ProSight Global (PROS) 10-Q 11 Aug 20 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2020	Aug. 10, 2020
Document and Entity Information
Document Type	10-Q
Document Period End Date	Jun. 30, 2020
Entity Registrant Name	ProSight Global, Inc.
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		43,587,642
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001634038
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Assets
Fixed maturity securities, available-for-sale at fair value (amortized cost $2,102,989 in 2020 and $1,999,403 in 2019, allowance for credit losses $(1,985) in 2020 and $0 in 2019)	$ 2,162,780	$ 2,040,682
Commercial levered loans at amortized cost (fair value $12,628 in 2020 and $13,950 in 2019)	13,463	14,069
Non-redeemable preferred stock securities at fair value (amortized cost $11,670 in 2020 and $0 in 2019)	11,785
Limited partnerships and limited liability companies at fair value (cost $74,019 in 2020 and $62,226 in 2019)	79,717	66,660
Short-term investments	496	43,873
Total investments	2,268,241	2,165,284
Cash and cash equivalents	50,637	17,284
Restricted cash	9,966	10,213
Accrued investment income	14,119	13,610
Premiums and other receivables, net	143,519	190,004
Receivable from reinsurers on paid losses, net	2,497	3,481
Reinsurance receivables on unpaid losses, net	141,427	193,952
Deferred policy acquisition costs	94,587	98,812
Prepaid reinsurance premiums	47,837	42,861
Net deferred income taxes		4,803
Goodwill and net intangible assets	29,174	29,189
Fixed assets and capitalized software, net	35,630	37,167
Funds withheld related to sale of affiliate	19,529	19,453
Other assets	34,218	29,537
Assets of discontinued operations	23,171	21,584
Total assets	2,914,552	2,877,234
Liabilities
Reserve for unpaid losses and loss adjustment expenses	1,544,123	1,521,648
Reserve for unearned premiums	450,934	483,223
Ceded reinsurance payable	20,324	17,768
Notes payable, net of debt issuance costs	164,862	164,693
Secured notes payable, net of issuance costs	24,997
Funds held under reinsurance agreements	22,858	58,855
Net deferred income taxes	75
Other liabilities	66,762	56,438
Liabilities of discontinued operations	33,517	31,578
Total liabilities	2,328,452	2,334,203
Stockholders’ equity
Preferred stock, $0.01 par value; 50,000,000 shares authorized; no shares issued or outstanding
Common stock, $0.01 par value; 200,000,000 shares authorized; 43,355,319 and 43,071,186 shares issued, 43,342,399 and 43,058,266 shares outstanding in 2020 and 2019, respectively	433	431
Paid-in capital	664,895	661,761
Accumulated other comprehensive (loss) income	52,756	37,453
Retained deficit	(131,784)	(156,414)
Treasury shares - at cost (12,920 shares)	(200)	(200)
Total stockholders’ equity	586,100	543,031
Total liabilities and stockholders’ equity	$ 2,914,552	$ 2,877,234

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Consolidated Balance Sheets
Fixed maturity securities, available-for-sale, amortized cost	$ 2,102,989	$ 1,999,403
Fixed maturity securities, available-for-sale, allowance for credit losses	(1,985)	0
Commercial levered loans, fair value	12,628	13,950
Non-redeemable, amortized cost	11,670	0
Limited partnerships and limited liability companies, cost	$ 74,019	$ 62,226
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	50,000,000	50,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	43,355,319	43,071,186
Common stock, shares outstanding	43,342,399	43,058,266
Treasury shares, shares	12,920	12,920

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Consolidated Statements of Operations
Gross written premiums	$ 186,394	$ 235,032	$ 400,178	$ 490,870
Net earned premiums	181,629	202,480	387,291	398,088
Net investment income	23,791	17,398	32,606	34,556
Realized investment gains, net	1,891	137	2,123	250
Other income	101	97	213	190
Total revenues	207,412	220,112	422,233	433,084
Expenses:
Net losses and loss adjustment expenses incurred	112,473	127,115	240,030	245,448
Policy acquisition expenses	42,033	45,533	89,019	92,106
General and administrative expenses	26,415	26,028	53,052	53,222
Interest expense	3,067	3,147	6,172	6,509
Other expense	1,390	7,170	3,127	7,170
Total expenses	185,378	208,993	391,400	404,455
Net income from continuing operations before income taxes	22,034	11,119	30,833	28,629
Income tax provision:
Current	4,116	82	5,747	223
Deferred	635	2,341	992	6,015
Total income tax expense	4,751	2,423	6,739	6,238
Net income from continuing operations	17,283	8,696	24,094	22,391
Discontinued operations:
Net income (loss) from discontinued operations	279	(78)	536	(333)
Net income	$ 17,562	$ 8,618	$ 24,630	$ 22,058
Earnings per share – basic:
Net income from continuing operations	$ 0.39	$ 0.22	$ 0.55	$ 0.58
Net income	0.40	0.22	0.56	0.57
Earnings per share – diluted:
Net income from continuing operations	0.39	0.22	0.55	0.57
Net income	$ 0.40	$ 0.22	$ 0.56	$ 0.56

Consolidated Statements of Comp

Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Consolidated Statements of Comprehensive (Loss) Income
Net income	$ 17,562	$ 8,618	$ 24,630	$ 22,058
Other comprehensive (loss) income, net of taxes:
Change in unrealized holding gains on available-for-sale debt securities, net of deferred tax expense of $20,851 and $4,749 in 2020 and $6,206 and $13,447 in 2019	78,456	23,624	17,492	51,186
Less: reclassification adjustment for gains included in net income, net of tax expense (benefit) of $726 and $862 in 2020 and $(28) and $(52) in 2019	2,952	217	3,758	27
Less: reclassification adjustment for credit losses included in net income, net of tax benefit of $(330) and $(417) in 2020 and $0 and $0 in 2019	(1,240)		(1,569)
Other comprehensive (loss) income	76,744	23,407	15,303	51,159
Comprehensive (loss) income	$ 94,306	$ 32,025	$ 39,933	$ 73,217

Consolidated Statements of Co_2

Consolidated Statements of Comprehensive (Loss) Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Consolidated Statements of Comprehensive (Loss) Income
Change in unrealized holding (losses) gains on securities, deferred tax (benefit) expense	$ 20,851	$ 6,206	$ 4,749	$ 13,447
Reclassification adjustment for (losses) gains included in net income, tax expense (benefit)	726	(28)	862	(52)
Reclassification adjustment for credit losses included in net income, tax expense (benefit)	$ (330)	$ 0	$ (417)	$ 0

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders Equity - USD ($) $ in Thousands	Common stock	Paid-in capital	Accumulated other comprehensive (loss) income	Retained deficit	Treasury shares	Total
Balance at the beginning of the period at Dec. 31, 2018	$ 389	$ 607,260	$ (22,315)	$ (195,304)	$ (200)	$ 389,830
Increase (decrease) in Stockholders' Equity
Stock based employee compensation plan		77				77
Net unrealized gain (loss) on available-for-sale debt securities, net of deferred tax expense			27,752			27,752
Equity distribution		(4,174)				(4,174)
Net income				13,440		13,440
Balance at the end of the period at Mar. 31, 2019	389	603,163	5,437	(181,864)	(200)	426,925
Balance at the beginning of the period at Dec. 31, 2018	389	607,260	(22,315)	(195,304)	(200)	389,830
Increase (decrease) in Stockholders' Equity
Net income						22,058
Balance at the end of the period at Jun. 30, 2019	389	603,163	28,844	(173,246)	(200)	458,950
Balance at the beginning of the period at Mar. 31, 2019	389	603,163	5,437	(181,864)	(200)	426,925
Increase (decrease) in Stockholders' Equity
Net unrealized gain (loss) on available-for-sale debt securities, net of deferred tax expense			23,407			23,407
Net income				8,618		8,618
Balance at the end of the period at Jun. 30, 2019	389	603,163	28,844	(173,246)	(200)	458,950
Balance at the beginning of the period at Dec. 31, 2019	431	661,761	37,453	(156,414)	(200)	543,031
Increase (decrease) in Stockholders' Equity
Stock based employee compensation plan	2	1,754				1,756
Retirement of common stock (tax payments on equity compensation)		(2,263)				(2,263)
Net unrealized gain (loss) on available-for-sale debt securities, net of deferred tax expense			(61,441)			(61,441)
Payments related to offering costs		(49)				(49)
Net income				7,068		7,068
Balance at the end of the period at Mar. 31, 2020	433	661,203	(23,988)	(149,346)	(200)	488,102
Balance at the beginning of the period at Dec. 31, 2019	431	661,761	37,453	(156,414)	(200)	543,031
Increase (decrease) in Stockholders' Equity
Tax benefit on payments related to offering costs						635
Net income						24,630
Balance at the end of the period at Jun. 30, 2020	433	664,895	52,756	(131,784)	(200)	586,100
Balance at the beginning of the period at Mar. 31, 2020	433	661,203	(23,988)	(149,346)	(200)	488,102
Increase (decrease) in Stockholders' Equity
Stock based employee compensation plan		3,057				3,057
Net unrealized gain (loss) on available-for-sale debt securities, net of deferred tax expense			76,744			76,744
Tax benefit on payments related to offering costs		635				635
Net income				17,562		17,562
Balance at the end of the period at Jun. 30, 2020	$ 433	$ 664,895	$ 52,756	$ (131,784)	$ (200)	$ 586,100

Consolidated Statements of Ch_2

Consolidated Statements of Changes in Stockholders Equity (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Mar. 31, 2019
Consolidated Statements of Changes in Stockholders’ Equity
Net unrealized (loss) gain on available-for-sale securities, deferred tax (benefit)	$ 20,455	$ (16,151)	$ 6,234	$ 7,265

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Operating activities
Net income from continuing operations	$ 24,094	$ 22,391
Net income (loss) from discontinued operations	536	(333)
Net income	24,630	22,058
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for deferred taxes	992	6,015
Realized investment gains, net	(2,123)	(250)
Net limited partnerships losses (gains)	(1,254)	(2,449)
Net amortization (accretion) from bonds and commercial loans	1,808	(2,227)
Net change in fair value of non-redeemable preferred stock securities	(115)
Depreciation and amortization	4,186	4,131
Amortization of debt issuance costs	169	162
Stock based compensation	4,813	77
Changes in:
Premiums and other receivables, net	46,485	4,219
Receivable from reinsurers on paid losses and reinsurance receivable on unpaid losses	53,509	(22,225)
Ceded reinsurance payable	2,556	2,706
Accrued investment income	(509)	(1,035)
Deferred policy acquisition costs	4,225	(8,127)
Prepaid reinsurance premiums	(4,976)	(14,592)
Reserve for unpaid losses and loss adjustment expenses	22,475	86,848
Reserve for unearned premiums	(32,289)	36,974
Funds withheld related to sale of affiliate	(76)	(137)
Funds held under reinsurance agreements	(35,997)	9,197
Other assets	(4,465)	20,149
Other liabilities	10,324	17,819
Total adjustments	69,738	137,255
Net cash provided by operating activities – continuing operations	93,832	159,646
Net cash provided by (used in) operating activities – discontinued operations	115	(305)
Net cash provided by operating activities	93,947	159,341
Investing activities
Purchases of available-for-sale fixed maturity securities	(408,224)	(221,287)
Sales of available-for-sale fixed maturity securities	194,904	32,791
Redemptions of available-for-sale fixed maturity securities	111,877	64,310
Purchases of non-redeemable preferred stock securities	(11,669)
Redemptions of commercial levered loans	608	350
Purchases of limited partnerships	(13,651)	(8,244)
Distributions and redemptions from limited partnerships	1,847	1,775
Purchases of short-term investments	(34,955)	(241,574)
Sales of short-term investments	78,485	228,765
Acquisition of fixed assets and capitalized software	(2,634)	(3,260)
Net cash used in investing activities - continuing operations	(83,412)	(146,374)
Net cash (used in) provided by investing activities - discontinued operations	634	(320)
Net cash used in investing activities	(82,778)	(146,694)
Financing activities
Payments related to offering costs	(49)
Tax withholding on stock compensation awards	(2,263)
Proceeds from secured notes payable	24,997
Net cash used in financing activities	22,685
Net change in cash and cash equivalents	33,854	12,647
Cash, cash equivalents and restricted cash at beginning of year - continuing operations	27,497	29,900
Cash, cash equivalents and restricted cash at beginning of year- discontinued operations	255	1,034
Less: cash, cash equivalents and restricted cash at end of period - discontinued operations	(1,003)	(411)
Cash, cash equivalents and restricted cash at end of period - continuing operations	$ 60,603	$ 43,170

Basis of Reporting

Basis of Reporting	6 Months Ended
	Jun. 30, 2020
Basis of Reporting
Basis of Reporting	1. Basis of Reporting The accompanying unaudited interim consolidated financial statements of ProSight Global, Inc. and its subsidiaries (the “Company”) have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and do not contain all of the information and footnotes required by U.S. GAAP for complete financial statements. The unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and the related notes thereto included in the Company’s 2019 Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on February 24, 2020, as amended by Amendment No. 1 to Form 10-K filed with the SEC on March 10, 2020. In the opinion of management, all adjustments necessary for a fair presentation of the consolidated financial statements have been included. Such adjustments consist only of normal recurring items. All significant intercompany balances and transactions have been eliminated in consolidation. Interim results are not necessarily indicative of results of operations for the full year. Prior to July 25, 2019, the Company was a wholly-owned subsidiary of ProSight Global Holdings Limited (“PGHL”), a Bermuda holding company. Effective July 25, 2019, prior to the completion of the Company’s initial public offering (“IPO”), PGHL merged with and into the Company, with the Company surviving the merger (the “merger”). The prior holders of PGHL’s equity interests then outstanding received, as merger consideration, the right to receive 6.46 shares of the Company’s common stock for each such outstanding PGHL equity interest. All share and per share amounts in the unaudited interim consolidated financial statements and related notes have been restated for all historical periods prior to July 25, 2019, presented to give effect to the merger and related conversion of shares, including reclassifying an amount equal to the change in value of common stock to additional paid-in capital, as well as the effectiveness of the Certificate of Incorporation. Use of Estimates The preparation of the unaudited interim consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the financial statement balances, as well as disclosure of contingent assets and liabilities. Actual results could differ from those estimates. Management periodically reviews its estimates and assumptions.

