fees, federal excise taxes and other costs related directly to the successful acquisition of new or renewal insurance contracts, and are deferred and amortized over the terms of the reinsurance agreements to which they relate. The Company evaluates the recoverability of DAC by determining if the sum of future earned premiums and anticipated investment income is greater than the expected future claims and expenses. If a loss is probable on the unexpired portion of policies in force, a premium deficiency loss is recognized. At March 31, 2015, the DAC was considered fully recoverable and no premium deficiency loss was recorded. | |||
Property and equipment: Property and equipment are recorded at cost when acquired. Property and equipment are comprised of motor vehicles, furniture and fixtures, computer equipment and leasehold improvements and are depreciated, using the straight-line method, over their estimated useful lives, which are five years for furniture and fixtures and computer equipment and four years for motor vehicles. Leasehold improvements are amortized over the lesser of the estimated useful lives of the assets or remaining lease term. The Company periodically reviews property and equipment that have finite lives, and that are not held for sale, for impairment by comparing the carrying value of the assets to their estimated future undiscounted cash flows. For the three-month period ended March 31, 2015, there were no impairments in property and equipment. | |||
Allowance for uncollectible receivables: Management evaluates credit quality by evaluating the exposure to individual counterparties; where warranted management also considers the credit rating or financial position, operating results and/or payment history of the counterparty. Management establishes an allowance for amounts for which collection is considered doubtful. Adjustments to previous assessments are recognized as income in the year in which they are determined. At March 31, 2015, no receivables were determined to be overdue or impaired and, accordingly, no allowance for uncollectible receivables has been established. | |||
Reserves for losses and loss adjustment expenses: The Company determines its reserves for losses and loss adjustment expenses on the basis of the claims reported by the Company’s ceding insurers, and for losses incurred but not reported, if any, management uses the assistance of an independent actuary. The reserves for losses and loss adjustment expenses represent management’s best estimate of the ultimate settlement costs of all losses and loss adjustment expenses. Management believes that the amounts are adequate; however, the inherent impossibility of predicting future events with precision, results in uncertainty as to the amount which will ultimately be required for the settlement of losses and loss expenses, and the differences could be material. Adjustments are reflected in the consolidated statements of income in the period in which they are determined. | |||
There were no losses or loss adjustment expenses incurred for the three-month periods ended March 31, 2015 and 2014. | |||
Loss experience refund payable: Certain contracts include retrospective provisions that adjust premiums or result in profit commissions in the event losses are minimal or zero. In accordance with GAAP, the Company will recognize a liability in the period in which the absence of loss experience obligates the Company to pay cash or other consideration under the contracts. On the contrary, the Company will derecognize such liability in the period in which a loss experience arises. Such adjustments to the liability, which accrue throughout the contract terms, will reduce the liability should a catastrophic loss event covered by the Company occur. | |||
Premiums assumed: The Company records premiums assumed, net of loss experience refunds, as earned pro-rata over the terms of the reinsurance agreements and the unearned portion at the balance sheet date is recorded as unearned premiums reserve. A reserve is made for estimated premium deficiencies to the extent that estimated losses and loss adjustment expenses exceed related unearned premiums. Investment income is not considered in determining whether or not a deficiency exists. | |||
Certain contracts allow for reinstatement premiums in the event of a full limit loss prior to the expiration of the contract. A reinstatement premium is not due until there is a full limit loss event and therefore, in accordance with GAAP, the Company records a reinstatement premium as written only in the event that the reinsured incurs a full limit loss on the contract and the contract allows for a reinstatement of coverage upon payment of an additional premium. For catastrophe contracts which contractually require the payment of a reinstatement premium equal to or greater than the original premium upon the occurrence of a full limit loss, the reinstatement premiums are earned over the original contract period. Reinstatement premiums that are contractually calculated on a pro-rata basis of the original premiums are earned over the remaining coverage period. | |||
Uncertain income tax positions: The authoritative GAAP guidance on accounting for, and disclosure of, uncertainty in income tax positions requires the Company to determine whether an income tax position of the Company is more likely than not to be sustained upon examination by the relevant tax authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. For income tax positions meeting the more likely than not threshold, the tax amount recognized in the financial statements, if any, is reduced by the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement with the relevant taxing authority. The application of this authoritative guidance has had no effect on the Company’s consolidated financial statements because the Company had no uncertain tax positions at March 31, 2015. | |||
Earnings per share: Basic earnings per share has been computed on the basis of the weighted-average number of shares of share capital outstanding during the periods presented. Diluted earnings per share is the same as basic earnings per share because the exercise price of the outstanding share capital warrants exceeded the fair value of the shares during the periods. As of March 31, 2015, 8,230,700 warrants to purchase 8,230,700 ordinary shares at $7.50 per share were not dilutive because the exercise price exceeded the average market price. Additionally, the impact of stock options issued during the three-month period ended March 31, 2015 had no material impact on the basic and diluted earnings per share. No warrants or stock options were exercised during the three-month periods ended March 31, 2015 and 2014. | |||
GAAP requires the Company to use the two-class method in computing basic earnings per share since holders of the Company’s restricted stock have the right to share in dividends, if declared, equally with common stockholders. These participating securities effect the computation of both basic and diluted earnings per share during periods of net income. | |||
Stock-Based Compensation: The Company accounts for stock-based compensation under the fair value recognition provisions of GAAP which requires the measurement and recognition of compensation for all stock-based awards made to employees and directors, including stock options and restricted stock issuances based on estimated fair values. The Company measures compensation for restricted stock based on the price of the Company’s ordinary shares at the grant date. Determining the fair value of share purchase options at the grant date requires significant estimation and judgment. The Company uses an option-pricing model (Black-Scholes option pricing model) to assist in the calculation of fair value for share purchase options. The Company’s shares have not been publicly traded for a sufficient length of time to solely use the Company’s performance to reasonably estimate the expected volatility. Therefore, when estimating the expected volatility, the Company takes into consideration the historical volatility of similar entities. The Company considers factors such as an entity’s industry, stage of life cycle, size and financial leverage when selecting similar entities. The Company uses a sample peer group of companies in the reinsurance industry as well as the Company’s own historical volatility in determining the expected volatility. Additionally, the Company uses the full life of the options, ten years, as the estimated term of the options, and has assumed no forfeitures during the life of the options. | |||
The Company uses the straight-line attribution method for all grants that include only a service condition. Compensation expense related to all awards is included in general and administrative expenses. | |||
Recent accounting pronouncements: There have been no recent accounting pronouncements during the three-month period ended March 31, 2015 that are of significance or potential significance to the Company. | |||
Reclassifications: Certain reclassifications of prior period amounts have been made to conform to the current period presentation. |
Cash_and_Cash_Equivalents_and_
Cash and Cash Equivalents and Restricted Cash and Cash Equivalents | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Cash and Cash Equivalents [Abstract] | |||||||||
Cash and Cash Equivalents and Restricted Cash and Cash Equivalents | 3 | CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AND CASH EQUIVALENTS | |||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
(in thousands) | (in thousands) | ||||||||
Cash on deposit | $ | 324 | $ | 1,451 | |||||
Cash held with custodians | 3,482 | 3,866 | |||||||
Restricted cash held in trust | 30,002 | 28,178 | |||||||
Total | 33,808 | 33,495 | |||||||
Cash and cash equivalents are held by large and reputable counterparties in the United States of America and in the Cayman Islands. Restricted cash held in trust is custodied with Bank of New York Mellon and Wells Fargo Bank and is held in accordance with the Company’s trust agreements with the ceding insurers and trustees, which require that the Company provide collateral having a market value greater than or equal to the limit of liability, less unpaid premium. | |||||||||
