Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | May 12, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | OXBR | |
Entity Registrant Name | OXBRIDGE RE HOLDINGS Ltd | |
Entity Central Index Key | 1,584,831 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 5,836,643 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Fixed-maturity securities, available for sale, at fair value (amortized cost: $10,027 and $6,060, respectively) | $ 10,021 | $ 6,051 |
Equity securities, available for sale, at fair value (cost: $4,799 and $5,543, respectively) | 4,351 | 4,941 |
Total investments | 14,372 | 10,992 |
Cash and cash equivalents | 15,338 | 12,242 |
Restricted cash and cash equivalents | 15,871 | 23,440 |
Accrued interest and dividend receivable | 34 | 48 |
Premiums receivable | 1,637 | 4,038 |
Deferred policy acquisition costs | 68 | 88 |
Prepayment and other receivables | 111 | 98 |
Property and equipment, net | 49 | 54 |
Total assets | 47,480 | 51,000 |
Liabilities: | ||
Reserve for losses and loss adjustment expenses | 5,684 | 8,702 |
Loss experience refund payable | 2,218 | 1,470 |
Unearned premiums reserve | 2,044 | 3,461 |
Accounts payable and other liabilities | 156 | 204 |
Total liabilities | 10,102 | 13,837 |
Shareholders' equity: | ||
Ordinary share capital, (par value $0.001, 50,000,000 shares authorized; 5,861,872 and 5,916,149 shares issued and outstanding) | 6 | 6 |
Additional paid-in capital | 32,727 | 33,034 |
Retained earnings | 5,099 | 4,534 |
Accumulated other comprehensive loss | (454) | (411) |
Total shareholders' equity | 37,378 | 37,163 |
Total liabilities and shareholders' equity | $ 47,480 | $ 51,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Fixed-maturity securities, available for sale, at fair value amortized cost | $ 10,027 | $ 6,060 |
Equity securities, available for sale, at fair value cost | $ 4,799 | $ 5,543 |
Ordinary share, par value | $ 0.001 | $ 0.001 |
Ordinary shares, authorized | 50,000,000 | 50,000,000 |
Ordinary shares, issued | 5,861,872 | 5,916,149 |
Ordinary shares, outstanding | 5,861,872 | 5,916,149 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenue | ||
Assumed premiums | $ 880 | $ 503 |
Change in loss experience refund payable | (748) | (2,088) |
Change in unearned premiums reserve | 1,417 | 2,965 |
Net premiums earned | 1,548 | 1,381 |
Net realized investment gains | 2 | 56 |
Net investment income | 86 | 94 |
Total revenue | 1,636 | 1,531 |
Expenses | ||
Losses and loss adjustment expenses | (32) | 63 |
Policy acquisition costs and underwriting expenses | 63 | 61 |
General and administrative expenses | 335 | 364 |
Total expenses | 366 | 488 |
Net income | $ 1,270 | $ 1,043 |
Earnings per share | ||
Basic and Diluted | $ 0.22 | $ 0.17 |
Weighted-average shares outstanding | ||
Dividends paid per share | $ 0.12 | $ 0.12 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 1,270 | $ 1,043 |
Change in unrealized loss on investments: | ||
Unrealized (loss) gain arising during the period | (41) | 344 |
Reclassification adjustment for net realized gains included in net income | (2) | (56) |
Net change in unrealized loss | (43) | 288 |
Total other comprehensive (loss) income | (43) | 288 |
Comprehensive income | $ 1,227 | $ 1,331 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating activities | ||
Net income | $ 1,270 | $ 1,043 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Stock-based compensation | 31 | 30 |
Net amortization of premiums on investments in fixed-maturity securities | 21 | 0 |
Depreciation and amortization | 5 | 5 |
Net realized investment gains | (2) | (56) |
Change in operating assets and liabilities: | ||
Accrued interest and dividend receivable | 14 | (6) |
Premiums receivable | 2,401 | 2,462 |
Deferred policy acquisition costs | 20 | 35 |
Prepayment and other receivables | (13) | (2) |
Reserve for losses and loss adjustment expenses | (3,018) | 63 |
Loss experience refund payable | 748 | 2,088 |
Unearned premiums reserve | (1,417) | (2,965) |
Accounts payable and other liabilities | (48) | (72) |
Net cash provided by operating activities | 12 | 2,625 |
Investing activities | ||
Change in restricted cash and cash equivalents | 7,569 | 1,479 |
Purchase of fixed-maturity securities | (3,987) | (3,111) |
Purchase of equity securities | (3,032) | (1,683) |
Proceeds from sale of fixed-maturity and equity securities | 3,577 | 1,447 |
Net cash provided by / (used in) investing activities | 4,127 | (1,868) |
Financing activities | ||
Repurchases of common stock under share repurchase plan | (338) | 0 |
Dividends paid | (705) | (727) |
Net cash used in financing activities | (1,043) | (727) |
Net change in cash and cash equivalents | 3,096 | 30 |
Cash and cash equivalents at beginning of period | 12,242 | 8,584 |
Cash and cash equivalents at end of period | 15,338 | 8,614 |
Supplemental disclosure of cash flow information | ||
Interest paid | 0 | 0 |
Income taxes paid | 0 | 0 |
Non-cash investing activities | ||
Net change in unrealized loss on securities available for sale | $ (43) | $ 288 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total |
Beginning Balance at Dec. 31, 2015 | $ 6 | $ 33,657 | $ 4,838 | $ (1,474) | $ 37,027 |
Beginning Balance, Shares at Dec. 31, 2015 | 6,060,000 | ||||
Cash dividends paid | (727) | (727) | |||
Repurchase and retirement of common stock under share repurchase plan | 0 | ||||
Net income | 1,043 | 1,043 | |||
Stock-based compensation | 30 | 30 | |||
Total other comprehensive income (loss) | 288 | 288 | |||
Ending Balance at Mar. 31, 2016 | $ 6 | 33,687 | 5,154 | (1,186) | 37,661 |
Ending Balance, Shares at Mar. 31, 2016 | 6,060,000 | ||||
Beginning Balance at Dec. 31, 2016 | $ 6 | 33,034 | 4,534 | (411) | $ 37,163 |
Beginning Balance, Shares at Dec. 31, 2016 | 5,916,149 | 5,916,149 | |||
Cash dividends paid | (705) | $ (705) | |||
Repurchase and retirement of common stock under share repurchase plan | (338) | (338) | |||
Repurchase and retirement of common stock under share repurchase plan, Shares | (54,277) | ||||
Net income | 1,270 | 1,270 | |||
Stock-based compensation | 31 | 31 | |||
Total other comprehensive income (loss) | (43) | (43) | |||
Ending Balance at Mar. 31, 2017 | $ 6 | $ 32,727 | $ 5,099 | $ (454) | $ 37,378 |
Ending Balance, Shares at Mar. 31, 2017 | 5,861,872 | 5,861,872 |
Organization and Basis of Prese
Organization and Basis of Presentation | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