Recently Adopted Accounting Sta

Recently Adopted Accounting Standards	6 Months Ended
	Jun. 30, 2020
Recently Adopted Accounting Standards
Recently Adopted Accounting Standards	2. Recently Adopted Accounting Standards Accounting Guidance Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016‑02, Leases (“ASU 2016-02”) to improve the financial reporting of leasing transactions. Under this ASU, lessees will recognize a right-of-use asset and corresponding liability on the balance sheet for all leases, except for leases covering a period of fewer than 12 months. The liability is to be measured as the present value of the future minimum lease payments taking into account renewal options, if applicable, plus initial incremental direct costs such as commissions. The minimum payments are discounted using the rate implicit in the lease or, if not known, the lessee’s incremental borrowing rate. The lessee’s income statement treatment for leases will vary depending on the nature of the lease. A financing type lease is present when, among other matters, the asset is being leased for a substantial portion of its economic life or has an end-of-term title transfer or a bargain purchase option as in today’s practice. The payment of the liability set up for such leases will be apportioned between interest and principal; the right-of use asset will be generally amortized on a straight-line basis. If the lease does not qualify as a financing type lease, it will be accounted for on the income statement as rent on a straight-line basis. ASU 2016‑02 requires the application of a modified retrospective approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The Company adopted ASU 2016‑02 in the first quarter of 2020, and as part of its implementation, elected the modified retrospective method approach at the beginning of the period of adoption and did not retrospectively adjust prior periods presented. The Company elected to not separate lease components from non-lease components (such as office cleanings, security and maintenance services provided by the Company’s lessors for certain of its leases). The Company also elected the package of practical expedients under the transition guidance, which allowed the Company to not reevaluate existing lease classifications, among others. As of January 1, 2020, the Company’s adoption of this guidance resulted in recognition of a right-of-use asset of $5.6 million and a corresponding lease liability of $6.3 million in continuing operations, and a right-of-use asset of $2.5 million and a corresponding lease liability of $3.0 million in discontinued operations. The adoption of this guidance did not have a material impact on the Company’s retained earnings. See Note 15. Leases for further information on the Company’s leases. In June 2016, the FASB issued ASU 2016‑13, Financial Instruments — Credit Losses, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016‑13 will change the way entities recognize impairment of financial assets by requiring immediate recognition of estimated credit losses expected to occur over the remaining life of many financial assets, including, among others, held-to-maturity debt securities, trade receivables, and reinsurance receivables. ASU 2016‑13 requires a valuation allowance to be calculated on these financial assets and that they be presented on the financial statements net of the valuation allowance. The valuation allowance is a measurement of expected losses that is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. This methodology is referred to as the current expected credit loss model. The Company adopted ASU 2016-13 in the first quarter of 2020 using a modified retrospective approach. As of January 1, 2020, the Company’s adoption of this guidance did not have a material impact on the Company’s retained earnings. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement: Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”) . ASU 2018-13 modifies the disclosure requirements for fair value measurements. The modifications removed the following disclosure requirements: (i) the amount of, and reasons for, transfers between Level 1 and Level 2 of the fair value hierarchy; (ii) the policy for timing of transfers between levels; and (iii) the valuation processes for Level 3 fair value measurements. This ASU added the following disclosure requirements: (i) the changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements held at the end of the reporting period; and (ii) the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements. The Company adopted ASU 2018-13 in the first quarter of 2020 using a retrospective approach and as the requirements of this literature are disclosure only, ASU 2018-13 did not have an impact on the Company’s financial condition or results of operations. Accounting Guidance Not Yet Adopted In March 2017, the FASB issued ASU 2017-08, Premium Amortization on Purchased Callable Debt Securities (“ASU 2017-08”). ASU 2017-08 shortens the amortization period of the premium for certain callable debt securities, from the contractual maturity date to the earliest call date. ASU 2017-08 is effective for public entities for annual periods beginning after December 15, 2018, including interim periods within those annual periods, with early adoption permitted. For the Company, ASU 2017-08 is effective for annual periods beginning after December 15, 2019 and interim periods within annual periods beginning after December 15, 2020. The Company is currently evaluating the impact of this guidance on its financial condition or results of operations. In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software: Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (“ASU 2016-15”) . ASU 2018-15 aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. ASU 2018-15 provides the option to apply prospectively to costs for activities performed on or after the date that the entity first adopts or retrospectively in accordance with guidance on accounting changes. ASU 2018-15 is effective for public entities for annual periods beginning after December 15, 2019, including interim periods within those annual periods, with early adoption permitted. For the Company, ASU 2018-15 is effective for annual periods beginning after December 15, 2020 and interim periods within annual periods beginning after December 15, 2021. The Company is currently evaluating the impact of this guidance on its financial condition or results of operations. In December 2019, the FASB issued ASU 2019-12, Income Taxes - Simplifying the Accounting for Income Taxes (“ASU 2019-12”). Among other items, the amendments in ASU 2019-12 simplify the accounting treatment of tax law changes and year-to-date losses in interim periods. An entity generally recognizes the effects of a change in tax law in the period of enactment; however, there is an exception for tax laws with delayed effective dates. Under current guidance, an entity may not adjust its annual effective tax rate for a tax law change until the period in which the law is effective. This exception was removed under ASU 2019-12, thereby providing that all effects of a tax law change are recognized in the period of enactment, including adjustment of the estimated annual effective tax rate. Regarding year-to-date losses in interim periods, an entity is required to estimate its annual effective tax rate for the full fiscal year at the end of each interim period and use that rate to calculate its income taxes on a year-to-date basis. However, current guidance provides an exception that when a loss in an interim period exceeds the anticipate loss for the year, the income tax benefit is limited to the amount that would be recognized if the year-to-date loss were the anticipated loss for the full year. ASU 2019-12 removes this exception and provides that in this situation, an entity would compute its income tax benefit at each interim period based on its estimated annual effective tax rate. ASU 2019-12 is effective for public entities for annual periods beginning after December 15, 2020, including interim periods within those annual periods, with early adoption permitted. For the Company, ASU 2019-12 is effective for annual periods beginning after December 15, 2021 and interim periods within annual periods beginning after December 15, 2021. The Company is currently evaluating the impact of this guidance on its financial condition or results of operations. In January 2020, the FASB issued ASU 2020-01, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) (“ASU 2020-01”). ASU 2020-01 will clarify certain interactions between the guidance to account for certain equity securities under Topic 321, the guidance to account for investments under the equity method of accounting in Topic 323, and the guidance in Topic 815, which could change how an entity accounts for an equity security under the measurement alternative or a forward contract or exercise of the purchased option, would be accounted for under the equity method of accounting or the fair value option in accordance with Topic 825, Financial Instruments. ASU 2020-01 is effective for public entities for annual periods beginning after December 15, 2020, including interim periods within those annual periods, with early adoption permitted. For the Company, ASU 2020-01 is effective for annual periods beginning after December 15, 2021 and interim periods within annual periods beginning after December 15, 2021. The Company is currently evaluating the impact of this guidance on its financial condition or results of operations. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) – Facilitation of the Effects of Reference Rate Reform on Financial Reporting (“ASU 2020-04”), which provides optional expedients and exceptions to the guidance in GAAP on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition away from the London Interbank Offered Rate ("LIBOR") and other interbank offered rates to alternative reference rates. Companies can elect to adopt ASU 2020-04 as of the beginning of the interim period that includes March 2020, or any date thereafter through December 31, 2022. The Company is currently evaluating the impact of this guidance on its financial condition and results of operations.

Supplemental Cash Flow

Supplemental Cash Flow	6 Months Ended
	Jun. 30, 2020
Supplemental Cash Flow
Supplemental Cash Flow	3. Supplemental Cash Flow The following table represents the supplemental cash flow information for the six months ended June 30, 2020 and 2019: Six Months Ended June 30 ($ in thousands) 2020 2019 Cash paid during the period for: Interest $ 6,187 $ 6,566 Non-cash activity: Operating lease right-of-use assets due to the adoption of ASU 2016-02 - continuing operations $ 4,117 $ — Operating lease right-of-use assets due to the adoption of ASU 2016-02 - discontinued operations $ 2,174 $ — Operating lease liabilities due to the adoption of ASU 2016-02 - continuing operations $ 4,624 $ — Operating lease liabilities due to the adoption of ASU 2016-02 - discontinued operations $ 2,526 $ — Tax benefit on payments related to offering costs $ 635 $ — For the six months ended June 30, 2020, the Company withheld 154,629 shares of common stock from employees related to tax liabilities incurred upon the settlement of vested restricted stock units (“RSUs”). The number of shares of common stock issued, upon the settlement of vested RSUs net of tax withholding, was 284,133.

Discontinued Operations

Discontinued Operations	6 Months Ended
	Jun. 30, 2020
Discontinued Operations
Discontinued Operations	4. Discontinued Operations In March 2017, the Company announced its exit from the United Kingdom (“U.K.”) insurance market. The financial results and subsequent expenses directly attributable to U.K. operations are included in the Company’s financial statements and classified within discontinued operations for all periods presented. Net income from discontinued operations was $0.3 million and $0.5 million for the three and six months ended June 30, 2020. Net loss from discontinued operations was $0.1 million and $0.3 million for the three and six months ended June 30, 2019. The following table represents the carrying amounts of assets and liabilities associated with the exit from the insurance market in the U.K. reported as discontinued operations in its consolidated balance sheets: June 30, December 31, ($ in thousands) 2020 2019 Assets Cash and investments $ 10,120 $ 10,428 Other assets 13,051 11,156 Total assets $ 23,171 $ 21,584 Liabilities Reserve for unpaid losses and loss adjustment expenses $ 24,146 $ 24,169 Other liabilities 9,371 7,409 Total liabilities $ 33,517 $ 31,578