Investments
Investments | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||
Investments | 4 | INVESTMENTS | |||||||||||||||||||||||
The Company holds investments in fixed-maturity securities and equity securities that are classified as available-for-sale. At March 31, 2015 and December 31, 2014, the cost or amortized cost, gross unrealized gains and losses, and estimated fair value of the Company’s available-for-sale securities by security type were as follows: | |||||||||||||||||||||||||
Cost or | Gross | Gross | Estimated | ||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair | ||||||||||||||||||||||
Cost | Gain | Loss | Value | ||||||||||||||||||||||
($ in thousands) | |||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Fixed-maturity securities | |||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 2,969 | $ | 25 | $ | — | $ | 2,994 | |||||||||||||||||
Exchange-traded debt securities | 313 | 13 | — | 326 | |||||||||||||||||||||
Convertible debt securities | $ | 401 | $ | — | $ | (81 | ) | $ | 320 | ||||||||||||||||
Total fixed-maturity securities | 3,683 | 38 | (81 | ) | 3,640 | ||||||||||||||||||||
REITs | 621 | — | (62 | ) | 559 | ||||||||||||||||||||
Preferred stocks | 2,311 | 52 | (26 | ) | 2,337 | ||||||||||||||||||||
Common stocks | 7,164 | 233 | (496 | ) | 6,901 | ||||||||||||||||||||
Total equity securities | 10,096 | 285 | (584 | ) | 9,797 | ||||||||||||||||||||
Total available for sale securities | $ | 13,779 | $ | 323 | $ | (665 | ) | $ | 13,437 | ||||||||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Fixed-maturity securities | |||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 2,969 | $ | 2 | $ | — | $ | 2,971 | |||||||||||||||||
Exchange-traded debt securities | 513 | 18 | — | 531 | |||||||||||||||||||||
Convertible debt securities | $ | 199 | $ | — | $ | (42 | ) | $ | 157 | ||||||||||||||||
Total fixed-maturity securities | 3,681 | 20 | (42 | ) | 3,659 | ||||||||||||||||||||
REITs | 400 | — | (20 | ) | 380 | ||||||||||||||||||||
Preferred stocks | 1,997 | 32 | (5 | ) | 2,024 | ||||||||||||||||||||
Common stocks | 5,743 | 308 | (276 | ) | 5,775 | ||||||||||||||||||||
Total equity securities | 8,140 | 340 | (301 | ) | 8,179 | ||||||||||||||||||||
Total available for sale securities | $ | 11,821 | $ | 360 | $ | (343 | ) | $ | 11,838 | ||||||||||||||||
At March 31, 2015 and December 31, 2014, available-for-sale securities with fair value of $4,414,000 and $3,463,000, respectively, are held in trust accounts as collateral under reinsurance contacts with the Company’s ceding insurers. | |||||||||||||||||||||||||
Expected maturities will differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without penalties. The scheduled contractual maturities of fixed-maturity securities at March 31, 2015 and December 31, 2014 are as follows: | |||||||||||||||||||||||||
Amortized | Estimated | ||||||||||||||||||||||||
Cost | Fair Value | ||||||||||||||||||||||||
($ in thousands) | |||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Available for sale | |||||||||||||||||||||||||
Due in one year or less | $ | 401 | $ | 320 | |||||||||||||||||||||
Due after one year through five years | $ | 2,969 | $ | 2,994 | |||||||||||||||||||||
Due after ten years | 313 | 326 | |||||||||||||||||||||||
$ | 3,683 | $ | 3,640 | ||||||||||||||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Available for sale | |||||||||||||||||||||||||
Due after one year through five years | $ | 3,168 | $ | 3,128 | |||||||||||||||||||||
Due after ten years | 513 | 531 | |||||||||||||||||||||||
$ | 3,681 | $ | 3,659 | ||||||||||||||||||||||
Proceeds received, and the gross realized gains and losses from sales of available-for-sale securities, for the three months ended March 31, 2015 and 2014 were as follows: | |||||||||||||||||||||||||
Gross | Gross | Gross | |||||||||||||||||||||||
proceeds | Realized | Realized | |||||||||||||||||||||||
from sales | Gains | Losses | |||||||||||||||||||||||
($ in thousands) | |||||||||||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||||||||||
Fixed-maturity securities | $ | 775 | $ | 75 | $ | — | |||||||||||||||||||
Equity securities | $ | 6,137 | $ | 573 | $ | 4 | |||||||||||||||||||
Three Months Ended March 31, 2014 | |||||||||||||||||||||||||
Fixed-maturity securities | $ | — | $ | — | $ | — | |||||||||||||||||||
Equity securities | $ | — | $ | — | $ | — | |||||||||||||||||||
The Company regularly reviews its individual investment securities for OTTI. The Company considers various factors in determining whether each individual security is other-than-temporarily impaired, including: | |||||||||||||||||||||||||
• | the financial condition and near-term prospects of the issuer, including any specific events that may affect its operations or income; | ||||||||||||||||||||||||
• | the length of time and the extent to which the market value of the security has been below its cost or amortized cost; | ||||||||||||||||||||||||
• | general market conditions and industry or sector specific factors; | ||||||||||||||||||||||||
• | nonpayment by the issuer of its contractually obligated interest and principal payments; and | ||||||||||||||||||||||||
• | the Company’s intent and ability to hold the investment for a period of time sufficient to allow for the recovery of costs. | ||||||||||||||||||||||||
Securities with gross unrealized loss positions at March 31, 2015 and December 31, 2014, aggregated by investment category and length of time the individual securities have been in a continuous loss position, are as follows: | |||||||||||||||||||||||||
Less Than Twelve | Twelve Months or | Total | |||||||||||||||||||||||
Months | Greater | ||||||||||||||||||||||||
As of March 31, 2015 | Gross | Estimated | Gross | Estimated | Gross | Estimated | |||||||||||||||||||
Unrealized | Fair | Unrealized | Fair | Unrealized | Fair | ||||||||||||||||||||
Loss | Value | Loss | Value | Loss | Value | ||||||||||||||||||||
($ in thousands) | ($ in thousands) | ($ in thousands) | |||||||||||||||||||||||
Fixed-maturity securities | |||||||||||||||||||||||||
Convertible debt securities | $ | 81 | $ | 320 | $ | — | $ | — | $ | 81 | $ | 320 | |||||||||||||
Total fixed-maturity securities | 81 | 320 | — | — | 81 | 320 | |||||||||||||||||||
REITs | 62 | 560 | — | — | 62 | 560 | |||||||||||||||||||
Preferred stocks | 26 | 792 | — | — | 26 | 792 | |||||||||||||||||||
All other common stocks | 496 | 4,124 | — | — | 496 | 4,124 | |||||||||||||||||||
Total equity securities | 584 | 5,476 | — | — | 584 | 5,476 | |||||||||||||||||||
Total available for sale securities | $ | 665 | $ | 5,796 | $ | — | $ | — | $ | 665 | $ | 5,796 | |||||||||||||
Less Than Twelve | Twelve Months or | Total | |||||||||||||||||||||||
Months | Greater | ||||||||||||||||||||||||
As of December 31, 2014 | Gross | Estimated | Gross | Estimated | Gross | Estimated | |||||||||||||||||||
Unrealized | Fair | Unrealized | Fair | Unrealized | Fair | ||||||||||||||||||||
Loss | Value | Loss | Value | Loss | Value | ||||||||||||||||||||
($ in thousands) | ($ in thousands) | ($ in thousands) | |||||||||||||||||||||||
Fixed-maturity securities | |||||||||||||||||||||||||
Convertible debt securities | $ | 42 | $ | 157 | $ | — | $ | — | $ | 42 | $ | 157 | |||||||||||||
Total fixed-maturity securities | 42 | 157 | — | — | 42 | 157 | |||||||||||||||||||
REITs | 20 | 380 | — | — | 20 | 380 | |||||||||||||||||||
Preferred stocks | 5 | 598 | — | — | 5 | 598 | |||||||||||||||||||
All other common stocks | 276 | 3,933 | — | — | 276 | 3,933 | |||||||||||||||||||
Total equity securities | 301 | 4,911 | — | — | 301 | 4,911 | |||||||||||||||||||
Total available for sale securities | $ | 343 | $ | 5,068 | $ | — | $ | — | $ | 343 | $ | 5,068 | |||||||||||||
The Company believes there were no fundamental issues such as credit losses or other factors with respect to any of its available-for-sale securities. It is expected that the securities would not be settled at a price less than the par value of the investments. In determining whether equity securities are other than temporarily impaired, the Company considers its intent and ability to hold a security for a period of time sufficient to allow for the recovery of cost. Because the decline in fair value is attributable to changes in interest rates or market conditions and not credit quality, and because the Company has the ability and intent to hold its available-for-sale investments until a market price recovery or maturity, the Company does not consider any of its investments to be other-than-temporarily impaired at March 31, 2015 and December 31, 2014. | |||||||||||||||||||||||||
Assets Measured at Estimated Fair Value on a Recurring Basis | |||||||||||||||||||||||||
The following table presents information about the Company’s financial assets measured at estimated fair value on a recurring basis that is reflected in the consolidated balance sheets at carrying value. The table indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value as of March 31, 2015 and December 31, 2014: | |||||||||||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||||||||
As of March 31, 2015 | ($ in thousands) | ||||||||||||||||||||||||
Financial Assets: | |||||||||||||||||||||||||
Cash and cash equivalents | $ | 3,806 | $ | — | $ | — | $ | 3,806 | |||||||||||||||||
Restricted cash and cash equivalents | $ | 30,002 | $ | — | $ | — | $ | 30,002 | |||||||||||||||||
Fixed-maturity securities: | |||||||||||||||||||||||||
U.S. Treasury and agency securities | 2,994 | — | — | 2,994 | |||||||||||||||||||||
Exchange-traded debt securities | 326 | — | — | 326 | |||||||||||||||||||||
Convertible debt securities | 320 | — | — | 320 | |||||||||||||||||||||
Total fixed-maturity securities | 3,640 | — | — | 3,640 | |||||||||||||||||||||
REITs | 559 | — | — | 559 | |||||||||||||||||||||
Preferred stocks | 2,337 | — | — | 2,337 | |||||||||||||||||||||