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 the consolidated financial statements prepared in accordance with GAAP have been omitted pursuant to such rules and regulations for any subsequent interim period or for thereto should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2016 included in the Company’s Form 10-K, which was filed with the SEC on March 13, 2017 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, which include amounts estimated for claims incurred but not yet reported. The Company uses various assumptions and actuarial data it believes to be reasonable under the circumstances to make these estimates. In addition, accounting policies specific to valuation of investments, assessment of other-than-temporary impairment (“OTTI”) and loss experience refund payable involve significant judgments and estimates material to the Company’s consolidated financial statements. All significant intercompany balances and transactions have been eliminated. |
Significant Accounting Policies
Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Cash and cash equivalents: Restricted cash and cash equivalents: Investments : 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 consolidated 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 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”): Property and equipment: Allowance for uncollectible receivables: Reserves for losses and loss adjustment expenses: Loss experience refund payable: Premiums assumed: Subsequent adjustments of premiums assumed, based on reports of actual premium by the ceding companies, or revisions in estimates of ultimate premium, are recorded in the period in which they are determined. Such adjustments are generally determined after the associated risk periods have expired, in which case the premium adjustments are fully earned when assumed. 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: Earnings per share: Basic earnings per share has been computed on the basis of the weighted-average number of ordinary shares outstanding during the periods presented. Diluted earnings per share is computed based on the weighted-average number of ordinary shares outstanding and reflects the assumed exercise or conversion of diluted securities, such as stock options and warrants, computed using the treasury stock method. Stock-Based Compensation 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 Accounting Standards Update No. 2016-18. Accounting Standards Update No. 2016-13. . Accounting Standards Update No. 2016-09. Accounting Standards Update No. 2016-02. Accounting Standards Update No. 2016-01. Segment Information Reclassifications: |
Cash and Cash Equivalents and R
Cash and Cash Equivalents and Restricted Cash and Cash Equivalents | 3 Months Ended |
Mar. 31, 2017 | |
Cash and Cash Equivalents [Abstract] | |
Cash and Cash Equivalents and Restricted Cash and Cash Equivalents | At March 31, At December 31, 2017 2016 (in thousands) Cash on deposit $ 9,234 $ 6,868 Cash held with custodians 6,104 5,374 Restricted cash held in trust 15,871 23,440 Total 31,209 35,682 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, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | The Company holds investments in fixed-maturity securities and equity securities that are classified as available-for-sale. At March 31, 2017 and December 31, 2016, 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 ($000) ($ in thousands) As of March 31, 2017 Fixed-maturity securities U.S. Treasury and agency securities $ 10,027 $ 27 $ (33 ) $ 10,021 Total fixed-maturity securities 10,027 27 (33 ) 10,021 Mutual funds 400 5 (1 ) 404 Preferred stocks 785 17 (1 ) 801 Common stocks 3,614 90 (558 ) 3,146 Total equity securities 4,799 112 (560 ) 4,351 Total available for sale securities $ 14,826 $ 139 $ (593 ) $ 14,372 As of December 31, 2016 Fixed-maturity securities U.S. Treasury and agency securities $ 6,060 $ 28 $ (37 ) $ 6,051 Total fixed-maturity securities 6,060 28 (37 ) 6,051 Mutual funds 400 2 (6 ) 396 Preferred stocks 687 8 (4 ) 691 Common stocks 4,256 126 (528 ) 3,854 Total equity securities 5,343 136 (538 ) 4,941 Total available for sale securities $ 11,403 $ 164 $ (575 ) $ 10,992 At March 31, 2017 and December 31, 2016, available-for-sale securities with fair value of $7,484,000 and $3,502,000, respectively, are held in trust accounts as collateral under reinsurance contacts with the Company’s ceding insurers. Expected maturities will differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without penalties. The scheduled contractual maturities of fixed-maturity securities at March 31, 2017 and December 31, 2016 are as follows: Amortized Estimated Cost Fair Value ($ in thousands) As of March 31, 2017 Available for sale Due within one year $ 6,040 6,036 Due after one year through five years 3,987 3,985 $ 10,027 $ 10,021 As of December 31, 2016 Available for sale Due within one year $ 2,970 $ 2,998 Due after one year through five years 3,090 3,053 $ 6,060 $ 6,051 Proceeds received, and the gross realized gains and losses from sales of available-for-sale securities, for the three months ended March 31, 2017 and 2016 were as follows: Gross Gross Gross proceeds from Realized Realized sales Gains Losses ($ in thousands) Three Months Ended March 31, 2017 Fixed-maturity securities $ — $ — $ — Equity securities $ 3,577 $ 192 $ (190 ) Three Months Ended March 31, 2016 Fixed-maturity securities $ — $ — $ — Equity securities $ 1,447 $ 188 $ (132 ) 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, 2017 and December 31, 2016, 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 Months Greater Total Gross Estimated Gross Estimated Gross Estimated Unrealized Fair Unrealized Fair Unrealized Fair As of March 31, 2017 Loss Value Loss Value Loss Value ($ in thousands) ($ in thousands) ($ in thousands) Fixed maturity securities U.S. Treasury and agency securities 3 3,985 30 3,039 33 7,024 Total fixed-maturity securities 3 3,985 30 3,039 33 7,024 Equity securities Mutual funds 1 199 — — 1 199 Preferred stocks 1 199 — — 1 199 All other common stocks 30 538 528 1,004 558 1,542 Total equity securities 32 936 528 1,004 560 1,940 Total available for sale securities $ 35 $ 4,921 $ 558 $ 4,043 $ 593 $ 8,964 At March 31, 2017, there were 15 securities in an unrealized loss position of which 6 of these positions had been in an unrealized loss position for 12 months or greater. Less Than Twelve Twelve Months or Months Greater Total Gross Estimated Gross Estimated Gross Estimated Unrealized Fair Unrealized Fair Unrealized