Investments

Investments	6 Months Ended
	Jun. 30, 2020
Investments
Investments	5. Investments The Company’s investment portfolio consists of fixed maturity securities, commercial levered loans, limited partnerships and limited liability companies, non-redeemable preferred stock securities, and short-term investments. Fixed maturity securities may include U.S. Treasury securities, government agency securities, municipal debt obligations, residential mortgage-backed securities (“RMBS”), commercial mortgage-backed securities (“CMBS”), collateralized loan obligations (“CLO”), asset-backed securities (“ABS”) and corporate debt securities. Corporate debt securities may include investment grade and below investment grade bonds, bank loan investments and redeemable preferred stock securities. The Company has designated its investments in fixed maturity securities as available-for-sale (“AFS”) securities. (a) The gross unrealized gains and losses on fixed maturity securities included in assets from continuing operations at June 30, 2020, are as follows: Cost/ Gross Gross Amortized Credit Loss Unrealized Unrealized Fair ($ in thousands) Cost Allowance Gains Losses Value Fixed maturity securities: U.S. Treasury securities $ 36,265 $ — $ 2,204 $ — $ 38,469 Government agency securities 28,358 — 526 — 28,884 Corporate debt securities 1,302,996 (615) 65,651 (15,795) 1,352,237 Municipal debt obligations 158,464 — 5,623 (792) 163,295 ABS 49,723 (275) 347 (1,064) 48,731 CLO 175,687 (6) 41 (7,201) 168,521 CMBS 99,218 — 5,245 (986) 103,477 RMBS - non-agency 115,588 (1,089) 6,369 (2,008) 118,860 RMBS - agency 136,690 — 3,616 — 140,306 Total fixed maturity securities $ 2,102,989 $ (1,985) $ 89,622 $ (27,846) $ 2,162,780 The gross unrealized gains and losses on fixed maturity securities included in assets from continuing operations at December 31, 2019, are as follows: Cost/ Gross Gross Amortized Unrealized Unrealized Fair ($ in thousands) Cost Gains Losses Value Fixed maturity securities: U.S. Treasury securities $ 49,161 $ 838 $ (14) $ 49,985 Government agency securities 6,522 23 (14) 6,531 Corporate debt securities 1,308,094 33,743 (3,025) 1,338,812 Municipal debt obligations 80,338 243 (766) 79,815 ABS 73,068 854 (340) 73,582 CLO 181,704 125 (2,280) 179,549 CMBS 95,810 1,863 (147) 97,526 RMBS - non-agency 62,343 9,458 (191) 71,610 RMBS - agency 142,363 1,256 (347) 143,272 Total fixed maturity securities $ 1,999,403 $ 48,403 $ (7,124) $ 2,040,682 (b) The following table summarizes the fair values and gross unrealized losses for fixed maturity securities in an unrealized loss position at June 30, 2020, grouped by asset class and by duration of time in a continuous unrealized loss position: Less Than 12 Months Greater Than 12 Months Total Total Fair Unrealized Fair Unrealized Total Unrealized ($ in thousands) Value Losses Value Losses Fair Value Losses Corporate debt securities $ 131,043 $ (10,502) $ 76,754 $ (5,293) $ 207,797 $ (15,795) Municipal debt obligations 25,587 (456) 11,372 (336) 36,959 (792) ABS 9,504 (693) 16,883 (371) 26,387 (1,064) CLO 47,434 (1,278) 116,188 (5,923) 163,622 (7,201) CMBS 16,564 (859) 4,725 (127) 21,289 (986) RMBS - non-agency 36,568 (1,189) 9,317 (819) 45,885 (2,008) Total fixed maturity securities $ 266,700 $ (14,977) $ 235,239 $ (12,869) $ 501,939 $ (27,846) The following table summarizes the fair values and gross unrealized losses for fixed maturity securities in an unrealized loss position at December 31, 2019, grouped by asset class and by duration of time in a continuous unrealized loss position: Less Than 12 Months Greater Than 12 Months Total Total Fair Unrealized Fair Unrealized Total Unrealized ($ in thousands) Value Losses Value Losses Fair Value Losses U.S. Treasury securities $ — $ — $ 7,469 $ (14) $ 7,469 $ (14) Government agency securities 3,192 (14) — — 3,192 (14) Corporate debt securities 133,341 (2,509) 50,695 (516) 184,036 (3,025) Municipal debt obligations 66,355 (766) — — 66,355 (766) ABS 27,884 (175) 11,165 (165) 39,049 (340) CLO 28,485 (338) 110,825 (1,942) 139,310 (2,280) CMBS 18,307 (102) 6,053 (45) 24,360 (147) RMBS - non-agency 2,173 (14) 2,418 (177) 4,591 (191) RMBS - agency 10,450 (12) 12,367 (335) 22,817 (347) Total fixed maturity securities $ 290,187 $ (3,930) $ 200,992 $ (3,194) $ 491,179 $ (7,124) (c) The Company was holding 286 and 313 fixed maturity securities that were in an unrealized loss position as of June 30, 2020 and December 31, 2019, respectively. The Company does not intend to sell the investments and it is not more likely than not that the Company will be required to sell the investments before recovery of their amortized cost bases, which may be maturity. The Company analyzes fixed maturity securities in an unrealized loss position for credit losses if they meet the following criteria: (i) they are trading in a significant loss position, (ii) failure of the issuer of the security to make scheduled interest or principal payments, (iii) there have been negative credit events with respect to the issuer, or (iv) there have been negative current events surrounding an issuer or the environment in which an issuer operates. For fixed maturity securities in an unrealized loss position that require a credit loss analysis, the Company estimates a present value of expected cash flows. If the results of the cash flow analysis indicate that the Company will not recover the full amount of its amortized cost basis, the Company records a credit loss for the excess of amortized cost over the present value of expected cash flows, not to exceed the unrealized loss. Changes in the credit loss allowance are recognized through realized investment gains, net on the consolidated statements of operations. The credit loss allowance expense for fixed maturity securities was $1.6 million and $2.0 million for the three and six months ended June 30, 2020. The following table is a rollforward of the credit loss allowance for fixed maturity securities: December 31, Additions Reduction Reduction Change in Securities June 30, ($ in thousands) 2019 New Securities Sales Intent to Sell with Previous Allowance 2020 Fixed maturity securities: Corporate debt securities $ — $ 615 $ — $ — $ — $ 615 ABS — 275 — — — 275 CLO — 6 — — — 6 RMBS - non-agency — 1,090 (1) — — 1,089 Total fixed maturity securities allowance $ — $ 1,986 $ (1) $ — $ — $ 1,985 (d) The amortized cost and fair value of fixed maturity securities, excluding the Company’s structured securities portfolio, at June 30, 2020, by contractual maturity are shown below. Expected maturities will differ from contractual maturities, because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. June 30, 2020 Amortized Fair ($ in thousands) Cost Value Due in one year or less $ 107,187 $ 108,224 Due after one through five years 641,649 661,544 Due after five through ten years 494,186 520,225 Due after ten years 254,703 264,008 1,497,725 1,554,001 Structured securities: Government agency securities 28,358 28,884 ABS 49,723 48,731 CLO 175,687 168,521 CMBS 99,218 103,477 RMBS - non-agency 115,588 118,860 RMBS - agency 136,690 140,306 Total fixed maturity securities $ 2,102,989 $ 2,162,780 The Company did not have any non-income producing fixed maturity investments as of June 30, 2020 and December 31, 2019, respectively. (e) The Company records its limited partnership and limited liability companies using net asset value, which the Company has determined to be the best indicator of fair value for these investments. At June 30, 2020 and December 31, 2019, the fair value of limited partnerships and limited liability companies were $79.7 million and $66.7 million, respectively. Changes in fair value of such investments are recorded in the consolidated statements of operations within net investment income. The largest investment within the portfolio is the Pacific Investment Management Company LLC Tactical Opportunities fund, which is carried at $43.0 million at June 30, 2020. The carrying values used for investments in limited partnerships and limited liability companies generally are established on the basis of the current valuations provided by the managers of such investments. These valuations are determined based upon the valuation criteria established by the governing documents of such investments or utilized in the normal course of such manager’s business, which are reflective of fair value. Such valuations may differ significantly from the values that would have been used had available markets for these investments existed and the differences could be material. The Company’s strategies for its investments in limited partnerships and limited liability companies include investment funds that employ diverse and fundamentally driven approaches to investing which include effective risk management, hedging strategies and leverage. The portfolio of investments in limited partnerships and limited liability companies consists of common stocks, real estate assets, options, swaps, derivative instruments and other structured products. The limited partnerships and limited liability companies in which the Company invests sometimes impose limitations on the timing of withdrawals from the funds. The Company’s inability to withdraw its investment quickly from a particular limited partnership or a limited liability company that is performing poorly could result in losses and may affect liquidity. All of the Company’s limited partnerships and limited liability companies have timing limitations. Most limited partnerships and limited liability companies require a 90-day notice period in order to withdraw funds. Some limited partnerships and limited liability companies may require a withdrawal only at the end of their fiscal year. The Company may also be subject to withdrawal fees in the event the limited partnerships and limited liability companies are sold within a minimum holding period, which may be up to one year. Many limited partnerships and limited liability companies have invoked gated provisions that allow the fund to disperse redemption proceeds to investors over an extended period. The Company is subject to such restrictions, which may delay the receipt of proceeds from limited partnerships and limited liability companies. (f) The Company invests in commercial loans, which are private placements. Loans are reported at the principal amount outstanding, reduced by unearned discounts, net deferred loan fees, and an allowance for credit losses on loans. Interest on loans is calculated using the simple interest method on the daily principal amount outstanding. There was no allowance for credit losses on loans at June 30, 2020 and December 31, 2019, respectively. (g) Proceeds from sales and redemptions in AFS securities totaled $154.0 million and $53.7 million for the three months ended June 30, 2020 and 2019, respectively. Proceeds from sales and redemptions in AFS securities totaled $306.8 million and $97.1 million for the six months ended June 30, 2020 and 2019, respectively. Gross realized gains from sales and redemptions in AFS securities totaled $3.7 million and $0.4 million for the three months ended June 30, 2020 and 2019, respectively. Gross realized gains from sales and redemptions in AFS securities totaled $4.7 million and $0.6 million for the six months ended June 30, 2020 and 2019, respectively. Gross realized losses from sales and redemptions of AFS investments totaled $0.2 million and $0.3 million for the three months ended June 30, 2020 and 2019, respectively. Gross realized losses from sales and redemptions of AFS investments totaled $0.6 million and $0.4 million for the six months ended June 30, 2020 and 2019, respectively. (h) Net investment income included in net income from continuing operations in the consolidated statements of operations from each major category of investments for the three and six months ended June 30, 2020 and 2019, is as follows: Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) 2020 2019 2020 2019 Fixed maturity securities $ 15,849 $ 16,531 $ 32,131 $ 32,650 Commercial levered loans 139 159 234 378 Net limited partnerships and limited liability companies gains 8,131 1,143 1,254 2,394 Other 322 92 312 181 Gross investment income 24,441 17,925 33,931 35,603 Less: investment income attributable to funds withheld liabilities 118 141 254 283 Less: expenses 532 386 1,071 764 Net investment income $ 23,791 $ 17,398 $ 32,606 $ 34,556 (i) Included in investments at June 30, 2020 and December 31, 2019, are securities required to be held by the Company (or those that are on deposit) with various regulatory authorities as required by law with a fair value of $230.4 million and $210.8 million, respectively. Fair value and carrying value of assets in the amount of $399.7 million and $381.5 million, respectively, were on deposit in collateral agreements at June 30, 2020. Fair value and carrying value of assets in the amount of $367.1 million and $352.0 million, respectively, were on deposit in collateral agreements at December 31, 2019. (j) The investment portfolio has exposure to market risks, which include the effect of adverse changes in interest rates, credit quality, limited partnership value and illiquid securities, including commercial loan values, on the portfolio. Interest rate risk includes the changes in the fair value of fixed maturities based upon changes in interest rates. Credit quality risk includes the risk of default by issuers of debt securities. Risks from investments in limited partnerships and limited liability companies and illiquid securities risks include the potential loss from the diminution in the value of the underlying investment of the limited partnerships and limited liability companies and the potential loss from changes in the fair value of commercial loans. (k) Non-redeemable preferred stock securities with readily determinable fair values are recorded at fair value. Changes in fair value of such investments are recorded in the consolidated statements of operations within net investment income. The change in fair value r ecognized in income on non-redeemable preferred stock securities for the three and six months ended June 30, 2020 was a gain of $0.4 million and $0.1 million, respectively.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2020
Fair Value Measurements
Fair Value Measurements	6. Fair Value Measurements The Company has established a framework for valuing financial assets and financial liabilities. The framework is based on a hierarchy of inputs used in valuation and gives the highest priority to quoted prices in active markets and requires that observable inputs be used in the valuations when available. The disclosure of fair value estimates in the hierarchy is based on whether the significant inputs into the valuation are observable. In determining the level of the hierarchy in which the estimate is disclosed, the highest priority is given to unadjusted quoted prices in active markets and the lowest priority to unobservable inputs that reflect the Company’s significant market assumptions. The standard describes three levels of inputs that may be used to measure fair value and categorize the assets and liabilities within the hierarchy: Level 1 – Fair value is based on unadjusted quoted prices in active markets that are accessible to the Company for identical assets or liabilities. These prices generally provide the most reliable evidence and are used to measure fair value whenever available. Active markets are defined as having the following for the measured asset/liability: (i) many transactions, (ii) current prices, (iii) price quotes not varying substantially among market makers, (iv) narrow bid/ask spreads and (v) most information publicly available. As of June 30, 2020, and December 31, 2019, the Company does not hold any Level 1 securities. Level 2 – Fair value is based on significant inputs, other than Level 1 inputs, that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset through corroboration with observable market data. Level 2 inputs include quoted market prices in active markets for similar assets, nonbinding quotes in markets that are not active for identical or similar assets and other market observable inputs (e.g., interest rates, yield curves, prepayment speeds, default rates, loss severities, etc.). The Company’s Level 2 assets include U.S. Treasury securities, government agency securities, municipal debt obligations, RMBS, CMBS, CLO, ABS, corporate debt securities and non-redeemable preferred stock securities. The Company generally obtains valuations from third-party pricing services and/or security dealers for identical or comparable assets or liabilities by obtaining nonbinding broker quotes (when pricing service information is not available) in order to determine an estimate of fair value. The Company bases all of its estimates of fair value for assets on the bid price as it represents what a third-party market participant would be willing to pay in an arm’s-length transaction. Level 3 – Fair value is based on at least one or more significant unobservable inputs that are supported by little or no market activity for the asset. These inputs reflect the Company’s understanding about the assumptions market participants would use in pricing the asset or liability. The Company’s Level 3 assets include its investments in certain corporate debt securities and commercial levered loans as they are illiquid and trade in inactive markets. These markets are considered inactive as a result of the low level of trades of such investments. Commercial levered loans are also not considered within the Level 3 tabular disclosure, because they are in the “held for investment” category and are also not measured at fair value on a recurring basis. The corporate debt securities classified under Level 3 in the fair value hierarchy are provided to the Company by an independent valuation service provider which use both observable and unobservable inputs in the calculation of fair value. Unobservable inputs, significant to the measurement and valuation of the corporate debt securities are assumptions about prepayment speed, default rates and reinvestment parameters. Significant changes to any of these inputs, or combination of inputs, could significantly change the fair value measurement for these securities when using the income approach. The primary pricing sources for the Company’s investments in commercial levered loans are reviewed for reasonableness, based on the Company’s understanding of the respective market. Prices may then be determined using valuation methodologies such as discounted cash flow models, as well as matrix pricing analyses performed on nonbinding quotes from brokers or other market makers. The following are the major categories of assets measured at fair value on a recurring basis at June 30, 2020 and December 31, 2019, using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3): June 30, 2020 ($ in thousands) Level 1 Level 2 Level 3 Total Fixed maturity securities: U.S. Treasury securities $ — $ 38,469 $ — $ 38,469 Government agency securities — 28,884 — 28,884 Corporate debt securities — 1,190,160 162,077 1,352,237 Municipal debt obligations — 163,295 — 163,295 ABS — 48,731 — 48,731 CLO — 168,521 — 168,521 CMBS — 103,477 — 103,477 RMBS - non agency — 118,860 — 118,860 RMBS - agency — 140,306 — 140,306 Total fixed maturity securities — 2,000,703 162,077 2,162,780 Non-redeemable preferred stock securities — 11,785 — 11,785 Total categorized $ — $ 2,012,488 $ 162,077 $ 2,174,565 Investments measured at net asset value: Limited partnerships and limited liability companies 79,717 Total of invested assets carried at fair value $ 2,254,282 December 31, 2019 ($ in thousands) Level 1 Level 2 Level 3 Total Fixed maturity securities: U.S. Treasury securities $ — $ 49,985 $ — $ 49,985 Government agency securities — 6,531 — 6,531 Corporate debt securities — 1,189,181 149,631 1,338,812 Municipal debt obligations — 79,815 — 79,815 ABS — 73,582 — 73,582 CLO — 179,549 — 179,549 CMBS — 97,526 — 97,526 RMBS - non agency — 71,610 — 71,610 RMBS - agency — 143,272 — 143,272 Total categorized $ — $ 1,891,051 $ 149,631 $ 2,040,682 Investments measured at net asset value: Limited partnerships and limited liability companies 66,660 Total of invested assets carried at fair value $ 2,107,342 The following tables disclose the carrying value and fair value of financial instruments that are not recognized or are not carried at fair value in the consolidated balance sheets as of June 30, 2020 and December 31, 2019: June 30, 2020 Carrying Fair Value ($ in thousands) Value Total Level 1 Level 2 Level 3 Assets Commercial levered loans $ 13,463 $ 12,628 $ — $ — $ 12,628 Liabilities Notes payable $ 165,000 $ 166,961 $ — $ 166,961 $ — Unamortized debt issuance costs (138) Notes payable, net of debt issuance costs $ 164,862 Secured loan payable $ 24,997 $ 24,997 $ — $ 24,997 $ — Unamortized debt issuance costs — Secured loan payable, net of issuance costs $ 24,997 December 31, 2019 Carrying Fair Value ($ in thousands) Value Total Level 1 Level 2 Level 3 Assets Commercial levered loans $ 14,069 $ 13,950 $ — $ — $ 13,950 Liabilities Notes payable $ 165,000 $ 167,507 $ — $ 167,507 $ — Unamortized debt issuance costs (307) Notes payable, net of debt issuance costs $ 164,693 The fair value of the notes payable at June 30, 2020, approximated a price equal to $167.0 million or 101.2% of the par value. The fair value of the secured loan payable at June 30, 2020, approximated a price equal to $24.9 million or 100.0% of the par value. The fair value of the notes payable at December 31, 2019, approximated a price equal to $167.5 million or 101.5% of the par value. The following tables provides a summary of the changes in the fair value of securities measured using Level 3 inputs during the six months ended June 30, 2020 and 2019: Level 3 Corporate Debt ($ in thousands) Securities Fair value, December 31, 2019 $ 149,631 Total net losses for the period included in: Other comprehensive loss (8,563) Net realized loss (2) Purchases 22,634 Sales — Issuances — Settlements (1,623) Transfers into Level 3 — Transfers out of Level 3 — Fair value, June 30, 2020 $ 162,077 Level 3 Corporate Debt ($ in thousands) Securities Fair value, December 31, 2018 $ 126,497 Total net gains (losses) for the period included in: Other comprehensive income 921 Net realized loss (71) Purchases 3,516 Sales — Issuances — Settlements (2,845) Transfers into Level 3 — Transfers out of Level 3 — Fair value, June 30, 2019 $ 128,018