All other common stocks | 6,901 | — | — | 6,901 | |||||||||||||||||||||
Total equity securities | 9,797 | — | — | 9,797 | |||||||||||||||||||||
Total available for sale securities | 13,437 | — | — | 13,437 | |||||||||||||||||||||
Total | $ | 47,245 | $ | — | $ | — | $ | 47,245 | |||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||||||||
As of December 31, 2014 | ($ in thousands) | ||||||||||||||||||||||||
Financial Assets: | |||||||||||||||||||||||||
Cash and cash equivalents | $ | 5,317 | $ | — | $ | — | $ | 5,317 | |||||||||||||||||
Restricted cash and cash equivalents | $ | 28,178 | $ | — | $ | — | $ | 28,178 | |||||||||||||||||
Fixed-maturity securities: | |||||||||||||||||||||||||
U.S. Treasury and agency securities | 2,971 | — | — | 2,971 | |||||||||||||||||||||
Exchange-traded debt securities | 531 | — | — | 531 | |||||||||||||||||||||
Convertible debt securities | 157 | — | — | 157 | |||||||||||||||||||||
Total fixed-maturity securities | 3,659 | — | — | 3,659 | |||||||||||||||||||||
REITs | 380 | — | — | 380 | |||||||||||||||||||||
Preferred stocks | 2,024 | — | — | 2,024 | |||||||||||||||||||||
All other common stocks | 5,775 | — | — | 5,775 | |||||||||||||||||||||
Total equity securities | 8,179 | — | — | 8,179 | |||||||||||||||||||||
Total available for sale securities | 11,838 | — | — | 11,838 | |||||||||||||||||||||
Total | $ | 45,333 | $ | — | $ | — | $ | 45,333 | |||||||||||||||||
Taxation
Taxation | 3 Months Ended | |
Mar. 31, 2015 | ||
Income Tax Disclosure [Abstract] | ||
Taxation | 5 | TAXATION |
Under current Cayman Islands law, no corporate entity, including the Company and the Subsidiary, is obligated to pay taxes in the Cayman Islands on either income or capital gains. The Company and the Subsidiary have an undertaking from the Governor-in-Cabinet of the Cayman Islands, pursuant to the provisions of the Tax Concessions Law, as amended, that, in the event that the Cayman Islands enacts any legislation that imposes tax on profits, income, gains or appreciations, or any tax in the nature of estate duty or inheritance tax, such tax will not be applicable to the Company and the Subsidiary or their operations, or to the ordinary shares or related obligations, until April 23, 2033 and May 17, 2033, respectively. | ||
Shareholders_Equity
Shareholders' Equity | 3 Months Ended | |
Mar. 31, 2015 | ||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Shareholders' Equity | 6 | SHAREHOLDERS’ EQUITY |
On February 28, 2014, the Company’s Registration Statement on Form S-1, as amended, relating to the initial public offering of the Company’s units was declared effective by the SEC. The Registration Statement covered the offer and sale by the Company of 4,884,650 units, each consisting of one ordinary share and one warrant (“Unit”), which were sold to the public on March 26, 2014 at a price of $6.00 per Unit. The ordinary shares and warrants comprising the Units began separate trading on May 9, 2014. The ordinary shares and warrants are traded on the Nasdaq Capital Market under the symbols “OXBR” and “OXBRW,” respectively. One warrant may be exercised to acquire one ordinary share at an exercise price equal to $7.50 per share on or before March 26, 2019. At any time after September 26, 2014 and before the expiration of the warrants, the Company at its option may cancel the warrants in whole or in part, provided that the closing price per ordinary share has exceeded $9.38 for at least ten trading days within any period of twenty consecutive trading days, including the last trading day of the period. | ||
The initial public offering resulted in aggregate gross proceeds to the Company of approximately $29.3 million (of which approximately $5 million related to the fair value proceeds on the warrants issued) and net proceeds of approximately $26.9 million after deducting underwriting commissions and offering expenses. | ||
The fair value of the warrants issued in the initial public offering and initial private placement offering of $1.04 per warrant was determined by the Black-Scholes pricing model using the following assumptions: volatility of 48%, an expected life of 5 years, expected dividend yield of 8% and a risk-free interest rate of 1.69%. There were 8,230,700 warrants outstanding at March 31, 2015. No warrants were exercised during the three-month periods ended March 31, 2015 and 2014. | ||
On January 23, 2015, our Board of Directors declared a quarterly cash dividend of $0.12 per share payable on March 27, 2015 to shareholders of record on February 27, 2015. | ||
As of March 31, 2015, none of the Company’s retained earnings were restricted from payment of dividends to the Company’s shareholders. However, since most of the Company’s capital and retained earnings may be invested in the Subsidiary, a dividend from the Subsidiary would likely be required in order to fund a dividend to the Company’s shareholders and would require notification to the Cayman Islands Monetary Authority (“CIMA”). | ||
Under Cayman Islands law, the use of additional paid-in capital is restricted, and the Company will not be allowed to pay dividends out of additional paid-in capital if such payments result in breaches of the prescribed and minimum capital requirement. See also Note 8. | ||
ShareBased_Compensation
Share-Based Compensation | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Share-Based Compensation | 7 | SHARE-BASED COMPENSATION | |||||||||||||||
The Company currently has outstanding stock-based awards granted under the 2014 Omnibus Incentive Plan (the “Plan”). Under the Plan, the Company has discretion to grant equity and cash incentive awards to eligible individuals, including the issuance of up to 1,000,000 of the Company’s ordinary shares. At March 31, 2015, there were 760,000 shares available for grant under the Plan. | |||||||||||||||||
Stock options | |||||||||||||||||
Stock options granted and outstanding under the Plan vests quarterly over four years, and are exercisable over the contractual term of ten years. | |||||||||||||||||
A summary of the stock option activity for the three-month period ended March 31, 2015 is as follows (option amounts not in thousands): | |||||||||||||||||
Number | Weighted- | Weighted- | Aggregate | ||||||||||||||
of | Average | Average | Intrinsic | ||||||||||||||
Options | Exercise | Remaining | Value | ||||||||||||||
Price | Contractual | ||||||||||||||||
Term | |||||||||||||||||
Outstanding at January 1, 2015 | — | ||||||||||||||||
Granted | 180,000 | $ | 6 | ||||||||||||||
Exercised | — | ||||||||||||||||
Forfeited | — | ||||||||||||||||
Outstanding at March 31, 2015 | 180,000 | $ | 6 | 9.7 years | $ | — | |||||||||||
Exercisable at March 31, 2015 | 11,250 | $ | 6 | 9.7 years | $ | — | |||||||||||
Compensation expense recognized for the three-month period ended March 31, 2015 totaled $7,000 and is included in general and administrative expenses. At March 31, 2015, there was approximately $109,000 unrecognized compensation expense related to non-vested stock options granted under the Plan, which the Company expects to recognize over a weighted-average period of forty five (45) months. | |||||||||||||||||
During the three-month period ended March 31, 2015, 180,000 options were granted with fair value estimated on the date of grant using the following assumptions and the Black-Scholes option pricing model: | |||||||||||||||||
Dividend yield | 8 | % | |||||||||||||||
Expected volatility | 35 | % | |||||||||||||||
Risk-free interest rate | 1.81 | % | |||||||||||||||
Expected life (in years) | 10 | ||||||||||||||||
Per share grant date fair value of options issued | $ | 0.64 | |||||||||||||||
Restricted Stock Awards | |||||||||||||||||
The Company has granted and may grant restricted stock awards to eligible individuals in connection with their service to the Company. The terms of the Company’s outstanding restricted stock grants may include service, performance and market-based conditions. The fair value of the awards with market-based conditions is determined using a Monte Carlo simulation method, which calculates many potential outcomes for an award and then establishes fair value based on the most likely outcome. The determination of fair value with respect to the awards with only performance or service-based conditions is based on the value of the Company’s stock on the grant date. | |||||||||||||||||
Information with respect to the activity of unvested restricted stock awards during the three-month period ended March 31, 2015 is as follows (share amounts not in thousands): | |||||||||||||||||
Weighted- | Fair | ||||||||||||||||
Number of | Value | ||||||||||||||||
Restricted | |||||||||||||||||
Stock | |||||||||||||||||
Awards | |||||||||||||||||
Nonvested at January 1, 2015 | — | ||||||||||||||||
Granted | 60,000 | $ | 5.86 | ||||||||||||||
Vested | (3,750 | ) | |||||||||||||||
Forfeited | — | ||||||||||||||||
Nonvested at March 31, 2015 | 56,250 | $ | 5.86 | ||||||||||||||
Compensation expense recognized for the three-month period ended March 31, 2015 totaled $22,000 and is included in general and administrative expenses. At March 31, 2015, there was approximately $330,000 unrecognized compensation expense related to non-vested restricted stock granted under the Plan, which the Company expects to recognize over a weighted-average period of twenty five (45) months. |
Net_Worth_for_Regulatory_Purpo
Net Worth for Regulatory Purposes | 3 Months Ended | |
Mar. 31, 2015 | ||
Text Block [Abstract] | ||
Net Worth for Regulatory Purposes | 8 | NET WORTH FOR REGULATORY PURPOSES |
The Subsidiary is subject to a minimum and prescribed capital requirement as established by CIMA. Under the terms of its license, the Subsidiary is required to maintain a minimum and prescribed capital requirement of $500 in accordance with the Subsidiary’s approved business plan filed with CIMA. At March 31, 2015, the Subsidiary’s net worth of $23.4 million exceeded the minimum and prescribed capital requirement. For the three-month periods ended March 31, 2015 and 2014, the Subsidiary’s net income was approximately $1.1 million and $347 thousand, respectively. | ||