Fair As of December 31, 2016 Loss Value Loss Value Loss Value ($ in thousands) ($ in thousands) ($ in thousands) Fixed maturity securities U.S. Treasury and agency securities 37 3,053 — — 37 3,053 Total fixed-maturity securities 37 3,053 — — 37 3,053 Equity securities Mutual funds 6 193 — — 6 193 Preferred stocks 4 396 — — 4 396 All other common stocks 84 1,142 444 1,088 528 2,230 Total equity securities 94 1,731 444 1,088 538 2,819 Total available for sale securities $ 131 $ 4,784 $ 444 $ 1,088 $ 575 $ 5,872 At December 31, 2016, there were 17 securities in an unrealized loss position of which 5 of these positions had been in an unrealized loss position for 12 months or greater. The Company believes there were no fundamental issues such as credit losses or other factors with respect to its fixed-maturity 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, along with factors including the length of time each security had been in an unrealized loss position, the extent of the decline and the near term prospect for recovery. Based on management’s evaluation, the Company does not consider any of its equity securities to be other-than-temporarily impaired at March 31, 2017 and December 31, 2016 . 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, 2017 and December 31, 2016: Fair Value Measurements Using (Level 1) (Level 2) (Level 3) Total As of March 31, 2017 ($ in thousands) Financial Assets: Cash and cash equivalents $ 15,338 $ — $ — $ 15,338 Restricted cash and cash equivalents $ 15,871 $ — $ — $ 15,871 Fixed-maturity securities: U.S. Treasury and agency securities 10,021 — — 10,021 Total fixed-maturity securities 10,021 — — 10,021 Mutual funds 404 — — 404 Preferred stocks 801 — — 801 All other common stocks 3,146 — — 3,146 Total equity securities 4,351 — — 4,351 Total available for sale securities 14,372 — — 14,372 Total $ 45,581 $ — $ — $ 45,581 Fair Value Measurements Using (Level 1) (Level 2) (Level 3) Total As of December 31, 2016 ($ in thousands) Financial Assets: Cash and cash equivalents $ 12,242 $ — $ — $ 12,242 Restricted cash and cash equivalents $ 23,440 $ — $ — $ 23,440 Fixed-maturity securities: U.S. Treasury and agency securities 6,051 — — 6,051 Total fixed-maturity securities 6,051 — — 6,051 Mutual funds 396 — — 396 Preferred stocks 691 — — 691 All other common stocks 3,854 — — 3,854 Total equity securities 4,941 — — 4,941 Total available for sale securities 10,992 — — 10,992 Total $ 46,674 $ — $ — $ 46,674 |
Taxation
Taxation | 3 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
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. The Company and its subsidiary intend to conduct substantially all of their operations in the Cayman Islands in a manner such that they will not be engaged in a trade or business in the U.S. However, because there is no definitive authority regarding activities that constitute being engaged in a trade or business in the U.S. for federal income tax purposes, the Company cannot assure that the U.S. Internal Revenue Service will not contend, perhaps successfully, that the Company or its subsidiary is engaged in a trade or business in the U.S. A foreign corporation deemed to be so engaged would be subject to U.S. federal income tax, as well as branch profits tax, on its income that is treated as effectively connected with the conduct of that trade or business unless the corporation is entitled to relief under an applicable tax treaty. |
Losses and Loss Adjustment Expe
Losses and Loss Adjustment Expenses | 3 Months Ended |
Mar. 31, 2017 | |
Insurance [Abstract] | |
Losses and Loss Adjustment Expenses | The following table summarizes the Company’s loss and loss adjustment expenses (“LAE”) and the reserve for loss and LAE reserve movements for the three-month periods ending March 31, 2017 and 2016: At March 31, At March 31, 2017 2016 (in thousands) Balance, beginning of period $ 8,702 $ — Incurred related to: Current period — 63 Prior period (32 ) — Total incurred (32 ) 63 Paid related to: Current period — — Prior period (2,986 ) — Total paid (2,986 ) — Balance, end of period $ 5,684 $ 63 The reserves for losses and LAE are comprised of case reserves (which are based on claims that have been reported) and IBNR reserves (which are based on losses that are believed to have occurred but for which claims have not yet been reported and include a provision for expected future development on existing case reserves). The Company uses the assistance of an independent actuary in the determination of IBNR and expected future development of existing case reserves. The uncertainties inherent in the reserving process and potential delays by cedants and brokers in the reporting of loss information, together with the potential for unforeseen adverse developments, may result in the reserve for losses and LAE ultimately being significantly greater or less than the reserve provided at the end of any given reporting period. The degree of uncertainty is further increased when a significant loss event takes place near the end of a reporting period. Reserve for losses and LAE estimates are reviewed periodically on a contract by contract basis and updated as new information becomes known. Any resulting adjustments are reflected in income in the period in which they become known. The Company’s reserving process is highly dependent on the timing of loss information received from its cedants and related brokers. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2017 | |
Earnings per share | |
Earnings Per Share | A summary of the numerator and denominator of the basic and diluted earnings per share is presented below (dollars in thousands except per share amounts): Three Months Ended March 31, 2017 2016 Numerator: Net earnings $ 1,270 1,043 Denominator: Weighted average shares - basic 5,891,926 6,060,000 Effect of dilutive securities - Stock options - - Shares issuable upon conversion of warrants - - Weighted average shares - diluted 5,891,926 6,060,000 Earnings per shares - basic $ 0.22 0.17 Earnings per shares - diluted $ 0.22 0.17 For the three-month periods ended March 31, 2017 and 2016, options to purchase 250,000 and 215,000 ordinary shares, respectively, were anti-dilutive as the sum of the proceeds, including unrecognized compensation expense, exceeded the average market price of the Company’s ordinary share during the periods presented. For the three-month periods ended March 31, 2017 and 2016, 8,230,700 warrants to purchase an aggregate of 8,230,700 ordinary shares were not dilutive because the exercise price of $7.50 exceeded the average market price of the Company’s ordinary share during the periods presented. 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. |