Accumulated Other Comprehensive

Accumulated Other Comprehensive (Loss) Income	6 Months Ended
	Jun. 30, 2020
Accumulated Other Comprehensive (Loss) Income [Abstract]
Accumulated Other Comprehensive (Loss) Income	7. Accumulated Other Comprehensive Income The following table summarizes the components of accumulated other comprehensive income (“AOCI”) for the three and six months ended June 30, 2020 and 2019: ($ in thousands) Gross Tax Net March 31, 2020 $ (31,469) $ (7,481) $ (23,988) Unrealized holding gains on fixed maturity securities 99,307 20,851 78,456 Amounts reclassified into net income 3,678 726 2,952 Amounts reclassified as credit losses (1,570) (330) (1,240) Other comprehensive income 97,199 20,455 76,744 June 30, 2020 $ 65,730 $ 12,974 $ 52,756 ($ in thousands) Gross Tax Net March 31, 2019 $ 5,257 $ (180) $ 5,437 Unrealized holding gains on fixed maturity securities 29,830 6,206 23,624 Amounts reclassified into net income 189 (28) 217 Other comprehensive income 29,641 6,234 23,407 June 30, 2019 $ 34,898 $ 6,054 $ 28,844 ($ in thousands) Gross Tax Net December 31, 2019 $ $ 8,670 $ 37,453 Unrealized holding gains on fixed maturity securities 22,241 4,749 17,492 Amounts reclassified into net income 4,620 862 3,758 Amounts reclassified as credit losses (1,986) (417) (1,569) Other comprehensive income 19,607 4,304 15,303 June 30, 2020 $ 65,730 $ 12,974 $ 52,756 ($ in thousands) Gross Tax Net December 31, 2018 $ (29,760) $ (7,445) $ (22,315) Unrealized holding gains on fixed maturity securities 64,633 13,447 51,186 Amounts reclassified into net income (25) (52) 27 Other comprehensive income 64,658 13,499 51,159 June 30, 2019 $ 34,898 $ 6,054 $ 28,844 The following table presents reclassifications out of AOCI attributable to the Company during the three and six months ended June 30, 2020 and 2019: Line in Consolidated Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) Statements of Operations 2020 2019 2020 2019 AOCI Unrealized gains (losses) on securities Realized investment gains, net $ 3,678 $ 189 $ 4,620 $ (25) Income tax expense 726 (28) 862 (52) Reclassification adjustment for credit losses included in net income Realized investment losses, net (1,570) — (1,986) — Income tax expense (330) — (417) — Total reclassifications $ 1,712 $ 217 $ 2,189 $ 27

Related-Party Information

Related-Party Information	6 Months Ended
	Jun. 30, 2020
Related-Party Information
Related-Party Information	8. Related-Party Information Loans to Executives and Equity Distribution The Company made loans of $4.2 million to certain executive officers, including the CEO. Most of the loans were made in connection with the settlement of RSUs and related tax withholdings . On March 15, 2019, all such loans were deemed repaid. On the same date, a special equity distribution of $4.2 million was made by the Company to the same executive officers, which was accounted for as a non-cash transaction on the Company’s consolidated balance sheets. Transition and Separation Agreement On May 3, 2019, the Company entered into a Transition and Separation Agreement (the “Separation Agreement”) with its former Chief Executive Officer (the “former CEO”). Under the Separation Agreement, the former CEO and the Company agreed to a general release of claims and his compliance with the restrictive covenants. The Company recorded no expense and an expense of $7.2 million for the three months ended June 30, 2020 and 2019, respectively, within other expense in the consolidated statements of operations relating to the severance payments and benefits payable to the former CEO. The Company recorded an expense of $0.3 million and $7.2 million for the six months ended June 30, 2020 and 2019, respectively, within other expense in the consolidated statements of operations relating to the severance payments and benefits payable to the former CEO. Per the terms of the Separation Agreement, the former CEO’s profit interests (“P Shares”) were forfeited and outstanding RSUs are treated in accordance with the terms of the applicable award agreements. Additionally, the Company cancelled 137,987 shares of common stock in July 2019, with no consideration as per the terms of the Separation Agreement. On January 23, 2020, the Company and the former CEO entered into an amendment to the Separation Agreement, which, among other things, provides that effective as of February 1, 2020, the former CEO resigned from his position as Executive Chairman of the Company.

Insurance Operations

Insurance Operations	6 Months Ended
	Jun. 30, 2020
Insurance Operations
Insurance Operations	9. Insurance Operations Total reinsurance ceded and assumed relating to written premiums, earned premiums and losses and loss adjustment expenses incurred, are as follows: Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) 2020 2019 2020 2019 Written premiums Direct written premiums $ 185,722 $ 234,306 $ 398,673 $ 489,291 Assumed from other companies 672 726 1,505 1,579 Ceded to other companies 29,771 24,464 53,372 70,400 Net written premiums $ 156,623 $ 210,568 $ 346,806 $ 420,470 Earned premiums Direct earned premiums $ 206,028 $ 231,088 $ 434,608 $ 454,090 Assumed from other companies 697 932 1,439 1,874 Ceded to other companies 25,096 29,540 48,756 57,876 Net earned premiums $ 181,629 $ 202,480 $ 387,291 $ 398,088 Percent of amount assumed to net Losses and loss adjustment expenses incurred Direct net losses and loss adjustment expenses incurred $ 120,680 $ 138,560 $ 265,057 $ 273,908 Assumed from other companies 1,984 2,113 627 4,932 Ceded to other companies 10,191 13,558 25,654 33,392 Net losses and loss adjustment expenses incurred $ 112,473 $ 127,115 $ 240,030 $ 245,448 In 2017, the Company ceded significant amounts of premium under the whole account quota share reinsurance agreements (“WAQS”). In 2018, the WAQS were terminated. To the extent of unearned premium at the time of termination, ceded written premiums, net of the ceding commission, was returned. In January 2020, the WAQS were commuted at no gain or loss to the Company. Allowances for Credit Losses The following table is rollforward of the receivable allowance balances related to the risk of credit default as of June 30, 2020: ($ in thousands) Six Months Ended June 30, 2020 December 31, 2019 Current Provision Write-offs Recoveries June 30, 2020 Premium receivable $ 5,056 $ 2,854 (204) — 7,706 Reinsurance receivable on paid and unpaid losses 505 201 — 706 Total receivable allowance $ 5,561 $ 3,055 (204) — 8,412 The allowance for credit loss for premium receivable is an assessment of ultimate non-collectability based on historical experience applicable to the respective current collection action status, age of the amount outstanding and expected collection costs. The majority of the allowance relates to audit premium on workers’ compensation coverages assessed during or after the period of coverage whereby there is limited ability to cancel or limit coverage. In the final collection action at the insured level, collection agencies are typically engaged. The amount with collection agencies as of June 30, 2020 was $5.7 million. The reinsurance receivable allowance for credit loss is based on sources of credit ratings of reinsurers and applies probabilities of default and loss given default to the total uncollateralized exposure including incurred but not reported (“IBNR”) by rating class. The amount of uncollateralized exposure on unrated or counterparties rated below investment grade at June 30, 2020 is $4.0 million. At June 30, 2020, 96.3% of uncollateralized exposures are rated above investment grade. Distribution Partners The three distribution partners contributing the largest amounts of direct written premium (excluding the distribution partner below) totaled $80.8 million and $80.4 million for the three months ended June 30, 2020 and 2019, respectively. The three distribution partners contributing the largest amounts of direct written premium (excluding the distribution partner below) totaled $146.9 million and $133.3 million for the six months ended June 30, 2020 and 2019, respectively. The Company negotiates with distribution partners to write direct premium on behalf of the Company’s affiliates. In January 2019, a distribution partner of the Company was acquired by a third-party insurance carrier. The Company does not anticipate any future premiums from this distribution partner other than audit premiums after the first quarter of 2019. Unpaid Losses Unpaid losses are based on individual case estimates for losses reported and include a provision for IBNR losses and loss adjustment expenses. The following table provides a roll forward of the Company’s reserve for unpaid losses and loss adjustment expenses: June 30 ($ in thousands) 2020 2019 Gross reserve for unpaid losses and loss expenses, at beginning of year $ 1,521,648 $ 1,396,812 Ceded reserve for unpaid losses and loss expenses, at beginning of year 193,952 185,295 Net reserve for unpaid losses and loss expenses, at beginning of year 1,327,696 1,211,517 Add: Incurred losses and loss expenses occurring in the: Current year 227,842 238,634 Prior years 508 (3,128) Prior years attributable to adjusted premium 11,680 9,942 Total net losses and loss adjustment expenses incurred 240,030 245,448 Less: Paid losses and loss expenses for claims occurring in the: Current year 12,168 18,725 Prior years 152,862 164,601 Total paid losses and loss expenses for claims 165,030 183,326 Net reserve for unpaid losses and loss expenses, at end of period 1,402,696 1,273,639 Ceded reserve for unpaid losses and loss expenses, at end of period 141,427 210,021 Gross reserve for unpaid losses and loss expenses, at end of period $ 1,544,123 $ 1,483,660 During the six months ended June 30, 2020, the Company’s reserve for unpaid losses and loss adjustment expenses for accident years 2019 and prior developed unfavorably by $0.5 million driven by $12.1 million unfavorable development in General Liability and $4.3 million unfavorable development in Commercial Multiple Peril offset by $8.3 million favorable development in Workers’ Compensation, $5.2 million favorable development in Commercial Auto and $2.4 million favorable development in All Other lines. In addition, the Company incurred $11.7 million of losses and loss adjustment expenses related to premium adjustments earned during the six months ended June 30, 2020 attributable to prior accident years 2019 and 2018. The unfavorable development in General Liability and Commercial Multiple Peril related to 2013 through 2017 accident years due largely to increased severities in the runoff components within the Other customer segment. The favorable development in Workers’ Compensation derived from lower than expected claims severity across all customer segments primarily in accident years 2013 and 2015 through 2017. The favorable development in Commercial Auto was derived by physical damage and liability property damage in accident year 2019. The favorable development in All Other lines was in Ocean Marine, Inland Marine, Fire and Surety lines of business. During the six months ended June 30, 2019, the Company’s estimated losses and loss expenses for accident years 2018 and prior developed favorably by $3.1 million driven by $14.5 million favorable development in Workers’ Compensation lines and $6.7 million favorable development in Auto Liability lines. The favorable experience was partially offset by $13.2 million in unfavorable development in General Liability lines and $4.6 million unfavorable development in Marine Liability lines within the All Other Lines category. The Company incurred $9.9 million of losses and loss adjustment expenses on earned premium attributable to prior accident years during the six months ended June 30, 2019.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2020
Income Taxes
Income Taxes	10. Income Taxes The Company is subject to the tax laws and regulations of the United States and various state jurisdictions. The Company files a consolidated federal tax return. The Company has one non-U.S. subsidiary, ProSight Specialty Bermuda Limited (“PSBL”), which has received an undertaking from the Minister of Finance in Bermuda that would exempt such company from Bermudian taxation until March 2035. In 2019, PSBL became a direct subsidiary of the Company and is subject to U.S. tax on its income. The Company uses the estimated annual effective tax rate method for calculating its tax provision in interim periods, which represents the Company’s best estimate of the effective tax rate expected for the full year. The estimated annual effective tax rate typically differs from the U.S. statutory tax rate primarily as a result of non-deductible expenses and discrete items recognized during the period. The Company’s effective tax rates were 21.6% and 21.8% for the three months ended June 30, 2020 and 2019, respectively. The decrease in the effective tax rate for the three months ended June 30, 2020 compared to the same period in 2019 was primarily due to the decrease in non-deductible expenses. The Company’s effective tax rates were 21.9% and 21.8% for the six months ended June 30, 2020 and 2019, respectively. The increase in the effective tax rate for the six months ended June 30, 2020 compared to the same period in 2019 was primarily due to the tax effect of share-based compensation. On March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The CARES Act, among other things, includes certain income tax provisions for individuals and corporations; however, these benefits do not impact the Company’s current tax provision.

Segment Information

Segment Information	6 Months Ended
	Jun. 30, 2020
Segment Information
Segment Information	11. Segment Information The Company has one reportable segment, Specialty Insurance segment, which primarily offers property and casualty insurance products through its customers segments that include Construction, Consumer Services, Marine and Energy, Media and Entertainment, Professional Services, Real Estate, Sports, and Transportation. The primary criteria to determine the Company’s reportable segment is based on the fact that the Company’s senior management reviews, assesses and allocates resources both on a financial and personnel basis on an entity-wide level. The following table provides a summary of the Company’s gross written premiums by customer segments within our Specialty Insurance segment. “Other” includes gross written premiums from; (i) primary and excess workers’ compensation coverage for exited Self-Insured Groups, (ii) niches exited prior to 2018, many with a concentration in commercial auto , (iii) certain fronting arrangements in which all premium written is ceded to a third party (iv) participation in industry pools, and (v) emerging new business . Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) 2020 2019 2020 2019 Customer Segment Construction $ 27,704 % $ 32,495 % $ 52,218 % $ 55,743 % Consumer Services 40,730 37,893 71,298 65,378 Marine and Energy 26,821 25,633 59,611 45,445 Media and Entertainment 17,454 32,402 47,921 62,094 Professional Services 31,891 29,104 61,589 58,666 Real Estate 47,273 46,614 80,488 75,349 Sports 4,688 6,898 14,253 14,748 Transportation (12,340) 18,985 9,127 49,742 Customer segment subtotal 184,221 230,024 396,505 427,165 Other 2,173 5,008 3,673 63,705 Specialty Insurance total $ 186,394 % $ 235,032 % $ 400,178 % $ 490,870 % The following table provides a summary of the Company’s gross written premiums by line of business within our Specialty Insurance segment: Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) 2020 2019 2020 2019 Line of Business Commercial Auto $ 20,649 % $ 54,296 23.1 % $ 60,980 % $ 96,080 19.6 % General Liability 81,876 83,156 35.4 160,409 154,451 31.5 Workers’ Compensation 20,420 34,921 14.9 49,241 124,983 25.4 Commercial Multiple Peril 10,928 17,040 7.2 27,293 36,674 7.5 All Other Lines 52,521 45,619 19.4 102,255 78,682 16.0 Specialty Insurance total $ 186,394 100.0 % $ 235,032 100.0 % $ 400,178 % $ 490,870 100.0 %

Earnings Per Share

Earnings Per Share	6 Months Ended
	Jun. 30, 2020
Earnings Per Share
Earnings Per Share	12. Earnings per Share The following table provides a reconciliation of the numerators and denominators of basic and diluted earnings per share (“EPS”): Continuing Operations Discontinued Operations (in thousands, except per share amounts) Income Shares Per Share Income Shares Per Share Three Months Ended June 30, 2020 (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Basic EPS: Net income available to common stockholders $ 17,283 43,810 $ 0.39 $ 279 43,810 $ 0.01 Effect of dilutive securities: Stock compensation plans 17 — 17 — Diluted EPS $ 17,283 43,827 $ 0.39 $ 279 43,827 $ 0.01 Continuing Operations Discontinued Operations (in thousands, except per share amounts) Income Shares Per Share Loss Shares Per Share Three Months Ended June 30, 2019 (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Basic EPS: Net income (loss) available to common stockholders $ 8,696 38,851 $ 0.22 $ (78) 38,851 $ — Effect of dilutive securities: Stock compensation plans 604 — 604 — Diluted EPS $ 8,696 39,455 $ 0.22 $ (78) 39,455 $ — Continuing Operations Discontinued Operations (in thousands, except per share amounts) Income Shares Per Share Income Shares Per Share Six Months Ended June 30, 2020 (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Basic EPS: Net income available to common stockholders $ 24,094 43,866 $ 0.55 $ 536 43,866 $ 0.01 Effect of dilutive securities: Stock compensation plans 190 — 190 — Diluted EPS $ 24,094 44,056 $ 0.55 $ 536 44,056 $ 0.01 Continuing Operations Discontinued Operations (in thousands, except per share amounts) Income Shares Per Share Loss Shares Per Share Six Months Ended June 30, 2019 (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Basic EPS: Net income (loss) available to common stockholders $ 22,391 38,851 $ 0.58 $ (333) 38,851 $ (0.01) Effect of dilutive securities: Stock compensation plans 604 604 — Diluted EPS $ 22,391 39,455 $ 0.57 $ (333) 39,455 $ (0.01)

Share-Based Compensation

Share-Based Compensation	6 Months Ended
	Jun. 30, 2020
Share-Based Compensation
Share-Based Compensation	13. Share-Based Compensation On July 24, 2019, the Company’s 2019 Equity Incentive Plan (the “2019 Plan”) became effective immediately prior to the effectiveness of the registration statement filed in connection with the IPO. The 2019 Plan provides for the grant of stock options, stock appreciation rights, restricted shares, RSUs, dividend equivalent rights, performance-based shares or other equity‑based or equity-related awards. The 2019 Plan is administered by the compensation committee of the Company’s Board of Directors. Subject to the provisions of the 2019 Plan, the compensation committee determines in its discretion, the persons to whom and the times at which awards are granted, the size of awards (subject to certain limitations set forth in the compensation committee charter) and the terms and conditions of awards. A total of 4,500,000 shares of common stock are initially authorized and reserved for issuance under the 2019 Plan, including shares underlying RSUs granted under the Company’s Amended and Restated 2010 Equity Incentive Plan. The following table summarizes the stock-based compensation transactions for the 2019 Plan for the six months ended June 30, 2020: Number of Weighted Average Grant Date Shares Fair Value Per Share Unvested at December 31, 2019 1,289,396 $ 14.00 Granted 587,612 $ 12.42 Vested (106,460) $ 8.91 Forfeited (5,358) $ 14.00 Unvested at June 30, 2020 1,765,190 $ 13.77 As of June 30, 2020, The Company had approximately $16.9 million of total unrecognized stock-based compensation expense expected to be recognized over a weighted-average period of 2.1 years.