The Subsidiary is not required to prepare separate statutory financial statements for filing with CIMA, and there were no material differences between the Subsidiary’s GAAP capital, surplus and net income, and its statutory capital, surplus and net income as of March 31, 2015 or for the periods then ended. | ||
Fair_Value_and_Certain_Risks_a
Fair Value and Certain Risks and Uncertainties | 3 Months Ended | |
Mar. 31, 2015 | ||
Fair Value Disclosures [Abstract] | ||
Fair Value and Certain Risks and Uncertainties | 9 | FAIR VALUE AND CERTAIN RISKS AND UNCERTAINTIES |
Fair values | ||
With the exception of balances in respect of insurance contracts (which are specifically excluded from fair value disclosures under GAAP) and investment securities as disclosed in Note 4 of these consolidated financial statements, the carrying amounts of all other financial instruments, which consist of cash and cash equivalents, restricted cash and cash equivalents, accrued interest and dividends receivable, premiums receivable and other receivables and accounts payable and accruals, approximate their fair values due to their short-term nature. | ||
Concentration of underwriting risk | ||
Substantially all of the Company’s current reinsurance business ultimately relates to the risks of two entities domiciled in Florida in the United States, one of which is under common directorship; accordingly the Company’s underwriting risks are not significantly diversified. | ||
Credit risk | ||
The Company is exposed to credit risk in relation to counterparties that may default on their obligations to the Company. The amount of counterparty credit risk predominantly relates to premiums receivable and assets held at the counterparties. The Company mitigates its counterparty credit risk by using several counterparties which decreases the likelihood of any significant concentration of credit risk with any one counterparty. In addition, the Company is exposed to credit risk on fixed-maturity debt instruments to the extent that the debtors may default on their debt obligations. | ||
Market risk | ||
Market risk exists to the extent that the values of the Company’s monetary assets fluctuate as a result of changes in market prices. Changes in market prices can arise from factors specific to individual securities or their respective issuers, or factors affecting all securities traded in a particular market. Relevant factors for the Company are both volatility and liquidity of specific securities and markets in which the Company holds investments. The Company has established investment guidelines that seek to mitigate significant exposure to market risk. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended | |
Mar. 31, 2015 | ||
Commitments and Contingencies Disclosure [Abstract] | ||
Commitments and Contingencies | 10 | COMMITMENTS AND CONTINGENCIES |
The Company has an operating lease for office space located at Strathvale House, 90 North Church Street, Grand Cayman, Cayman Islands. The term of the lease is thirty-eight months and commenced April 17, 2015 As such, the Company had no lease commitments at March 31, 2015. | ||
The Company also has an operating lease for residential space at Britannia Villas #616, Grand Cayman, Cayman Islands. The original term of the lease, which commenced on October 1, 2013, was 13 months. The lease was extended for another 12 months under substantially the same terms and conditions. Rent expense under this lease for the three-month periods ended March 31, 2015 and 2014 were $12,600 each, and lease commitments at March 31, 2015 were $29,400. | ||
Related_Party_Transactions
Related Party Transactions | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Related Party Transactions [Abstract] | |||||||||
Related Party Transactions | 11 | RELATED PARTY TRANSACTIONS | |||||||
The Company has entered into reinsurance agreements with Claddaugh and HCPCI, both of which are related entities through common directorships. At March 31, 2015 and December 31, 2014, included within premiums receivable, loss experience refund payable and unearned premiums reserve on the consolidated balance sheets are the following related-party amounts: | |||||||||
At March 31, | At December 31, | ||||||||
2015 | 2014 | ||||||||
(in thousands) | |||||||||
Premiums receivable | $ | — | $ | 501 | |||||
Loss experience refund payable | $ | 4,591 | $ | 3,917 | |||||
Unearned premiums reserve | $ | 845 | $ | 2,113 | |||||
During the three-month periods ended March 31, 2015 and 2014, included within assumed premiums, change in loss experience refund payable and change in unearned premiums reserve on the consolidated statements of income are the following related-party amounts: | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
(in thousands) | |||||||||
Revenue | |||||||||
Assumed premiums | $ | — | $ | — | |||||
Change in loss experience refund payable | $ | (674 | ) | $ | (586 | ) | |||
Change in unearned premiums reserve | $ | 1,268 | $ | 1,222 | |||||
Expenses | |||||||||
Policy acquisition costs & underwriting expenses | $ | — | $ | 29 | |||||
Subsequent_Events
Subsequent Events | 3 Months Ended | |
Mar. 31, 2015 | ||
Subsequent Events [Abstract] | ||
Subsequent Events | 12 | SUBSEQUENT EVENTS |
We evaluate all subsequent events and transactions for potential recognition or disclosure in our financial statements. Except as disclosed in Note 10 of these consolidated financial statements and notes thereto, there were no subsequent events and transactions that require disclosure in our financial statements. |
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 3 Months Ended | ||
Mar. 31, 2015 | |||
Accounting Policies [Abstract] | |||
Cash and cash equivalents | Cash and cash equivalents: Cash and cash equivalents are comprised of cash and short term investments with original maturities of three months or less. | ||
Restricted cash and cash equivalents | Restricted cash and cash equivalents: Restricted cash and cash equivalents represent funds held in accordance with the Company’s trust agreements with ceding insurers and trustees, which requires the Company to maintain collateral with a market value greater than or equal to the limit of liability, less unpaid premium. | ||
Investments | Investments: The Company’s investments consist of fixed-maturity securities and equity securities, and are classified as available-for-sale. The Company’s investments are carried at fair value with changes in fair value included as a separate component of accumulated other comprehensive (loss) income in shareholders’ equity. | ||
Unrealized gains or losses are determined by comparing the fair market value of the securities with their cost or amortized cost. Realized gains and losses on investments are recorded on the trade date and are included in the statements of income. The cost of securities sold is based on the specified identification method. Investment income is recognized as earned and discounts or premiums arising from the purchase of debt securities are recognized in investment income using the interest method over the remaining term of the security. | |||
The Company reviews all securities for other-than-temporary impairment (“OTTI”) on a quarterly basis and more frequently when economic or market conditions warrant such review. When the fair value of any investment is lower than its cost, an assessment is made to see whether the decline is temporary of other-than-temporary. If the decline is determined to be other-than-temporary the investment is written down to fair value and an impairment charge is recognized in income in the period in which the Company makes such determination. For a debt security that the Company does not intend to sell nor is it more likely than not that the Company will be required to sell before recovery of its amortized cost, only the credit loss component is recognized in income, while impairment related to all other factors is recognized in other comprehensive (loss) income. The Company considers various factors in determining whether an individual security is other-than-temporarily impaired (see Note 4). | |||
Fair value measurement | Fair value measurement: GAAP establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy under GAAP are as follows: | ||
Level 1 | Inputs that reflect unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date; | ||
Level 2 | Inputs other than quoted prices that are observable for the asset or liability either directly or indirectly, including inputs in markets that are not considered to be active; and | ||
Level 3 | Inputs that are unobservable. | ||
Inputs are used in applying the various valuation techniques and broadly refer to the assumptions that market participants use to make valuation decisions, including assumptions about risk. For debt securities, inputs may include price information, volatility statistics, specific and broad credit data, liquidity statistics, broker quotes for similar securities and other factors. The fair value of investments in common stocks and exchange-traded funds is based on the last traded price. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. However, the determination of what constitutes “observable” requires significant judgment by the Company’s investment custodians. The investment custodians consider observable data to be market data which is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant markets. The categorization of a financial instrument within the hierarchy is based upon the pricing transparency of the instrument. | |||
Deferred policy acquisition costs ("DAC") | Deferred policy acquisition costs (“DAC”): Policy acquisition costs consist of brokerage fees, federal excise taxes and other costs related directly to the successful acquisition of new or renewal insurance contracts, and are deferred and amortized over the terms of the reinsurance agreements to which they relate. The Company evaluates the recoverability of DAC by determining if the sum of future earned premiums and anticipated investment income is greater than the expected future claims and expenses. If a loss is probable on the unexpired portion of policies in force, a premium deficiency loss is recognized. At March 31, 2015, the DAC was considered fully recoverable and no premium deficiency loss was recorded. | ||