Shareholders' Equity
Shareholders' Equity | 3 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
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. On January 24, 2017, our Board of Directors declared a quarterly cash dividend of $0.12 per share payable on March 30, 2017 to shareholders of record on March 17, 2017. On May 12, 2017, our Board of Directors declared a quarterly cash dividend of $0.12 per share payable on June 30, 2017 to shareholders of record on June 23, 2017. In May 2016, the Company’s Board of Directors authorized a plan to repurchase up to $2,000,000 of the Company’s common shares, inclusive of commissions and fees. During the three months ended March 31, 2017, the Company repurchased and retired a total of 54,277 shares at a weighted-average price per share of $6.20 under this authorized repurchase plan. The total cost of shares repurchased, inclusive of fees and commissions, during the three months ended March 31, 2017 was $338,000, or $6.23 per share. As of March 31, 2017, 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 10. |
Share-Based Compensation
Share-Based Compensation | 3 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation | The Company currently has outstanding stock-based awards granted under the 2014 Omnibus Incentive Plan (the “Plan”). At March 31, 2017, there were 690,000 shares available for grant under the Plan. Stock options The Company accounts for share-based compensation under the fair value recognition provisions of ASC Topic 718 – “Compensation – Stock Compensation.” 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 periods ended March 31, 2017 and 2016 is as follows: Weighted- Weighted- Average Number Average Remaining Aggregate of Exercise Contractual Intrinsic Options Price Term Value ($000) Outstanding at January 1, 2017 215,000 Granted 35,000 Outstanding at March 31, 2017 250,000 $ 6.01 8.2 years $ 137,500 Exercisable at March 31, 2017 114,375 $ 6.01 8.2 years $ 62,906 Outstanding at January 1, 2016 180,000 Granted 35,000 $ 6 Outstanding at March 31, 2016 215,000 $ 6 8.9 years $ - Exercisable at March 31, 2016 58,438 $ 6 8.9 years $ - Compensation expense recognized for the three-month periods ended March 31, 2017 and 2016 totaled $10,000 and $8,000, respectively, and is included in general and administrative expenses. At March 31, 2017 and 2016, there was approximately $83,000 and $91,000, respectively, of total unrecognized compensation expense related to non-vested stock options granted under the Plan. T During the three-month periods ended March 31, 2017 and 2016, 35,000 options in each period, were granted with fair value estimated on the date of grant using the following assumptions and the Black-Scholes option pricing model: 2017 2016 Expected dividend yield 8 % 9.6 % Expected volatility 35 % 35 % Risk-free interest rate 2.48 % 2.03 % Expected life (in years) 10 10 Per share grant date fair value of options issued $ 0.73 $ 0.34 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 periods ended March 31, 2017 and 2016 is as follows: Weighted- Number of Weighted- Restricted Average Stock Grant Date Awards Fair Value Nonvested at January 1, 2017 30,000 $ 5.86 Vested (3,750 ) Nonvested at March 31, 2017 26,250 $ 5.86 Nonvested at January 1, 2016 45,000 Vested (3,750 ) Nonvested at March 31, 2016 41,250 $ 5.86 Compensation expense recognized for the three-month periods ended March 31, 2017 and 2016 totaled $22,000 and $22,000, respectively, and is included in general and administrative expenses. At March 31, 2017 and 2016, there was approximately $154,000 and $242,000, respectively, of total unrecognized compensation expense related to non-vested restricted stock granted under the Plan. T |
Net Worth for Regulatory Purpos
Net Worth for Regulatory Purposes | 3 Months Ended |
Mar. 31, 2017 | |
Text Block [Abstract] | |
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, 2017 and 2016, the Subsidiary’s net worth of $23.2 million and $24.6 million, respectively, exceeded the minimum and prescribed capital requirement. For the three-month periods ended March 31, 2017 and 2016, the Subsidiary’s net income was approximately $1.1 million and $873 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, 2017 or for the period then ended. |
Fair Value and Certain Risks an
Fair Value and Certain Risks and Uncertainties | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
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 A substantial portion 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 with 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, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | The Company has an operating lease for office space located at Strathvale House, 2nd Floor, 90 North Church Street, Grand Cayman, Cayman Islands. The term of the lease is thirty-eight months and commenced on April 17, 2015. Rent expense under this lease for the three-month periods ended March 31, 2017 and 2016 was $14,700 and $13,300, and lease commitments at March 31, 2017 were $76,400. The Company also has an operating lease for residential space at Britannia Villas #616, Grand Cayman, Cayman Islands that runs through October 31, 2017. Rent expense under this lease for the three-month periods ended March 31, 2017 and 2016 was $12,900 in each period, and lease commitments at March 31, 2017 were $30,100. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | The Company has entered into reinsurance agreements with Claddaugh which is a related entity through common directorship. At March 31, 2017 and December 31, 2016, included within loss experience refund payable and unearned premiums reserve on the consolidated balance sheets are the following related-party amounts: At March 31, 2017 At December 31, 2016 (in thousands) Loss experience refund payable $ 2,100 $ 1,470 Unearned premiums reserve $ 567 $ 1,417 During the three-month periods ended March 31, 2017 and 2016, included within 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, 2017 2016 (in thousands) Revenue Change in loss experience refund payable $ (630 ) $ (630 ) Change in unearned premiums reserve $ 850 $ 835 |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | We evaluate all subsequent events and transactions for potential recognition or disclosure in our consolidated financial statements. Except as disclosed in Note 8 of these consolidated financial statements, there were no other events subsequent to March 31, 2017 for which disclosure was required. |