Debt

Debt	6 Months Ended
	Jun. 30, 2020
Debt
Debt	14. Debt Recent Financing Transactions Termination of the Prior Credit Agreement The Company, as borrower, was a party to a revolving loan agreement (the “Prior Credit Agreement”) dated January 29, 2018 and amended on March 15, 2019, for $50.0 million which was scheduled to mature on the earlier of (i) March 15, 2022, or (ii) 91 days before maturity of the Company’s 7.5% Senior Unsecured Notes due November 2020 and the Company’s 6.5% Senior Unsecured Notes due November 2020 (collectively, the “Notes”) or, if the Notes are amended or replaced, 91 days before the maturity of such amendment or replacement. The Company exercised its termination rights under the Prior Credit Agreement on June 12, 2020. There were no borrowings under the Prior Credit Agreement on the date of termination. Credit Agreement On June 12, 2020 (the “Effective Date”), the Company entered into a credit agreement (the “Credit Agreement”) with third-party lenders and an administrative agent. The Credit Agreement, which matures on June 11, 2023 (the “Maturity Date”), provides for (i) a delayed draw term loan facility in the aggregate principal amount of up to $165.0 million (the “Term Loan Facility”), and (ii) an uncommitted revolving credit facility of up to $35.0 million (the “Revolving Credit Facility”), for which commitments had not been obtained as of the closing date. Interest on borrowings under the Term Loan Facility and the Revolving Credit Facility are calculated at each drawdown date based on variable rates described in the Credit Agreement. Issuance costs of $4.5 million related to the Credit Agreement were incurred and are amortized over the life of the loan. There were no borrowings under the Credit Agreement as of June 30, 2020. Incremental Facility Agreement On June 30, 2020, the Company entered into an Incremental Facility Agreement and Amendment (the “Agreement”), in the aggregate amount of $65.0 million, subject to the terms of the Credit Agreement. The Agreement had lenders commit to the previously uncommitted Revolving Credit Facility, and increased the available amount from the $35.0 million noted above to an aggregate of $65.0 million. There were no borrowings under the Agreement as of June 30, 2020. On July 14, 2020, the Company drew down $5.0 million on the Revolving Credit Facility and on August 3, 2020, the Company drew down $30.0 million on the Revolving Credit Facility, primarily to make capital contributions to its insurance subsidiaries. Secured Loan Payable In June 2020, the Company entered into a $24.9 million lease transaction that for accounting purposes is treated as a loan secured by a portion of the Company’s fixed assets and capitalized software, payable at 4.83% interest with a maturity date of July 1, 2025 and providing for monthly interest and principal payments.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies
Commitments and Contingencies	15. Commitments and Contingencies Leases The Company determines if an arrangement is a lease on the commencement date of the contract. The right-of-use assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. The right-of-use assets and lease liabilities are measured by the present value of the future minimum lease payments over the lease term. The Company uses the rate implicit in the lease whenever that rate is readily determinable. If the rate implicit in the lease is not readily determinable, the Company uses its incremental borrowing rate. The right-of-use asset is then adjusted to exclude lease incentives. Certain leases may contain rental escalation, renewal options and/or termination options that are factored into our determination of lease payments when appropriate. Variable lease payment amounts that cannot be determined at the commencement of the lease are not included in the right-to-use assets or lease liabilities. L eases covering a period of fewer than 12 months are not recorded on the Company’s consolidated balance sheets. Rent expense is calculated using the straight-line method. The Company leases certain facilities and equipment under non-cancelable lease agreements that expire at various dates through 2025, which are generally renewed or replaced by similar leases. The lease agreements do not contain any material restrictive covenants, do not contain any conditions of residual value guarantees and are substantially all considered to be operating leases. The Company’s leases relate to office facilities in New Jersey, New York, California, Florida, Georgia and the U.K. The weighted average lease term was 2.8 years and the weighted average discount rate was 2.0%. Rent expense for the three and six months ended June 30, 2020 was $0.8 million and $1.6 million. The following table presents the Company’s lease liabilities and right-of-use assets related to operating leases as of June 30, 2020: ($ in thousands) June 30, 2020 One year or less $ 3,025 More than one year to two years 1,677 More than two years to three years — More than three years to four years — More than four years to five years — More than five years — Total undiscounted future minimum lease payments 4,702 Less: difference between lease payments and discounted lease liabilities 78 Lease liabilities $ 4,624 Right-of-use assets $ 4,117 Prepaid lease assets, net of lease allowances and incentives 507 Total $ 4,624 The right-of-use assets are reported as a component of other assets and the lease liabilities are reported as a component of other liabilities on the Company’s consolidated balance sheets.

Legal Proceedings

Legal Proceedings	6 Months Ended
	Jun. 30, 2020
Legal Proceedings
Legal Proceedings	16. Legal Proceedings In the normal course of business, the Company’s insurance subsidiaries are subject to disputes, including litigation and arbitration, arising out of the ordinary course of business. The Company’s estimates of the costs of settling such matters are reflected in its reserves for losses and loss expenses, and the Company does not believe that the ultimate outcome of such matters will have a material adverse effect on its financial condition or results of operations.

Basis of Reporting (Policies)

Basis of Reporting (Policies)	6 Months Ended
	Jun. 30, 2020
Basis of Reporting
Use of Estimates	Use of Estimates The preparation of the unaudited interim consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the financial statement balances, as well as disclosure of contingent assets and liabilities. Actual results could differ from those estimates. Management periodically reviews its estimates and assumptions.

Supplemental Cash Flow (Tables)

Supplemental Cash Flow (Tables)	6 Months Ended
	Jun. 30, 2020
Supplemental Cash Flow
Summary of supplemental cash flow information	Six Months Ended June 30 ($ in thousands) 2020 2019 Cash paid during the period for: Interest $ 6,187 $ 6,566 Non-cash activity: Operating lease right-of-use assets due to the adoption of ASU 2016-02 - continuing operations $ 4,117 $ — Operating lease right-of-use assets due to the adoption of ASU 2016-02 - discontinued operations $ 2,174 $ — Operating lease liabilities due to the adoption of ASU 2016-02 - continuing operations $ 4,624 $ — Operating lease liabilities due to the adoption of ASU 2016-02 - discontinued operations $ 2,526 $ — Tax benefit on payments related to offering costs $ 635 $ —

Discontinued Operations (Tables

Discontinued Operations (Tables)	6 Months Ended
	Jun. 30, 2020
Discontinued Operations
Summary of results of operations and carrying amounts of assets and liabilities for discontinued operations	June 30, December 31, ($ in thousands) 2020 2019 Assets Cash and investments $ 10,120 $ 10,428 Other assets 13,051 11,156 Total assets $ 23,171 $ 21,584 Liabilities Reserve for unpaid losses and loss adjustment expenses $ 24,146 $ 24,169 Other liabilities 9,371 7,409 Total liabilities $ 33,517 $ 31,578

Investments (Tables)

Investments (Tables)	6 Months Ended
	Jun. 30, 2020
Investments
Summary of gross unrealized gains and losses on fixed maturity securities included in assets	(a) The gross unrealized gains and losses on fixed maturity securities included in assets from continuing operations at June 30, 2020, are as follows: Cost/ Gross Gross Amortized Credit Loss Unrealized Unrealized Fair ($ in thousands) Cost Allowance Gains Losses Value Fixed maturity securities: U.S. Treasury securities $ 36,265 $ — $ 2,204 $ — $ 38,469 Government agency securities 28,358 — 526 — 28,884 Corporate debt securities 1,302,996 (615) 65,651 (15,795) 1,352,237 Municipal debt obligations 158,464 — 5,623 (792) 163,295 ABS 49,723 (275) 347 (1,064) 48,731 CLO 175,687 (6) 41 (7,201) 168,521 CMBS 99,218 — 5,245 (986) 103,477 RMBS - non-agency 115,588 (1,089) 6,369 (2,008) 118,860 RMBS - agency 136,690 — 3,616 — 140,306 Total fixed maturity securities $ 2,102,989 $ (1,985) $ 89,622 $ (27,846) $ 2,162,780 The gross unrealized gains and losses on fixed maturity securities included in assets from continuing operations at December 31, 2019, are as follows: Cost/ Gross Gross Amortized Unrealized Unrealized Fair ($ in thousands) Cost Gains Losses Value Fixed maturity securities: U.S. Treasury securities $ 49,161 $ 838 $ (14) $ 49,985 Government agency securities 6,522 23 (14) 6,531 Corporate debt securities 1,308,094 33,743 (3,025) 1,338,812 Municipal debt obligations 80,338 243 (766) 79,815 ABS 73,068 854 (340) 73,582 CLO 181,704 125 (2,280) 179,549 CMBS 95,810 1,863 (147) 97,526 RMBS - non-agency 62,343 9,458 (191) 71,610 RMBS - agency 142,363 1,256 (347) 143,272 Total fixed maturity securities $ 1,999,403 $ 48,403 $ (7,124) $ 2,040,682
Summary of all securities in an unrealized loss position, the fair value and gross unrealized loss by asset class and by length of time those securities have been in a loss position	(b) The following table summarizes the fair values and gross unrealized losses for fixed maturity securities in an unrealized loss position at June 30, 2020, grouped by asset class and by duration of time in a continuous unrealized loss position: Less Than 12 Months Greater Than 12 Months Total Total Fair Unrealized Fair Unrealized Total Unrealized ($ in thousands) Value Losses Value Losses Fair Value Losses Corporate debt securities $ 131,043 $ (10,502) $ 76,754 $ (5,293) $ 207,797 $ (15,795) Municipal debt obligations 25,587 (456) 11,372 (336) 36,959 (792) ABS 9,504 (693) 16,883 (371) 26,387 (1,064) CLO 47,434 (1,278) 116,188 (5,923) 163,622 (7,201) CMBS 16,564 (859) 4,725 (127) 21,289 (986) RMBS - non-agency 36,568 (1,189) 9,317 (819) 45,885 (2,008) Total fixed maturity securities $ 266,700 $ (14,977) $ 235,239 $ (12,869) $ 501,939 $ (27,846) The following table summarizes the fair values and gross unrealized losses for fixed maturity securities in an unrealized loss position at December 31, 2019, grouped by asset class and by duration of time in a continuous unrealized loss position: Less Than 12 Months Greater Than 12 Months Total Total Fair Unrealized Fair Unrealized Total Unrealized ($ in thousands) Value Losses Value Losses Fair Value Losses U.S. Treasury securities $ — $ — $ 7,469 $ (14) $ 7,469 $ (14) Government agency securities 3,192 (14) — — 3,192 (14) Corporate debt securities 133,341 (2,509) 50,695 (516) 184,036 (3,025) Municipal debt obligations 66,355 (766) — — 66,355 (766) ABS 27,884 (175) 11,165 (165) 39,049 (340) CLO 28,485 (338) 110,825 (1,942) 139,310 (2,280) CMBS 18,307 (102) 6,053 (45) 24,360 (147) RMBS - non-agency 2,173 (14) 2,418 (177) 4,591 (191) RMBS - agency 10,450 (12) 12,367 (335) 22,817 (347) Total fixed maturity securities $ 290,187 $ (3,930) $ 200,992 $ (3,194) $ 491,179 $ (7,124)
Rollforward of the credit losses allowance for fixed maturity securities	December 31, Additions Reduction Reduction Change in Securities June 30, ($ in thousands) 2019 New Securities Sales Intent to Sell with Previous Allowance 2020 Fixed maturity securities: Corporate debt securities $ — $ 615 $ — $ — $ — $ 615 ABS — 275 — — — 275 CLO — 6 — — — 6 RMBS - non-agency — 1,090 (1) — — 1,089 Total fixed maturity securities allowance $ — $ 1,986 $ (1) $ — $ — $ 1,985
Summary of amortized cost and fair value of fixed maturity securities	June 30, 2020 Amortized Fair ($ in thousands) Cost Value Due in one year or less $ 107,187 $ 108,224 Due after one through five years 641,649 661,544 Due after five through ten years 494,186 520,225 Due after ten years 254,703 264,008 1,497,725 1,554,001 Structured securities: Government agency securities 28,358 28,884 ABS 49,723 48,731 CLO 175,687 168,521 CMBS 99,218 103,477 RMBS - non-agency 115,588 118,860 RMBS - agency 136,690 140,306 Total fixed maturity securities $ 2,102,989 $ 2,162,780
Summary of net investment income included in net income from continuing operations	Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) 2020 2019 2020 2019 Fixed maturity securities $ 15,849 $ 16,531 $ 32,131 $ 32,650 Commercial levered loans 139 159 234 378 Net limited partnerships and limited liability companies gains 8,131 1,143 1,254 2,394 Other 322 92 312 181 Gross investment income 24,441 17,925 33,931 35,603 Less: investment income attributable to funds withheld liabilities 118 141 254 283 Less: expenses 532 386 1,071 764 Net investment income $ 23,791 $ 17,398 $ 32,606 $ 34,556