Property and equipment | Property and equipment: Property and equipment are recorded at cost when acquired. Property and equipment are comprised of motor vehicles, furniture and fixtures, computer equipment and leasehold improvements and are depreciated, using the straight-line method, over their estimated useful lives, which are five years for furniture and fixtures and computer equipment and four years for motor vehicles. Leasehold improvements are amortized over the lesser of the estimated useful lives of the assets or remaining lease term. The Company periodically reviews property and equipment that have finite lives, and that are not held for sale, | ||
for impairment by comparing the carrying value of the assets to their estimated future undiscounted cash flows. For the three-month period ended March 31, 2015, there were no impairments in property and equipment. | |||
Allowance for uncollectible receivables | Allowance for uncollectible receivables: Management evaluates credit quality by evaluating the exposure to individual counterparties; where warranted management also considers the credit rating or financial position, operating results and/or payment history of the counterparty. Management establishes an allowance for amounts for which collection is considered doubtful. Adjustments to previous assessments are recognized as income in the year in which they are determined. At March 31, 2015, no receivables were determined to be overdue or impaired and, accordingly, no allowance for uncollectible receivables has been established. | ||
Reserves for losses and loss adjustment expenses | Reserves for losses and loss adjustment expenses: The Company determines its reserves for losses and loss adjustment expenses on the basis of the claims reported by the Company’s ceding insurers, and for losses incurred but not reported, if any, management uses the assistance of an independent actuary. The reserves for losses and loss adjustment expenses represent management’s best estimate of the ultimate settlement costs of all losses and loss adjustment expenses. Management believes that the amounts are adequate; however, the inherent impossibility of predicting future events with precision, results in uncertainty as to the amount which will ultimately be required for the settlement of losses and loss expenses, and the differences could be material. Adjustments are reflected in the consolidated statements of income in the period in which they are determined. | ||
There were no losses or loss adjustment expenses incurred for the three-month periods ended March 31, 2015 and 2014. | |||
Loss experience refund payable | Loss experience refund payable: Certain contracts include retrospective provisions that adjust premiums or result in profit commissions in the event losses are minimal or zero. In accordance with GAAP, the Company will recognize a liability in the period in which the absence of loss experience obligates the Company to pay cash or other consideration under the contracts. On the contrary, the Company will derecognize such liability in the period in which a loss experience arises. Such adjustments to the liability, which accrue throughout the contract terms, will reduce the liability should a catastrophic loss event covered by the Company occur. | ||
Premiums assumed | Premiums assumed: The Company records premiums assumed, net of loss experience refunds, as earned pro-rata over the terms of the reinsurance agreements and the unearned portion at the balance sheet date is recorded as unearned premiums reserve. A reserve is made for estimated premium deficiencies to the extent that estimated losses and loss adjustment expenses exceed related unearned premiums. Investment income is not considered in determining whether or not a deficiency exists. | ||
Certain contracts allow for reinstatement premiums in the event of a full limit loss prior to the expiration of the contract. A reinstatement premium is not due until there is a full limit loss event and therefore, in accordance with GAAP, the Company records a reinstatement premium as written only in the event that the reinsured incurs a full limit loss on the contract and the contract allows for a reinstatement of coverage upon payment of an additional premium. For catastrophe contracts which contractually require the payment of a reinstatement premium equal to or greater than the original premium upon the occurrence of a full limit loss, the reinstatement premiums are earned over the original contract period. Reinstatement premiums that are contractually calculated on a pro-rata basis of the original premiums are earned over the remaining coverage period. | |||
Uncertain income tax positions | Uncertain income tax positions: The authoritative GAAP guidance on accounting for, and disclosure of, uncertainty in income tax positions requires the Company to determine whether an income tax position of the Company is more likely than not to be sustained upon examination by the relevant tax authority, including resolution of any related appeals or litigation processes, based on the technical merits of the position. For income tax positions meeting the more likely than not threshold, the tax amount recognized in the financial statements, if any, is reduced by the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement with the relevant taxing authority. The application of this authoritative guidance has had no effect on the Company’s consolidated financial statements because the Company had no uncertain tax positions at March 31, 2015. | ||
Earnings per share | Earnings per share: Basic earnings per share has been computed on the basis of the weighted-average number of shares of share capital outstanding during the periods presented. Diluted earnings per share is the same as basic earnings per share because the exercise price of the outstanding share capital warrants exceeded the fair value of the shares during the periods. As of March 31, 2015, 8,230,700 warrants to purchase 8,230,700 ordinary shares at $7.50 per share were not dilutive because the exercise price exceeded the average market price. Additionally, the impact of stock options issued during the three-month period ended March 31, 2015 had no material impact on the basic and diluted earnings per share. No warrants or stock options were exercised during the three-month periods ended March 31, 2015 and 2014. | ||
GAAP requires the Company to use the two-class method in computing basic earnings per share since holders of the Company’s restricted stock have the right to share in dividends, if declared, equally with common stockholders. These participating securities effect the computation of both basic and diluted earnings per share during periods of net income. | |||
Stock-Based Compensation | Stock-Based Compensation: The Company accounts for stock-based compensation under the fair value recognition provisions of GAAP which requires the measurement and recognition of compensation for all stock-based awards made to employees and directors, including stock options and restricted stock issuances based on estimated fair values. The Company measures compensation for restricted stock based on the price of the Company’s ordinary shares at the grant date. Determining the fair value of share purchase options at the grant date requires significant estimation and judgment. The Company uses an option-pricing model (Black-Scholes option pricing model) to assist in the calculation of fair value for share purchase options. The Company’s shares have not been publicly traded for a sufficient length of time to solely use the Company’s performance to reasonably estimate the expected volatility. Therefore, when estimating the expected volatility, the Company takes into consideration the historical volatility of similar entities. The Company considers factors such as an entity’s industry, stage of life cycle, size and financial leverage when selecting similar entities. The Company uses a sample peer group of companies in the reinsurance industry as well as the Company’s own historical volatility in determining the expected volatility. Additionally, the | ||
Company uses the full life of the options, ten years, as the estimated term of the options, and has assumed no forfeitures during the life of the options. | |||
The Company uses the straight-line attribution method for all grants that include only a service condition. Compensation expense related to all awards is included in general and administrative expenses. | |||
Recent accounting pronouncements | Recent accounting pronouncements: There have been no recent accounting pronouncements during the three-month period ended March 31, 2015 that are of significance or potential significance to the Company. | ||
Reclassifications | Reclassifications: Certain reclassifications of prior period amounts have been made to conform to the current period presentation. |
Cash_and_Cash_Equivalents_and_1
Cash and Cash Equivalents and Restricted Cash and Cash Equivalents (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Cash and Cash Equivalents [Abstract] | |||||||||
Summary of Cash and Cash Equivalents and Restricted Cash and Cash Equivalents | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
(in thousands) | (in thousands) | ||||||||
Cash on deposit | $ | 324 | $ | 1,451 | |||||
Cash held with custodians | 3,482 | 3,866 | |||||||
Restricted cash held in trust | 30,002 | 28,178 | |||||||
Total | 33,808 | 33,495 | |||||||
Investments_Tables
Investments (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||
Summary of Available-for-sale Securities | At March 31, 2015 and December 31, 2014, the cost or amortized cost, gross unrealized gains and losses, and estimated fair value of the Company’s available-for-sale securities by security type were as follows: | ||||||||||||||||||||||||