Significant Accounting Polici22
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
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 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 consolidated 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, 2017, 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, 2017, 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, 2017, 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 (“IBNR”), 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. |
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 consolidated 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. Subsequent adjustments of premiums assumed, based on reports of actual premium by the ceding companies, or revisions in estimates of ultimate premium, are recorded in the period in which they are determined. Such adjustments are generally determined after the associated risk periods have expired, in which case the premium adjustments are fully earned when assumed. 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, 2017. |
Earnings per share | Basic earnings per share has been computed on the basis of the weighted-average number of ordinary shares outstanding during the periods presented. Diluted earnings per share is computed based on the weighted-average number of ordinary shares outstanding and reflects the assumed exercise or conversion of diluted securities, such as stock options and warrants, computed using the treasury stock method. |
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 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 | Accounting Standards Update No. 2016-18. Accounting Standards Update No. 2016-13. . Accounting Standards Update No. 2016-09. Accounting Standards Update No. 2016-02. Accounting Standards Update No. 2016-01. |
Segment Information | Under GAAP, operating segments are based on the internal information that management uses for allocating resources and assessing performance as the source of the Company’s reportable segments. The Company manages its business on the basis of one operating segment, Property and Casualty Reinsurance, in accordance with the qualitative and quantitative criteria established under GAAP. |
Reclassifications | Certain reclassifications of prior period amounts have been made to conform to the current period presentation. |
Cash and Cash Equivalents and23
Cash and Cash Equivalents and Restricted Cash and Cash Equivalents (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Cash and Cash Equivalents [Abstract] | |
Summary of Cash and Cash Equivalents and Restricted Cash and Cash Equivalents | At March 31, At December 31, 2017 2016 (in thousands) Cash on deposit $ 9,234 $ 6,868 Cash held with custodians 6,104 5,374 Restricted cash held in trust 15,871 23,440 Total 31,209 35,682 |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Available-for-sale Securities | Cost or Gross Gross Estimated Amortized Unrealized Unrealized Fair Cost Gain Loss Value ($000) ($ in thousands) As of March 31, 2017 Fixed-maturity securities U.S. Treasury and agency securities $ 10,027 $ 27 $ (33 ) $ 10,021 Total fixed-maturity securities 10,027 27 (33 ) 10,021 Mutual funds 400 5 (1 ) 404 Preferred stocks 785 17 (1 ) 801 Common stocks 3,614 90 (558 ) 3,146 Total equity securities 4,799 112 (560 ) 4,351 Total available for sale securities $ 14,826 $ 139 $ (593 ) $ 14,372 As of December 31, 2016 Fixed-maturity securities U.S. Treasury and agency securities $ 6,060 $ 28 $ (37 ) $ 6,051 Total fixed-maturity securities 6,060 28 (37 ) 6,051 Mutual funds 400 2 (6 ) 396 Preferred stocks 687 8 (4 ) 691 Common stocks 4,256 126 (528 ) 3,854 Total equity securities 5,343 136 (538 ) 4,941 Total available for sale securities $ 11,403 $ 164 $ (575 ) $ 10,992 |
Schedule of Contractual Maturities of Fixed-maturity Securities | Amortized Estimated Cost Fair Value ($ in thousands) As of March 31, 2017 Available for sale Due within one year $ 2,970 2,997 Due after one year through five years 7,057 7,024 $ 10,027 $ 10,021 As of December 31, 2016 Available for sale Due within one year $ 2,970 $ 2,998 Due after one year through five years 3,090 3,053 $ 6,060 $ 6,051 |
Summary of Proceeds Received, and Gross Realized Gains and Losses from Sales of Available-for-sale Securities | Gross Gross Gross proceeds from Realized Realized sales Gains Losses ($ in thousands) Three Months Ended March 31, 2017 Fixed-maturity securities $ — $ — $ — Equity securities $ 3,577 $ 192 $ (190 ) Three Months Ended March 31, 2016 Fixed-maturity securities $ — $ — $ — Equity securities $ 1,447 $ 188 $ (132 ) |
Summary of Securities with Gross Unrealized Loss Positions | Less Than Twelve Twelve Months or Months Greater Total Gross Estimated Gross Estimated Gross Estimated Unrealized Fair Unrealized Fair Unrealized Fair As of March 31, 2017 Loss Value Loss Value Loss Value ($ in thousands) Fixed maturity securities U.S. Treasury and agency securities 3 3,985 30 3,039 33 7,024 Total fixed-maturity securities 3 3,985 30 3,039 33 7,024 Equity securities Mutual funds 1 199 - - 1 199 Preferred stocks 1 199 - - 1 199 All other common stocks 30 538 528 1,004 558 1,542 Total equity securities 32 936 528 1,004 560 1,940 Total available for sale securities $ 35 $ 4,921 $ 558 $ 4,043 $ 593 $ 8,964 Less Than Twelve Twelve Months or Months Greater Total Gross Estimated Gross Estimated Gross Estimated Unrealized Fair Unrealized Fair Unrealized Fair As of December 31, 2016 Loss Value Loss Value Loss Value ($ in thousands) Fixed maturity securities U.S. Treasury and agency securities 37 3,053 - - 37 3,053 Total fixed-maturity securities 37 3,053 - - 37 3,053 Equity securities Mutual funds 6 193 - - 6 193 Preferred stocks 4 396 - - 4 396 All other common stocks 84 1,142 444 1,088 528 2,230 Total equity securities 94 1,731 444 1,088 538 2,819 Total available for sale securities $ 131 $ 4,784 $ 444 $ 1,088 $ 575 $ 5,872 |