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2020
Fair Value Measurements
Summary of major categories of assets measured at fair value on a recurring basis	June 30, 2020 ($ in thousands) Level 1 Level 2 Level 3 Total Fixed maturity securities: U.S. Treasury securities $ — $ 38,469 $ — $ 38,469 Government agency securities — 28,884 — 28,884 Corporate debt securities — 1,190,160 162,077 1,352,237 Municipal debt obligations — 163,295 — 163,295 ABS — 48,731 — 48,731 CLO — 168,521 — 168,521 CMBS — 103,477 — 103,477 RMBS - non agency — 118,860 — 118,860 RMBS - agency — 140,306 — 140,306 Total fixed maturity securities — 2,000,703 162,077 2,162,780 Non-redeemable preferred stock securities — 11,785 — 11,785 Total categorized $ — $ 2,012,488 $ 162,077 $ 2,174,565 Investments measured at net asset value: Limited partnerships and limited liability companies 79,717 Total of invested assets carried at fair value $ 2,254,282 December 31, 2019 ($ in thousands) Level 1 Level 2 Level 3 Total Fixed maturity securities: U.S. Treasury securities $ — $ 49,985 $ — $ 49,985 Government agency securities — 6,531 — 6,531 Corporate debt securities — 1,189,181 149,631 1,338,812 Municipal debt obligations — 79,815 — 79,815 ABS — 73,582 — 73,582 CLO — 179,549 — 179,549 CMBS — 97,526 — 97,526 RMBS - non agency — 71,610 — 71,610 RMBS - agency — 143,272 — 143,272 Total categorized $ — $ 1,891,051 $ 149,631 $ 2,040,682 Investments measured at net asset value: Limited partnerships and limited liability companies 66,660 Total of invested assets carried at fair value $ 2,107,342
Summary of carrying value and fair value of financial instruments that are not recognized or are not carried at fair value	June 30, 2020 Carrying Fair Value ($ in thousands) Value Total Level 1 Level 2 Level 3 Assets Commercial levered loans $ 13,463 $ 12,628 $ — $ — $ 12,628 Liabilities Notes payable $ 165,000 $ 166,961 $ — $ 166,961 $ — Unamortized debt issuance costs (138) Notes payable, net of debt issuance costs $ 164,862 Secured loan payable $ 24,997 $ 24,997 $ — $ 24,997 $ — Unamortized debt issuance costs — Secured loan payable, net of issuance costs $ 24,997 December 31, 2019 Carrying Fair Value ($ in thousands) Value Total Level 1 Level 2 Level 3 Assets Commercial levered loans $ 14,069 $ 13,950 $ — $ — $ 13,950 Liabilities Notes payable $ 165,000 $ 167,507 $ — $ 167,507 $ — Unamortized debt issuance costs (307) Notes payable, net of debt issuance costs $ 164,693
Summary of the changes in the fair value of securities measured using Level 3 inputs	Level 3 Corporate Debt ($ in thousands) Securities Fair value, December 31, 2019 $ 149,631 Total net losses for the period included in: Other comprehensive loss (8,563) Net realized loss (2) Purchases 22,634 Sales — Issuances — Settlements (1,623) Transfers into Level 3 — Transfers out of Level 3 — Fair value, June 30, 2020 $ 162,077 Level 3 Corporate Debt ($ in thousands) Securities Fair value, December 31, 2018 $ 126,497 Total net gains (losses) for the period included in: Other comprehensive income 921 Net realized loss (71) Purchases 3,516 Sales — Issuances — Settlements (2,845) Transfers into Level 3 — Transfers out of Level 3 — Fair value, June 30, 2019 $ 128,018

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive (Loss) Income (Tables)	6 Months Ended
	Jun. 30, 2020
Accumulated Other Comprehensive (Loss) Income [Abstract]
Summary of the components of accumulated other comprehensive (loss) income	($ in thousands) Gross Tax Net March 31, 2020 $ (31,469) $ (7,481) $ (23,988) Unrealized holding gains on fixed maturity securities 99,307 20,851 78,456 Amounts reclassified into net income 3,678 726 2,952 Amounts reclassified as credit losses (1,570) (330) (1,240) Other comprehensive income 97,199 20,455 76,744 June 30, 2020 $ 65,730 $ 12,974 $ 52,756 ($ in thousands) Gross Tax Net March 31, 2019 $ 5,257 $ (180) $ 5,437 Unrealized holding gains on fixed maturity securities 29,830 6,206 23,624 Amounts reclassified into net income 189 (28) 217 Other comprehensive income 29,641 6,234 23,407 June 30, 2019 $ 34,898 $ 6,054 $ 28,844 ($ in thousands) Gross Tax Net December 31, 2019 $ $ 8,670 $ 37,453 Unrealized holding gains on fixed maturity securities 22,241 4,749 17,492 Amounts reclassified into net income 4,620 862 3,758 Amounts reclassified as credit losses (1,986) (417) (1,569) Other comprehensive income 19,607 4,304 15,303 June 30, 2020 $ 65,730 $ 12,974 $ 52,756 ($ in thousands) Gross Tax Net December 31, 2018 $ (29,760) $ (7,445) $ (22,315) Unrealized holding gains on fixed maturity securities 64,633 13,447 51,186 Amounts reclassified into net income (25) (52) 27 Other comprehensive income 64,658 13,499 51,159 June 30, 2019 $ 34,898 $ 6,054 $ 28,844
Summary of reclassifications out of accumulated other comprehensive (loss) income	Line in Consolidated Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) Statements of Operations 2020 2019 2020 2019 AOCI Unrealized gains (losses) on securities Realized investment gains, net $ 3,678 $ 189 $ 4,620 $ (25) Income tax expense 726 (28) 862 (52) Reclassification adjustment for credit losses included in net income Realized investment losses, net (1,570) — (1,986) — Income tax expense (330) — (417) — Total reclassifications $ 1,712 $ 217 $ 2,189 $ 27

Insurance Operations (Tables)

Insurance Operations (Tables)	6 Months Ended
	Jun. 30, 2020
Insurance Operations
Summary of reinsurance ceded and assumed relating to premiums written, earned premiums and losses and loss adjustment expenses	Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) 2020 2019 2020 2019 Written premiums Direct written premiums $ 185,722 $ 234,306 $ 398,673 $ 489,291 Assumed from other companies 672 726 1,505 1,579 Ceded to other companies 29,771 24,464 53,372 70,400 Net written premiums $ 156,623 $ 210,568 $ 346,806 $ 420,470 Earned premiums Direct earned premiums $ 206,028 $ 231,088 $ 434,608 $ 454,090 Assumed from other companies 697 932 1,439 1,874 Ceded to other companies 25,096 29,540 48,756 57,876 Net earned premiums $ 181,629 $ 202,480 $ 387,291 $ 398,088 Percent of amount assumed to net Losses and loss adjustment expenses incurred Direct net losses and loss adjustment expenses incurred $ 120,680 $ 138,560 $ 265,057 $ 273,908 Assumed from other companies 1,984 2,113 627 4,932 Ceded to other companies 10,191 13,558 25,654 33,392 Net losses and loss adjustment expenses incurred $ 112,473 $ 127,115 $ 240,030 $ 245,448
Premium receivable allowance rollforward	($ in thousands) Six Months Ended June 30, 2020 December 31, 2019 Current Provision Write-offs Recoveries June 30, 2020 Premium receivable $ 5,056 $ 2,854 (204) — 7,706 Reinsurance receivable on paid and unpaid losses 505 201 — 706 Total receivable allowance $ 5,561 $ 3,055 (204) — 8,412
Summary of unpaid losses	June 30 ($ in thousands) 2020 2019 Gross reserve for unpaid losses and loss expenses, at beginning of year $ 1,521,648 $ 1,396,812 Ceded reserve for unpaid losses and loss expenses, at beginning of year 193,952 185,295 Net reserve for unpaid losses and loss expenses, at beginning of year 1,327,696 1,211,517 Add: Incurred losses and loss expenses occurring in the: Current year 227,842 238,634 Prior years 508 (3,128) Prior years attributable to adjusted premium 11,680 9,942 Total net losses and loss adjustment expenses incurred 240,030 245,448 Less: Paid losses and loss expenses for claims occurring in the: Current year 12,168 18,725 Prior years 152,862 164,601 Total paid losses and loss expenses for claims 165,030 183,326 Net reserve for unpaid losses and loss expenses, at end of period 1,402,696 1,273,639 Ceded reserve for unpaid losses and loss expenses, at end of period 141,427 210,021 Gross reserve for unpaid losses and loss expenses, at end of period $ 1,544,123 $ 1,483,660

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
	Jun. 30, 2020
Segment Information
Summary of gross written premiums by customer segments	Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) 2020 2019 2020 2019 Customer Segment Construction $ 27,704 % $ 32,495 % $ 52,218 % $ 55,743 % Consumer Services 40,730 37,893 71,298 65,378 Marine and Energy 26,821 25,633 59,611 45,445 Media and Entertainment 17,454 32,402 47,921 62,094 Professional Services 31,891 29,104 61,589 58,666 Real Estate 47,273 46,614 80,488 75,349 Sports 4,688 6,898 14,253 14,748 Transportation (12,340) 18,985 9,127 49,742 Customer segment subtotal 184,221 230,024 396,505 427,165 Other 2,173 5,008 3,673 63,705 Specialty Insurance total $ 186,394 % $ 235,032 % $ 400,178 % $ 490,870 %
Summary of gross written premiums by line of business across customer segments	Three Months Ended June 30 Six Months Ended June 30 ($ in thousands) 2020 2019 2020 2019 Line of Business Commercial Auto $ 20,649 % $ 54,296 23.1 % $ 60,980 % $ 96,080 19.6 % General Liability 81,876 83,156 35.4 160,409 154,451 31.5 Workers’ Compensation 20,420 34,921 14.9 49,241 124,983 25.4 Commercial Multiple Peril 10,928 17,040 7.2 27,293 36,674 7.5 All Other Lines 52,521 45,619 19.4 102,255 78,682 16.0 Specialty Insurance total $ 186,394 100.0 % $ 235,032 100.0 % $ 400,178 % $ 490,870 100.0 %

Earnings Per Share (Tables)

Earnings Per Share (Tables)	6 Months Ended
	Jun. 30, 2020
Earnings Per Share
Summary of reconciliation of the numerators and denominators of basic and diluted EPS	Continuing Operations Discontinued Operations (in thousands, except per share amounts) Income Shares Per Share Income Shares Per Share Three Months Ended June 30, 2020 (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Basic EPS: Net income available to common stockholders $ 17,283 43,810 $ 0.39 $ 279 43,810 $ 0.01 Effect of dilutive securities: Stock compensation plans 17 — 17 — Diluted EPS $ 17,283 43,827 $ 0.39 $ 279 43,827 $ 0.01 Continuing Operations Discontinued Operations (in thousands, except per share amounts) Income Shares Per Share Loss Shares Per Share Three Months Ended June 30, 2019 (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Basic EPS: Net income (loss) available to common stockholders $ 8,696 38,851 $ 0.22 $ (78) 38,851 $ — Effect of dilutive securities: Stock compensation plans 604 — 604 — Diluted EPS $ 8,696 39,455 $ 0.22 $ (78) 39,455 $ — Continuing Operations Discontinued Operations (in thousands, except per share amounts) Income Shares Per Share Income Shares Per Share Six Months Ended June 30, 2020 (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Basic EPS: Net income available to common stockholders $ 24,094 43,866 $ 0.55 $ 536 43,866 $ 0.01 Effect of dilutive securities: Stock compensation plans 190 — 190 — Diluted EPS $ 24,094 44,056 $ 0.55 $ 536 44,056 $ 0.01 Continuing Operations Discontinued Operations (in thousands, except per share amounts) Income Shares Per Share Loss Shares Per Share Six Months Ended June 30, 2019 (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount Basic EPS: Net income (loss) available to common stockholders $ 22,391 38,851 $ 0.58 $ (333) 38,851 $ (0.01) Effect of dilutive securities: Stock compensation plans 604 604 — Diluted EPS $ 22,391 39,455 $ 0.57 $ (333) 39,455 $ (0.01)

Share-Based Compensation (Table

Share-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2020
Share-Based Compensation
Schedule of stock-based compensation transactions	Number of Weighted Average Grant Date Shares Fair Value Per Share Unvested at December 31, 2019 1,289,396 $ 14.00 Granted 587,612 $ 12.42 Vested (106,460) $ 8.91 Forfeited (5,358) $ 14.00 Unvested at June 30, 2020 1,765,190 $ 13.77

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2020
Commitments and Contingencies
Schedule of lease liabilities and right-of-use lease assets	($ in thousands) June 30, 2020 One year or less $ 3,025 More than one year to two years 1,677 More than two years to three years — More than three years to four years — More than four years to five years — More than five years — Total undiscounted future minimum lease payments 4,702 Less: difference between lease payments and discounted lease liabilities 78 Lease liabilities $ 4,624 Right-of-use assets $ 4,117 Prepaid lease assets, net of lease allowances and incentives 507 Total $ 4,624

Basis of Reporting (Details)

Basis of Reporting (Details)	Jul. 25, 2019
Basis of Reporting
Conversion ratio of PGHL shares to Company shares	6.46

Recently Adopted Accounting S_2

Recently Adopted Accounting Standards (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Jan. 01, 2020
Recently adopted accounting standards
Operating lease right-of-use asset, continuing operations	$ 4,624
Operating lease liability, continuing operations	$ 4,624
ASU 2016-02
Recently adopted accounting standards
Operating lease right-of-use asset, continuing operations		$ 5,600
Operating lease liability, continuing operations		6,300
Operating lease right-of-use asset, discontinued operations		2,500
Operating lease liability, discontinued operations		$ 3,000

Supplemental Cash Flow (Details

Supplemental Cash Flow (Details)	1 Months Ended
	Jun. 30, 2020shares
Supplemental cash flow information
Shares withheld to settle tax withholding on vested RSUs	154,629
Net shares issued upon settlement of vested RSUs	284,133

Supplemental Cash Flow - Summar

Supplemental Cash Flow - Summary of supplemental cash flow information (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2020	Jun. 30, 2019
Supplemental Cash Flow
Interest		$ 6,187	$ 6,566
Operating lease right-of-use assets due to adoption of ASU 2016-02 - continuing operations		4,117
Operating lease right-of-use assets due to adoption of ASU 2016-02 - discontinued operations		2,174
Operating lease liabilities due to adoption of ASU 2016-02 - continuing operations		4,624
Operating lease liabilities due to adoption of ASU 2016-02 - discontinued operations		2,526
Tax benefit on payments related to offering costs	$ 635	$ 635