Cost or | Gross | Gross | Estimated | ||||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair | ||||||||||||||||||||||
Cost | Gain | Loss | Value | ||||||||||||||||||||||
($ in thousands) | |||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Fixed-maturity securities | |||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 2,969 | $ | 25 | $ | — | $ | 2,994 | |||||||||||||||||
Exchange-traded debt securities | 313 | 13 | — | 326 | |||||||||||||||||||||
Convertible debt securities | $ | 401 | $ | — | $ | (81 | ) | $ | 320 | ||||||||||||||||
Total fixed-maturity securities | 3,683 | 38 | (81 | ) | 3,640 | ||||||||||||||||||||
REITs | 621 | — | (62 | ) | 559 | ||||||||||||||||||||
Preferred stocks | 2,311 | 52 | (26 | ) | 2,337 | ||||||||||||||||||||
Common stocks | 7,164 | 233 | (496 | ) | 6,901 | ||||||||||||||||||||
Total equity securities | 10,096 | 285 | (584 | ) | 9,797 | ||||||||||||||||||||
Total available for sale securities | $ | 13,779 | $ | 323 | $ | (665 | ) | $ | 13,437 | ||||||||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Fixed-maturity securities | |||||||||||||||||||||||||
U.S. Treasury and agency securities | $ | 2,969 | $ | 2 | $ | — | $ | 2,971 | |||||||||||||||||
Exchange-traded debt securities | 513 | 18 | — | 531 | |||||||||||||||||||||
Convertible debt securities | $ | 199 | $ | — | $ | (42 | ) | $ | 157 | ||||||||||||||||
Total fixed-maturity securities | 3,681 | 20 | (42 | ) | 3,659 | ||||||||||||||||||||
REITs | 400 | — | (20 | ) | 380 | ||||||||||||||||||||
Preferred stocks | 1,997 | 32 | (5 | ) | 2,024 | ||||||||||||||||||||
Common stocks | 5,743 | 308 | (276 | ) | 5,775 | ||||||||||||||||||||
Total equity securities | 8,140 | 340 | (301 | ) | 8,179 | ||||||||||||||||||||
Total available for sale securities | $ | 11,821 | $ | 360 | $ | (343 | ) | $ | 11,838 | ||||||||||||||||
Schedule of Contractual Maturities of Fixed-maturity Securities | The scheduled contractual maturities of fixed-maturity securities at March 31, 2015 and December 31, 2014 are as follows: | ||||||||||||||||||||||||
Amortized | Estimated | ||||||||||||||||||||||||
Cost | Fair Value | ||||||||||||||||||||||||
($ in thousands) | |||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Available for sale | |||||||||||||||||||||||||
Due in one year or less | $ | 401 | $ | 320 | |||||||||||||||||||||
Due after one year through five years | $ | 2,969 | $ | 2,994 | |||||||||||||||||||||
Due after ten years | 313 | 326 | |||||||||||||||||||||||
$ | 3,683 | $ | 3,640 | ||||||||||||||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Available for sale | |||||||||||||||||||||||||
Due after one year through five years | $ | 3,168 | $ | 3,128 | |||||||||||||||||||||
Due after ten years | 513 | 531 | |||||||||||||||||||||||
$ | 3,681 | $ | 3,659 | ||||||||||||||||||||||
Summary of Proceeds Received, and Gross Realized Gains and Losses from Sales of Available-for-sale Securities | Proceeds received, and the gross realized gains and losses from sales of available-for-sale securities, for the three months ended March 31, 2015 and 2014 were as follows: | ||||||||||||||||||||||||
Gross | Gross | Gross | |||||||||||||||||||||||
proceeds | Realized | Realized | |||||||||||||||||||||||
from | Gains | Losses | |||||||||||||||||||||||
sales | |||||||||||||||||||||||||
($ in thousands) | |||||||||||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||||||||||
Fixed-maturity securities | $ | 775 | $ | 75 | $ | — | |||||||||||||||||||
Equity securities | $ | 6,137 | $ | 573 | $ | 4 | |||||||||||||||||||
Three Months Ended March 31, 2014 | |||||||||||||||||||||||||
Fixed-maturity securities | $ | — | $ | — | $ | — | |||||||||||||||||||
Equity securities | $ | — | $ | — | $ | — | |||||||||||||||||||
Summary of Securities with Gross Unrealized Loss Positions | Securities with gross unrealized loss positions at March 31, 2015 and December 31, 2014, aggregated by investment category and length of time the individual securities have been in a continuous loss position, are as follows: | ||||||||||||||||||||||||
Less Than Twelve | Twelve Months or | Total | |||||||||||||||||||||||
Months | Greater | ||||||||||||||||||||||||
As of March 31, 2015 | Gross | Estimated | Gross | Estimated | Gross | Estimated | |||||||||||||||||||
Unrealized | Fair | Unrealized | Fair | Unrealized | Fair | ||||||||||||||||||||
Loss | Value | Loss | Value | Loss | Value | ||||||||||||||||||||
($ in thousands) | ($ in thousands) | ($ in thousands) | |||||||||||||||||||||||
Fixed-maturity securities | |||||||||||||||||||||||||
Convertible debt securities | $ | 81 | $ | 320 | $ | — | $ | — | $ | 81 | $ | 320 | |||||||||||||
Total fixed-maturity securities | 81 | 320 | — | — | 81 | 320 | |||||||||||||||||||
REITs | 62 | 560 | — | — | 62 | 560 | |||||||||||||||||||
Preferred stocks | 26 | 792 | — | — | 26 | 792 | |||||||||||||||||||
All other common stocks | 496 | 4,124 | — | — | 496 | 4,124 | |||||||||||||||||||
Total equity securities | 584 | 5,476 | — | — | 584 | 5,476 | |||||||||||||||||||
Total available for sale securities | $ | 665 | $ | 5,796 | $ | — | $ | — | $ | 665 | $ | 5,796 | |||||||||||||
Less Than Twelve | Twelve Months or | Total | |||||||||||||||||||||||
Months | Greater | ||||||||||||||||||||||||
As of December 31, 2014 | Gross | Estimated | Gross | Estimated | Gross | Estimated | |||||||||||||||||||
Unrealized | Fair | Unrealized | Fair | Unrealized | Fair | ||||||||||||||||||||
Loss | Value | Loss | Value | Loss | Value | ||||||||||||||||||||
($ in thousands) | ($ in thousands) | ($ in thousands) | |||||||||||||||||||||||
Fixed-maturity securities | |||||||||||||||||||||||||
Convertible debt securities | $ | 42 | $ | 157 | $ | — | $ | — | $ | 42 | $ | 157 | |||||||||||||
Total fixed-maturity securities | 42 | 157 | — | — | 42 | 157 | |||||||||||||||||||
REITs | 20 | 380 | — | — | 20 | 380 | |||||||||||||||||||
Preferred stocks | 5 | 598 | — | — | 5 | 598 | |||||||||||||||||||
All other common stocks | 276 | 3,933 | — | — | 276 | 3,933 | |||||||||||||||||||
Total equity securities | 301 | 4,911 | — | — | 301 | 4,911 | |||||||||||||||||||
Total available for sale securities | $ | 343 | $ | 5,068 | $ | — | $ | — | $ | 343 | $ | 5,068 | |||||||||||||
Fair Value of Assets Measured on Recurring Basis | The table indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value as of March 31, 2015 and December 31, 2014: | ||||||||||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||||||||
As of March 31, 2015 | ($ in thousands) | ||||||||||||||||||||||||
Financial Assets: | |||||||||||||||||||||||||
Cash and cash equivalents | $ | 3,806 | $ | — | $ | — | $ | 3,806 | |||||||||||||||||
Restricted cash and cash equivalents | $ | 30,002 | $ | — | $ | — | $ | 30,002 | |||||||||||||||||
Fixed-maturity securities: | |||||||||||||||||||||||||
U.S. Treasury and agency securities | 2,994 | — | — | 2,994 | |||||||||||||||||||||
Exchange-traded debt securities | 326 | — | — | 326 | |||||||||||||||||||||
Convertible debt securities | 320 | — | — | 320 | |||||||||||||||||||||
Total fixed-maturity securities | 3,640 | — | — | 3,640 | |||||||||||||||||||||
REITs | 559 | — | — | 559 | |||||||||||||||||||||
Preferred stocks | 2,337 | — | — | 2,337 | |||||||||||||||||||||
All other common stocks | 6,901 | — | — | 6,901 | |||||||||||||||||||||
Total equity securities | 9,797 | — | — | 9,797 | |||||||||||||||||||||
Total available for sale securities | 13,437 | — | — | 13,437 | |||||||||||||||||||||
Total | $ | 47,245 | $ | — | $ | — | $ | 47,245 | |||||||||||||||||
Fair Value Measurements Using | |||||||||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | Total | ||||||||||||||||||||||
As of December 31, 2014 | ($ in thousands) | ||||||||||||||||||||||||
Financial Assets: | |||||||||||||||||||||||||
Cash and cash equivalents | $ | 5,317 | $ | — | $ | — | $ | 5,317 | |||||||||||||||||
Restricted cash and cash equivalents | $ | 28,178 | $ | — | $ | — | $ | 28,178 | |||||||||||||||||
Fixed-maturity securities: | |||||||||||||||||||||||||
U.S. Treasury and agency securities | 2,971 | — | — | 2,971 | |||||||||||||||||||||
Exchange-traded debt securities | 531 | — | — | 531 | |||||||||||||||||||||
Convertible debt securities | 157 | — | — | 157 | |||||||||||||||||||||
Total fixed-maturity securities | 3,659 | — | — | 3,659 | |||||||||||||||||||||
REITs | 380 | — | — | 380 | |||||||||||||||||||||
Preferred stocks | 2,024 | — | — | 2,024 | |||||||||||||||||||||
All other common stocks | 5,775 | — | — | 5,775 | |||||||||||||||||||||
Total equity securities | 8,179 | — | — | 8,179 | |||||||||||||||||||||
Total available for sale securities | 11,838 | — | — | 11,838 | |||||||||||||||||||||
Total | $ | 45,333 | $ | — | $ | — | $ | 45,333 | |||||||||||||||||
ShareBased_Compensation_Tables
Share-Based Compensation (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Summary of Stock Option Activity | A summary of the stock option activity for the three-month period ended March 31, 2015 is as follows (option amounts not in thousands): | ||||||||||||||||
Number | Weighted- | Weighted- | Aggregate | ||||||||||||||
of | Average | Average | Intrinsic | ||||||||||||||
Options | Exercise | Remaining | Value | ||||||||||||||
Price | Contractual | ||||||||||||||||
Term | |||||||||||||||||
Outstanding at January 1, 2015 | — | ||||||||||||||||
Granted | 180,000 | $ | 6 | ||||||||||||||
Exercised | — | ||||||||||||||||
Forfeited | — | ||||||||||||||||
Outstanding at March 31, 2015 | 180,000 | $ | 6 | 9.7 years | $ | — | |||||||||||
Exercisable at March 31, 2015 | 11,250 | $ | 6 | 9.7 years | $ | — | |||||||||||
Estimated Fair Value of Options Granted using Black-Scholes Option-Pricing Model with Weighted-Average Assumptions | During the three-month period ended March 31, 2015, 180,000 options were granted with fair value estimated on the date of grant using the following assumptions and the Black-Scholes option pricing model: | ||||||||||||||||
Dividend yield | 8 | % | |||||||||||||||
Expected volatility | 35 | % | |||||||||||||||
Risk-free interest rate | 1.81 | % | |||||||||||||||