Fair Value of Assets Measured on Recurring Basis | Fair Value Measurements Using (Level 1) (Level 2) (Level 3) Total As of March 31, 2017 ($ in thousands) Financial Assets: Cash and cash equivalents $ 15,338 $ — $ — $ 15,338 Restricted cash and cash equivalents $ 15,871 $ — $ — $ 15,871 Fixed-maturity securities: U.S. Treasury and agency securities 10,021 — — 10,021 Total fixed-maturity securities 10,021 — — 10,021 Mutual funds 404 — — 404 Preferred stocks 801 — — 801 All other common stocks 3,146 — — 3,146 Total equity securities 4,351 — — 4,351 Total available for sale securities 14,372 — — 14,372 Total $ 45,581 $ — $ — $ 45,581 Fair Value Measurements Using (Level 1) (Level 2) (Level 3) Total As of December 31, 2016 ($ in thousands) Financial Assets: Cash and cash equivalents $ 12,242 $ — $ — $ 12,242 Restricted cash and cash equivalents $ 23,440 $ — $ — $ 23,440 Fixed-maturity securities: U.S. Treasury and agency securities 6,051 — — 6,051 Total fixed-maturity securities 6,051 — — 6,051 Mutual funds 396 — — 396 Preferred stocks 691 — — 691 All other common stocks 3,854 — — 3,854 Total equity securities 4,941 — — 4,941 Total available for sale securities 10,992 — — 10,992 Total $ 46,674 $ — $ — $ 46,674 |
Losses and Loss Adjustment Ex25
Losses and Loss Adjustment Expenses (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Insurance [Abstract] | |
Summary of loss and loss adjustment expenses | At March 31, At March 31, 2017 2016 (in thousands) Balance, beginning of period $ 8,702 $ — Incurred related to: Current period — 63 Prior period (32 ) — Total incurred (32 ) 63 Paid related to: Current period — — Prior period (2,986 ) — Total paid (2,986 ) — Balance, end of period $ 5,684 $ 63 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Earnings per share | |
Computation of Basic and Diluted Earnings Per Share | Three Months Ended March 31, 2017 2016 Numerator: Net earnings $ 1,270 1,043 Denominator: Weighted average shares - basic 5,891,926 6,060,000 Effect of dilutive securities - Stock options - - Shares issuable upon conversion of warrants - - Weighted average shares - diluted 5,891,926 6,060,000 Earnings per shares - basic $ 0.22 0.17 Earnings per shares - diluted $ 0.22 0.17 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Stock Option Activity | Weighted- Weighted- Average Number Average Remaining Aggregate of Exercise Contractual Intrinsic Options Price Term Value ($000) Outstanding at January 1, 2017 215,000 Granted 35,000 Outstanding at March 31, 2017 250,000 $ 6.01 8.2 years $ 137,500 Exercisable at March 31, 2017 114,375 $ 6.01 8.2 years $ 62,906 Outstanding at January 1, 2016 180,000 Granted 35,000 $ 6 Outstanding at March 31, 2016 215,000 $ 6 8.9 years $ - Exercisable at March 31, 2016 58,438 $ 6 8.9 years $ - |
Estimated Fair Value of Options Granted using Black-Scholes Option-Pricing Model with Weighted-Average Assumptions | 2017 2016 Expected dividend yield 8 % 9.6 % Expected volatility 35 % 35 % Risk-free interest rate 2.48 % 2.03 % Expected life (in years) 10 10 Per share grant date fair value of options issued $ 0.73 $ 0.34 |
Summary of Unvested Restricted Stock Awards | Weighted- Number of Weighted- Restricted Average Stock Grant Date Awards Fair Value Nonvested at January 1, 2017 30,000 $ 5.86 Vested (3,750 ) Nonvested at March 31, 2017 26,250 $ 5.86 Nonvested at January 1, 2016 45,000 Vested (3,750 ) Nonvested at March 31, 2016 41,250 $ 5.86 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Related Party Transactions [Abstract] | |
Schedule of Premium Receivable, Loss Experience Refund Repayable and Unearned Premiums | At March 31, 2017 At December 31, 2016 (in thousands) Loss experience refund payable $ 2,100 $ 1,470 Unearned premiums reserve $ 567 $ 1,417 |
Summary of Related Party Transactions | Three Months Ended March 31, 2017 2016 (in thousands) Revenue Change in loss experience refund payable $ (630 ) $ (630 ) Change in unearned premiums reserve $ 850 $ 835 |
Significant Accounting Polici29
Significant Accounting Policies (Details Narrative) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Employee Stock Option [Member] | ||
Significant Accounting Policies [Line Items] | ||
Estimated term of options | 10 years | 10 years |
Cash and Cash Equivalents and30
Cash and Cash Equivalents and Restricted Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Cash and Cash Equivalents [Abstract] | ||
Cash on deposit | $ 9,234 | $ 6,868 |
Cash held with custodians | 6,104 | 5,374 |
Restricted cash held in trust | 15,871 | 23,440 |
Total | $ 31,209 | $ 35,682 |
Investments (Details)
Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | $ 14,826 | $ 11,403 |
Gross Unrealized Gain, Total available-for-sale securities | 139 | 164 |
Gross Unrealized Loss, Total available-for-sale securities | (593) | (575) |
Estimated Fair Value, Total available-for-sale securities | 14,372 | 10,992 |
Cost or Amortized cost, Equity securities | 4,799 | 5,543 |
Estimated Fair Value, Equity securities | 4,351 | 4,941 |
Cost or Amortized Cost, Debt securities | 10,027 | 6,060 |
Estimated Fair Value, Debt securities | 10,021 | 6,051 |
Mutual Funds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | 400 | 400 |
Gross Unrealized Gain, Total available-for-sale securities | 5 | 2 |
Gross Unrealized Loss, Total available-for-sale securities | (1) | (6) |
Estimated Fair Value, Total available-for-sale securities | 404 | 396 |
Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | 785 | 687 |
Gross Unrealized Gain, Total available-for-sale securities | 17 | 8 |
Gross Unrealized Loss, Total available-for-sale securities | (1) | (4) |
Estimated Fair Value, Total available-for-sale securities | 801 | 691 |
Common Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | 3,614 | 4,256 |
Gross Unrealized Gain, Total available-for-sale securities | 90 | 126 |
Gross Unrealized Loss, Total available-for-sale securities | (558) | (528) |
Estimated Fair Value, Total available-for-sale securities | 3,146 | 3,854 |
US Treasury and Government [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | 10,027 | 6,060 |
Gross Unrealized Gain, Total available-for-sale securities | 27 | 28 |
Gross Unrealized Loss, Total available-for-sale securities | (33) | (37) |
Estimated Fair Value, Total available-for-sale securities | 10,021 | 6,051 |
Fixed Maturities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | 10,027 | 6,060 |
Gross Unrealized Gain, Total available-for-sale securities | 27 | 28 |
Gross Unrealized Loss, Total available-for-sale securities | (33) | (37) |
Estimated Fair Value, Total available-for-sale securities | 10,021 | 6,051 |
Estimated Fair Value, Debt securities | 10,021 | 6,051 |
Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | 4,799 | 5,343 |
Gross Unrealized Gain, Total available-for-sale securities | 112 | 136 |
Gross Unrealized Loss, Total available-for-sale securities | (560) | (538) |