Discontinued Operations - Conso

Discontinued Operations - Consolidated Balance Sheets (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Net income (loss)
Net income (loss) from discontinued operations	$ 279	$ (78)	$ 536	$ (333)
Assets
Total assets	23,171		23,171		$ 21,584
Liabilities
Total liabilities	33,517		33,517		31,578
Insurance Operations, U.K. | Discontinued operation
Net income (loss)
Net income (loss) from discontinued operations	300	$ (100)	500	$ (300)
Assets
Cash and investments	10,120		10,120		10,428
Other assets	13,051		13,051		11,156
Total assets	23,171		23,171		21,584
Liabilities
Reserve for unpaid losses and loss adjustment expenses	24,146		24,146		24,169
Other liabilities	9,371		9,371		7,409
Total liabilities	$ 33,517		$ 33,517		$ 31,578

Investments - Gross Unrealized

Investments - Gross Unrealized Gains and Losses on AFS Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	$ 2,102,989	$ 1,999,403
Fair Value	2,162,780	2,040,682
Short-term Investments	496	43,873
Commercial levered loans (amortized cost)	13,463	14,069
Limited partnerships and limited liability companies (fair value)	79,717	66,660
Total investments	2,268,241	2,165,284
Fixed maturity securities
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	2,102,989	1,999,403
Credit Loss Allowance	(1,985)
Gross Unrealized Gains	89,622	48,403
Gross Unrealized Losses	(27,846)	(7,124)
Fair Value	2,162,780	2,040,682
Fixed maturity securities | U.S. Treasury securities
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	36,265	49,161
Gross Unrealized Gains	2,204	838
Gross Unrealized Losses		(14)
Fair Value	38,469	49,985
Fixed maturity securities | Government agency securities
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	28,358	6,522
Gross Unrealized Gains	526	23
Gross Unrealized Losses		(14)
Fair Value	28,884	6,531
Fixed maturity securities | Corporate debt securities
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	1,302,996	1,308,094
Credit Loss Allowance	(615)
Gross Unrealized Gains	65,651	33,743
Gross Unrealized Losses	(15,795)	(3,025)
Fair Value	1,352,237	1,338,812
Fixed maturity securities | Municipal debt obligations
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	158,464	80,338
Gross Unrealized Gains	5,623	243
Gross Unrealized Losses	(792)	(766)
Fair Value	163,295	79,815
Fixed maturity securities | ABS
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	49,723	73,068
Credit Loss Allowance	(275)
Gross Unrealized Gains	347	854
Gross Unrealized Losses	(1,064)	(340)
Fair Value	48,731	73,582
Fixed maturity securities | CLO
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	175,687	181,704
Credit Loss Allowance	(6)
Gross Unrealized Gains	41	125
Gross Unrealized Losses	(7,201)	(2,280)
Fair Value	168,521	179,549
Fixed maturity securities | CMBS
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	99,218	95,810
Gross Unrealized Gains	5,245	1,863
Gross Unrealized Losses	(986)	(147)
Fair Value	103,477	97,526
Fixed maturity securities | RMBS - non-agency
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	115,588	62,343
Credit Loss Allowance	(1,089)
Gross Unrealized Gains	6,369	9,458
Gross Unrealized Losses	(2,008)	(191)
Fair Value	118,860	71,610
Fixed maturity securities | RMBS - agency
Gross unrealized gains and losses on fixed maturity securities included in assets
Fixed maturity securities, available-for-sale, amortized cost	136,690	142,363
Gross Unrealized Gains	3,616	1,256
Gross Unrealized Losses		(347)
Fair Value	$ 140,306	$ 143,272

Investments - Unrealized Loss P

Investments - Unrealized Loss Position (Details) $ in Thousands	Jun. 30, 2020USD ($)security	Dec. 31, 2019USD ($)security
Unrealized Losses
Fixed maturity securities, unrealized loss position | security	286	313
Fixed maturity securities
Fair Value
Less Than 12 Months	$ 266,700	$ 290,187
Greater Than 12 Months	235,239	200,992
Total Fair Value	501,939	491,179
Unrealized Losses
Less Than 12 Months	(14,977)	(3,930)
Greater Than 12 Months	(12,869)	(3,194)
Total Unrealized Losses	(27,846)	(7,124)
Credit loss allowance for fixed maturity securities	1,985
Fixed maturity securities | U.S. Treasury securities
Fair Value
Greater Than 12 Months		7,469
Total Fair Value		7,469
Unrealized Losses
Greater Than 12 Months		(14)
Total Unrealized Losses		(14)
Fixed maturity securities | Government agency securities
Fair Value
Less Than 12 Months		3,192
Total Fair Value		3,192
Unrealized Losses
Less Than 12 Months		(14)
Total Unrealized Losses		(14)
Fixed maturity securities | Corporate debt securities
Fair Value
Less Than 12 Months	131,043	133,341
Greater Than 12 Months	76,754	50,695
Total Fair Value	207,797	184,036
Unrealized Losses
Less Than 12 Months	(10,502)	(2,509)
Greater Than 12 Months	(5,293)	(516)
Total Unrealized Losses	(15,795)	(3,025)
Credit loss allowance for fixed maturity securities	615
Fixed maturity securities | Municipal debt obligations
Fair Value
Less Than 12 Months	25,587	66,355
Greater Than 12 Months	11,372
Total Fair Value	36,959	66,355
Unrealized Losses
Less Than 12 Months	(456)	(766)
Greater Than 12 Months	(336)
Total Unrealized Losses	(792)	(766)
Fixed maturity securities | ABS
Fair Value
Less Than 12 Months	9,504	27,884
Greater Than 12 Months	16,883	11,165
Total Fair Value	26,387	39,049
Unrealized Losses
Less Than 12 Months	(693)	(175)
Greater Than 12 Months	(371)	(165)
Total Unrealized Losses	(1,064)	(340)
Credit loss allowance for fixed maturity securities	275
Fixed maturity securities | CLO
Fair Value
Less Than 12 Months	47,434	28,485
Greater Than 12 Months	116,188	110,825
Total Fair Value	163,622	139,310
Unrealized Losses
Less Than 12 Months	(1,278)	(338)
Greater Than 12 Months	(5,923)	(1,942)
Total Unrealized Losses	(7,201)	(2,280)
Credit loss allowance for fixed maturity securities	6
Fixed maturity securities | CMBS
Fair Value
Less Than 12 Months	16,564	18,307
Greater Than 12 Months	4,725	6,053
Total Fair Value	21,289	24,360
Unrealized Losses
Less Than 12 Months	(859)	(102)
Greater Than 12 Months	(127)	(45)
Total Unrealized Losses	(986)	(147)
Fixed maturity securities | RMBS - non-agency
Fair Value
Less Than 12 Months	36,568	2,173
Greater Than 12 Months	9,317	2,418
Total Fair Value	45,885	4,591
Unrealized Losses
Less Than 12 Months	(1,189)	(14)
Greater Than 12 Months	(819)	(177)
Total Unrealized Losses	(2,008)	(191)
Credit loss allowance for fixed maturity securities	$ 1,089
Fixed maturity securities | RMBS - agency
Fair Value
Less Than 12 Months		10,450
Greater Than 12 Months		12,367
Total Fair Value		22,817
Unrealized Losses
Less Than 12 Months		(12)
Greater Than 12 Months		(335)
Total Unrealized Losses		$ (347)

Investments - Rollforward of th

Investments - Rollforward of the credit losses allowance for fixed maturity securities (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2020
Additions New Securities	$ 1,600	$ 2,000
Fixed maturity securities
Additions New Securities		1,986
Reduction Sales		(1)
Ending Balance	1,985	1,985
Fixed maturity securities | Corporate debt securities
Additions New Securities		615
Ending Balance	615	615
Fixed maturity securities | ABS
Additions New Securities		275
Ending Balance	275	275
Fixed maturity securities | CLO
Additions New Securities		6
Ending Balance	6	6
Fixed maturity securities | RMBS - non-agency
Additions New Securities		1,090
Reduction Sales		(1)
Ending Balance	$ 1,089	$ 1,089

Investments - Amortized Cost an

Investments - Amortized Cost and Fair Value of Fixed Maturity Securities (Details) $ in Thousands	Jun. 30, 2020USD ($)
Amortized Cost
Due in one year or less	$ 107,187
Due after one through five years	641,649
Due after five through ten years	494,186
Due after ten years	254,703
Amortized Cost	1,497,725
Fair Value
Due in one year or less	108,224
Due after one through five years	661,544
Due after five through ten years	520,225
Due after ten years	264,008
Fair Value	1,554,001
Amortized Cost - Structured securities	2,102,989
Fair Value - Structured securities	2,162,780
Government agency securities
Fair Value
Amortized Cost - Structured securities	28,358
Fair Value - Structured securities	28,884
ABS
Fair Value
Amortized Cost - Structured securities	49,723
Fair Value - Structured securities	48,731
CLO
Fair Value
Amortized Cost - Structured securities	175,687
Fair Value - Structured securities	168,521
CMBS
Fair Value
Amortized Cost - Structured securities	99,218
Fair Value - Structured securities	103,477
RMBS - non-agency
Fair Value
Amortized Cost - Structured securities	115,588
Fair Value - Structured securities	118,860
RMBS - agency
Fair Value
Amortized Cost - Structured securities	136,690
Fair Value - Structured securities	$ 140,306

Investments - Limited Partnersh

Investments - Limited Partnerships and Limited Liability Company Investments (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Investments
Limited partnerships and limited liability companies (fair value)	$ 79,717	$ 66,660
Threshold notice period to withdraw funds	90 days
Minimum holding period	1 year
PIMCO Tactical Opportunities Fund
Investments
Limited partnerships and limited liability companies (fair value)	$ 43,000

Investments - Gain Loss on Inve

Investments - Gain Loss on Investment (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Investments
Allowance for loan losses	$ 0		$ 0		$ 0
Proceeds from sales and redemptions in AFS securities	154	$ 53.7	306.8	$ 97.1
Gross realized gains from sales and redemptions in AFS securities	3.7	0.4	4.7	0.6
Gross realized losses from sales and redemptions of AFS investments	$ 0.2	$ 0.3	$ 0.6	$ 0.4

Investments - Net Investment In

Investments - Net Investment Income (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Net investment income included in net income (loss)
Gross investment income (loss)	$ 24,441	$ 17,925	$ 33,931	$ 35,603
Less: investment income attributable to funds withheld liabilities	118	141	254	283
Less: expenses	532	386	1,071	764
Net investment income	23,791	17,398	32,606	34,556
Fixed maturity securities
Net investment income included in net income (loss)
Gross investment income (loss)	15,849	16,531	32,131	32,650
Commercial levered loans
Net investment income included in net income (loss)
Gross investment income (loss)	139	159	234	378
Net limited partnerships gains
Net investment income included in net income (loss)
Gross investment income (loss)	8,131	1,143	1,254	2,394
Other
Net investment income included in net income (loss)
Gross investment income (loss)	$ 322	$ 92	$ 312	$ 181

Investments - Other Details (De

Investments - Other Details (Details) - USD ($) $ in Millions	Jun. 30, 2020	Dec. 31, 2019
Investments
Securities required to be held with various regulatory authorities as required by law	$ 230.4	$ 210.8
Fair value of assets on deposit in collateral agreements	399.7	367.1
Carrying value of assets on deposit in collateral agreements	$ 381.5	$ 352

Investments - Summary of Unreal

Investments - Summary of Unrealized Gains (Losses) (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2020
Non-redeemable preferred stock securities
Net Investment Income [Line Items]
Change in fair value recognized in income	$ 0.4	$ 0.1

Fair Value Measurements - Asset

Fair Value Measurements - Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Major categories of assets measured at fair value on a recurring basis
Limited partnerships and limited liability companies (fair value)	$ 79,717	$ 66,660
Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	2,174,565	2,040,682
Limited partnerships and limited liability companies (fair value)	79,717	66,660
Total invested assets carried at fair value	2,254,282	2,107,342
Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	2,012,488	1,891,051
Level 3 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	162,077	149,631
Fixed maturity securities | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	2,162,780
Fixed maturity securities | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	2,000,703
Fixed maturity securities | Level 3 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	162,077
Fixed maturity securities | U.S. Treasury securities | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	38,469	49,985
Fixed maturity securities | U.S. Treasury securities | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	38,469	49,985
Fixed maturity securities | Corporate debt securities | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	1,352,237	1,338,812
Fixed maturity securities | Corporate debt securities | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	1,190,160	1,189,181
Fixed maturity securities | Corporate debt securities | Level 3 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	162,077	149,631
Fixed maturity securities | Government agency securities | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	28,884	6,531
Fixed maturity securities | Government agency securities | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	28,884	6,531
Fixed maturity securities | Municipal debt obligations | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	163,295	79,815
Fixed maturity securities | Municipal debt obligations | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	163,295	79,815
Fixed maturity securities | ABS | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	48,731	73,582
Fixed maturity securities | ABS | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	48,731	73,582
Fixed maturity securities | CLO | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	168,521	179,549
Fixed maturity securities | CLO | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	168,521	179,549
Fixed maturity securities | CMBS | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	103,477	97,526
Fixed maturity securities | CMBS | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	103,477	97,526
Fixed maturity securities | RMBS - non-agency | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	118,860	71,610
Fixed maturity securities | RMBS - non-agency | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	118,860	71,610
Fixed maturity securities | RMBS - agency | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	140,306	143,272
Fixed maturity securities | RMBS - agency | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	140,306	$ 143,272
Non-redeemable preferred stock securities | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	11,785
Non-redeemable preferred stock securities | Level 2 | Recurring
Major categories of assets measured at fair value on a recurring basis
Total fixed maturity securities	$ 11,785

Fair Value Measurements - Carry

Fair Value Measurements - Carrying and Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Liabilities
Notes payable net of debt issuance costs	$ 164,862	$ 164,693
Fair value of the notes payable as a percentage of par value	101.20%	101.50%
Fair value of the loan payable as a percentage of par value	100.00%
Carrying Value
Assets
Commercial levered loans	$ 13,463	$ 14,069
Liabilities
Notes payable	165,000	165,000
Unamortized debt issuance costs	(138)	(307)
Notes payable net of debt issuance costs	164,862	164,693
Secured loan payable	24,997
Secured loan payable, net of issuance costs	24,997
Fair Value
Assets
Commercial levered loans	12,628	13,950
Liabilities
Notes payable	166,961	167,507
Secured loan payable	24,997
Level 2 | Fair Value
Liabilities
Notes payable	166,961	167,507
Secured loan payable	24,997
Level 3 | Fair Value
Assets
Commercial levered loans	$ 12,628	$ 13,950

Fair Value Measurements - Secur

Fair Value Measurements - Securities Measured Using Level 3 (Details) - Corporate debt securities - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Changes in fair value of securities measured using Level 3 inputs
Fair value at beginning of period	$ 149,631	$ 126,497
Other comprehensive loss	(8,563)	921
Net realized gain (loss)	(2)	(71)
Purchases	22,634	3,516
Settlements	(1,623)	(2,845)
Fair value at end of period	$ 162,077	$ 128,018