Expected life (in years) | 10 | ||||||||||||||||
Per share grant date fair value of options issued | $ | 0.64 | |||||||||||||||
Summary of Unvested Restricted Stock Awards | Information with respect to the activity of unvested restricted stock awards during the three-month period ended March 31, 2015 is as follows (share amounts not in thousands): | ||||||||||||||||
Weighted- | Fair | ||||||||||||||||
Number of | Value | ||||||||||||||||
Restricted | |||||||||||||||||
Stock | |||||||||||||||||
Awards | |||||||||||||||||
Nonvested at January 1, 2015 | — | ||||||||||||||||
Granted | 60,000 | $ | 5.86 | ||||||||||||||
Vested | (3,750 | ) | |||||||||||||||
Forfeited | — | ||||||||||||||||
Nonvested at March 31, 2015 | 56,250 | $ | 5.86 | ||||||||||||||
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Related Party Transactions [Abstract] | |||||||||
Schedule of Premium Receivable, Loss Experience Refund Repayable and Unearned Premiums | At March 31, 2015 and December 31, 2014, included within premiums receivable, loss experience refund payable and unearned premiums reserve on the consolidated balance sheets are the following related-party amounts: | ||||||||
At | At | ||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
(in thousands) | |||||||||
Premiums receivable | $ | — | $ | 501 | |||||
Loss experience refund payable | $ | 4,591 | $ | 3,917 | |||||
Unearned premiums reserve | $ | 845 | $ | 2,113 | |||||
Summary of Related Party Transactions | During the three-month periods ended March 31, 2015 and 2014, included within assumed premiums, change in loss experience refund payable and change in unearned premiums reserve on the consolidated statements of income are the following related-party amounts: | ||||||||
Three Months | |||||||||
Ended March 31, | |||||||||
2015 | 2014 | ||||||||
(in thousands) | |||||||||
Revenue | |||||||||
Assumed premiums | $ | — | $ | — | |||||
Change in loss experience refund payable | $ | (674 | ) | $ | (586 | ) | |||
Change in unearned premiums reserve | $ | 1,268 | $ | 1,222 | |||||
Expenses | |||||||||
Policy acquisition costs & underwriting expenses | $ | — | $ | 29 |
Organization_and_Basis_of_Pres1
Organization and Basis of Presentation - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2015 | |
Segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Equity Method Investment, Ownership Percentage | 100.00% |
Number of business operating segments | 1 |
Significant_Accounting_Policie2
Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Significant Accounting Policies [Line Items] | ||
Impairments in fixed assets | $0 | |
Receivables | 0 | |
Allowance for uncollectible receivables | 0 | |
Loss and loss adjustment expenses | 0 | 0 |
Provisions | 0 | |
Uncertain tax positions | $0 | |
Likelihood percentage | For income tax positions meeting the more likely than not threshold, the tax amount recognized in the financial statements, if any, is reduced by the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement with the relevant taxing authority. | |
Number of ordinary shares which can be purchased by the exercise of warrants | 8,230,700 | |
Warrant outstanding | 8,230,700 | |
Warrants exercise price | $7.50 | |
Warrants exercised | 0 | 0 |
Stock options exercised | 0 | 0 |
Estimated term of options | 9 years 8 months 12 days | |
Options forfeitures in period | 0 | |
Furniture and Fixtures [Member] | ||
Significant Accounting Policies [Line Items] | ||
Fixed asset, Estimated useful life | 5 years | |
Computer Equipment [Member] | ||
Significant Accounting Policies [Line Items] | ||
Fixed asset, Estimated useful life | 5 years | |
Motor Vehicles [Member] | ||
Significant Accounting Policies [Line Items] | ||
Fixed asset, Estimated useful life | 4 years |
Cash_and_Cash_Equivalents_and_2
Cash and Cash Equivalents and Restricted Cash and Cash Equivalents - Summary of Cash and Cash Equivalents and Restricted Cash and Cash Equivalents (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Cash and Cash Equivalents [Abstract] | ||
Cash on deposit | $324 | $1,451 |
Cash held with custodians | 3,482 | 3,866 |
Restricted cash held in trust | 30,002 | 28,178 |
Total | $33,808 | $33,495 |
Investments_Summary_of_Availab
Investments - Summary of Available-for-sale Securities (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | $13,779 | $11,821 |
Gross Unrealized Gain, Total available-for-sale securities | 323 | 360 |
Gross Unrealized Loss, Total available-for-sale securities | -665 | -343 |
Estimated Fair Value, Total available-for-sale securities | 13,437 | 11,838 |
Cost or Amortized cost, Equity securities | 10,096 | 8,140 |
Estimated Fair Value, Equity securities | 9,797 | 8,179 |
Cost or Amortized Cost, Debt securities | 3,683 | 3,681 |
Gross Unrealized Gain, Debt securities | 38 | 20 |
Gross Unrealized Loss, Debt securities | -81 | -42 |
Estimated Fair Value, Debt securities | 3,640 | 3,659 |
U.S. Treasury and Agency Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Debt securities | 2,969 | 2,969 |
Gross Unrealized Gain, Debt securities | 25 | 2 |
Estimated Fair Value, Debt securities | 2,994 | 2,971 |
Exchange-Traded Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Debt securities | 313 | 513 |
Gross Unrealized Gain, Debt securities | 13 | 18 |
Estimated Fair Value, Debt securities | 326 | 531 |
Convertible Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Debt securities | 401 | 199 |
Gross Unrealized Loss, Debt securities | -81 | -42 |
Estimated Fair Value, Debt securities | 320 | 157 |
Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized cost, Equity securities | 10,096 | 8,140 |
Gross Unrealized Gain, Equity securities | 285 | 340 |
Gross Unrealized Loss, Equity securities | -584 | -301 |
Estimated Fair Value, Equity securities | 9,797 | 8,179 |
Equity Securities [Member] | REITs [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized cost, Equity securities | 621 | 400 |
Gross Unrealized Loss, Equity securities | -62 | -20 |
Estimated Fair Value, Equity securities | 559 | 380 |
Equity Securities [Member] | Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized cost, Equity securities | 2,311 | 1,997 |
Gross Unrealized Gain, Equity securities | 52 | 32 |
Gross Unrealized Loss, Equity securities | -26 | -5 |
Estimated Fair Value, Equity securities | 2,337 | 2,024 |
Equity Securities [Member] | Ordinary Share Capital / Common Stocks [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized cost, Equity securities | 7,164 | 5,743 |
Gross Unrealized Gain, Equity securities | 233 | 308 |
Gross Unrealized Loss, Equity securities | -496 | -276 |
Estimated Fair Value, Equity securities | $6,901 | $5,775 |
Investments_Additional_Informa
Investments - Additional Information (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Amortized Cost and Fair Value Debt Securities [Abstract] | ||
Fair value of securities held in trust accounts | $4,414,000 | $3,463,000 |
Investments_Schedule_of_Contra
Investments - Schedule of Contractual Maturities of Fixed-maturity Securities (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | $13,779 | $11,821 |
Total estimated fair value available for sale | 3,640 | 3,659 |
Fixed Maturity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Due in one year or less | 401 | |
Due after one year through five years | 2,969 | 3,168 |
Due after ten years | 313 | 513 |
Cost or Amortized Cost, Total available-for-sale securities | 3,683 | 3,681 |
Due in one year or less | 320 | |
Due after one year through five years | 2,994 | 3,128 |
Due after ten years | 326 | 531 |
Total estimated fair value available for sale | $3,640 | $3,659 |
Investments_Summary_of_Proceed
Investments - Summary of Proceeds Received, and Gross Realized Gains and Losses from Sales of Available-for-sale Securities (Detail) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
Fixed Maturity Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Proceeds | $775 |
Gross Realized Gains | 75 |
Equity Securities [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Proceeds | 6,137 |
Gross Realized Gains | 573 |
Gross Realized Losses | $4 |
Investments_Summary_of_Securit
Investments - Summary of Securities with Gross Unrealized Loss Positions (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | $665 | $343 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 5,796 | 5,068 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 665 | 343 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 5,796 | 5,068 |
Fixed Maturity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 81 | 42 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 320 | 157 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 81 | 42 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 320 | 157 |
Fixed Maturity Securities [Member] | Convertible Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 81 | 42 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 320 | 157 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 81 | 42 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 320 | 157 |
Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 584 | 301 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 5,476 | 4,911 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 584 | 301 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 5,476 | 4,911 |
Equity Securities [Member] | Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 26 | 5 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 792 | 598 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 26 | 5 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 792 | 598 |
Equity Securities [Member] | Ordinary Share Capital / Common Stocks [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 496 | 276 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 4,124 | 3,933 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 496 | 276 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 4,124 | 3,933 |
Equity Securities [Member] | Real Estate Investment Trust [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 62 | 20 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 560 | 380 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 0 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 62 | 20 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | $560 | $380 |