Estimated Fair Value, Total available-for-sale securities | $ 4,351 | $ 4,941 |
Investments (Details 1)
Investments (Details 1) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Cost or Amortized Cost, Total available-for-sale securities | $ 14,826 | $ 11,403 |
Total estimated fair value available for sale | 10,021 | 6,051 |
Fixed Maturities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Due in one year or less | 2,970 | 2,970 |
Due after one year through five years | 7,057 | 3,090 |
Cost or Amortized Cost, Total available-for-sale securities | 10,027 | 6,060 |
Due in one year or less | 2,997 | 2,998 |
Due after one year through five years | 7,024 | 3,053 |
Total estimated fair value available for sale | $ 10,021 | $ 6,051 |
Investments (Details 2)
Investments (Details 2) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Fixed Maturities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Proceeds | $ 0 | $ 0 |
Gross Realized Gains | 0 | 0 |
Gross Realized Losses | 0 | 0 |
Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Proceeds | 3,577 | 1,447 |
Gross Realized Gains | 192 | 188 |
Gross Realized Losses | $ (190) | $ (132) |
Investments (Details 3)
Investments (Details 3) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | $ 35 | $ 131 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 4,921 | 4,784 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 558 | 444 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 4,043 | 1,088 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 593 | 575 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 8,964 | 5,872 |
Fixed Maturities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 3 | 37 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 3,985 | 3,053 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 30 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 3,039 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 33 | 37 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 7,024 | 3,053 |
Fixed Maturities [Member] | US Treasury and Government [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 3 | 37 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 3,985 | 3,053 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 30 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 3,039 | 0 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 33 | 37 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 7,024 | 3,053 |
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 | 32 | 94 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 936 | 1,731 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 528 | 444 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 1,004 | 1,088 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 560 | 538 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 1,940 | 2,819 |
Equity Securities [Member] | Mutual Funds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Gross Unrealized Loss | 1 | 6 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 199 | 193 |
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 | 1 | 6 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 199 | 193 |
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 | 1 | 4 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 199 | 396 |
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 | 1 | 4 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | 199 | 396 |
Equity Securities [Member] | Common 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 | 30 | 84 |
Available-for-sale securities, Continuous Unrealized Loss Position, Less Than 12 Months, Fair Value | 538 | 1,142 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Gross Unrealized Loss | 528 | 444 |
Available-for-sale securities, Continuous Unrealized Loss Position, 12 Months or Greater, Fair Value | 1,004 | 1,088 |
Available-for-sale securities, Continuous Unrealized Loss Position, Gross Unrealized Loss, Total | 558 | 528 |
Available-for-sale securities, Continuous Unrealized Loss Position, Fair Value, Total | $ 1,542 | $ 2,230 |
Investments (Details 4)
Investments (Details 4) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Restricted cash and cash equivalents | $ 15,871 | $ 23,440 |
Total available-for-sale securities | 14,372 | 10,992 |
Total | 45,581 | 46,674 |
Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 404 | 396 |
Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 801 | 691 |
Common Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,146 | 3,854 |
Fixed Maturities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 10,021 | 6,051 |
Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 4,351 | 4,941 |
Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 15,338 | 12,242 |
Restricted cash and cash equivalents | 15,871 | 23,440 |
Fair Value, Measurements, Recurring [Member] | Fixed Maturities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 10,021 | 6,051 |
Fair Value, Measurements, Recurring [Member] | Fixed Maturities [Member] | US Treasury and Government [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 10,021 | 6,051 |
Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 4,351 | 4,941 |
Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 404 | 396 |
Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 801 | 691 |
Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Common Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,146 | 3,854 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 14,372 | 10,992 |
Total | 45,581 | 46,674 |
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 | 15,338 | 12,242 |
Restricted cash and cash equivalents | 15,871 | 23,440 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Fixed Maturities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 10,021 | 6,051 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Fixed Maturities [Member] | US Treasury and Government [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 10,021 | 6,051 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 4,351 | 4,941 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 404 | 396 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 801 | 691 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Common Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 3,146 | 3,854 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Total | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash and cash equivalents | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Fixed Maturities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Fixed Maturities [Member] | US Treasury and Government [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Common Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Total | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash and cash equivalents | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Fixed Maturities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Fixed Maturities [Member] | US Treasury and Government [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Mutual Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | Equity Securities [Member] | Common Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total available-for-sale securities | $ 0 | $ 0 |