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive (Loss) Income - Components of AOCI (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
AOCI Attributable to Parent, Net of Tax
Balance at the beginning of period, gross	$ (31,469)	$ 5,257	$ 46,123	$ (29,760)
Unrealized holding gains (losses) on fixed maturity securities, gross	99,307	29,830	22,241	64,633
Amounts reclassified into net income, gross	3,678	189	4,620	(25)
Amounts reclassified as credit losses, gross	(1,570)		(1,986)
Other comprehensive (loss) income, gross	97,199	29,641	19,607	64,658
Balance at the end of period, gross	65,730	34,898	65,730	34,898
Balance at the beginning of period, tax	(7,481)	(180)	8,670	(7,445)
Unrealized holding gains (losses) on fixed income securities, tax	20,851	6,206	4,749	13,447
Amounts reclassified into net income, tax	726	(28)	862	(52)
Amounts reclassified as credit losses, tax expense (benefit)	(330)	0	(417)	0
Other comprehensive (loss) income, tax	20,455	6,234	4,304	13,499
Balance at the end of period, tax	12,974	6,054	12,974	6,054
Balance at the beginning of period, net	(23,988)	5,437	37,453	(22,315)
Unrealized holding gains (losses) on fixed income securities	78,456	23,624	17,492	51,186
Amounts reclassified into net income	2,952	217	3,758	27
Amounts reclassified as credit losses, net	(1,240)		(1,569)
Other comprehensive (loss) income	76,744	23,407	15,303	51,159
Balance at the end of period, net	$ 52,756	$ 28,844	$ 52,756	$ 28,844

Accumulated Other Comprehensi_4

Accumulated Other Comprehensive (Loss) Income - Reclassifications Out of AOCI (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Unrealized gains on securities, tax expense (benefit)	$ 726	$ (28)	$ 862	$ (52)
Reclassification adjustment for credit losses included in net income	(1,570)		(1,986)
Reclassification adjustment for credit losses included in net income, tax expense (benefit)	(330)	0	(417)	0
Total reclassifications	1,712	217	2,189	27
Realized Investment Gains (Losses)
Unrealized gains (losses) on securities	3,678	189	4,620	(25)
Reclassification adjustment for credit losses included in net income	(1,570)		(1,986)
Income Tax Expense
Unrealized gains on securities, tax expense (benefit)	726	$ (28)	862	$ (52)
Reclassification adjustment for credit losses included in net income, tax expense (benefit)	$ (330)		$ (417)

Related-Party Information (Deta

Related-Party Information (Details) - USD ($) $ in Thousands	Mar. 15, 2019	Jul. 31, 2019	Jun. 30, 2020	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2020	Jun. 30, 2019
Related party transactions
Equity distribution for executive loan repayment					$ 4,174
Executives
Related party transactions
Loans payable			$ 4,200			$ 4,200
Former CEO
Related party transactions
Common shares cancelled as per terms of the separation agreement		137,987
Other Expense | Former CEO
Related party transactions
Severance expense			$ 0	$ 7,200		$ 300	$ 7,200
Paid-in capital
Related party transactions
Equity distribution for executive loan repayment					$ 4,174
Paid-in capital | Executives
Related party transactions
Equity distribution for executive loan repayment	$ 4,200

Insurance Operations - Reinsura

Insurance Operations - Reinsurance Ceded and Assumed (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		6 Months Ended
	Jan. 31, 2020	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Written premiums
Direct written premiums		$ 185,722	$ 234,306	$ 398,673	$ 489,291
Assumed from other companies		672	726	1,505	1,579
Ceded to other companies		29,771	24,464	53,372	70,400
Net written premiums		156,623	210,568	346,806	420,470
Earned premiums
Direct earned premiums		206,028	231,088	434,608	454,090
Assumed from other companies		697	932	1,439	1,874
Ceded to other companies		25,096	29,540	48,756	57,876
Net premiums earned		$ 181,629	$ 202,480	$ 387,291	$ 398,088
Percent of amount assumed to net		0.40%	0.50%	0.40%	0.50%
Losses and loss adjustment expenses incurred
Direct net losses and loss adjustment expenses incurred		$ 120,680	$ 138,560	$ 265,057	$ 273,908
Assumed from other companies		1,984	2,113	627	4,932
Ceded to other companies		10,191	13,558	25,654	33,392
Net losses and loss adjustment expenses incurred		$ 112,473	$ 127,115	$ 240,030	$ 245,448
Gain (loss) on WAQs commuting	$ 0

Insurance Operations - Receivab

Insurance Operations - Receivable allowance rollforward (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2020USD ($)
Premium receivable
Beginning Balance	$ 5,056
Current Provision	2,854
Write-offs	(204)
Ending Balance	7,706
Reinsurance receivable on paid and unpaid losses
Beginning Balance	505
Current Provision	201
Ending Balance	706
Total receivable allowance
Beginning Balance	5,561
Current Provision	3,055
Write-offs	(204)
Ending Balance	8,412
Amount currently with collection agencies	5,700
Uncollateralized exposure	$ 4,000
Percentage of uncollateralized exposure	96.30%

Insurance Operations - Gross Wr

Insurance Operations - Gross Written Premiums (Details) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2020USD ($)item	Jun. 30, 2019USD ($)item	Jun. 30, 2020USD ($)item	Jun. 30, 2019USD ($)item
Insurance Operations
Number of distribution partners contributing the largest amounts of direct written premiums | item	3	3	3	3
Direct premiums written by the largest distribution partners | $	$ 80.8	$ 80.4	$ 146.9	$ 133.3

Insurance Operations - Unpaid L

Insurance Operations - Unpaid Losses (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Gross reserve for unpaid losses and loss expenses, at beginning of year	$ 1,521,648	$ 1,396,812
Ceded reserve for unpaid losses and loss expenses, at beginning of year	193,952	185,295
Net reserve for unpaid losses and loss expenses, at beginning of year	1,327,696	1,211,517
Incurred losses and loss expenses occurring in the:
Current year	227,842	238,634
Prior years	508	(3,128)
Prior years attributable to adjusted premium	11,680	9,942
Total net losses and loss adjustment expenses incurred	240,030	245,448
Paid losses and loss expenses for claims occurring in the:
Current year	12,168	18,725
Prior years	152,862	164,601
Total paid losses and loss expenses for claims	165,030	183,326
Net reserves for unpaid losses and loss expenses, at end of period	1,402,696	1,273,639
Ceded reserve for unpaid losses and loss expenses, at end of period	141,427	210,021
Gross reserve for unpaid losses and loss expenses, at end of period	1,544,123	1,483,660
Auto Liability
Incurred losses and loss expenses occurring in the:
Prior years		(6,700)
Commercial Auto
Incurred losses and loss expenses occurring in the:
Prior years	(5,200)
General Liability
Incurred losses and loss expenses occurring in the:
Prior years	12,100	13,200
Workers' Compensation
Incurred losses and loss expenses occurring in the:
Prior years	(8,300)	(14,500)
Commercial Multiple Peril
Incurred losses and loss expenses occurring in the:
Prior years	4,300
All Other Lines
Incurred losses and loss expenses occurring in the:
Prior years	$ (2,400)
Marine Liability
Incurred losses and loss expenses occurring in the:
Prior years		$ 4,600

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - subsidiary	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income Taxes
Number of non-US subsidiaries			1
Effective income tax rate	21.60%	21.80%	21.90%	21.80%

Segment Information (Details)

Segment Information (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2020USD ($)segment	Jun. 30, 2019USD ($)
Segment information
Number of reportable segments | segment			1
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 186,394	$ 235,032	$ 400,178	$ 490,870
Gross written premiums, percent	100.00%	100.00%	100.00%	100.00%
Commercial Auto
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 20,649	$ 54,296	$ 60,980	$ 96,080
Gross written premiums, percent	11.10%	23.10%	15.20%	19.60%
General Liability
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 81,876	$ 83,156	$ 160,409	$ 154,451
Gross written premiums, percent	43.90%	35.40%	40.10%	31.50%
Workers' Compensation
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 20,420	$ 34,921	$ 49,241	$ 124,983
Gross written premiums, percent	10.90%	14.90%	12.30%	25.40%
Commercial Multiple Peril
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 10,928	$ 17,040	$ 27,293	$ 36,674
Gross written premiums, percent	5.90%	7.20%	6.80%	7.50%
All Other Lines
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 52,521	$ 45,619	$ 102,255	$ 78,682
Gross written premiums, percent	28.20%	19.40%	25.60%	16.00%
Customer Segment
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 184,221	$ 230,024	$ 396,505	$ 427,165
Gross written premiums, percent	98.80%	97.90%	99.10%	87.00%
Construction
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 27,704	$ 32,495	$ 52,218	$ 55,743
Gross written premiums, percent	14.90%	13.80%	13.00%	11.40%
Consumer Services
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 40,730	$ 37,893	$ 71,298	$ 65,378
Gross written premiums, percent	21.80%	16.10%	17.80%	13.30%
Marine and Energy
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 26,821	$ 25,633	$ 59,611	$ 45,445
Gross written premiums, percent	14.40%	10.90%	14.90%	9.30%
Media and Entertainment
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 17,454	$ 32,402	$ 47,921	$ 62,094
Gross written premiums, percent	9.40%	13.80%	12.00%	12.60%
Professional Services
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 31,891	$ 29,104	$ 61,589	$ 58,666
Gross written premiums, percent	17.10%	12.40%	15.40%	12.00%
Real Estate
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 47,273	$ 46,614	$ 80,488	$ 75,349
Gross written premiums, percent	25.30%	19.80%	20.10%	15.30%
Sports
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 4,688	$ 6,898	$ 14,253	$ 14,748
Gross written premiums, percent	2.50%	3.00%	3.60%	3.00%
Transportation
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums		$ 18,985	$ 9,127	$ 49,742
Gross written premiums	$ (12,340)
Gross written premiums, percent	(6.60%)	8.10%	2.30%	10.10%
Other
Summary of the Company’s gross written premium by customer segments within our Specialty Insurance segment
Gross written premiums	$ 2,173	$ 5,008	$ 3,673	$ 63,705
Gross written premiums, percent	1.20%	2.10%	0.90%	13.00%

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Basic EPS- Income:
Net income (loss) available to common stockholders, continuing operations	$ 17,283	$ 8,696	$ 24,094	$ 22,391
Net income (loss) available to common stockholders, discontinued operations	$ 279	$ (78)	$ 536	$ (333)
Basic EPS - Shares:
Shares outstanding, basic (in shares)	43,810	38,851	43,866	38,851
Basic EPS - Per Share Amount:
Net income from continuing operations	$ 0.39	$ 0.22	$ 0.55	$ 0.58
Net Income available to common stockholders, discontinued operations (in dollars per share)	$ 0.01		$ 0.01	$ (0.01)
Effect of dilutive securities - Shares:
Stock compensation plans (in shares)	17	604	190	604
Diluted EPS - Income
Diluted EPS, continuing operations	$ 17,283	$ 8,696	$ 24,094	$ 22,391
Diluted EPS, discontinued operations	$ 279	$ (78)	$ 536	$ (333)
Diluted EPS - Shares
Shares outstanding, diluted (in shares)	43,827	39,455	44,056	39,455
Diluted EPS - Per Share Amount
Diluted earnings per share - continuing operations (in dollars per share)	$ 0.39	$ 0.22	$ 0.55	$ 0.57
Diluted EPS, discontinued operations (in dollars per share)	$ 0.01		$ 0.01	$ (0.01)

Share-Based Compensation - 2019

Share-Based Compensation - 2019 Equity Incentive Plan (Details) - shares	6 Months Ended
	Jun. 30, 2020	Jul. 24, 2019
Restricted stock units
Share-based Compensation
Restricted stock unit awards granted	587,612
2019 Equity Incentive Plan
Share-based Compensation
Number of common stock authorized		4,500,000
Number of common shares reserved for issuance		4,500,000

Share-Based Compensation - 20_2

Share-Based Compensation - 2019 Plan Restricted Stock Activity (Details) $ / shares in Units, $ in Millions	6 Months Ended
	Jun. 30, 2020USD ($)$ / sharesshares
Unrecognized Share-based Compensation
Unrecognized stock-based compensation expense | $	$ 16.9
Expected weighted average recognition period	2 years 1 month 6 days
Restricted stock units
Restricted Stock Units
Unvested at beginning of period | shares	1,289,396
Granted | shares	587,612
Vested | shares	(106,460)
Forfeited | shares	(5,358)
Unvested at end of period | shares	1,765,190
Weighted Average Grant Date Fair Value Per Share
Non vested outstanding at beginning of period | $ / shares	$ 14
Granted | $ / shares	12.42
Vested | $ / shares	8.91
Forfeited | $ / shares	14
Non vested outstanding at end of period | $ / shares	$ 13.77

Debt (Details)

Debt (Details) - USD ($) $ in Thousands	Aug. 03, 2020	Jul. 14, 2020	Jun. 12, 2020	Mar. 15, 2019	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Debt
Interest expense					$ 3,067	$ 3,147	$ 6,172	$ 6,509
Amortization of debt issuance costs							$ 169	$ 162
7.5% Senior Unsecured Notes due November 2020
Debt
Interest rate (as a percent)					7.50%		7.50%
6.5% Senior Notes due November 2020
Debt
Interest rate (as a percent)					6.50%		6.50%
Secured Loan Payable
Debt
Face amount of the debt					$ 24,900		$ 24,900
Interest rate (as a percent)					4.83%		4.83%
Prior Credit Agreement
Debt
Maximum borrowing capacity				$ 50,000
Number of days before the maturity of the senior notes due November 2020 that the credit facility matures				91 days
Number of days before the maturity of the senior notes due November 2020, as amended or replaced, that the credit facility matures				91 days
Amount outstanding			$ 0
Credit Agreement
Debt
Debt issuance costs incurred			4,500
Amount outstanding					$ 0		$ 0
Term Loan Facility
Debt
Maximum borrowing capacity			165,000
Revolving Credit Facility
Debt
Maximum borrowing capacity			$ 35,000		65,000		65,000
Amount drawn	$ 30,000	$ 5,000
Amount outstanding					$ 0		$ 0

Commitments and Contingencies -

Commitments and Contingencies - Narrative (Details) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2020USD ($)	Jun. 30, 2020USD ($)
Leases
Lessee, operating lease, discount rate	2.00%	2.00%
Operating lease, cost	$ 0.8	$ 1.6
Weighted Average
Leases
Lessee, operating lease, term of contract	2 years 9 months 18 days	2 years 9 months 18 days

Commitments and Contingencies_2

Commitments and Contingencies - Lease Liabilities and Right-of-Use Lease Assets (Details) $ in Thousands	Jun. 30, 2020USD ($)
Lease Assets and Liabilities
One year or less	$ 3,025
More than one year to two years	1,677
Total undiscounted future minimum lease payments	4,702
Less: difference between lease payments and discounted lease liabilities	78
Lease liability	4,624
Right-of-use assets	4,117
Prepaid lease assets, net of lease allowances and incentives	507
Total	$ 4,624