Investments_Fair_Value_of_Asse
Investments - Fair Value of Assets Measured on Recurring Basis (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | $13,437 | $11,838 |
Fair Value Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 3,806 | 5,317 |
Restricted cash and cash equivalents | 30,002 | 28,178 |
Total available-for-sale securities | 13,437 | 11,838 |
Total | 47,245 | 45,333 |
Fixed Maturity Securities [Member] | Fair Value Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,640 | 3,659 |
Fixed Maturity Securities [Member] | Fair Value Measurements, Recurring [Member] | U.S. Treasury and Agency Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 2,994 | 2,971 |
Fixed Maturity Securities [Member] | Fair Value Measurements, Recurring [Member] | Exchange-Traded Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 326 | 531 |
Fixed Maturity Securities [Member] | Fair Value Measurements, Recurring [Member] | Convertible Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 320 | 157 |
Equity Securities [Member] | Fair Value Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 9,797 | 8,179 |
Equity Securities [Member] | Fair Value Measurements, Recurring [Member] | Real Estate Investment Trust [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 559 | 380 |
Equity Securities [Member] | Fair Value Measurements, Recurring [Member] | Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 2,337 | 2,024 |
Equity Securities [Member] | Fair Value Measurements, Recurring [Member] | Ordinary Share Capital / Common Stocks [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 6,901 | 5,775 |
Fair Value, Inputs, Level 1 [Member] | Fair Value Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 3,806 | 5,317 |
Restricted cash and cash equivalents | 30,002 | 28,178 |
Total available-for-sale securities | 13,437 | 11,838 |
Total | 47,245 | 45,333 |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturity Securities [Member] | Fair Value Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,640 | 3,659 |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturity Securities [Member] | Fair Value Measurements, Recurring [Member] | U.S. Treasury and Agency Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 2,994 | 2,971 |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturity Securities [Member] | Fair Value Measurements, Recurring [Member] | Exchange-Traded Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 326 | 531 |
Fair Value, Inputs, Level 1 [Member] | Fixed Maturity Securities [Member] | Fair Value Measurements, Recurring [Member] | Convertible Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 320 | 157 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | Fair Value Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 9,797 | 8,179 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | Fair Value Measurements, Recurring [Member] | Real Estate Investment Trust [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 559 | 380 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | Fair Value Measurements, Recurring [Member] | Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 2,337 | 2,024 |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | Fair Value Measurements, Recurring [Member] | Ordinary Share Capital / Common Stocks [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | $6,901 | $5,775 |
Shareholders_Equity_Additional
Shareholders' Equity - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Jan. 23, 2015 | Feb. 28, 2014 | Mar. 31, 2015 | Mar. 31, 2014 |
Stockholders Equity [Line Items] | ||||
Initial public offering | 4,884,650 | |||
Sale of company's ordinary shares | 1 | |||
Sale of warrants | 1 | |||
Price per unit | $6 | |||
Exercise price of Warrant exercised to acquire ordinary share | $7.50 | |||
Closing price per ordinary share | $9.38 | |||
Least trading days within any period | 10 days | |||
Within any period of consecutive trading days, including the last trading day of the period | 20 days | |||
Aggregate gross proceeds resulted from IPO | $29.30 | |||
Fair value of proceeds on warrants issued | 5 | |||
Net proceeds after deducting underwriting commissions and offering expenses | $26.90 | |||
Volatility | 48.00% | |||
Expected life | 5 years | |||
Expected dividend yield | 8.00% | |||
Risk free interest rate | 1.69% | |||
Warrant outstanding | 8,230,700 | |||
Warrants exercised | 0 | 0 | ||
Declared dividends per share | $0.12 | |||
Dividends payable, date declared | 23-Jan-15 | |||
Dividends payable, date to be paid | 27-Mar-15 | |||
Dividends payable, date of record | 27-Feb-15 | |||
Initial Public Offering [Member] | ||||
Stockholders Equity [Line Items] | ||||
Fair value of the warrants issued in the initial offering | $1.04 | |||
Initial Private Placement Offering [Member] | ||||
Stockholders Equity [Line Items] | ||||
Fair value of the warrants issued in the initial offering | $1.04 |
ShareBased_Compensation_Additi
Share-Based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Issuance of ordinary shares under Incentive plan | 180,000 |
Share based compensation arrangement, exercisable contractual term | 9 years 8 months 12 days |
Stock compensation expense recognized | $7,000 |
Unrecognized compensation expense | 109,000 |
Unrecognized compensation cost, Weighted average recognition period | 45 months |
Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share based compensation arrangement, vesting period | 4 years |
Share based compensation arrangement, exercisable contractual term | 10 years |
Restricted Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock compensation expense recognized | 22,000 |
Unrecognized compensation cost, Weighted average recognition period | 25 months |
Unrecognized compensation expense | $330,000 |
2014 Omnibus Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Issuance of ordinary shares under Incentive plan | 1,000,000 |
Shares available for grant | 760,000 |
ShareBased_Compensation_Summar
Share-Based Compensation - Summary of Stock Option Activity (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Number of Options Outstanding, Beginning Balance | 0 | |
Number of Options, Granted | 180,000 | |
Number of Options, Exercised | 0 | 0 |
Number of Options, Forfeited | 0 | |
Number of Options Outstanding, Ending Balance | 180,000 | |
Number of Options Exercisable, Ending Balance | 11,250 | |
Weighted-Average Exercise Price Outstanding, Beginning Balance | $6 | |
Weighted-Average Exercise Price Outstanding, Ending Balance | $6 | |
Weighted-Average Exercise Price Exercisable, Ending Balance | $6 | |
Weighted-Average Remaining Contractual Term, Outstanding Ending Balance | 9 years 8 months 12 days | |
Weighted-Average Remaining Contractual Term, Exercisable Ending Balance | 9 years 8 months 12 days | |
Aggregate Intrinsic Value, Outstanding Ending Balance | $0 | |
Aggregate Intrinsic Value, Exercisable Ending Balance | $0 |
ShareBased_Compensation_Estima
Share-Based Compensation - Estimated Fair Value of Options Granted Using Black-Scholes Option-Pricing Model with Weighted-Average Assumptions (Detail) (USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |
Dividend yield | 8.00% |
Expected volatility | 35.00% |
Risk-free interest rate | 1.81% |
Expected life (in years) | 10 years |
Per share grant date fair value of options issued | $0.64 |
ShareBased_Compensation_Summar1
Share-Based Compensation - Summary of Unvested Restricted Stock Awards (Detail) (USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Weighted Number of Restricted Stock Awards, Nonvested Beginning Balance | 0 |
Weighted Number of Restricted Stock Awards, Granted | 60,000 |
Weighted Number of Restricted Stock Awards, Vested | -3,750 |
Weighted Number of Restricted Stock Awards, Forfeited | 0 |
Weighted Number of Restricted Stock Awards, Nonvested Ending Balance | 56,250 |
Fair Value, Granted | $5.86 |
Fair Value, Nonvested Ending Balance | $5.86 |
Net_Worth_for_Regulatory_Purpo1
Net Worth for Regulatory Purposes - Additional Information (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Regulated Operations [Abstract] | ||
Minimum prescribed capital requirement | $500 | |
Subsidiary net worth | 23,400,000 | |
Subsidiary's net income | $1,100,000 | $347,000 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Strathvale House, 90 North Church Street [Member] | ||
Other Commitments [Line Items] | ||
Lease term | 38 months | |
Lease commitments | $0 | |
Lease Commencement date | 17-Apr-15 | |
Britannia Villas #616, Grand Cayman [Member] | ||
Other Commitments [Line Items] | ||
Lease term | 13 months | |
Lease commitments | 29,400 | |
Rent expense | $12,600 | $12,600 |
Related_Party_Transactions_Sch
Related Party Transactions - Schedule of Premium Receivable, Loss Experience Refund Repayable and Unearned Premiums (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Related Party Transaction [Line Items] | ||
Premiums receivable | $1,999 | $4,081 |
Loss experience refund payable | 9,185 | 7,133 |
Unearned premiums reserve | 2,745 | 5,744 |
Claddaugh and HCPCI [Member] | ||
Related Party Transaction [Line Items] | ||
Premiums receivable | 501 | |
Loss experience refund payable | 4,591 | 3,917 |
Unearned premiums reserve | $845 | $2,113 |
Related_Party_Transactions_Sum
Related Party Transactions - Summary of Related Party Transactions (Detail) (USD $) | 3 Months Ended | 0 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2014 |
Revenue | |||
Assumed premiums | $600 | $58 | |
Change in loss experience refund payable | 2,052 | 586 | |
Change in unearned premiums reserve | 2,999 | 1,176 | |
Expenses | |||
Policy acquisition costs and underwriting expenses | 87 | 43 | |
Claddaugh and HCPCI [Member] | |||
Revenue | |||
Assumed premiums | 0 | 0 | |
Change in loss experience refund payable | -674 | -586 | |
Change in unearned premiums reserve | 1,268 | 1,222 | |
Expenses | |||
Policy acquisition costs and underwriting expenses | $29 |