Losses and Loss Adjustment Ex36
Losses and Loss Adjustment Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||
Balance, beginning of period | $ 8,702 | $ 0 |
Incurred related to: Current period | 0 | 63 |
Incurred related to: Prior period | (32) | 0 |
Total incurred | (32) | 63 |
Paid related to: Current period | 0 | 0 |
Paid related to: Prior period | (2,986) | 0 |
Total paid | (2,986) | 0 |
Balance, end of period | $ 5,684 | $ 63 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Numerator: | ||
Net earnings | $ 1,270 | $ 1,043 |
Denominator: | ||
Weighted average shares-basic | 5,891,926 | 6,060,000 |
Effect of dilutive securities-Stock options | 0 | 0 |
Shares issuable upon conversion of warrants | 0 | 0 |
Weighted average shares-diluted | 5,891,926 | 6,060,000 |
Earnings per shares-basic | $ 0.22 | $ 0.17 |
Earnings per shares-diluted | $ 0.22 | $ 0.17 |
Earnings Per Share (Details Nar
Earnings Per Share (Details Narrative) - $ / shares | 3 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings per share | ||||
Number of Options, Granted | 250,000 | 215,000 | 215,000 | 180,000 |
Anti-dilutive shares | 250,000 | 215,000 | ||
Warrant outstanding | 8,230,700 | 8,230,700 | ||
Number of ordinary shares which can be purchased by the exercise of warrants | 8,230,700 | 8,230,700 | ||
Warrants exercise price | $ 7.50 |
Share-Based Compensation (Detai
Share-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Number of Options Outstanding, Beginning Balance | 215,000 | 180,000 |
Number of Options, Granted | 35,000 | 35,000 |
Number of Options Outstanding, Ending Balance | 250,000 | 215,000 |
Number of Options Exercisable, Ending Balance | 114,375 | 58,438 |
Weighted-Average Exercise Price, Granted | $ 6 | |
Weighted-Average Exercise Price Outstanding, Ending Balance | $ 6.01 | 6 |
Weighted-Average Exercise Price Exercisable, Ending Balance | $ 6.01 | $ 6 |
Weighted-Average Remaining Contractual Term, Outstanding Ending Balance | 8 years 2 months 12 days | 8 years 10 months 24 days |
Weighted-Average Remaining Contractual Term, Exercisable Ending Balance | 8 years 2 months 12 days | 8 years 10 months 24 days |
Aggregate Intrinsic Value, Outstanding Ending Balance | $ 137,500 | $ 0 |
Aggregate Intrinsic Value, Exercisable Ending Balance | $ 62,906 | $ 0 |
Share-Based Compensation (Det40
Share-Based Compensation (Details 1) - Employee Stock Option [Member] - $ / shares | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected dividend yield | 8.00% | 9.60% |
Expected volatility | 35.00% | 35.00% |
Risk-free interest rate | 2.48% | 2.03% |
Expected life (in years) | 10 years | 10 years |
Per share grant date fair value of options issued | $ 0.73 | $ 0.34 |
Share-Based Compensation (Det41
Share-Based Compensation (Details 2) - $ / shares | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
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 | 30,000 | 45,000 |
Weighted Number of Restricted Stock Awards, Vested | (3,750) | (3,750) |
Weighted Number of Restricted Stock Awards, Nonvested Ending Balance | 26,250 | 41,250 |
Weighted Average Grant Date Fair Value, Nonvested Beginning Balance | $ 5.86 | |
Weighted Average Grant Date Fair Value, Nonvested Ending Balance | $ 5.86 | $ 5.86 |
Share-Based Compensation (Det42
Share-Based Compensation (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Issuance of ordinary shares under Incentive plan | 35,000 | 35,000 |
Incentive Stock Option Plan [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares available for grant | 690,000 | |
Unrecognized compensation expense, non-vested stock options | $ 83 | $ 91 |
Unrecognized compensation cost, Weighted average recognition period | 26 months | |
Unrecognized compensation expense, non-vested restricted stock | $ 154 | 242 |
General and Administrative Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock compensation expense recognized | $ 10 | 8 |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unrecognized compensation cost, Weighted average recognition period | 21 months | |
Restricted Stock [Member] | General and Administrative Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock compensation expense recognized | $ 22 | $ 22 |
Net Worth for Regulatory Purp43
Net Worth for Regulatory Purposes (Details Narrative) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Regulated Operations [Abstract] | ||
Minimum prescribed capital requirement | $ 500 | |
Subsidiary net worth | 23,200,000 | $ 24,600,000 |
Subsidiary's net income | $ 1,100,000 | $ 873,000 |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating Lease One [Member] | ||
Other Commitments [Line Items] | ||
Lease term | 38 months | |
Rent expense | $ 14,700 | $ 13,300 |
Lease commitments | 76,400 | |
Operating Lease Two [Member] | ||
Other Commitments [Line Items] | ||
Rent expense | 12,900 | $ 12,900 |
Lease commitments | $ 30,100 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Dec. 31, 2016 |
Related Party Transaction [Line Items] | ||
Loss experience refund payable | $ 2,218 | $ 1,470 |
Unearned premiums reserve | 2,044 | 3,461 |
Claddaugh And Hcpci [Member] | ||
Related Party Transaction [Line Items] | ||
Loss experience refund payable | 2,100 | 1,470 |
Unearned premiums reserve | $ 567 | $ 1,417 |
Related Party Transactions (D46
Related Party Transactions (Details 1) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenue | ||
Assumed premiums | $ 880 | $ 503 |
Change in loss experience refund payable | 748 | 2,088 |
Change in unearned premiums reserve | 1,417 | 2,965 |
Expenses | ||
Policy acquisition costs and underwriting expenses | 63 | 61 |
Claddaugh And Hcpci [Member] | ||
Revenue | ||
Change in loss experience refund payable | (630) | (630) |
Change in unearned premiums reserve | $ 850 | $ 835 |